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6/8/2014
208:
How to Do Business
With
Mike Durning, Wakefern Food Corp.
June 11, 2014
Compilation Copyright © 2014 GS1 US
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GENERAL
• This PowerPoint was compiled by GS1 US using material
provided by Wakefern Food Corp. and other third party
materials.
• Text is Copyright © 2014 Wakefern Food Corp.
• All trademarks included in this PowerPoint are the
property of their respective owners.
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AGENDA
•
•
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What is Wakefern
GS1 Standards at Wakefern
Steps to Address Data Quality Issues
Rapid Recall Exchange®
New Initiatives
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BACKGROUND
• Wakefern Food Corp. is a member
owned cooperative
– Fiscal 2013 generated $14.1 Billion in
Retail Sales
– 257 ShopRite Supermarkets
– 56 PriceRite alternate formats
– 6 Fresh Grocer Supermarkets
• All retail stores are located in the
Mid-Atlantic and Northeast regions
– NJ, NY, PA, CT, DE, MD, MA, RI and VA
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BACKGROUND
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
• GS1 Standards used by Wakefern
– EDI
– Identification - Bar Codes
– Global Data Synchronization
– Rapid Recall
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
ELECTRONIC DATA INTERCHANGE
• Electronic Data Interchange (EDI) is the computer-tocomputer interchange of strictly formatted messages to
communicate common business documents.
• Wakefern uses EDI to exchange business information
with our trading partner using two of the available
standard formats
– UCS (Uniform Communication Standard)
– ANSI X-12
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
ELECTRONIC DATA INTERCHANGE
Wakefern supports 12 transaction sets
Transaction Set
EDI Document Name
810
Invoice
880
Invoice
875
Purchase Order
850
Purchase Order
852
Product Activity (Warehouse or POS)
856
ASN (Advanced Ship Notice)
Text Message (For notification of Invoice 864
Rejections)
855
Purchase Order Acknowledgment (For Vendor Managed Inventory)
997
Functional Acknowledgment
832
Pricing Catalog
812
Credit/Debit Adjustment
820
Payment Order/Remittance Advice
UCS X‐12 X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
X
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
ELECTRONIC DATA INTERCHANGE
• Sustained growth in EDI volume every year for more than
20 years
– Process over 1M EDI documents every year
– Over 400,000 Purchase Orders transmitted through EDI
– EDI invoices are used by Accounts Payable to reconcile
and pay our suppliers for more than 90% of Wakefern
Purchase Orders
• Collaborative programs are made possible with EDI
transactions
– Vendor Managed Inventory (852 & 855)
– Cross-dock programs (850 & 856)
• EDI Contact: [email protected]
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ISSUES ASSOCIATED WITH EDI
• EDI messages are not intended to be read and
processed by people, but by a computer
– Assumes that the data in the EDI message is accurate,
in order for it to be properly translated by the receiver’s
computer
• Format and Content
• Most breakdowns in the EDI process are a result of data
quality issues in the EDI message
– Followed by a failure to quickly address the data issues
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EXAMPLES OF ISSUES IN EDI MESSAGES
• Improperly formatted EDI document
• A data issue on a Purchase Order transmitted via EDI that
contains an incorrect item identifier (UPC, GTIN, etc.)
– Create numerous problems in the supply chain
P.O.
041190463077
• Problem translating the Purchase Order by
Vendor 041190436077
the supplier and not correcting the issue
• Problem receiving the item on the customer’s dock
• Problem with the reconciliation and payment of the invoice
• Same situation applies to a substitution made by the
supplier for an item on the Purchase Order
• All of which could have been avoided by notifying the customer of the problem up front and working with them to address the data quality issue.
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
BAR CODES
• Wakefern supports many types of Bar Codes for
identification
– EAN/UPC (in multiple forms) used for retail point-of-sale
(POS) and Logistics
– GS1 DataBar used at POS, they are smaller than the
EAN/UPC and can carry additional information
– ITF-14 used to carry a GTIN, but not for use at POS
– GS1 QR Code is a "2D Matrix" symbol used with
applications on mobile devices
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
BAR CODES
• Bar Codes are used in many ways by
Wakefern and our member stores
– Identify product in the warehouse
• Receiving purchase orders
• Picking customer orders
– Identify items sold to the
consumer at the Cash Register
– Scan and validate
Manufacturer Coupons
– ShopRite Apps – customer
information and shopping applications
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ISSUES ASSOCIATED WITH BAR CODES?
• The standards that support Bar Codes work very
efficiently and ensure accuracy everywhere they are
used, except when:
– the bar code is not properly formatted and cannot be
read by the scanner
• A rare occurrence with the UPC or
EAN bar code, but happens more
frequently with the GS1 DataBar
– There are Data quality issues with
the UPC or EAN number supplied
during new item set-up
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
GLOBAL DATA SYNCHRONIZATION
• Global Data Synchronization (GDS) is the electronic transfer
of standardized product and location information and the
continuous synchronization of that data for the life of an item
– Product information includes:
• Mandatory data elements (GTINs, Product Types and
Product Descriptions)
• Attributes required in the supply chain (e.g. dimensions,
weight and net content)
• Basic product marketing information (e.g. features,
benefits)
– Location information includes:
• Physical or virtual locations involved in trade (e.g.
headquarter, store, warehouse, accounts receivable)
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
GLOBAL DATA SYNCHRONIZATION
• Wakefern has adopted GDS as part of our overall Item Master solution to ensure complete, accurate, and timely distribution of business information throughout the enterprise
– Fully integrated with our Vendor Item Portal to support both New Item submissions and updates to existing items
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
GLOBAL DATA SYNCHRONIZATION
• Wakefern has integrated the following publication types to support the processing of item data from the Global Data Synchronization Network (GDSN) – New: used for the submission of a new item to Wakefern
• Salesperson ‘pulls’ the publication into the portal and adds some additional information to complete the process
– Initial Load: used to synchronize item data for items presently carried by Wakefern. • All previously existing items must be synchronized using this message type
– Item Changes or Modifications: used to update our item master for synchronized items with changes made by the publisher for the item
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
SUPPLIER REQUIREMENTS
• Suppliers must engage in Global Data Synchronization
– Sign with a Certified Data Pool
• Look for one that offers a solid educational and
customer service program
– Provide all Product Data through the GDSN
• Go beyond the required data attributes needed to
publish an item
• Understand the needs of your customer, identify all of
the data requirements needed to sell your product to the
consumer
– Wakefern accepts more than 100 data attributes through
the GDSN
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GS1 STANDARDS SOLUTIONS AT WAKEFERN
SUPPLIER REQUIREMENTS
• Develop a Data Quality program that guarantees
accurate product data
– Assign an individual or group in the organization to have
responsibility for data quality
• Review, audits and certify the accuracy of every data
attribute published
• Engage a Data Quality Agent that will perform these
services (GS1 US)
• SUCCESS IS BASED ON THE QUALITY AND
CONTENT OF THE DATA SENT THROUGH THE GDSN
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ISSUES ASSOCIATED WITH GDSN
• GDSN standards work very well for us, except for issues
with data quality
• Incorrect Net Content creating issues for our retail
customers and a violation of multiple state consumer
protection laws
• Inaccurate item descriptions and brand names
• Major changes to the ingredients of edible products,
particularly involving food allergens
• Inaccurate product data affecting the storage,
distribution and transportation of product
• and other data attributes
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ISSUES ASSOCIATED WITH GDSN
• Inaccurate product data is a major contributor to
business interruptions and higher operating costs
• Forces retailers and other data recipients to implement
data quality processes to eradicate bad data
– Physical Audits
– Data Validation
– Measure Accuracy
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STEPS TO ADDRESS DATA QUALITY ISSUES
• Purchased specialized equipment for
use in the distribution centers to validate
logistical data like dimensions and
weight
CubiScan®
• Audit the contents of Shippers and
Mixed Mods - before shipment to our
customers
– Verify the items and quantities contained
are as promised
– Ensures that each item is properly
supported at retail
• POS
• Store Inventory
Out of approximately
13,000 items audited:
ERROR RATE
62%
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STEPS TO ADDRESS DATA QUALITY ISSUES
• Centralized product data management to validate core
data attributes upon new item set up
• Develop scorecards to measure the quality of item data
provided by suppliers
– Assessing compliance with GDSN standards
– Accuracy of key data attributes
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WAKEFERN VENDOR SCORECARD
• Wakefern has developed a web-based scorecard for
our suppliers to get valuable feedback about their
GDSN product data
– Key indicators include:
• Items synchronized through the GDSN
– Provide GDS status of all items (Accepted, Review,
Synchronized)
– Identifies data ‘Challenges’
• Accuracy of product dimensions and weight (Order
Level)
• Compliance with GTIN Allocation Rules, particularly
Net Content Changes
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WAKEFERN VENDOR SCORECARD
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WAKEFERN VENDOR SCORECARD
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WAKEFERN VENDOR SCORECARD
• The Vendor Scorecard is designed to give the supplier
complete access to their data in the Wakefern Product
Data Management system
– Information can be segregated for all items or new items
– Information will be available at the GLN, Vendor, Item
and at the Attribute level in some cases
• Display comparisons between Vendor and Wakefern
item data can be reviewed
Element
WF Vendor
Value
Vendor
Value
Difference
LENGTH
13.1
14.5
1.4
WIDTH
9.8
11
1.2
HEIGHT
6.1
7
0.9
CUBE
0.453
0.646
0.193
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GETTING ACCESS TO THE SCORECARD
• Access to the Scorecard is limited to suppliers with a GDSN
relationship
– Requires the user to submit a system access request form
(Exhibit A)
• User guidelines and documentation will be provided with
your user access
• If you are interested in learning more about your product
data and data quality
– Visit the us at one of the scheduled Roundtable sessions
• Wednesday, June 11 12:00 – 1:00 PM
• Thursday, June 12
12:00 – 1:00 PM
– Contact [email protected]
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RAPID RECALL EXCHANGE®
• Rapid Recall Exchange® is an online service that provides a
method for suppliers to alert retailers of a product recall or
withdrawal event.
– Available 24/7, Rapid Recall Exchange® has standardized
product recall and withdrawal notifications between
retailers/wholesalers and suppliers
– Designed to protect customers and save trading partners time
and money
– Rapid Recall Exchange® is supported by a partnership of GS1
US, FMI, GMA and NGA
– Rapid Recall Exchange® is a central part of our recall
process, it provides us with the essential information needed for
us to take immediate steps and actions regarding a product recall
or withdrawal
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NEW INITIATIVES AT WAKEFERN
• A redesigned DSD Vendor Item Portal was launched in
January 2014
– Vendors are currently being transitioned to the new
application
• Requires completion of a training session and access to
the Wakefern application
– For additional information and to sign up for a training
session, contact [email protected]
– GDSN publications for DSD items can now be
processed
• Fully integrated with the Vendor Item Portal
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WAKEFERN SUPPORTED INDUSTRY
INITIATIVES
• Product Images through
the GDSN
– Develop an industry
roadmap and
implementation guide to
providing images through
the GDSN
• Types of images required
– Data Validation
– Advertising/ecommerce
– Plan-o-gram
– 1WorldSync led initiative
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WAKEFERN SUPPORTED INDUSTRY
INITIATIVES
• 1WorldSync supported initiative to
expand attributes available through the
GDSN
• Nutritional Information
• Ingredients
• Food Allergens
• Chemical Ingredients
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THINGS YOU MUST DO…
• Use GS1 Standards to support your business and trading
partner relationships
– Follow all of the standards and guidelines
• GTIN Allocation Rules
• Package Measurement Rules
• Increase the value of GS1 Standards for your
organization and your customers by supporting industry
initiatives
– Get involved
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RECOMMENDED SESSIONS
Session
171
Session
114
Session
155
• Wednesday, June 11th @ 10:20
• Power Up Your Data Quality Program
with 5 (Not So Easy) Steps
• Thursday June 12 8:00 – 9:00 AM
• Grocery Retail Panel Shares
Advanced Use Cases for GDSN®
• Thursday June 12 9:10 – 10:10 AM
• Trading Partner Forum - GTIN
Allocation Rules
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RECOMMENDED SESSIONS
Round Tables
Wednesday
• 12:00 to 1:00
June 11th
Thursday
June 12th
• 12:00 to 1:00
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STEPS FOR SYNCHRONIZING GDSN DATA
1. Once you have signed with a GDSN certified data pool,
review the available documentation on the 1WorldSync
landing page to become familiar with Wakefern’s processes
and requirements, and your other retail customers.
http://pdm.1sync.org/customers/wakefern
2. Complete the Wakefern Data Sync Vendor Fact Sheet
– Return to [email protected]
3. Wakefern will send a subscription for your data (Catalog
Item Subscription CIS) based on your GLN to your GDSN –
certified data pool.
– Prior to publishing data, verify that a subscription has been
received for your item data (1SYNC users can verify using
the “Subscription Visibility Report” on Item Management)
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STEPS FOR SYNCHRONIZING GDSN DATA
4. Register and load items into your data pool
– Ensure accuracy of your product data (pack, measurements,
weights, net content, etc.)
– Load all item levels in your packaging hierarchy – Each, Pack,
Case, Pallet
5. Understand the Publication Types – Catalogue Item Notifications (CIN)
– New is to be used if a trading partner is introducing a new item to
Wakefern
– Initial Load is used to synchronize item data for items presently
carried by Wakefern. All existing items must be synchronized using
this publication type.
• Item Changes or Modifications are used for all Synchronized
items to communicate changing item attributes).
– Delete is to be used when a item is being discontinued, this is not
currently processed by Wakefern
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STEPS FOR SYNCHRONIZING GDSN DATA
6. Publish a limited number of existing items (5 – 10) with
a Publication Type of Initial Load to the Wakefern GLN:
0341190000006
7. Manage Catalogue Item Confirmation (CIC) responses
from Wakefern
– Initial Loads, Item Changes, and New
– Follow up on data ‘challenges’ sent by email
8. Synchronize the balance of your items and continue to
send ongoing item change notifications through the
GDSN.
9. Publish all new items being introduced to Wakefern.
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