February 04, 2014

SIAM-ACMA announce 'AutoDX', auto industry-wide B2B data exchange standardisation initiative

SIAM and ACMA, the apex industry bodies for the automotive and the auto component industry respectively, announced the setting up of Auto Data Exchange 'AutoDX', an EDI platform for seamlessly integrating OEMs and suppliers on a common data exchange standard.
The AutoDX, to be formally launched during the forthcoming Auto Expo 2014, the Indian auto industry's flagship event, will help standardise transaction data definitions, automate data exchange amongst industry players, obviate manual data entries and provide data interchange capability across the automotive industry to enable a streamlined supply chain.

"Today, most auto OEMs as well as suppliers have mature IT platforms and technology-enabled transactional processes. Most of these IT interventions have been internally focused to improve the efficiencies of the respective organisations. However, these IT interventions have resulted in customised, company-specific documents and data formats resulting in significant additional efforts by the industry in integrating with each other," Vikram Kirloskar, President, SIAM.

"The respective IT Committees of SIAM and ACMA realised the need to come together for reducing the complexity and have been working on an action plan since 2010 which has now resulted in setting up of the EDI platform - AutoDX. The solution has undergone successful pilot testing by 10 companies and is now ready fora progressive roll-out. This common cloud-based platform canenableseamless information exchangenot just between OEMs and its Tier-1 suppliers, but also with the upstream value chain, logistics partners, financial institutions and others who servethe auto industry. Our broader visionis to facilitate adoption of standards wherever structured information is exchanged, be it in the form of electronic or paper document or labels such as barcode and RFID," said Harish Lakshman, President, ACMA.

Vijay Sethi, Chairman, SIAM IT Committee, added, "In a first-ever joint initiative between SIAM and ACMA, UN's EDIFACT-based standards have been adapted for standardisation of information exchange between OEMs and suppliers. While KPMG helped us in setting standards, IBM is our technology partner for this initiative. Exchange of information on various critical logistics and financial transactions like delivery schedules, commercial documents, logistics information etc., can be now done seamlessly between supply chain partners without any manual intervention. While improving efficiency, it will also lead to reduced transaction costs. The initiative makes digital collaboration amongst supply chain partners in the Indian automotive industry comparable to any industry globally."

Commenting on the benefits of the AutoDX, Ravi Machani, Chairman ACMA IT Committee, said, "An estimated 40 OEMs (SIAM members) and over 700 suppliers (ACMA members) are expected to leverage the IBM Sterling B2B Collaboration Network solution to derive business benefits through Standardisation of information exchange and use of Common EDI Technology Infrastructure which will address a long-standing hurdle that has prevented tighter collaboration between supply chain partners. It will increase supply chain efficiency, reduce transaction costs for both and in the long run, provide end-to-end tracking and traceability of goods across the supply chain."


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