IMPLEMENTING EDI IMPLEMENTING EDI VERSION 4010VERSION 4010

AN OVERVIEWAN OVERVIEW

AgendaAgenda

• The Argument For An Industry Solution• What Is VICS 4010?• How Do I Implement 4010 With My Trading Partners?• Roundtable Discussion

Today’s BusinessToday’s Business Climate Climate

• Rapidly Changing Consumer PreferencesRapidly Changing Consumer Preferences

• Relentless Focus OnRelentless Focus On Expense ReductionExpense Reduction

• Disappearing Demarcation BetweenDisappearing Demarcation Between Distribution ChannelsDistribution Channels

• Hyper-Aggressive CompetitionHyper-Aggressive Competition

… … Tell Me Something I Don’t Tell Me Something I Don’t Already Know!Already Know!

An IndustryAn Industry Solution Solution

• A Vision Of A Common Approach To A Vision Of A Common Approach To Common ProblemsCommon Problems

• Greatest Opportunities In The Area Of Supply Greatest Opportunities In The Area Of Supply ChainChain ManagementManagement

Supply Chain VisionSupply Chain Vision

To reduce total Supply Chain inefficiency To reduce total Supply Chain inefficiency

and costs by utilizing and supporting and costs by utilizing and supporting

technology enablers on all major technology enablers on all major

transactions. transactions.

Supply Chain VisionSupply Chain Vision (Cont’d.)(Cont’d.)

• The overall outcome is the right product, in The overall outcome is the right product, in the right place, at the right time, resulting the right place, at the right time, resulting in:in:— Higher Customer Service Levels Higher Customer Service Levels

— Reduced inventory Reduced inventory

— Increased Distribution, Transportation and Increased Distribution, Transportation and Manufacturing EfficienciesManufacturing Efficiencies

Industry EnablersIndustry Enablers

• The Industry Must Achieve The Industry Must Achieve Critical MassCritical Mass Using Key Enablers: Using Key Enablers:

— UPC Numbers On All ProductsUPC Numbers On All Products

— Bar Codes For Rapid IdentificationBar Codes For Rapid Identification (Package, Case, Pallet)(Package, Case, Pallet)

— Integrated EDIIntegrated EDI

Common EDI Common EDI Architecture For Architecture For

The Food & Drug IndustryThe Food & Drug Industry• Transaction SetsTransaction Sets

– StandardsStandards– Industry GuidelinesIndustry Guidelines– VersionVersion

Common EDICommon EDI Architecture For Architecture For

Food & Drug Retail Food & Drug Retail (Contd.)(Contd.)

• Transaction SetsTransaction Sets– StandardStandard - X12 Standard- X12 Standard– Industry Guideline Industry Guideline - VICS Implementation - VICS Implementation

Guideline Guideline– Version Version - Version 4010- Version 4010

Alignment With Alignment With North American EDI North American EDI

StandardsStandardsX12

Standard

VICSGuideline

Canadian Food& Drug

Why VICS 4010?Why VICS 4010?

• Depth Of FunctionalityDepth Of Functionality

• Large Install Base In General MerchandiseLarge Install Base In General Merchandise

• Likely Migration Point For Other Industry Likely Migration Point For Other Industry Sectors Sectors • Version 4010 Is Y2K - CompliantVersion 4010 Is Y2K - Compliant

Canadian Food & Drug Canadian Food & Drug Retail EDI Transaction SetsRetail EDI Transaction Sets

• Purchase Order (850)Purchase Order (850)

• Purchase Order Acknowledgement (855)Purchase Order Acknowledgement (855)

• Invoice (810)Invoice (810)

• Ship/Notice Manifest (856)Ship/Notice Manifest (856)

• Product/Sales Activity (852)Product/Sales Activity (852)

• Direct Store Delivery Summary (882)Direct Store Delivery Summary (882)

How Do I Implement 4010?How Do I Implement 4010?

EDI 4010 EDI 4010 Implementation ChecklistImplementation Checklist

• PlanningPlanning– Identify/Determine Trading Partner Identify/Determine Trading Partner

RequirementsRequirements– Internal Education & Communication StrategyInternal Education & Communication Strategy– Contact 3rd Party Service ProvidersContact 3rd Party Service Providers– Assess Application ImpactAssess Application Impact

• Systems & Procedures UpgradeSystems & Procedures Upgrade– Integrate With Y2K ActivitiesIntegrate With Y2K Activities– Install/Upgrade Translation and Network Install/Upgrade Translation and Network

Software Software – Internal & External CertificationInternal & External Certification

EDI 4010 EDI 4010 Implementation ChecklistImplementation Checklist

EDI 4010EDI 4010 Implementation Checklist Implementation Checklist

• Production RolloutProduction Rollout– Data Cleanup, Data ConversionData Cleanup, Data Conversion– Pilot With Initial Trading PartnerPilot With Initial Trading Partner– Rollout By Trading PartnerRollout By Trading Partner

Where To Get Where To Get More InformationMore Information

Electronic Commerce Council Of Canada 885 Don Mills Rd. Suite 301

Don Mills, Ontario

M3C 1V9

(416) 510-8039 or 1-800-567-7084

or

Visit the ECCC “Knowledge Network” http://www.eccc.org

Roundtable Roundtable DiscussionDiscussion

Participants

Renato Asrubolini - National Grocers

Rich Emrich - J.M. Schneider

Pete Hendel - Procter & Gamble