B2B in Retail

EAN.UCC Standards and Direction

……….………………………….

John TerwilligerVP, Market Development

©2002 Uniform Code Council, Inc.

B2B eBusiness

eBusiness has caught the imagination of more than many

Enabled by new technologies, chiefly the internet (free movement of information)

Is writing XML schemas the new national pastime?

©2002 Uniform Code Council, Inc.

What is the UCC doing?

Who is the UCC? What are EAN.UCC Standards? Path to the Future:

• Data Synch and Registry Services• Software Interoperability

©2002 Uniform Code Council, Inc.

Key Goals of UCC

Provide strong foundation of open and global standards

Reduce supply chain costs Create fast and seamless data

exchange by removing e-business bottlenecks

©2002 Uniform Code Council, Inc.

Who is the UCC?

Experienced organization - permanent employees with extensive experience in:

XML EDI Business Process Modeling Physical identification (barcode & RFID) Standards development and management

©2002 Uniform Code Council, Inc.

Who is the UCC?

Globally recognized Standards Management Process (GSMP)

Top down development of multi-industry standards based on Business Processes

Simpl-eB CPFR®

©2002 Uniform Code Council, Inc.

What are EAN.UCC Standards?

Information Flow• EDI

UCS VICS EDI Industrial Commercial EDI EANCOM

• XML – based on business process that assumes data synchronization occurs outside the business process (e.g. – UCCnet)

©2002 Uniform Code Council, Inc.

What about EDI? It is NOT dead! There are NO true global EDI standards! Networks are disparate Lessons learned

• mismatched product & location data• redundant data on business documents• Up to 30% error rate on purchase orders, advance

ship notices and invoices• Technology centric

XML is complementary to EDI

©2002 Uniform Code Council, Inc.

The EAN•UCC System“Future Proofing” your investment

©2002 Uniform Code Council, Inc.

What are EAN.UCC Standards?

Strong legacy in Identification Numbers GTIN - Trade Items GLN - Locations SSCC - Logistics Identifier GIST - Instance Identifier GIAI - Individual Assets GRAI - Returnable Assets GSRN - Service Relations

©2002 Uniform Code Council, Inc.

What are EAN.UCC Standards? Strong legacy in physical ID to tightly link the

flow of physical products to information flow• Physical Products

Bar Codes• EAN/UPC• UCC/EAN-128• RSS• Composite - 2D

RFID: GTAG - Open Standard RFID The Future: ePC (MIT Auto ID Center)

©2002 Uniform Code Council, Inc.

The EAN•UCC System“Future Proofing” your investment

©2002 Uniform Code Council, Inc.

IDE

NTI

FIC

ATI

ON

Identification Numbers

RFIDRFID

GTIN GLNGTIN GLN

GIAI GISTGIAI GIST

SSCC GRAISSCC GRAI

GSRNGSRN

EDI

RSSRSS

XML

EAN/UPC EAN/UPC

UCC/EAN-128UCC/EAN-128

EAN•UCC Core Technologies

Data Carriers

90+ 90+ Application Application IdentifiersIdentifiers

IDE

NTI

FIC

ATI

ON

DA

TA C

AP

TUR

E

Ecommerce

SUPPLY CHAIN

MANAGEMENT

©2002 Uniform Code Council, Inc.

Key Thoughts

The EAN.UCC is not unique in managing bar codes and data structures

The EAN.UCC is not unique in seeking global standards

The EAN.UCC is unique in its emphasis on the link between the physical product and the business information flow.

©2002 Uniform Code Council, Inc.

What is B2B e-Business?

It is information flow between trading partners

(computer-to-computer and NOT rip, read and re-key)

©2002 Uniform Code Council, Inc.

Tools to support

One-to-one proprietary connections Major trading partner required solution Value Added Networks (VANs) Data Pools (product catalogs) Registries (index of where the data is,

a.k.a. “yellow pages” on steroids)

©2002 Uniform Code Council, Inc.

ROI

10,000s 100,000s1,000s0

Community Size

100s

•Global B2B

•Small & Large Cos.

•Internet Based

•Multi-Sectoral

•Collaborative

Path to the FutureAchieve maximum

return with maximum

community size

EDI

XML

Interoperability

Data Sync

EDIINT

Standards

Registry

©2002 Uniform Code Council, Inc.

Why are data synch and registrycritical to you?

Multiple databases & interfaces Conflicting item definitions Slow product updates Inaccurate / slow communications Challenges of getting new products to market Incorrect / returned shipments Deductions & lost shelf time

©2002 Uniform Code Council, Inc.

Usual approach

RE

TA

IL S

IDE

SU

PP

LY S

IDE One-to-one One-to-one

ProcessesProcesses

©2002 Uniform Code Council, Inc.

With UCCnet

RE

TA

IL S

IDE

SU

PP

LY S

IDE

©2002 Uniform Code Council, Inc.

Industry Benefits

Simplifying and standardizing business processes

Stronger relationships across the entire value chain

Improved inventory control and capacity planning Decreased data synchronization costs

(economies of scale) Streamlined deductions management Streamlined new vendor setup and introduction Accurate pricing and promotion information

©2002 Uniform Code Council, Inc.

Short-Term Benefits

Improve trading partner relationships Automate a manual process Enable more accurate execution of orders Reduce costly transaction processing errors Eliminate most disputes & deductions Increase speed to market for new products Facilitate changes to existing item information

©2002 Uniform Code Council, Inc.

Long-Term Benefits Less sales administration, more time for

strategy More accurate inventory management Enable other supply-chain management tools Enable other collaborative e-commerce

initiatives Improve customer satisfaction Drive efficiency and value throughout the

industry Allow for more accurate reporting capabilities

©2002 Uniform Code Council, Inc.

Interoperability is Critical for Efficient e-Business Companies are doing business with

more trading partners than ever before Supporting multiple systems and

platforms has become costly and complex

Lack of software interoperability creates time-consuming supply chain bottlenecks

©2002 Uniform Code Council, Inc.

UCC Interoperability and Conformance Program

Jointly managed with Drummond Group, one of the world’s leading conformance consultancy groups

Standards-based conformance Tests interoperability between different

product offerings

©2002 Uniform Code Council, Inc.

UCC Interoperability and Conformance Program (cont’d)

Neutral testing environment Conducted in a “real world” business

environment Certification at completion of test round

©2002 Uniform Code Council, Inc.

Program Benefits

Bring clarity and direction to the market Makes interoperability a priority with

solution providers Ensures offerings are standards-based Embraces software/system diversity Certification allows users to select e-

business software with confidence Improves supply chain management

©2002 Uniform Code Council, Inc.

EDIINT – AS1 Test

Seven companies are currently undergoing testing for AS1 with results to be published at the end of July 2002:• bTrade, inc.• Cyclone Commerce Inc.• Hewlett Packard Company• InterTrade Systems Corporation• IPNet Solutions• Sterling Commerce• TIBCO Software Inc

©2002 Uniform Code Council, Inc.

EDIINT – AS2 Test Twelve companies are currently undergoing

testing for AS2 with results to be published at the end of July 2002:• bTrade, inc.• Cleo Communications• Cyclone Commerce Inc.• GE Global eXchange Services• Hewlett Packard Company (formerly Compaq Computer Corporation)• InterTrade Systems Corporation• IPNet Solutions• iSoft Corporation• Sterling Commerce• TIBCO Software Inc.• Vitria Technology, Inc.• webMethods, Inc

©2002 Uniform Code Council, Inc.

CPFR® Test

Seven companies are currently undergoing testing for CPFR with results to be published at the end of July 2002:• i2 Technologies, Inc.• IPNet Solutions, Inc. • JDASoftware Group, Inc.• Logility, Inc.• Manugistics Group, Inc.• SAP• Syncra Systems, Inc.

©2002 Uniform Code Council, Inc.

ebXML Messaging

Four companies completed testing for ebXML Messaging with results published earlier this year:• bTrade, inc.• Cyclone Commerce Inc.• Sterling Commerce• Sybase Inc.

Another round of tests will start in July 2002

©2002 Uniform Code Council, Inc.

One simple concept

Physical flow of trade items and logistic units

Information flow (POs, invoices, shipping notices, etc.)

Business success requires both! The EAN.UCC system ties them together!

©2002 Uniform Code Council, Inc.

Thank you!

John Terwilliger Vice President, Market DevelopmentUniform Code Council, Inc.E-mail: jterwilliger@uc-council.orgWeb: www.uc-council.org