This document provides an overview and agenda for a presentation on drop shipping and omni-channel retail. The presentation will discuss current market trends driving omni-channel retail, define characteristics of drop shipping programs, and review the typical order management workflow for drop shipping. It will then provide an overview of the vShip solution for automating drop shipping order management and fulfillment directly within Dynamics GP. The presentation will conclude with a live demo of the vShip system and a question and answer session.

1. Drop Shipping Made Easy

2.  Market Trends: Omni-
Channel Retail
– What is it
– Defining characteristics
 Drop Ship Order
Management Model
– Day-in-the-life
 vShip Overview
 Live walk through of vShip
 Q&A
Today’s
Agenda

3. Market
Forces:
Ecommerce
Ecom Quick Facts
• $200 Billion+ in U.S. Retail sales
• eCom now represents 6+% of total retail in
the U.S.
• Ecommerce is out-pacing growth of in-store
retail sales
• Investment community applying pressure on
retailers to report online sales
• Wal-Mart had over $10 Billion in online
sales in 2013
• Amazon outsells it’s next 12 competitors
combined
Sources: Internet Retailer, Commerce Department, Wal-Mart SEC Filings
“Showing strong online sales now indicates a
pretty good chance retailers can adapt to
the changes in how people shop, and will
last a long time compared to their
competitors”

4. Omni-
Channel
Current State of Retail
• Technology has disrupted the traditional retail model
• Intense pressure to build consumer loyalty & enrich
consumers experience across multiple demand points
• Mobile, web, catalog, in-store, kiosks, etc.
• Retailers have to capture demand from multiple demand
points and be able to fulfill from those demand sources
• Other factors:
• Razor thin margins, showroom effect, shorter product
lifecycles & volatile demand
• Pressure to consistently deliver on shrinking delivery
windows
• Continued pressure to cut cost from supply chain
• Consumer pressure for sustainable practices & a reduced
carbon footprint

5. Drop-ship
Vendor
Programs
Defining Characteristics of Drop Shipping
• New sales channel opportunity that introduces a new set of
compliance requirements for suppliers
• Requires management of a new order type & distribution model
• Short lead time for filling potentially thousands of orders
• Erratic demand patterns / spikes in order volume
• Increased order volume however:
• Low line & unit count
• Lower margin
• Increased PO Processing cost as a % of revenue
• Requires shipping direct to a consumer
• Warehouse Ops has to break bulk
• Increased parcel shipments
• Residential fees & other shipping requirements
• Requires EDI document type (846)
• Requires a retailer specific pack slip report

6. Distribution
Workflow in
Review –
Drop Ship
OMM

7. 1. Receive Order via:
– Integrated vSync EDI solution
– Vendor portal such as Amazon Central
– EDI web forms solution
2. If not integrated, key orders into GP
3. Review order, allocate and create
order acknowledgment
4. Print pick ticket and deliver to
warehouse operations
Order
Management

8. 5. Materials handlers review paper
picking ticket to determine which
inventory to pull in warehouse for a
specific order
6. Materials handlers travel to pick
inventory and mark items as picked
from warehouse
7. Materials handlers move inventory to
a shipping station
Pick Order
from
Inventory

9. 7. Physically pack order into shippable
container
8. Process shipment at shipping station
(shipping software or carrier web-site)
– Key in ship to address info
– Determine ship method to use
– Determine which ship options to use
– Create cartons and key in / capture weights
– Complete shipment and print labels
– Write down shipment details on pick ticket
9. Login to web-site (i.e. Vendor Portal /
Commerce Hub) to print pack slip report
10. Login to GP to create ASN transaction and
print GS1 label
Pack & Ship
Order

10. 11. Updates Sales Transaction
– Warehouse personnel hands pick ticket back to
front office with notes
– Key line item fulfillment details into the Dynamics
GP sales transaction form
– Key tracking numbers into the sales transaction
form
– Key freight cost into sales transaction form
– Update order batch to denote “shipped”
Enter
Fulfillment
data into GP

11.  Login to GP and send ASN transaction
 After order is transferred to an invoice,
login to EDI system and create / export
EDI invoice
Submit ASNs
& Invoices

12. vShip:
Solution In
Review
vSync EDI for GP & vShip consolidates the Drop-ship
discreet steps into a single integrated workflow

13. Multi-Carrier Packing, Shipping, Fulfillment &
Compliance Solution
 Built exclusively for Dynamics GP
 Validates orders are packed correctly to eliminate
shipping errors
 Pre-define business rules for managing packing,
carrier and fulfillment rules
 Enforces discipline and best practices in your
warehouse operations
 Creates shipping and compliance documents in line
with the shipping process flow step
 Automatically fulfills sales orders in Dynamics GP
 Tightly integrated to vSync EDI
vShip
Overview –
Built for
Dynamics GP

14. Additional Features
 Shipment Rating:
– Small parcel rating support for UPS, FedEx and USPS
– LTL rating and report creation (BOLs & Manifests)
– Rate shop across carrier options
 Address validation
 Intuitive packing process or auto-pack mode
 Shipment consolidation
 International export compliance
 Compliance and reporting:
– Auto creation of ASNs
– Prints GS1 and retailer specific pack slip reports
 Freight manipulation rules
 Support for multi-site & multi-company operations
 Shipping performance reporting
vShip
Overview –
Built for
Dynamics GP

15. Solution
Overview –
vShip

16. Questions

17. For follow-up questions:
Mike Gross
Vice President, EDI & Supply Chain Essentials Group
720-282-8502
Michael.gross@accellos.com
Thank you for
Attending
Today’s
Webcast