edi: workhorse of the extended supply chain

43
EDI: Workhorse of the Value Chain

Upload: lora-cecere-supply-chain-insights

Post on 14-Nov-2014

936 views

Category:

Business


0 download

DESCRIPTION

Presentation given today with GXS on the state of B2B Connectivity.

TRANSCRIPT

Page 1: EDI: Workhorse of the Extended Supply Chain

EDI: Workhorse of the Value Chain

Page 2: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 2

Where are You?

Page 3: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 3

Current State

Page 4: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 4

In this webinar, we will help companies benchmark their current state on B2B

connectivity.

Our Goal

Page 5: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 5

Agenda

Study Overview

B2B Solutions

EDI / XML

Distribution Center / Warehouse

Summary

Page 6: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 6

Study Overview

Page 7: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 7

The Majority of Respondents Work at Manufacturers and Average Revenue is $4 Billion

Page 8: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 8

Over Half of Respondents Work in a Discrete Industry

Page 9: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 9

Half of Respondents Work in IT, Nearly Half are

Managers and Over ¾ Work in the US

Page 10: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 10

Four in Five Report Having a Formal Supply Chain Organization

Page 11: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 11

Respondents Identify an Average of 6 Functions that Report through the Supply Chain

Page 12: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 12

Agenda

Study Overview

B2B Solutions

EDI / XML

Distribution Center / Warehouse

Summary

Page 13: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 13

Definitions

Page 14: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 14

All Respondents Have EDI/XML and are Somewhat Familiar with their B2B Solutions

Page 15: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 15

Most Respondents are Familiar with the Use of EDI/XML for Order-to-Cash and Procure-to-Pay

Page 16: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 16

Agenda

Study Overview

B2B Solutions

EDI / XML

Distribution Center / Warehouse

Summary

Page 17: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 17

For Both Sales and Purchase Orders, Over Half of Orders are Exchanged via EDI/XML

Page 18: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 18

On Average, EDI/XML Sales Orders are Faster with No Manual Intervention

Page 19: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 19

For Both Sales and Purchase Orders, Over 1/3 Report Tracking Internal Costs of Orders

Page 20: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 20

Awareness of Internal Order Costs is Low for Both Order Types

Page 21: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 21

The Top Challenge for Orders Not Processed via EDI/XML Is Added Time

Page 22: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 22

About Half Report the Orders Change at Least Once; About 60% Process Changes via EDI/XML

Page 23: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 23

The Top Challenge for Order Changes Not Using EDI/XML Is Having More Imperfect Orders

Page 24: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 24

EDI/XML Benefits Accuracy Most for Both Sales and Purchase Orders

Page 25: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 25

Business Partner Relationships is Top Supply Chain Element to Improve with EDI/XML

Page 26: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 26

ASNs and Purchase Order Acknowledgements are Most Important Elements of EDI/XML for Improving Supply Chain Performance

Page 27: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 27

Non-Discrete Industries and Non-IT Roles are More Likely to Consider

Purchase Order Acknowledgements to be Important

Page 28: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 28

Customer Order Captures and ASNs are Top Performing Elements of EDI/XML

for Improving Supply Chain Performance

Page 29: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 29

Greatest Gaps in Performance:ASNs and Purchase Order Acknowledgements

Page 30: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 30

Only 6% Report Offering a Discount to Customers for Use of EDI/XML

Page 31: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 31

Agenda

Study Overview

B2B Solutions

EDI / XML

Distribution Center / Warehouse

Summary

Page 32: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 32

82% of Respondents are at Least Slightly Familiar with Company’s Distribution Center

Page 33: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 33

2/3 Report Receiving Shipments without Advanced Shipment Notices or Dispatch Advices

Page 34: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 34

Top Challenges When Don’t Have ASNs are Longer Receiving Times and Inability to Plan Labor Schedules

Page 35: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 35

Without ASN, Biggest Impact to Supply Chain is Need to Expedite Shipments More Frequently

Page 36: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 36

On Average, Shipments without ASNs Cost $78 per Order Extra

Page 37: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 37

Nearly Half of Inbound Shipments are not Labeled with Barcodes or RFID Tags

Page 38: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 38

On Average, Shipments without Barcodes or RFID Tags Cost $57 per Order Extra

Page 39: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 39

Agenda

Study Overview

B2B Solutions

EDI / XML

Distribution Center / Warehouse

Summary

Page 40: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 40

• 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.

Summary

Page 41: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 41

Questions?

Page 42: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 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.

Page 43: EDI: Workhorse of the Extended Supply Chain

Supply Chain Insights LLC Copyright © 2013, p. 43

Where Do You Find Lora?

Contact Information: [email protected]

Blog: www.supplychainshaman.com (4000 pageviews/month)

Twitter: lcecere 4640 followers.

LinkedIn: linkedin.com/pub/lora-cecere/0/196/573 (5650 in the network)