S.Spitz encourages electronic order processing

With Backaldrin joining its supplier base, S.Spitz encourages all suppliers to introduce electronic order processing

S.Spitz, a food manufacturer, and its supplier Backaldrin expect considerable benefits from the electronic exchange of orders, order responses and dispatch advices.  To achieve just that, these two renowned companies based in Upper Austria rely on the expertise of Austria’s market leader in all things EDI: EDITEL. Spitz has introduced electronic communication with many suppliers. Roughly one third of all order items are processed digitally. As an mid-term goal, S.Spitz plans to reach 50 % by the end of the year, with more to follow.

Supply chain digitalization via EDI is an increasingly important issue for the interaction between manufacturing businesses and their pre-suppliers. For the technical implementation, the food and beverage manufacturer S.Spitz, who is based in Upper Austria, relies on the expertise of EDITEL, Austria’s leading EDI service provider. The latest addition to the electronic network of S.Spitz is Backaldrin, a baking goods provider and inventor of the kornspitz also based in Upper Austria. As of today, S.Spitz relies on electronic communication with 25 of its biggest raw material providers. The main goal is to increase quality through the paperless processing of orders, order responses and despatch advices. Walter Scherb, managing director of Spitz, elaborated:

“The main advantage of EDI is full traceability made possible by the use of supplier data. In addition, EDI increases the efficiency of the goods receipt process. To us, this is not so much about saving a specific amount of money, but about making our processes more secure, more efficient and having no system inconsistencies.”

Reliable support is key

“In practice, the process looks like this: S. Spitz orders high-quality raw materials for baking goods from Backaldrin. After placing the order, we immediately receive confirmation from Backaldrin in the form of an order response. In addition, electronic despatch advices ensure that the route of the merchandise can be traced without any system inconsistencies,” said Gerd Marlovits, the CEO of EDITEL. “Reliable support is a key element of successful collaboration,” said Mr. Scherb, which explains why his company has been using the services of the Vienna-based IT company EDITEL since 1991. “We are very happy with how things have evolved. As of today, we exchange thousands of order items electronically. And yet, digitalization isn’t something that can be introduced overnight. We still have a way to go,” Mr. Scherb said about the company’s plans for the future.

EDI improves business relationships

S.Spitz currently exchanges roughly one third of all order positions via EDI. By the end of the year, the company plans to increase this percentage to 50 percent. Ultimately, S.Spitz wants to gradually include suppliers in the process it has been using on the (retail) client side. For Mr. Scherb, the benefits for companies with well-defined standards are quite obvious: “If all processes are straightforward and standardized, automation via EDI is the next logical step,” he said. EDI also improves business relationships among companies. Gerd Marlovits, the CEO of EDITEL, highlights the pioneering role embodied by this Upper-Austrian company: “S.Spitz is a renowned business that has learned from its experience working with retailers. Once again it is a true trailblazer. We look forward to assisting S.Spitz now and in the future with our reliable and innovative solutions.”