Brava and applause, Susan, for a clearly articulated concise essay on the
myths of XML and EDI!
 
Rachel Foerster
847-872-8070
 

  _____  

From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of
Susan Stecklair
Sent: Wednesday, April 11, 2007 9:44 PM
To: [EMAIL PROTECTED]
Subject: [EDI-L] Real World Requirements



Hi Michael & EDI-L'ers --

I'll add my 2 cents for the reasons that businesses trivialize the 
understanding of business in an B2B implementation. It is no mystery to 
me. I've been researching the early days of ebXML, RosettaNet, and the 
2000 other XML "standards" bodies. The early XML zealots made the case 
-- and some still do -- that their respective committees have brought 
together all the experts from hundreds of companies and the business 
issues have been resolved -- by committee. All you need to do is 
register your company at an internet registry, use their business 
models, & suppliers/customers can come to you & "plug & play" the B2B 
process. What many EDI/ebiz folks do not understand is that this 
message was -- and still is -- conveyed to senior management of a very 
large number of companies and by organizations/universities that should 
know better. A Silicon Valley rumor is that executives were advised 
they should fire their EDI folks as they were no longer needed, and 
think of the cost savings of getting rid of these "expensive 
consultants"!! There was no appreciation of the business knowledge of 
these individuals. 

The high-tech management was especially susceptible because they wanted 
to believe an internet solution was cheaper and the business process 
issues just dissolve because of the use of the internet. They were 
shown "easy-to-read" XML comparisons to "hard-to-read" EDI, not 
understanding these were not "standards-based" XML examples, some of 
the comparisons were absurd; and does the computer care how "readable" 
it is, as long as it is mapped properly. Marketing took over 
eBusiness. Remember all the ads: "We saved $500 million by doing 
eCommerce"? They were too far removed to understand that EDI over the 
internet existed since 1995 and was already evolving. They also did not 
understand nor appreciate the level of sophistication required to 
implement complex processes across companies. In the early days of 
eBusiness, it was not uncommon for large companies to have one group 
piloting the "new" eBiz transactions based on web/XML, and another "old" 
legacy EDI group doing that "low techie stuff" that management thought 
would be "dead" in a year or two. Only after years did some of the 
management begin to understand that the two groups were facing the 
identical business issues; XML did not prove to be faster, more 
accurate and less costly to implementation; AND EDI was not dead. There 
was no magic silver bullet out on the internet that solved their 
business issues or created standardized business processes. Many senior 
managers still do not understand this. 

Normally, I like to reference my sources, but the person who wrote this 
in 2002 is respected in the B2B industry; and (I presume) would now be 
embarrassed by his comments. His former company (which sells an XML 
solution) still has his article on their web site:

Quote: "The cost of installing a basic XML application can be as much 
as 50% less than an EDI link. Any browser that is capable of 
presenting the transmitted data is an adequate client, and the costs per 
transmitted message are significantly lower when compared to EDI. 
Additionally, with EDI, data must often be re-entered before it can be 
processed further with a company's other applications, such as its 
internal accounting software, or its merchandise information system. 
XML, on the other hand, enables data to be easily exchanged between 
different applications and then processed directly." End quote. 

Misinformed (to me) as the above quote seems, it was the basis used by a 
Harvard B-school publication written by one of their professors to 
recommend XML standards over the use of EDI. Quoting from a promotional 
piece from the VP of Sales of a very small company is not the usual 
rigorous Harvard B-school quantitative methodology one would expect. 
Stanford University gets in the act, too. In their paper, "Measuring 
Benefits of RosettaNet Standards -- Final Report", in their ROI analysis 
they include instructions for their worksheet. {This worksheet includes 
the detailed calculations of the expected reduction to be realized in 
[...EDI-related...] manpower costs [...] -- due to the move to non-EDI 
type(s) of transactions}. In another part of the paper they say: 
"Lower costs and increased efficiency are expected even if previous 
processes were not manual, but were rather based on EDI transactions. 
In addition, the accuracy of the data is increased." 

I believe the movement to outsource EDI/B2B is also contributing to the 
lack of understanding of the business issues, and the frustration of 
implementing EDI or any XML B2B-based process. It is unclear if it is 
the chicken or the egg. It appears to me that many of the outsourcing 
companies oversell their B2B capabilities, then get caught up with the 
techie stuff -- which often appears to be the only thing they know. 
But, big business should understand when they are getting a slick sales 
pitch on outsourcing -- but they do not have necessarily a methodology 
to do so. I recently was involved with implementing EDI with a customer 
that had outsourced EDI. Their implementors had no clue about 
guidelines, X12, nor how to map, how to make changes to their maps, and 
basic ebiz concepts. Example (one of a laundry list), they had never 
heard of SCAC codes (although we were doing a world-wide ASN 
implementation & they were very large Fortune 100 company). 
Pre-outsourcing days, this company's implementors had known what SCAC 
codes were & supported them. Finally, we said, "Send us your 
proprietary carrier codes you want us to use on the ASN's". 6 weeks 
later, they couldn't figure this one out either. Then they said, "OK 
-- just hard-code this ONE carrier code in your map. We know it will 
work." Yipes!!! Thank gawd they were cheap! But you know this one 
will require corrective action later on..... Betcha that won't be cheap.

P.S. For my research, I've been looking for any early presentation from 
Fadi Chehadi, formerly the president of RosettaNet. If you know 
how/where I can receive a copy or ask him directly, I would appreciate 
it. 

Regards,
Susan
(see contact info below)

4a. Re: [EDI-L] Job Description | EDI âEUR" Gentran/Mercator | Atlanta, GA

Posted by: "Michael Mattias/LS" [EMAIL PROTECTED]
<mailto:mcmlserve%40talsystems.com> s.com mcm_talsystems
Date: Tue Apr 10, 2007 9:54 am ((PDT))

4/10/07

>>We have the following urgent requirement.

....

>>Experience with Gentran Integration Suite Business Process 
Development and
>>mapping as well as administrative setup, code Lists, Partner 
Configuration.
>>Familiarity with >EDI X12 standards. Familiarity with Unix environment.
>> Preferred Skills: Unix AIX platform familiarity as well as shell
>> scripting. Knowledge and experience with Mercator/Ascential Data 
Stage TX
>> and Commerce Manager.

I continue to be amazed that a post this long and so detailed about
operating system and application software experience required says 
precisely
ZERO about the industry, documents or type of trading partners to be
handled. I would think "banking" or "retail" or "manufacturing" or
something like that would appear somewhere.

And we wonder why we get software which does not meet Real World
Requirements?

Michael C. Mattias
Tal Systems Inc.
Racine WI
[EMAIL PROTECTED] <mailto:mmattias%40talsystems.com> .com

Susan Stecklair, President Electronic Commerce, Inc.
<http://www.ecommerc <http://www.ecommerce-inc.com> e-inc.com>

( 408.996.7492 Business Office 

[Non-text portions of this message have been removed]



 


[Non-text portions of this message have been removed]



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