Nestle Digital Head on Obstacles Faced in Implementing Its Blockchain Platform


As the world embraces the wonders and benefits of blockchain technology, companies are looking for the right set of skills to integrate this new technology into their systems. Nestle, the food retail giant, is having challenges implementing its ‘Chain of Origin’ food tracking blockchain solution.

In a published interview with TechWire Asia, Nestlé Digital Technology Manager Armin Nehzat, offered his insights on its blockchain project. Armin revealed the ongoing developments on the platform and the challenges the Switzerland based food company faces in implementing decentralized technologies. Despite the challenges, he believes its blockchain is a long term solution for its customers.

The company faces a huge challenge in integrating blockchain to its systems given the unfamiliarity with the technology. As a new technology, Armin expects the Nestle team to take a while before scaling to other offers. He said,

“It has been testing how quickly we can move as an organization to completely review how we do business. From sourcing products at the micro lot level, all the way through to tracking products individually to the end consumers […]. So I guess it’s more of a long term journey than a short term bet.”

The DAT Solution

The Chain of Origin allows Nestle customers to track their food on the blockchain giving a full record from the farm to the store. In an effort to Fastrack development of the Chain of Origin platform, Nestle launched a global acceleration program –DAT (Digital Acceleration Team). Armin explained,

“Members of the DAT also have the ability to go on missions to other Nestlé offices in order to propagate digital thinking and complete briefs based on brand & consumer problems and needs, usually on smaller budgets and condensed timelines.”

A Special Connection to Consumers

Nestle leverages data collected from its consumers to gain insight on their customers’ preferences and the blockchain project will be no different. Its success in technology is deeply rooted in involving customers in the development stages of the platform. Armin explained the blockchain is not a buzzword in the company but a real-life solution to its customers.

He concluded,

“We believe that blockchain is the enabler for organizations like Nestlé to deliver supply chain transparency but the ultimate value is ensuring freshness to consumers.”

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