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Could Monkey Calls Offer Clues For Origin Of Human Speech

How to Increase Profitability Through Supply Chain Management

Introduction

• Dane DeSantis / SPS Commerce - 10 years of experience working with supply chain solutions that work with the suite of Sage products.

• Hellene Thurston / SWK Technologies - 20 years of experience working with ERP solutions and 5 years with supply chain solutions.

• Session PowerPoints and materials can be found on the Sage Summit Mobile App under Documents.

• Follow Sage Summit @Sage_Summit– Use the official Summit hashtag: #SageSummit

• Follow us on Twitter: @SPS_Commerce @mapadoc

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http://www.youtube.com/watch?v=zzErwIHEEDE

I love Lucy video

Who receives the order?

Who picks/packs the order?

Who updates the consumer?

Who does the import paperwork?

Who ships the order?

Who sends/receives invoices?

Who labels the shipment?

Who chooses the carrier?

Who builds the container?

Supply Chain IntegrationInvolves far More than just the Retailer

Supply Chain Statistics• The supply chain’s contribution to revenue more than doubled,

from 4% in 2011 to 8.5% in 2012.

• Companies that acknowledge the supply chain as a strategic differentiator achieve 70% higher performance compared with those that do not

• 85% of companies have experienced at least one supply chain disruption in the last 12 months.

• Lost PO for an urgently needed shipment

• Outdated item information

• Too much (or too little) inventory to appropriately meet demand

• Inability to fulfill orders at the speed that is expected by an online consumer.

Minor Disruptions Add Up to Major Problems

Count on Real-Time Knowledge for Supply Chain Precision

• Make smarter product, inventory and market decisions.

• Use tools to monitor supply chain performance in real-time.

• The integration of electronic data interchange (EDI)– (850) Purchase Order (856) Advanced Ship Notice– (810) Invoice (852) Point of Sale data– (820) Payment Advice (860) Purchase Order Change

Components of EDI

Typical EDI Solution

THE STANDARD FOR TRADING PARTNER INTEGRATION

Seize More Sales with E-Commerce

• E-commerce is the best opportunity to reach new customers and land more sales.

• A strong e-commerce strategy and the right infrastructure to support it is also the only way to guarantee survival in an increasingly crowded global marketplace.

• Constant and clear trading partner communication is essential.– Ability to flexibly fulfill orders– The right inventory from the right distribution center

Top 10 Grossing ecommerce sites of 2012

Number 1

Number 2

Number 3

Number 4

Number 5

Number 6

Number 7

Number 8

Number 9

Number 10

X X X

XXX XXX

Move more product with accurate item info

• Accurate product data and marketing information is an often overlooked but critical.

• As e-commerce becomes an increasingly important focus for retailers, access to the most up-to-date comprehensive data is crucial– Price, color, size, style and photography

Accurate Item Info

• 19% of retailers now share POS with all suppliers compared to 9% in 2010

• 73% of retailers say suppliers use POS in the best interest of the retailer compared to 54% in 2011

• 74% of suppliers say retailers respond to recommendations they make using POS compared to 53% in 2011

• Companies with combined visibility and analytics capabilities is almost twice as likely to be a fast grower (top 20% of growth) as a firm that is below average in both skill areas

• AAFES

• Academy Sports

• Babies “R” Us

• Bass Pro Shops

• Belk

• Bergdorf Goodman

• Best Buy Co

• Big 5

• BJ’s

• Bloomingdale’s

• Bob’s Stores

• Cabela’s

• Dillard’s, Inc.

• Dick’s Sporting

Goods

• Dollar General

• Dunham’s Sports

• Famous Footwear

• The Finish Line

• Fred Meyer

• Gander Mountain

• Hibbett Sports

• The Home Depot

• J.C. Penney Co.

• Kmart Corp.

• Kroger

• Kohl’s Corp.

• Lord &Taylor

• Lowe’s

• Macy’s

• Marks Warehouse

• Meijer

• Modell’s

• Neiman Marcus

• NEXCOM

• Olympia Sports

• Peebles Stores

• PetSmart

• REI

• Saks 5th Avenue

• SAM’S CLUB

• Shoe Carnival

• Sephora

• Shoe Carnival

• ShopKo Stores

• Sports Authority

• Sport Chalet

• Stage Stores

• Target

• Wal-Mart

• West Marine

• And more...

Focus your expertise and energy where it Counts

• Companies that outsource logistics activities and focus on core strategic functions are more successful than those that do not.

• Outsourcing your electronic communications infrastructure frees up staff.

• Not leaving the small to midsize partners behind to eliminate the technology barrier.

• Standardization of data

• Transportation – movement of goods

Give all trading partners a telescope

• A key element of a resilient supply chain is end-to-end visibility.

• The ability to track products at every point.

• Identify and avoid disruption before it becomes a costly problem.

Conquer disruption with Collaborative relationships

• Your business is only as successful as that of your chosen trading partners.

• True collaborators will invest in supply chain management tools that meet your requirements and drive business.

Bonus Question

• In 2012 how much revenue did amazon.com generate per second?

Remember…

• Minor Disruptions Add Up to Major Problems

• Count on Real-Time Knowledge for Supply Chain Precision

• Seize More Sales with E-Commerce

• Move more product with accurate item info

• Focus your expertise and energy where it Counts

• Give all trading partners a telescope

• Conquer disruption with Collaborative relationships

Bonus Question

• In 2012 how much revenue did amazon.com generate per second?

$607.05

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• Session code for this session: C-265

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Contact Information• Presenter Contact Information:

– Dane DeSantis • ddesantis@spscommerce.com• @SPS_Commerce

– Hellene Thurston• hellene.thurston@swktech.com• @mapadoc• www.mapadoc.com• www.swktech.com

• Follow us @Sage_Summit– Use the official Sage Summit hashtag: #SageSummit

• Don’t forget to use the Sage Summit mobile or web app for all your conference needs.

Thank you for your participation.