Severstal introduces blockchain to accelerate shipment of metal products

In mid-September 2021, it became known about Severstal's decision to use a single industry register of quality certificates for metal products to speed up its shipment. In addition, this project, implemented with the participation of VTB, will help to deliver without linking to bank days, including weekends and holidays.

It is noted that we are talking about the second stage of the project to optimize industry-wide interaction, launched on the basis of the infrastructure of the industry register of quality certificates for metal products. Thanks to the new initiative, the vendor will instantly receive the invoice payment information and release the order for shipment. Thus, the initiative will allow companies to ship products before receiving money without the risk that it will not be paid.

Severstal introduces blockchain to accelerate shipment of metal products

The new software solution will make it possible to take a big step forward in the field of both blockchain technologies and the metallurgical industry as a whole. The main advantage of the solution is the possibility of accelerating the shipment of goods between Severstal PJSC and counterparties by quickly obtaining information on payments from VTB, "said Alexander Botsiev, senior vice president of the bank, who holds the post of head of the sales department for settlement and passive products of the transactional business department.

The single industry certificate registry, built on blockchain technology, is based on the SAP Business Technology platform and is used to reduce unfair competition in the industry, reduce company losses from counterfeiting and falsification. By September 2021, SAP created a common infrastructure for trusted industry-wide interaction and a precedent for this form of cooperation between steel companies. SAP expects that the membership of the network will expand along with an increase in the number of new scenarios for trusted information exchange.^[1]

Notes