Global eXchange Services Expands Presence in China with Bsteel Win
IT Services Arm of Chinaâ€™s Largest Iron and Steel Maker Taps GXS to Develop B2B Platform Gaithersburg, Md. â€” January 4, 2005 – Underscoring its ability to drive the next generation of global B2B e-commerce, Global eXchange Services (GXS) today announced it has been selected by Bsteel®, the B2B and e-business subsidiary of Baosteel Group Corporation (Baosteel), to develop a B2B gateway and supply chain services center that will enable Baosteel business divisions to connect with suppliers. Bsteel will use GXS to improve efficiency of their business processes in procurement, logistics and customer service.
As Chinaâ€™s largest iron and steel producer, Baosteel serves the global appliance, auto, construction, oil and shipbuilding industries. The state-owned company, which produces more than 20 million tons of crude steel annually, is in the process of revamping its strategic business processes to include supply chain integration and centralization of procurement and logistics. Bsteel needed a solution to allow the company to connect with its suppliers and establish a global, centralized supply chain service center to serve major customers as well as Baosteelâ€™s internal divisions.
Bsteel selected GXS Enterprise System™ technology, an enablement component to the GXS Trading GridSM, a scalable, reliable data integration services platform that handles transaction messaging between business partners and internal applications to gain visibility into its supply chain. GXS Enterprise System™ combines data translation, transaction routing and business process integration capabilities within a single system to deliver increased efficiency of routine, high-volume transactions, while handling non-routine transactions in a correct, consistent and effective manner. Later in 2005, Bsteel expects to benefit from Enterprise Next Generation â€“ an important upgrade that combines the benefits of Enterprise System technology with webMethods Fabric to create a 100% J2EE-based B2B integration solution.
â€œWe selected GXS over competing vendors because of their wide-reaching global presence and deep supply chain expertise,â€ said John Zhang, president, Bsteel. â€œLeveraging the GXS Enterprise System will simplify our integration efforts and streamline our supply chain. Once the system is implemented, Baosteelâ€™s 2,000 suppliers will be able to improve their business transaction processes by linking with digitized business processes worldwide.â€
According to a Gartner, Inc. report titled Chinaâ€™s Emergence Transforms the Business World, April 24, 2004, â€œâ€¦China has gone from underdeveloped nation to global success story, averaging a 9 percent growth rate in gross domestic product (GDP). China's economy has grown seven times larger than in 1979, and trade volume has been even more staggering â€” a 2,700 percent growth rate for the same time period.â€
â€œOur technologies allow global enterprises like Baosteel to improve their business relationships and continue to reap the benefits of tight supply chain collaboration,â€ said Ben Wong, vice president of Asia-Pacific Operations at GXS. â€œBaosteel is one of the largest enterprises in China so this implementation will have an enormous impact on 2,000 manufacturers in China and worldwide.â€
About Bsteel BSTEEL ONLINE CO., LTD (Bsteel) is a professional provider of B2B e-commerce solutions. The B2B business model is serving the traditional industry and finally achieving the transition from traditional economy to the new Internet economy. Bsteelâ€™s goal is to form business alliance and offer professional services to the global iron and steel manufacturers and consumers, offering comprehensive online trading and information services and technical support.
Bsteelâ€™s members can conduct trade in a secure, reliable and efficient environment, and negotiate the best terms within an extensive market. For more information visit our Web site at www.bsteel.com. About Global eXchange Services Global eXchange Services (GXS) is a leading worldwide provider of B2B e-commerce solutions that simplify and enhance business process integration and collaboration. Organizations worldwide, including over half of the Fortune 500, leverage the Global eXchange Services Trading GridSM to achieve the perfect balance of supply and demand. Active in the global standards arena, GXS solutions enable customers both large and small, to connect with global partners, synchronize product information, optimize 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.com.
Caution Concerning Forward-Looking Statements This document includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in global political, economic, business, competitive, market and regulatory factors. These factors include technological developments, customer demand, trading partner participation and network availability.