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How to Bring Suppliers to the Ariba Network

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Every great transformation starts with the end in mind. Enabling suppliers on the Ariba Network is no different. Join this session and learn from the experts as they share how they have successfully enabled suppliers and achieved great results in getting their spend and documents digitized on the Ariba Network. You'll hear the perspective of suppliers, buyers, and the SAP Ariba team – starting with the up-front business case and diving into the details of the actual enablement. You will also learn about exciting new Ariba Network developments that support SAP Ariba’s vision to help buyers and suppliers simplify commerce with a single platform, including a new, free supplier enablement option and improved supplier packaging and pricing.

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How to Bring Suppliers to the Ariba Network

  1. 1. Gareth Young, Senior Manager, Network Enablement SAP Ariba (SAP) Oscar Ferreira, Head of Business Administration, Shared Service Center, Infineon Gary George, Head of Technical Services, HH Global Olaf Schrader, Director Network and Seller Solutions, SAP Ariba (SAP) / June 14, 2016 How to Bring Suppliers to the Ariba Network Public
  2. 2. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 2Public Agenda 2Public© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2Public Welcome and Introduction A View from a Buyer A View from a Supplier Supplier Enablement Innovations Questions and Answers
  3. 3. Welcome and Introduction Gareth Young, Senior Manager, Network Enablement
  4. 4. Supplier Enablement – Deploying a Global Approach Oscar Ferreira June 14th
  5. 5. Part of your life. Part of tomorrow. We make life easier, safer and greener – with technology that achieves more, consumes less and is accessible to everyone. Microelectronics from Infineon is the key to a better future.
  6. 6. Infineon at a glance Financials Market Position Business Segments Employees › Automotive › Industrial Power Control › Power Management & Multimarket › Chip Card & Security Strong technology portfolio with more than 25,000 patents and patent applications (as of Sep. 2015) 527 377 620 897 FY 12 FY 13 FY 14 FY 15 [EUR m] # 2 # 1 Automotive Power Smart card ICs # 2 Strategy Analytics April 2015 IHS Inc. September 2015 IHS Inc. July 2015 Europe 14,533 employees About 35,400 employees worldwide (as of Sep. 2015) Americas 3,682 employees Asia/Pacific 17,209 employees 33 R&D locations 20 manufacturing locations Revenue Segment Result Margin 15.5%14.4% 9.8% 13.5% 3904 3843 4320 5795 Copyright © Infineon Technologies AG 2016. All rights reserved.
  7. 7. A journey around the world U. S. Dresden Kulim Warstein Regensburg Austria Malacca Singapore Munich 20122013201420152016 Copyright © Infineon Technologies AG 2016. All rights reserved.
  8. 8. Where we stand today Supplier enablement development › Electronic invoice program considers all suppliers › Ratio considers all incoming invoices from 3rd parties › In 3rd year reached more than 50% of total invoice volume 0% 10% 20% 30% 40% 50% 60% 70% 0 200 400 600 800 1000 2012 2013 2014 2015 2016 Suppliers e-Invoice Ratio * * As of end of April 2016 Copyright © Infineon Technologies AG 2016. All rights reserved.
  9. 9. What we have learned › People Engagement › Strong collaboration among internal stakeholders › Clear communication with suppliers › Definition of roles and responsibilities between Buyer and SAP Ariba › Ambitious target definition › Strong support from local stakeholders › Clarify local requirements › Verify current processes with suppliers and adjust whenever necessary › Leverage potential of digital transformation › Start with quick wins from global suppliers Key Success Factors When going global Copyright © Infineon Technologies AG 2016. All rights reserved.
  10. 10. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. HH Global – Supplier Enablement – How to Bring Suppliers to the Ariba Network
  11. 11. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. Head of Technical Services – HH Global Who Am I?GaryGeorge HeadofTechnicalServices As the head of a Technical Services and delivery team, my team designs, builds and supports internal and external client technical implementations. We aim to deliver flawless technological execution leading to an increase in internal revenues for the delivered services. I’m always striving to automate the business process to ensure maximum efficiencies and delivering on clients’ business requirements effectively and efficiently. I’m a highly driven person who is results oriented and committed to team building, with a strong capability of adapting to the ever-changing industry around him, keeping team members confident and motivated whilst remaining technologically savvy.
  12. 12. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. About HH Global HH Global delivers outsourced procurement programmes within print, secondary packaging and creative production services 650+ Employees and growing Global 32 countries with local offices Client focused Portfolio of leading brands: Google, Bayer, HP, HSBC $500M+ Spend under management Independent And growing organically Delivery excellence Quality, sustainability, security ISO, PRINCE2 and Six Sigma Technology Best-in-class technology
  13. 13. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. Our global footprint Americas 49% EMEA 38% APAC 13% Percentage of global revenue Canada Toronto • Calgary USA Bedford, NH • Bridgewater, NJ Cambridge, MA • Chicago, IL • Denver, CO Fairfield, CT • Horsham, PA • Kansas City, MO Mooresville, NC • Mountain View, CA New York, NY • Parsippany, NJ • Santa Clara, CA Seattle, WA • Titusville, NJ • Whippany, NJ Argentina Buenos Aires Brazil São Paulo Chile Santiago Columbia Bogota Ecuador Quito Mexico Mexico City Peru Lima UK Sutton • Wakefield Ireland Dublin Germany Munich • Dusseldorf France Paris Netherlands Amsterdam Spain Barcelona Belgium Brussels Italy Bergamo Poland Warsaw Turkey Istanbul Russia Moscow Sweden Stockholm South Africa Johannesburg India Mumbai • Chennai • Gujarat • Delhi Hong Kong China Beijing • Guangzhou • Shanghai Japan Tokyo Taiwan Taipei Australia Sydney Singapore Malaysia Kuala Lumpur Korea Seoul Indonesia Jakarta
  14. 14. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. We have noticed a trend towards electronic processing, so we’re embracing this change and ensuring that we’re prepared for our clients to transition to it. SAP Ariba Growth Transition to automated processes 0 5 10 15 20 25 30 2008 2011 2015 2016 Clients Spend HH Global has been on a seller’s journey from a simple 1 client engagement to 11 clients over the past 8 years. In 2017, the revenue and clients are set to increase again.
  15. 15. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. Ready, Steady, Go… Enabling the Seller to Buyer relationship 1 AGREE Engagement with the key team members on both Buyer and Seller sides to agree to the process, timelines and stakeholders in the process along with any supplier business impact. 2 IMPLEMENT Start the enablement process, connect the accounts, and test the process. Set up seller users who require access to the process, create distribution groups for PO notifications and ensure the routing is correct. 4 STEADY STATE Monitor and support daily operations. Ensure the invoicing and payments processes are working correctly. 3 RAMP UP Work with the seller’s end users ensuring that the seller end-users are engaged with the SAP Ariba implementation team. Work through ‘then and now’ processes to provide comfort for both teams.
  16. 16. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. What works… Lessons we have learned Relationship is everything Who is managing the overall process? They need to engage with the sellers Communication throughout the Buyer & Seller organisations is paramount If the intentions are not clear, the sellers will hit problems with their daily engagements in the Buyer’s organisation Buyers need to train everyone in the new process Some sellers (like us) will know more than the people we are engaging with Issue resolution is in everyone's interest There will be problems, make sure you have a process and ownership of how to address them.
  17. 17. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. • Clear planning communication • Seller process understanding • Stakeholder reporting requirements addressed • Remember some sellers may be new to this and need help Buyer advice From the seller’s perspective Avoid Success • Buyer project team engaged at all levels • Buyer stakeholder training • Documented workflows addressing every process • Giving deadlines that are unrealistic • Not addressing the Buyer’s end-user requirements • Not implementing a change management programme • Addressing goals that do not fit with the way your organisation operates • Failure to listen to feedback – one size does not fit all!
  18. 18. © 2016 HH Global Ltd all rights reserved. Proprietary and confidential. (c) 2016 HH Global Ltd. - All Rights Reserved. HH Global, the HH Global logo and the HHub logo are registered trademarks or trademarks of the HH Global Ltd Group of Companies. All other trademarks are the property of their respective owners. HH Global is the trading style of the HH Global Ltd Group of Companies. HH Global Limited. Registered Office: City House, Sutton Park Road, Sutton, Surrey. SM1 2AE. United Kingdom. Registered in England & Wales No. 04680562.
  19. 19. Supplier Enablement Innovations Olaf Schrader, Director Network and Seller Solutions
  20. 20. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 21Public Legal Disclaimer
  21. 21. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 22Public Agenda supplier onboarding features Vision, Goal, and Value Deep Dive High-Level Road Map
  22. 22. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 23Public Supplier onboarding overview Vision  Automate network enablement to be faster and touchless, and to work on exceptions only  Remove all friction from enablement and collaboration  Give all suppliers a choice of how they want to leverage the Ariba Network to perceive value in line with their needs Goals  Incentivize buyers to enable all their suppliers organically with minimal effort and change impact on both sides  Automate supplier data and contact collection  Provide an optimized “touch” during supplier registration and account setup; which is touchless for most suppliers  Deliver integrated training and collaboration in the process for onboarding and ongoing
  23. 23. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 24Public Customer value Buyers  Drives faster enablement of suppliers and ROI realization  Allows the buyer to turn off parallel processes  Reduces workload to handle supplier inquiries, processing of inbound documents  Allows for work on exceptions only, through the leveraging of automation technology Suppliers  Choice for all suppliers – of how they want to leverage the Ariba Network to perceive value in line with their needs  Low change impact for lightly enabled suppliers  get started easy, simply, free, and with minimal change management
  24. 24. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 25Public Ariba Network Light versus full enablement  Supplier segmentation Helpdesk & Support M2M integration Mobile Portal Full transaction set Innovations AribaPay Spot Quote Interactive email Free, simple Upgrade by Choice REGULAR PORTAL ENABLEMENT NEW! LIGHT ENABLEMENT $ A B C 500 Suppliers 1500 Suppliers 5000 Suppliers No compulsion ... Buyer Eliminate friction Full Ariba Network functionality Interactive email No Ariba Network registration €$ ¥ Crucial for business case
  25. 25. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 26Public Supplier value Complexity Paper Interactive e-mail Portal and PO flip Suppliers Ability to capture all data quickly in the Ariba Network and to create a touchless process for infrequent, simple transactions Simple, fast, efficient upload of transaction data into the Ariba Network for suppliers to provide a great amount of detail or large number of invoices End-to-end integration for a truly touchless process and gaining visibility into procurement activity File upload Machine to machine Access to all of the features and benefits of the Ariba Network for suppliers across the globe regardless of technical sophistication Low volume – light enablement High-volume or strategic suppliers Multiple enablement channels
  26. 26. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 27Public Agenda supplier onboarding features Vision, Goal, and Value Deep Dive 1. Interactive E-Mail 2. Supplier Enablement Planner and Dashboard 3. Collaboration Framework High-Level Road Map
  27. 27. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 28Public 1. Interactive e-mail – order  For suppliers with limited transactions annually and no need for integration, catalogs or advanced document types  No upfront supplier enablement  no registration  no change management  supplier use their existing email account and a web browser  Suppliers receive Interactive e-mail – Orders, which allow the unregistered Supplier to easily fulfill their orders:  create Order Confirmation  create Invoices  get payment visibility notifications  Support suppliers as they need to use other capabilities or features based on the transaction trends … …
  28. 28. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 29Public Interactive e-mail road map IE – order (enhancements)  Allow suppliers to provide bank details  Support automated reminders to confirm Orders  Advanced shipping notification (ASN) IE – invoice status (new) Invoice-status based • provide invoice status to supplier via email • independent on how the invoices was sent (paper, email, e-Invoice, …) • for PO and Non-PO invoices Allows suppliers to • ask questions • create corrections electronically (e-Invoice) • get paid early (dynamic discount, Supplier Chain Finance) • Create next non-PO invoices electronically (e- Invoice) November 2016+
  29. 29. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 30Public 2. SE planner and dashboard – SE automation 2.0 Overview Buy side  Automated vendor import  All buy-side and SAP Ariba solution planning work is done online  always current and with improved security – SE segmentation – Matching in the Ariba Network – Buy-side approval – Monitoring and management of SE Sell side  Light registration – portal or mobile  Online-managed duplicate accounts and merge  Dynamic SE task assignment
  30. 30. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 31Public SE planner and dashboard road map  Dashboard with heat maps and drill down to monitor and manage SE status  Direct SAP ERP integration through “supplier management” (SM)  Segmentation and matching  Online adjustment and approval (supporting mass actions)  Decentralized contact data collection  Smart waves  Improved SE activity and task management  Dynamic SE task assignment  Separation of tasks into buyer versus 3rd-party owned  Custom tasks  Online status reporting November 2016+
  31. 31. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 32Public 3. Collaboration framework overview Goals  Bring and store offline conversations between buyers and sellers into the Ariba Network  Both trading partners can send, receive, and view messages through various channels, like mobile, e- mail, or on Ariba Network Online  Users may be unregistered or registered ( Online)  Routing of a collaboration is based on “intelligence” and context, thereby enabling the requestor to initiate a collaboration without knowing whom the request will be sent to Core use cases  Unstructured messages in context of a document  Structured broadcast to all or to a subset of trading partners
  32. 32. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 33Public Unstructured collaboration in context of a document Unstructured messages in context of a document • For exception cases when buyers and sellers need to collaborate to resolve issues, clarify, or ask questions: buyers and sellers need to discuss and confirm expectations E.g. collaboration based on Purchase Order 1. Supplier can initiate collaboration. 2. Buy side (requisitioner, procurement agent) receives collaboration request and replies 3. Supplier receives response 4. Further “ping-pong” can occurs. All messages are stored on the Ariba Network. Email Channel Online Channel
  33. 33. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 34Public Structured broadcast to suppliers Structured broadcast to all or to a subset of trading partners • allows buyers or suppliers to send broad communications to their trading partners E.g. during Supplier Enablement 1. Buyer selects suppliers 2. Buyer Creates and sends message 3. Suppliers receive message 4. Optional buyer can allow the supplier to start follow-up collaboration (unstructured)
  34. 34. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 35Public Agenda supplier onboarding features Vision, Goal, and Value Deep Dive High-Level Road Map
  35. 35. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 36Public Supplier onboarding road map  Light enablement using Interactive Email – order Early 2017 November 2016 March 2016  IE-order: SEPA Payment details  Embedded collaboration on PO and Invoice  Mobile Registration  Quicker password recovery  Supplier enablement (SE) planner and dashboard  Embedded collaboration for other key document types  Quicker, simplified registration (Portal)  New light enablement flows using interactive e-mail: Invoice Status with Non-PO Invoice support
  36. 36. Questions & Answers
  37. 37. Thank you
  38. 38. © 2016 SAP SE or an SAP affiliate company. All rights reserved. 39Public Please complete session survey Locate Session Click Surveys Button Select Breakout Survey Rate Session

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