Original Date: 08/07/1995
Revision Date: 01/18/2007
Information : Electronic Data Interchange
Lockheed Martin Tactical Aircraft Systems (LMTAS) has initiated electronic data interchange (EDI) with members of its supplier base for electronic exchange of routine business documents. This implementation of EDI was driven by top management to improve the procurement process. Cross-functional teams were formed to select suppliers to target, develop strategic planning, determine transaction sets, quantify the performance baseline, develop operating procedures and processes, and initiate training in the use of EDI.
The system works through a Value Added Network which is predominantly an electronic mail box. LMTAS transfers data such as purchase orders, funds, purchase order changes and supplements, requests for quote, and responses to request for quotes. Other data transfer is anticipated such as planning schedules, text messages, advanced ship notices, material safety data sheets, specification and technical information, and price sales catalogues.
EDI is presently used with 300 suppliers and encompasses approximately 80% of all purchase orders. LMTAS has benefitted by reduced inventory, lower data entry errors, decreased mailing, storage, and archiving costs, reduced order time, decreased paper and reproduction costs, more timely and accurate decision making information, and easier functional/process changes.
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