Patricia S. Meisner CEO [email_address] March 8, 2005 Managed Services for Electronic Trading for the Middle-Market Bridgi...
Bridging the Technology Gap Between the Large Enterprise and Its Middle-Market Suppliers <ul><li>Components of Supply Chai...
Components of  Supply  Chain Integration <ul><li>Connectivity </li></ul><ul><li>Data Transformation </li></ul><ul><li>Proc...
Barriers to Supply Chain Integration for the Middle-Market Supplier Lack of integration to accounting system No counterpar...
MIDDLE-MARKET SUPPLIERS GreatPlains BEST MAS90/200 ACCPAC ProSeries Large Enterprise SAP, PeopleSoft, Oracle SMALL SUPPLIE...
The Technology Gap… Accounting System Web Tools EDI/xml Enterprise Application Integrator ERP SYSTEM Supply Chain Manageme...
Unlikely Trading Partners… 15 Thousands Trading Partners Close Bronx WH Connect to CA 3PL with 940/945s Automated Receivin...
 
Must Support Multiple Connectivity Protocols VAN FTP AS2 Bed,Bath Beyond Fred Meyer Kids R Us Zeller’s/ Hudson Bay Kohl’s ...
No Counterparts for Business Rules and Data Elements TT, Inc.
Business Process Integration Requires Complex Data Transformation by Middle-Market Supplier Nordstrom850 SDQ Individual Or...
Optimization of Supply Chain for the Large Enterprise <ul><li>Value-Chain Integration Drivers </li></ul><ul><li>Reduce Tra...
Optimization of Supply Chain for Middle-Market Enterprise <ul><li>Value-Chain Integration Drivers </li></ul><ul><li>3. Red...
Service and Proprietary Systems Proprietary Software Red Tail Business Process Integrator™ Large Trading Partners Accounti...
Business Process Integration Requires Complex Data Transformation by Middle-Market Supplier Nordstrom850 SDQ Order ∑ 850 “...
No Counterparts for Business Rules and Data Elements TT, Inc.
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Bridging The Technology Gap Between The Large Enterprise And Its Middle Market Suppliers

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Bridging The Technology Gap Between The Large Enterprise And Its Middle Market Suppliers

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Bridging The Technology Gap Between The Large Enterprise And Its Middle Market Suppliers

  1. 1. Patricia S. Meisner CEO [email_address] March 8, 2005 Managed Services for Electronic Trading for the Middle-Market Bridging the Technology Gap Between the Large Enterprise and Its Middle-Market Suppliers NY/NJ EDI Users’ Group
  2. 2. Bridging the Technology Gap Between the Large Enterprise and Its Middle-Market Suppliers <ul><li>Components of Supply Chain Integration (SCI) </li></ul><ul><li>Span of Basic Technology Platforms </li></ul><ul><li>Case Study: Unlikely Trading Partners </li></ul><ul><li>Large Enterprise/Middle-market Priorities for SCI </li></ul><ul><li>Building the Bridge: Virtual Capabilities for the Middle-Market </li></ul><ul><li>Conclusions </li></ul>
  3. 3. Components of Supply Chain Integration <ul><li>Connectivity </li></ul><ul><li>Data Transformation </li></ul><ul><li>Process Management </li></ul>
  4. 4. Barriers to Supply Chain Integration for the Middle-Market Supplier Lack of integration to accounting system No counterparts for data elements and business rules Complex requirements for data transformation, cross-referencing and data cleansing Inability to support multiple electronic trading protocols <ul><li>Connectivity </li></ul><ul><li>Data Transformation </li></ul><ul><li>Process Management </li></ul>
  5. 5. MIDDLE-MARKET SUPPLIERS GreatPlains BEST MAS90/200 ACCPAC ProSeries Large Enterprise SAP, PeopleSoft, Oracle SMALL SUPPLIERS QuickBooks® PeachTree® # Suppliers (thousands) # Transactions/Month Lawson, Macola JD Edwards Span of Business System Platforms Basic Accounting Accounting Systems for Mfrs ERP
  6. 6. The Technology Gap… Accounting System Web Tools EDI/xml Enterprise Application Integrator ERP SYSTEM Supply Chain Management Apps Gateway/VPN/WebTools Large Enterprise Middle-Market Supplier MRP WMS CRM Connectivity Data Transformation Process Mgt
  7. 7. Unlikely Trading Partners… 15 Thousands Trading Partners Close Bronx WH Connect to CA 3PL with 940/945s Automated Receiving Technology Web-enabled supply chain tracking RFID Supply Chain Initiatives 10,000 sq.’ (NYC) Remote 3P Warehouse (CA) 1,225 US Stores 150 Million Sq.’ 19 regular DCs 3 Import WHs Facilities 50,000 Billions? Transactions (annual) ACCPAC ProSeries ERP Business System 12 300,000 Employees $10 M $48 B Revenues “ TT, inc.” Target Corp
  8. 9. Must Support Multiple Connectivity Protocols VAN FTP AS2 Bed,Bath Beyond Fred Meyer Kids R Us Zeller’s/ Hudson Bay Kohl’s Loblaw’s Mervyn’s Nordstrom Peyton Sak’s Shopko Toys R Us <ul><li>Middle-market Constraints: </li></ul><ul><ul><li>Minimal IT infrastructure, resources </li></ul></ul><ul><ul><li>Multiplication of procedures </li></ul></ul>TT, Inc.
  9. 10. No Counterparts for Business Rules and Data Elements TT, Inc.
  10. 11. Business Process Integration Requires Complex Data Transformation by Middle-Market Supplier Nordstrom850 SDQ Individual Orders by “Ship To” and “Mark For” Locations Process Orders Nordstrom 810 “C” Nordstrom Order/Invoice Requirements No capability to parse consolidated orders No capability to create consolidated invoices TT,Inc ACCPAC Accounting System
  11. 12. Optimization of Supply Chain for the Large Enterprise <ul><li>Value-Chain Integration Drivers </li></ul><ul><li>Reduce Transaction Processing Costs </li></ul><ul><li>Improve Customer Satisfaction </li></ul><ul><li>Automate Transactions with SMB Partners </li></ul><ul><li>Comply with Customer’s Condition for Doing Business </li></ul><ul><li>Work effectively with suppliers </li></ul><ul><li>Improve Order Accuracy </li></ul><ul><li>Increase Business with Existing Customers </li></ul><ul><li>Improve Order Response Times </li></ul><ul><li>Reduce Inventory/Increase Turns </li></ul><ul><li>Improve Planning and Scheduling </li></ul><ul><li>Gain New Customers </li></ul><ul><li>e-Supply Chain Technology Drivers </li></ul><ul><li>Securely transmit transactions via internet </li></ul><ul><li>Manage Partner Profile Information </li></ul><ul><li>Support XML industry standards </li></ul><ul><li>Automate Transaction Workflow </li></ul><ul><li>Move from Batch to Real Time </li></ul><ul><li>Define, Invoke, Manage Human and System Events </li></ul>Source: The Yankee Group 2003
  12. 13. Optimization of Supply Chain for Middle-Market Enterprise <ul><li>Value-Chain Integration Drivers </li></ul><ul><li>3. Reduce Transaction Processing Costs </li></ul><ul><li>Improve Customer Satisfaction </li></ul><ul><li>Automate Transactions with SMB Partners </li></ul><ul><li>1. Comply with Customer’s Condition for Doing Business </li></ul><ul><li>Work effectively with suppliers </li></ul><ul><li>5. Improve Order Accuracy </li></ul><ul><li>4. Increase Business with Existing Customers </li></ul><ul><li>Improve Order Response Times </li></ul><ul><li>Reduce Inventory/Increase Turns </li></ul><ul><li>Improve Planning and Scheduling </li></ul><ul><li>2. Gain New Customers </li></ul><ul><li>e-Supply Chain Technology Drivers </li></ul><ul><li>Securely transmit transactions via internet </li></ul><ul><li>Manage Partner Profile Information </li></ul><ul><li>Support XML industry standards </li></ul><ul><li>1. Automate Transaction Workflow </li></ul><ul><li>2. Support multiple protocols with a single system/process </li></ul><ul><li>Move from Batch to Real Time </li></ul><ul><li>Define, Invoke, Manage Human and System Events </li></ul>
  13. 14. Service and Proprietary Systems Proprietary Software Red Tail Business Process Integrator™ Large Trading Partners Accounting System Red Tail Transaction Manager ™ REDTAIL Solutions Virtual Capabilities in an Outsourcing Model Mid-market Supplier WalMart Nordstom Kohl’s WalMart Internet
  14. 15. Business Process Integration Requires Complex Data Transformation by Middle-Market Supplier Nordstrom850 SDQ Order ∑ 850 “C” Review/Revise Trans.1 Individual Orders by “Ship To” and “Mark For” Locations Process Orders Trans.3 Trans.2 TT,Inc ACCPAC Accounting System Nordstrom 810 “C” Manual Edit/Trans.4 Nordstrom Order/Invoice Requirements No capability to parse consolidated orders or create a consolidated invoice
  15. 16. No Counterparts for Business Rules and Data Elements TT, Inc.

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