Integrated Cloud EDI for Sage ERP

Start Time: 2:00pm EST

Welcome!

Start Time: 2:00pm EST / 10:00am PST

Webinar Audio: You can dial the telephone numbers located on your webinar control panel. Or listen in using your microphone or computer speakers. We will begin shortly.

Today’s Presenters

Seth Ellertson Net@Work

Dane DeSantis SPS Commerce

Webinar Details • Today’s Webinar is roughly 1 hour

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• If anyone has any questions during this webinar – please type them in

your Questions Box located at the bottom of your webinar panel

Net@Work Overview – Solutions & Services

Integrated Cloud EDI for Sage ERP

Dane DeSantis - Sr. Channel Sales Manager

SPS COMMERCE (NASDAQ: SPSC)

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SPS COMMERCE - SAGE EXPERIENCE • SPS Commerce serves over 3,000 Sage customers with

dedicated resources for:

- Practice Teams – Implementation

- Customer Support – SPS is 1st line support

• 350+ customers integrated with a Sage Software ERP

– Sage 50 US, Sage Business Works, Sage 100 ERP, Sage

300 ERP, Sage 500 ERP, and Sage ERP X3

• Integrations with other related add-on products (Shipping,

barcoding, Labeling)

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SPS COMMERCE (SPSC) – THE CLOUD RETAIL LEADER

$1+T orders annually

Volume

1.3M products

Sourcing

7K companies 35M

UPCs

Assortment

Support all models

Fulfillment

300K

retail locations

Analytics

Membership

60K trading partners

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WHY IS EDI SO DIFFICULT FOR COMPANIES?

Standardization - there’s many different forms of EDI (Edifact, ANSI, X12, XML, etc.)

Some companies require it, some don’t, some encourage it, etc. so should my organization invest or resist?

Financial ramifications – charge backs, vendor score carding, and potential loss of business from a trading partner

Investment – it’s not secret, EDI is expensive, it requires hardware, software, personnel, and expertise

No wonder organizations struggle with EDI!

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EDI OPTIONS 1. Buy Software & Hardware, Hire People

Build & maintain your own point-to-point Trading Partner maps, build & maintain your own integration maps, subscribe to a VAN and support AS2, monitor, support, problem solve

2. Subscribe to a “Managed Service”, Hire People

Same as above, but without large capital expense for hardware and software

3. Subscribe to a Multi-Tenant, Enterprise Cloud-Based Service

Allow SPS Commerce to serve as your complete EDI department, operating as an extension of your business, with industry-best service levels & scale that can’t be beat

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The consumer is in charge

Ret

aile

rs Vendors

Carriers

3PLs

And impossible integration challenges

Legacy integration models are inadequate Traditional business relationships prevent Omnichannel success

BUILT ON THE COMMERCE PLATFORM Commerce Applications

Cloud Infrastructure

Commerce Platform

ENGINE NETWORK GRAPH

Workflow

Communications Information

Transformation Trading Partner Maps

Canonical Data

Model

Organizations

Orders

Items

People

Locations

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COMMERCE APPLICATIONS

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FULFILLMENT (EDI)

The end-to-end process of fulfilling an order to the

consumer, including orders, shipments,

payments and returns.

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THE SCOPE OF EDI REQUIREMENTS

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TYPICAL ENVIRONMENT

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MOST SUPPLIERS HAVE THIS PROBLEM

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SPS & YOUR ERP: COMPLETE INTEGRATION SPS COMMERCE OFFERS COMPLETE CLOUD-BASED INTEGRATION

TO 10,000’S OF TRADING PARTNER RELATIONSHIPS

THE STANDARD FOR TRADING PARTNER INTEGRATION

Retailers

SUPPLIERS, VENDORS, MANUFACTURERS, DISTRIBUTORS

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WEBFORMS PORTAL

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Indicate Next Steps for acknowledged docs

Sort based on Sender, Doc Type, Doc Name, Received Date,

WEBFORMS INBOX

SPS CONFIDENTIAL

OTIS TECHNOLOGY • Fulfillment Automation with Sage 500

– Failed EDI Implementation with previous vendor

– W/H Workers manually processing ASN’s

– Automated ASN to improve shipping times

– Improved Vendor Scorecard and increased sales

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ANALYTICS

Analysis of item sales and supply chain data to improve sell-through, inventory turns and enhance fulfillment

performance.

SPS BUSINESS ANALYTICS • Retail supply chain focused, best-in-class

analytic applications – Fulfillment – Compliance – Point-of-Sale

• 100% cloud-based • Serving industry leading retailer and

supplier customers

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Presenter

Presentation Notes

SPS first got into the Analytics business in 2008 when we launched our first analytic application in the cloud called Trading Partner Intelligence. We grew that business at a rapid pace for the first few years, with primary focus on SMB suppliers and large retailers. POS analytics was and continues to be the primary revenue driver. Of note is that our growing analytics business played a significant role in our successful IPO in spring of 2010 and continues grow much faster than our core EDI business representing roughly 20% of our revenue today. In 2012, we had a significant inflection point when we acquired one of our competitors, a company named Edifice, who’s success was primarily with large leading brands such as PVH, Nike, Under Armour, Mattel, Nikon, etc.

POINT-OF-SALE ANALYTICS • Industry leader in POS Analytics • Serving 1500+ brands with

essential information from over 220 retailers

• Sales & Inventory information from more than 360,000 retail locations across 10’s millions of items

• Analytic applications that scale to support the worlds largest brands as well as new startups 26

Presenter

Presentation Notes

Focusing on the POS analytics business further, here are some statistics to help you understand the scale of this business. From an Omnichannel Retail standpoint, there is huge demand for this information to help streamline sales and inventory information which is essential to meeting consumer demands of any product anywhere anytime. (bridge hard on the omnichannel play…it will support your EDI conversations too).

POS ANALYTICS WE ANSWER KEY SALES & INVENTORY QUESTIONS FROM RETAILER POINT-OF-SALE DATA

SUPPLIERS 1. How can I better forecast product

demand across the channel? 2. Which products are moving

faster/slower than planned? 3. Where is my customer at risk of

stock-outs or oversupply?

RETAILERS 1. How can I best allocate

inventory to demand? 2. What stores/regions are at

inventory risk? 3. How can I improve sales,

margin, turn?

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Presenter

Presentation Notes

Retailers and suppliers are trying to answer the same questions… just from different angles. Here are some examples. Retailer focus: buyers get paid to move product through the checkout line. That means tracking 10’s 1,000’s of products across 100’s or 1000’s of stores from 100’s of suppliers on a weekly basis. Good luck! But the questions must be answered. Supplier focus: inventory is a huge part of the cost of goods sold. Want right inventory at the right time in the right location which equals strong inventory turns and is front and center of customer satisfaction. Suppliers need to be leaders in this… helping their key customers merchandise better. Whatn this is done, they save money, have happier customers, and make more money. It’s that simple.

POS DATA SHARING MAKING BUYERS & SELLERS MERCHANDIZING PARTNERS

COLLABORATIVE QUESTIONS Buyers & Sellers

What items are at risk of stock outs ?

How can we optimize allocations ?

Which products and locations need promotional support ?

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Presenter

Presentation Notes

So to do this effectively, many brands want to “collaborate” more with their buyers. They share the same objectives…why not? But most retailers are very selective here. Top brands, NPI, emerging products, category captains, etc. Everyone else? No time.

Year over year retail sales by week for all connected retailers.

Green line shows variance trend.

Retailer detail breakouts for the selected period.

Select a timeframe – 52 weeks, Year to

Date, Season to Date, or Qtr to

Date

State level geospatial variance

KPIs for all connected retailers.

Executive overview of the whole business

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GOAL ZERO

• POS Analytics to improve collaboration

– Difficulty managing inventory with seasonal business

– Trouble with procurement & allocation

– Dedicated sales coordinator analyzing data

– Fewer stock outs and greater collaboration

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PRIMARY INDUSTRIES USING POS ANALYTICS

Sporting Goods

Apparel, Shoes, Jewelry

General Consumer Products

Home Improvement

Consumer Electronics

Food, Beverage, Grocery

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QUESTIONS?

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THANK YOU FOR ATTENDING!

FOR ANY QUESTIONS OR MORE INFORMATION CONTACT:

Seth Ellertson | Phone: 800-719-3307 Ext. 1616 [email protected]

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