BMW has announced it will expand the use of blockchain technology for the purchasing of components this year. Blockchain creates a distributed electronic ledger that allows parties involved in often complex supply chains to view, share and update critical documents such as bills of lading, invoices, terms and agreements relating to a particular shipment or transaction.

“In 2019, we conducted a successful pilot project for purchasing front lights, said Andreas Wendt, member of the Board of Management of BMW responsible for purchasing and supplier network. “This year, we want to expand the project to a large number of other suppliers.”