Global management consulting firm Accenture has teamed up with a number of international firms to launch a blockchain-based circular supply chain capability, per the company’s press release published February 25.
While this would not be the first time the professional services firm has explored the application of both blockchain and distributed ledger technology, Accenture’s integration of the nascent technology into the circular supply chain marks its latest foray into the budding industry. A circular supply chain is a supply chain management model introduced in an effort to eliminate waste materials by recycling it into products which can be resold, as well as reduce the carbon footprint of shipping freights, with the ultimate goal of improving sustainability for the environment.
As detailed in the announcement, Accenture will be collaborating with Amazon Web Services, Mastercard, Everledger, and Mercy Corps, to develop a blockchain-based circular supply chain capability that would allow consumers to identify supply chain producers, particularly small-scale suppliers, and directly reward them for observing sustainable practices.
Furthermore, the new supply chain capability also aims to enable better inventory management and waste elimination, as well as improve transparency of the whole production process while verifying the authenticity of products.
As Accenture’s managing director and global blockchain lead David Treat noted, the integration of blockchain technology in the circular supply chain will allow the business sector to reevaluate the entire global supply chain.
Similarly, German global automobile marque Mercedes-Benz has recently announced a pilot project that aims to boost transparency and sustainability in complex supply chains by using blockchain technology.
Earlier this week, French President Emmanuel Macron has also promoted the application of the nascent technology to enhance supply chain management of Europe’s agricultural sector.