Management and Production Engineering Review

Abstract

In the assembly industry, almost all components are outsourced or transferred to other parties, in order to meet the need for supply. This is referred as outsourcing of production. The outsourcing of assembly product components is based on a relationship model between the contractor and the industry. However, there is no relationship or communication pattern between the contractor or supplier and the assembler. Hence, in order to accelerate line production and overcome problems with assembly components, the communication path is shortened by providing a direct communication channel between the assembler and the supplier or contractor, in order to communicate any problems that arise during the assembly process by internal communication within the industry. The purpose of this study is the design and development of a web-based software application electronic data interchange (EDI) that can be used as a tool for communication between the assembler and supplier. The EDI application provides formal communication between the assembly industry and the contractor providing the components or parts needed in the assembly process. The main purpose of using EDI technology is to help the assembler to communicate the relevant documents to suppliers quickly, accurately and efficiently. The documents to be communicated are in the form of reports or claims, and are related to non-conformities, errors and component difficulties arising during the assembly process. This research novelty is providing direct communication between assembly and supplier by using EDI application that can give contribution in manufacturing area so it can accelerate the line production in assembly.