Sunbury, United Kingdom — June 20, 2006 — JDA® Software Group Inc. (Nasdaq:JDAS) and GXS™, a leading provider of business-to-business (B2B) e-commerce solutions, today announced a global strategic alliance to deliver innovative solutions to optimise trading partner collabouration and drive efficiencies in demand chain management. The two companies plan to integrate several JDA Portfolio® software applications with GXS’ leading Product Information Manager (PIM) and global data synchronisation solutions. Both companies are committed to collabourating on solutions that drive exceptional value for optimising internal and external business processes, as well as information flow throughout the extended demand chains of their retail and consumer packaged goods (CPG) customers.
Together, the two companies can bring to market competitively differentiated solutions that address key business processes and improve trading partner collabouration. As part of the partnership, JDA will actively promote and offer GXS’ PIM Retailer Edition solution to JDA’s global customer base. According to a survey conducted by the Yankee Group on the benefits of PIM, companies that implemented PIM solutions achieved an average cost savings of 24 percent as a result of reduced invoice errors, fewer product returns, reduced call centre inquiries regarding item data and optimised inventory levels, among other benefits. Those same companies saved 19,000 man hours typically spent on various labour activities such as manual entry of product data, communicating updated product data across departments, processing incorrect shipments and communicating new product introductions to trading partners.1
“The partnership between JDA and GXS is important for retailers that are serious about extending their back-end supply and demand chain solutions to their global trading partners. Doing so enables retailers to optimise product data quality initiatives and gives suppliers the ability to ensure greater, faster availability of products for consumer sale,” said Rachel Bolt, assistant director of IS for Piggly Wiggly Carolina. “Piggly Wiggly Carolina has long relied on JDA to optimise our inventory levels, while GXS is enabling us to execute a crucial data quality initiative that will streamline our interactions with suppliers and ensure better product availability for our customers. We are encouraged to see these companies strategically aligned because by working together, they can potentially reduce the number of IT systems required to optimise supply and demand, improve data quality knowledge and synchronisation and boost integration with inventory/warehouse systems.”
JDA and GXS to Optimise Intra-Company and Inter-Company Demand Chain Processes
GXS and JDA initially plan to link the internal and external synchronisation from GXS’ PIM solutions with JDA’s Portfolio Merchandise Management System-i (MMS®). MMS supports item management, purchasing management, vendor management, price and promotions management, inventory control and valuation plus capabilities for warehouse, customer order and financial management. The joint JDA/GXS solution will provide enhanced value to JDA’s retail customers by integrating the management of product information with the core, enterprise systems and business processes on which they run their businesses.
“Recognising GXS’ leadership position in the B2B e-commerce market and in enabling Global Data Synchronisation, this partnership will enable us to provide our global customers with competitive advantage solutions for effective trading partner collabouration according to today’s industry practices and standards,” said Fred Baumann, JDA’s vice president of collabourative solutions. “GXS’ data synchronisation solutions are a perfect complement to JDA Portfolio applications and will have significant benefits for our customers seeking to capitalise on emerging business critical industry drivers and technologies such as RFID and the Global Data Synchronisation Network. We are pleased to form this alliance with GXS and are eager to explore additional collabourative opportunities in B2B integration.”
In addition, the two companies are collabourating on the integration of GXS’ leading PIM solutions and JDA’s Trade Event Management™ application, to further expand the value of product and trade promotional events synchronisation in the retail value chain. The partners also plan to collabourate on integration between GXS’ PIM solution to other JDA products including the next generation Portfolio Registry™ application. A shared repository for all master file data, Portfolio Registry synchronises new product, organisation, vendor, calendar and attribute data and then publishes it for any applicable PortfolioEnabled® application to access for ensured data consistency across the enterprise.
“The importance of this partnership and the opportunities it presents to the retail and CPG market segments cannot be overemphasised. JDA’s leadership in providing high performance merchandise management, planning, and revenue management solutions to the enterprise, combined with GXS’ PIM and Global Data Synchronisation solutions, represent the next generation collabourative demand chain for retailers and suppliers,” said Bobby Patrick, senior vice president and chief marketing officer of GXS. “Together, GXS and JDA are committed to enabling global retail communities to benefit from improved product data quality, optimised collabourative business process management and strategic merchandise management.”
Through GXS’ PIM solutions, businesses are given direct access to the leading platform for the global data synchronisation network (GDSN). GXS powers more GDSN-certified data pools than any other service provider worldwide. These data pools span 22 countries including Australia, Canada, Hong Kong, Korea, New Zealand, Russia, Taiwan, and the United Kingdom, among others. Benefits of GXS’ PIM solutions include streamlined business processes, reduced operating costs, increased product data accuracy and timeliness and enhanced interoperability with global data pools. Companies that leverage GXS’ PIM solutions to automate internal business processes for improved data alignment and effective trading partner collabouration include AAFES, Piggly Wiggly and HEB.
GXS is a leading global provider of B2B e-commerce solutions that simplify and enhance business process integration and collabouration. Organisations worldwide, including more than 75 percent of the Fortune 500, leverage the GXS Trading Grid® to achieve the perfect balance between supply and demand. Active in the global standards arena, GXS enables customers both large and small to connect with global partners, synchronise product information, optimise inventory levels and demand forecasts and accelerate the execution of supply chains.
Headquartered in Gaithersburg, Md., GXS provides sales and support to businesses and their partners worldwide. For more information visit our Web site at www.gxs.co.uk.
About JDA Software Group, Inc.JDA® Software Group, Inc. (Nasdaq:JDAS) is the global leader in helping more than 4,900 retail, manufacturing and wholesale customers in 60 countries realise real demand chain results. By capitalising on its market position and financial strength, JDA commits significant resources to advancing the JDA Portfolio® suite of demand chain solutions. JDA Portfolio software enables high performance planning, promoting, flowing, pricing, managing and selling of finished goods from the supplier warehouse to the consumer. With offices in major cities around the world, JDA employs the industry’s most experienced demand chain experts to develop, deliver and support its solutions. For more information, visit www.jda.com, email firstname.lastname@example.org or call 1-800-479-7382.
This press release contains forward-looking statements that are made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally accompanied by words such as “will,” and “expect” and other words with forward-looking connotations. In this press release, such forward-looking statements include, without limitation, any statements regarding the anticipated future plans, developments, results, or benefits of JDA and GXS’ global strategic alliance. The occurrence of future events may involve a number of risks and uncertainties, including, but not limited to: the difficulty of integrating complex software solutions such as JDA and GXS’; the difficulty of leveraging marketing relationships between two separate companies into significant increased sales; that software solutions such as JDA’s and GXS’ may be costly and time-consuming to implement and/or may not produce the level of benefits anticipated by the parties at the outset of the project; that not all users will achieve the same results; and other risks detailed from time to time in the “Risk Factors” section of our filings with the Securities and Exchange Commission. Additional information relating to the uncertainty affecting our business is contained in our filings with the SEC. As a result of these and other risks, actual results may differ materially from those predicted. JDA is not under any obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.
“JDA” and “JDA Portfolio” are trademarks or registered trademarks of JDA Software Group, Inc. Any trade, product or service name referenced in this document using the name “JDA” is a trademark and/or property of JDA Software Group, Inc.
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1 Huang, Kosin, The Cost of Waiting: Building the ROI Case to Implement Product Information Management (PIM) Now, The Yankee Group, January 2005.
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Denise Oakley, Director, Marketing Programmes International, GXS
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