The Armonk, N.Y.-based technology company is collaborating with various companies across the global food supply chain to explore how blockchain technology can be used to make the food supply chain safer.
IBM has teamed up with a group of companies across the global food supply chain to explore how blockchain technology can be used to make the food supply chain safer, the technology giant said in a statement Tuesday.
The companies IBM is collaborating with include Dole, Driscoll’s, Golden State Foods, Kroger, McCormick and Co., McLane Co., Nestlé, Tyson Foods, Unilever and Walmart.
Blockchain is essentially a specific type of database where time-stamped and authenticated digital records are compiled.
IBM said blockchain technology can be used to improve food traceability by providing reliable information on the origin and state of food.
“Many of the critical issues impacting food safety, such as cross-contamination, the spread of food-borne illness, unnecessary waste, and the economic burden of recalls are magnified by lack of access to information and traceability,” IBM said. “It can take weeks to identify the precise point of contamination, causing further illness, lost revenue and wasted product.”
Through blockchain technology, all participants in the global food supply chain – growers, suppliers, processors, distributors, retailers, regulators and consumers – can gain permissioned access to reliable information regarding the origin and state of food for their transactions. This can allow food providers and others to quickly determine the source of contaminated products, ensuring the goods are quickly removed from store shelves in order to prevent the spread of illness, IBM said.
In parallel trials in China and the United States, IBM and Walmart illustrated how blockchain technology can be used to track a product through every stage of the supply chain, from the farm to the retail shelf, in seconds instead of days or weeks.
“Beyond food supply chain applications, blockchains are now being used to transform processes and streamline transactions for everything from flowers, real estate and trade finance, to education, insurance and medical devices,” IBM said.
To accelerate this adoption, IBM said it has launched the first fully integrated, enterprise-grade production blockchain platform, along with consulting services.
The IBM Blockchain Platform, which is available on the IBM Cloud, allows multiple parties to jointly develop, govern, operate and secure blockchain networks to help enterprises accelerate blockchain adoption, IBM said.
“In addition to food safety, IBM is advancing other blockchain supply chain initiatives using the IBM Blockchain Platform for an automated billing and invoicing system,” the company said. “Initial work to use blockchain for invoicing is underway starting with Lenovo. This will provide an audit-ready solution with full traceability of billing and operational data, and help speed on-boarding time for new vendors and new contract requirements.”
American Shipper analyzed the concept of blockchain technology in the supply chain world in its December 2016 feature article, “The digital ledger.”
IBM teams up with global food suppliers to study blockchain solutions
