DaimlerChrysler Corporation Invests in Powerway
25 May 2000
DaimlerChrysler Corporation Invests in Powerway, Inc. To Enhance Supply Chain Management
AUBURN HILLS, Mich., May 25 DaimlerChrysler Corporation
announced today it is taking an equity stake in Powerway, Inc., an
Indianapolis-based software company specializing in web-enabled quality
planning software technology. The alliance marks DaimlerChrysler's continuing
commitment to improve and enhance its business-to-business supply chain
management strategy, which includes consistently seeking new opportunities.
"We have been looking at fresh approaches to taking our Extended
Enterprise(R) supply chain management practices to new levels in the Internet
environment," stated Peter Rosenfeld, Vice President, Procurement and Sourcing
Strategy for DaimlerChrysler Corporation. "Powerway demonstrated to us that
it is a forward-thinking company with a proven track record of working with
all tiers of the supply base. It also has a comprehensive understanding of
the complex and evolving quality standards required by OEMs."
DaimlerChrysler will work closely with Powerway and other suppliers to
create software solutions that will automate and integrate a web-enabled
Advanced Product Quality Planning (APQP) process while streamlining the
Production Part Approval Process (PPAP) online. Both APQP and PPAP are part
of overall industry standards required to meet manufacturers' quality
certification on parts for vehicle production. The expected outcomes include
creating two-way, dynamic information flow in real-time, improving product
quality, enhancing communication and extended reporting capabilities among
suppliers, as well as reducing additional time and costs currently involved in
the quality management process.
"We are very excited to have the endorsement of DaimlerChrysler in the
evolution of the Powerway software tools and our web-based application,
Powerway.com," said Mike Campbell, CEO of Powerway. "With DaimlerChrysler's
expertise in supplier relations and global supply chain management together
with our background in supply chain software technology, this partnership has
the potential to generate new standards of managing quality within the
automotive industry."
After conducting research on what future efforts may lead to new "best
practices," DaimlerChrysler recognized that significant efficiencies can be
achieved in the product creation process. "We are focused on using the web to
eliminate waste, thereby maximizing profitability and productivity throughout
the Extended Enterprise(R)," added Rosenfeld. "With the Powerway technology,
we all win -- suppliers, DaimlerChrysler, and ultimately our customers."
DaimlerChrysler and Powerway have already begun developing a customized
interactive quality tool for its automotive supply chain. This tool will be
based on Powerway.com, the first collaborative Internet workplace dedicated to
improving supply chain performance based upon existing industry standards such
as APQP and PPAP. Part of the development process involves a pilot program
with DaimlerChrysler suppliers, which is targeted for this summer. This web-
based application is expected to begin rolling out later this year and
continue through 2001.
An extension of the commitment from DaimlerChrysler to Powerway is also
recognized with the appointment of Peter Rosenfeld and John Stellman, Vice
President, Mergers and Acquisitions, to Powerway's Board of Directors.
Powerway, Inc., founded in 1987, is a privately held software technology
company specializing in document and process control solutions built around
"best practices" (software, training, deployment and consulting services).
Powerway has offices in Indianapolis, Mexico City and London, and 190
employees worldwide. Its list of approximately 3,500 customers spans the
automotive, general transportation, appliance, and process industries, among
others.