Mitsubishi and NTT partners for Blockchain DX Solutions

Mitsubishi and NTT partners for Blockchain DX Solutions

Blockchain News
July 12, 2022 by Editor's Desk
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Mitsubishi Corporation, Nippon Telegraph and Telecom Corporation (NTT), Japan’s largest entities, have formed a joint venture, Industry One. The new company aims to explore cross-industry blockchain digital transformation (DX) solutions.  The companies have already invested $8.3 million in the venture; Mitsubishi owns 51% of the company, and NTT owns the rest. The initiative will offer
Mitsubishi and NTT partners for Blockchain DX Solutions

Mitsubishi Corporation, Nippon Telegraph and Telecom Corporation (NTT), Japan’s largest entities, have formed a joint venture, Industry One. The new company aims to explore cross-industry blockchain digital transformation (DX) solutions. 

The companies have already invested $8.3 million in the venture; Mitsubishi owns 51% of the company, and NTT owns the rest. The initiative will offer digital transformation solutions to other companies. 

Industry One is already working on a project to support DX in the food distribution sector. Along with NTT Data, NTT’s tech subsidiary, the joint venture will work on digitizing and upgrading stock management using blockchain technology. 

The purpose is to reduce inventory levels. However, when stock levels decline, this results in product shortage, and the solution aims to allow a lower rate of product shortage. 

It is expected that infrastructure will link the data in the distribution supply chain. The data is related to retail, wholesale, and manufacturers’ inventories. 

Across several distribution centers, a proof of concept used artificial intelligence to cover 10,000 products. The results found a reduction in inventories by 30% and as much as 40%. With the trial’s success, the solution will launch across Japan’s Lawson distribution centers in the coming months. 

Lawson is a supply chain of convenience stores and a Mitsubishi subsidiary; Mitsubishi Shokuhin operates its distribution centers. Shokuhin is the wholesaler of processed foods. 

Just like other growing economies, Japan has a severe food waste problem. 

According to the Ministry of Environment, over 19 million tons of food are thrown out annually? And from those, 9 million foods are thrown out even before expiration. 

Apart from being an environmental concern, businesses also have to face losses when the stock goes to waste. And that is where Industry One’s solution comes in place. The answer has a solid capability to shift how food inventory is managed. 

Mitsubishi Shokuhin’s President says it promises to raise efficiency, address customer problems, and optimizes the food distribution industry. It contributes to the sustainable development of regional communities. 

Other proof of concept will be escorted using blockchain and other technologies to address food waste. 

Besides this, Mitsubishi has formed three other business alliances with Toshiba Tec, Fujitsu, and LaKeel so Japan can develop DX services. Toshiba Tec offers retail solutions that generate statistical food sales data that Mitsubishi will use to build demand prediction. 

 

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