Crossing the B2B Chasm: Relieving the Bottleneck to eBusiness Growth

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SOLVING THE MULTI-BILLION DOLLAR B2B
E-COMMERCE BOTTLENECK
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THE B2B ENVIRONMENT

• The potential is enormous
• Analyst predictions of the size of the B2B
  marketplace range from 1.2 trillion to 50
  trillion
• More than 1,000 Internet exchanges have been
  launched since the end of 1999
• Nearly every company is exploring at least some
  form of B2B e-commerce

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THE B2B ENVIRONMENT

• True B2B today is a fallacy
• Few companies have more than a couple key
• trading partners
• Most B2B exchanges have yet to execute their
  first transaction
• Those that have only represent a fraction of
  whats possible
• Of 120 billion transactions, only 5 billion have
  been automated

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THE B2B BOTTLENECK

• B2B is community-based, and can only live up to
  its promise thru massive scale of partners
• The bottleneck is caused by manual e-business
  enablement.
• Enablement is the necessary set of processes and
  relationships that a company and its trading
  partners must establish to ready the B2B
  community for transactions and manage its growth.
• We call this the Enablement Challenge

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TRADING PARTNER REQUIREMENTS

• Consider the scope of the problem
• Enablement must be done for each business process
  with every trading partner (a trading
  relationship)
• The average Global 2000 company could bring
  500,000 distinct trading relationships online
• The typical Global 10,000 company has between 500
  and 5,000 such relationships
• At 20K-50K per trading relationship, enablement
  
• worldwide will cost trillions of dollars

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EDIFECS B2B ENABLEMENT SURVEY

• National query of 327 ecommerce managers reveals
• 56 of companies currently conducting B2B with
  less than one-fourth of their trading partner
  base
• 103 days to ramp-up one trading partner agreement
• 77 currently conducting fewer than 15 processes
  electronically with their partners
• 45 exchanging fewer than 5,000 electronic
• transactions a month

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B2B SURVEY continued

• Enablement is widely seen as major cause of lack
  of B2B scale, however
• Respondents mandated to more than double their
  B2B
• trading partner base
• XML is believed to be a solution
• B2B providers are believed to offer automated
  enablement

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MITIGATING MISPERCEPTIONS

• XML and the Internet have no impact on enablement
  process
• Widespread adoption of XML will increase need for
  Enablement
• Rapidly automated enablement is necessary for
• fulfillment of B2B forecasts

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OUR MISSION

• To be the dominant solution provider for enabling
  trading relationships in supply chains.

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OUR TEAM

• CEO Sunny Singh
• John Yunker, Chief Architect
• Jennifer Hurshell, Vice President, Marketing
• Greg Gilles, Vice President, CommerceDesk
• Bill Derrick, Vice President, Operations
• Bill Mettallo, Director, Business Development
• Mindy Geisser, Director, Human Resources

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OUR BUILDING-BLOCKS
Business Collaboration Modeling and
Frameworks Business Collaboration Framework and
consulting services adopted by ebXML, RosettaNet,
UN/CEFACT
From architecture to tools
Protocol Spec Development Prime contractor to
RosettaNet for architecting PIPs
Trading Partner Enablement Systems CommerceDesk
Server 4.0
Schema Authoring Management Tools SpecBuilder
since 1997
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CUSTOMERS
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INTEGRATORS, RESELLERS
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INDUSTRY PARTNERS
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SOLVING THE BOTTLENECK
Edifecs CommerceDesk 4.0
Collaboration Server
Tools
Program Management Partner Management (Help
Desk) Partner Implementation (Testing)
Edifecs SpecBuilder Edifecs FormsBuilder
Applications
Standards
Web Forms Solution
UDDI, TPAml, RosettaNet, ebXML (XML, EDI, Flat)
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IDEAL COMMUNITY MANAGEMENT
Reporting
Support
Administration
Collaboration
Manage Partners
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SpecBuilder
FormsBuilder
Guideline
Guideline
Web Form (Java)
EDI/XML file or online standard
IIS
Netscape
Translator
CommerceDesk Server v4.0
Validation
Web Forms
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NOVEMBER 2000 RTM

• CommerceDesk is available in several versions
• Service Edition for B2B ASPs - 500,000.
• Exchange Edition for trading exchanges -
  500,000.
• Enterprise Edition for Global 10,000 companies -
  100,000.

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B2B SERVICE PROVIDERS

• Routing
• Translation
• Connectivity
• Transport

• How we drive this model
• Front-end to enable clients
• Value-Added Services
• Enable communities
• Manage programs/ projects
• Manage communities
• 24x7 operations
• Transactional liquidity

B2B ASPs
GE GXS Peregrine EC Company
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TRADING EXCHANGES

• How we drive this model
• Collaboration, Deployment Management
• Transactional Liquidity

• Auctions
• Reverse Auctions
• Catalog Mgmt
• User Mgmt
• Business Svcs

Net Markets
Ariba C1 Clarus Idapta
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POSITIONED FOR GROWTH

• Strong fundamentals including
• Extensive IP technology assets
• Steady, revenue based, growth since 1996
• Mature products widely adopted industry
  standards
• Fortune 500 clients and strategic partners
• Investment by GE

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CASE STUDY
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GE Global eXchange Services

• Worlds largest Value Added Network provider (58
  countries)
• 30 years in B2B
• 60 of clients are Fortune 500
• Mange a community of 100,000 trading partners
  (clients)
• 1 billion transactions annually
• 1 trillion in annual transaction value
• Own 30 of transaction-transport business

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GE GXS STRATEGIC PARTNERSHIP

• CommerceDesk user
• - GEGXS.net powered by CommerceDesk (Net
  Community Manager)
• - GE Tradeweb powered by CommerceDesk Web
  Forms application
• - GE Professional Services internal use of all
  Edifecs products
• CommerceDesk reseller agreement
• Edifecs investor

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GXS COMMERCEDESK OBJECTIVES
Previously

• 60 enablement rate in 6 months
• 4 - 12 weeks per partner
• 250 - 2,500 per partner- enabled document
• Manual Program Management
• Manual Testing
• Manual Partner Profile Maintenance
• Manual Partner Contact

• 90 enablement rate in 3 months
• 1- 2 weeks per partner
• 125 - 1,000 per partner- enabled document
• Web-based Program Management
• Self-service Testing
• Partner Self-Registration
• E-mail, fax notifications

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CommerceDesk Screenshot
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GXS FORMS OBJECTIVES
Previously

• 35 days per Web-form
• 2 months lead time for new forms
• 400 dedicated staff
• Hand coded forms in Perl
• Hand coded updates
• Hand coded validation

• 5 days per Web-form
• 1 week lead time for new form
• 320 dedicated staff (20)
• WYSIWYG Form Development
• WYSIWYG Form Maintenance
• Automatic SpecBuilder Validation

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Forms Screenshot
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GXS SPECBUILDER OBJECTIVES
Previously

• Competitors Tool
• Specification Development in 3 separate products
• EDI Support Only

• SpecBuilder 4.0
• Specification Development in 1
• product
• EDI, XML, UDF, Flat File,
• RosettaNet
• Data Generator
• Migrator
• CommerceDesk / FormsBuilder
• Integration

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SpecBuilder Screenshots
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