(Source: Unilever)In a successful proof of concept in Indonesia, Unilever applied GreenToken to sustainably source more than 188,000 tons of oil palm fruit. SAP and Unilever are using a pilot of the GreenToken by SAP solution to further increase traceability and transparency in Unilever’s global palm oil supply chain. The tool enabled Golden Agri-Resources and other suppliers from whom Unilever sources to create tokens that mirror the material flow of the palm oil throughout the supply chain and capture the unique attributes linked to the oil’s origin.
Raw materials like palm oil are often mixed with physically identical raw materials, from both verified sustainable and non-verified sources, after the “first mile” of the supply chain, causing the origin information to be either hidden or lost.
“With GreenToken, we want to bring the same traceability and supply chain transparency to bulk raw materials that you get from scanning a bar or QR code on any consumer product,” said Nitin Jain, co-founder and general manager of the GreenToken by SAP tool from SAP. “Our solution allows companies to tell what percentage of palm oil products they purchased from a sustainable origin and track it to the end consumer product.”
The GreenToken solution helped Unilever track, verify and report in near real time the origins and journey that palm oil takes through its long and complex supply chain. The work with GreenToken enhances Unilever’s ongoing efforts to gain full visibility of its supply chain. The team of scientists at Unilever’s Safety and Environmental Assurance Centre (SEAC) has a vital role in helping to deliver these commitments.
SEAC is a team of safety and environmental sustainability scientists. They use the latest techniques, deep scientific expertise and an evidence-based approach to ensure that products are safe for consumers and workers and are better for the environment.
Companies are continuously being held more accountable for the origins of their products. Recently, funding for companies wishing to increase their tracking ability has grown, with Sourcemap only last month receiving $10 million of funding to help expand its platform aimed at helping businesses track everything from raw material sourcing to carbon emissions throughout their operations. Additionally, TrusTrace recently developed a solution that the company says enables near real-time traceability at the material level. The solution covers requirements for material compliance including documenting the percentage of certified versus non-certified material content. Companies with better traceability find it easier to meet regulations, and having the ability to inform consumers on where products are coming from can increase customer satisfaction.
