







According to a report, the BMW Group is applying digital technologies to foster its processes. A very good example of this innovation is blockchain technology.

Blockchain is a technology that allows tamper-proof data sharing, with potential applications throughout the automotive value chain.

How BMW Group Leverages Blockchain Technology

The BMW Group is leveraging blockchain technology in purchasing to make traceability of raw materials and components possible in multistage international supply chains.

According to Andreas Wendt, a member of the Board of Management of BMW AG, responsible for Purchasing and Supplier Network, BMW Group conducted a successful pilot project for purchasing front lights in 2019. Also, the company has ground plans to expand this project to more suppliers in 2020.

Andreas Wendt furthered that “PartChain enables tamper-proof and consistently verifiable collection and transaction of data in our supply chain.”

In 2019, the pilot project only focused on part tracking. The project is expected to have a long term impact on the company in terms of traceability of critical raw materials from mine to smelter.

“This move is designed to take the digitalization of purchasing at the BMW Group to the next level. Our vision is to create an open platform that will allow data within supply chains to be exchanged and shared safely and anonymized across the industry,” said Andreas Wendt.

Partchain makes use of Cloud technologies such as Amazon Web Services, Microsoft Azure and others to complement the blockchain solutions.

This gives room for proper tracking of the source of components between all participating partners without fear of possible manipulation.

The 2019 pilot project already involved two of the BMW Group’s total 31 plants (Spartanburg/US and Dingolfing), as well as three locations of the supplier Automotive Lighting. In 2020, the platform will be expanded to about ten other suppliers.







