The variety of parts and languages in Europe compound the problem, as Bert Blaauw, the MECIM project co-ordinator, explains. "Misunderstandings often occur because each party uses its own descriptions for components."
In 1996, the partners in the EUREKA project MECIM (Making and Engineering mechanical installations with the help of Codes, communicating and identifying Materials) set to work to find a solution.
The Project Leader, Simon Van Rijn of Uneto Vni, says, "the introduction of product classification involves the standardisation of data about commercial products in the installation industry such that all parties in that industry can exchange products and order information in a single uniform and efficient manner. All parties concerned can thus realise considerable improvements in profit – by using product classification and e-business one can avoid many errors and can bypass numerous administrative procedures."
Classifying large numbers of parts is no easy task and can be quite an intensive job requiring many man-years of work. But the project participants can quickly enjoy the fruits of their labour – increased efficiency of communication (internal and external) leading to decreased probability of error, improved logistics and hence financial savings.
For example, in the Netherlands, the average cost of an order is €50–75 per item. The companies participating in MECIM expect an immediate 10% saving, rising to 20–50% savings in the longer term.
However, according to Blaauw, "for the benefits to be realised, the scheme needs to be implemented internationally. Working within the EUREKA structure allowed us to develop our methodology internationally."
The Dutch associations of mechanical installation companies and wholesalers have taken the initiative to their respective European institutions, to have it adopted as a European standard. Adoption by suppliers is the remaining challenge as they have no single representative body.
One problem that the project faces is that some companies hesitate to participate fearing that the clarity of product information will facilitate price comparisons. The counter argument is that price is only one of many selection criteria. For an installer, such aspects as quality, delivery reliability, logistical performance, and expertise of the supplier, also play a great role.
Once the standard has been widely accepted, applications can be developed that use and integrate the scheme. Tests have been successfully carried out on an on-line database and Computer Aided Design (CAD) programme that could automatically order parts once drawings have been approved.
EUREKA is …
A European network for market-oriented R&D
- strengthening European competitiveness
- promoting innovation in market-oriented collaborative projects
- involving industry, research institutes and universities across Europe
- resulting in innovative products, processes and services.