Enhancing Connectivity and Standardizing Supply Chain EDI Processes with Descartes B2B™ EZE Collaboration
Kodak is an iconic American technology company that has been at the forefront of imaging technology for over a century. To provide enhanced connectivity for purchase orders, acknowledgement messages, Advanced Shipment Notices (ASNs) and invoicing, Kodak integrated the Descartes B2B EZE Collaboration solution directly with its SAP Enterprise Resource Planning (ERP) system. As a result, Kodak increased the efficiency of several of its procurement processes, maximized supply chain transparency, enhanced overall reliability and improved cost effectiveness across its global supply chain.
The Challenge: Disparate Systems and Manual Processes
With a diverse global supply chain and a multiple Electronic Data Interchange (EDI) protocols in place, Kodak required a solution that could standardize processes and collect information into a central system.
However, previous B2B integration efforts proved to be costly and required substantial IT bandwidth to deploy. An innovative system was required to replace the manual processing of paper invoices and provide a common labelling system for suppliers. In addition, it was critical to stream ASNs directly into Kodak’s SAP platform to improve production planning, maximize visibility and track costs.
The Solution: Streaming Useful Information into Kodak’s ERP
Kodak deployed the Descartes B2B EZE Collaboration solution, part of the Descartes Global Logistics Network™ (Descartes GLN™), to transform disparate data and systems into useful information on the company’s SAP ERP platform. The supply chain EDI integration automates previously manual procurement tasks such as purchase order processing, item receipt generation and the creation of bills from vendor-initiated invoices.
The solution also provides cost validation against purchase orders to ensure accuracy and reduce errors. In addition, as a result of the Descartes implementation, vendors now share a common labelling platform to speed the receiving process.
The Benefits of Global Supply Chain EDI Integration
120,000 Invoices Automated Yearly
By automating supply chain purchase order management with Descartes B2B EZE Collaboration, Kodak realized approximately U.S. $1 million in cost savings.
Since automation ensures that invoices match purchase orders and goods receipts, Kodak cleared 25,000 more invoices and reduced labor by approximately 12,000 man-hours.
With 100% acknowledgement of POs and PO changes, Kodak improved vendor collaboration and ensured vendors’ capabilities to meet orders.
Descartes’ solution provides a faster and more accurate receipt process with a common barcode label on inbound shipments.