XML in the Auto Industry:Summer 2002

Sep. 6, 2002 12:00 AM

The automotive industry has been a leader in the use of EDI and EDIFACT over the past 20 years. The deployment of EDI processes down the supply chain has not been uniform, and a common expression to use is the "80/20" rule (e.g., 80% of EDI messages are sent by 20% of the companies). In 1997 the Automotive Industry Action Group (AIAG) did a study, the MAP (Manufacturing Assembly Pilot) project, and estimated a savings of $71 per car if EDI was consistently deployed.

There has been an everlasting goal of better communication in the supply chain. Complete connectivity would help to minimize risks in the manufacturing process by enabling trading partners to receive timely information on changing situations in manufacturing cycles. The MAP project listed improvements in error rates, reduced lead times, and less inventory as project goals.

When the World Wide Web Consortium released XML, many organizations envisioned that it would replace EDI. The AIAG started the XML/EDI Work Group and saw an opportunity to use XML to achieve the goals of the MAP project. However, there were so many methods of converting EDI to XML that a need for a single standard to use for business was created - ebXML - the organization that has on its masthead "enabling a global electronic market."

ebXML
The work on ebXML, a combination of UN/CEFACT and OASIS, was undertaken by an international group of workers over an 18-month period, and the AIAG and its member companies sent workers to take active roles in developing ebXML. The AIAG, which was represented on the original project teams, participated in one of the first demonstrations of ebXML in Tokyo in November 2000 and in the demonstration the following month in San Francisco. AIAG members have continued to work and lead in the continuing efforts of ebXML in both OASIS (Registry and Messaging) and UN/CEFACT (Business Process and Core Components). (Alan Kotok and Sig Handelman described the relationship between ebXML and the automotive industry in December 2001 in ActionLine, the publication of the AIAG.)

In the summer of 2001 the AIAG Work Group channeled its efforts into writing "Opportunity Assessments" of the use of XML and "Guidelines" for XML technology. The former include:

Esmart and COBRA: Two business processes from Ford Motor Company using XML

Critical response: A scenario to define a standard method to handle emergency situations in the supply chain

UDDI scenario document: A methodology to define the use of UDDI in the industry

The Guidelines include:

Digital signatures: The AIAG is outlining both the technical components of digital signatures and the business processes to use them. We've identified two uses of digital signatures as of this writing: (1) their use in ebXML messaging, and (2) the process of signing XML versions of "Quality Documents," the documents used for the automotive business practice of "signing off" on parts sent from one supplier to another

XML overview: An introduction to the XML documents of our work group

XML glossary: XML and business terms used in our work group

These documents, written by members of the work group, have been jointly edited during monthly meetings. Access is available to its members through "Eroom," an online collaboration tool licensed by the AIAG from Eroom Technologies.

At the same time, XML issues have been published in the "EDI Planner of the AIAG." Work is progressing to understand how the AIAG's XML messaging standard "E-5" could migrate to a base using ebXML.

In June 2002 the AIAG published a statement of direction (see www.aiag. org/whatsnew. html).The main points follow:

The AIAG recommends the use of XML 1.0, XML Schemas, and XML Stylesheets.

The AIAG recommends the use of OAGI Business Object Documents as a start for XML processes. The AIAG is simultaneously working toward the convergence of OAGI BODs and Core Components.

AIAG supports and endorses the adoption of ebXML as a standard for message routing in an automotive supply chain environment.

-However, it is recognized that ebXML today is largely untested in our industry.
-Software incorporating the ebXML messaging services is expected to be widely available to the automotive environment by 2003.
-As a means of supporting immediate requirements for IP message routing, AIAG continues to support the use of E5-2000, a currently available and tested guideline with automotive functionality.

The AIAG encourages its members to follow and work on the development of OASIS ebXML Collaboration Protocol Agreements, OASIS ebXML Registry, and the methodologies of UN/CEFACT including Business Process and Core Components.

The statement was approved by the AIAG board of directors.

STAR and ebXML
The AIAG concentrates on issues of the supply chain of the automotive industry. A similar organization is working on the dealer networks that connect car dealers to the factories. This organization, STAR - Standards in Automotive Retail - has been supporting ebXML messaging and was part of the Drummond Group's first round of testing of ebXML messaging. STAR and OAGI are jointly working on OAGI BODs to conduct their business, including parts, inventory, and credit (see www.starstandard.org).

AIAG, OAGI Collaborate to Support XML Strategy Position
AIAG has recognized the need to recommend a set of data communication strategies for the automotive industry. Automotive OEMs and Tier 1's have invested in traditional EDI (based on ANSI ASC X12 or EDIFACT standards) to move data between trading partners. When this technology satisfies the need and provides security and end-to-end reliability, why change?

AIAG understands that EDI will continue to be a viable form of business data exchange for years to come. However, two communities aren't satisfied: (1) the lower tiers, for the most part, continue to receive hard-copy documents, faxes, and telephone calls; and (2) at all levels of the supply chain there continue to be new business processes that require data communication. In both situations, where the investment has not been made, it makes sense to invest in new technology that can provide greater flexibility and functionality for fewer investment dollars. Hence, for XML schema development, AIAG has recommended the use of OAGI BODs and ebXML message routing for transporting the data.

Given the background of AIAG's involvement in international standards development, and the fact that OAGI has been recognized by UN/CEFACT as a capable provider of XML-based payloads, it seemed natural for AIAG and OAGI to collaborate in delivering solutions for the automotive industry. In support of this effort, and for starters, AIAG and OAGI have signed a Letter of Direction defining a formal working relationship.

It's become apparent at AIAG that there is a need to align the various internal work group efforts to a common methodology. With OAGIS 8.0 it's expected that business process models, data models, business process specification sheets, and document formats will take on a consistent appearance across work groups, and that schema development will be harmonized. Core components will be leveraged with existing OAGI BODs and will be reused as new documents are developed. If the foundation is built properly and consistently, when the next-generation technology surfaces these building blocks can be moved to the new syntax.

The exciting piece of this collaboration is that not only is there an opportunity to achieve alignment within the three vertical organizations of automotive (retail, supply chain, and aftermarket), but also horizontally across other industries that participate in OAGI. Critical mass could begin to surface that would potentially enable the enterprise to totally integrate communications and trading partner connectivity. Automotive OEMs have communications needs with companies in each of these related industries, and suppliers typically aren't 100% aligned with automotive. So there are significant benefits to a consistent, open architecture that can work across many vertical industries.

In support of this vision, AIAG and OAGI are collaborating to provide education and training opportunities for their work groups. At the time of this writing August workshops were scheduled at AIAG, specifically to educate the work group members in how to work in OAGIS 8.0. There was to be an Introduction to XML and OAGIS 8.0 workshop for subject matter experts from the business side and an Advanced OAGIS 8.0 workshop for people who will install and deploy the technical side. This offering aims to strengthen the AIAG work groups and attract new work group members. We anticipate that all parties should benefit, as learning will take place in a peer setting with expert instructors from OAGI. Future planning includes offering these materials in formal classes conducted by OAGI and AIAG. In addition, an "Introduction to XML and OAGIS 8.0" was scheduled for the day before the start of the Auto-Tech 2002 conference.

OAGI's August quarterly meeting at the Ritz Carlton in Dearborn, Michigan, was to be held in the automotive community to support the collaboration with AIAG. At this meeting AIAG project leads from specific work groups were to describe their projects, identify the problems needing resolution, and outline data communication needs. Formal OAGI work groups are being established to support the AIAG work groups. The benefit of this relationship is that the broad cross-section of solution providers at OAGI will have marketing needs delivered to their doorstep; AIAG will get expert support from solution providers who can incorporate industry needs into succeeding generations of product. The OAGI/AIAG collaboration should ensure the delivery of successful, more responsive solutions to the automotive industry. In addition, the cross-industry membership of the OAGI work groups will tend to support this same concept horizontally across many industries.

AIAG continues to work globally with its sister associations Odette and JAMA/JAPIA. And we are mutually developing global EDIFACT messages. It's hoped that all three organizations can align on an XML strategy as well.

Web Services
There is a groundswell of support for Web services, an important part of the XML picture. The AIAG's Directory Services and XML Work Groups have taken a start in this area by planning to launch a UDDI pilot in the automotive industry. This pilot would be used to gather information on directory services, registries, and businesses under a common UDDI framework. Several companies in the automotive industry are starting to use Web services for internal and external processes. It should be noted that DaimlerChrysler, one of the automakers, has joined the Web Services Interoperability Organization.

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The AIAG looks to use XML for creating standards for business. The automotive industry is global in scope, and thus we work on the global stage of ebXML. Over the next year we'll be looking for practical methods of using ebXML and OAGIS 8.0. At the same time we realize that both ebXML and Web services will be evolving and we will use the UDDI experience to start working with Web services. Over the coming years the continuing convergence of standards will enable new business collaborations to be developed using XML standards.

About Pat Snack
Pat Snack joined the Automotive Industry Action Group in December 2001 as an Executive Loan from General Motors Corporation. At AIAG she has oversight responsibility for the Electronic Commerce Steering Committee and its related work groups. This Committee has responsibility for assessing industry needs and providing solutions through the development of standards, implementation guidelines, training and education for the automotive supply chain. At GM, most of her career has been spent in Purchasing, Logistics, Production Control and Business Information Systems.

About Sig Handelman
Sig Handelman, a former research staff member at IBM TJ Watson
Research, has worked on several AIAG work groups,
receiving Outstanding Achievement Awards in 2000 and 2002; he is
currently cochair of the XML/EDI Work Group. He was technical editor
of the Proof of Concept team for the ebXML initiative.