Technology giant IBM has launched a new blockchain for tracking supply chains with the participation of several large companies, including Lenovo, Nokia and Vodafone.

The network called Trust Your Supplier (TYS) is designed to simplify the verification of suppliers, as well as the registration and management of information about the product lifecycle. Anheuser-Busch InBev, GlaxoSmithKline, Cisco and Schneider Electric were also included in the list of founding participants of the network.

Modern methods of supplier management are “cumbersome” manual processes, which makes it difficult to verify identification data and track documents. With the help of blockchain, companies strive to automate processes, as well as reduce the risk of fraud and errors.

“The Trust Your Supplier network creates a digital passport for identifying a supplier on the blockchain network, which allows the supplier to exchange information with any buyer on the network,” IBM says.

For example, the technology giant has more than 18,500 suppliers worldwide. Thanks to TYS, IBM estimates a 70-80% reduction in the time for connecting new suppliers, as well as a 50% reduction in administrative costs within its own business.

Recall that recently, Seagate and IBM began pilot testing of a blockchain system for tracking the production of hard drives. In addition, earlier, the FDA, IBM and Merck announced that they would introduce blockchain into the supply chains of medicines