ebiz: the benefits Marco Ricchetti ebiz project team

Size: px

Start display at page:

Download "ebiz: the benefits Marco Ricchetti ebiz project team"

Briana Randall
7 years ago
Views:

1 ebiz: the benefits Marco Ricchetti ebiz project team Alicante, June 28th 2010

2 the ebiz pilots what are they all about? Real life testing of the ebiz architecture and assessment of the benefits in a real business environment

3 The ebiz Pilots project team generalmanagement developmentof Ref.Architecture facilitator IT company supplier producer IT company supplier supplier UPSTREAM

4 The ebiz Pilots project team generalmanagement developmentof Ref.Architecture facilitator producer retailer IT company IT company stores DOWNSTREAM

5 The ebiz Pilots Testing the Reference Architecture Testing an organisational approach Assessing from the field the real benefits in real business enviroment

6 Benefits from adopting ebiz Efficiency: Management costs cuts for the adopting companies Effectiveness: Quicker response to market, higher flexibility, better services to the customer Easier access to ebusiness Lower software development costs for IT providers

7 Benefits from adopting ebiz Efficiency: Management costs cuts for the adopting companies Example: Orders processing time savings Lower labour cost: Increase in price-competitiveness More companies resources committed to improve customer services

REAL CASE HISTORY: FROM A TEXTILE Ebiz PILOT Efficiency: Management costs cuts for the adopting companies BEFORE YEARLY (two( seasons) ORDERS MANAGEMENT MANDAYS AND COSTS 646gg

8 REAL CASE HISTORY: FROM A TEXTILE Ebiz PILOT Efficiency: Management costs cuts for the adopting companies BEFORE YEARLY (two( seasons) ORDERS MANAGEMENT MANDAYS AND COSTS 646gg BEFORE AFTER AFTER 230gg MANDAYS (*) SUM OF GAINS FOR A GROUP OF 5 TEXTILE SMEs (1 APPAREL MAKER AND 4 FABRIC SUPPLIERS) FULLY ADOPTING EBIZ EMPLOYEES CUMULATE WAGES

9 OUTCOMES OF THE Ebiz PILOTS Efficiency: Management costs cuts for the adopting companies

10 Benefits from adopting ebiz Effectiveness: Quicker response to market, higher flexibility, better services to the customer Example: Fast service to the customer in critical situations (collection testing, fast fashion.) + virtually no errors in orders processing Companies adopting ebiz provide better and faster services to the customers

11 Effectiveness: Quicker response to market, higher flexibility, better services to the customer Order processing errors: BEFORE ~15% AFTER virtually NULL

12 Effectiveness: Quicker response to market, higher flexibility, better services to the customer Orders response time: from -10% to -15% Even larger savings in the fast fashion pipeline

13 Benefits from adopting ebiz Easier access to ebusiness Lower software development costs for IT providers Example: Upgrading the company s ERP to an ebiz compliant electronic documents exchange system will cost ~ half than a traditional EDI system

14 Easier access to ebusiness Lower software development costs for IT providers What the IT providers participating in the ebiz pilots say: 1. ebiz software development cost 30% lower than a traditional EDI (EDIFACT) solution 2. Because of the low cost of implementation and deployment, an ebiz compliant add-in module can be provided for free as an additional bonus feature to new customer of an ERP 3. Analysis and deployment costs cut to 1/3 for a new node (a new supplier / customer /store) in an ebiz network in comparison to a traditional solution. The cost is null if the new node is already ebiz compliant.

15 Who will benefit more? Two alternative scenarios Companies currently using phone, fax or for communication with customers and suppliers Companies using traditional (proprietary) EDI systems

16 Who will benefit more? Companies currently using phone, fax or for communication with customers and suppliers Large benefits show up immediatly in the budgets and in the relationships with customers and suppliers

17 Who will benefit more? Companies using traditional (proprietary) EDI systems Benefits take time to show up and become apparent mainly with the enlargement of the companies network, when new customers or suppliers join in.

18 Benefits from adopting ebiz Efficiency: Management costs cuts for the adopting companies Effectiveness: Quicker response to market, higher flexibility, better services to the customer Easier access to ebusiness Lower software development costs for IT providers

SMEs growth. digital. Fostering. through. transformation. Guidebook for Regional and National Authorities. Entreprise and Industry

SMEs growth. digital. Fostering. through. transformation. Guidebook for Regional and National Authorities. Entreprise and Industry 011100001100011111111100100110000011010101000011101010101001101111001110000110001111111110010011000001101010100001110101010100110111100111000011000111111 000011010101000011101010101001101111001110000110001111111110010011000001101010100001110101010100110111100111000011000111111111001001100000110101010000111