VW joins supply chain data network for 'valuable synergies'

29 April 2021

Volkswagen (VW) is the latest carmaker to join Catena-X, a data network that seeks to increase efficiency and transparency in automotive supply chains.

The network – made up of 25 partners including BMW, Mercedes and Siemens – aims to create uniform standards for the flow of data and information in the automotive value chain. 

These standards would then serve as the basis for a digital ecosystem in which automobile manufacturers and suppliers, dealer associations as well as technology suppliers can take part, the carmaker said. 

VW said its involvement in Catena-X would further work towards promoting the networking of its global value chains with more than 40,000 suppliers and partners.

In 2019 it developed the ‘Industrial Cloud’ together with AWS and Siemens to enable partners to connect with VW sites.

The carmaker said Catena-X will create “valuable synergies for expanding the Industrial Cloud, which Volkswagen uses to connect its factories, suppliers and industrial partners with each other”.

“This will facilitate the even faster development of software applications based on industry standards and the seamless scaling thereof across all the partners,” it said.

Gerd Walker, head of production and logistics at VW, said: “Data is a key driver for Volkswagen on the path to becoming a sustainable digital company and can become even more important, if we share certain data across corporate boundaries. 

“To tap into the full potential of a data network, we need uniform standards and common principles. With Catena-X, we are creating this valuable foundation to enhance our productivity through the secure and sovereign sharing of data and improve transparency along our supply chains.”

Murat Aksel, member of the board of management of Volkswagen AG, added: “Digitalisation and networking play a key role for the production and supply chains of the future. On the one hand, constantly connected data chains from the supplier to the manufacturer enable the flows of material to be organised more efficiently, meaning supply bottlenecks can be identified early on. 

“On the other hand, digitalisation helps us to strengthen processes for observing environmental protection and human rights standards and to make supply chains even more transparent on these sensitive points.”

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