GS1 Update September 2005

1. GS1 UpdateSeptember 2005

2. BACKGROUND • EAN is now GS1 • Single global organization • A product portfolio for business needs of today and the future • New visual brand Identity • Communications strategy « GS1, a new name, a global vision together »

3. The Global Language of Business GS1 Strategic Matrix OVERALL BENEFITS: Improving efficiency & visibility in supply and demand chains Global standards for automatic identification RAPID AND ACCURATE ITEM, ASSET OR LOCATION IDENTIFICATION Global standards for electronic business Messaging RAPID, EFFICIENT & ACCURATE BUSINESS DATA EXCHANGE The environment for global data Synchronisation STANDARDISED, RELIABLE DATA FOR EFFECTIVE BUSINESS TRANSACTIONS Global Standards for RFID-based Identification MORE ACCURATE, IMMEDIATE AND COST EFFICIENT VISIBLITY OF INFORMATION

4. GSMP: The GS1 Global Standards Management Process

5. Where Did This GSMP Come From? • A history of limited global cooperation • A dynamic technical background • A global mandate in 2001 • A new approach to standards launched in 2002 • A new global methodology in 2002

6. The GSMP Reason for Being 1972 - 1982 1988 1983 1983 • SEDAS, DE • GENCOD, FR • TRADACOM, UK • TRANSCOM, NL • DAKOM, SE • and others TDI UN/CEFACT ANSI X12 EANCOM VICS

7. GSMP Founding Principles • User governed • GS1 managed • Standards to support business process • Transparency/visibility at all stages in the process • Global Standards based on consensus • Priorities set by industry

8. RSS UCC/EAN-128 EAN/UPC IDENTIFICATION DATA CARRIER SUPPLY CHAINMANAGEMENT ELECTRONICCOMMERCE GSMP Deliverables: GS1 Core Technologies GTIN GLN GIAI GRAI GSRN Application Identifiers EPC/RFID XML EDI

9. The GSMP Process: • Business Requirements Groups (Users) • Technical Development Teams (Staff) • Governance • GS1 Management Board

10. 1 1.5 Approve Business Plan Initiative (Submit CR) 2.3 Motion to Progress 3.4 Motion to progress 4.5 Motion to Pilot (close CR) 6.3 Motion to go to Production/ Certification 5.5 Motion to go to e-Ballot 1.1 Request for New Functionality 1.3 Prioritize Work Queue 1.4 Submit Statement of Work (SOW) 1.2 Complete Assessment & Impact Analysis Develop Business Case 2 2.2 Create Business Requirements Analysis Document Requirement Gathering & Analysis 2.1 Call to action to form action team and designate piloters. 3 Business Solution Design 3.3 Complete Public Review 3.2 Verify Impact Analysis 3.1 Document Business Message Standard Section 2.0 4 Technical Solution Design 4.2 Create Technical Level GDD 4.4 Complete Public Review 4.3 Test Technical Solution 4.1 Create XML/XSD 5 5.4 Pilot report and request update standards with enhancements (optional) 5.1 Finalise Pilot Specification 5.2 Develop Integrated Pilot Environment 5.3 Complete Pilot Pilot 6 6.2 Post BMS to GSMP Web site 6.4 Board Ratification (Notice sent) 6.1 Complete Eballot eBallot & Posting

11. DSD UIM New Processes New Industries The Changing Face Of The GS1 Community Align Plan Order Deliver Pay AIDC CPG/ Simpleb

12. We succeed when or because we… • …listen business needs • …clarify scope and deliverables • …provide standards expertise • …prioritize industry needs • …adapt our methods, processes, groups • …work directly with the user community • …deliver what we promise, QUICKLY!!

13. Retail Event: A Real Business Problem • Retail Event Message • Change Request entered by Eric Aronowitz, Kimberly-Clark • Rationale: • Largest source of demand volatility • Proprietary systems today

14. Retail EVENT Message Implementation Driven by Standards Based Solutions Newly Minted, Into the Field!

15. A Word About GS1 B2B

16. X12 Business Process EANCOM Business Process Other Business Process Simpleb X12 EDI Syntax EANCOM EDI Syntax Other EDI Syntax XML Background: The Religious Wars & The Promised Land

17. The Path to Collaborative Commerce

18. Foundational Data: Packaging Info Shipping Info Regulatory Info Commercial Info Transactional Data: Order Qty Deliver Dates Etc. Etc. GTIN GTIN Dual Role of the Keys GTIN

19. GS1 Standards and UNCEFACT • Modeling “based”on UMM • GDD developed based on CCTS • GDD data elements re-use of EDIFACT • XML Naming and Design Rules • “Generic” Message Header

20. Implementation Level:B2B Implementation (EANCOM® and XML) per country

21. GDSN Network Provides the Tools For Data Pool Interoperability Registry Data Pool Data Pool Mfg Single Point of entry and exit Retailer

22. Global Registry Update • Global Registry Subscribers • 422 total: 95 retailers and 327 manufacturers • Primarily North American and multi-national • 110% growth since January 2005 • GTINs • Over 380,000 • 114% growth since January 2005 • Activity • 38,301 subscriptions sent and 24,133 were matched • In January, 38% of subscriptions matched; 63% now

23. Certification Activity • Number of Certified Data Pools is increasing • 10 certified in 2004; 7 are active • 27 involved in 2005 Certification event • 16 GS1 Member Organization (Countries) • Data pool certification is accomplished annually • Long term goal is to offer “rolling certification” • Current model: certification is funded from subscriber fees (versus data pool certification fees)

24. User-Driven Roadmap for GDSN Timeline Sep 2006 May 2006 Development DP and GR Coding 2006 Certification

25. Global Revolution of Data Communication The Global Data Synchronization Network The Global Data Of Business Bar Code GTIN

26. Item Regional: Netherlands HazMat: US Foodservice: Canada Implementation Feedback: All Regions Healthcare: Guatemala Office Supplies: US Do-It-Yourself: Germany, France ebMeat: EU Regs. …Yields Global Input GDD

27. Speed and Volume:Change Requests processed by Year

28. GSMP Development Areas

29. Efficiency Improvement:Average & Target Cycle Time by Year

30. GSMP Planning

31. Planning: The Essential Element of Our Team The Strategic Plan The GSMP Plan Team Objectives

32. The 2005 GSMP Business Plan Will… • Support GDSN expansion • Provide strategic technical direction • Continue to build Community • Continue to improve the process

33. Other 2005 GSMP Business Plan Highlights Other 2005 GSMP Business Plan Highlights • EANCOM Global Re-launch • Asia Pacific Initiative • GDD Expansion & Improvement • Business Initiatives • Traceability • UIM • RSS • Fresh Foods • Food Service • New Lines • Data Accuracy

34. The Changing Faces Bring New Requirements • GS1 Sector Strategy • Healthcare/Pharma • Defense • Textiles/Apparel/Footwear • Transport/Logistics/Customs

35. New Communities: The Dilemma for eCom • Data Organization • The right data, for the right people, for the right products, in the right places • Scaleability • Machine to machine • Clear rules • Applies to every region • Interoperability

36. Our Dilemma Simplicity One Single Trade Item Model One Data Set for Each Recipient Granularity

37. Proposed Solution: 2 Phases • Phase 1: • Determine rationale high-level groupings • Design and build an efficient XML construction and conveyance mechanism • Phase 2: • Develop a more sophisticated context model • Develop clear rules about context use & development • Re-evaluate phase 1 data sets in accordance with 1 & 2

38. Phase 2 Enhance the Technical Solution As the Community Matures One Single Trade Item Model Simplicity One Data Set for Each Recipient Phase 1 Granularity

39. Where Do We Go From Here??

40. Key Message: • Globally Implemented EDI/XML Standards • A multi-sector approach is essential • A proactive approach to technology required • SPEED and RETURN to our customers is essential • For UN/CEFACT: • Minimize compliance costs • Demonstrate interoperability • Speed of development • Communicate value • A Business Planning Opportunity?