EDIFACT is the appointed standard at Volvo Group as it is the backbone of modern supply chains giving opportunities and increasing production growth. Maintaining quality in Electronic Data Interchange (EDI) is crucial for ensuring accurate and smooth data exchange.
Effective communication is essential for the success of our collaboration. It ensures that all parties are aligned and cooperating efficiently which facilitates timely operational readiness. Clear and prompt communication helps to address issues quickly and achieve Volvo Group and supplier goals efficiently.
Contact your Volvo Group buyer.
Based on the demands the Volvo Group buyer initiates the EDI implementation process and submits the request to the EDI Team.
The EDI Team contacts the Supplier to start the EDI implementation process.
Throughout the implementation, the EDI Team will explain the necessary steps and answer any questions the Supplier may have and support the Supplier to perform a smooth and successful integration.
To successfully connect to EDI, suppliers must involve several different teams within their organization. Each team plays a crucial role in ensuring the seamless exchange of various EDI messages:
IT Team: communication setup, security, technical support
The IT team is responsible for setting up and configuring the EDI system, including choosing the appropriate communication protocol (OFTP2/AS2/VAN) and providing technical support.
Logistic Team: Coordination and order processing
Logistic Team is responsible for handling the EDI messages such as Delivery Schedules and shipping notices and is coordinating internal departments to ensure timely and accurate exchange of logistics-related information.
Finance Team: Invoicing compliance
Managing EDI messages related to invoicing, payment processing, and financial transactions. Ensuring that all financial data exchanged via EDI complies with regulatory requirements and internal policies.
Real-Time Monitoring: Continuously monitor data exchanges to identify errors promptly and address them in real-time .
Volvo Group is testing the EDI messages based on production data to follow industry-specific EDI standards.
This means that each EDI message when tested and approved contains accurate plant information, delivery and shipment details.
The core EDI messages that must correspond with each other are Delfor, Desadv and Invoice.
To connect to Volvo Group gateway the Supplier must choose the communication method (OFTP2/AS2/VAN). Volvo Group appoints direct connections using OFTP2 or AS2 protocols. If a supplier opts to use a VAN for their EDI connection, the supplier is responsible for maintaining the connection. This includes ensuring the reliability, security and performance of the VAN service to meet Volvo's standards and requirements.
The DELFOR (Delivery Forecast) message follows the UN/EDIFACT standard and is sent from a customer to a supplier to provide delivery schedule information. It provides firm and forecasted delivery requirements including details such as quantities, delivery dates, and locations. Volvo Group plants are sending DELFOR messages to notify suppliers of forecasted demands. This helps in maintaining a smooth supply chain by ensuring that suppliers are aware of future requirements, can prepare and ship their goods according to the business needs. By using DELFOR messages, companies can improve their supply chain efficiency and reduce the risk of stockouts or overproduction. EDI Team connects the DELFOR once the communication protocol (OFTP2 or AS2) has been successfully established and tested.
The DESADV (Despatch Advice) is sent from the supplier to the customer and includes information about the shipment. The provided information contains part information, date and time of the delivery, pallet and packaging details and many more. The Desadv must contain production information from the Delfor and is sent with the corresponding Transport Label therefore it is important that the information match to properly secure the shipment. EDI Team is testing the syntax and content of the Desadv and the Transport Label. We have created a Validation tool that improves the testing process of the DESADV, the supplier should upload and test the file to check the syntax and content quality in order to prepare the file for final approval from the EDI Team.
Once the DESADV is in production, it streamlines the supply chain.
The INVOICE is the electronic payment message that contains information from the DESADV. It replaces the paper/PDF Invoice which is the final step of the EDI implementation process. Each customer shipments can vary depending on the goods and services provided therefore EDI Team is testing one Invoice per customer to ensure high data quality.The EDI Invoice should be checked by the Supplier in the Validation tool for syntax verification and calculation rules. The EDI Invoice should also be checked by the Supplier in the Validation tool for syntax verification and calculation rules. Until the EDI Invoice for the specific Volvo Group plant is not established, the Supplier should send their Invoices by paper/PDF. Once the Volvo Group plant is connected to EDI Invoice, a switch is made from paper/PDF to EDI Invoices. The EDI Team sends a production e-mail as a confirmation to the Supplier to inform about the connection and the switch from paper/PDF to EDI Invoices. Once the switch is made, and EDI Invoice connection is established for the specific plant, the Supplier should send the Invoices only via EDI. Status of the sent Invoice can be checked in VVI at the Supplier Portal.