Trading Partner Collaboration on SteroidsHow simple technologies are reducing complexity<br />Presented by:Donny Askin, CE...
Today’s Takeaways<br /><ul><li>Global Sourcing is complex
 It isn’t getting any easier
 Business process and workflow remain ripe for continued optimization
 Social Networking Tools leveraged within the context of Enterprise Collaboration = margin protection</li></li></ul><li>Gl...
Global Sourcing Isn’t Easy<br />Ocean Transport<br />Air Transport<br />Raw Material<br />Suppliers/sources<br />Designers...
It Isn’t Getting Any Easier<br />20% - Minimum wage increase in China in 2010<br />82% - Cost of cotton price increase sin...
Cost of Labor is Rising<br />China: 20%+ in 2010<br />• Bangladesh: 		$0.21<br />• Indonesia: 		$0.35 - $0.71<br />• Sri L...
Logistics Costs – That was then…<br />
Logistics Costs are Rising<br />Pressures<br /><ul><li>Container shortage
 Seasonal demand
 Fuel prices rising
 Regulatory Compliance</li></li></ul><li>Raw Material Costs are Rising<br />
Compliance Costs Grow<br /><ul><li>CPSIA, C-TPAT, 10 + 2
Factory Compliance Programs
Corporate Social Responsibility Programs(CSR)</li></li></ul><li>Against All Odds<br /><ul><li>Increase visibility
Focus on productivity
Adopt Lean manufacturing
Continue to seek cheaper labor markets
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Trading Partner Collaboration On Steroids

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Learn how strengthening trading partner relationships can improve margins, reduce cycle time, mitigate supplier risk, and most importantly- protect the private label brand. In this presentation, Donny Askin, CEO of Arigo, demonstrates how the use of simple collaborative technologies can solve these common global trade issues for private label retailers and brand owners.

Published in: Business, Economy & Finance
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Transcript of "Trading Partner Collaboration On Steroids"

  1. 1. Trading Partner Collaboration on SteroidsHow simple technologies are reducing complexity<br />Presented by:Donny Askin, CEOArigo<br />
  2. 2. Today’s Takeaways<br /><ul><li>Global Sourcing is complex
  3. 3. It isn’t getting any easier
  4. 4. Business process and workflow remain ripe for continued optimization
  5. 5. Social Networking Tools leveraged within the context of Enterprise Collaboration = margin protection</li></li></ul><li>Global Sourcing / Private Label<br />Margin, Margin, Margin<br />Brand, Brand, Brand<br />
  6. 6. Global Sourcing Isn’t Easy<br />Ocean Transport<br />Air Transport<br />Raw Material<br />Suppliers/sources<br />Designers<br />
  7. 7. It Isn’t Getting Any Easier<br />20% - Minimum wage increase in China in 2010<br />82% - Cost of cotton price increase since 2009<br />200% - Container cost increase since 2009<br /> $15m and prosecution - Multiple CPSIA offenses<br />… And consumer demand is flat <br />
  8. 8. Cost of Labor is Rising<br />China: 20%+ in 2010<br />• Bangladesh: $0.21<br />• Indonesia: $0.35 - $0.71<br />• Sri Lanka: $0.46<br />• Mexico: $0.50 - $0.53<br />• Vietnam: $0.52<br />• India: $0.55 - $0.68<br />• Nicaragua: $0.65<br />• El Salvador: $0.92<br />• China: $0.93*<br />• Philippines: $0.94 -$1.00<br />• Honduras: $1.02<br />• Guatemala: $1.21<br />• Costa Rica: $2.19<br />• U.K.: $7.58 - $9.11<br />• U.S.: $8.25 - $14.00<br />Source: INSTITUTE FOR GLOBAL LABOR & HUMAN RIGHTS.<br />
  9. 9. Logistics Costs – That was then…<br />
  10. 10. Logistics Costs are Rising<br />Pressures<br /><ul><li>Container shortage
  11. 11. Seasonal demand
  12. 12. Fuel prices rising
  13. 13. Regulatory Compliance</li></li></ul><li>Raw Material Costs are Rising<br />
  14. 14. Compliance Costs Grow<br /><ul><li>CPSIA, C-TPAT, 10 + 2
  15. 15. Factory Compliance Programs
  16. 16. Corporate Social Responsibility Programs(CSR)</li></li></ul><li>Against All Odds<br /><ul><li>Increase visibility
  17. 17. Focus on productivity
  18. 18. Adopt Lean manufacturing
  19. 19. Continue to seek cheaper labor markets
  20. 20. Improve Trading Partner Collaboration</li></li></ul><li>Evolution of Collaboration<br /><ul><li>Email
  21. 21. Real-time
  22. 22. Social
  23. 23. Aggregated</li></ul>Quickly approaching;<br />needs organizational adoption<br />
  24. 24. Enterprise Collaboration Basics<br /><ul><li>Enterprise 1.0 – focus on documents created and shared primarily on a PC
  25. 25. Enterprise 2.0 – focus on people and social sessions in which groups of individuals interact across companies and geographic boundaries. The goal of a social session is to create the effect of presence within the reality of absence.</li></li></ul><li>Twitter and Friends…Meet Global Sourcing<br />
  26. 26. Maslow's Hierarchy of Enterprise 2.0<br />
  27. 27. Keys to Successful Enterprise Collaboration<br />Multi-modal <br />Integrated <br />Archivable<br />Attachable<br />
  28. 28. Real World ApplicationLeave Failures at the Factory<br />
  29. 29. Today’s Takeaways<br /><ul><li>Global Sourcing is complex
  30. 30. It isn’t getting any easier
  31. 31. Business process and workflow remain ripe for continued optimization
  32. 32. Social Networking Tools leveraged within the context of Enterprise Collaboration is a new weapon in the arsenal to protect margin</li></li></ul><li>
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