Equidato, EY to present blockchain ERP solution for auto industry
Ernst & Young and Equidato Technologies AG, developer of the SophiaTX blockchain platform, have partnered to address one of the biggest challenges faced by car-makers: the management of supplier relations.
While manufacturers and suppliers at higher supply chain levels typically use robust enterprise resource planning systems, suppliers at lower levels typically use less sophisticated solutions, giving rise to issues of interconnectivity in IT environments and insufficient visibility of relevant information among entities in the supply chain, a press release from EY and Equidato said.
The companies believe that one possible solution to the problem might be blockchain technology.
EY and Equidata are jointly developing a solution on the SophiaTX platform that focuses on the integration of blockchain with enterprise ERP systems, and will present their concept at the Newmatec 2018 Conference, a forum focused on auto industry trends, to be held March 13 and 14, at Hotel Partizán in Tále, Slovakia.
The shared-ledger solution will enable access of all parties to reliable data on events in the supply chain, harmonization of data from various ERP systems, and more targeted setting of production plans by OEM plants, the release said.
Additionally, the partners said it will result in better verifiability of goods flow, optimization of stock and improved supply chain response to changes in orders.
The solution could even deliver the potential to use data saved in the blockchain network as the basis for creating accounting records within the Order-to-Pay cycle, the release said.
"I personally see the biggest benefit or our joint efforts in wedding Equidato's deep technological know-how with EY's global advisory service potential," said Peter Borák, a partner in the EY Slovakia advisory in cybersecurity. "I have not the slightest doubt that this fantastic combination of technological and advisory art will be of interest, not only for the car manufacturers themselves, but also for all companies that are part of the expanding automotive chain within and beyond the Slovak Republic."