Fiat Chrysler (FCA) recently joined forces
with the Responsible Sourcing Blockchain Network in a move to improve its
sustainability efforts. The automaker will begin using blockchain technology to
help ensure sustainable sourcing and production practices through audits that
map the mining history of its raw cobalt supply.
The first of these blockchain-powered audits is
set to begin early this year, and will help the company to reduce its potential
use of unethically sourced cobalt. FCA’s goal is to purchase only cobalt – an
essential component of its lithium-ion batteries – from mines that refrain from
unethical practices that are harmful to the surrounding communities.
“[This] will propel our ability to have visibility into artisanal and small-scale mines,” said Carl Smiley, FCA’s Chief Purchasing and Supply Chain Officer, “allowing us to better manage the social and environmental impacts of our business.”