Master Data Management and Global Data Synchronization (GDS) FIRST CASE IN RUSSIA Управление Мастер-данными и Глобальная С...
How to save a few  million dollars at the touch  of a button? Valerian Dunin-Barkovskiy Kraft Foods CEEMA ECR Forum 2010 M...
Is EDI alone, enough? <ul><li>External factors </li></ul><ul><li>Almost all EDI customer orders contain errors </li></ul><...
Pilot GDS project with Metro C&C Starts in July 2009 <ul><li>Usage of GDSN technology </li></ul><ul><li>Product Master Dat...
First GDS implementation in Russia Benefits were instant. Process Before GDS  After GDS Order processing 20% of orders wit...
GDS accelerates new product launches  by 50% <ul><li>New item listing procedure significantly simplifies communication bet...
GDS+EDI: successful combination <ul><li>During listing process all mistakes or delays are dropped-out </li></ul><ul><li>Al...
Call to Action….. <ul><li>Current Savings in the $ millions. Future Potential = tens of millions </li></ul><ul><li>Huge Qu...
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Valerian dunin barkovsky. kraft foods

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Valerian dunin barkovsky. kraft foods

  1. 1. Master Data Management and Global Data Synchronization (GDS) FIRST CASE IN RUSSIA Управление Мастер-данными и Глобальная Синхронизация Данных ПЕРВЫЕ В РОССИИ Kraft Foods/Metro Group
  2. 2. How to save a few million dollars at the touch of a button? Valerian Dunin-Barkovskiy Kraft Foods CEEMA ECR Forum 2010 Moscow June, 2, 2010
  3. 3. Is EDI alone, enough? <ul><li>External factors </li></ul><ul><li>Almost all EDI customer orders contain errors </li></ul><ul><li>Customers do not accept/pay invoices with incorrect information </li></ul><ul><li>Up to 30% customer refusals caused by missing/incorrect data </li></ul><ul><li>Weak EDI practice leads to multiplicity of standards and approaches, hampering development </li></ul>Internal factors <ul><li>Customer overdue levels impact cash flow </li></ul><ul><li>Huge manual workload for order corrections = wasted overhead </li></ul><ul><li>Low Invoice Accuracy and CFR due to non synchronized master data </li></ul>With growth of the Modern Trade we estimated future issues would explode >>> solutions became an imperative.
  4. 4. Pilot GDS project with Metro C&C Starts in July 2009 <ul><li>Usage of GDSN technology </li></ul><ul><li>Product Master Data synchronization through global data pools 1SYNC (US) and SA2 (Germany) </li></ul><ul><li>Full termination of manual listing forms </li></ul><ul><li>Loading and enrichment of Metro systems from SA2 catalogue </li></ul>
  5. 5. First GDS implementation in Russia Benefits were instant. Process Before GDS After GDS Order processing 20% of orders with errors in Master Data 0% of orders with errors in Master Data Up to one hour to fix errors in orders (incorrect EAN-code etc) Not an issue. Time saving up to one hour daily per person Product Launch <ul><li>Average product roll-out took up to 2 months </li></ul><ul><li>Up to 2 weeks to enter new product into retailer systems </li></ul><ul><li>Big risk of human errors on both sides </li></ul><ul><li>Increase speed to market for new products up to 50% </li></ul><ul><li>Only 30 minutes to publish, accept and synchronize new item </li></ul><ul><li>Errors minimized </li></ul>Refusals due to incorrect master data 28% (from total refusals) 0 Credit notes due to incorrect master data 5.7 % (from total invoices) 30 minutes/day 0% Listing errors RUB >0.5M/year per customer 0
  6. 6. GDS accelerates new product launches by 50% <ul><li>New item listing procedure significantly simplifies communication between Sales and Buyer and allows to focus on business instead of copying information from one template/system to another </li></ul><ul><li>However, this process does require strict procedures on both sides </li></ul>Item introduction <ul><li>Details partially sent by e-mail </li></ul>2W Product analysis <ul><li>Category department access to all details </li></ul><ul><li>Briefing </li></ul><ul><li>Approval </li></ul><ul><li>Further requests </li></ul>1 W Completion <ul><li>Sales dept. fills in various questionnaires </li></ul><ul><li>Send information to retailers category manager </li></ul>1 W Store Product information <ul><li>Category manager checks info and pass it to database operator </li></ul>2 D Edit & Publish <ul><li>Manual editing/entry </li></ul><ul><li>Info to Stores </li></ul><ul><li>All details via GDS </li></ul><ul><li>Category department access to all details (excluding price) within buying system (MMS CAT) </li></ul><ul><li>Approval via MMS CAT </li></ul><ul><li>Access to all details via MMS CAT </li></ul>
  7. 7. GDS+EDI: successful combination <ul><li>During listing process all mistakes or delays are dropped-out </li></ul><ul><li>All master data extensions/changes are immediately visible on retailer’s side </li></ul><ul><li>Orders and Invoices are based on SYNCHRONIZED DATA </li></ul><ul><li>Synchronized data is used in various B2B projects like E2E and Scorecard </li></ul><ul><li>AND FINALLY WHEN WE RECEIVED SALES REPORT FROM METRO POS WE DID NOT FIND ANY MASTER DATA ERRORS THERE! </li></ul>
  8. 8. Call to Action….. <ul><li>Current Savings in the $ millions. Future Potential = tens of millions </li></ul><ul><li>Huge Qualitative benefits especially in TIME & COMPLEXITY </li></ul><ul><li>Technology and standards are readily available (ECR) </li></ul><ul><li>Is there any reason why we aren’t all doing GDS as routine? </li></ul><ul><li>>>> Get into ECR and get your brands moving in the 21 st Century. </li></ul>

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