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The NY/NJ EDI User Group Meeting October 18, 2005

Web-based EDI Today and Tomorrow. The NY/NJ EDI User Group Meeting October 18, 2005. Presented by Marc Kalman Chief Executive Officer eZCom Software Inc. Presentation Overview. Who is eZCom? The Beginning of Web EDI Web EDI Today Industry Trends Advantages of Web EDI Solutions

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The NY/NJ EDI User Group Meeting October 18, 2005

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  1. Web-based EDI Today and Tomorrow The NY/NJ EDI User Group Meeting October 18, 2005 Presented by Marc Kalman Chief Executive Officer eZCom Software Inc.

  2. Presentation Overview • Who is eZCom? • The Beginning of Web EDI • Web EDI Today • Industry Trends • Advantages of Web EDI Solutions • The Future

  3. BEGINNING

  4. What is EDI? Electronic Data Interchange A set of managed standards that allow Buyers and Sellers to exchange business critical documents electronically. Originally targeted to Large Vendors Sellers Buyers

  5. Web Forms Surface EDI initially between large retailers and large vendors Too Cost Prohibitive for Small and Medium

  6. Web Forms Surface Solutions Providers developed specific HTML Interfaces Only from the Retailer perspective for Compliance Chargebacks Assessed; Retailers Distanced from Providers

  7. Web Forms Surface Single Document Processing Not designed for Vendor Efficiency Having to Manage Multiple Interfaces Expensive Fax Machine

  8. TODAY

  9. Internet More Affordable Internet • Improved Internet; Lower Costs; Broadband More Common • Applications Moving Online (ASPs) • Sales Force Automation • Customer Relation Management • Warehouse Management • Order Management

  10. EDI Providers Step it Up • Transition from EDI Web-Forms to Enterprise Applications • More Features • More Document Types • Enhanced Business Rules Validation • Faster Performance and Improved Efficiency

  11. Case Study #1 • “Vendor A” using EDI Web-Form • Processing 1 ASN for 1 Order at a Time • Very Tedious & Time Consuming Process • Took 5 Business Days to Create ASNs from Orders for 1 Retailer • “Vendor A” switches to eZCom’s Web-Application • Capable of Batch Processing over 1,000 Documents • Defaults and Customized Settings Help Streamline • 1,000 Standard Pack ASNs Created in under 10 Minutes • No EDI Compliance Chargebacks

  12. Industry Trends • Retailers • Rapidly Increasing EDI/EC Demands • Additional Document Types • Faster Deployment • Retailers Expecting More from SMB Vendors • Lines of Distinction between Small and Large Vendors are Blurring • Technology Advancements • VAN ◄► AS2 ◄►Secure FTP • EDI X12 ◄► EDIFACT ◄►XML ◄► Proprietary Formats

  13. - <DOC SEQUENCE="1"> - <SO CUSTOMERID="GMS" CUSTOMERPOREF="PHX0043884" TOTALAMT="4947.6" REQSHIPDATE="20051-02-8" SHIPPEDDATE="20051-02-8" SOREF="0" BUFFER="STORENUM|PHX"> <ADDRESS TYPE="SF" ISA*00* *00* ZZ*9734278823I GS*IN*9734278823I*60976844 ST*810*0001| BIG*20050330*00143225*2005.. IT1*1*25*EA*0**VP*40-0252| PID*F****PAMPHLET GLASS IT1*2*6*EA*10.1**VP*10-0 EDI vs XML Can’t We All Just Get Along? • EDI is a process, not a technology • X12 is not being replaced any time soon • Companies have large investments in current EDI infrastructure • XML is better for parsing data • XML widely used to compliment X12, not replace it

  14. Hosted Solutions I/T Trends are leaning towards hosting/outsourcing Companies conserving Costs Increase in Offshore Development

  15. Hosted Solutions Host with the Most “CIOs are addressing users' IT demands by finding service providers that will host, maintain, and upgrade applications and systems for them. “ “Many multibillion-dollar organizations are turning to hosted software and systems for the same cost savings and convenience—except on a larger scale.”

  16. Hosted Solutions “U.S. spending on software as a service topped $3 billion in 2003, growing 32% over the previous year. It will reach $9 billion by 2008.”SOURCE: IDC

  17. Hosted Application Benefits • EDI is not a Vendor’s core function • Allows Vendors to stay focused on Business Aspects of EDI • One application supports all technologies • Keeps up with changes, minimizing complexities for Vendors • Rapid Deployment (setups within 24 hours)

  18. Hosted Application Benefits • Hosted Solutions are In-House – Outsourcing Hybrids • No Expensive Software to Purchase • Lower Operating Costs • Systems and requirements are maintained and upgraded with no impact • Access to Industry Experts that Become Extension to Company

  19. Case Study #2 • “Vendor B” has In-House EDI System • Has Gentran Director supporting multiple Trading Partners • Integrates with Back-Office System • Has In-House EDI Coordinator/Mapper • “Vendor B” Needs Quick Path to Production with New Partner • Vendor registers with eZCom • Within 24 hours, Vendor was in Production with New Partner • Next Trading Partner, Vendor spent 1 month working on In-House • Then had eZCom setup, and was in production within a few days

  20. TOMORROW

  21. Additional Features Data Mining Tools, Sales Analysis Data Synchronization, RFID Additional Automation Improved Intelligence

  22. Additional Features Real-time Collaboration Overseas – International Shipping Management Full 3PL Integration and WMS Capabilities Convergence of Disparate Systems

  23. Q & A Contact Information: Marc Kalman Chief Executive Officer 877.765.3564 ext 6850 www.ezcomsoftware.com “Trade Made Fluent”

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