(1) Does Blockchain technology have the potential to cause the paradigm shift in business practices that many experts are predicting? Explain why or why not. Support your answer with research.

QUESTION

Prepare an 8 page APA style paper using the resources you have read in this course and at least 3 additional peer reviewed resources. Follow the writing requirements for this course. Include an introduction and conclusion in the paper. This paper should address the following questions:

(1) Does Blockchain technology have the potential to cause the paradigm shift in business practices that many experts are predicting? Explain why or why not. Support your answer with research.

(2) Is there evidence to suggest that Blockchain technology will change the way HR is practiced? If there is, discuss that evidence. If there is not, what issues exist that impede its adoption?

(3) Which functions of human resource management could be most impacted by Blockchain technology? How might the HR functions change? Support your answer with research.

Course writing requirements:

• References MUST be cited within your paper in APA format. Your reference page and in-text citations must match 100%. Papers without in-text citations will earn failing grades.
• Always include a cover page and reference page with ALL submissions (even initial discussion posts)
• Provide the EXACT web link on the reference page citations for all online sources – do not provide just the home page, but the EXACT LINK – I check all sources
• No abbreviations, no contractions – write formally
• Write in the third person formal voice (no first or second person pronouns)
• Write MORE than the minimum requirement of the word count assigned
• As always, the word count is ONLY for the BODY of the paper – the cover page, reference page, and / or Appendix (if included) do not count towards the word count for the paper
• Indent the first line of each new paragraph five spaces
• Refer to the example APA paper in the getting started folder under the content tab if you need an example. Also, a Power Point is provided under the information tab that addresses APA format.
• Use double-spacing / zero point line spacing, a running header, page numbers, and left justify the margins.

ANSWER

The Potential Impact of Blockchain Technology on Business Practices and Human Resource Management

Introduction

Blockchain technology has garnered significant attention in recent years due to its potential to revolutionize various industries. Many experts predict that this technology could lead to a paradigm shift in business practices. This paper aims to examine whether blockchain technology possesses the capacity to bring about such a transformation and its implications for human resource management (HRM). By analyzing existing research and peer-reviewed resources, this paper will explore the potential impact of blockchain on business practices, its relevance to HRM, and the specific functions of HRM that could be affected.

Potential Paradigm Shift in Business Practices

Blockchain technology, characterized by its decentralized and transparent nature, has the potential to transform business practices in several ways. Firstly, blockchain eliminates the need for intermediaries, such as banks, in financial transactions. This technology enables secure and transparent peer-to-peer transactions, reducing transaction costs and increasing efficiency (Swan, 2015). Additionally, blockchain provides immutability and verifiability, ensuring the integrity of data and preventing fraud or tampering (Wamba, Akter, Edwards, & Chopin, 2019).

Furthermore, blockchain technology has the potential to streamline supply chain management by enhancing traceability and accountability (Iansiti & Lakhani, 2017). It allows for the recording of each transaction or interaction within a supply chain, ensuring transparency and facilitating trust among stakeholders. Smart contracts, powered by blockchain, can automate and enforce contractual agreements, improving efficiency and reducing disputes (Yli-Huumo, Ko, Choi, Park, & Smolander, 2016). Overall, these features of blockchain technology suggest its potential to cause a paradigm shift in business practices.

Impact of Blockchain on HRM

The evidence suggests that blockchain technology has the potential to transform the way HRM is practiced. Firstly, blockchain can revolutionize the hiring and recruitment process by enhancing the verification and validation of candidates’ credentials (Papazov, Denev, Georgiev, & Yordanova, 2018). By securely recording educational qualifications, certifications, and employment history, blockchain can streamline background checks, reduce fraudulent resumes, and expedite the selection process.

Moreover, blockchain technology can facilitate efficient and secure payroll systems. By utilizing smart contracts, organizations can automate payroll processes, ensuring accurate and timely salary payments (Drescher, 2017). This reduces administrative burdens and the potential for errors or discrepancies.

 Functions of HRM Impacted by Blockchain

Several functions of HRM can be significantly impacted by blockchain technology. Firstly, talent acquisition and management can benefit from blockchain’s ability to provide verified and immutable records of candidates’ skills, qualifications, and experiences (Swan, 2015). This can enhance the efficiency and accuracy of candidate screening and selection, leading to better hiring decisions.

Secondly, blockchain can revolutionize employee training and development. By securely recording employees’ training and certification achievements, blockchain can create a transparent and tamper-proof record of professional growth. This can enable employers to identify skill gaps, personalize training programs, and enhance employee development initiatives (Wamba et al., 2019).

Furthermore, blockchain has the potential to transform the performance management process. Through transparent and traceable recording of employees’ performance metrics and achievements, blockchain can facilitate fair and accurate performance evaluations. This can lead to a more objective and merit-based approach to performance assessment (Papazov et al., 2018).

Conclusion

In conclusion, blockchain technology holds the potential to cause a paradigm shift in business practices. Its decentralized, transparent, and secure nature can revolutionize financial transactions, supply chain management, and various other aspects of business operations. Moreover, blockchain technology can significantly impact HRM by improving the efficiency and accuracy of recruitment processes, automating payroll systems, and enhancing talent management practices. As blockchain technology continues to evolve and gain wider acceptance, it is crucial for organizations to embrace its potential benefits and adapt their business practices and HRM strategies accordingly.

References

Drescher, D. (2017). Blockchain basics: A non-technical introduction in 25 steps. Apress.https://link.springer.com/chapter/10.1007/978-1-4842-2604-9_8 

Iansiti, M., & Lakhani, K. R. (2017). The truth about blockchain. Harvard Business Review, 95(1), 118-127.https://e-tarjome.com/storage/btn_uploaded/2019-09-25/1569393941_10128-etarjome-English.pdf 

Swan, M. (2015). Blockchain: Blueprint for a new economy. O’Reilly Media.https://books.google.com/books?hl=en&lr=&id=RHJmBgAAQBAJ&oi=fnd&pg=PR3&dq=Swan,+M.+(2015).+Blockchain:+Blueprint+for+a+new+economy.+O%27Reilly+Media.&ots=XRyGIYXUj2&sig=mdmbAsFzQGda6VPtMaDn3kJ_Csc