Dark spots in supply chains cause human suffering and environmental damage. Modern slavery, for example, generates USD 1.5 billion in profits each year. Supply chain pollution, from toxic waste to deforestation, accounts for 90 per cent of companies’ environmental impact. The global cost of corruption amounts to 5 per cent of world gross domestic product, and counterfeiting, estimated at 3.3 per cent of world trade, endangers lives with fake products such as medicines and aviation parts.
“Companies need to have more control over their supply chains; otherwise, they risk a loss of reputation and legal consequences, in addition to causing harm to people and the planet,” says Grimsgaard.
Orixe is a browser-based, SaaS platform that gives companies control over their supply chains. “Our solution ensures that buyers can hold their suppliers to the highest quality and ethical standards,” says Grimsgaard.
The platform sheds light on suppliers’ production and procurement processes. This includes digital and simplified auditing, which enables businesses to flow down audits to subsuppliers, ensuring that every part of the chain is compliant. The platform also allows businesses to securely and efficiently track components and goods, giving a total overview of product information and details which cannot be edited as the product moves through the supply chain.
“Companies can also score themselves on the Ten Principles of the UN Global Compact and flow these down through the entire supply chain. Compliance codes of conduct can be flowed down as well,” says Grimsgaard.
Orixe combines database and blockchain technology, making the platform immutable, user friendly and, unlike other blockchain solutions, highly energy efficient.
Orixe helps buyers and suppliers to cooperate on sustainability.
“Sustainability is all about adherence to the UN Sustainable Development Goals. Companies need to prove that their activities support human rights and environmental health. Our solution lets them invite suppliers into the Orixe network so they can show this too,” says Grimsgaard.
In addition, Orixe helps to ensure compliance with supply chain regulations and develop trust between buyers and suppliers. The solution is available to all, from large international companies to small-scale suppliers around the world.
“The Orixe platform is simple and cost-efficient,” says Grimsgaard. “Companies lower down in the supply chain don’t have the money, know-how or skills to use the advanced, costly tech solutions on the market today. We are disrupting this – ‘democratising’ the process, if you will.”
Companies are seeking to mitigate the problem of lost revenue from unethical suppliers. “SMEs in some industries spend USD 14 000 each year to avoid counterfeit goods and other procurement problems. As such, we have seen a willingness to pay for solutions that would lower these costs,” says Grimsgaard.
Orixe’s target customers are aviation, defence and electronics companies. After successful pilots in Norway and Sri Lanka, the solution is now on the market with an initial focus on Europe.
“I haven’t found anyone doing exactly what we do. Our ultimate goal is to make it worldwide. We have a social agenda, and we want to make a positive impact,” concludes Grimsgaard.
At a glance
The Orixe platform is in use by a pilot customer and being implemented in other companies.
Gamle Drammensvei 40, 1369 STABEKK, Norway
3. Good health and well-being
Orixe helps companies to avoid supply chain pollution and counterfeit goods, thereby helping to reduce death and illness from hazardous chemicals, air, water and soil pollution and contamination, and fake products.
5. Gender equality
Orixe helps companies to uncover and end employment discrimination against women.
8. Decent work and economic growth
Orixe helps companies to uncover and end unethical labour practices in supply chains.
9. Industry, innovation and infrastructure
Orixe increases transparency and accountability in supply chains, making companies more sustainable and reducing environmental impact.