Blockchain framework  135

reduce the cost to compete. We will go through the multiple business

models in Chapter 6.

• Resiliency: Resiliency has become an important term in every CEO’s

priority now. There have been multiple economic, pandemic and finan-

cial disasters to awaken the business senior management to think seri-

ously about resiliency of their business models. Resiliency can be defined

as how resilient our business is against unexpected incidents like cli-

mate change, supply chain issues, resource constraints, natural disas-

ters, technology issues (like data breach, hack, downtime), regulatory

changes and political policies, which can impact our global businesses.

• Concentration risks: Concentration risk has become a limelight of

regulators, controlling financial and non-financial markets in the

recent competitive environment. Concentration risk can be described

as when our all eggs are in one basket. This kind of risk can have a

significant impact on our business and have huge regulatory, financial

and non-financial impacts. One of the examples is that we migrate all

our applications to one cloud provider. If that cloud provider increases

the cost of the services or went out of business, we will have signifi-

cant financial and brand impacts and can also have possible regula-

tory fines. That can possibly close down our business.

• Cost: Cost factor has been influencing the businesses for decades;

however, it has become a more concerned factor in recent years.

Fintech, globalisation, digital economy and severe competition are

some of the factors that have impacted businesses whereby they

have to cut down on the cost to survive. Businesses also have to

look at the business processes and model to save cost on unneces-

sary wastage and use the money on innovation to become more

sustainable to competition.

• Skills: As the innovation is taking over each legacy process and social

interaction, there is a tsunami of skill shortage. Technologies like

blockchain, cloud, artificial intelligence (AI), robotics and quantum

computing require specialised skills. Although there is a supply of

these resources, suitable and experienced resources being available to

the industry are lacking. This shortage of resources is uplifting the cost

of human resources and increasing the competition due to demand

and supply. Skilled resources nowadays look for the company culture,

innovation power, senior management capability, brand name and

probability of where the company will stand in future (Figure 5.1).

Blockchain technology is still on a journey to become mainstream technol-

ogy that can replace or improve existing business processes that can ulti-

mately create a value add. However, the following are some of the business

concerns on blockchain adoption:

• Regulatory rules uncertainty: Obviously, there are firm regulatory stan-

dards, policies, rules and governance for existing business processes on

data sharing/movement, privacy, competition and taxation to name