Hmmm - Please re-read my posts as I think you and I agree at the very heart
of this matter and that is it is a decision that must be made individually
and as it relates to the needs, goals and character of each business.  I
simply objected to the immediate castigation of "Managed EDI Services" as a
viable choice, that you will get inferior service and to the perpetuation of
lies.  The fact is, trust me when I say this, I am not trying to sell you,
but I do manage over 80 customers who today have better service, more
reliability and a higher degree of technical capability than they had
previous to us providing Managed EDI Services and it might be surprising to
note that the vast majority of them were not struggling with EDI.

 

But lets move on shall we.   

 

Thanks,

Steve

 

  _____  

From: [email protected] [mailto:[EMAIL PROTECTED] On Behalf Of
Craig Dunham
Sent: Wednesday, August 20, 2008 6:53 PM
To: [email protected]
Subject: [EDI-L] Re: [OFF TOPIC] - the "In-house vs Hosted" debate - was
software install

 

Hmmm... "Hmmm" indeed, Art.

First off - I'm the EDI Coordinator for a fairly large (over 400 
locations) retailer with sales in excess of $900-million per year. 
And I'm more than just the EDI Coordinator - I'm the "EDI 
Department" - I do it all - mapping, creating specs, managing data 
flow, managing trading partners, doing some 'in-house' testing, 
working with our testing program to get new vendors tested and so on 
and so forth.

I also manage, support and administer other programs and 
applications and data on top of the EDI gig... This includes a 
sales reporting system (internal), a POS reporting system (external) 
and fixing SKU and UPC errors and working with the Store Support 
group and the AS400 support group on pricing and SKU and UPC errors 
and issues.

Hmmm.... a lot, I know.

Sure, we could outsource our EDI... but why? Would it save us 
money on a monthly basis? Probably. But then what happens when 
there IS a problem...? And how would we get the data from our 
system into the EDI program for sending POs...? Oh, through some 
kind of interface... that somebody has to program, pay for, monitor, 
adminster and keep up... Hmmm....

So many people - and I'm surely not pointing fingers - focus SOLELY 
on the concept of PRICE. I get calls and e-mails and other 
solicitations from ths network, that network and this other provider 
over there, telling Me that they can save Me "50% on your VAN 
costs!"... Frankly, it's a bunch of BS and sales hype. I already 
get a pretty damn good rate on My VAN bill - well under a dime per 
KC. And the overage is even less... 

Could you beat My VAN costs...? Sure, but at what cost...? What 
about My concerns about "downtime"...? What about support issues? 
What about... Well, there are a ton of questions....

And, I get to have it work seemlessly with My EDI software - which 
come from the same VAN... And when I have a problem, I don't call 
software support and get told it's a network issue and don't call 
network support and get told it's a software issue. It's all ONE 
company, and they can figure it out on their side. 

And trust Me, I'm that squeeky wheel getting greased... I've got no 
problems going up the food-chain if I don't get a satisfactory reply 
from support...

And yes, I use one one of the "big 3" providers....

Does "managed EDI" have a place...? Sure..! Is it valuable to more 
than just small scale companies? Sure! But is it a fit-all and be-
all and end-all solution for EVERYBODY..?? No freakin' way, Jose! 
There are far too many complexities to be considered....

NOTHING about EDI is a perfect solution for ANYBODY... There are 
always going to be issues and complexities and nuances and 
variations that can and WILL occur between customer A and customer B 
and the next.

I deal with a lot of small mom-n-pop vendors/suppliers and work with 
a lot of the big boys (not just 800lb gorillas, but 1800lb gorillas 
and bigger!) and work with My VAN/network and talk to other networks 
and VANS and service providers and 3rd party hosters and all the 
rest.... 

So Steve (at ECEDILTD) and Allen (at wherever) and Art (at 
Blackwater) and Earl (at wherever) and all the rest - relax...! 
It's a big pond out there and lots of fishes to feed upon...

Steve - your solution may not and probably will not work for 
everybody...

Allen - Steve's solution may just work for you - who knows...?

Finally, Steve, I must call into question your statement "However, 
like any other aspect of a company a decision must be made at some 
point when it makes sense to discontinue doing things that are 
unrelated to what the organization is in business for."

So does this mean because I work for a retailer, they 
should "discontinue doing things unrelated to" retail? So we should 
outsource our EDI - hell, our entire MIS department - including the 
network guys that support the users - we should get rid of our Store 
Support group because they're "unrelated" to our business.... our 
accounting departments should be outsourced because, well, they just 
pay bills - they don't sell anything... our advertising department -
well, no, it can be argued that by creating ads, they sell things - 
oh, but wait, advertising is unrelated to our core business...

That's why so many people took offense to your query that started 
the whole thing - about "The real question is WHY is anyone still 
installing EDI software?"...

Simple answer? Because it fills a need they have....

Oh, and to all? Go back and look at a comment Laurie made - it's 
not an EDI application she's installing but a REPORTING APPLICATION 
for her EDI system - "Software was their 852 Reporting Tool" 

Craig Dunham
EDI Coordinator

PS - Steve - one other thing - just because your product is being 
used by "several fortune 500 companies" doesn't mean it will benefit 
all of those Fortune 500 companies...

--- In [EMAIL PROTECTED] <mailto:EDI-L%40yahoogroups.com> com, "Art
Douglas" <[EMAIL PROTECTED]> wrote:
>
> Let me throw my hat into the ring on this discussion.
> 
> I also have seen both sides of this coin. Some of you remember 
that I was
> the EDI Guy at a company formerly known as PaperPak. They 
restructured,
> outsourced IT and EDI. Now their EDI is being run by an excellent 
managed
> services organization. Some comments I have heard from my former 
colleagues
> who still work for the remnant of that company include 
observations that
> everything costs extra. If they want to add a trading partner, 
there is a
> charge. If they need a new report, there is a charge. What they 
don't
> understand is that I wasn't free working there - the company was 
shelling
> out a bundle, and the nickels and dimes they find themselves 
paying don't
> add up to what my salary and benefits cost the corporation. So, 
there is
> big savings.
> 
> On the other hand, the outsourcing company isn't sitting in on the 
user
> meetings. They don't hear the day-to-day problems that every 
business has,
> and cannot interject ideas for using EDI or other IT capabilities 
for
> solving these problems. When you cut your IT staff, you lose much 
more than
> technical expertise. You lose a huge investment in business 
understanding.
> I think that is the biggest loss when IT or EDI is outsourced. A 
good EDI
> person has dealt with multiple facets of their employer's 
business: AP, AR,
> supply, shipping, receiving, sales, marketing, planning and IT, to 
mention a
> few. The managed services guys deal with AP, when they need a 
check. It
> means that IT is no longer a strategic advantage, because the 
brain trust
> that comes along with an in-house IT staff is gone. You get what 
is in the
> box, nothing more. And if you don't really understand how to use 
what is in
> the box, you don't even get that.
> 
> I'm guessing that, when all those guys Steve mentioned decided to 
go to
> managed services, they retained key staff assets who knew EDI and 
the
> business. But the average Fortune 50,000 company doesn't have six 
guys
> doing mapping, another doing translating, and a cadre of business 
analysts,
> systems analysts and IT staff. It's all one or two people, and if 
you think
> that coding or mapping or setups is what they do, and you can get 
that done
> outside, you may be missing the boat.
> 
> Now I am back to being a consultant. I clean up the mess others 
leave
> behind. I find I am most effective when I am on-site regularly, 
and begin
> to learn the nuances of how the firm does business. Kind of like 
an
> employee - but more expensive.
> 
> Hmmm.
> 
> Art Douglas
> Lead Consultant
> Blackwater Network
> (877) 464-8915

 



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