MICROELECTRONIC SYSTEMS NEWS



FILENUMBER: 4014
BEGIN_KEYWORDS
fast BROKER OFF-THE-SHELF
END_KEYWORDS
DATE: october 1993
TITLE: FAST -- A Computer Network Broker


     FAST - A COMPUTER NETWORK BROKER FOR OFF-THE-SHELF ITEMS

FAST is a computer based broker that performs various business
transactions automatically. It provides customers with least cost
sources for off-the-shelf items like electronic and optical components
and laboratory and test equipment.

Customers request quotes and place orders from FAST via email.  FAST
orders all merchandise for its customers and has it drop shipped to
their sites.  FAST pays for all items and customers reimburse FAST.
While customers typically interact with the broker via email, vendors
interact with FAST via EDI X12, email, automated vendor database
lookup or automatically generated fax.

Customers are charged an 8% service charge (8% of the cost of the
merchandise acquired through FAST) for the service.


WHY USE FAST?

- FAST drastically reduces your overhead cost for procurement

- FAST gives you uniform, automated access to a very large number of
  suppliers (large and small businesses) representing the nation's 
  leading manufacturers of both commercial and milspec items

- FAST has negotiated competitive pricing (including quantity discount 
  pricing for small orders)

- FAST offers overnight drop shipping to all destinations

- ONE rfq to FAST quickly returns quotes from multiple suppliers

- ONE blanket PO with FAST enables you to buy from all FAST suppliers

- ONEstop shopping - FAST is a complete value-added service.  It handles
  expediting, complaints and returns and can provide customized reports
  at your request

For more information about the FAST broker, please send an email
message to FAST@ISI.EDU containing the following lines in the body of
the message:

REQUEST: INFORMATION
TOPIC: INTRODUCTION
REQUEST: END

or call Anna-Lena Neches or Robert Wormuth at (310) 822-1511.

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*FAST is a DARPA (Defense Advanced Research Projects Agency) sponsored
research project in electronic commerce at the University of Southern
California's Information Sciences Institute.

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Request: informationresp


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!
! Here is the information you requested for topic -> Introduction
!


Thank you for your interest in FAST, a computer network broker for
electronic parts, components and products, test instruments and
laboratory equipment.



ABOUT THE FAST BROKER

Under sponsorship of the Defense Department's Advanced Research
Projects Agency, the Information Sciences Institute of the University
of Southern California (ISI) has developed a system based on the use
of electronic mail and computers for purchasing.  This system is
called the FAST Electronic Broker.

FAST is a rapid, reliable purchasing agent with access to a broad
spectrum of distributors and manufacturers.  Customers send quote
requests and orders to FAST via electronic mail (Email).  When an
electronic quote request is received, FAST obtains quotes from its
vendors, and returns them to the customer via Email.  The customer may
then order through FAST via Email.  FAST places the order with the
vendor, who ships directly to the customer.  The vendor bills FAST,
who pays the vendor directly, and also bills the customer.

The FAST Electronic Broker operates on computers at ISI in Marina del
Rey, California.  At this location, we are connected both to standard
commercial networks and to the Defense Department's network known as
the Internet.  (We will provide the technical details about our use of
these networks separately to those who are interested.)  Our system
runs on several interconnected computers.  These consist of Sun
workstations and a Sun server, on which we run the Oracle database
system.  Using this system, the FAST project has developed a large set
of programs, which reference more than 70 database tables, holding
information about customers, vendors, quote requests, orders, etc.

FAST's customers send us messages via the Internet or the commercial
networks.  When the messages are received at ISI they are
automatically analyzed and entered into our database system.  The
communications between FAST and its customers make use of either
standard forms (templates) developed by FAST for quotes, orders, etc.,
or the industry standard for Electronic Data Interchange (EDI), X12.

Incoming quote requests are automatically analyzed and stored in the
database.  The quote requests automatically initiate a quoting
activity.  FAST identifies vendors that carry the requested items, and
contacts them (electronically, whenever possible) to obtain quotes.
As quotes are obtained for the line items from vendors, they are also
entered in the database.  As quotes accumulate, they are sent to the
customer, so that if there is a delayed response for some quotes, the
others are not held up.  When all quotes have been received (or as
many as FAST can obtain), a final response is sent to the customer.
The quote information is retained in FAST's database.  If there are
satisfactory quotes, the customer then sends an order to FAST.  FAST
will place the order with the vendor, who will ship directly to the
customer.

Customers notify FAST about shipments via shipping receipt messages.
The database system triggers an expediting process if shipment does
not occur promptly.  FAST operations personnel deal with the questions
that arise if there is a discrepancy between what was ordered and what
was shipped, as well as other problems that may arise.  Vendor
invoices are entered in the database and compared with the actual
order.  Based on satisfactory vendor invoices, customer invoices are
sent.  These can be electronic or via ordinary mail, depending on
customer preference.

In addition to the cycle of quote requests, quote responses and orders
described above, FAST also provides a "quote-and-order" capability for
customers that desire it.  In many cases, the decision to purchase an
item can be made according to simple rules, especially when the value
of the item is small.  If the quote responses obtained by FAST meet
criteria provided by the customer, FAST will, under this option, order
directly, without returning the quote to the customer.  Typically, the
criteria are immediate availability from the vendor, and a price that
is less than a pre-specified limit.  When quotes are not obtained that
meet the customer's criteria (due to unavailability of the item,
shipping delays, or unsatisfactory prices, to mention a few reasons),
the information that was obtained about the item is returned to the
customer.  Quote-and-order is very rapid, and reduces the customer's
effort in purchasing to a minimum.

The FAST Broker is particularly advantageous for small quantity
purchases.  As presently constructed, FAST does not support a
negotiation between buyer and seller, such as would occur for large
volume purchasing contracts.  Nor does it support negotiating
complicated delivery arrangements.  For purchasing which consists of
obtaining multiple quotes, followed by orders against these quotes,
however, FAST is appropriate.  It is particularly advantageous for
small purchases, since the automated system constructed for FAST can
easily handle a large volume of small requests.  It has advantages
both for the department or person needing the items (a developer, for
example), in that speed is quite important to that person, and also
for the procurement department, whose paperwork and labor in handling
small purchase requests is often disproportionately large compared
with the value of the purchase.

Because FAST is dealing with vendors on behalf of many customers, we
tend to get good prices.  We contact multiple vendors to find
favorable prices and our volume discounts are passed through to our
customers.  WE APPLY A SMALL SERVICE CHARGE (CURRENTLY 8%) TO COVER
OUR OPERATIONS COSTS, but with the use of computers and networks, we
are able to keep these costs quite low.



GETTING STARTED WITH FAST: Click here.

In order to establish an account with FAST you must:

- complete and return by EMail an electronic FAST account application
  (a template for the application can be requested automatically from
  FAST - please see below under TEMPLATE REQUESTS)

- sign and return by US Mail two copies of the FAST CUSTOMER AGREEMENT
  (FAST provides the form in response to your account application)

- return by US Mail a BLANKET PURCHASE ORDER* to FAST.  The BLANKET PURCHASE
  ORDER should contain a written acceptance of FAST's 8% service charge

- return by US Mail a copy of your resale permit certificate** (if applicable)

Once we receive your account application, we will promptly forward to
you by US Mail three copies of the FAST CUSTOMER AGREEMENT.  Please
execute two copies of the agreement and return them together with a
copy of your Resale Certificate (if applicable) and a BLANKET PURCHASE
ORDER*** from your organization (for the amount specified as Acct-Limit
in your application) to FAST at:

	The FAST Project - USC/ISI
	P.O. Box 10907
	Marina del Rey, CA 90295-8831

When we have received all requested documents (and prepayment***, where
applicable), we will send back to you by US Mail your copy (now signed
by both parties) of the CUSTOMER AGREEMENT.  We will also forward to
you by EMail your unique Acct-ID number.  This number will be required,
together with your password, each time you interact with FAST.

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