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H-E-BUTT GETS PAYBACK THROUGH EDI TEST

SAN ANTONIO -- H.E. Butt Grocery Co. here saved close to $73,000 in a test communicating product, pricing and promotional information with one manufacturer via electronic data interchange.The test helped H-E-B save on costs by reducing deductions stemming from invoice pricing and product delivery discrepancies, improving the number of quality purchase orders, and saving hours in manual processes and

Linda Purpura

May 18, 1998

1 Min Read

LINDA PURPURA

SAN ANTONIO -- H.E. Butt Grocery Co. here saved close to $73,000 in a test communicating product, pricing and promotional information with one manufacturer via electronic data interchange.

The test helped H-E-B save on costs by reducing deductions stemming from invoice pricing and product delivery discrepancies, improving the number of quality purchase orders, and saving hours in manual processes and data re-keying.

The time required for the manufacturer's changes to be executed by the retailer dropped from 10 days to two. Accurate and timely data exchange improved H-E-B's scanning accuracy of products at point-of-sale from 85% to 99.8%.

Quality orders, defined as those that do not require any human intervention for processing, improved 30%. These electronic orders saved H-E-B 1,268 processing hours across operations including buying, administration, receiving and accounting.

The EDI test between H-E-B and Procter & Gamble, Cincinnati, was conducted over the last two years, and results were released in March during the fourth annual ECR Conference, Atlanta.

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