1. ASN Accuracy Workshop II Just when you thought it was safe to go back in the water…

2. ASN Accuracy Workshops Purpose: Develop and maintain best practices for retail supply chain trading partners and solution providers to gain the most benefit from the implementation of advance shipment notifications. Concept: Create generic process flows that represent the ASN lifecycle, to include Produce best practices for ASN implementation Leverage community resources to continually improve the process flows and best practices Vendor Compliance Federation workshops, Communities of Practices, online info Supply Chain Digest online ASN resource center www.leverageasns.com Imports Domestic Vendor Retailer

3. Leverageasns.com

4. Why Should We Care about ASNs and How We Use Them? Visibility ASNs provide opportunity to leverage objective data to pro-actively manage your supply chain Potential Benefits – Greater knowledge – Less dwell time – Faster receiving – Fewer inventory errors – Proactive vs. reactive – Higher in‐stocks Control Exceptions are known in advance, allowing rapid problem resolution that minimizes negative consequences Cost Management ASNs enable effective resource scheduling and balanced workloads Note: This information was sourced from one of Dr. Bryan Gibson’s ASN presentations to the VCF Fall 2010 Conference

5. Why Should We Care about ASNs and How We Use Them? Ubiquitous 77.5% of participants require ASNs 75% of users require ASNs for all deliveries 42% actually receive ASNs from all suppliers 87% is the median percent of suppliers providing ASNs ASN Program Goals for Retailers 50% Speed up inbound receiving 39.7% Greater supply chain visibility 6.9% Better control over problems and exceptions 3.4% Improve in-stock performance ASN Accuracy Study 2006 to 2010 data 1.8 million cartons audited 22.7 million units audited 1.3 million units with problems Note: This information was sourced from one of Dr. Bryan Gibson’s ASN presentations to the VCF Fall 2010 Conference

6. Why Should We Care about ASNs and How We Use Them? ASN Accuracy Study 2006 to 2010 data from several retailers 1.8 million cartons audited 22.7 million units audited 1.3 million units with problems Note: This information was sourced from one of Dr. Bryan Gibson’s ASN presentations to the VCF Fall 2010 Conference

7. Why Should We Care about ASNs and How We Use Them? Leverage existing tools “Virtually every supply chain software vendor has web‐based tools to enable suppliers to create ASNs.” Adopt a broader focus “Use ASNs not just to improve inbound receiving, but as a critical element of improved supply chain visibility.” Establish a formal process that targets problem areas and new participants “20% of the SKUs generate 80% of the costs and losses.” Benchmark via scorecards and financial results “Progress is made when ASNs are viewed, not as a standalone capability to help receiving, but as a key cornerstone of supply chain visibility.” Dan Gilmore, Editor, SC Digest Note: This information was sourced from one of Dr. Bryan Gibson’s ASN presentations to the VCF Fall 2010 Conference

8. ASN Accuracy Workshop I Original Deliverables Team Process Flow – Accuracy Danger Points in the ASN Lifecycle Rank ASN Accuracy Danger Points Assign ASN Accuracy Danger Points to groups Develop and present practices to address danger points Actual Deliverables Team Process Flow – Accuracy Danger Points in the ASN Lifecycle (partial completion)

9. ASN Accuracy Workshop II Deliverables 1 Review ASN Accuracy Project ASN Accuracy Workshop I output 2 Review and enhance Vendor Domestic ASN Accuracy Flow Accurate Complete Should include non-accuracy elements? 3 Team Activity: Retailer ASN Accuracy Flow 4 Team Activity: Import ASN Accuracy Flow 5 Plan ASN Accuracy Workshop III Rank ASN Accuracy Danger Points Assign ASN Accuracy Danger Points to groups Develop and present practices to address danger points

10. Domestic ASN Accuracy Vendor Flow

11. Domestic ASN Accuracy Vendor Flow Review

12. ASN Accuracy Workshop II Deliverables 1 Review ASN Accuracy Project ASN Accuracy Workshop I output 2 Review and enhance Vendor Domestic ASN Accuracy Flow Accurate Complete Should include non-accuracy elements? 3 Team Activity: Retailer ASN Accuracy Flow 4 Team Activity: Import ASN Accuracy Flow 5 Plan ASN Accuracy Workshop III Rank ASN Accuracy Danger Points Assign ASN Accuracy Danger Points to groups Develop and present practices to address danger points

13. Retailer ASN Accuracy Flow Imports Domestic Vendor Retailer

14. ASN Accuracy Workshop II Deliverables 1 Review ASN Accuracy Project ASN Accuracy Workshop I output 2 Review and enhance Vendor Domestic ASN Accuracy Flow Accurate Complete Should include non-accuracy elements? 3 Team Activity: Retailer ASN Accuracy Flow 4 Team Activity: Import ASN Accuracy Flow 5 Plan ASN Accuracy Workshop III Rank ASN Accuracy Danger Points Assign ASN Accuracy Danger Points to groups Develop and present practices to address danger points

15. For more information Compliance Networks 14090 Southwest Freeway Suite 300 Sugar Land, TX 77478 www.compliancenetworks.com Greg Holder greg.holder@compliancenetworks.com greg.holder@compliancenetworks.com Richard Wilhjelm richard.wilhjelm@compliancenetworks.com richard.wilhjelm@compliancenetworks.com Kevin Harris kevin.harris@compliancenetworks.com kevin.harris@compliancenetworks.com

16. For More Information Compliance Networks 14090 Southwest Freeway Suite 300 Sugar Land, TX 77478 Telephone: 1.877.267.3671 www.compliancenetworks.com Greg Holder greg.holder@compliancenetworks.com Richard Wilhjelm richard.wilhjelm@compliancenetworks. com Kevin Harris kevin.harris@compliancenetworks.com greg.holder@compliancenetworks.com richard.wilhjelm@compliancenetworks. com 16