Frictionless Contract Management & Execution by Blockchain, Smart Contracts & Token – Customer Story: Furniture Design Project with iforest, Inc.
Contract management and execution are complex and risky.
Specifically for designers and manufacturers, in addition to difficult and sensitive terms in the contract, it becomes more complicated as intellectual property, subcontractors, and payment management play a critical role.
For example, whose and which intellectual property in work and when it was transferred is impossible to search and trace via the current contract format and existing solution. These become further complicated when layers of players, administrators, stakeholders, and subcontractors interact with separate agreements and payment terms.
This administrative complexity is universal to the design and manufacturing industry. However, if not managed and executed well, not only is it inefficient and costly, there is a risk of accusation and lawsuit at worst – unfortunately, not uncommon in the industry.
Current problems of design & manufacturing contract management
With this background, Final Aim builds a blockchain platform to answer one question:
“How can we make the contract management and execution frictionless so that designers and manufacturers can focus on their true value creation?”
Delaware, US, February 1st, 2023 – Final Aim, Inc. (CEO Masafumi Asakura and CDO Yasuhide Yokoi) today announced that the company utilized its blockchain platform in a furniture design project by the creative agency CIRCULAR DESIGN STUDIO./Shinto Tsushin Co., Ltd. (Kikuro Tani, Chairman & Representative Director) and the forestry tech startup iforest, Inc. (Koumei Maruyama, Co-Founder & CEO).
The project aims to rediscover and enhance the value of local forest resources by developing product designs that tell the local story. The team selected Hakuba Village as an initial area for launch. It released an original furniture design – also designed by Final Aim – in which the wood is cut from and manufactured locally in the village.
Modular design that integrates aesthetics, functionality, and scalable usage
Flexible design that could be generated as chairs and tables with various size
Patented design that could instantly be assembled and customized
Like general design and manufacturing projects, the team and the designer created and agreed on a design contract. Specifically, the contract states which designs in the design proposal documents the client can manufacture and commercialize. The agreement was also tailored as a license contract defining the starting date and limiting the time available for commercial use. Furthermore, the contract represents the intellectual property – also legally design patented – remains to the original designer and restricts the client to edit, resell or sub-license to other subcontractors.
Though the contract generation and agreement proceeded smoothly, properly managing and accurately executing the contract is challenging for the team, with limited administrative resources and various stakeholders, including the manufacturers.
Design and manufacturing with numerous stakeholders and subcontractors
“Traceable, transparent, and automatic” – Contract management and execution by blockchain, smart contracts, and token.
The project utilized Final Aim’s blockchain platform as a POC study to overcome the challenges. Firstly, upon public blockchain and distributed storage, the team implemented the platform for ample file storage for all critical evidence. The project manager, designer, and manufacturers used the platform for sharing on a remote daily basis.
Then, the platform generated an NFT as a utility token that bundles all the essential files (approved proposals, design renderings, final 2d drawings, final 3d files, etc.) and ownership evidence (owner, date, time, patent filings, etc.) stated in the contract. Furthermore, the smart contracts originally built behind the token resembles the essential elements of the contract terms, such as the token transfer limit and automatic expiration. The platform supported the token transfer to the client’s digital wallet upon agreement and fee transaction.
The blockchain platform utilization made complicated and messy management traceable, opaque subcontracting/sublicensing transparent, forgetful and risky payment and license expiration automatic. As a result, the platform unlocked significant benefits and derisked the team and the project with limited time and administrative resources.
Actual project screenshots of the blockchain platform used in the project
About the blockchain platform, “Final Chain”
Final Aim has been driving the adoption of Web3 technologies, such as blockchain and smart contracts, globally in the industrial design and manufacturing industries.
Since its blockchain platform release, the company has collaborated with industry leaders: Panasonic USA, a design division in New York; AUTODESK, a global leader in 3D design, engineering, and entertainment software; Ultimaker, a Netherland-based global leader in the professional 3D printing industry. In August 2022, Final Aim announced a partnership with Sony Design Consulting and Sony Computer Science Laboratories for its blockchain technology application. Alongside the development and collaboration, the company applied for three patents internationally.
Furthermore, Final Aim was accepted into Berkeley SkyDeck, a world-renowned Silicon Valley startup accelerator, and Plug and Play Japan, the world’s leading accelerator/venture capital.
About Final Aim
Company Name: Final Aim, Inc.
Location: Headquarters, US / Subsidiary, Japan
Founders: Masafumi Asakura, Chief Executive Officer / Yasuhide Yokoi, Chief Design Officer
Business Description: Drive the adoption of Web3 technologies for design and manufacturing