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Slide 1 ©2011 GXS, Inc.
Improving Logistics Process with an “ERP Firewall” and Real-Time Visibility
Rochelle Cohen, Sr. Product Marketing Manager, GXS
John Anacleto, Sr. Advisory Solutions Consultant, GXS
Slide 2 ©2011 GXS, Inc.
Agenda
Retailer Case Study Rochelle Cohen
– Old process and issues
– New process and benefits
Active Logistics Demo John Anacleto
– Obtaining updated status and ETA
– Improving carrier performance
– Ensuring data quality
• Q&A
Slide 3 ©2011 GXS, Inc.
Major Retailer
Thousands of off-the-shelf and special order products
Complex import process:
– 100s overseas suppliers
– Thousands of ocean containers/year
– Logistics network includes ocean carriers, US Customs, trucks
Complex network of retail stores, distribution centers, trans-load
facilities, coastal holding facilities, flatbed distribution centers,
reload centers
Slide 4 ©2011 GXS, Inc.
Manual Logistics ProcessesCostly, Time-Consuming, Error-Prone
1. Vendor contacted retailer for
ocean carrier selection
2. Vendor booked shipment
3. Retailer entered information
in a spreadsheet and
forwarded to purchasing and
logistics via email
4. Retailer arranged for trucking
to pick up from port and take
to DC
Status updates at
any point in the
process required
phone calls, visits to
carriers’ websites, or
contacting customs
Slide 5 ©2011 GXS, Inc.
Issues with the Manual Process
Shipments arrived at the port without advance notice to retailer
– Rush to get goods moved to DCs
– Increased container costs as shipments remained at the port for
days
– Inefficient operations at DCs that couldn’t plan in advance for
receiving
About 20% of import information was inaccurate, requiring
constant rework and vendor follow-up
Challenge: Improve shipment visibility to enable
support for dramatic increase in expected import
volumes
Slide 6 ©2011 GXS, Inc.
Solution Requirements
Real-time visibility of order
and shipment status– At all points in the supply chain
– By all functional users (purchasing,
logistics, transportation, DC
operations)
Automated communication
process
Ability for all vendors and
carriers to participate,
regardless of size
Slide 7 ©2011 GXS, Inc.
Solution Selected: GXS ActiveSM Logistics
Slide 8 ©2011 GXS, Inc.
GXS ActiveSM LogisticsSolution Components
Electronic exchange of documents Retailer sends and receives EDI documents
Vendors, carriers, customs brokers send and receive EDI
documents or web-based forms
ERPShipment
Status
Updates
Advance
Ship Notice
Purchase Order Purchase Order
Shipment Status
Updates
Advance
Ship Notice
Copy of Advance
Ship Notice
Vendors
Carriers
Ocean, Rail, Track
Customs Broker
1
2
3
4
R
e
t
a
i
l
e
r
Slide 9 ©2011 GXS, Inc.
All Trading Partners Can Exchange Documents Electronically
Web forms for SMB vendors via GXS web forms service using
business rules specific to retailer
EDI for large vendors – Active Logistics ensures clean data goes into
ERP/TMS/WMS systems
EDI for carriers – eliminates need for retailer to check individual portals
for status updates
Flat files for customs broker and other 3rd parties – Active Logistics
sends ASN copies to brokers to ensure speedy processing
Slide 10 ©2011 GXS, Inc.
Real-Time Status Information
Active Logistics portal
provides logistics,
purchasing, and
transportation and DC
operations with real-time
view of inventory
throughout the supply
chain
Slide 11 ©2011 GXS, Inc.
Data Quality Management
Active Logistics acts as an ERP Firewall
to prevent bad data from reaching
production system
Retailer-specific business rules
Field validations within web forms
Data exceptions view on portal
Slide 12 ©2011 GXS, Inc.
Performance Monitoring
50 custom reports and ad-hoc queries
are available to retailer’s functional users
Supplier Performance
Carrier Performance
Volume and Cost
Transit Times
Data Timeliness
Data Quality
Container Utilization
Slide 13 ©2011 GXS, Inc.
Results and Benefits
Managed a 600% increase in shipments per year
while adding minimal personnel
Improved error rate from 20% to less than 1%
Ability to proactively respond to and manage supply
chain exceptions
Metrics provide foundation for improvements and
negotiations with trading partners
Enables compliance with 10+2 regulations so goods
flow through customs without delay or penalty
Slide 14 ©2011 GXS, Inc.
Demo Scenarios
1. Responding to an Urgent
Customer Request
2. Using Logistics Data for
Strategic Analysis and Planning
3. Ensuring High Quality Data from
Your Logistics Trading Partners
Slide 15 ©2011 GXS, Inc.
Responding to an Urgent
Customer Request
Demo
Slide 16 ©2011 GXS, Inc.
Enter PO Number from Home Page
Slide 17 ©2011 GXS, Inc.
View Order Status
All Items have
been shipped
Click on specific item in question
Slide 18 ©2011 GXS, Inc.
Obtain Status Details
Goods arrived at port and cleared
Customs.
But, the container has not been
taken off the ship! We need the
carrier and BOL information ASAP!
Slide 19 ©2011 GXS, Inc.
Drill Down for More Details
Click on Container Number to
get the details
Slide 20 ©2011 GXS, Inc.
Expedite Delivery
Armed with these 3 values, the logistics manager
can call the carrier to expedite delivery
Slide 21 ©2011 GXS, Inc.
Using Logistics Data for Strategic
Analysis and Planning
Demo
Slide 22 ©2011 GXS, Inc.
Reports to Uncover Bottlenecks, Under-Performing TPs, Performance Data
Slide 23 ©2011 GXS, Inc.
Example: Carrier Transit Times Report
How long does it take for goods to move
from one location to another?
Helps manage DCs and optimize
inventory to lower inventory and
transportation costs, improve working
capital
Slide 24 ©2011 GXS, Inc.
Specify Report Details
Date
range
Specific
or all
carriers
Specific or All
destination
codes
Slide 25 ©2011 GXS, Inc.
Report Shows Carrier Transport TimesEnabling Better DC and Inventory Planning
Slide 26 ©2011 GXS, Inc.
Ensuring High Quality Data From
Your Logistics Trading Partners
Demo
Slide 27 ©2011 GXS, Inc.
Exceptions Quadrant on Main MenuMonitor for Timely Issue Resolution
Example:•37 Exceptions on
June 10
•Click for details
Slide 28 ©2011 GXS, Inc.
See Listing of All Exceptions
Slide 29 ©2011 GXS, Inc.
Click on Action Button and then Fix
Slide 30 ©2011 GXS, Inc.
Determine Cause of Error
Exclamation
point
highlights
the error
Slide 31 ©2011 GXS, Inc.
Click on Exclamation Point to Obtain Error Details
Now, you
can obtain
correct
carrier #,
enter on
screen and
submit
Slide 32 ©2011 GXS, Inc.
GXS Logistics Network
GXS Active LogisticsTrack and Trace for Shipments across All Transportation Modes
Reverse
Pipelines
Order and Shipment Correlation
Order Quantity
Roll-UpDynamic ETA
Exception
Alerts
Scorecards
Hosted Visibility Portal
GXS Logistics Network
• Hundreds of pre-configured logistics
connections
• Carrier/trading partner on-boarding
• Data quality management
• Data management services
• Error resolution dashboard
Slide 33 ©2011 GXS, Inc.
Questions?
Rochelle CohenSenior Product Marketing Manager
John AnacletoSr. Advisory Solutions Consultant, GXS
Slide 34 © 2011 GXS, Inc.
Thank You for Your Participation!
For More Information:
Phones:
US: 1-800-334-5669, option 3
EMEA: +44 (0) 1932 776047
ASPAC: +852 2884 6088
Japan: +81-3-5574-7545
GXS web sites:
US: www.gxs.com
EMEA: www.gxs.eu
ASPAC: www.gxs.asia.com
Japan: www.gxs.co.jp
Presenters:
John Anacleto, John.Anacleto@gxs.com
Rochelle Cohen, Rochelle.Cohen@gxs.com
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