The IOTA Foundation announced recently that its open source Tangle technology would be used to create a new track and trace solution for assets in the supply chain for IBCS group.
The solution is designed to improve asset management and visibility across the group’s supply chain.
Using Tangle and Mam for Better Supply Chains
IOTA’s Tangle technology is open sourced, which will be used along with Masked Authenticated Messaging (MAM) by IBCS Poland.
The solution, known as “IBCSTracker” and built using IOTA’s Track and Trace application, will help in tracking and tracing assets throughout the company’s supply chain with improved delivery planning, less administrative burden and increased profits.
It will be used as a cross-system interoperable chain which could be used to manage a variety of assets as they move across Central Europe.
“The IBCS Poland Proof of Concept (PoC) is yet another concrete example of IOTA’s vision for enabling the Global Trade and Supply Chain.”
Managing Returnable Assets on Supply Chains
In its blog post, IOTA noted that returnable assets are not usually tracked in the supply chain.
If they are, the process is done manually, which creates space for economic loss and inefficiencies.
The cost of tracing these items is high, and the return rates are low, which makes maintaining these systems a pain point for companies.
Owing to these practices, a large number of assets never return back to the owner. They are either recycled or disposed of inefficiently or given to competitors.
Using IOTA’s Tangle supply chains can provide a solution as each asset will be given a unique digital identity. These assets can then be managed using a mobile application.
Companies can get a better view of their assets, track them in the supply chain and even trace their origins.
This helps in making delivery planning more efficient, reducing administrative burden and cutting down costs while improving profits.
IOTA’s systems don’t require integration with legacy systems, allowing customers to view and request asset returns without sharing sensitive data.
IBCS Group chairman Brian Marcel noted:
“This partnership represents a clear opportunity to solve one of the most difficult logistical challenges present in today’s delivery and shipping industry. We first developed the IOTA Powered solution in Poland, but the next step is to expand to our other countries across Central Europe.”
He added that the company eventually wants to provide better information to their customer on where key assets are in the supply chain.