BMW, the German automaker, will apply blockchain technology to the supply chain this year. Through PartChain, it will track the source of parts and raw materials when purchasing globally. Last year, BMW started a test plan. Two of the 31 plants have tested related projects. This year, it will officially debut and expand to 10 suppliers.
BMW announced today that it will introduce blockchain technology this year. The company pointed out that the global supply chain in the automotive industry is very complex. Many suppliers will be involved in the procurement process, and changes will be very fast. Therefore, it is necessary to know the origin and supply of a part. route. At present, many suppliers will independently manage their own data, which makes it difficult for the companies’ systems to continuously communicate with each other. BMW’s compradors and suppliers also need manpower to ensure the transparency of procurement. So BMW decided to use new technology to seamlessly track and provide data in a simple and instant manner.
BMW director Andreas Wendt said in a press release that last year when testing the plan, the purchase of car headlights was very effective, so this year it will expand to this blockchain project to more suppliers. He pointed out that PartChain allows companies to prevent tampering in the supply chain and collect and exchange verifiable data. In the long term, BMW expects this plan to be able to fully track important raw materials, from mines to smelters. “This move has enabled BMW to digitize procurement to a new level. We hope to create an open platform that allows data in the supply chain to be exchanged securely throughout the automotive industry.”