1. Australia Office Supplies Industry Call to Action Seminars July 2010

2. © 2008 GS1 Australia Agenda OSGAG Welcome Address GS1 – Brief Overview Basics of Data Synchronisation Industry Speaker – Rob Zigmann (Officeworks) Industry Speaker – Martin Rodger (Aust Office) Industry Speaker – Justin Hansen (OfficeMax) Morning Tea Break Industry Speaker – Froilan de Castro (ACCO) Proxy Presentation – On behalf of Cameron Webb (Woolworths) Call to Action Getting Started Questions Seminar Close

3. © 2008 GS1 Australia Who is OSGAG Office Supplies GS1 Action Group comprises reps from: Industry lead group Inception April 2009 Specific objective to establish an industry standard to improve merchandising processes across the sector Today serves to publish/communicate that work to the OS community of vendors, wholesalers and retailers.

4. © 2008 GS1 Australia GS1 in a nutshell GS1 is a not-for-profit organisation that develops global standards for the identification of goods and services. GS1 standards foster cooperation and encourage information-sharing worldwide. Using GS1 standards, businesses and organisations can improve the efficiency of their supply and demand chains by adding useful information to any exchange of goods or services. The global language of business

5. © 2008 GS1 Australia UCC (Uniform Code Council) USA & Canada Established : 1972 EAN International Outside USA & Canada Established : 1977 Nov 2002 March 2005 GS1 name change

6. © 2008 GS1 Australia GS1 around the world 30 years of experience 108 member organisations representing all points in the supply chain Over a million companies doing business across 145 countries Over 20 represented sectors FMCG, healthcare, transport, defence … Over 5 billion transactions a day A fully integrated global organisation, GS1 was formed in early 2005 from the joining of EAN and UCC. GS1 is the most widely used supply chain standards system in the world

7. © 2008 GS1 Australia The GS1 System A toolkit for supply chain excellence Global standards for electronic business messaging Rapid, efficient & accurate business data exchange The environment for global data synchronisation Standardised, reliable master data for effective business transactions Global standards for automatic identification Rapid and accurate item, asset or location identification Global standards for RFID-based identification More accurate, immediate and cost effective visibility of information GS1 Identification Keys (e.g. GTIN, GLN, SSCC, GRAI, GIAI, GSRN, GDTI) Underpinned by

8. © 2008 GS1 Australia Who is GS1 Australia?  Administer & maintain the GS1 System of supply chain standards in Australia  Current membership 16,000+ companies across multi-industries  In excess of 18 industry sectors  Over 100 staff in Melbourne & Sydney  http://www.gs1au.org http://www.gs1au.org GS1 Australia Office at Mt Waverley, MelbourneGS1 Australia Office at Botany, Sydney

9. © 2008 GS1 Australia GS1 working with industry Automotive Aftermarket* Grocery* Liquor* Defence* Consumer Electronics* Foodservice* Fresh produce* Furniture ICT Apparel Hardware* Health* Meat* Seafood Steel* Transport & Logistics* Office Supplies* Sport & Leisure* Active participation with industry working groups * Active participation with industry working groups

10. © 2008 GS1 Australia The Basics of Data Synchronisation

11. © 2008 GS1 Australia The continuous and automated exchange of standardised item master data within and between organisations What is Data Synchronisation?

12. © 2008 GS1 Australia Why Synchronise Item Master Data? Trading partners today see unnecessarily high costs from: supply chain information inefficiencies inaccurate data in transactions invoices with errors manual work-around processes to correct inefficiencies $ Synchronised and harmonised master data between trading partners’ systems can promote: smooth inter-company flow of goods better control of supply chain processes increased data accuracy reduced costs in the supply chain a robust foundation upon which the full benefits of electronic collaboration can be achieved and scaled

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14. © 2008 GS1 Australia Benefits shown

15. © 2008 GS1 Australia Summary of Benefits

16. © 2008 GS1 Australia Operational Benefits In Merchandising Eliminates many manual item setup processes and maintenance No more data entry of new items forms In Logistics Accurate cube and weight data allows inbound and outbound truckloads to be better utilized, Improved receiving and put away In Store Reduced “not on file” discrepancies Improved on shelf availability In Accounting Reduced invoice discrepancies Improves invoice accuracy and associated reconciliation processes

17. © 2008 GS1 Australia Merchandising Benefits Accurate, synchronized data eliminates many manual item setup processes and maintenance. Improved Sales New item processes reduced Merchant administrative time can be reinvested in building sales Better visibility to more supplier catalogs Sales Representative Value Add No need to fill out new item forms for all customers No need to communicate changes and corrections More time can be spent building sales Merchandising Administration No more data entry of new items forms Elimination of key entry errors No more paper trail from merchandise=>pricing=>logistics=>accounting

18. © 2008 GS1 Australia Logistics and Distribution Benefits Allows inbound and outbound truckloads to be better utilized, reducing freight costs and increasing efficiency Means inbound truckloads can be received and put away efficiently - reducing time, handling, cost and improving shelf service levels Synchronized and accurate cube and weight data

19. © 2008 GS1 Australia Store Operations Benefits Improved Customer Shopping Experience Error free scanning at front end Improved Planograms for ease in shopping Improved shelf tag accuracy for price comparisons Improved on shelf availability Accurate and synchronized data improves efficiency and thus the customer shopping experience Improved Back Door Management (DSD) Reduced “not on file” discrepancies which stop product from flowing onto the shelves Reduced invoice discrepancies

20. © 2008 GS1 Australia Accounting Benefits Accurate and synchronized data improves invoice accuracy and associated reconciliation processes Invoice reconciliation More invoices will be accurate More streamlined/timely processes for resolving invoice discrepancies Reduced out of period adjustments which will make financial information more actionable Reduced receiving quantity errors to be reconciled

21. © 2008 GS1 Australia An essential foundation Source : GMA/FMI Collaboration (AT Kearney, January 2004)

22. © 2008 GS1 Australia GDSN - Global Data Synchronisation Network An automated, standards-based global environment that enables secure and continuous synchronisation of item master data; Allowing all trading partners to have consistent item data in their systems at the same time; It connects retailers and suppliers, via their selected GDSN- certified data pools, to the GS1 Global Registry; In Australasia, this data pool is GS1net The environment for global data synchronisation Standardised, reliable master data for effective business transactions

23. © 2008 GS1 Australia What does the GDSN look like? Inter-connected network of data repositories or data pools; Registration of Items and Parties, and Global Search; “Yellow Pages” for location of detailed item information in the network; Standards compliant data Retailers & Suppliers have single point of access via Certified Data Pools; GS1net is one of many GDSN Data Pools -Suppliers Global Registry GS1 Netherlands WWRE GS1 France GS1 US Inovis GS1net (Australia) GS1 UK - Retailers -Distributors

24. © 2008 GS1 Australia What is GS1net?  GDSN compliant Data Synchronisation Service  Administered by GS1 Australia  Based on the global GS1 System of standards  “Trans-Tasman” Data Synchronisation Service  Certified to the Global Data Synchronization Network

25. © 2008 GS1 Australia Data Synchronisation Benefits 1. Product Info sent Errors in transposition 2. Product Info entered Errors in Translation Errors in Delivery / Transmission Fax/ Mail/File transfer Incorrect Item #s Prices Desc Qty Supplier / BrokerBuyer 6. Despatch Advice 3. Purchase Order 7. Goods Delivered 5. Adjusted Purchase Order 4. Query Order Errors 11. Delayed Settlement 8. Query Delivery Errors / Claim for credit 9. Return Incorrect Goods 10. Adjusted Delivery

26. © 2008 GS1 Australia Data Synchronisation Benefits Supplier / BrokerBuyer 6. Despatch Advice 7. Goods Delivered 3. Purchase Order 5. Adjusted Purchase Order 4. Query Order Errors 11. Delayed Settlement 8. Query Delivery Errors / Claim for credit 9. Return Incorrect Goods 10. Adjusted Delivery 1. Populates 2. Auto Updates Vendor Catalogue

27. © 2008 GS1 Australia NOT What GS1net is NOT !  EDI Service Provider  A B2B Exchange (vertical or horizontal)  An Electronic Marketplace  An Online Shopping Catalogue  An Advance Supply Chain Management System  A Promotions Management System  A System for Conducting Commercial Transactions

28. © 2008 GS1 Australia Key Functions of GS1net  Data Synchronisation allows vendors & all Trading Partners to electronically synchronise data regarding: –New products introductions – Item & Pricing. –Product & price changes. –End date products. includes: –Fixed weight items. –Variable measure (random weight) items. –Private label / house brands. fully replicates current item submission and price change forms (e.g. UBF).  Data Integrity Ensures completeness and conformity of data with respect to: –GS1 numbering standards –Global industry standards for units of measure, packaging, product classification, space management etc –Industry-specific business rules –Specific Trading Partner requirements.  Public Data Repository  Global “yellow pages” of items –Search & download

29. © 2008 GS1 Australia GS1net Registry How does it work? Auto Updates Trading Partner A Auto Updates Trading Partner B Auto Updates Trading Partner C GS1net Data Pool GS1net Data Validation Data Uploads Vendor B Data Uploads Vendor C Data Uploads Vendor D Data Uploads Vendor A Search & Download

30. © 2008 GS1 Australia Trading Partner C Trading Partner B How Does GS1net Work? (Workflow) GS1net Vendor A Upload Data Publish Hierarchy Trading Partner A Subscribe GLN / GTIN Item/Price Data (Hierarchy) Item/Price Data Confirmation Global Registry

31. © 2008 GS1 Australia Browser Upload for GS1net Auto Updates From GS1net Retailer Mailbox Gate Way Buyer (Accept/ Reject Changes ) Retailer ERP Other Systems Merchandise Management System Inventory System How Data Recipients use Suppliers’ GS1net data?

32. © 2008 GS1 Australia GS1net as at 30 th June Type of UserNumber of Type of User Vendor/Supplier1366 Buyer/Retailer 56 Search & Download 19 Total Community1441

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35. © 2008 GS1 Australia Call to Action New Requirements – start now –Communicate internally –Flyer –Findings Document Industry Data Model available from GS1 website Technical Documentation available from GS1 website Contact GS1 Attend some GS1net Training

36. © 2008 GS1 Australia Roadmap Schedule project internally Contact GS1 Australia Obtain “GS1net Ready” Status Test with Trading Partner GS1net Live

37. © 2008 GS1 Australia Next Steps 1.Ensure you have a current GS1 Membership 2.Register for GS1net GS1net Client Service Advisor will assist you through the process 3.Download Key Documentation from GS1 website http://www.gs1au.org/services/gs1net/technical/ 4.Attend GS1net Training 5.Obtain “GS1net Ready” status Determine GS1net product range Identify GS1net data requirements Prepare your data Validate your data Populate GS1net 5.Publish your data to your trading partner 6.Test with trading partner to obtain “GS1net Live” Status 7.Start synchronising your catalogue electronically and eliminate paper based process.

38. © 2008 GS1 Australia Options for loading data to GS1net GS1net Online (only suitable for less than 10 GTINs) GS1 Browser Upload Template (MS Excel) M2M Synchronisation (ERP / FTP) Maturity Time Certified 3 rd party middleware applications

39. © 2008 GS1 Australia Why Consider Middleware? Most middleware solutions can do the following: Validate your data before sending to GS1 Australia Can integrate with existing back office systems Can complete many of the tasks required to interface with GS1net Reduce or remove the need to upgrade existing ERP systems Support business process efficiency improvements Also support non-GS1net related data management activities Reduce the need to use and rely on spreadsheets The solution provider can possibly ‘shield’ the user from major GS1net platform changes and releases

40. © 2008 GS1 Australia GS1net Fees – Vendors http://www.gs1au.org/services/gs1net/fees.asp LEVEL Gross Annual Company Turnover GS1net Quarterly Fees (Based on $3.40 per GTIN per quarter) FromToMinimum FeeCapped Fee ANil<$1m$95 B$1m<$5m$95$310 C$5m<$10m$95$930 D$10m<$25m$95$1420 E$25m<$50m$95$1880 F$50m<$100m$95$2500 G$100m<$500m$95$4400 H$500m<$1b$95$7500 I$1b<$5b$95$9400 J$5b+$95POA $115 Joining Fee will be waived for registrations taken by 31 st August 2010

41. © 2008 GS1 Australia Information Pack Internal Communications OSGAG New Industry Requirements Flyer OSGAG Pilot Project Findings Document (Business focus) –Handy tips GS1net Ready Checklist (Technical) GS1net – Data Synchronisation Service brochure Middleware solution provider brochures GS1 Membership Application Form LiNK Magazine GS1 contact details

42. © 2008 GS1 Australia Questions

43. © 2008 GS1 Australia Primary contacts GS1 Australia – General Membership enquiries GS1net Client Services T: 1300 366 033 Bonnie Ryan (GS1 Australia) T: (3) 8581 5904 E: bonnie.ryan@gs1au.orgbonnie.ryan@gs1au.org Catherine Koetz (GS1 Australia) T: (3) 9550 3403 E: catherine.koetz@gs1au.orgcatherine.koetz@gs1au.org