Hyundai Motor Company and Kia Corporation introduced the AI-enabled, blockchain-based Supplier CO2 Emission Monitoring System (SCEMS) to manage the carbon emissions of its cooperative business partners.
SCEMS is designed to compute carbon emissions at every stage of a cooperative partner’s supply chain while assuring data transparency and integrity. Hyundai Motor and Kia successfully verified the effectiveness of the high-performance blockchain technology and adopted it to accomplish their critical goal of promptly and securely collecting carbon emissions data.
This solution is also expected to relieve suppliers from this time- and cost-consuming work and enable them to manage their carbon emissions with accuracy. By leveraging artificial intelligence (AI) and high-performance blockchain technology, business partners can efficiently monitor and manage the collected data and carbon emission status at their respective workplaces.
With this system, Hyundai Motor and Kia ultimately aim to tackle climate change issues by preemptively meeting local and global environmental regulations and establishing sustainable supply chains within the companies and with its cooperative partners.
Through the system, it is possible to secure reliable carbon emission data over the entire business operations of its suppliers, including raw material procurement, manufacturing processes and product transportation. The system’s next-generation technology will enable regulators, stakeholders and investors to have confidence in the accuracy of the data.
The implementation of blockchain technology to manage carbon emissions is a significant step toward promoting sustainable practices in the industry, the automakers said.