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IDII Software Newsletter Volume 2 No. 1 January 8th 2001 |
To assist the professional dealing with software in Warehousing Distribution, Logistics,
and the Supply Chain.
Subscribe to newsletter Now..
| Techniques, Vision, & Educational Thoughts "Computerized Shipping Systems - Return on Investment - Part 4" How about another idea for increasing revenue through the shipping department? Companies frequently justify the investment in a computerized shipping system by simply adding a handling charge to the shipping cost and passing the investment in technology directly to the customer. At just $1 per package, this would increase revenue by $200 a day, $4,400 a month or $52,800 a year. That is more than enough to pay for the investment in a computerized shipping system. Chapter 14, Shipping Department: Cost or Profit Center, provides some variations on this subject. The next three points will show how a computerized shipping system can reduce costs in other areas of the company. Now let's look at how a computerized shipping system can eliminate the cost of some of your shipping forms. What is your company placing on the box or package? What paperwork is being used to process a shipment? We still see companies utilizing preprinted forms with shipping labels embedded in them. At one site, the company was paying $.25 each for these forms. At 200 packages a day, this comes to $50 a day or $1,100 a month ($13,200 per year). How much do those plastic envelopes cost that say, "packing list enclosed"? Our new, patent pending Tuck label replaces the packing list, the envelope, and the current label and ribbon. Calculate the present costs vs. the cost of the proposed Tuck label and ribbons. You can see an example in Chapter 3, Error-Free Shipping Labels. Sometimes we can save a company money by eliminating the cost to mail an invoice. Typically, the last piece of data that a company needs in order to invoice a customer is the cost of the freight. Because a computerized shipping system automatically calculates what that cost is and our system is interfaced with the accounting system, we can electronically send that data to your accounting system and trigger the process for invoicing in real time. The accounting system can then print the invoice right there at the shipping station and you can insert it in the package. At 200 packages a day x $.33, you would save $66 a day or $1,452 a month ($17,424 per year). This, too, goes right to the bottom line. Sticking to the topic of invoicing, our technology can also increase cash flow. As we have discussed, most of the time invoices don't go in the mail until the accounting department enters the freight charges. Typically, this does not happen until the day after the packages are shipped. With the computerized shipping system solution, you can send the invoices out an average of 1 day sooner. According to Inc magazine, the formula for calculating cash flow savings is gross annual sales x annual interest rate x days saved divided by 365. You will need to know your company's annual revenue to calculate the exact amount, but for the sake of this example, let us assume your company is doing $50 million dollars a year. The annual savings in this case would come to $12,000. Mark A. Taylor, President of Taylor Systems Engineering Corp.) |
Impact In Software Design Software designers in ERP, WMS, OMS should decide which path to take. Path #1: Partner with an existing SMS solution. See Software Directory. Path #2: Build your own SMS - realizing that twice a year rate changes WITH new forms of rates & new addons from each carrier could be required. Phil Obal TIP from Phil Move forward to automatic printing & applying of shipping labels unto cartons, if your operation handles a large quantity of cartons on a conveyor. See Software Directory. |
Educational / White Papers
- Excellent New White Paper on "CTM = Collaborative Transportation Management (PDF)" from Logility, a provider of logistics, advanced planning, transportation management systems, and WMS software. CFPR was a hit - Now it is time for CTM for the transportation side! Very, very useful white paper!
IDII News
- Happy New Year !!! IDII wants you to succeed in year 2001 and
looks forward to serving you this year.
- Consulting services are available for software selection, implementation, and enhancement. Business reviews and ROI studies are also done for both supply chain companies and software companies. Contact Phil Obal at 918-464-2222.
- Applied Tactical Systems, Inc. announced that it had entered a definitive
agreement to become a Division of Vertex
Interactive, Inc. (WMS, ERP, Java) in a transaction
valued at approximately $26 million, paid
for through the issuance of 3.0 million shares
of Vertex common stock.
Included in the ATS suite of SAP R/3 connectivity applications is the Universal Mobile Data Collector (UMDC(). UMDC provides sophisticated, real-time systems for warehouse data reporting, labor tracking and quality control. SAP R/3 users of UMDC enjoy unprecedented functionality for connecting their main database directly to Radio Frequency (RF) handheld or fixed data collection terminals. Vertex will also market this suite of SAP connectivity applications to its current and future customers, both in North America, Europe and the Mid-East, and will become a focal point of its expanding product line, and growing global presence as the leading supplier of supply chain management solutions.
- Delfour Corporation (WMS, YMS, Java, 3PL) releases the latest Oracle 8i version of
the Delfour SmartDock and SmartYard
products.
The SmartDock and SmartYard releases introduce Delfour's new HTML-based menu that will form part of Delfour's Active Desktop in the near future. This release is a significant step for Delfour because it puts Enterprise Java Beans and Servlets into production while using Oracle 8i. This is also the launch of our new menu system, which will be significant because it allows Delfour users to navigate easily through the menu system in the same way as they navigate through web pages by means of a browser.
- Manhattan Associates, Inc. (WMS, LMS, YMS,
NT, UNIX, IBM, Nasdaq: MANH) and Knosys (Business Intelligence tools), have signed a strategic OEM agreement.
The alliance will provide Manhattan Associates
with the ability to embed
ProClarity Analytical Platform(TM) technology into SmartInfo, the company's new business intelligence tool that provides static and real-time information on a distribution center's activities and transactions.
Knosys' ProClarity Analytical Platform is a fully extensible, customizable, component-based environment for developing business intelligence applications. It provides the foundation to deliver performance metrics to management. With ProClarity's analytical technology integrated into SmartInfo, Manhattan Associates' customers will be able to access, analyze and respond in real time to supply chain and warehouse data, resulting in faster, more informed decision-making. SmartInfo provides information via digital dashboards, a customized Microsoft solution that consolidates personal, team, corporate and external information with single-click access. This allows users of the application to view data on several screens simultaneously without having to flip between multiple windows. Deepak Raghavan, Manhattan Associates' senior vice president of products and strategy, said, "Integrating Knosys' technology into SmartInfo provides our customers with excellent graphical representation of warehouse activities and transactions. It also offers good navigation. The end result is improved collaboration not just in the warehouse, but throughout the entire supply chain."
- i2 Technologies acquires Trade Service Corp. and ec-Content
Inc.
- Microsoft Buys Great Plains Software (ERP) - Great Plains Software is being acquired by Microsoft for $1.1 billion
in stock. Each share of Great Plains common stock
will be exchanged for 1.1 shares of Microsoft
common stock, resulting in a 29 percent premium
for Great Plains shareholders. The deal still
needs regulatory approval.
Editor's Note: In past issues of this newsletter, we have indicated that Logility has a relationship with Great Plains. Logility has WMS and TMS solutions. Would our readers like to speculate or guess what will happen to the future to Logility??? E-mail them to editor@idii.com. See next paragraph - Who will win out the Great Plains WMS market????
Here is more Great Plain's & WMS news about a Great Plain's solution partner called "Blue Moon Industries", announced distribution agreement with Radio Beacon Inc., manufacturer of RADIO BEACON™, a mid-market warehouse management system for wholesale distributors and manufacturers. Blue Moon Industries currently markets enhancement products and education, customization, and technical writing services to the Great Plains partner channel. With the addition of an integrated vertical solution, this Great Plains partner will support the Great Plains reseller partner channel in targeting the existing client base for Dynamics and eEnterprise -Great Plains' business management solutions for the midmarket.
- Speech CapabilitySyVox and OMI International (WMS) Partner to Offer Leading Warehouses Increased
SyVox(R) Corporation, a provider
of interactive
speech applications for mobile workers,
and
OMI International, a leading provider
of
supply chain execution and electronic
commerce,
announced that OMI will offer the
SyVox Solutions
suite of speech-based applications.
- Provia Software (WMS, TMS, OMS, APS, 3PL), announced that the first client to select the Application Service
Provider (ASP) version of Provia’s FOURSITE
3PL software product is about to go live. Suddath Logistics Services (www.suddathlogistics.com)
signed an agreement to license the ASP version
of FOURSITE to operate a New York facility
that services vendors for the Home Shopping
Network. The intent is to roll out the software
to 12 additional sites across the US over
the next 24 months. Editor's Note: Provia has two solutions for WMS - this
is in regards to the FOURSITE product.
- Optum (WMS, APS) and G-Log (TMS) Create Web-Based Solution to Optimize Management
of Orders and Inventory Across Global Supply
Chain
Optum's TradeStream, in conjunction with G-Log's GC3, will provide an intelligent fulfillment solution, over the Internet, through which users can interactively manage logistics, transportation, and inventory across the global trading community. The joint solution from G-Log and Optum optimizes the fulfillment process for sales and purchase orders based on customer service, cost, availability of product, transportation resources, and workforce plans. Additionally, organizations can now manage the flow of orders and inventory as the goods are in transit and dynamically reroute, expedite, merge, and divert orders based on current real-time conditions. Integration with carriers and service providers enables seamless visibility, proactive notification, and provides the ability to address problems while orders are in-transit.
- Robocom Systems International Inc. (WMS,
Nasdaq: RIMS) launched RIMS.Link© -- the XML (extensible
Markup Language) gateway for warehouse management.
RIMS.Link will be marketed by Robocom's domestic
B2B and B2G supply chain solution partners
and international distributors. Recently,
RIMS.Link was successfully demonstrated at
the Open Applications Group Vendor Challenge,
where 19 best of breed XML applications solved
real world problems.
- Transentric Forms Strategic Alliance with EURO-LOG - Transentric, a St. Louis-based leading
supply chain and electronic message
management
company, and EURO-LOG, a Munich-based
logistics
software and services provider specializing
in shipment flow management, today
agreed
to provide the interconnectivity
of Transentric's
message exchange services with EURO-LOG's
TRANSPO-NET, a leading European "EDI
Clearing Center" that enables
the secure
exchange of data between business
partners.
Additionally the solution will incorporate
Transentric's supply chain management
tools
with the EURO-LOG product suite.
Scripture to Ponder
God opposes the proud, but gives grace to the humble. James 4:6
Quotes to Ponder
- "Learn as if you were going to live forever.
- Live as if you were going to die tomorrow."
--Anon.
PaperHub - B2B for Paper (Mills, Merchants, Printers, and other buyers) have a hub to work together called "PaperHub". Uses i2 Technologies and WebMethods for the marketplace.
ShipLogix offers a suite of Internet-based multi-modal transportation management tools -- delivered via an Application Service Provider (ASP) model -- that allows shippers, carriers, third-party providers and B2B marketplaces to collaborate online with their trading partners in real time. The ShipLogix tools are designed to streamline and simplify all processes involved in purchasing and executing transportation, including Request for Quotation (RFQ); Routing Guide; Tender, Track and Trace; Rating; Optimization; Scheduling; Export-Landed Cost; Invoicing; and Reporting.
Previfor Consulting - Virtual Reality SIMULATION of Cranes and Forklifts - for operating training.
Scripture to Ponder
"So teach us to number our days, that we may get us a heart of wisdom.." Psalms 90:12
Good Book
| "Enterprise Resource Planning (ERP): The Dynamics of Operations Management" |
 |
| Shtub, Avraham | See reviews and more information on this book at Amazon.com |
Another Good Book
| "Computerized Shipping Systems: Increasing
Profit & Productivity Through Technology (New Millennium Edition)" |
 |
| Taylor, Mark A. | See reviews and more information on this book at Amazon.com |
Another Good Book
| "What To Look For In Warehouse Management System Software" |  |
| Obal, Philip | See reviews and more information on this book at Amazon.com |
Valuable Future Events
February 12-15, 2001 - ProMat 2001 - Chicago's McCormick Place North. Good
show. Material handling and logistics solutions.
Also the ProMat 2001 Educational Conference.
For more information see www.promat2001.org or MHIA (sponsor) at www.mhia.org
April 2-4, 2001 - Supply-Chain World North America Conference
and Exposition - Hilton New Orleans Riverside - New, Orleans,
Louisana, USA. Conference by the Supply-Chain
Council. For more information, call 412-781-4101
or visit www.supply-chain.org or www.supplychainworld.org.
MAY 9 TO 11, 2001 - E-LOGISTICS EXPO - The Logistics Institute at Georgia Tech, GFB, Announce an Educational Conference
and Team-focused Tradeshow in Atlanta, GA.
Responding to the need to bring leading-edge
education and world-class solutions providers
together in a "team environment,"
the e-Logistics Expo announced today the
creation of a new "knowledge tradeshow"
to be held next May in Atlanta. The Expo
will be held at the Georgia World Congress
Center. The Expo features a full three-day
educational conference led by The Logistics
Institute at Georgia Tech. Contact Carrolyn
Prescott at GFB at 404-524-7777, or e-mail
to cprescott@gfb-expo.com
About This Newsletter
We educate and share news on software for
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