Optimizing part traceability, BMW Group introduces the supply chain solution PartChain

The German multinational automaker BMW Group is set to adopt blockchain technology to enhance transparency in its supply chain. This year, it will introduce the "PartChain" supply chain solution to 10 suppliers, focusing on optimizing secure data sharing, international supply chains, and traceability of critical components.

According to BMW's official announcement on March 31, the PartChain blockchain platform had already been undergoing phased trials in 2019 and had implemented a test project for purchasing and tracking headlights. This year, it explicitly stated its intention to expand the platform to more suppliers.

The announcement pointed out that the international automotive supply chain is exceptionally complex, often involving many participants at different delivery stages, and rapidly changing due to various demands. Significant resources are required to track the origin or source of components in this context. Up to now, many partners have managed data independently, making data sharing impossible.

Andreas Wendt, member of the BMW Board of Management responsible for the supplier network, stated:

PartChain allows for tamper-proof and consistent data verification in our supply chain. The 2019 pilot project focused solely on part tracking. Looking ahead, the BMW Group expects the project to achieve complete traceability of key raw materials (from mining to smelting). This is aimed at optimizing BMW's digital procurement, and our vision is to create an open platform for securely sharing data in the supply chain anonymously.

In addition to the PartChain blockchain platform, BMW also established the Mobility Open Blockchain Initiative (MOBI) in 2018. This is a cross-industry project consisting of 120 companies, including major automotive manufacturers such as BMW, GM, Ford, and Renault, as well as renowned blockchain technology companies like Bosch, Hyperledger, IBM, and IOTA.

Wendt also mentioned that the BMW Group is planning to share the PartChain solution with members of MOBI, which was jointly founded in 2018.