Our Supply Chain Management Mission and Vision
To meet the high expectations of our customers for world class products and processes, AVL purchasing is committed to efficiently acquiring goods and services at the most competitive supply chain cost, with the highest quality and at optimal delivery conditions in accordance with the TCO (total cost of ownership) consideration.
Therefore, AVL purchasing pursues targets to successfully enable a seamless process execution from our suppliers to AVL's internal processes.
These are our values we work by in purchasing:
- Focus on early involvement within entire supply chain
- Work for reliable solutions
- Continuously develop and improve supplier cooperation
- Proactive in insuring high quality products
- Value process oriented thinking
- Grow eProcurement processes
How to Become Our Supplier
Your product and service range fit to our requirements and values? Follow our standardized process to get on the fast track to be one of our suppliers.
To be considered as a potential supplier, start by registering on our interactive SRM-Portal.
Make sure to fill in all required fields regarding your company, your products and services as well as your contact details. Feel free to add all valuable documents presenting your business and product range interesting for AVL.
Once we have received your application, AVL purchasing will check your provided information. In case of approval, you will be registered as a potential new supplier to AVL within the stated material groups (classification) and thus get the chance to participate in SRM events via the portal.
In case of approval, a user account for the SRM-Portal will then be submitted to the indicated email address.
On AVL's SRM-Portal you can update your supplier information on a regular basis, upload documents, accept contracts and follow the invitation to participate in SRM-events such as Request for Quotations (RFQ), Request for Information (RFI) or eAuctions.
Please be aware that the completion of the online registration does not guarantee that you will be selected as an AVL supplier, but it is certainly the first step.
By means of the SRM-Portal AVL Purchasing maintains a global database of approved, established suppliers accessible for AVL purchasing departments worldwide. The performance of these suppliers is continually assessed and evaluated. Whilst commercial issues like price and payment terms are important, we will always also consider quality, reliability, timely delivery and customer support.
AVL Supplier Day
Every year we invite our top suppliers to spend an interesting afternoon at Helmut List Halle together with us. Highlight of the event is the award ceremony during which our CEO Helmut List congratulates our top supplier on their outstanding performance.
Get some impressions from our AVL Supplier Day 2021
The following material groups are procured regularly by our Purchasing departments.
For Instrumentation and Test Systems
Electronic devices, electrical motors, switching elements, cables/connectors, printed boards, heating and cooling elements, sensors, drivers, switch cabinets, hydraulic and pneumatic components, pumps, filters, heat exchangers, raw materials
Plate bending and plate shell moulds, complex assembles, chip removing processes, as milling and turning, casting components, plastic components and shell moulds
Electrical dynamometer, control cabinets, control electronics, spare parts and maintenance, casted baseplates, mechanical production of components, containerised testbed systems, measuring, checking and controlling systems, gear boxes, complete mechanical systems, couplings and shafts, conditioning systems
For Powertrain Engineering
Cylinder head, cylinder block, crank shaft, cam shaft, piston system, injection system, standard parts, all parts required for engine assembling
Rapid prototyping, material testing, material development
Engine test rig, chassis dynamometer
For Non-Productive Materials
Technical gases, chemicals, tools, consumables, fuels, lubricants, oils and greases etc.
Software, IT hardware, IT accessories, etc.
Technical services, translation, contracts of work labour and theses etc.
Building industry, subconstruction work (tradespeople), technical furniture of buildings, maintenance and repair for utilities, factory equipments, transport systems, laboratory technology, tooling equipment
If you are interested in establishing electronic data interchange between your and our ERP system, please consider the following preconditions.
- AVL Purchasing welcomes eProcurement applications designed for an efficient and optimized supply chain which reduces transaction and handling costs and enables automated timely information exchange.
- AVL started with electronic purchasing processes by introducing an electronic requisition and approval tool as well as workflow. For a couple of years we implemented article ranges of key suppliers on our electronic catalogue portal and realize EDI (electronic data interchange) solutions supported by a service provider. Catalogues are created according to international standards (eClass >4.x, BMECat etc.). Purchase order, order confirmation and invoice transactions are exchanged electronically according to predefined and ERP integrated processes.
With the help of our service provider and document clearing centre we can implement several business processes used to connect AVL's back-end applications to the suppliers' back-end applications. We can also offer solutions for web-based applications to support purchase order transaction for our low transaction-volume suppliers, accessible through a web browser.
For any further questions or proposals regarding electronic process solutions, please contact us: email@example.com
AVL is strictly enforcing its policy that all goods and services ordered from our external suppliers must be based on an approved AVL purchase order (PO).
Accordingly, suppliers shipping goods or supplying services to AVL that will result in the submission of an invoice to our company, must ensure that they have a valid purchase order number issued by AVL purchasing prior to supplying those goods or services. The reference to a valid purchase order on an invoice to AVL is the condition to the issuance of payment by AVL.
To facilitate on-time payment to suppliers, AVL also strongly encourages the usage of electronic invoicing as the most efficient way of doing business.
Any invoice that does not contain a valid purchase order will be returned to the supplier unpaid by the accounts payable team receiving the invoice. The supplier will need to contact the person who requested the goods or services in order to initiate the proper PO-process and get a valid PO number. He will then need to state this PO number on the invoice and resend it to his known AVL invoice channel. When a PO is approved internally at AVL, it will be sent to the contact provided by the supplier’s company (e-mail or EDI). It is the supplier’s obligation to ensure all contact and banking information are accurate. The supplier contact information should be properly maintained in the corresponding account on AVL’s supplier portal https://srm.avl.com. Non-compliant processes are tracked and analyzed and can
result in a supplier account being blocked due to repeated failure to obtain and provide a PO number.
The No PO, No Pay policy offers significant benefits to both suppliers as well as AVL:
- A purchase order ensures appropriate approval and full compliance with all applicable laws and AVL policies, which results in on-time payment, and strengthens our relationship with the supplier as important business partner.
- There will be fewer payment delays as departments within AVL won’t have to raise a purchase order retrospectively.
- Consistent purchase orders that have been reliably and properly agreed with our purchasing department make the supplier’s business and supply opportunities visible to our global organization.
The only exception to “No PO, no pay” can be the delivery of goods and services of the following supply categories:
- Utilities (i.e. electric, gas, water, refuse)
- Real estate rent
- Travel expenses covered by AVL-internal official travel requests and approvals
- Low risk value purchases mainly for invitations, gastronomy, urgent supplies for critical business operation
If invoices to these categories do not reference a PO number, they must be based on a frame contract or defined AVL internal order and/or invoice release.
We thank our suppliers for the support and adherence to this “No PO, No Pay” policy!
For any further questions, please get in touch with your contact person in procurement or accounts payable team at your AVL location.
The binding documents as well as the General AVL Purchasing Conditions can be found here.