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All Aboard! Proven Strategies for Driving eInvoicing
The document outlines strategies for driving e-invoicing initiatives, emphasizing the importance of internal sponsorship, supplier enablement, and effective communication to achieve program success. Key goals include increasing e-invoicing rates and establishing compliance, with metrics showing significant progress in supplier engagement and transaction rates. Lessons learned highlight the need for ongoing supplier collaboration and clear governance to ensure sustainable results.
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All Aboard! Proven Strategies for Driving eInvoicing
- 1. All Aboard! ProvenStrategies for Driving Your E-Invoicing Initiative © 2013 Ariba, Inc. All rights reserved. Etosha Thurman, Network Partner, Ariba Richard Roe, Project Manager – Procurement, Kimberly-Clark Corporation John Schwager, Director, Global Supply Management Processes & Systems, Stanley Black & Decker
- 2. #AribaLIVE Collaborative Commerce Isa Journey © 2013 Ariba, Inc. All rights reserved.2 Sustain and Specialize Capture More Complex Areas Expand and Enable Increase Adoption ProcessMaturity (Learning&Collaboration)High Low High Launch and Leverage Get Early Savings and Organizational Wins Adoption (technology/automation) Phase 3 Phase 2 Phase 1
- 3. #AribaLIVE Key Message: Program SuccessRequires Change © 2013 Ariba, Inc. All rights reserved.3 Kick-off Optimal Performance Time SuccessofInitiative Change Pain Go-Live Status Quo Negative Results
- 4. #AribaLIVE Best Practices DriveSuccess Internal • Executive sponsorship that drives top-down internal awareness and alignment on program vision and direction • Key stakeholder (AP, Procurement, IT) involvement is essential and should include change management focus • Defined Supplier Enablement strategy that ties back to program goals • Established program metrics with a regular cadence of stakeholder review • Resource allocation to conduct ongoing Supplier Enablement activities • Create program specifications with your suppliers in mind External • Defined and executable Compliance program that incorporates your EDICT • Pervasive program communication to supplier community • Incorporation of collaborative commerce as the new business standard • Engagement with strategic suppliers to determine mutual program objectives and success measures © 2013 Ariba, Inc. All rights reserved.4
- 5. #AribaLIVE Company Overview: © 2013Ariba, Inc. All rights reserved.5 • 56,000-plus employees worldwide • $21.1 Billion in Net Sales in 2012 • Well-known global brands HUGGIES ® KLEENEX ® SCOTT ® KOTEX ® PULL-UPS ® DEPEND ® • #1 or #2 position in more than 80 countries • 1.3 billion consumers use our products daily
- 6. #AribaLIVE Kimberly-Clark Corporation Richard Roe: •Kimberly-Clark for over 15 years • Currently the overall project manager for the Electronic Invoice and Ordering program • Responsible for the design, development and deployment of solutions supporting the Procure-to-Pay business processes • Served as Procurement project lead for the implementation of Ariba and continues to provide strategic direction and leadership • Previously worked in Internal Audit, Information Technology, HR/Payroll, and Procurement • Graduate of the University of Wisconsin - Platteville © 2013 Ariba, Inc. All rights reserved.6
- 7. #AribaLIVE Kimberly-Clark’s Collaborative Commerce Goals •Supplier Integration – End-to-End Cycle • Paper-Less, Touch-Less, Sustainability • Reduce Cycle Time and Pay On Time • Reduce Waste - Fewer Errors, Inquiries • E-Document Exchange Goals E-Invoice 90% by 2015 E-PO 98% by 2015 E-POA and E-ASN – 50 to 75% by 2015 © 2013 Ariba, Inc. All rights reserved.7
- 8. #AribaLIVE Supplier Enablement Aproach •Internal/External Challenges Collaboration between Procurement, Accounts Payable, and Suppliers Clear, concise communication that clearly states commitment to goals and expectations Resources and Change Management Competing Agendas – Strategic vs. Tactical © 2013 Ariba, Inc. All rights reserved.8
- 9. #AribaLIVE Supplier Enablement Approach •Approach to Overcome Challenges Executive-Level Support, Governance, and Oversight Visual Management – Target vs. Actual, Supplier Status Dedicated Team – Ariba, Procurement, and AP Strong Communication Plan and Execution Supplier Education, Training, and Support Non-compliant Process Supplier Summit Webinars © 2013 Ariba, Inc. All rights reserved.9
- 10. #AribaLIVE Results to Date •Key Metrics: 1,000 Transacting Suppliers (PO-based) Ariba PO - 20,000 per monthly Ariba Invoices - 25,000 per month KC’s E-Invoice Rate - 68% © 2013 Ariba, Inc. All rights reserved.10
- 11. #AribaLIVE Key Lessons Learned •Do Your Homework! Understand Your Current and Future Supplier Relationships Set Clear and Attainable Targets • Listen to the Voice of the Supplier Understand their Challenges/Concerns Show Empathy, Flexibility, and Willingness to Work Together • Listen to the Voice of the Process Continuous Improvement – Check and Adjust Visual Management – Supplier Enablement Dashboard © 2013 Ariba, Inc. All rights reserved.11
- 12. #AribaLIVE Stanley Black &Decker • Company Overview • $10.2 Billion on Net Sales in 2012 with over 52% from outside of US • Three Lines of Business: Construction & DIY Industrial Security • Company Growth Includes Acquisition Strategy © 2013 Ariba, Inc. All rights reserved.12
- 13. #AribaLIVE Stanley Black &Decker John Schwager: • Stanley Black & Decker for 11 years • Currently responsible for strategy and execution of Process and System Transformation for the Global Supply Management organization • Key initiatives focus include B2B eCommerce, Supplier Finance, Sourcing and Contract Management Solutions, Supplier Performance Management, Spend Analytics, and the SBD Supplier Portal • Prior to joining Stanley, John served as senior consultant in Supply Chain for both Arthur Andersen and Kurt Salmon Associates • Graduate of the Massachusetts Institute of Technology and Georgia Tech © 2013 Ariba, Inc. All rights reserved.13
- 14. #AribaLIVE Stanley Black &Decker’s Collaborative Commerce Goals • Global Standardized Processes • Internal Compliance No PO, No Buy Delegation Of Authority (i.e., approval chain) enforced procurement • External Compliance SBD Does Business via the Ariba Network. Period. • No Touch AP Invoice Processing © 2013 Ariba, Inc. All rights reserved.14
- 15. #AribaLIVE Supplier Enablement Aproach •Internal/External Challenges Invoice-only transactions After-the-fact POs Supplier pushback • Approach to overcome challenges Firm stance on policy to both internal and external stakeholders Executive support is critical and can make or break a program © 2013 Ariba, Inc. All rights reserved.15
- 16. #AribaLIVE Results/Lessons Learned • KeyMetrics: 90% POs, spend, suppliers on Ariba Network at Go-Live At six months: 1,000 suppliers, 1,000 users Long term: Manage Indirect Spend globally through Ariba Network • Lessons Learned Be firm and over-communicate – Internally and externally Ensure all internal stakeholders are on the same page Executive support does not end at Go-Live © 2013 Ariba, Inc. All rights reserved.16
- 17. Questions? © 2013 Ariba,Inc. All rights reserved.
- 18. #AribaLIVE Please Complete SessionSurvey Go to Surveys © 2013 Ariba, Inc. All rights reserved.18 Select Session Click Choose one Rate Session Thank you for joining us