The Implement Network Formation Organization (INFO) has developed the concept of "Nexus EDI" which will present small and disadvantaged business enterprises(S/DBEs) within INFO's region the opportunity to access the Internet and to participate in electronic commerce. "Nexus EDI" will serve as a pilot program that can be recreated in other regions, and our EDI service can be accessed by other regions over the Internet if they choose not to spend their resources duplicating our efforts. "Nexus EDI" will be extremely beneficial to all local, State and federal government agencies; to the local community of S/DBEs; to all S/DBEs across the country and around the world with access to the Internet; and to INFO. INFO's main focus in the development of "Nexus EDI" is to make the Internet and electronic commerce easy, reliable and even fun for every S/DBE in our region, and eventually all S/DBEs across the nation. This system is very user friendly, and it allows access to anyone anywhere in the world that has a World Wide Web (WWW) browser and a connection to the Internet. Access is available regardless of the choice of computer platform when connected via the WWW.
Government
Contracting with the federal government has always been a complicated business; however, the information age offers the opportunity to make government more responsive to the needs of the American people. A technology called Electronic Data Interchange (EDI) makes it much easier to do business with the government electronically. This electronic revolution will create tremendous opportunities for S/DBEs to grow and enhance their businesses with federal contracts; however, only if they are ready to start doing business electronically.
The federal government is so committed to electronic commerce that it is not leaving it up to its suppliers to decide if and when they will adopt EDI. By the year 2000, Uncle Sam wants you to be doing business with them strictly by EDI, which means that those suppliers who do not adopt EDI for acquiring their RFQs will potentially be "locked out." Once EDI is fully implemented, federal agencies will not be required to publish notices in the Commerce Business Daily for contracts below $100,000 and can refuse quotations that are not submitted electronically.
The government has increased the small purchase awards to provide an incentive for using EDI: in October 1994, the Federal Acquisition Streamlining Act was signed into law, thus raising the small purchase ceiling from $25,000 to $100,00 for those purchases made using EDI. This will help federal purchasing agencies make their buying decisions more quickly and act on opportunities more decisively.
EDI will not only help get more business from the federal government, it will also improve and streamline internal operations since it eliminates paperwork. It will reduce cycle times because one can respond more quickly and accurately. In addition, it will open up new vistas in the private sector since more than 90 percent of the Fortune 500 companies are committed to EDI and are encouraging their suppliers to participate as well.
Benefits that we offer (through "Nexus EDI"):
INFO proposes to develop "Nexus EDI" to provide small and disadvantaged business enterprises (S/DBEs) access to electronic bidding processes which will be mandated by the federal government by the year 2000. As coordinators of this pilot program, INFO will deliver asystem for S/DBes that will give them the opportunity to bid for contracts with the federal government and to national hub for S/DBEs across the nation which will allow participation in electronic commerce with the US government and an ever increasing number of Fortune 500 companies. Central Texas businesses will be able to use our system and hardware on-site, while businesses in other areas and regions will call in on the Internet via the WWW. The network and EDI translation software needed for "Nexus EDI" has a one time fee that is relatively small when seen from the context of national and worldwide access for all S/DBEs who have an Internet connection. INFO will work with other regions to set up local connect sites to "Nexus EDI" which will allow local businesses in that area to use the computer hardware at the connect site. This outreach will greatly increase the accessibility of electronic commerce to S/DBEs across the country.
INFO has identified two alternative approaches to meet the EDI needs of S/DBEs. The first approach was to use an existing network. However, this network lacked CAD/CAM drawings within existing EDI applications. The ability to exchange this technical data saves time and money for the service provider and the end user by allowing transmission within the current system and doing away with the need to recreate an electronic drawing from a paper or facsimile document. The value of CAD/CAM capabilities led to the investigation of additional software which could support it, as well as provide a low cost EDI Access Site. INFO has found a multi-user package that does support CAD/CAM drawings within the EDI application.
INFO will develop and deploy a Web-based EDI & Internet project which can be accessed by S/DBEs. The individuals that run these S/DBEs are not computer experts and do not need to learn the details of the ANSI ASC X12 protocols. To that end, INFO will contribute Technical Support for the development of a user interface. This interface will support up to 200 users in its initial configuration. It can be structured to provide support on a for-fee basis as companies increase their EDI-enabled business beyond the hand-holding stage/ INFO will also assist with training staff members using existing course materials.
INFO will initially set up a "bidding room" with a minimum of 12 computers that are networked with a server which contains the network software. The network software is the translation engine that creates EDI information packets for transmission to Value Added Networks (VANs). VANs set up filtering profiles for each small business client. This filtering profile allows the S/DBE to limit its inquiry only to the areas of business in which it is interested.
The bidding room network requires a standard method to get bid information into the computer. This standard method is determined by the "front end." INFO will develop a front end to allow the necessary bid information to be entered into the computer in a simple and organized fashion.
INFO will have a home page which can be accessed by any type of computer in the world that has a connection to the Internet and a WWW Browser. This allows seamless cross platform integration that will not limit S/DBEs to any particular computer platform. This ensures widespread compatibility for all users.
Once the bid information is entered, each computer will send it to the server. The server, in turn, will translate the data into a standard EDI information packet. The server then sends the packet to a VAN which categorizes and filters the information. Once the packet is sent to the VAN it will be distributed to the appropriate buyers or suppliers. To receive acknowledgements of bids and/or requests for quotes, the S/DBE again uses a computer in the bidding room or out Web Site to download the necessary information from its own account.
This whole process will be supervised and supported by INFO's staff. INFO ensures that working with EDI will be a smooth and effortless process by providing on-site help for beginners as well as more experienced users, and by providing a high quality, easy-to-use computer network.
Operation and maintenance of the day to day operations will be the responsibility of the Implement Network Formation Organization (INFO). INFO will ensure through its coalition of partners, associates and members that the network is available for use during normal business hours. The network will be used both for demonstrations and actual use, thereby increasing the effectiveness of training on the system. Installation and system maintenance will be provided through warranty and maintenance contracts throughout the initial year of operation. Additional resources may be required after the initial year of operation.
Methodology and Approach for "NEXUS EDI"