The economics of EDI are closely connected with the politics of the supply chain. What started as a utility for moving order information between trading partners has become at times, a battlefield over territories and processes. As different companies and groups determine the most advantageous methods for themselves, there is a normal tension between what's best for one and what's good for the overall effort. And at some point the choices can approach a tipping point at which decisions that had been historically unthinkable become more appealing than following the pressures being applied by the dominant forces. Are we approaching a tipping point? Read more...

For most suppliers the distance between their product and their consumers is a long and twisted path with little or no direct feedback. In a perfect world, this arrangement would work fine because retailers handle the direct consumer interaction and simply order more product from their suppliers to restock their shelves. And the tight margins, short lead times, localized demand cycles, and global distribution of the supply chain make it difficult to adequately plan production and delivery schedules. What's been termed 'supply chain visibility' has been touted as the answer to many supply chain issues, but is there any reality to this kind of monitoring? Read more...

Selecting a trading partner is becoming one of the most important tasks in the supply chain. At the same time it has become one of the biggest areas for potential mistakes resulting in financial disaster. Consumers are looking for more products available through multiple sources, lower prices, immediate availability, and reliable customer service. Delivering all that on slimming margins means both retailers and suppliers need to make the right decisions about what companies they partner with every time... not just most of the time. And that's why ec-bp.com is introducing the Trading Partner Scale. Read more...

Ever heard "EDI is a huge cost savings for our company" from a manager in your organization? Invariably you will hear a resounding "YES!" from anyone that is within 50 feet of that manager all coming to agreement on the benefits of an EDI program. What do you do then if your CFO is one of those people within earshot of the comment and asks you for a number to back up the statement? Read more...