Editel Journal 1/2013 EN

EDITORIAL

FROM VISION TO REALITY

Peter Franzmair,CEO

Editel Austria

Anybody who is familiar with eCom activities involving Electronic Data In-terchange (EDI) most likely knows that large-scale change takes some time. It can be quite challenging to analyze logistics processes for entire indust-ries, bring all involved parties to the negotiating table, and cover the needs of many different companies and areas with the goal of eventually making things easier for everybody. In order to achieve this goal, it’s essential that standardizing bodies such as GS1 Austria, EDI and ERP service providers as well as companies in different industries work together very closely. What started out as a vision for optimization on a PowerPoint slide eventually be-comes a reality.TKL, a temperature-controlled logistics company, leverages this optimiz-ation potential. Read the interview with TKL’s managing partner Wilhelm Leithner on page 1 to learn about the company’s 650,000 yearly deliveries to customers and the essential role of EDI in making it happen. Electronic business processes guarantee reliability and efficiency, both for retailers and for manufacturers.Without electronic business processes, it would be impossible to meet the demand for traditionally made bread on the local Slovak market. Thanks to EDI and constant information exchange with EDITEL and its ERP business partners, small local bakeries can deliver their delicious products to large retailers, including TESCO and COOP. It is a real-life EDI success story.

The FMCG industry isn’t the only sector that is reaping the EDI benefits. In this issue, you will find articles about activities in the HORECA industry as well as the pharmaceutical and fashion industries in Austria and CEE countries.

I hope you enjoy reading this issue of EDITEL Journal!Peter Franzmair

Whether it’s ice cream or fresh fish: frozen food and perishable goods reach grocery store shelves within 24 hours of order placement. TKL, a tempe-rature-controlled logistics provider, guarantees this for each and every one of its 650,000 deliveries to customers per year. Without Electronic Data In-terchange (EDI), this would simply not be possible.

They make for a quick meal and are always readily available: demand for convenience food in grocery stores worldwide is steadily increasing. Fro-zen food and fresh products are espe-cially popular. Special storage and delivery conditions are needed so the ice cream doesn’t melt and the lettuce doesn’t wilt. Most retail stores rely on external logistics service providers to meet these storage and delivery condi-tions, which ultimately ensure cost-ef-ficient and reliable procurement of

goods. TKL, an Austrian company spe-cializing in temperature-controlled lo-gistics, frozen food and perishable pro-ducts, is the business partner of choice for REWE, MPreis and Zielpunkt. On-time merchandise delivery requi-res more than good equipment. Swift, error-free and transparent order and delivery processes are also imperative. And TKL is able to guarantee just that through Electronic Data Interchange (EDI) via the EDI platform eXite®.

Every year, TKL carries out roughly ARTICLES IN THIS ISSUE

The EDITEL Journal is published as a supplement to GS1 Information in a total of 13,000 copies. It is available inGerman, English as well as in Czech, Hungarian and Turkish for our international clients. To download the Journal as an epaper, please visit www.editel.eu. If you have any suggestions, please contact us at [email protected].

1 EDI in the logistics industry Wilhelm Leithner, managing director of TKL, speaks about meeting logistical challenges in the temperature-controlled logistics industry with the use of EDI.

2 Sanset Gıda, a well-established company, expands its EDI network The company uses EDI to optimize its processes and ultimately expand the firm’s market position.

3 Czech Republic: equal legal status for electronic and paper invoices Electronic and paper invoices now have the same legal status, resulting in an estimated savings potential of approximately 8 billion euro in Europe. EDITEL CZ supports the HORECA industry Taking procurement of goods operations to the next level with electronic proces-ses: large untapped potential in the HORECA industry in the Czech Republic.

4 EDITEL Hungary celebrates its anniversary EDITEL Hungary has been optimizing suppply chain processes for renowned companies in the FMCG, DIY and other industries for five years. Small bakeries in Slovakia embrace automated processes Thanks to EDI solutions, small bakeries in Slovakia are now able to sell their traditionally made bread to large retail stores.

editelJOURNAL

SERVED ON THE ROCKS

1|2013

EDITEL Austria is moving! Our new corporate address: Brahmsplatz 3, 1040 Vienna. All phone numbers and e-mail addresses remain unchanged. We look forward to hearing from you!

Our new EDITEL company video presentation is now available! www.editel.eu

REWE International AG and EDITEL Austria spread the word about electronic invoicing in Austria. www.editel.at/en/news/eBilling_2013_EN

Falkensteiner Hotels & Residences successfully implemented Electronic Data Interchange with EDITEL and eXite®. www.editel.at/en/news/HGV_Symposium_EN

Sport 2000 and EDITEL: a joint commitment to advancing EDI in the fashion industry: www.editel.at/en/media/publications/videos/EN

EDITEL CZ and MAKRO/METRO: an event dedicated to SSCC and e-invoicing www.editel.at/en/news/EDITEL_CZ_MAKRO_EVENT_EN

Leading pharmaceutical companies and Austrian wholesalers jointly compile new EANCOM® guide-lines for Electronic Data Interchange. http://www.editel.at/files_at/Press_Release_Phar-ma_EDI_EN%281%29.pdf

Enjoy EDITEL News at your leisure! Follow us on

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A QUICK UPDATE

V I E N N A | P R A G U E | B R AT I S L AVA | B U D A P E S T | I S TA N B U L

C O R P O R A T E M A G A Z I N E O F T H E E D I T E L G R O U P

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IN BRIEF+ EDI communication via eXite® + Four million EDI transactions per year+ EDI messages + Orders (ORDERS) + Despatch advices (DESADV) + Invoices (INVOIC) + Instruction messages (IFTMIN) + Inventory reports (INVRPT) + Receiving advice messages (RECADV)+ Order-picking of 120,000 tons of merchandise

per year+ 650,000 client orders per year

ABOUT TKL TKL’s temperature-controlled logistics division employs a staff of 420 at three storage locations and 14 transfer stations throughout Austria. The company-owned vehicle fleet includes approxima-tely 120 delivery vehicles for secondary distribution as well as 60 tractor-trailers for primary distribution. The company annually stores and distributes 124,000 tons of frozen food, perishable products and dried products for clients in retail and food and beverage at its distribution centers.

www.tkl.at

four million EDI transactions, inclu-ding orders (ORDERS), despatch ad-vices (DESADV), invoices (INVOIC) and inventory reports (INVRPT) with manufacturers, retailers and other service providers. We’ve interviewed Wilhelm Leithner, managing director of TKL, who gives us insight into this logistical challenge and the high rele-vance of EDI for his “chilly” business.

EDITEL Journal: TKL specializes in temperature-controlled logistics. What is the major difference bet-ween you and other logistics service providers?Leithner: At TKL, everything revol-ves around temperature. We must en-sure that a minimum temperature bet-ween -24 and -26 degrees Celsius is maintained at all times for frozen food in storage and -18 degrees during ship-ping. In the case of perishable goods, the temperature must be between +1 and +4 degrees. This requires special equipment. Our truck fleet is equipped with a special platform for two tempe-rature areas. Thanks to a partition wall and two condensers, we can transport

frozen food and perishable goods at the same time, which makes sense financi-ally and helps protect the environment. Our satellite-based monitoring system enables us to verify that the right tem-perature is maintained during the enti-re shipping process.

And this approach is quite convenient for your customers, isn’t it? Exactly. Our specialized storage and delivery processes take a considerab-le workload off our clients’ hands. Another plus is that not every single manufacturer has to have merchandi-se shipped to every single retail store, which would be quite an inefficient process. Instead, we consolidate or-ders, both on the retailer and on the manufacturer side. This allows us to optimize procurement of goods in the areas of frozen food and perishable goods, which ultimately translates into a minimum number of delivery runs with maximum product availability.

How exactly does that work?We rely on different logistics models, one of them being the multi-user mo-del for order picking and secondary merchandise distribution, especially for retail clients. That means that BILLA, MPreis, Penny and Zielpunkt all recei-ve merchandise from the same pallet of peas, for example. The merchandi-se belongs to the manufacturer until it has been delivered to the retail store. We take care of order picking from this pallet for different grocery stores and bill the merchandise cost and our ser-vice cost to the retailer. Subsequently,

we report the merchandise value to the manufacturer.

This is where Electronic Data Inter-change (EDI) usually comes in… That’s right, and we use EDI not only for invoicing purposes. At TKL, we map all processes electronically, ran-ging from purchase orders, receipt of goods to delivery and invoicing. Since we have a 24-hour delivery guarantee (and delivery deadlines are even tigh-ter for perishable goods), we wouldn’t be able to do it otherwise. We receive several hundred thousand orders per year and we exchange a total of more than four million EDI messages with our business partners. Just imagine the amount of work involved if we were to do that manually, not to mention the error potential.

How do you manage such a high data volume?Reliable IT systems are paramount. For our data exchange processes, we rely on eXite®, an EDI platform by EDITEL. It allows us to reach all our clients with a single connection, which reduces com-plexity and gives us more bandwidth to integrate the data into our ERP system. In addition to that, our many years’ ex-perience and detailed knowledge about our clients’ needs are also important prerequisites for this high degree of automation, both in terms of quality and quantity.

Which logistics services does TKL offer? Manufacturers, for example, can choose additional planning services. Depen-

ding on the client, we can manage all processes or electronically provide the data the manufacturer needs to replenish merchandise. All manufacturers can use KUNDIS, our logistics platform, to view their latest inventory levels for all articles with estimates regarding time left until inventory depletion and rep-lenishing volume. In addition to storing the products, we usually also take care of all shipping processes. This allows us to optimize transport capacities at different stages, starting from pick-up at the manufacturers’ facilities all the way to the transfer at our central storage fa-cility. Orders are processed via EDI at all times.

Which markets and industries do you plan to focus on in the future?We are currently turning our attention to eastern European countries. One reason is geography and the other rea-son is the fact that it is easy to reach out to companies in this region with our EDI platform, eXite®. In Hungary and Slovakia, we already offer tradi-tional shipping and haulage services for frozen food. In Austria, we see a lot of untapped potential for services in the food and beverage industry. Many manufacturers deliver their pro-ducts directly to restaurants, catering businesses or hotels, which opens up many opportunities for consolidating merchandise flows and taking logistics efficiency to the next level.

Mr. Leithner, thank you very much for this interview. n

Sanset Gıda is one of Turkey’s most popular confectionery ma-nufacturers. Its brands include Ta-

delle, Sarelle and Sagra. The company uses EDI to optimize its pro-cesses. The ultimate goal is to expand the company’s market position.

Atila Kardan, Informa-tion Systems Manager at Sanset Gıda’s, ex-plains the benefits of EDI: “Thanks to the integrated use of elec-tronic supply chain

processes, which we cur-rently use only for orders,

we have already seen a significant impro-vement in delivery quality involving our retail clients. As a second step, we will

implement electronic despatch advices, receipt advices and invoices, which will allow us to optimize the entire procure-ment of goods process. EDITEL Turkey has been a strong and supportive part-ner in this project and there is no doubt we will continue our business relations-hip with EDITEL Turkey for our EDI needs.” n

www.sansetgida.com.trwww.editel.com.tr

SANSET GIDA, A WELL-ESTABLISHED TURKISH COMPANY, RELIES ON AN EDI SOLUTION BY EDITEL

NEWS TURKEY

According to Wilhelm Leithner, managing director, EDI is essential for successful merchandise logi-stics. Every year, TKL fills roughly 650,000 client orders.

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EQUAL LEGAL STATUS FOR ELECTRONIC AND PAPER INVOICES

The savings potential associated with the fact that electronic and paper invoices now have equal legal status in Europe is estima-ted at approximately 8 billion euro. As of 1 January 2013, the EU directive 2010/45/EU also became effective in the Czech Republic.

OPTIMIZING PROCESSES IN THE CZECH HORECA INDUSTRY

EDI WORKSHOP SERIES ORGANIZED BY EDITEL SK AND COOP JEDNOTA

NEWS CZECH REPUBLIC

NEWS SLOVAKIA

The hotel, restaurant and ca-tering sector has much to gain from Electronic Data Interchan-ge (EDI) in terms of process op-timization. EDI takes order ma-nagement processes to the next level, ensures that master data is always up to date and that inven-tory is continuously replenished. In addition, EDI can be used for checking invoices automatically. Ultimately, EDI helps save mo-ney and greatly improves colla-boration processes with business partners. The same holds true for

business partners’ competitive-ness. EDITEL CZ helps Czech companies in the HORECA in-dustry implement and use Elec-tronic Data Interchange to make their business processes more efficient. EDITEL’s successful track record in this sector inclu-des projects with Falkensteiner Hotels and Sodexo Austria. n

For further information, please contact:

[email protected], www.editel.cz

In collaboration with JOOP Jed-nota, Slovakia’s largest grocery store chain, EDITEL SK orga-nized a workshops series dedica-ted to supply chain optimization with Electronic Data Interchan-ge (EDI). These workshops were held earlier this year at cities throughout Slovakia. The goal was to inform small and regio-nal suppliers of the advantages and benefits associated with EDI and to encourage them to join the COOP EDI community. The-

se workshops were so successful that additional ones will be orga-nized throughout Slovakia in the second half of the year. n

www.coop.skwww.editel.sk

At this year’s e-invoicing se-minar, which was organized in collaboration with the law

offices of CEAG Ltd., EDITEL CZ’s clients and business partners learned about the requirements defined in the EU directive that creates the same le-gal status for electronic and paper in-voices. The seminar focused on practi-cal solutions for handling electronic documents. In addition, one of the speakers, Barbara Procházková, a la-wyer with CEAG Ltd., introduced par-ticipants to the legally compliant use of digital signature with time stamp as well as the regulations regarding the archiving of electronic invoices.

ECR CZ RECOMMENDS DIGITAL SIGNATUREThere have been no changes in the re-quirements concerning companies’ ob-ligation to ensure authenticity of the origin, content integrity and readability of electronic documents. At ECR CZ, there is general agreement to stick to the use of digital signature. This pro-cess has been used in the Czech Re-public and in Slovakia for more than ten years. According to ECR CZ, it is the best way to ensure safe and legally compliant electronic invoicing proces-ses both now and in the future. n

For more information, please visit www.editel.cz/en/products- services/products/e-billing

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EDITEL HUNGARY CELEBRATES ITS 5TH BIRTHDAY

NEWS HUNGARY

EDITEL Hungary, EDITEL’s Hungarian subsidiary, is celebra-ting its fifth year of successful business operations on the local EDI market. Thanks to the EDI services provided by EDITEL Hungary, a large range of com-panies were able to considerably optimize their supply chain pro-cesses: renowned companies in the FMCG and DIY industries, including Alföldi Tej, Élésker, Törley, Penny, Coop Hungary and bauMax as well as large corporations such as the oil gi-

ant Lukoil and Leaseplan, a fleet management company.No matter the company size or in-dustry, we have the right solution for every situation: EDITEL Hun-gary’s services run the gamut from fully integrated EDI to web-EDI. As an EDI services provider, EDI-TEL Hungary strives to continue helping its clients optimize and au-tomate business processes via EDI across all industries. n

[email protected]

Slovakia is the place to be for any-body who cherishes the craft of traditional bread. The latest de-

velopment in the local grocery retail in-dustry will delight all bread enthusiasts: thanks to rising demand, regional and traditionally made bread and related pro-ducts are no longer limited to bakeries, but are also sold at local grocery stores. It’s highly convenient for consumers and lucrative for small local bakeries. In or-der for local bakeries to qualify as sup-pliers for BILLA, COOP and TESCO, they must meet quite a few requirements imposed by these retail companies. One of the basic requirements is the use of EDI (Electronic Data Interchange) to efficiently process the significant order

volume, which results not from large quantities, but from a remarkably high delivery frequency. Local bakeries usual-ly deliver their products to grocery sto-res two to three times per day, seven days a week. Given the large amount of sales locations, it is easy to see that there is substantial potential for improving pro-cesses by using EDI. At the onset, small bakeries had reservations about giving up the manual ordering processes they had used for a long time. A comprehen-sive information campaign organized by EDITEL SK in collaboration with local providers of ERP systems helped the ba-kery industry overcome their reluctance and realize the benefits associated with Electronic Data Interchange (EDI).

AFFORDABLE SOLUTIONS FOR PROCESS OPTIMIZATION

There was one key success factor that made all the difference: an inexpensive EDI module by EDITEL, which seam-lessly integrated into the bakeries‘ diffe-rent ERP systems. Small bakeries did not have to purchase any additional software, nor did they need to have specialized EDI expertise to meet the requirements of their retail clients. The EDI module enables bakeries to process orders elec-tronically, provide inventory reports, take care of accounting, print labels and GS1 codes and to manage processes automati-cally. Currently, 70 bakeries throughout Slovakia electronically exchange orders and invoices with their business partners in the retail sector, making sure that their fresh bread is always readily available on grocery store shelves. Thanks to their connection to eXite®, a platform by EDI-TEL, all small bakeries can exchange EDI data with the entire Slovak retail sector.

Would you like to learn more? Please contact us:

[email protected]; www.editel.sk

Traditionally made bread is usually only available at local bakeries. That’s not the case in Slovakia, where small bakeries deliver their baked goods, accom-panied by that magical just-out-of-the-oven smell, directly to large grocery chains. Electronic merchandise procurement processes make it happen.

FRESHLY MADE INNOVATIONS

IMPRINTOwner and publisher: EDITEL Austria GmbH,1040 Vienna, Brahmsplatz 3; T: +43 (0)1/505 86 02; E-Mail: [email protected]

EDITEL Austria GmbH is a wholly-owned subsidiary of GS1 Austria GmbH. The corporate objective of EDITEL Austria GmbH is the elec-tronic data exchange between business partners, the sale of the required software and support services.

Management and responsible for the content: Peter Franzmair Editorial staff: Sylvia M. Gerber Proofreading & Translations EN: Dagmar Jenner, www.texterei.com Translations CZ, HU: Petra Vosyková, Mihaly Viszkei Layout: www.creativedirector.cc

Disclosure pursuant to Austrian Media Law as amended in March 2009: the purpose of this newsletter is the promotion and support of EDI-TEL Austria‘s business activities.

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