Asia Pulp & Paper China Taps GXS to Support Market Expansion

China's largest pulp and paper manufacturer to deploy solution to integrate trading partner network

China's largest pulp and paper manufacturer to deploy solution to integrate trading partner network

Gaithersburg, MD — July 11, 2005 — The largest pulp and paper producer in China, Asia Pulp & Paper China, has chosen a solution from GXS to facilitate worldwide trading partner e-commerce efforts and support the company's market expansion.

APP China, a division of Sinar Mas Paper (China) Investment Co. Ltd., has 14 manufacturing facilities and more than 20,000 employees in China, while the whole APP group has more than 25 manufacturing facilities and 75,000 employees worldwide and is the second largest pulp and paper manufacturer in Asia-Pacific and seventh largest worldwide.

Although APP China automated its back-office business systems through SAP, it still was manually processing purchase orders from its worldwide trading community of 1,000 business partners. To automate the exchange of data with its growing roster of global business partners, the company has chosen GXS Application Integrator to help bolster its global market presence by increasing productivity and improved customer service.

Aiming for Market Expansion

By integrating GXS Application Integrator directly with its SAP system, APP China will be looking to realize fully scalable functionality, reduced order entry time and errors, and faster processing of data.

"Trading partner satisfaction is an important aspect of APP's business goals," said Zheng Rui, chief information officer at APP China. "GXS' Application Integrator has the feature-set to match this initiative and to provide the business process capabilities needed for APP China to achieve export market expansion."

He added that the process of adding new partners in Application Integrator creates minimal disruption to all parties, resulting in improved communications capabilities without back-office system changes. "Using GXS Application Integrator, we expect APP's capacity to handle business processes to improve, helping us extend our market presence and realize true connectivity with all business partners," he said.

GXS said that Application Integrator has the ability to translate data from "any-to-any" format and that the solution's flexibility will give APP China the ability to meet constantly changing customer needs and B2B standard requirements, including XML, RosettaNet, HIPAA, AS2 and SFTP.

Automating Trading Relationships

APP China selected GXS over competing vendors based on the solution provider's global presence, Chinese community ramping services, implementation methodology and supply chain expertise in the manufacturing industry, according to GXS.

"China is becoming one of the most important B2B manufacturing hubs in the world, tasking both emerging and incumbent suppliers to leverage solutions that guarantee supply chain scalability, translation functionality and standards compliance," said Ben Wong, GXS vice president of Asia-Pacific operations. "By leveraging GXS Application Integrator, APP China is streamlining supply chain operations and becoming a true demand-driven player."

In addition, APP China is deploying GXS Community Link to automate trading relationships with current and future trading partners. This will allow the company to increase electronic trading relationships and improve transaction accuracy, helping to increase trading partner satisfaction, according to GXS.

GXS' resource base in China will provide local support for the Community Link implementation and ongoing technical service delivery. Meanwhile, GXS Professional Services will provide APP China with B2B mapping design and implementation to ensure integration between their SAP system and its trading community.

Additional Articles of Interest

— Imminent terrorist attacks or no, your competitive advantage demands that you secure your company's supply chain. Read more in "Supply Chain Security: Is Your Company Complacent or Engaged?," in the February/March 2005 issue of Supply & Demand Chain Executive.

— For a look at how Tyco Fire & Security is tackling trade compliance issues in its global supply chain, see "Turning Global Trade Compliance Into a Competitive Advantage," in the August/September 2004 issue of Supply & Demand Chain Executive.

— For more information on the challenges and opportunities presented by increasingly global supply chains, see the special in-depth report in the August/September 2004 issue of Supply & Demand Chain Executive, which includes the following articles:

— For more information on the global supply chain, with a focus on security issues, see "Building the Secure Supply Chain," the Net Best Thing article in the June/July 2003 issue of iSource Business (now Supply & Demand Chain Executive) magazine.

— For more information on the latest trends in the logistics space, see the article "The Analyst Corner: Fulfillment & Logistics" in the October/November 2004 issue of Supply & Demand Chain Executive.

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