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Presentation given today with GXS on the state of B2B Connectivity.
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EDI: Workhorse of the Extended Supply Chain
1.
EDI: Workhorse of the
Value Chain
2.
Where are You? Supply
Chain Insights LLC Copyright © 2013, p. 2
3.
Current State Supply Chain
Insights LLC Copyright © 2013, p. 3
4.
Our Goal In this
webinar, we will help companies benchmark their current state on B2B connectivity. Supply Chain Insights LLC Copyright © 2013, p. 4
5.
Agenda Supply Chain Insights
LLC Copyright © 2013, p. 5
6.
Study Overview Supply Chain
Insights LLC Copyright © 2013, p. 6
7.
The Majority of
Respondents Work at Manufacturers and Average Revenue is $4 Billion Supply Chain Insights LLC Copyright © 2013, p. 7
8.
Over Half of
Respondents Work in a Discrete Industry Supply Chain Insights LLC Copyright © 2013, p. 8
9.
Half of Respondents
Work in IT, Nearly Half are Managers and Over ¾ Work in the US Supply Chain Insights LLC Copyright © 2013, p. 9
10.
Four in Five
Report Having a Formal Supply Chain Organization Supply Chain Insights LLC Copyright © 2013, p. 10
11.
Respondents Identify an
Average of 6 Functions that Report through the Supply Chain Supply Chain Insights LLC Copyright © 2013, p. 11
12.
Agenda Supply Chain Insights
LLC Copyright © 2013, p. 12
13.
Definitions Supply Chain Insights
LLC Copyright © 2013, p. 13
14.
All Respondents Have
EDI/XML and are Somewhat Familiar with their B2B Solutions Supply Chain Insights LLC Copyright © 2013, p. 14
15.
Most Respondents are
Familiar with the Use of EDI/XML for Order-to-Cash and Procure-to-Pay Supply Chain Insights LLC Copyright © 2013, p. 15
16.
Agenda Supply Chain Insights
LLC Copyright © 2013, p. 16
17.
For Both Sales
and Purchase Orders, Over Half of Orders are Exchanged via EDI/XML Supply Chain Insights LLC Copyright © 2013, p. 17
18.
On Average, EDI/XML
Sales Orders are Faster with No Manual Intervention Supply Chain Insights LLC Copyright © 2013, p. 18
19.
For Both Sales
and Purchase Orders, Over 1/3 Report Tracking Internal Costs of Orders Supply Chain Insights LLC Copyright © 2013, p. 19
20.
Awareness of Internal
Order Costs is Low for Both Order Types Supply Chain Insights LLC Copyright © 2013, p. 20
21.
The Top Challenge
for Orders Not Processed via EDI/XML Is Added Time Supply Chain Insights LLC Copyright © 2013, p. 21
22.
About Half Report
the Orders Change at Least Once; About 60% Process Changes via EDI/XML Supply Chain Insights LLC Copyright © 2013, p. 22
23.
The Top Challenge
for Order Changes Not Using EDI/XML Is Having More Imperfect Orders Supply Chain Insights LLC Copyright © 2013, p. 23
24.
EDI/XML Benefits Accuracy
Most for Both Sales and Purchase Orders Supply Chain Insights LLC Copyright © 2013, p. 24
25.
Business Partner Relationships
is Top Supply Chain Element to Improve with EDI/XML Supply Chain Insights LLC Copyright © 2013, p. 25
26.
ASNs and Purchase
Order Acknowledgements are Most Important Elements of EDI/XML for Improving Supply Chain Performance Supply Chain Insights LLC Copyright © 2013, p. 26
27.
Non-Discrete Industries and
Non-IT Roles are More Likely to Consider Purchase Order Acknowledgements to be Important Supply Chain Insights LLC Copyright © 2013, p. 27
28.
Customer Order Captures
and ASNs are Top Performing Elements of EDI/XML for Improving Supply Chain Performance Supply Chain Insights LLC Copyright © 2013, p. 28
29.
Greatest Gaps in
Performance: ASNs and Purchase Order Acknowledgements Supply Chain Insights LLC Copyright © 2013, p. 29
30.
Only 6% Report
Offering a Discount to Customers for Use of EDI/XML Supply Chain Insights LLC Copyright © 2013, p. 30
31.
Agenda Supply Chain Insights
LLC Copyright © 2013, p. 31
32.
82% of Respondents
are at Least Slightly Familiar with Company’s Distribution Center Supply Chain Insights LLC Copyright © 2013, p. 32
33.
2/3 Report Receiving
Shipments without Advanced Shipment Notices or Dispatch Advices Supply Chain Insights LLC Copyright © 2013, p. 33
34.
Top Challenges When
Don’t Have ASNs are Longer Receiving Times and Inability to Plan Labor Schedules Supply Chain Insights LLC Copyright © 2013, p. 34
35.
Without ASN, Biggest
Impact to Supply Chain is Need to Expedite Shipments More Frequently Supply Chain Insights LLC Copyright © 2013, p. 35
36.
On Average, Shipments
without ASNs Cost $78 per Order Extra Supply Chain Insights LLC Copyright © 2013, p. 36
37.
Nearly Half of
Inbound Shipments are not Labeled with Barcodes or RFID Tags Supply Chain Insights LLC Copyright © 2013, p. 37
38.
On Average, Shipments
without Barcodes or RFID Tags Cost $57 per Order Extra Supply Chain Insights LLC Copyright © 2013, p. 38
39.
Agenda Supply Chain Insights
LLC Copyright © 2013, p. 39
40.
Summary • EDI and
B2B connectivity matters. Progress is slow. • EDI is the workhorse of the extended supply chain. Business networks are in their infancy. • Most companies are looking at pennies and missing the dollars. Supply Chain Insights LLC Copyright © 2013, p. 40
41.
Questions? Supply Chain Insights
LLC Copyright © 2013, p. 41
42.
Who is Lora
Cecere? • Founder of Supply Chain Insights • Partner at Altimeter Group (leader in open research) • 7 years of Management Experience Leading Analyst Teams at Gartner and AMR Research • 8 years Experience in Marketing and Selling Supply Chain Software at Descartes Systems Group and Manugistics (now JDA) • 15 Years Leading Teams in Manufacturing and Distribution Operations for Clorox, Kraft/General Foods, Nestle/Dreyers Grand Ice Cream and Procter & Gamble. Supply Chain Insights LLC Copyright © 2013, p. 42
43.
Where Do You
Find Lora? Contact Information: lora.cecere@supplychaininsights.com Blog: www.supplychainshaman.com (4000 pageviews/month) Twitter: lcecere 4640 followers. LinkedIn: linkedin.com/pub/loracecere/0/196/573 (5650 in the network) Supply Chain Insights LLC Copyright © 2013, p. 43
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