GS1 Australia’s head of advisory services, John Szabo, says supply chains are under more pressure than ever from rising costs, competition and demand.
“A small investment in process automation or simplification can have a significant impact on efficiency while reducing costs,” he says. “Knowing where to look is sometimes the hardest part, and that’s where the GS1 Savings Calculator comes in.”
The GS1 Australia Savings Calculator is a free online business analysis tool that helps organizations identify potential savings through the implementation of Electronic Data Interchange (EDI) for electronic documents such as vouchers order forms and invoices, or the exchange and synchronization of electronic master data.
“Implementing EDI or electronic data synchronization is seen as a cost to the business, as opposed to an investment,” says Szabo. “The Savings Calculator gives organizations the ability to explore the benefits of what these implementations bring.”
Tailored to suppliers and retailers, and available to both GS1 members and non-members, the tool has been developed to be industry independent.
“There are two calculators to choose from in each category – one for a buyer and one for a supplier,” says Szabo.
“Users receive instant results delivered in an easy-to-read report tailored specifically to their business, providing them with solid quantitative data to support a business case.”
The report generated from the savings calculator displays comparative costs, highlighting where savings could be made by implementing GS1 standards.
The tool focuses on cost savings related to EDI, sometimes referred to as electronic messaging, and those related to electronic data synchronization, such as reducing operational costs, eliminating processing errors, improving stock receipt processes, reducing stockouts. , and improving customer satisfaction.
“Manual, paper-based processing of business transactions between trading partners can be very expensive and time-consuming,” says Szabo. “Adopting a standards-based approach to paperless commerce in all processes creates value for your business, your trading partners and your customers.”
By automating supply chain processes, tangible results are achieved, including:
- Smoother stock movements.
- More flexibility and precision in inventory management.
- Improved end-to-end traceability.
- Improved product availability.
“The savings calculator has been developed in collaboration with leading universities including La Trobe, Deakin and Cranfield (UK), taking advantage of the work carried out by GS1 UK and GS1 France to ensure that the calculator savings provides accurate results,” says Szabo. “Try it at savingcalculator.gs1au.org.”
Learn more about financial services to help your business in the August issue of Retail world.