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In the 2000 P&P survey, more mills reported information systems, but supply chain applications for them have not been exploited


By Monica Shaw, Technical Editor

Information System Uses Grow, But Supply Chain Role is Minimal

    Although the number of information systems within mills continues to grow, many still remain ambivalent about the impacts these systems will have on supply chain insight and business overall. Most mills are satisfied with their systems as investments and as a means for remaining competitive, but information technology (IT) costs and computer support costs continue to rise as new technologies are implemented. In addition, the Internet and e-commerce are instigating yet another technological challenge in the wake of Y2K.

To determine the types of information systems in North American mills, as well as how they are used, Pulp & Paper conducted an exclusive survey that questioned mills about topics ranging from hardware and software to e-commerce and spending for information technology (IT). The majority of survey respondents were IT managers at the mill or corporate level, though some were mill managers. Although almost every grade, tonnage range, and geographical region were represented in the answers, the vast majority of respondents came from mills producing less than 500,000 tpy. While this slant toward small and mid-size mills may have skewed responses in advanced application areas, the use of information systems grew in almost every survey category since the 1999 survey (Figure 1).

FIGURE 1: More mills reported having information systems in a variety of categories than in the 1999 survey.

INFORMATION SYSTEMS IN THE MILL. Pulp & Paper’s survey asked questions about the existence of seven different kinds of information systems within the mill. In addition, respondents were asked how these systems were used and whether they shared data. These systems were:

• Computerized maintenance management system (CMMS)

• Advanced planning and scheduling system (APS)

• Manufacturing execution system (MES)

• Warehouse management system (WMS)

• Enterprise resource planning (ERP) system

• Process control software

• Miscellaneous systems

As previously mentioned, the percentage of mills having information systems rose in almost every category (Figure 1). For each of these systems, a wide range of functionality was listed, again reflecting how the trend toward open systems is blurring software category boundaries as Pulp & Paper reported in the 1999 survey article.

Process control software. The most commonly listed information system was again process control software. Eighty-four percent of respondents in both the 1999 and 2000 surveys reported that they had a traditional distributed control system, and many reported that they also had next-tier information software that delivers and manipulates process data. All of these systems were supplied by vendors, including Honeywell (including Measurex), Foxboro, Moore, ABB (including Bailey), Valmet, Wonderware, and Fisher-Rosemount. OSI’s PI system was also placed in this category by some respondents.

Most respondents (38%) cited monitoring and controlling the papermaking process as the primary use for process control software. This was followed by analysis, trending, and reporting (16%) and troubleshooting.

CMMS. Other than process control software, the CMMS was the most commonly reported information system (71%), and the majority of these systems were vendor supplied (70%). Once again, various CMMS packages from Marcam Solutions (now owned by Wonderware) were mentioned most often (30%), including Avantis.xa and Avantis.pro. Eleven percent of respondents listed Datastream’s MP2, while several others cited ERP system maintenance modules from vendors such as SAP, J.D. Edwards, and Ross Systems.

Survey respondents said the primary use of CMMS data was for maintenance management, planning, and scheduling (19%). Other uses noted were purchasing and stores-related tasks (11% each), along with cost tracking and work order management.

APS. The number of mills reporting the use of advanced planning and scheduling systems continues to grow. Thirty-nine percent indicated they had such a system in this year’s survey, compared with 27% in 1998 and 33% in 1999. The majority of these systems were supplied by vendors (73%), including Honeywell (and its Optivision product), Majiq (and its Elixir product), IBM Global Scheduling, Microsoft Project, Entek, and Manugistics.

Responses showed that the APS is most often used for production scheduling, followed by trim scheduling, load planning, and order management.

MES. In the 2000 survey, the percentage of respondents with manufacturing execution systems at their mills rose back to the 37% reported in 1998 after dropping to 28% in 1999. Again, most of these systems were vendor-supplied rather than written in-house. Twenty-one percent indicated they use Majiq’s Elixir product as an MES, while 14% cited a Honeywell product, including Optivision. Common uses for an MES included shipping, sales support, shop floor control, order tracking, product labeling, and quality control.

WMS. Mills reported a lower percentage of warehouse management software this year (17%) than in 1998 (48%) and 1999 (41%). However, it appears that the drop is partially explained by the fact that warehouse management functionality is often bound into other types of software. For example, some respondents categorized Majiq’s Elixir as an MES while listing their WMS as “part of” Elixir.

As in last year’s survey, the most frequently mentioned WMS was Majiq’s Elixir product, or some portion of it. Other answers included Kearney Systems, Measurex PMIS, Omega, and J.D. Edwards. Respondents said they use their WMS for shipping control, roll tracking, billing, and inventory control.

ERP, financial, and corporate systems. With the recent completion of many installations, the percentage of mills reporting ERP systems rebounded from a low of 16% last year to 34% in the 2000 survey. The majority of these systems was either installed in 1999 (54%) or was currently undergoing installation (15%).

The most frequently listed ERP vendor was J.D. Edwards (31%). Other responses included SAP, PeopleSoft, Marcam, Ross Systems, and System Software Associates.

To Timothy Davis, account executive for J.D. Edwards, the prevalence of J.D. Edwards’ systems in the predominantly small-to-mid size mills responding to the survey is not surprising. Davis notes that the his company’s ERP systems do not require as much investment as some larger ERP packages, which can be “overwhelming” for smaller companies. However, many mid-size and large companies use some of the other ERP systems that were cited by respondents. For example, SAP’s customer base includes International Paper, Georgia-Pacific, Mead, and Riverwood International.

When asked the top reason for purchasing the ERP system, Y2K was the common answer (23%), followed by corporate edict (15%) and system functionality (15%). According to Ken Maxwell, associate partner at Andersen Consulting, the corporate edict category is probably a function of Y2K as well, since the anticipated computer bug “forced many corporations to make ERP decisions.”

Survey respondents were also asked how they planned on using their ERP systems, and the vast majority (62%) reported financial applications such as accounts receivable, accounts payable and general ledger. Other prevalent answers were order management (23%), maintenance (15%), and manufacturing (15%).

For Tom Bruhn, senior vice president and general manager for Tava Consulting, a systems integrator, this emphasis on the financial aspects of ERP is not surprising. “Companies have initially focused on financial/cost control, rather than supply chain control, in implementing ERP,” he observes. “The ERP system will ultimately provide the backbone for more complex order fulfillment scenarios that require integration with production systems, such as APS, and logistics systems.”

Maxwell, however, points to corporate edict as another reason that financials might appear the predominant use for ERP systems. “Corporations want the data to be shared, although some mills may view this as losing autonomy,” explains Maxwell. “Since ERPs were originally designed for discrete processing, mill-level functionality, such as roll tracking, has traditionally been weak, causing mills to be less open to fully implementing ERP systems.”

Miscellaneous information systems. Respondents were also asked to identify information systems they used that did not fit in any of the previous categories. Only 13% in this year’s survey indicated they had such a system, which is down from 44% in 1998 and 36% in 1999. This drop seems explainable in part by the high number of new ERP systems, since there was a distinct drop in the number of disparate financial systems reported in the “other” category. In addition, there were comparatively fewer production-related systems listed in the category.

As with last year’s survey, OSI’s PI system was reported in a variety of categories, including that of miscellaneous information systems. This is most likely because of its ability to historize data for use throughout the mill in a variety of applications. Although financial systems such as accounting and general ledger software dropped significantly since last year, they were still a relatively common answer. Survey respondents also listed data archiving, woodlands management, roll tracking, materials delivery and tracking, time/attendance, and WinGems simulation software.

Integration of multiple systems. Respondents to Pulp & Paper’s 2000 survey were asked whether their information systems in various categories shared data or worked from the same database. The percentage of respondents reporting such data sharing held steady at the 1999 level of 39%. However, this level of integration between mill systems was still significantly lower than the 58% reported in the 1998 survey.

The methods for integration between mill systems again varied in both the technology used and in the types of systems that were integrated. The applied technologies included open database connectivity (ODBC), XML, and multiple file structures. As for system types, a link between OSI’s PI system and a process control system was most frequently mentioned. Other links were noted between order entry and MES, CMMS and corporate accounting, ERP system and roll tracking, and WMS and a process control system, as well as a sales, orders, MES, and process control link.

When asked how data was input between systems that rely on information from one another, 29% indicated automatically, 3% indicated manually, and 21% indicated both methods. This year’s integration levels compared more favorably with 1998, when 33% of respondents indicated automatic data sharing, than figures for the 1999 survey, where only 16% reported fully automatic data sharing.

Survey participants were also specifically asked if their process control systems in any way provide data to their information systems. Sixty-eight percent said they did, which is in line with the 69% reported in last year’s survey. Of this 68%, 19% indicated a link between OSI’s PI system and process control systems from a variety of vendors. Also, several respondents mentioned that reel turn-up data from the DCS was sent as input to roll tracking systems, while others mentioned the sharing of roll characteristics. Overall, a variety of interfaces were mentioned, including serial link, data sharing through a server, periodic data transfers, and even spreadsheet style interfaces.

The majority (64%) of mills again indicated their information systems share data with corporate systems, and most data sharing was either automatic (40%) or some combination of manual and automatic (53%). The number of direct interfaces between corporate and mill-level information appears to have increased, since the number of mills reporting only manual data sharing has dropped from 13% in 1998 and 14% in 1999 to 7% in the 2000 survey.

Challenges. As with previous surveys, the biggest challenge with installing and starting up new information systems was reported as user training and acceptance (39%). Technical problems were again second, totaling 18%, and these included issues ranging from the inflexibility of systems and difficulties with installing them to network compatibility issues, testing time availability, and vendor misrepresentation of system functionality. Some respondents mentioned that the systems ultimately required tailoring to fit their specific needs.

Convincing senior management that costs for information systems are justifiable was again a frequently mentioned challenge (11%), as were difficulties in finding personnel and consultants with the right mix of technical and industry-specific skills.

TECHNOLOGY AND THE INTERNET. Pulp & Paper asked mills about the network technology, hardware platforms, and software technology they use. In addition, respondents were asked about their Internet use and web sites, especially as they relate to e-commerce.

Networks. The number of mill managers reporting LANs throughout their mills dropped to 89% from the 92% reported in last year’s survey. However, the incidence of WANs rose four points to 74%. Unlike last year, the lack of a WAN did not seem related to a particular product. However, most mills without LANs or WANs were smaller, producing 150,000 tpy or less.

Mills with a WAN were asked to identify what applications it was used for other than e-mail. The most common answers, as in the previous two years, were business and financial systems (29%) that handled payroll, general ledger, and accounting functions. The next most common answers were Intranet/Internet link (13%) and order fulfillment, shipping, and inventory information (13%).

Other WAN applications related to sales, production planning, EDI, data transfers, mainframe access, scheduling, and specification data.

Hardware. When asked what computer the mill primarily uses, PCs alone (42%) and PCs with mini- or midi-computers (43%) virtually tied for most prevalent. These answers are in line with the tie found in last year’s survey, when both categories reported 34%. Overall, the use of mainframes dropped, even when they were used in combination with PCs or mini-computers. In addition, the use of mini-computers alone dropped.

The vast majority of respondents (87%) indicated they have PCs on the mill floor. Survey data for 2000 also revealed that there was one PC for every three employees at most mills, which is in line with 1999 results. This number ranged as high as three PCs for every four employees at some mills. Analysis of the data revealed that this higher ratio did not necessarily relate to mill size or products manufactured, since employment ranged from 150 to 1,200 and products ranged from fine paper and linerboard to specialty papers and pulp.

Participants in Pulp & Paper’s 2000 information systems survey were asked whether PCs in their mills were used as front ends to a mainframe system or used standalone, running applications on a central server. While 61% indicated their PCs were standalone, 16% answered that they were used in both ways. Only 13% of respondents said their PCs were used as dumb terminals alone.

Eighty-seven percent of respondents indicated their current hardware setup was adequate for the needs of their mills, which is down from 69% in last year’s survey. In addition, only 18% said they had hardware upgrades planned for the future, as opposed to 33% in the 1999 survey. The drop in both figures is most likely related to the finalization of Y2K efforts. However, planned hardware upgrades included expenditures for new servers, increased memory, millwide LANs, and integrated process control.

Client/server, database, and web technology. Mills have definitely embraced the easily maintainable, user-friendly technology of client/server software. As in 1999, 85% of mills indicated they use such systems. In addition, relational databases continue as a common component of mill IT infrastructures, with 76% of respondents reporting their use. As in the past three years, Microsoft SQL Server (34%), Oracle (31%), and Informix (21%) appeared as the most common database vendors.

In last year’s survey article, Pulp & Paper reported on web-based applications, such as those provided by software vendors through the Internet at a fee, as the next step beyond client/server software. However, when mills were asked if they use such applications in this year’s survey, only 8% indicated they did. In addition, when asked whether they were examining the use of such systems in the future, 26% answered “yes” and 37% answered “no,” showing little enthusiasm or familiarity with the technology. For Craig Campbell, global e-business leader for the forest and paper industry at PricewaterhouseCoopers LLP, this ambivalence is not surprising.

“Paper companies just don’t see the business case for implementing web-based software at this point, especially when many larger companies have just spent lots of money upgrading their systems,” Campbell explains. “However, as e-business evolves, they will realize the benefits of the application service provider (ASP), which allows renting of bundled software from different vendors for applications such as accounting and order fulfillment.

“ASP is especially beneficial for smaller customers, since it will allow them to have functionality they might not be able to afford otherwise. However, it can also be very cost effective for larger companies.”

The Internet and e-commerce. In the 2000 information systems survey, Pulp & Paper asked a variety of questions about Internet use, especially as it relates to e-commerce. As expected, Internet use continues to grow, with 97% of mills reporting a connection as compared with 95% in 1999 and 81% in 1998.

Although 82% of respondents said their company had a web site, questions about the services and information on these sites revealed that e-commerce capabilities were rare. Also, only 5% of respondents said they sold products through their site, while just 3% said they posted tonnage on Internet trading sites. Though the survey showed e-commerce percentages as extremely low, this does not surprise many experts (see sidebar, “No cohesive e-commerce strategy for paper industry… yet”).

PERSONNEL AND TRAINING ISSUES. Since training and user acceptance are the most frequently listed challenge to information system implementations within mills, Pulp & Paper’s survey asked a variety of questions concerning training methods. Participants were also asked about the familiarity of their workforce with certain types of hardware and software.

Hardware and software familiarity. Survey data from 1998 and 1999 showed that mill employees had migrated away from using mainframe terminals alone to using both terminals and PCs. In this year’s survey, the data shifted even more in favor of the PC as the primary platform for mill employees. Sixty-six percent of respondents reported that employees were most familiar with PCs, as compared with 60% in 1998 and 57% in 1999.

In addition, while percentages held steady at 5% for use of mainframe terminals alone when compared with 1999 data, respondents indicated less overall use of them; only 26% reported the use of both terminals and PCs as compared with 36% in the 1999 survey.

Pulp & Paper’s information systems survey also asked about the workforce’s familiarity with graphical user interface (GUI) versus control-key, menu-driven software—the type most often associated with older mainframe systems. Responses indicated that users are now more familiar with GUIs than ever before, most likely as a result of new information system installations, as well as the migration to PC or PC/mini-computer platforms.

Although responses once again showed that most employees were familiar with both GUI and control-key software (63%), this represents an 11% jump since last year and a 20% jump since 1998. However, the most interesting statistic was a significant drop in the number of mill users familiar with control-key, menu-driven software alone; only 8% reported the use of such software, compared with 23% in 1999 and 21% in 1998.

Mill training methods. Indicating the complex functionality of many new information systems, mills continue to move away from a more informal “train-the-trainers” strategy alone to a combination of that method and formal training. In this year’s survey, most respondents said they planned to use both methods (66%), which jumped 20% from 1999 and 37% from 1998. Conversely, only 21% of survey participants said they would use a “train-the-trainers” approach alone, compared with 31% last year and 44% in 1998.

BUSINESS ISSUES AND SYSTEM COSTS. Pulp & Paper surveyed respondents about a variety of business issues surrounding their information systems, including system costs. These questions related to business drivers for implementing systems, as well as mill satisfaction with them as an investment. The survey also asked about process, business, and supply chain impacts resulting from the information technology at their mills.

New systems. Almost 40% of respondents indicated their mill had a new information system, and the most common system types, with each at 20%, were CMMS, ERP, and OSI’s PI system. Another 27% reported hardware upgrades alone, including new servers, cables, PCs, and a variety of network equipment.

For those reporting system costs, total hardware and software expenditures ranged from $20,000 to $4 million, with most reporting spending of around $575,000. Software costs alone ranged from $620,000 to $3 million, with a median expenditure of $300,000.

Survey participants were also asked whether they planned to oversee computer upgrades at their mills, use a system integrator, or use a combination of both. As with training methods, mills are turning more toward a combination of internal and external effort. The tendency for a mill to oversee an IT project with help from a systems integrator has risen from 15% in 1998 an 39% in 1999 to a definitive 63% in this year’s survey.

Computer support and IT costs. Mills were again asked if ongoing computer support costs had risen with the introduction of new information systems. A growing number of respondents (53%) said they have, as compared with 42% in 1998 and 39% in 1999 (Figure 2). The average increase in computer support costs doubled from 18% last year to 36% in 2000. Overall responses ranged from 5% to 200%, with most reporting a 20% increase.

The 2000 survey also asked if overall IT costs had been increasing, decreasing, or about the same. The majority said these costs had been increasing (55%), while another 29% said there had been little fluctuation (Figure 3). Only 8% reported that IT costs had decreased.

Participants were also asked what percentage of company revenues were represented by their IT costs. About 30% identified this percentage, which ranged from less than 0.5% to 10%, with most reporting less than or equal to 0.5%.

To Craig Campbell, global e-business leader for the forest and paper industry at PricewaterhouseCoopers LLP, spending in the 0.5% range is “concerning.” He notes how crucial it is that paper companies invest in information systems as business tools for managing inventories and customers, not just as tools “for use on the shop floor.” In addition, given the small- to mid-size companies responding, Campbell says that “spending may be lower because companies are smaller and just don’t see it as a priority.”

Timothy Davis, account executive for J.D. Edwards, agrees with this, and points to the capital required for making paper. “The paper industry is just so overwhelmingly capital intensive, and many companies have no mindset that technology can be a differentiator.”

FIGURE 2: Data from the 1998, 1999 and 2000 surveys shows that ongoing computer support costs are beginning to rise.

FIGURE 3: The majority of respondents said their overall IT costs had been increasing, while few reported a decrease.

Investment satisfaction. Investment satisfaction with a new or recently installed information system appears to have held steady in the past three years, although some respondents voiced frustration. In the 2000 survey, 63% of respondents indicated their satisfaction, and, while this equals the percentage reported in 1998 after a drop to 57% in last year’s survey, the interesting shift is within the “don’t know yet” category.

While 41% in 1998 and 37% in 1999 indicated they were withholding judgement, only 28% did so in 2000. However, the shift was predominantly toward the negative, with 9% expressing dissatisfaction with the new systems, as compared with 2% and 0% in the preceding years.

Despite several survey participants commenting on the easy system management and productivity gains from new information systems, others were not as pleased. For example, one unhappy respondent pointed to a “very rocky system startup,” while another designated the system as “too complicated for our needs.”

Business drivers. What business issues drive mills to install new information systems? In this year’s survey, cost control (21%) surpassed the need to integrate with customers and to provide better customer service (13%), which had tied at 18% in the 1999 survey. Quality was also cited frequently (13%), as were competitive pressures (11%). Productivity issues, manpower reductions, inventory management, and the need for e-commerce capabilities were also mentioned.

Process impacts. Survey respondents provided a variety of improvements when asked what process changes their new information systems would provide. The faster flow of better data was again the most common answer (13%), followed by positive effects on end users. One respondent noted that the systems would “move us toward knowledge management and information-based decision support,” while another pointed to “workforce empowerment.”

Quality improvements, faster response to system failures, and a better interface with customers and suppliers were also identified as process impacts. One respondent said that the new information systems promised to provide “a different view of order fulfillment.”

Changes in business practices. When asked whether IT would impact business practices, responses have shown a migration into the “don’t know yet” category since 1998, when answers were much more polarized toward the positive (69%) or negative (28%). In last year’s survey, 49% said the technology would change how they did business, while 20% said it would not and 30% were not sure. For the 2000 survey, this trend continued, with only 9% saying there would be no change from IT and 38% saying they were not yet sure.

Positive answers did increase to 53%, and, of those, better customer service and empowered workers were frequently cited. However, despite the low levels of e-commerce activities reported in the 2000 survey, the most commonly-mentioned business practice change related to the Internet and e-commerce as tools for the future. As one survey participant emphasized, “You either have active e-commerce or you are out of business.”

Supply chain insight. When asked if new information systems had given better insight into supply chain management at their mills, respondents in this year’s survey are not rushing to pass judgement. Just as they are taking a “wait-and-see” attitude concerning potential business practice changes stemming from IT, respondents have migrated into the “not yet” category when asked about supply chain insight from these systems.

In the 2000 survey, 61% chose the “not yet” category, as compared with 13% in 1998 and 48% in 1999. The opinion shift in the 2000 survey predominantly came from the negative category, which reported 38% in 1999 and 21% in 2000. Also, positive opinions moved up just four points to 18% for the 2000 survey.

Much of this opinion shifting about whether information systems actually provide supply chain insight may stem from a changing understanding of what different types of systems can and cannot do. For example, as Bruhn noted, financial control has been the initial focus for many ERP systems, yet subsequent analysis has shown that more integration with mill systems is ultimately required to reach goals for supply chain control. However, as mills identify the required integration points and software connectivity continues to support these efforts, mills may gain a more positive outlook concerning information system impacts on supply chain insight.

Davis, however, points to the success that some larger companies have had with exploiting systems for supply chain control. To him, this relates somewhat to their ability for recruiting the right IT talent.

“Many larger companies have been able to attract an influx of IT people from outside the paper industry, where successful supply chain management is more common,” Davis explains. “It is often harder for smaller companies to attract these people—for example, a CIO with a broad breadth of experience.”

 

No cohesive e-commerce strategy for paper industry…yet

Although Pulp & Paper’s 2000 information systems survey showed that company web-sites are common (82%), specific questions about the services available from these sites showed that they are by far informational, rather than transactional, in nature.

While 100% of survey respondents reported that general company/product information was available from their web sites, only 6% reported product availability data. Even less (3%) reported that they provide order/invoice history, pricing, order entry, and order status services.

Furthermore, when asked whether they sold products through their web site, only 5% of respondents said they did so. Posting tonnage on Internet paper trading sites, such as fibermarket.com, paperexchange.com, and paperloop.com (a Pulp & Paper affiliate), was almost equally as rare at 3%.

Are these low percentages for e-commerce capabilities surprising? For many consultants working in the paper industry, they are not. According to Tom Bruhn, senior vice president and general manager of Tava Consulting, many companies have a web site, but few have the fulfillment systems to support e-commerce.

“They have a façade—a store front—but they can’t support the e-commerce without considerable cost in installing system support for available-to-promise,” says Bruhn. “You must have capacity planning and logistics support that ties into a global and regional plan with other orders, meaning you have to integrate systems.”

It appears that the low e-commerce numbers might be related to the fact that smaller to mid-size mills and companies responded to the survey. However, Craig Campbell, global e-business leader for the forest and paper industry at PricewaterhouseCoopers LLP, says that the 3% to 6% range for e-commerce involvement is consistent with what they have seen, and that large companies are “not much further ahead.”

“There is a lot of soul searching right now, since some companies have posted tonnage on their sites, but have not moved much volume,” states Campbell. “Paper companies are asking, ‘Should I develop order fulfillment capabilities on my own site, or should I turn to a third party trading site?’”

Bruhn agrees that companies still do not have a good understanding of how e-commerce and Internet technology will impact them, and likens the situation to “the initial groundswell of Y2K, when everyone first realized they had to get prepared.” Ken Maxwell, associate partner with Andersen Consulting, further confirms that paper companies are in a state of flux over e-commerce.

“The paper industry does not trust Internet and e-commerce technology, and some even think it will make paper prices go down,” explains Maxwell. “At this point, most of those companies involved in e-commerce are just dumping paper they can’t sell and that would just be warehoused. They are just experimenting right now, and have not come up with a cohesive e-commerce strategy.”

So, where will this cohesive strategy come from? Both Maxwell and Campbell point to the recent agreements between paperexhange.com and International Paper, as well as Asia Pulp & Paper. As big manufacturers support trading exchanges, they feel that more and more paper companies will follow.

 

“The paper industry has to focus on how e-commerce will affect its business,” states Campbell. “Right now, the paper industry is about eight to twelve months behind both steel and chemicals when it comes to e-business capability.”

According to Maxwell, this e-business capability is crucial even for smaller companies that currently have a set customer base. “As customers are presented with alternative ways to purchase the same quality paper, such as through exchange sites, it will become more difficult to keep these ‘captive’ customers,” he explains.

Recognizing that e-commerce might seem overwhelming to smaller companies from a cost and technology standpoint, Campbell explains that getting started doesn’t necessarily require fully linked, robust information system technology.

“In a perfect world, you would link your ERP systems with your mill systems,” describes Campbell. “However, you don’t have to do this to get started in e-commerce. You can just walk your order from the Internet across the floor to your legacy system. With some grades that have fewer customers, such as newsprint, this duplication effort is not bad for an extended period.”

Pulp & Paper Magazine, April 2000 CONTENTS
Columns Departments Focus/Features News
From the Editors News of people Information Systems Month in Stats
Maintenance Management Conference Calendar Pulping Technology Grade Profile
Chemical Markets Product Showcase Calculating Drying News Scan
Comment Supplier News Poised for Expansion
  Mill Operations North America's five-year outlook  
       

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