MUNICH: The BMW Group is using innovative digital technologies to optimise its processes such as blockchain, a technology that enables tamper-proof data sharing, with potential applications across the automotive value chain.
The company is using this technology in purchasing to ensure the traceability of components and raw materials in multi-stage international supply chains.
“In 2019, we conducted a successful pilot project for purchasing front lights. This year, we want to expand the project to a large number of other suppliers,” said Andreas Wendt, member of the Board of Management of BMW AG responsible for Purchasing and Supplier Network.
The automotive industry's international supply chains are highly complex. They generally involve numerous players at different delivery stages and often undergo rapid changes.
For this reason, considerable effort can be needed to clearly track a component’s origin or supply route, for instance.
BMW started the PartChain project to track components – more or less “at the push of a button” – and provide immediate data transparency in complex supply chains for all partners involved.
“PartChain enables tamper-proof and consistently verifiable collection and transaction of data in our supply chain,” said Wendt.
PartChain uses cloud technologies (for example Amazon Web Services, Microsoft Azure) in addition to blockchain solutions.
