Driving B2B Efficiency at GM Daewoo

Automotive OEM taps GXS for supply chain connectivity and integration solution

Automotive OEM taps GXS for supply chain connectivity and integration solution

Gaithersburg, MD — February 24, 2005 — GM Daewoo Auto and Technology (GM Daewoo) will use a B2B connectivity solution from GXS as its standard platform for managing and sharing supply chain information with its trading partners, the solution provider announced this week.

GM Daewoo, a designer of primary architecture for General Motors' small cars worldwide, selected GXS' Trading Grid solution as its B2B integration platform because it combines messaging and business process visibility, enabling the automotive manufacturer to streamline supply chain operations and reduce operating costs, GXS said.

GXS said that Trading Grid provides a continuum of connectivity, integration, visibility and interoperability services so that GM Daewoo and its suppliers can move from Web-based message exchange to more advanced process visibility and, eventually, end-to-end global process interoperability.

GM Daewoo will use the Trading Grid as part of a three-year agreement for GXS' electronic data interchange (EDI) services to automate global trading and drive process integration in the rapidly expanding Asian automotive industry. The automaker will be looking to the Trading Grid to help the company achieve more real-time process and product information flow, better inventory control, lower costs and end-to-end business process visibility on a global scale.

Enabling Global Connectivity

"This particular platform is for the Chevy Aveo, which is sold as the Opel Corsa in Europe and the Middle East," said Chang-tae Kim, deputy general manager of GM Daewoo. "By introducing the GXS Trading Grid we will enable greater global connectivity, increasing the number of current and potential suppliers that can quickly and cost-effectively connect to our supply chain, using automotive messaging and transport standards like ANX and ENX, from anywhere in the world."

GM Daewoo selected GXS over competing vendors based on the company's global presence, Korean support organization and supply chain expertise in China, India and the United States, according to the solution provider.

Ben Wong, vice president of Asia-Pacific operations at GXS, said that automotive companies are using the Trading Grid to ensure supply chain performance both globally and in Asia-Pacific. "In today's global automotive market, supply chain integration, visibility and interoperability can be the difference between just-in-time and just-in-case," Wong said.

GM Daewoo Auto and Technology, which is based in Incheon, Korea, was established in 2002. Currently the company has five manufacturing facilities in Korea, as well as an assembly facility in Vietnam. In addition, GM Daewoo products are assembled at GM facilities in China, Thailand, India and Colombia. In 2004, GM Daewoo sold over 900,000 vehicles, with exports to more than 140 countries.

Where should companies be focusing their efforts today to remain competitive tomorrow? See "What's Still Missing in B2B?," cover story in the June/July 2003 issue of iSource Business (now Supply & Demand Chain Executive) magazine for views on this issue from Procter & Gamble Chief Information Officer Stephen David.

More articles about GXS.