Global Data Synchronisation Benefits

Get your basics right:
Global Data Synchronisation
The work of the GCI
Global Data Synchronisation
Implementation Team

Nigel Ruud Kees David
Bagley van der Pluijm Jacobs Timberlake

eBusiness Value

Better
Consumer
Shared Processes Response

COMPLEXITY
$ RETURN

Better
GROWTH Customer
Shared CPFR (Forecasting) Service
Information ECR (Category Management)...

Transactions Reduced

EFFICIENCY
Costs

Shared Reduced
Item Maintenance Order to Cash Transaction
Data Errors

FOUNDATION
Standards Connectivity Information flow & alignment

© Unilever 2004 & 2005

Global Data Synchronisation - ECR Europe April 2005 Page 2

Implementation Team Priorities:
Illustrate the Business Case for GDS
Address concerns with potential
duplication between GDS and EPC
networks
GCI member companies “Get it
Going!”
Resolve industry issue on data quality


Agenda
Why do GDS?
The Project Jury Business Cases

What is needed to make it happen?
Data Quality video

Making it Happen!
Conclusion


Agenda
Why do GDS?
The Project Jury Business Cases

Making it Happen!
Conclusion


GDS is happening !!
Global Registry
2. T he data pool sends is in place
very basic information
about the item to the
3. T he registry holds this
Registry basic information about all
Global Registry items and the location of
each items’ home data
Global Standards exist pool.

Increasing
Manufacturer 4. A retailer will obtain the
Global Standards Retailer Adoption (or
required item information
Data ‘search’ the registry) via their
Pool • Product identification Programs (single point
selected data pool
of entry)
• Product Attributes
• Product Classification
1. A manufacturer will Data
publish item information to • Data Synchronisation
the item’s home data pool Pool
(single point of entry).

Increasing 5. T he trading partners synchronise Retailer
Manufacturer the item information between their
respective data pools using
Adoption Programs subscription/publication process.

Increasing # of Certiﬁed and
Interoperable Datapools


Illustrating the Business
Benefits of GDS


Key Messages From The Report

GDS is no longer just a
concept
GDS is producing
measureable business
benefits for both retailers and
manufacturers – across the
world
Early adopters realise GDS
provides a foundation for
future collaborative commerce
Data is really important – it’s
an asset


The Basis Is a Simplified But Realistic
KPI Model
Manufacturer Retailer

Collaborative KPIs
Increase Increase
Sales Sales
• Speed to Market • Speed to Market
• On-Shelf Availability • On-Shelf Availability

Improve Productivity Improve Productivity
• Item Maintenance • Item Maintenance
& Publication Effort & Publication Effort
• Error Reconciliation Effort • Error Reconciliation Effort

Reduce Costs Reduce Costs
• Transport Costs • Transport Costs
• Deductions •Store Operations Costs
•Planogram Management

Data Quality = Foundation Data Quality = Foundation


The Cases are Convincing…
Johnson & Johnson have virtually eliminated data
integrity-related out-of-stocks at Wal-Mart U.S - resulting
in 2.5% fewer out-of-stocks
In Guatemala, Procter & Gamble and retailer La Fragua
have increased purchase order accuracy by 3%
At Dutch retailer Albert Heijn, GDS has measured a
30% productivity improvement in their data management
department.
Leading Japanese retailer AEON has realised
improvements in their item introduction lead times.
Gillette Venezuela improved their order processing
productivity by more than 50%
US retailer Wegmans has increased store sales by
reducing speed to market on new items by two weeks
Unilever Colombia improved new item speed to market
from 3 to 4 weeks to just 2 to 3 days, increasing item
sales by 2 to 3 weeks


….and People like the Results !!
‘This project provided us ‘GDS will become part of
Atsunobu Agata
tangible benefits’ every merchandiser’s daily Senior VP IT
business’ AEON

Julio Quevedo
Operations & Logistics VP
La Fragua
‘GDS is ‘GDS is driving many
internal operational
Chuck Hurley,
efficiencies, which is so
National Account Executive
Gillette Company, US my important within an
industry that typically has

‘With accurate
new friend’ low profit margins’
‘The benefits are well
synchronised data we are
worth the costs’
able to improve our supply
chain, develop greater
trading partner Luis Miguel Da Gama
Michael J. Haas
collaboration and better VP of IT President
serve our customers’ Sander van der Laan Johnson & Johnson Excelsior Gama
Exectutive VP Commerce
Albert Heijn


Johnson & Johnson Decrease
Out-of-Stocks With GDS at Wal-Mart

Scope of GDS Activities
Companies Increase
J&J and Wal-Mart in US
Transora and UCCnet
Sales
Datapools
Assortment 1300 SKU’s in 75 categories •On-Shelf Availability

Improve Productivity
• Item Set-up
& Maintenance Effort
Measured Benefits
On shelf Availability 2.5 % fewer out-of-
Reduce Costs
stocks
• Transport Costs
Item Set-up & Decrease from 10 days
Maintenance to 24 hours
Transportation Costs Optimised truckload-
Data Quality = Foundation
planning


Albert Heijn Reduce Data Management
Effort by 30% With GDS

Scope of GDS Activities
Increase
Companies SCA Hygiene, Kimberly-Clark, Ontex & P&G
Sales
Datapools WWRE and GS1 DAS
Assortment Female Hygiene category

Improve Productivity
• Item Set-up
& Maintenance
Measured Benefits
Item Set-up & Maintenance 30 % reduction in data Reduce Costs
Effort management effort

Data Quality Elimination of dimension
discrepancies (before: 40%
of attributes were incorrect) Data Quality = Foundation


Let’s Not Lose Sight of The
Consumer Benefits

On-shelf availability

Speed to market

Better replenishment

Competitive pricing


The Path of Lost Opportunity
If innovation is unable to navigate
The supply chain…
•Manufacturer loses sales

•Retailer loses sales

•Consumer loses choice


Agenda
Why do GDS?
The DATA perspective
Data Quality video

The IT perspective
The PEOPLE & PROCESS perspective

Making it Happen!
Conclusion


Internal Alignment Internal Alignment

External Synchronisation

People & People &
Processes Processes

Data GDS Data

IT IT

The Data Perspective


What is Good Data Accuracy?
Developing an agreed version of the truth for item information
Within your organisation and across the supply chain with trading
partners
Good Data Accuracy means that all master data within your business
systems and across operating companies is
Complete ('all required values are electronically recorded')
Consistent ('no different attribute-values in different business systems')
Accurate ('right values at right time')
Available ('the data can be deployed without manual interference)
Time stamped ('the validity-timeframe of the data is clear')
Industry standards based - but flexible enough to accommodate
non-standard data in the short term


Look at The Big Picture - Good Data
Quality is Not Just About Supply Chain

It’s about aligning data within the organisation to
‘One Version of the Truth’


Focus Areas


Good Data Quality Needs a Blend of
The Right Ingredients

d s
ar

D te
C
nd

at nt
on

a
a
St

Data
Quality
o gy

Pr
ol

oc
h n

es
ec

s
T


Why Use Industry Standards??

Because Different Standards = Cost and Complexity

Issues such as:
• Non-alignment of data
• Interoperability problems with trading
partners
• More invoice disputes
• More wasted sales and accounting time


Industry Standards

Where do I find the standards? What standards exist?
Global Data Synchronisation –
GDS
Global Data Dictionary – GDD
Global Product Classification –
GPC
Extensible Markup Language –
XML

Find the standards at:
www.gs1.org




People & People &
Processes Processes

Data GDS Data

IT IT

The IT Perspective


Selecting your datapool
Consider the following criteria:
Is the datapool meeting your internal business and IT
requirements ?
Is the datapool covering the current and future demands of
your trading partners ?
Is the datapool compliant with the Global Standards, and is
it interoperable with the datapools your trading-partners are
using ?
How strong is the support-structure of the datapool ?
How competitive are the costs ?


Internal Data Alignment

Today’s Reality on
Product Data Management
Product information is collected, maintained,
and replicated across multiple systems

Item information is manually entered in
MULTIPLE systems
Cleansing takes a lot of effort; nevertheless:
Item information is NOT consistent across
systems
Lead times of data-recording are not managed
Item information lacks integrity and standards


Internal Data Alignment

Tomorrow’s Vision of
Product Data Management
Single source of truth for item information
Single entry and maintenance of item information
“Synchronization” of item information
Transora, WWRE etc.

Streamlined and standardized item data management
processes
Clear rules and responsibilities for item management
Workflow support for relevant processes (new product
introduction, promotions, end-of-life-cycle)
monitoring of lead times

Utilization of global data standards
GTIN, GLN, GPC, GDD, GDS


IT Growth Path

Trading Partners Trading Partners Trading Partners

GDSN GDSN GDSN
Datapools Datapools Datapools

Sales / Sales / Sales /
Other Other Other
Buying Buying Buying
Systems Systems Systems
System System System

Supply Supply Supply
F&A F&A F&A
Chain Chain Chain

Product Data
Aggregation &
Synchronisation-only Management
Synchronisation
& Synchronisation




People & People &
Processes Processes

Data GDS Data

IT IT

People
The & Perspective
Processes


People and Process
Current Processes are Duplicated and
Fragmented
Be Prepared for Organisational Impact and
Resource
Establish and Maintain Governance

GDS - Establishing a Way of Doing Business


Current Processes Are Duplicated &
Fragmented
Re-keying of marketing
codes and descriptions
for supply chain Missing data standards
Product dimensions Manual data
Missing attributes
Need re-measuring key-in repeated

Data returned
Errors For completion of
In attributes
Promo.
Detail

Managing Bar codes
Data blocked, don’t scan
invoice queries returned, changed


Eddie


Be Prepared for Organisational Impact &
Resource
1. Become Data Centric
• Establish a business sponsor

• Dedicate a team of IT and
business specialists

• Recruit local process and
data champions
2. Establish Data Governance

• Master data is owned by the
organisation – not the individual

• Governance needs to be inclusive
of all major functions

• Prepare initially for a project
- plan for a way of life


GDS – Establishing a Way of Doing
Business- The Responsibility
Data Quality
of Every Stakeholder

Data
Manager Department
Controller

Data Systems
Producer Owner
• Organisation
• Technology
• Process

Regard Data Attributes as Part of Your Brand Value


Agenda
Why do GDS?
Making it Happen!
Conclusion


The challenge for retailers and manufacturers:
how to implement GDS successfully ?
Programme Management

Key
Implementation Validated Business
Enablers Case linked to KPIs

RoI
Platform selection Clear strategic plan
& implementation Time for business and partners

Product Data
Quality & Standards

Defined processes,
Behavioural assessment scenarios and pilots
and change management CENTRAL

Marketing Quality control
Product info
service
Admin &
Finance
DATA POOL

Data pool system
TRANSORA
LOCAL

Home
shopper
Supplier
NORMALIZATION

UDEX

EVERYWHERE SALES UNIT LOGISTICS

Finance & Qualty Wholesale
Sales R&D
Retailer Supplier Admin control Shipping Distributor

Incoming information flow channel

Category/ Receive order Product Monitor Data Feeding B2C Manage
promotions introduction stock warehousing catalogues waste

Replenish Report ...
... ...
stock locally

... Do inbound Report to
... ...
logistics corporate

Profil
Expedition
... ... consumer
planning
needs

Process
... invoice

Outgoing information flow channel


You can use the GDS Roadmap

Start Small and Build … begin with adoption of Industry Standards
and small scale pilots with trading partners


Before you Start – Are you Ready?

Senior Management
Buy-in

Awareness within the
Readiness Index Organisation

Self-Assessment Factors Cross Functional Co-
Operation

Investment budgeted

Data Pool Selection

Experience with Pilots


Focus on the following aspects:
Develop Clear Business Case / Concrete KPI’s
Measure the business improvements of GDS
Focus on Internal Data Alignment
Provide on-going, high quality data, i.e., complete,
consistent, accurate, etc., etc.,
Establish a Connected IT Platform
Integrate internal and external systems
Drive Trading Partner Adoption
Collaborate with trading partners


Agenda
Why do GDS?
Making it Happen!
Conclusion


Conclusion
GDS is working in the Real World
the benefits have been measured
Proven benefits for both retailers and manufacturers
all over the world
Data accuracy is a key requirement.
This needs alignment of people, processes and technology
How can you reap these benefits ?
Prioritise it
Resource it
Organise for it Get Started Now !!


Collaboration is key


Organise yourself a GCI GDS workshop

Objective is to support Retailers and
Manufacturers in their GDS Activities by
offering tailored workshops that
Raise Awareness
Educate (GCI GDS Vision, GDS Standards,…)
Focus on Critical Areas (Typical challenges,
Success Factors)
Help planning the right Activities (Individual GDS
Roadmap)


GCI GDS workshops will make your
organisation enthousiastic about GDS

Session Concept
SCAN
GDS Business Case
GDS (Best) Practices
Retailer Demands
Current Status & Issues
FOCUS
Evaluation of input
Define Critical Issues for GDS
implementation in your company
ACT
Define & Argument Actions to take
forward


Please let us know…

Sabine Ritter, GCI at Sabine.Ritter@gci-net.org


Final Remarks
The Benefit is there!
Project Jury proves the business case

The Infrastructure is there
Global Registry and GDSN are a reality

There is help to get started
GCI GDS Workshops
Publications and Videos


eBusiness Value

Better
Consumer
Shared Processes Response

COMPLEXITY
$ RETURN

Better
GROWTH Customer
Shared CPFR (Forecasting) Service
Information ECR (Category Management)...

Transactions Reduced

EFFICIENCY
Costs

Shared Reduced
Item Maintenance Order to Cash Transaction
Data Errors

FOUNDATION
Standards Connectivity Information flow & alignment

© Unilever 2004 & 2005


Global Data Synchronisation Benefits

Recomendados

Recomendados

Mais conteúdo relacionado

Mais procurados

Mais procurados (19)

Semelhante a Global Data Synchronisation Benefits

Semelhante a Global Data Synchronisation Benefits (20)

Mais de ECR Community

Mais de ECR Community (20)

Último

Último (20)

Global Data Synchronisation Benefits