Barcoding and EDI
Implementation
September 24, 1998
Presented by:
Dave Morton, President & CEO, The Quaker Oats
Company of Canada Limited
Nick Jennery, President & CEO, CCGD.
Canadian Barcode
Initiative
Selling Unit
Case
Pallet
Canadian Selling Unit
Barcode Initiative
• Progress strong with accuracy 99%+
Validation procedures in place
• Driving efficiency in Canadian
Industry
Canadian Case
Barcode Initiative
Current Situation
• Required to drive efficiencies
– Warehouse receiving
– Warehouse picking accuracy
– D.S.D. receiving
• Canadian Standard case bar code one side
• Some distributors live - others investing
Canadian Case
Barcode Initiative
Current Issues
• May survey - 60% cases with bar codes
• Efficiency require critical mass
• Some suppliers hesitate to invest
• Quality/Accuracy an ongoing challenge
Canadian Case
Barcode Initiative
Next Steps
• Grace period established to January, 1999
• “All Distributors will take the action
required to ensure compliance to the
January 1999 deadlines”
• Cost recovery a real possibility
Canadian Pallet License
Plate/ASN Initiative
Part of Canadian Supply Chain Vision
• Supports efficient
distribution/receiving/warehousing
• Each pallet “Bar Coded” with license plate
• Supported by Advanced Ship Notice
Transaction
Canadian Industry
EDI Overview
• EDI A Key Enabler To Overall Supply
Chain Cost Reduction
— Provides accurate and timely information
— Reduces manual effort
— Eliminates many errors
— Supports many ECR initiatives
Canadian Industry
EDI Overview
Current Status
• Canadian Industry Progress - Unsatisfactory
– Limited to P.O. and Invoices
– Advanced practitioners few - little benefit
• Key Industry Issue - Critical Mass
– Broad EDI transaction base
– Wide partner usage
Canadian Industry
EDI Overview
Barrier to Development
•
•
•
•
•
Benefits unique/tough to quantify
Large - long-term investment
Competing corporate priorities - Year 2000
Multiple versions - Labour intensive
Overall - Lack of future vision
Canadian Industry
EDI Overview
Key Initiatives
1) Industry Adoption VIC’s 4010
–
–
–
–
Year 2000 capable
General merchandising standard
Canadian Industry Implementation Guide
Broad Industry endorsement
May 1999 Conversion Deadline
Canada Safeway Ltd.
Co-op Atlantic
Federated Co-operators Ltd.
Great A&P Co. Canada Ltd.
Loblaw Companies Ltd.
Metro-Richelieu Inc.
Overwaitea Food Group
Provigo Inc.
Sobeys Inc.
The Oshawa Group Ltd.
Thrifty Foods
Unilever Cda. Ltd.
The Quaker Oats Co.
of Cda. Ltd.
Proctor & Gamble
Inc.
Pepsi-Cola Canada
Ltd
Parmalat Canada Ltd.
Kraft Canada Inc.
FBI Brands Ltd.
Coca-Cola Ltd.
Indicate in the appropriate box
the planned date for moving to
the EDI-4010 standard for each
trading partner
Culinar Inc.
ECR Canadian Grocery Industry Migration
Schedule to EDI VICS-4010 Standard
Latest Scheduled Date Is To Be May 1999
Canadian Industry
EDI Overview
Key Initiatives
2) Industry Adoption - Supply Chain Vision
– Covers 4 major Supply Chain processes
•
•
•
•
Data Alignment
Efficient Replenishment
Physical Distribution/Warehousing
Financial Reconciliation
– Specific EDI transactions/timing
Canadian Industry
EDI Overview
Summary
• Major financial benefits
• Execution of implementation plan
critical