Hearthlist Digest #464 - Wednesday, July 12, 2000 Re:Net PO's by "Roger Sanders" <[email protected]> Re: Net Po's by "Craig Issod" <[email protected]>
(back) Subject: Re:Net PO's From: "Roger Sanders" <[email protected]> Date: Tue, 11 Jul 2000 21:46:18 -0400 > > > Re: Email lists, etc. > by "Jim Butchart HPA Webmaster" > "What if you could migrate all those paper and phone orders to email already formatted on your form all set to be sucked into your manufacturing/accounting system. Wouldn't you want to find out how?" ------------------------------------------ Jim, as a retailer, here's what I think about this future NAPSTERed internet world that our POs will be sucked into. Maybe I don't want to find out how it can be done yet. Here's why: It's currently very easy to FAX purchase orders directly off computers, using any number of software programs already available to retailers. Even Quick Books has this capability. We went to paperless purchase orders several years ago in our store. Each employee with stocking responsibilities, simply sends their PO as a FAX to the manufacturer with a couple of mouse clicks. We've sent out several thousand POs this way. This ordering process is probably as quick and easy as it will ever get. How would it be much quicker using the internet? Saving a few seconds seems insignificant compared to the months of labor we waste each year in other areas of the purchasing process. Seems that if you're thinking that we could get manufacturers to post their SKU files on the Net using some agreed to format, we would be more accurate in our ordering, but not much quicker. Great idea though! The big savings from their posting of SKU files would come from eliminating the tedious SKU file data entry work that we currently do. Seems to me that the REAL purchasing process problem is the BLACK HOLE that our purchase orders go into once some manufacturers receive them. Too many times, manufacturers will not even acknowledge our purchase orders, or give us a shipping date unless we hound them to death. At which time we are as likely as not to get some WAG (Wild Ass Guess) about shipping time. This creates huge internal management problems in retail stores and it is extremely wasteful of staff time and frustrating for our customers and our staff. I don't see how the overall purchasing process can be made much better than a FAX from a computer until manufacturers completely reinvent the way that they treat retailer purchase orders and integrate their production scheduling data into their management of our purchase orders. A future MATRIX world where our computers are all NAPSTERed together with manufacturers will not function at all unless there is a set of standardized data formats and unless manufacturers treat our purchase orders MUCH better. These are the fundimental problems that need to be worked on, but they will not be until manufacturers are motivated. Should trade associations (HPA) help with these kinds of problems? Absolutely, but I wouldn't hold my breath. Will manufacturers be motivated by 2010 or 2020? It's obvious that the direct costs of these problems are borne by retailers and not by the manufacturers, so who knows if manufacturers will ever care.
(back) Subject: Re: Net Po's From: "Craig Issod" <[email protected]> Date: Tue, 11 Jul 2000 21:57:10 -0400 Roger said: At 6:01 PM -0700 7/11/00, Roger Sanders wrote: >Maybe I don't want to find out how it can be done yet. Here's why: Roger has some good points. Automation and technology mean nothing in themselves, it's only the increase in communication that they CAN bring if all parties have the agreement to do so. Having all the technology in the world will not solve the problems that plague many of the retailers and manufacturers in this business..that of being short staffed and not centered on REAL customer service. What do I mean by REAL customer service?...When you care about what the other party thinks and feels, rather than thinking the world revolves around your company. As Roger further states, the Trade Assoc has little power over the actual day to day business methods of any manufacturer..in fact, it could be argued that many dues-paying manufacturers don't want a non-profit entity telling them about how to run their operations. The Trade Org, this list and other pow-wows can help disseminate information and stand as one group when it comes to Government Regulations, etc....but it's my guess that they'll (we'll) have little to do with the way technology affects our industry. Technology, like products mixes, is very personal, and each company will adopt method that suit their day to day operations and comfort level. As far as doing all this stuff on the net, here's a question for all of you...What % of dealers do we think have access to the net from their shops? How many are high speed connections? My guess at the answers are: 1. 15% or less 2. 5% or less This means it's a long way to internet heaven. My 2 cents anyway.......... ------------------------------------------------------ Craig Issod HearthNet at http://www.hearth.com [email protected] Everything your Hearth Desires ------------------------------------------------------ ------------------------------------------------------