IDII Software Newsletter
To assist the professional dealing with software in Warehousing Distribution, Logistics,
and the Supply Chain.
December 7th 2001 - Vol 2 No 19
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Techniques, Vision, & Educational
Thoughts
"The New Challenges of Retail Logistics Management"
The Council of Logistics Management defines
logistics as "that part
of the supply
chain process that plans, implements
and
controls the efficient, effective
flow and
storage of goods, services and
related information
from the point of origin to the
point of
consumption in order to meet
customers' requirements."
To make this happen, retailers,
transportation,
distribution, warehousing and
order management
organizations must execute together.
This
is no small task, especially
in an environment
that is becoming increasingly
demanding and
disparate.
Most experts talk about inventory
and shipment
visibility-the ability to see
data throughout
the four walls and beyond-as
the key to successful
logistics execution. But, in
reality, this
"visibility" provides
only the
status of "in-transit"
shipments
or inventory. The reality is
that knowing
the status of something once
it is already
in-transit adds little value
to the retail
supply chain.
There are four conditions that are changing
the way retailers are thinking about the
logistics operation as they struggle to meet the ever-increasing
demands of their customers:
- The Internet B2B Economy. A dramatic transformation in the use of
the Internet for business transactions between
retailers, suppliers and distributors
- Reverse Logistics. The management of returned products to distributors,
manufacturers or retailers
- Real-time Logistics Event Management. The need for accurate and timely management
of information in order to maintain on-time
deliveries, reduce inventory levels and ensure
that the right product is in the right place
at the right time
- Logistics Technology Solutions. New logistics event management technologies
provide real-time visibility into logistics
operations; ensure a more accurate, efficient
and effective flow of goods; reduce costs
and increase customer satisfaction
The four conditions outlined
above have significantly
changed the role and expectations
of the
logistician. Companies must radically adapt their logistics management strategy in order
to compete in today's tumultuous
marketplace,
marked with ever-decreasing turnaround
times,
increased competition and lower
profit margins.
There are numerous companies
in the marketplace
that offer technology solutions
claiming
real-time visibility into inventory
levels
and logistics; unfortunately,
what most offer
does not match up with what businesses really need to improve costs and
customer satisfaction. In today's volatile economic climate, logistics
management is becoming more important
than
ever before. Getting the right
amount of
goods to the right place at the
right time
is critical.
In the best of times, logistics
managers
only execute 80% of the time.
However, in
tougher economic times, this
margin for error
is too high. Logistics management
is evolving
in significant ways to address
these problems.
Internet utilization, combined
with the proliferation
of reverse logistics and the
impact of technology
advancements in real-time logistics
event
management and visibility, are
fundamentally
changing the role of logistics
management
in organizations. In order to
succeed in
today's global marketplace, companies
must
be ever cognizant of these trends
and develop
a logistics management strategy
that capitalizes
on the best-of-breed technology
solutions
available today, so that they
can meet the
demands of their customers today
and be well
prepared for the future.
Editor's Note: This
is a short version of a white paper with diagrams and interesting
facts & perceptions. Click
here for the full white paper.
We thank Tilion for the permission to use their white paper.
About the Author
Christopher Stone, is founder, president
and Chief Executive Officer of
Tilion. He founded the company to address the unmet
business requirement for an on-demand,
unified
view of the supply chain. Prior
to Tilion,
he served as executive vice president
of
corporate strategy and development
at Novell,
where he played a key role in
the turnaround
and resurgence of the company.
Previously,
he was the founder of the Object
Management
Group (OMG), the largest software
development
standardization group of its
kind. Stone
began his technology career at
Data General
Corporation, where he spent ten
years in
various roles leading up to his
role as the
director of software products.
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Learning - White
Paper INDEX

Software Company News
- Cambar Software (1981, WMS,, TMS) Announces Hosted Warehouse Solution. Customers who choose to use CSI’s Axis Warehouse
Management solution in a secure,
hosted environment
can now select from three levels
of service
– basic, standard and enhanced –
to address
their unique business requirements
and IT
environments:
- Basic – includes non-managed application
services with basic hardware monitoring;
- Standard – provides detailed hardware, database
and application monitoring between
8 a.m.
and 5 p.m. EST; and
- Enhanced – expands coverage under the standard
hosting service level to 24x7.
The deployment of the Axis Warehouse
Management
at a secure CSI hosting facility
using encryption
technology allows CSI customers
to respond
to their clients more quickly and
accurately
by managing the flow of goods and
information
in the supply chain efficiently
and cost-effectively.
The solution also achieves a single
point
of accountability for the management
of hardware
and software infrastructures.
- Microlistics Pty Ltd (WMS, SCE, Austrailia,
Asia, UK) delivers one of the fastest implementations of a warehouse management system during
implementation for e-fill (an Australian
3PL). ISIS Express, with a stated feature of 30
day implementations, was up and running
in
the e-fill Fairfield site in less
than 22 days. "In WMS projects, that is the equivalent
of running the 100 meters in 6.8 seconds,"
expressed Stan Bearder, Project Manager,
Microlistics.
Microlistics stepped up to the challenge
with ISIS Express, the pre-configured
WMS
package with sophisticated warehouse
functionality
built in, and set an aggressive time
table
for delivery: Within 9 working days the customer was ready
to receive stock into ISIS, at day
15 the
customer was ready for processing
picks and
by day 22 a fully operational system
was
in place and ready to roll. "The reason we were able to deliver
this project so efficiently was the teamwork
between both e-fill and ourselves" states
Mr. Bearder. "Right from the start we
had the key people involved and with a blank
sheet in front of us, we literally created
the procedures together". In addition
to fast process design, the team approach
also helped prevent common WMS implementation
problems from occurring, i.e. unnecessary
scope and costs spiraling out of control.
- ServiceWare Technologies, Inc. (Nasdaq:SVCW), a provider of Web-based knowledge management
solutions for customer service and support,
today announced that Fourth Shift (ERP, MRP),
a SoftBrands Company, successfully implemented
eService Suite 4.0. ServiceWare enables Fourth Shift to reduce
the overall number of incoming calls
into
the support center while providing
customers
with an easy-to-use, 24x7 self-service
option.
ServiceWare is a leading provider
of intelligent
service applications that enable
companies
to provide enhanced customer service
capabilities.
ServiceWare's eService Suite(TM)
software
empowers organizations to deliver
superior
service and support, while reducing
expenses.
Powered by MindSync(TM), a patented
self-learning
search technology, eService Suite
enables
businesses to develop and manage
a repository
of knowledge to effectively answer
inquiries
over the Web and in the call center.
- TALPX Inc. (B2B, E-Commerce) and NxTrend Technology Inc. (ERP, WMS) form alliance to deliver integrated e-commerce
solutions to the building products
industry.
NxTrend’s SX.enterprise distribution software
will be integrated with the industry-leading
TALPXâ eMarketplace Solutions.
TALPX will use NxTrend’s bizLinx Commerce
Connect technology to enable real-time
XML
integration. Commerce Connect supports EDI, e-mail and
flat file integration for dealers
and distributors
who don’t support XML. Once a transaction
is completed in the TALPX marketplace,
purchase
orders, invoices and transportation
documents
will be automatically generated from,
and
input into, our partners’ systems.
- Tilion, Inc., (TMS) unveiled its new Solutions for Inbound Freight, a Web-based logistics solution that arms
enterprises with intelligence to drastically
cut inbound freight costs while streamlining the inbound logistics
processes. . Inbound freight is one of the most difficult
areas for logisticians to maintain financial
control, but it offers the greatest potential
for cost savings. Tilion Solutions for Inbound Freight use
data collected from existing enterprise systems
throughout the supply chain to provide greater
level of control over inbound shipments.
This consolidated information eliminates
the use of non-preferred lanes, reduces expedited
shipments, and streamlines the entire inbound
freight process by minimizing the number
of less-than-full truckloads (LTLs). Tilion projects that the solution will slash
premium freight costs by 30 percent and total
inbound freight costs by 15 percent in just
90 days.
Tilion Solutions for Inbound Freight reconciles documents, including purchase
orders, ship notices, and carrier status, to generate a real-time picture of inbound
shipments to the enterprise. The Tilion Service
is unique because it tracks shipments before they leave the supplier’s
dock until the moment they arrive at the
enterprise. When expedited shipments are scheduled
or a non-preferred carrier is selected, the
Tilion Service notifies the enterprise logistics
manager so that corrective action can be
taken before the costly error is made.
Tilion Solutions for Inbound Freight collects
critical information and delivers detailed
analysis about inbound shipments in a variety
of formats, including Web-based reports and
proactive alerting to e-mail, pagers, and
wireless PDAs. Data can also be fed directly
to existing ERP, TMS, and SCM systems. Available
shipment critical reports include:
* Supplier Inventory Availability, which compares purchase orders with inventory
levels at the supplier to proactively identify
short shipments.
* Ship Variance, which matches purchase orders with ship
notice data to identify misguided shipments
and the use of non-preferred carriers and
lanes.
* Shipment Analysis, which sorts all incoming shipments by destination
and estimated time of arrival to enable consolidation
and improve receiving efficiencies.
- V3 Systems (WMS, TMS) - V3 Systems adds THIRD PARTY LOGISTICS Billing
Component. V3 Systems Billing advances any 3PLs’ ability
to effectively manage billing of
simple or
complex contracts with multiple customers,
especially those implementing a zero
inventory
strategy requiring Supplier Owned
Inventory
(SOI) or Vendor Managed Inventory
(VMI).
Through a simple, intuitive interface,
V3
System Billing users can correlate
highly
complex contracts down to system
transaction
levels, and ensure that all revenue-generating
events are captured and presented
for invoicing.
Additionally, V3 Systems Billing
enables
users to assign a billing function
to any
system- or process-driven event or
document.
Billing can be based upon storage,
transaction,
assessorial, frequency, price, unit
of measure,
or any formulaic combination of these
categories.
V3 Systems Billing features highly
flexible
customer-specific billing configuration
capabilities.
V3 System Billing also automatically
logs
billable events and facilitates proper
invoicing
by allowing modifications to the
billing
log at any point in the logistics
execution
process. There is complete visibility
to
the billing log change history, so
3PLs or
their customers can see logged billing
events,
past invoices, and past billing logs,
as
V3 Systems Billing uses this data
to compile
and print detailed, accurate customer
invoices.
V3 Systems Billing also assigns an
ID to
each billing transaction, for the
purposes
of interfacing with any of the more
popular
Enterprise Resource Planning (ERP)
packages
(e.g. SAP, Oracle, PeopleSoft, Great
Plains,
etc.) or custom ERP applications.
Quotes to Ponder
- List of Quotes to Ponder from prior issues.
- " Success is a marathon, not a sprint.
Never give up." - IBD November 30, 2001.
Scripture to Ponder - List of Quotes to Ponder from prior issues.
- "Prove ALL things - hold fast that which
is good." 1 Thess 5:21..
Websites to Check Out
Many Business Forms & Agreements - from
AllBusiness - http://www.allbusiness.com/cmt/information/generic.jsp?fname=24701
Good Book
Software Directory - Released August 2001
WMS Standard Search Bundle
WMS Advanced Search Bundle
Valuable Future Events
NA2002 - April 8 to April 11, 2002 - Cobo
Hall, Detroit, MI, USA - 800-232-1537 or
visit http://www.na2002.com.
DC Expo - May 21 to May 23, 2002 - Navy Pier,
Chicago, IL, USA - 800-338-4112 or visithttp://www.logistar2.com
About This Newsletter - ISSN 1533-435X We educate and share news on software for
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© 2001 Industrial Data & Information
Inc. All Rights Reserved.. Trademarks
belong
to respective trademark holders. Information
accuracy is not guaranteed due to variety
of sources.
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