UCCnet Educational Series
Part 1
Building a Better Bottom Line
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Agenda
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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
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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
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Why eCollaboration?
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…
You
7. Collaborative insight
& product development Additional
eCollaboration
6. Collaborative sales &
Activities
promotion planning
•200-300
additional basis
5. Collaborative supply chain
points of
management
benefits
4. Collaborative transaction
management
3. Item synchronization
2. Single item registry
1. Common data standards
Source: A.T.Kearney for GMA - FMI
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Foundation for eCollaboration
•Provides 10 basis points in benefits
•ROI in less than 6 months
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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
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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
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UCCnet Offerings
• UCCnet Registers, Validates, and
Synchronizes UCC/EAN product and location
information 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
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The Benefits of Using UCCnet
Wal–Mart Case Study
“We knew there were benefits with UCCnet, we didn’t
realize 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
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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
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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
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The Benefits of Using UCCnet
Procter & 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
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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
SYNCengine
•Utilizing the
SYNCengine:
•Manko’s product data
sent to retailers
•Staples/Wal*Mart: send
Staples
response to Manko
Manco
SYNCengine
Wal*Mart
•Product data is ‘sync’d’
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SYNCengine: performs the
transactions of sending
and receiving validated
product information between
partners.
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How it Works/Impact
Item Maintenance/Item Change/Delete
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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
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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 increased market share due to
compliant data
– Data Delivery: private or public transmission of information by
market group, retailer, or community
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UCCnet Community
1/19/2004
Per month growth of 100 –125
Manufacturers and 2-4 Retailers
• 2500+ Manufacturers
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29 Retailers
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16 Industries
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Sampling of UCCnet Subscribers
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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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