Extranet Is for Managing High-Volume Inventories

No longer merely an information superhighway, the Internet is being developed as a logistics management tool.

The next steps on the horizon will involve joining the various links of the supply chain to manage high-volume inventories with almost the same speed that information moves electronically. This new demands may fall on the rapidly developing “extranet” technology.

An extranet moves information over the public Internet, but limits access to those who have the proper password. Some of its capabilities are already being tabbed for tracking shipments over the Internet. When a person enters a security code on a Web page, it involves accessing an extranet.

But some of the systems now exploiting extranet go beyond providing access to records and other data. Several companies are pushing its potential to create a collaborative environment in which information is delivered to participants with maximum efficiency.

Linking multiple carriers to provide a global supply-chain network is the basic concept behind Bridgepoint, the technology arm of CSXT Inc. The business’ marketing efforts target primarily Fortune 500 companies, with Xerox and Procter & Gamble among its clients. However, it may branch out to other markets.

“Transportation companies now provide visibility only on a proprietary basis,” said Bohn Crain, vice president at Bridgepoint. “To access multiple carriers and modes, you must use multiple systems. Bridgepoint develops a common platform for all carriers and allows shippers to create a scorecard or metric for those carriers.”

While Bridgepoint targets its marketing efforts toward shippers, Crain thinks carriers may eventually want to participate in the system as a selling point.

“As the concept takes hold, carriers may want to use the system to differentiate themselves from the pack,” he said.

For the full story, see the Feb. 8 print edition of Transport Topics. Subscribe today.