The Car Rental business has existed for decades. The basic workflow essentially involves a customer reserving or booking a car through a channel such as the Web or telephone, and taking temporary possession of the allotted car from the designated pick-up location, at the chosen date and time. The rental management process ties together various activities comprising car inspection reports, selling an insurance policy for the rental duration, as well as contract management between the owner and the customer. The entire process, while familiar to most, has inherent operational inefficiencies built in due to the nature of activities. For instance, speeding violations during the car rental period involve multiple agencies cooperating with each other and can take weeks to close. New-age technologies like Blockchain can help reduce the process time and increase the efficiency in the entire value chain.
The entire process, as followed currently, has inherent inefficiencies built in due to the nature of activities. Some examples are given below.
Here’s how blockchain can help in the entire value chain:
Various Government and Private Agencies in the smart city form a consortium using a permissioned Blockchain network. Since all parties can verify by consensus, what goes into the system, and have access to the same immutable information, the trust factor in the setup is extremely high.
In a smart city, government agencies typically install and support a mechanism for procuring real-time data from various sources across the entire city. Here, it is assumed that the rental car, the relevant city infrastructure comprising traffic monitoring systems, parking meters, toll gates, etc. support RFID data exchange.
Using current Blockchain technologies, it is possible to build segregation between general information meant for consumption by all participants and data that needs to be exchanged only between two entities. For instance, the agency operating parking meters may not access a renter’s insurance policy details.
Basic Process Flow
Because all consortium members have access to the same data, agree to use an established consensus mechanism within the blockchain and are able to access specific private data intended only for the transaction participants, the trust factor in the system is very high.
Stringent laws govern data sharing and the solution must adhere to applicable regulations. After addressing these needs, the entire setup allows data sharing seamlessly in real-time. Thus, using blockchain can significantly increase the efficiency in the entire value chain.
Practice Partner, MAS Consulting & Architecture
Sanjay has 25+ years of experience that spans architecting, consulting and management roles to pre-sales, leading innovation projects, engineering custom applications, application integration and distributed systems architecture and design.
General Manager and Practice Head, Oracle Technologies
Siva brings 20+ years of experience in building Applications Practices and Solutions and helping clients drive better business outcomes with Enterprise Applications. He holds an MBA from the Indian Institute of Management, Bangalore.
Lead Consultant, Service Transformation
Vignesh is a senior advisor to the Blockchain practice at Wipro Limited. He is a founding member of the Dubai Blockchain Council initiative of the PMO Dubai and a participant in the Dubai Future Accelerator. He is an active keynote speaker and has been invited to major Blockchain events around the globe. Vignesh holds an MBA in Innovation & Strategy.