EDI: Workhorse of the Value Chain

Where are You?

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Current State

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Our Goal

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

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Agenda

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Study Overview

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

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Over Half of Respondents Work in a Discrete Industry

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Half of Respondents Work in IT, Nearly Half are Managers and Over Work in the US

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Four in Five Report Having a Formal Supply Chain Organization

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

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Agenda

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Definitions

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

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

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Agenda

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

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

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

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Awareness of Internal Order Costs is Low for Both Order Types

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

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

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

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

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

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

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Non-Discrete Industries and Non-IT Roles are More Likely to Consider Purchase Order Acknowledgements to be Important

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Customer Order Captures and ASNs are Top Performing Elements of EDI/XML for Improving Supply Chain Performance

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Greatest Gaps in Performance: ASNs and Purchase Order Acknowledgements

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

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Agenda

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82% of Respondents are at Least Slightly Familiar with Companys Distribution Center

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

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Top Challenges When Dont Have ASNs are Longer Receiving Times and Inability to Plan Labor Schedules

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

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

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

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

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Agenda

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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.

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Questions?

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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)

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