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IDII Software Newsletter
Volume 1 No. 8
June 12th 2000 |
To assist the professional dealing with software in Warehousing Distribution, Logistics,
and the Supply Chain.
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Techniques, Vision, & Educational Thoughts
Selecting Software:
Expensive, Large Impact, and Expectations
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All large software purchases have large risks and rewards. The rewards and return on investments
(ROI) are stated early on, but the
area that
we must emphasis is the "large
risk".
The large risk is extremely high, which could
include the company losing significant
business
or even shutting it's doors - based upon failure to deliver product
- failure to invoice - failure to meet payroll
- closure. This is a "sober" fact
that there are ERP, WMS, TMS, and CRM solutions
that have had large investments of time and
money, but were failed installations based
on either the software being removed, or
high dissatisfaction with the resulting installation.
According to Warehouse Education Research Council (WERC) and Arthur Anderson - only 40% - 4 out of 10 companies were satisfied with the installation! Both Software Vendors
and Companies prefer to hide, ignore, side
step this reality - as it is distasteful
to discuss and ponder. Therefore, we will
briefly focus on ways to increase your success
on a successful installation.
Avoid "project creep". When major software purchase is approved,
there is an expectation from all departments
that "maybe my unmet needs can be met."
It is too tempting to say yes to too many
items - the project continues to grow and grow
- project creep! Best policy is to say NO to requests that
are outside the scope of the project. For example, with a new WMS, the personnel
department is asking on a system to
track
time and attendance for ALL employees.
It
is time to say NO - because a WMS solution
is utilized only in the warehouse area.
Best
practices also encourage use of a phased
approach - let low priority requests
go into
phase 2 or phase 3.
Avoid "customizations". Companies are tempted to remodel software
for various reasons. If you want to
stay
on the normal release path of the software
vendor - then one must avoid a large
amount
of customizations to the software package.
When customizations go over 1000 man-hours,
then satisfaction has been compromised severely! This is a proverbial "shot yourself
in the foot" - wanting many customizations
and getting them - Vs - poorer support &
higher maintenance costs for each release!
Three work arounds: skip the customization, have the customization
done in a generic way and the vendor
agreeing
to roll into standard product in the
next
release, or select a better software
product
that requires very little modifications.
Excellent "project management". Have excellent project managers that keep
on top of the project. They must manage expectations of the executive sponsors,
management, and workers that will be using the software. They must
quickly alert all suppliers, vendors,
and
involved personnel if there are any
delays
and expect responsible responsiveness.
Communication
is very critical in any project - make
sure
all departments are involved, committed,
and have bought-into making it happen!
One last word - test, test, test, and test - prior to
going live! (Article by Philip Obal, President of IDII;
philobal@idii.com)
IDII News
- New White Paper "Tips
for Selecting Systems" is in our White Paper section.
Whether one is looking for ERP, WMS, TMS, CRM, or another type of
large software - read this white paper. It is well written. IDII thanks
On-Line Consultant Software for permission to reprint their paper.
- New White Paper "List
of EDI X12 Business Transactions" is in our White Paper
section. There is to be a time saver, to reduce the search time for
finding out what X12 EDI transactions are popular and commonly utilized.
Let us know if you find this helpful.
Software Company News
- Baan (ERP, TMS via Caps Logistics, CRM via
Aurum - Nasday:BAANF) - Baan is being purchased by InvenSys. Baan is one of the top ERP systems, but
has had many quarters of losses,
and financial
trouble therefore. Editor's note:
In our opinion, Baan could have done an IPO
on CAPS Logistics to raise money (but did
not), to compete with Manugistics and i2
Technologies - which are hot stocks and expensive
- but Baan waited too late to do any IPO's. It was either IPO the best pieces of Baan
or be purchased. Invensys, which
is known
for its manufacturing automation
systems
and other products aimed at the manufacturing
industry, agreed to buy Baan for
2.85 euros
($2.65) a share.
The company plans to form a new U.S. software unit--Invensys
Software and Systems (ISS)--that will incorporate Baan's full suite
of Web-based business applications, such
as its ERP & CRM software.
- ClearCross (WMS, TMS, Headquarters: NYC) - Syntra changes company name to ClearCross, Inc. Reflects company's direction be a
market leader in the global e-commerce management.
Has 1000 customers in 22 countries.
- E-Stamp (Internet postage) acquires both Infinity Logistics (SMS, WMS) and Automated Logistics. E-stamp's growth strategy positions E-Stamp
to deliver a Web-based, multi-carrier
system,
that is able to generate postage,
review
discounted rates, print fully compliant
labels,
manage inventory, and track packages.
Infinity
Logistic's product offerings include
DigitalShipper,
e-Warehouse, and e-Receive. Automated
Logistics
has an established customer base
of over
200 customers.
- HK Systems (WMS, TMS, ERP) starts a new subsidiary called irista, new software company, to deliver collaboration, integration,
visibility, and execution systems
- through
it's Application Service Provider
(ASP) hosting
services
- Kewill Systems plc / Kewill Electronic Commerce
(WMS, SMS, TMS, B2B Portal) - has acquired Evcor, a systems integration firm. Evcor has a
track record of over 4,200 shipping manifest
systems (SMS).
- Intrepa (WMS, TMS) - announced PRO eXchange, a configurable web-based desktop tool that
provides Logistics PRO users with
an Internet ready order inquiry system and an automated e-mail notification system. Logistics PRO customers can utilize these
new features to provide up to the
minute
order status to their entire organization,
supply chain partners, and end customers.
As orders enter Logistics PRO managed warehouses
for fulfillment, they become immediately
available for inquiry. The real-time status
of each order is visible from the PRO eXchange
order inquiry system as it is processed through
Logistics PRO at the facility. Upon final
ship confirmation of orders from Logistics
PRO, parcel and LTL shipment tracking is
provided in the inquiry system by linking
to many carriers' online parcel and LTL shipment
tracking web sites.
The e-mail notification system of PRO eXchange
allows automatic e-mail delivery of order
information based on the change of an order's
status in Logistics PRO. Order information
sent by e-mail from the PRO eXchange system
can be tailored to each mail recipient using
different e-mail templates. As order fulfillment
is tracked through Logistics PRO, user specified
criteria will generate and send the e-mail
notification.
The PRO eXchange product is available for
the warehousing and traffic versions
of Logistics
PRO for AS/400 and is also included
with
Logistics PRO for Windows. Future
releases
of PRO eXchange will provide for
inventory
visibility, on-line returns entry
with call
tag integration, web-based inventory
replenishment
engine for VMI type programs, and
integration
with Internet-based trade exchanges.
- Oracle (DB, ERP) - offering a four-part lesson in Oracle PL/SQL coding
techniques is available now on the Learning channel
on E-Business Network. An extension of the
industry-standard SQL, PL/SQL is a powerful
procedural language aimed at the database
application development community. The PL/SQL
coding techniques lessons are available on-demand
on E-Business Network. Editor's note: Looks like this is a FREE class! To start the class, access http://www.oracle.com/tellmemore/?211079.
- XKO Software (ERP, CRM, UK-Based) - Adds warehouse management system (WMS) module
to its mid-market K-OPEN ERP suite. K-OPEN Warehouse Management is RF enabled
where stock movements are real time. Features
include automatic generation of sequenced
picking and putaway lists to maximize operator
efficiency, definable bin types, bin capacity
tracking by quantity and volume, product
and product group specification, and reporting
tools. K-OPEN Warehouse Management integrates
seamlessly with other K-OPEN modules including
Financials, Order Processing, Manufacturing,
Contract, and Services. XKO Software is a
division of XKO Group Plc. XKO Group Plc
has another division, XKO Network Systems
for ASP and e-commerce hosting services.
Websites To Check Out
www.syncrasystems.com/surveyresults/CPFRreport.html - Syncra Systems (WMS, CFPR, ERP) - Offers
a FREE CPFR report "The Next Wave of Supply Chain Advantage:
Collaborative Planning, Forecasting, and
Replenishment" - a comprehensive study by Industry Directions,
a supply chain industry analyst and consulting
firm. The CPFR study surveyed manufacturers,
retailers, distributors, and logistics providers
and reveals that CPFR adoption is growing
rapidly. Nearly one quarter of them are conducting
pilot projects. Much more in the detailed
report.
www.howardway.com - Produces "The Howard Way Letter"
- Printed newsletter to improving productivity
in warehousing and distribution. Practical
and detailed advice given from a practitioner
(one that does it) view.
Educational Warehousing Products To Check
Out
New - Very focused and detailed articles in warehousing, technology, pallet patterns,
checking, order picking methods, scheduling,
energy saving in the warehouse, locator systems,
handling costs, robots, warehouse layout,
EDI, AS/RS, small warehousing tips, and many
- many - other warehouse related topics. This CD-ROM contains a search engine and
approximately 240 detailed warehousing articles
for logisticians or warehouse professionals.
$295 US. Contact Howard Way Associates. 410-542-4446 email: art@howardway.com
Quote to Ponder
"If there is righteousness in the heart,
there will be beauty in the character.
If there be beauty in the character,
there
will be harmony in the family home.
If there is harmony in the home, there will
be order in the nation.
When there is order in each nation, there
will be peace in the world." - Ancient Chinese Proverb
Scripture to Ponder
"Whatsoever you do, do it heartily as unto the Lord and not unto men.."
- Colossians 3:23
Good Book or Movie
Spouses need us to speak in their language
of love. Excellent and pratical book
on the
languages of love. "The Five Love
Languages"
by Gary Chapman.
About This Newsletter
We educate and share news on software
for warehousing, transportation, shipping, packing, slotting, loading,
optimization, and enterprise wide software solutions. This free newsletter
is published twice a month and is targeted toward supply chain professionals
involved in software. Currently, it is only available electronically. Feel
free to forward this newsletter to others that you know. One may quickly
subscribe by accessing our website at www.idii.com.
To submit information to be considered for inclusion in our newsletter,
send any news, events, press releases, research, and newsletters to editor@idii.com.
The current and back issues of our E-Software Newsletters can be accessed
at www.idii.com/esn
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respective trademark holders. Information accuracy is not guaranteed due
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