WHOLESALE: The way of the future?
Mike McGregor, president of Quality Automotive Distribution Co. (QADCO) in Evansville, Ind., notes that the more data that becomes available, the more the need for a standardized system increases.
"We all have several lines with different part numbers these days, and with computerized inventory, it's so important to keep all of it straight," he says. "I believe that as hybrids and electric cars become available down the road, there will be even more parts — and thus it will become more difficult to maintain our businesses without some sort of data standards."
Duke Young, president of Cleveland-based Pat Young Service Co., agrees that using the standards can streamline the process of getting from factory to vehicle."As part manufacturers supply information to the marketplace in a single, uniform AAIA-compliant format, communicate that data and each user accepts that data and puts the data to use, the process will become shorter," he says. "This defined communication benefits both parties in the same fashion: cost savings.
"Producers only have to put their data into one format, which will allow them to get the data into the marketplace in a more timely way," Young continues. "The users will accept this data the same from each producer, which will in turn allow them to more easily extract the data for their own purposes."
McGregor hopes to see data standardization go beyond the manufacturer supply chain and infiltrate industry groups like the Automotive Distribution Network, of which he is a member.
"If I become good at a certain thing and another member becomes good at a certain thing, we should be able to sell to one another," he says. "We could be sitting on $10 million worth of inventory! So I see partnering within the warehouse groups as the way of the future."
RETAIL: If the system allows...
Chris Nierintz, director of fulfillment for Pep Boys Auto and a member of the Automotive Aftermarket Industry Association's (AAIA) Technology Standards and Solutions Committee, believes there will be more buy-in of the AAIA Catalog Enhanced Standard (ACES) once the bigger players in the industry — Pep Boys included — start using it regularly. The truth is, he adds, the proprietary systems Pep Boys and some other national companies already have in place are serving their needs adequately.
"We understand it is the correct thing to do, and we expect to make it a priority in the future," he says, adding that it is part of Pep Boys' five-year plan. "But not every (manufacturer) has bought into the standards, which makes it very difficult. They probably have 15 different ways to prepare data before sending to partners. Many are still floundering out there, and we're not ready to be the force that drives them to implementing.
"A couple of years ago, we brought our major suppliers into a meeting. We were getting a new catalog together and said we wanted to drive it with ACES. Many were nervous and stated they were not prepared for this," Nierintz recalls. "You ask some manufacturers about PIES (Product Information Exchange Standard) and they ask 'apple or cherry?'"
Tim Sturdevant, AAP, COO of SAE Warehouse and Sturdevant Auto Parts in Sioux Falls, S.D., is the incoming chair of the Automotive Warehouse Distributors Association. His main goal will be making sure the data standards become more available to mid-level and small distributors.
"Large retailers help iron out the wrinkles in the system," he says. "We hope small and mid-size stores can benefit. Having better data would get everyone on the same page. It would help clean out stock and solve a lot of inventory problems."
Nierintz is also part of the ACES Receivers Group, an AAIA subcommittee that aims to make the system work with appropriate changes, and he believes the group is making progress.
"In order to have everyone on board, we have to make some changes and slow down on the hype," he says.
For Sturdevant, time is of the essence. "It's very important to make sure we can find the product and take care of the customer. It might literally be a matter of seconds before they go to the next store. Having good, clean data will keep them with us," he explains.
"The aftermarket competition is intense," he concludes. "I foresee more graphics and more applications in the manufacturers' future, and standards can help us pull that together more effectively."
