opids reaching the goal line on office products industry data standardization bsa conference -...
TRANSCRIPT
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OPIDSReaching the Goal Line on Office
Products Industry Data StandardizationBSA Conference - October 3, 2012
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OPIDS Presentation Overview
• What is OPIDS and Why is it Important?
• Progress Made Since 2006
• Current Challenges to Overcome
• Relationship to eContent Standardization
• Today’s Call to Action
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OPIDS Setting the Stage
WHO: Independent OP Channel
WHAT: MAC, SKU#, UOM, Color Codes
WHERE: Print and Online Catalogs
WHEN: 2006 ?
WHY: Efficiency, Sales, Margins
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OPIDS: Who’s Involved?
Participants in OPIDS Committee:
• BSA and NOPA – Program Coordinators
• Independent Stationers & TriMega Purchasing Association
• S.P. Richards & United Stationers
• Trade Service – Industry Product Data Analysis & Program Support
Other Parties Consulted Periodically
• Industry Manufacturers & Other Industry Wholesalers
• Industry Business System/Software Solutions Companies
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OPIDS: What’s Involved?
Manufacturer Prefixes/Codes (MAC) - Examples:
• ACCO Brands (ACC)
• Avery Consumer Products (AVE)
• Sanford (SAN)
Stock Numbers (SKU) – Examples (with MAC):
• BIC DEC11
• CNM 1153B001AA
• DUR MN1500B20
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OPIDS: What’s Involved?
Units of Measure (UOM): Standardized Meaning – Applied at SKU Item Level
– BX = Box:
• A box is repackaged within a carton to be shipped
• Package of <500 sheets of paper, if boxed
• Three dimensional cardboard container
– DZ = Dozen: Combination of like items with like characteristics, quantity 12
– EA = Each:
• All spiral pads
• For furniture, if the item in question is an "option," treat as EA
• Package of one item bound by plastic to a cardboard backing
• Single items, i.e.; a cartridge of tape
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OPIDS: What’s Involved?
Color Code Abbreviations:
• 3-digit Trade Service color standards:
– BLK = Black
– BLU = Blue
– RED = Red
• 2-digit OPIDS standards for most-common colors:
– BK = Black
– BE = Blue
– RD = Red
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OPIDS: Where Used?
• Printed flyers & catalogs
• Online catalogs & web sites
• Dealer back-end systems
• Inventory stock checks
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OPIDS – Why Important?
• Office Products Buying Continues to Shift to Web– Essential for basic item and order processing
– Online buying experience central to market success
– Large national competitors continue to invest heavily in online experience to sell more and take market share
– Downside risks to independent channel of inadequate data standards rising – Amazon entry into B2B market
• Standards Help Drive Cost Reductions in Channel
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OPIDS – Why Important?
End User and Dealer Shared ‘Pain Points’
• Without 99%+ OPIDS Standardization:
– UOM confusion leads to invoice cost exceptions, returns, increased customer service costs, loss of customer good-will
– Customer contract issues are more prevalent, complex to resolve
– Significant conflicts arise between online/printed catalogs
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OPIDS – Why Important?
Dealer Internal ‘Pain Points’
• Without 99%+ OPIDS Standardization:– Inventory management and sales forecasting errors more likely
– Order fulfillment drawing on secondary wholesaler more difficult
– Systems providers and dealers must invest more time to synchronize data
– Scarce dealer resources are diverted from selling and delivering valuable customer service to problem resolution
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OPIDS Variances: 2012 Key Issues
Same item – Different SKUSP Richards UOM United UOM Manufacturer UOMBICDEC11BLK DZ BICDEC11BK DZ BICDEC11
DZCNMFX11 EA CNM1153B001AA EA CNM1153B001AA EADURMN1500B20 PK DURMN1500B20Z PK DURMN1500B20 PK
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OPIDS Variances: 2012 Key Issues
Same item – Different MACSP Richards UOM United UOM Manufacturer UOM
CLE10001410 PD CHA10001410 PD CHA10001410 PDMJK00757 BX CRY00757 BX CRY00757 BXAAG759200 EA DRN759200 EA DRN759200 EA
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OPIDS Variances: 2012 Key Issues
Same SKU – Different UOM for Same quantitySP Richards UOM United UOM Manufacturer UOMAVE8373 PK AVE8373 BX AVE08373 PKAVE8386 BX AVE8386 PK AVE08386 BX
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OPIDS Variances: 2012 Key Issues
Same Item – Different UOM SuffixSP Richards UOM United UOM United* UOM Manufacturer
UOMDPR02936 EA DPR02936EA EA DPR02936CT CT DPR2936 CTGOJ902210 BX GOJ902210BX BX N/A GOJ902210 BX
• United 2nd SKU offering with different UOM
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OPIDS – Results 2006-11
• MAC Standards – MAC use variances largely removed within 2-3 years
– Lingering variances mostly reflect inconsistent guidance from manufacturers to wholesalers and buying groups
• SKU Standards– 95%+ SKU standardization on office supplies within 2-3 years, but
then shifted into maintenance mode
– Growing SKU variance issues on items sold in multiple UOM, increased use of variable suffix structure in SKUs
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OPIDS – Results 2006-11
• UOM Standards– UOM nomenclature use variances largely
removed in 2-3 years
– 95%+ UOM standardization on supplies within 2-3 years, but then moved to maintenance mode
– Challenges in agreeing on base or ‘root’ UOM when item sold in multiple UOM quantities
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OPIDS – eContent Standards Relationship
• Substantial OPIDS Progress Made … But More Needed!– 95% basic product data standardization insufficient in
current online buying market
– Risk of OPIDS ‘back-sliding’ rising with more multiple UOM items + non-traditional products
– Independent Channel cannot afford to stand still on OPIDS while focusing on eContent issues – Ultimate goal of driving more sales depends on advancing both initiatives in coordinated way.
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OPIDS – Next Steps
• Proposed Future OPIDS Work Process– Finalize logic rules and apply to resolve open OPIDS
issues
– Establish strong pipeline for validation of additions and changes prior to implementation
– Implement maintenance plan to ensure continuity
– OPIDS Prime Directive: Make it simple-Keep it simple
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OPIDS: Call to Action
• Help us Expand Manufacturer Awareness of OPIDS Goals and Your Role in Process
– Review your own MAC, SKU and UOM use vs. OPIDS standards – note variances and talk with wholesalers
– Inform others in your company about OPIDS and need to standardize existing and new SKUs quickly
– Get/stay engaged with BSA and NOPA on OPIDS and eContent standards – these initiatives are interconnected and success will drive more sales!
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OPIDS
Reaching the Goal Line on Office Products Industry Data StandardsBSA Conference - October 3, 2012
THANK YOU!
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