1 NEMA NEMA Board of Governors November 13, 2004 Report

2  Industry Data Warehouse Central Database to synchronize Product, Pricing and Packaging data between trading partners Attributed data being developed to support electronic catalogs, spec sheets  Industry Data Exchange 2 Private Network for the exchange of business documents, primarily EDI but XML, Flat File, other formats can be passed between trading partners  Industry Retail Database Certified “data pool” to provide data to the Retail channel via UCCnet (US) & ECCnet (CDN)  Data Audit & Certification Data quality review and “grading” based on IDW standards/distributor reqmts … data quality is key IDEA Products & Services IDW IDX2 IRDIRD DAC

3  2004 remains positive for IDEA IDX2 - highly successful product –Over 220 customers, traffic volume up 11% per month IDW Mfr’s provide 80% of the 1.7 million records  78 of 145 are NEMA members IRD – 22 NEMA manufacturers participating  Profitable business model DAC – 109 of 145 manufacturers participating  Financially… strongest position in 3 years 2004 – will be solidly profitable  IDW – Primary focus IDW remains highest priority IDW Improvement Plan –Data Sourcing – get all Mfr’s to provide data –Data Quality – 100% participation in DAC by close of 2004 –Design and implement IDW2 by Jan 2005 Overview – 2004 To Date

4  Market analysis underway Channel Marketing Group Assess market/viability of doubling business –Analysis indicates strong potential Take Advantage of IDX2 strengths –Features and functions –Reliability only 50 hours total outage in 3 years –Rates and Charges – 30-90% lower then other services –Over 60 interconnects/paths with other services  Working with service providers to improve biz models Improve service to meet new user requirements Lower IDEA costs and customer rates Ensure IDX2 continues to be most reliable and cost effective service IDX2

5 IDW – Primary Focus  IDW Improvement Plan Data Sourcing –End dependence on i2 Trade Service data for ~250 manufacturers Improve Manufacturer Data Quality –Complete Certification for In-Process manufacturers (45) –Get balance of manufacturers (39) to participate in DAC Move IDW to next level = IDW2 –More functionality and flexibility for users –Will result in successful and profitable venture  NAED and NEMA matching Funds Support IDW Improvement Plan –Cover investment in s/w & h/w –Cover new IDEA staff and support for 1 year

6 NEMA Matching NAED Fund Program NEMA NAED Funds 1.NEMA invoice Manufacturers 2.NAED and NEMA provide funds to IDEA as requirements dictate a.Implementation of IDW2 s/w and h/w b.Database upgrade and certification c.Additional IDEA Staff cost 1 year

7 Increase Manufacturer IDW Participation 305 UCC = 1,145,742 SKUs (Mfr Direct) 296 UCC = 336,886 SKUs (i2 TSC Supplied) 120 CND UCC = 185,061 SKUs (CND Mfr Direct) US Mfr Direct 1,164,198 i2 336,886 UCC = Uniform Code Council CDN Direct 185,061 IDW Manufacturer DATA SOURCING Plan 1.Target Manufacturers in i2 TSC first (250). 2.Target Distributor vendors not in IDW. 3.Send letter to each manufacturer. 4.Follow up 1 on 1 contact. 5.Get NAED and IDEA distributors to contact their suppliers. All NEMA electrical product manufacturers provide data to IDW Need balance of data direct from Mfr’s, i2 supplies today

8  Data must be IN SYNC between manufacturers and distributors partner for: Master Record Into Stock Pricing SPA Pricing  Issues with Manufacturer Product Data Completeness of data Accuracy of data Timeliness of data  Most Common problems Poor descriptions Dealer 3 equal to distributor cost Missing categories Timeliness of data IMPROVING DATA QUALITY

9  Results of Data Out of SYNC Lost Revenue Wrong Discounts to Customers Wrong PO prices Invoice Deductions Missed SPA Items Wrong SPA Claims  Solution Manufacturers: –Data Quality must become higher priority –Must include sales/marketing input –Get feedback from data user –Must obtain Data Audit Certification IMPROVING DATA QUALITY

10  Data Audit Certification Program Initiated Nov 2003 Objective – get all direct IDW manufacturers to complete audit. Rates 23 data fields/values; provides report to manufacturer. Facilitates data synchronization between trading partners IMPROVING DATA QUALITY

11 NEMA BOG Company IDW & DAC Status

12 IDW to IDW2 Program  IDW2 Full featured web interface Ease-of-use Mapping and transformation Push or Pull data option Serve all sectors –OEM, Reps, Distributors, Suppliers, Retail Core, Extended and Enriched Attributes –Catalog, Images, Tech Data Reporting and summaries  Schedule Design and Develop –Oct-Dec 04 –Dec 04 - Jan 05 Test –Jan–Mar 05 Migration  Results Lower cost, more flexible Serve all markets

13 Role in Global Marketplace UCCNet IDW2/IRD IDEA Distributors, OEMs. Suppliers, Reps Retail IDEA IDW2/IRD is source data pool certified and powered by UCCnet to serve retail market. Same IDW2 source serves all other mfg channels enabling mfgs to put data in one location to meet all needs

14 Summary  Continued progress since last NEMA BOG meeting  IDEA organization strongest position in many years  IDW improvement plan in gear  Need your Commitment & Active Involvement in IDW Get data in IDW if you sell electrical products to or through : –Wholesalers –Other suppliers –Reps –OEMS Participate in DAC  Benefits: Lower operating costs for Manufacturers and Distributors Reduction in Errors, Improved Customer Relations Ease, Speed & Reliability of Business-to-Business transactions

15 Learn More and Contact Information 1300 North 17th Street, Suite 1847 Rosslyn, Virginia (703) is a joint and enterprise Next