On Wednesday, the numbers didn’t add up. With 318 votes against 309, the EU Parliament rejected the negotiation mandate to simplify sustainability regulations. Instead of swift negotiations, the result is delay—until at least November 13—along with new amendment proposals and unclear majorities. For companies in logistics and supply chain management, that means one thing above all: continued uncertainty.

The original proposal sounded tempting: drastically simplified reporting obligations. Only companies with more than 1,000 employees and €450 million in annual revenue would have to provide sustainability reports. Supply chain due diligence? Only for companies with at least 5,000 employees and €1.5 billion in revenue.

Reality, however, is more complex. In a representative survey of European executives, 50 percent supported lowering the threshold to 250 or 500 employees. Why? 53 percent expect stricter due diligence rules to strengthen Europe’s supplier industry, while 48 percent see them as a long-term competitive advantage.

The message: Many companies don’t want deregulation. They want clear, practical standards that help them compete globally.

The risk-based approach: good idea, but how does it work?

A core element of the reform is the risk-based approach: instead of systematically scrutinizing all business partners, companies should only conduct checks where human rights or environmental risks are likely. It sounds like common sense.

But who defines what counts as a risk? The answer lies in data. And this is where logistics companies face a real challenge:

• Supply chain visibility: Without knowing where Tier-2 or Tier-3 suppliers produce, risk assessment is impossible.
• Real-time monitoring: Compiling one report per year is outdated. Continuous monitoring will become the norm.
• Traceability: With fines of up to 5% of global turnover, no company can afford documentation gaps.

And what role does EDI play?

For decades, Electronic Data Interchange (EDI) has been the backbone of orders, invoices, and delivery notes. Now it’s becoming the key enabler of sustainability compliance.

Why? Because modern supply chain due diligence is impossible without structured data flows.

• Emission data must be automatically collected and aggregated—per shipment, per route, per partner.
• Supplier certificates and audits must be digitally accessible and verifiable.
• Anomaly detection requires continuous data streams to identify problematic patterns early.
• Reporting is only manageable when data is already structured—not when it has to be manually compiled from emails and spreadsheets.

What logistics companies should do now

Political uncertainty is frustrating, but it doesn’t change the fundamental task. Whether the final regulation applies to companies with 500 or 5,000 employees—the requirement remains the same: supply chains must be transparent and verifiable.

Three concrete steps:

1. Improve data quality systematically
   Faulty or incomplete supplier master data undermines every sustainability report. Cleaning up now prevents panic and costs later. That means: standardize supplier data, eliminate duplicates, and systematically request missing information.
2. Expand EDI integration
   EDI can do more than handle orders and delivery notices. Modern EDI systems can seamlessly integrate sustainability data such as CO₂ metrics, certificates, or audit reports. The infrastructure for this should be built now—not when deadlines loom.
3. Implement monitoring systems
   Reactive reporting is no longer enough. Companies need dashboards and alerting systems that visualize risks in real time: which supplier has failed to renew its ISO certification? Where are there irregularities in emission data? Which partners have not met their sustainability commitments?

While Brussels debates simplification, the technical complexity grows. Not because the number of requirements is increasing, but because the expectations for precision and traceability are rising. “Roughly sustainable” no longer cuts it—for auditors or for customers.

For supply chain and logistics companies, that means: the age of Excel sheets is over. Waiting for the final regulation in November or December means losing valuable months. Systems for data integration, monitoring, and reporting take time to implement and optimize.

The competitive edge lies in the data

The good news: companies that get their data infrastructure in order gain more than just compliance. They gain transparency over their own operations. They can react faster to disruptions. They can provide customers with verifiable sustainability evidence—a factor that increasingly makes the difference in tenders.

Many European executives expect stricter due diligence to strengthen the supplier industry. That’s no coincidence. Those who do their homework today will have a head start tomorrow.

The question isn’t if the rules will come, but when. And those who aren’t prepared by then will face a problem no political compromise can solve.

Why real-time inventory is the new productivity factor – and how a digital classic like INVRPT helps you minimize risks, reduce costs, and meet ESG goals.

Inventory is like your pulse – you rarely think about it until it skips a beat. And then it gets expensive: supply shortages (so-called stockouts) account for up to 35% of logistics costs, from express shipping to lost sales. In retail alone, we’re talking about \$1.8 trillion globally each year.
If you can’t see what’s missing, you pay twice – in money and in trust.

INVRPT sounds like Excel in 1995 – but it’s actually the EDIFACT message that keeps supply chains running. It delivers up-to-date inventory data from your suppliers straight into your ERP system. Available, blocked, in transit – no more guessing games, just hard facts in real time.

* Project data from international SEEBURGER customers, 2023/24

Anyone who still thinks EDI is outdated IT underestimates the power of well-structured data. With the right setup, a simple message becomes a C-level control tool.

INVRPT isn’t a “nice to have” – it’s your ticket to a resilient supply chain.
Less risk, less capital tied up, more control.

Labal gets you there – with experience, industry standards, and a clear language your IT understands and your procurement team values.

Get in touch – before your inventory makes the call.

The Long-Term Supplier’s Declaration (LLE) is one of the most commonly used documents in intra-EU trade – especially in the automotive industry. It serves as proof that delivered goods have preferential origin status within a specified period – a key requirement to benefit from tariff advantages during export.

In a globally connected supply chain, where thousands of components come from various suppliers, the LLE becomes a key document for maintaining competitiveness. But with its importance comes growing complexity.

Although companies are not legally obliged to issue a Long-Term Supplier’s Declaration (LLE), many manufacturers contractually require it – for example, to obtain a formal proof of preferential origin (such as EUR.1) for their final product. Strict formal requirements apply: the declaration must include specific date references, may be valid for a maximum of 24 months, and must be updated or revoked in the event of any changes.

The legal framework is based on EU regulations (UCC, UCC-IA), which have allowed for slightly more flexibility since 2017 – particularly regarding the validity period and processing methods. However, the responsibility remains with the supplier: an incorrect origin declaration can result in back taxes, fines, and even criminal penalties.

In practice, this means that procurement and customs departments must regularly review, archive, and update hundreds of LLEs. Many companies still manage supplier declarations manually – using Excel spreadsheets, overflowing email inboxes, and PDF files stored on shared drives. This approach is error-prone, lacks transparency, and is difficult to scale.

On top of that, proper content verification requires expertise in preferential origin rules, customs tariff numbers, and free trade agreements. Inaccurate or incomplete entries – such as incorrect origin claims or missing validity dates – can result in an LLE being rejected by customs.

This is where digitalization comes in: Electronic Data Interchange (EDI) enables the structured, automated transmission of origin data between supplier and manufacturer. The automotive industry uses the VDA 4997 standard for this purpose – a digital exchange format that standardizes the entire process of requesting, submitting, and validating LLEs.

Instead of manually sent PDFs, data is exchanged electronically – securely, transparently, and in an automatable way. Software solutions handle validation, issue reminders for expiring declarations, and archive all versions in an audit-proof manner. The benefits are clear:

As valuable as digital LLE processes are, their success depends entirely on clean partner onboarding. Why? Because before EDI data can flow automatically, partners must be technically connected, processes aligned, and communication formats agreed upon.

This is exactly where LABAL.onboard comes in.

Our solution supports companies with efficient and structured onboarding of new suppliers – including:

With LABAL.onboard, a time-consuming one-off process becomes an efficient, repeatable standard – a true competitive advantage, especially when it comes to managing supplier declarations.

The future of logistics is digital – and yet the automotive industry still clings to paper documents. While electronic data formats (EDI) have been in use for decades and digital solutions exist for countless processes, the paperless bill of lading remains a challenge. Why?

At FAL2025, the topic “From less paper to paperless” was a highlight – especially for Simon Motter (Head of Group Logistics at Volkswagen), who described the VDA slot as “inspiring.” Our CEO, Alois Labermeyer, presented the current progress on eCMR – the digital version of the bill of lading.

Many companies have already taken the first step: in real-world case studies, speakers shared how they overcame resistance and accelerated the shift to digital processes through pilot projects. The key takeaway?
The technology is already here – all it takes now is the will to implement it.

Download the FAL25 Presentation – Quickly and Easily

In addition to the environmental benefits, the digital bill of lading also delivers tangible economic efficiency. But what exactly does that mean for companies?

Need support with the digital transformation of your logistics processes?
Get in touch with us – we’ll help you set the course for a paperless future.

The numbers speak for themselves: eliminating paper in logistics not only saves time and costs, but also significantly reduces environmental impact. The technology for paperless processing already exists – what’s missing is consistent implementation. Companies that embrace digital solutions like eCMR today benefit from more efficient processes and a clear competitive edge.

It’s time to rethink old habits. Because every step toward digitalization is a step toward a more sustainable, efficient future.
Are you ready to help shape the transformation?

The European Commission has launched the Omnibus I 2025 legislative package to ease the bureaucratic burden on companies. Sustainability reporting requirements are being simplified, particularly for small and medium-sized enterprises. However, while reporting obligations are decreasing, one thing remains unchanged: data quality and transparency are still essential.

These changes mark a clear shift toward practicality and efficiency.
But for companies that continue to engage with ESG topics, one central challenge remains:
the quality and reliability of their own data.

Even though legal requirements are being reduced, the demand for reliable ESG data remains high. Investors, business partners, and customers continue to expect transparent and accurate information. Inaccurate or incomplete sustainability reports can lead to reputational damage and compliance risks.

With Omnibus I 2025, the EU is creating a more balanced regulatory framework that gives companies greater flexibility. At the same time, sustainability reporting remains a strategically important topic – even beyond legal obligations.

Companies that invest in a solid data foundation today will benefit in the long run. Automated solutions like LABAL.proof, LABAL.monitor, and LABAL.onboard help streamline sustainability processes and unlock valuable insights from ESG data.

What Opportunities and Challenges Do You See in the New Regulations?

Imagine how smoothly your supply chain could operate if all your suppliers were fully EDI compliant. By improving EDI compliance within your supplier network, you can significantly enhance the efficiency, accuracy, and reliability of your operations. This article outlines strategies to increase EDI compliance among suppliers and optimize the performance of your supply chain.

Encouraging suppliers to implement or update EDI processes can often be a challenge for companies looking to optimize their supply chains. Buyers may request suppliers to exchange EDI documents or update existing EDI documents for various reasons. The benefits of improved EDI compliance among suppliers through structured onboarding initiatives include:

A smooth and successful EDI implementation heavily relies on compliance with regulations. To achieve higher compliance rates during onboarding, LABAL collaborates with companies to craft tailored messages and clear expectations for suppliers. Below are some key elements that should be included in supplier communications to enhance compliance during onboarding initiatives.

Clear communication regarding upcoming changes helps suppliers understand the organization’s requirements, whether in the form of a request or an EDI mandate. Providing detailed information can help reduce inquiries and errors during onboarding and identify which suppliers may need to be exempted or treated separately.

To prevent confusion or resistance, it is essential to clearly articulate the reasons for the changes from the outset. Reasons can include reducing costs for manual processing of EDI documents, substantial resource savings, less need for manual data entry, and the introduction of eco-friendlier business practices. Highlighting benefits for suppliers, such as fewer chargebacks, faster document exchanges, and reduced administrative burden, can also be advantageous.

To ensure a successful onboarding process for suppliers, it is crucial to establish clear expectations. When these expectations are effectively communicated, purchasing organizations can achieve EDI compliance rates of up to 80%. Emphasizing the importance of participation and setting the expectation for EDI compliance can lead to higher success rates.

An onboarding letter is a brief document summarizing supplier expectations. These letters typically include background information, details, and reasons for changes in the EDI program, as well as compliance instructions. This information helps suppliers understand the objectives and collaborate with an internal team or EDI service provider to achieve compliance. The more comprehensive the onboarding letters are, the smoother the communication process will be.

Organizations that do not enforce an EDI mandate often see compliance rates as low as 20%. To boost supplier participation, companies can introduce an EDI mandate that clearly requires suppliers to adhere to the new requirements.

Implementing penalties for non-compliance can be an effective way to overcome supplier reluctance. Suppliers may be more motivated to update their EDI practices to avoid penalties for non-compliance. Additionally, rewarding suppliers who consistently adhere to EDI standards can create a balanced motivational system that encourages compliance with established requirements.

Establishing a deadline creates a sense of urgency. Along with communicating potential fees and penalties, a deadline can help achieve supplier engagement rates of up to 80%. It is important to set deadlines that give suppliers enough time to achieve compliance without being too far in the future, which may diminish urgency. To avoid confusion, deadlines should be clearly articulated, such as a specific date or timeframe from the date of the letter.

Despite the clear advantages, achieving EDI compliance can be challenging. Expanding and managing an EDI trading network can be complex, time-consuming, and costly. Identifying solutions for common obstacles, such as incompatible systems or outdated software, can help more suppliers achieve compliance.

Working with a trusted EDI provider can significantly simplify the onboarding process for suppliers. LABAL.platform offers tailored EDI and onboarding services for suppliers that save buyers time and resources while scaling and managing their EDI operations. We collaborate with some of the world’s largest purchasing organizations to develop effective programs that enable suppliers to become EDI-capable, maximizing participation and increasing ROI on EDI investments.

The increasing adoption of electric vehicles (EVs) will not only have disruptive effects on the automotive industry but also create significant opportunities in the energy sector and the digitalization of the supply chain. Driven by the need to ensure the safety and transparency of EV components, technologies such as Electronic Data Interchange (EDI), the battery passport, Catena-X, and the use of second-life batteries are gaining importance. These elements contribute not only to the efficiency and sustainability of the supply chain but also to the optimization of product life cycles.

EDI systems are crucial in the automotive industry, particularly for quality control in EVs. They facilitate the automatic exchange of data between various stakeholders in the supply chain, including automakers, suppliers, and recycling companies. By utilizing EDI, all relevant information regarding batteries, motors, and other components can be communicated in real-time and without errors. This is vital for preventing quality defects and ensuring compliance with regulatory requirements.

Another key element in quality assurance and the product life cycle of EVs is the battery passport. This digital record provides comprehensive information on the battery’s origin, manufacturing process, usage, and disposal. It ensures that all supply chain participants have access to the necessary data, guaranteeing transparency and traceability throughout the battery’s entire life cycle. The battery passport also plays an essential role in the reuse of batteries in their “second life” by providing the data needed to assess the suitability and quality of batteries for new applications.

Illus. 1: Life Cycle Assessment © One Click LCA

The reuse of EV batteries in stationary energy storage systems, known as “second-life batteries,” offers a sustainable way to extend battery life while reducing energy storage costs. These batteries, no longer suitable for vehicle use, can still provide valuable services in less demanding applications, such as stabilizing power grids.

According to a report by McKinsey, the market volume for such storage systems could exceed 200 gigawatt-hours by 2030, potentially creating a global market valued at over $30 billion.

The Catena-X initiative aims to establish a unified standard for data exchange in the automotive industry. This platform enables seamless integration and connectivity of data along the entire value chain—from production to usage and recycling of vehicle components. By combining Catena-X with EDI systems, supply chain efficiency and transparency are significantly improved, which in turn enhances quality assurance.

The integration of EDI systems, the use of the battery passport, the implementation of Catena-X, and the reuse of second-life batteries are all crucial for ensuring transparency and sustainability throughout the EV product life cycle. Such transparency is essential not only for complying with environmental and regulatory standards but also for building consumer trust and maintaining the long-term competitiveness of the automotive industry.

By embracing these technologies and standards, the automotive sector can efficiently manage the entire life cycle of vehicle components, promote sustainability, and reduce costs. The industry stands at the threshold of a new era of digitalization and sustainability—an evolution driven by innovative approaches like these.

In a world becoming increasingly globalized, supply chains face a multitude of challenges. Unexpected disruptions, opaque processes, and limited real-time monitoring options are just some of the hurdles to overcome. But how can we address these issues and make supply chain collaboration more efficient? This article explores the collaborative redesign of Electronic Data Interchange (EDI) through the integration of IoT, Blockchain, and Artificial Intelligence (AI).

Innovative collaborative approaches are transforming traditional business processes. Mistrust is overcome through transparent communication and joint decision-making throughout the entire supply chain, preventing unexpected setbacks.

The integration of IoT mechanisms plays a crucial role in generating and transmitting real-time events within the supply chain. Cost-effective IoT sensors monitor conditions at various levels of product shipment to create a precise and timely information foundation.

The blockchain, as a distributed ledger, provides a tamper-resistant record of relevant events in the supply chain. The concept of “shared truth” allows all participants transparent and secure access to critical information.

The integration of IoT events into the blockchain fosters enhanced collaboration among supply chain partners. Real-time information enables proactive initiatives to address issues before they result in setbacks.

AI technology is utilized to incorporate predictions, recommendations, and advanced automation into the supply chain. A scenario is described where a multi-party AI agent monitors the supply chain, responds to exceptional situations, and automatically takes measures to ensure delivery timelines are met.

Meeting tax compliance requirements and the significance of real-time approvals for electronic invoices play a central role in international trade relationships. The strategic integration of technologies ensures not only seamless compliance but also makes a significant contribution to efficiency improvement.

The collaborative redesign of EDI through IoT, Blockchain, and AI demonstrates significant potential for a revolutionary enhancement of supply chain collaboration. With transparent processes, real-time information, and automated decision-making, supply chains can not only become more efficient but also more resilient and agile.

The modern mobility landscape faces diverse challenges, including traffic congestion, environmental impacts, and efficiency issues. In this context, Electronic Data Interchange (EDI) plays a crucial role as a key technology to drive the transition towards a more efficient and sustainable mobility.

Today’s mobility requires innovative solutions to meet growing demands. A key challenge involves coordinating and integrating various stakeholders, including vehicles, suppliers, logistics companies, and authorities. This is where EDI comes into play, enabling efficient data exchange. By standardizing data formats and processes, EDI facilitates the seamless integration of these actors, ultimately improving the overall performance of the transportation sector.

EDI optimizes the exchange of data between suppliers, logistics companies, and government authorities. Through the digitization and automation of business processes, manual interventions are minimized, errors reduced, and the efficiency of the mobility system enhanced. For instance, EDI enables real-time tracking of deliveries, not only increasing transparency but also contributing to making supply chains more efficient.

Real-time data, facilitated by EDI, plays a crucial role in optimizing traffic flows. Through continuous monitoring and analysis of traffic patterns, cities and businesses can make informed decisions. This not only enables the reduction of traffic congestion but also the targeted control of traffic patterns to ensure a more efficient utilization of existing infrastructure.

The success stories of cities and companies implementing EDI in traffic planning are numerous. From smart traffic light systems to dynamic route optimization for delivery vehicles, the benefits of EDI have proven themselves in practice. Case studies from various regions illustrate how this technology has contributed to improving not only the efficiency but also the sustainability of transportation systems.

The city of Amsterdam has successfully utilized EDI to optimize its transportation infrastructure. By installing smart traffic lights supplied with EDI data from various sources, the city improved downtown traffic flows by up to 20%. This led to a reduction in congestion, improved air quality, and enhanced traffic safety.

The logistics company DHL employs EDI to enhance the efficiency of its supply chains. With real-time tracking of deliveries, DHL can monitor the status of packages and shipments in real-time, identifying and addressing delays early on. This has resulted in reduced delivery times, improved customer satisfaction, and increased profitability.

Looking ahead, EDI holds broader potentials in the mobility sector. The technology will play a key role in integrating autonomous vehicles, further optimizing supply chains, and shaping the future of mobility. The ongoing development of 5G networks and increased use of IoT devices will enhance the capabilities of EDI, advancing the possibilities for connected and intelligent mobility.