Asda has invited suppliers to attend briefing sessions outlining its plans to switch to a new web-based trading system.

The plans are part of a drive by Wal-Mart to transfer all data exchange with suppliers onto the internet using the new internet protocol for document transfer called AS2 (The Grocer, July 12, p5).

No deadlines have been set for compliance, but suppliers will at some point have to switch to the system as a condition of doing business with the chain.

Asda IT director Andy Haywood said letters had now gone out to all suppliers inviting them to make the switch.

He said: “We have been looking for viable alternatives to dial-up based EDI to speed supplier reaction to our business requirements.

“AS2 meets both our suppliers’ and our own needs, bringing with it numerous benefits including a faster and more secure transfer of data and reduced data transmission costs.”

Through bypassing third party value-added networks, through which traditional EDI messages are routed, AS2 makes communications faster because the connection is “always on”, said Haywood.

“This speeds up the replenishment cycle, offers flexibility to increase data volumes at no extra cost and it works in real time.

“EDI previously was limited to modem speeds.”

To comply with the new system, suppliers will need a reliable broadband internet connection and new software, he added.

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