In 2018, RCS Global started working with IBM to develop and pilot-test the Responsible Sourcing Blockchain Network (RSBN). Now fully deployed, RSBN is gathering more participants as it continues to grow and demonstrate its value. “We use the IBM Blockchain Platform as the foundation for a network of validated companies that can exchange information directly with each other on the blockchain,” says Garrett. “These companies have been audited and found conformant with responsible practices.”
From the time raw materials for batteries are produced at a participating industrial mine site in the DRC, RSBN relies on the IBM® Blockchain Platform to trace the material to a smelter, a cathode plant, a Li-ion battery plant and, finally, to an automobile or electronics manufacturing plant. In addition to providing end-to-end traceability, the blockchain-enabled RSBN platform benefits from RCS Global’s provision of responsibility scores for each participant, based on audits that are conducted.
“RCS Global brings our vast experience working on responsible sourcing at all stages of the supply chain at all times,” says Garrett. “Our collective effort allows participating companies to gain greater efficiency in risk management by combining necessary human-led assurance efforts with technology-led efficiency improvements, particularly in data exchange. This is a demonstration of technology for good, enabling a more effective risk management approach which can have greater impact on conditions in the worldwide minerals sector.”
Documenting proof of initial responsible production of raw materials with an immutable audit trail that is maintained from mining to manufactured end product.
The demonstrated benefits of using the RSBN solution for responsible sourcing includes:
- Viewing product traceability and responsible sourcing data in near real-time by permissioned network participants
- Storing provenance information and certificates of responsible production in a security-rich environment that cannot be tampered with without alerting all participants
- Protecting confidential or competitive information while still sharing proofs of facts
- Promoting trust through decentralized control because no single entity can corrupt the process
- Potentially lowering costs through digitization of paper processes
- Scaling rapidly to accommodate new participants and industries
“Blockchain provides a trusted and secure environment that leads to greater data exchange efficiency, which reduces costs and increases the chance for more positive impact,” says Garrett. “The implementation of blockchain and responsible sourcing is a potential game-changer. It can help build more trust among companies, which can yield greater collaboration for good.”