Coca-Cola bottlers now utilize blockchain technology to manage cross-party transactions and supply chain logistics.
As reported by Business Insider, Coke One North America (CONA) – which serves as IT managers to over 70 franchises of the Coca-Cola Company Worldwide, revealed it is using a blockchain solution developed by German software company SAP to manage its supply chains.
According to the report, CONA manages multiple franchises which oversee the manufacturing, bottling and shipping of about 160,000 orders of Coca-Cola products daily. However due to a number of delayed processes and challenges, CONA sought a way to make the supply chain more efficient.
Speaking on the initiative, Senior Manager at CONA – Andrei Semenov said:
“ “There are a number of transactions that are cross-companies and multiparty that are inefficient. They go through intermediaries; they are very slow. And we felt that we could improve this and save some money.”Andrei Semenov – Senior Manager for Coca Cola Franchises (Coke One North America – CONA)
He remarked that blockchain technology could help CONA reduce the duration of order reconciliation, from 50 days to just a few days. This will be made possible through the blockchain inter-organizational transparent ledger which will give real-time info on all to transactions made by the different bottlers on the $21 million yearly network.
The SAP blockchain is a Permissioned Business Grade Blockchain that keeps all records cryptographically protected and tamper-proof. It allows each of the suppliers view order filed by everyone on the network.
Blockchain technology is serving as a perfect solution for supply chain logistics, with the industry ranking as the technology’s most common use case.
Global companies across various industries including Energy (Shell), Mining (Diamonds) Vehicle manufacturing, fashion and more, are utilizing blockchain technology in their supply process; with benefits such as tracking original products, order tracking from source to consumer, eliminating paper-work procedures and ensuring reduced time of supply.