Processes

Disposition

"Just-in-time" (JIT) means the sequentially aligned supply of variants of a technical component (JIT module) or the logistical mix of parts (packages) from external partners (suppliers or service providers of the supplier).

JIT delivery is based on a standard process for the brands and plants of the Volkswagen Group to which all JIT implementations are aligned. This process supports JIT information systems, standard information processes, and data interfaces to our suppliers.

New JIT connections can be implemented quickly. In addition, both parties can plan with considerable reliability.

We do not need to make major investments for connections. Suppliers offer ready-to-install software packages to software providers. Operational JIT processes in our plants are controlled by the delivery forecast on to the sequential request through to payment consistently with EDI. Manual intervention is not required. This minimizes ongoing process costs.

It is essential that JIT suppliers are linked to EDI consistently. With relevant integration, this leads to leaner processes and low process costs for the suppliers.

Electronic Data Interchange (EDI)

The supply process for production material, spare parts and general material in stock in the Volkswagen Group is supported by Electronic Data Interchange (EDI). EDI is taken by Volkswagen as the exchange of structured business data (such as supply call-offs, delivery and transport data, credit notes) and product data between our partners´ information systems and our in-house process control systems.

 Logistics material

Logistics material in the Group links partners along the entire value chain so that everything flows smoothly and stays transparently.

Core focus of the production system is on optimizing single workplaces. As these make up the biggest share of value-added, the whole material flow needs to externally and internally align itself to their requirements.

Our top priority is to ensure optimal availability of material at the workplace - under the aspects of time, volume, quality and ergonomics. The key tools for optimization are packaging and transport resources by which process elements and costs are determined.

The material flow is planned according to the line-back principle: Starting at the workplace, all supporting sub-processes are planned right back to the supplier.

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