EDI as a high-performance engine for Alpine Electronics

Alpine Electronics: EDI solutions for the automotive industry

The factors that have significantly impacted the automotive industry include supply chain bottlenecks, the shift to electronic mobility, but also geopolitical challenges. Demanding times like these call for automated, streamlined, and efficient supply chain processes. For Alpine Electronics Manufacturing of Europe Ltd., Electronic Data Interchange (EDI) has been the major driving force behind optimized workflows across the entire value chain.

There is no doubt that the automotive industry is at a crossroads. Businesses face numerous challenges, not least maintaining stability across their own supply chains. This can make or break competitiveness, which is a key priority for Alpine Electronics, a manufacturer of audio and navigation devices, multimedia systems, and infotainment solutions. In an environment like this, standing still means falling behind.

Next-level precision with VMI

Alpine Electronics has been relying on Electronic Data Interchange (EDI) since 2015. With the introduction of its Vendor Managed Inventory (VMI) concept, Alpine aims to connect not only customers, but also as many suppliers as possible via digital processes. Suppliers include leading European companies such as MURATA, KOA Europe, ROHM Semiconductor as well as businesses from the Far East. Worldwide, Alpine collaborates with nearly 40 partners via EDI.

First steps and the benefits of EDI

EDI made the need for reconciling Excel spreadsheets a thing of the past, and the many practical benefits of EDI soon convinced everyone. Virtually all corporate areas benefited from automated workflows, lower error rates, and, first and foremost, improved planning accuracy.

Éva Varga-Borsath, a logistics expert at Alpine Electronics, explains: “The automotive industry operates under a lot of time pressure because logistics processes oftentimes need to be timed down to the minute. Even small delays can have major effects. Errors in the EDI process practically never occur and are always a result of insufficient data preparation or internal system issues.”

Continuous evolvement and EDI for smaller partners

To connect small business partners who do not have their own EDI infrastructure, Alpine Electronics offers a web-based EDI solution. This solution allows smaller companies to participate in Electronic Data Interchange. Thanks to this extension, all suppliers are seamlessly integrated into the supply chain, regardless of their technical equipment.

Extending digital processes

In addition to basic processes such as:

• Long-term forecasts (DELFOR),
• Orders (ORDERS),
• Change orders (ORDCHG),
• Order confirmations (ORDRSP),
• Invoices (INVOIC),

the EDI process landscape now also includes additional areas such as:

• Inventory reports (INVRPT),
• Acknowledgments of receipt (RECADV),
• Payment advices (REMADV).

The exchange of forecast data with suppliers, which sometimes happens on a daily basis, allows for precise coordination across the entire supply chain.Formularende

EDI as a key element of the automotive industry

Éva Varga-Borsath summarizes the relevance of EDI as follows: “A key benefit of EDI is that it fully automates processes, making manual intervention obsolete. In the automotive industry, EDI has become a minimum requirement and ultimately offers nothing but advantages.” She also highlights the excellent collaboration with EDITEL, which supports Alpine Electronics in all questions and challenges.