UNISOT makes Europe’s ‘Digital Product Passport’ easy to manage

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Supply chain data firm UNISOT is introducing a product to make it easier for companies to comply with the European Union’s new “Digital Product Passport” regulations. It is now onboarding clients to the service. The Oslo, Norway-based company said its DPP module would bring greater transparency and accountability in consumer products, benefiting everyone along the value chain, from raw materials suppliers to end users.

This means every stakeholder in a product’s production and life cycle can have instant access to all relevant data about the item. UNISOT said it ushers in a new era of efficiency, transparency, and accountability in how companies manage their products and interact with stakeholders.

Stakeholders in a product’s lifecycle include the ones mentioned above, plus all the unseen participants, which may consist of regulators and government standards authorities, marketers and advertisers, and those responsible for disposing of the product at the end of its life. It’s part of the EU’s mission to set high-quality standards for the products its member states produce and sell, both within the Union and around the world.

Congratulations on this fantastic collaboration! It’s inspiring to see how ProfilSport and Nordic Textile are leading the charge in sustainability and transparency.

By integrating UNISOT's DPP solution, the Telenor Xtra program not only elevates quality but also sets a new… pic.twitter.com/xJcTHQ0Cm2

— UNISOT (@UNISOT_) October 16, 2024

What is the Digital Product Passport?

The Digital Product Passport (DPP) is part of the European Union’s Ecodesign for Sustainable Products Regulation (ESPR), which was enacted in July 2024. All products sold within the EU must now feature the DPP, including data like a unique product identifier, compliance documentation, and any other relevant information. It also helps to address a common problem among many European manufacturers: authenticity and the spread of counterfeits.

“By offering a detailed digital record of a product’s lifecycle, the DPP will enhance supply chain management, ensure regulatory compliance, and help companies identify and mitigate risks related to authenticity and environmental impact,” the EU posted in September.

Full implementation will be phased in over the coming years, depending on the product category. Those considered to have more significant environmental impact or potential for improvement are first—such as batteries, the textile/apparel sector, and consumer electronics.

DPP data is designed to be visible and prominent. It also contains user manuals, safety instructions, and information on how to dispose of the product when the consumer has finished with it. All data will be open and publicly available, and the EU has stressed the emphasis it puts on open data principles, information accessibility/sharing, and standardization to deliver greater accountability for both consumers and those in the supply chain.

A long-standing criticism of EU product standards is the compliance burdens they place on businesses, increasing costs and consuming time that not all companies or individuals can afford. UNISOT’s easy-to-use, blockchain-based solution reduces much of this time/cost burden for the DPP. All information is stored permanently on the blockchain’s immutable record, allowing it to be audited by any stakeholder or prepared for submission to regulators in the correct format.

Complying with regulations like DPP would be arduous without fast digital communications and a verifiable data storage record. A fast, cheap, and scalable blockchain network can make it easier, provided companies like UNISOT create the most user-friendly interfaces.

Benefits to internal and external stakeholders

UNISOT said having access to all DPP data available as blockchain-based records benefits producers internally and external stakeholders. It fits perfectly with the company’s other supply-chain solutions, where it has worked with companies in the fashion and food industries.

“The benefit of our solution is that it is very scalable (and cost efficient),” said UNISOT CEO and co-founder Stephan Nilsson. This means that “a single producer/brand owner can start using it, entering their own product information, and then it can be scaled up with more and more suppliers, transporters, distributors, and retailers’ supply chain data.”

Its main functionalities are branded content or information about the product and producer, including marketing content; “Product DNA,” displayed as a tree diagram, information about raw ingredients; “Track and Trace,” with maps to show the provenance of a product since its manufacture; and data graphs, which may include energy consumption, temperature, and CO2 footprint where required.

Each product has its unique QR code that gives access to its DPP data. This can help with a brand’s narrative-building, marketing, and advertising, as DPP data can include rich content like images and videos. It may consist of additional features like loyalty certificates and customer feedback channels, maintaining both an economic and emotional relationship between the company and its customers.

In the case of a product recall or other bulletin, there are detailed records of all products produced and information on who owns them. Only those affected by the issue will be contacted. While this may seem like a privacy concern, even an open blockchain network can make this information accessible only to those with the authority.

Data integrity is the key to making all this work, and DPP wouldn’t work if digital information was routinely lost or could be altered. Blockchain records add an important layer of auditability to the process, and those adding data to the records can be held legally liable for any information they supply. UNISOT’s services combine all these requirements in a simple and elegant way, eventually leading to better quality products overall.

Watch: Supply chain traceability powered by blockchain tech