Henkel issues more than 60% of its documentation electronically and expands its electronic invoicing also to customers without EDI28. June 2012
Brno, 11th June 2012 – Henkel, one of the leading world suppliers of consumer goods, has substantially expanded its use of electronic communication. Besides the electronic interchange of documentation in EDI format, Henkel now sends invoices to selected customers in PDF. To achieve this, Henkel employs the Orion consolidation centre, which apart from the actual distribution of the documentation ensures its trustworthy archiving. These measures are a step forward in fulfilling Henkel’s sustainable development strategy. It is, indeed, built upon Henkel’s main communication pillar – the EDI communication in the UN/EDIFACT format, which is responsible for over 60% of all invoices issued by the company.
More than 10 types of electronic business and logistics documents
The implementation of paperless communication in the entire company represents one of the goals of the sustainable development strategy, which is part of the vision and culture at Henkel, a leading world producer of washing and cleaning detergents, cosmetics, adhesives and technologies. The digitalization was not reserved to the internal processes of the company, however, but was also conferred upon its partners, including those that had no previous experience with EDI.
The evidence of this is the company’s employment of the Orion consolidation centre’s services, provided by CCV Information systems, to issue electronic PDF invoices to customers, with whom they hitherto communicated via regular mail. Henkel was thus able to expand its current electronic data interchange in a structured EDI form, which is used to exchange thousands of documents every month not only with trading partners but also with suppliers of logistic services. Apart from invoices, Henkel makes use of more than 10 other different types of electronic business or logistic documents, including bills of delivery containing goods identification by SSCC codes, the exchange of which was pioneered in cooperation with AHOLD Czech Republic.
Customers welcome the improvement
The issuing of invoices in PDF was first employed in Henkel’s adhesives department, where according to Eva Malíková – customer service manager – it was met with great interest on the customers’ side, in both the lighter adhesives segment (AC), where one month saw 39 customers connect to the system (incl. Activa, Office Depot, Heva Wholesale, Koh-i-noor Hardtmuth), but also in the heavy adhesives segment, where the companies connected to electronic invoicing include such industry leaders as Škoda industries.
This innovation brings further substantial savings in terms of time and financial resources for Henkel. The customers welcome the fact that they are able to process the invoices, including exact invoice prices into their warehouse systems in the shortest possible time. Moreover all the information is delivered to an email address of their choice. Having received the bill of delivery they are thus not obliged to wait for the actual invoice for several days.
No need to implement
One of the interesting pieces of information about the project is the fact that there was no need to reserve time and resources for its implementation. Henkel was able to use its current SAP information system’s interface, where they simply opted for issuing output documentation in PDF via email. The data is then exported directly to the Orion consolidation centre, where an electronic signature is attached and then distributed to the required email addresses of any trading partner. Invoices are then stored in Orion’s invoice archive under relevant indexing, in a trustworthy manner and in compliance with applicable legislature.
Further benefits and uses
Henkel was also able to employ the service in another way. Henkel’s communication with the AHOLD chain, including all invoices which are processed via their shared services centre in Krakow, did not previously include the so-called bonus credit notes, which have thus far been processed in paper, but are now processed electronically at the Czech centre. Henkel is thus able, thanks to the service, to issue bonus credit notes directly from its Czech HQ in a legible PDF format, via the same system it uses for EDI communication. There is a possibility to combine the different EDI and PDF versions of the documentation via the consolidation centre. This enables for example a faster and easier way of processing corrected invoices, which are otherwise difficult to generate in a structured EDI communication.
More information about the ORION consolidation centre can be found here
Henkel offers its products and technologies worldwide in the following three segments: washing and cleaning detergents, cosmetics, adhesives and technologies. The company has been founded in 1876 and occupies a leading position on the market with consumer goods and industrial application, especially with its brand names such as Persil, Schwarzkopf or Loctite. Its headquarters is located in Düsseldorf, Germany and the company employs approximately 47 thousand employees worldwide and is one of the German companies with the highest international presence.
About CCV Information systems
CCV Information systems has been active on the market since 1992 and belongs to the important players in the sector of information systems provision, on the domestic scene. Our headquarters can be found in Brno ( CCV Business Solutions divisions) and we have branch offices in Brno (CCV eGovernment division), in Opava (CCV eBusiness division) and in Kysucké Nové Mesto (CCV Slovakia). We provide comprehensive solutions in developing, consultancy and implementation of business information systems (Microsoft Dynamics) and other software applications for selected sectors of industry. We specialize in developing solutions for electronic data interchange (EDI Orion solution), which ensures paperless interchange of business documentation. We also develop specialized solutions (registries, portals) for the state administration. CCV Information systems is a holder of the ISO 9001:2009 quality system certificate, a Microsoft Gold Certified Partner and an Oracle Gold Partner.