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UCCnet Educational Series Part 1 Building a Better Bottom Line

UCCnet Educational Series Part 1 Building a Better Bottom Line. Agenda. Why UCCnet? Why eCollaboration? Industry Overview and Impact Who is UCCnet? UCCnet Offerings The Benefits of Using UCCnet The Case Studies How it Works/Impact UCCnet Community Next Steps. Why UCCnet?.

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UCCnet Educational Series Part 1 Building a Better Bottom Line

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  1. UCCnet Educational Series Part 1Building a Better Bottom Line

  2. Agenda • Why UCCnet? • Why eCollaboration? • Industry Overview and Impact • Who is UCCnet? • UCCnet Offerings • The Benefits of Using UCCnet • The Case Studies • How it Works/Impact • UCCnet Community • Next Steps

  3. Why UCCnet? • Retailers and manufacturers, distributors, etc., are getting involved in data synchronization efforts • Increase supply chain efficiency • Reduce costs for the industry • Support the adoption of eCollaboration by the industry • Implement common data standards of the EAN.UCC System • Subscribe to UCCnet GLOBALregistry™ • Implement UCCnet SYNCengine for item synchronization

  4. WhyeCollaboration? eCollaboration The Industry: UCCnet, UCC, EAN, FMI, GMA, VICS,Transora, WWRE, ECCC, GCI, Wal-Mart, Kraft, Colgate, Wegmans, P&G, Ahold, Microsoft, IBM, SAP, UDEX, etc… 7. Collaborative insight & product development • Additional eCollaboration Activities • 200-300 • additional basis points of • benefits 6. Collaborative sales & promotion planning You 5. Collaborative supply chain management 4. Collaborative transaction management 3. Item synchronization • Foundation for eCollaboration • Provides 10 basis points in benefits • ROI in less than 6 months 2. Single item registry 1. Common data standards Source: A.T.Kearney for GMA - FMI

  5. Industry Overview Industry leaders agree electronic collaboration is a critical business priority • Industry leaders estimate eliminating inaccurate supply chain information could save the CPG and Retail industries $25-50 billion per year • Almost $1 billion has been invested in enabling the continuous exchange and automation of item information • Electronic collaboration (synchronization) is the first step to other forms of collaboration • The need for a standards-based platform and business process Source: GMA-FMI Trading Partner Alliance

  6. Who is UCCnet? UCCnet is a not-for-profit, neutral, global,standards-based subsidiary of the Uniform Code Council (UCC). • Provides a common means for many companies and industries to trade and communicate • Lowers the costs of doing business • Simplifies and streamlines business processes • Essential for global commerce

  7. UCCnet Offerings • UCCnet Registers, Validates, and Synchronizes UCC/EAN product and locationinformation for trading partners within industries served by the UCC. • A single vision for registry with industry partnerships. • Enables collaborative relationships through standards compliant, internet based technology and business processes

  8. The Benefits of Using UCCnetWal–Mart Case Study “We knew there were benefits with UCCnet, we didn’trealize how much more we would find” • 98% of the items synchronized were updated • Item maintenance that normally took 15 to 30 days went to same day maintenance • Recognition of carry over of 30% of de-listed items • 5-15% increase in market share for early arrival of new items Source: Randy Salley – Wal-Mart, Retail Systems 2002 Presentation

  9. Staples Case Study“UCCnet will have a cross-channel impact” • On average 25% of store communications errors are related to product data inaccuracies • New item introductions take up more than two and a half resources to follow up and get complete information • 25% of item maintenance/week is updates to basic attributes controlled by suppliers: UPC, Model #, Vendor #, Description, Sell UOM, TiHi, Dimensions • Item dimensions can differ per distribution center for the same product based on measuring methods

  10. Estimated Benefits of Using UCCnet:Lowe’s Case Study“Accurate product data and streamlined business processes will allow us to focus more time selling your products ” • 44,400 hours in Merchandising activities saved per year • 17,543 hours in Payables activities saved per year • 5,200 hours in Marketing activities saved per year

  11. The Benefits of Using UCCnetProcter & Gamble Case Study “We had over 60 databases world wide, and not one had Information correctly listed” • P&G US saved $2-$5 million in productivity costs by consolidating their databases and centralizing information • 10% reduction in shelf out of stocks = $10 million reduction recovery • Saved 30-50 thousand administration hours in rework of information • 80% reduction of listing time for new items Source: Steve David, Procter & Gamble, January industry meeting

  12. UCCnet – How it Works GLOBALregistry™: A single location where standards compliant and location data is registered, identifies the ownership and accuracy of the information is validated. • Manko– Staples– Wal*Mart Example • Manko: enters product data into the GLOBALregistry™ • Manko: product data validated • Product data is ‘registered’ • Where product data should be sent is identified • Utilizing the • SYNCengine: • Manko’s product data • sent to retailers • Staples/Wal*Mart: send response to Manko • Product data is ‘sync’d’ Manco SYNCengine: performs the transactions of sending and receiving validated product information between partners. SYNCengine SYNCengine Staples Wal*Mart

  13. How it Works/Impact Item Maintenance/Item Change/Delete : • Item and party (owner of item) information stored in a central location (GTIN/GLN compliant) • Electronic delivery of transacting information (public/private) • Immediate response for item changes (“intelligent routing”) New Item • Electronic delivery of transacting information (public/private) • Capability to provide information to the accounts in advance with “release dates Benefits: • Attribute information impacting store operations, merchandising, warehousing, accounting/finance. • Accountability and maintenance of most up-to-date item information available • Real-time search and browse feature of items • Speed to market of products and increasedmarket share due to compliant data • Data Delivery: private or public transmission of information by market group, retailer, or community

  14. UCCnet Community1/19/2004 Per month growth of 100 –125 Manufacturers and 2-4 Retailers • 2500+ Manufacturers • 29 Retailers • 16 Industries

  15. Sampling of UCCnet Subscribers

  16. Next Steps • Subscribe: • On-line www.uccnet.org • Contact UCCnet at 1-800-219-8232 • Get educated: You will have access to: • Experienced community members • UCCnet Subscriber Website • UCCnet Online Document Library (eRoom) • UCCnet Help Desk 24/7 support • Educational Web Seminars: http://knowledgebase.uccnet.org/events/webEvents.asp?n=2-13&iEventType=13 • Get implemented: Training, Solution Partners

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