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CC                                        Increasing
                                          Accuracy and
                                          Efficiency Through
                                          Seamless
                                          Integration
                                          A panel of thought leaders – representing
                                          buy-side and sell-side




© 2012 Ariba, Inc. All rights reserved.
Introductions

    •   Kevin Turner
                  Director, Global B2B Integrations


    •   Jeremy Donaldson
                  Senior e-Procurement
                  Technology Manager


    •   Leah Knight
           ♦      Product Marketing Director,
                  Ariba’s Seller Solutions

2   © 2012 Ariba, Inc. All rights reserved.
Topics

    •   Introductory Comments
    •   Seller Perspective
    •   Buyer Perspective
    •   Demonstration




3   © 2012 Ariba, Inc. All rights reserved.
What is B2B Integration?


                                automated            machine-to-machine

                                              cXML
                                                              EDI
    PunchOut
                                                       back-end
                                                       integration
                                  server-to-server


4   © 2012 Ariba, Inc. All rights reserved.
Why Focus on Integration
    Technologies?

    •     If you are a buyer:
                   Increased order accuracy
                   Better shopping experience for users
                   Fewer invoice exceptions
    •     If you are a seller providing…
                   SKU-based products: Integrating to your e-commerce Web Shop can
                   offer top and bottom-line benefits
                   Configurable products: Integrating to your e-commerce Web Shop
                   can improve the customer experience and make customer
                   self-service possible
                   Services: Many services can also be configured and sold
                   through e-procurement


5   © 2012 Ariba, Inc. All rights reserved.
What Integration Technologies Are
    Possible on the Ariba Network?
    •     PunchOut
                   An electronic catalog on a remote website that is accessible from a
                   procurement system
                   Replaces CIF/“static” electronic catalogs


    •     cXML and EDI
           • Automatic, two-way communication between business applications
                     across organizations
             •       Examples
                      • Customer POs automatically appear in your order-processing system
                      • Your customer automatically receives a ship notice when you send an order
                      • Your accounts receivable system sends invoices automatically to your customer’s
                               accounts payable system


6   © 2012 Ariba, Inc. All rights reserved.
Why Electronic Catalogs?
     •       Receive better POs
     •       If your catalogs contain correct data, the POs you receive
             contain correct data




                                  Catalog            Requisition             PO


                                              The same information appears
                                                    in each document


               Electronic catalogs drive up order accuracy by 10% to 85%
7   © 2012 Ariba, Inc. All rights reserved.
What About Documents?
Transaction Volume Segmentation

                                                     Level of Enablement Participation
                                                  Customer            Ariba           Enablement
                                                  Participation       Participation   Effort
                                        Tier 1       High              High           High
                                        Tier 2       Med               Med            Med
                                        Tier 3       Low               Low            None
     Supplier Base


      High Volume                     Moderate Volume             Low Volume, Low Tech
       Ariba Network Electronically Enabled                       Invoice Conversion

       cXML and EDI                  Fax, HTML, PO Flip, CSV          Paper


                                      Quick Enablement
                                                  Fax, Email

                                                    Invoice webform
    Ariba Network                                        HTML
8
    Supplier Enabling Methods
Topics

    •   Introductory Comments
    •   Seller Perspective
    •   Buyer Perspective
    •   Demonstration




9   © 2012 Ariba, Inc. All rights reserved.
Dell Facts

                     Dell Inc.
                                                 PremierConnect
                 (FY12 Non-GAAP)
     • $62.1B revenue                          • 1,500+ customers
     • $5.5B cash flow                         • 106% revenue growth in
     • $18.2B in cash and                        two years
       investments                             • 38% order growth in
     • 30% of revenue                            two years
       generating from                         • Record customer
       enterprise solutions                      satisfaction score of 63%
       and services

10   © 2012 Ariba, Inc. All rights reserved.
Dell/Ariba Relationship

     •   ~ 300 Ariba relationships
     •   Ariba Seller Platinum Program
     •   Ariba Ready CIF, PunchOut, Invoice
     •   Member of Supplier Steering Committee
     •   Over $1B in revenue through the Ariba Network
     •   Integrated Marketing Campaign




11   © 2012 Ariba, Inc. All rights reserved.
12   © 2012 Ariba, Inc. All rights reserved.
13   © 2012 Ariba, Inc. All rights reserved.
14   © 2012 Ariba, Inc. All rights reserved.
Dell Prefers PunchOut




15   © 2012 Ariba, Inc. All rights reserved.
16   © 2012 Ariba, Inc. All rights reserved.
Topics

     •   Introductory Comments
     •   Seller Perspective
     •   Buyer Perspective
     •   Demonstration




17   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae
     •       Company Overview
                       Fortune 500 company founded in 1972
                       as a government-sponsored entity,
                       privatized in 2004 and is now a publicly
                       held company
                       The nation’s No. 1 financial services
                       company specializing in education
                       Serving 25 million customers through
                       managing or servicing $234 billion in
                       education loans and administering
                       $38 billion in 529 college savings plans
                       $625 million earned by members of
                       our Upromise college savings
                       rewards program

     •       Corporate Procurement                                Dream. Invest. Succeed.
                       Department established in 2006
                       Structure
                           –    Strategic Sourcing
                           –    Procurement Operations

18       © 2012 Ariba, Inc. All rights reserved.
Sallie Mae’s View – Why B2B?



                                       Standardized          Lower
                                         Business          Operational
                                        Processes            Costs


                                           Improved      Consistent User
                                          Efficiencies     Experience



19   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae Integration Approach

                   Ariba Buyer                              Ariba Network


             Requisition/Catalog
                                                            Collaboration
              Routing/ Approval
                                                                             Supplier
                                                                              Supplier
                                                                                Supplier
                                                                                  Supplier
                      Purchase                              PO Distributed          Supplier
                       Order                                 to Suppliers




                                               HTTPS/cXML


20   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae Benefits

     •   B2B Integration
                   Business Automation
                   Shopping Experience
                   Increased Order Accuracy

     •   Ariba Network
                   Single Channel Management
                   Easy Supplier Enablement
                   Catalog Management
                   Order Tracking

21   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae/Dell Success Story

     •   Dell’s experienced integration team
     •   Reduced time to implementation
         (AN)
     •   Powerful catalog shopping
         experience
     •   Improved order accuracy
     •   Invoice efficiencies




22   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae B2B Roadmap


     •   Expansion
     •   Targeting Suppliers
     •   Electronic Invoicing




23   © 2012 Ariba, Inc. All rights reserved.
ARIBA LIVE 2012
     Questions
     Questions




     •    Contact Information:
                   Jeremy.Donaldson@salliemae.com




24   © 2012 Ariba, Inc. All rights reserved.
Topics

     •   Introductory Comments
     •   Seller Perspective
     •   Buyer Perspective
     •   Demonstration




25   © 2012 Ariba, Inc. All rights reserved.
Demonstration Overview

     1.      Sallie Mae invites Dell to transact over the Ariba Network
     2.      Dell accepts the invitation
     3.      Dell creates and uploads a catalog
     4.      Sallie Mae accepts the catalog
     5.      A buyer (i.e., Sallie Mae employee) buys equipment
             from Dell using PunchOut
     6.      Dell receives the order



26   © 2012 Ariba, Inc. All rights reserved.
1) Sallie Mae Invites Dell to
         Transact Over the Ariba Network




27   © 2012 Ariba, Inc. All rights reserved.
Buyer View
Buyer View
Buyer View
Buyer View
Buyer View
Buyer View
Buyer View
2) Dell Accepts the Invitation




35   © 2012 Ariba, Inc. All rights reserved.
Seller View




 Dell receives an
    email and
  completes the
 action required
 to activate the
      trading
   relationship




36   © 2012 Ariba, Inc. All rights reserved.
Seller View




Sallie Mae Inc.




     This creates an Ariba Network
   relationship with Dell in production
    and test. Dell enters existing user
      name and password to log in.
Seller View
Buyer View




                                                  Sallie Mae
                                                 receives an
                                               confirming email
                                                  once Dell
                                                   accepts




39   © 2012 Ariba, Inc. All rights reserved.
Buyer View




                 Now Dell
               appears as a
             supplier in Sallie
              Mae’s system
Seller View




 …And Dell can
view information
about Sallie Mae
Seller View




Dell creates a
detailed profile
3) Dell Creates and Uploads
                                 a Catalog




43   © 2012 Ariba, Inc. All rights reserved.
Seller View




Dell can now
create a test
   catalog
Seller View




The catalog has
   now been
published to The
 Ariba Network
4) Sallie Mae Accepts the Catalog




46   © 2012 Ariba, Inc. All rights reserved.
Buyer View
Buyer View
Buyer View
Buyer View
5) Sallie Mae Employee Buys
     Equipment from Dell Using PunchOut




51   © 2012 Ariba, Inc. All rights reserved.
Sallie Mae PunchOut PO to Dell

     •   From Sallie Mae’s Spend Management Application




52   © 2012 Ariba, Inc. All rights reserved.
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




55   © 2012 Ariba, Inc.
     Dell Confidential All rights reserved.
     1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Buyer View




61   © 2012 Ariba, Inc.
     Dell Confidential All rights reserved.
     1/09/2003
Buyer View




     Purchase Order
      is now sent to
           Dell


62   © 2012 Ariba, Inc.
     Dell Confidential All rights reserved.
     1/09/2003
Buyer View




   Dell Confidential
   1/09/2003
Sallie Mae PunchOut PO to Dell

     •   From Sallie Mae Ariba Network Buyer Account




64   © 2012 Ariba, Inc. All rights reserved.
Buyer View




      Purchase Order
         has been
     acknowledged by
           Dell

65    © 2012 Ariba, Inc.
      Dell Confidential All rights reserved.
      1/09/2003
6) Dell Receives the Order

     •   From Dell Ariba Network Supplier Account




66   © 2012 Ariba, Inc. All rights reserved.

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Increasing Accuracy and Efficiency Through Seamless Integration

  • 1. CC Increasing Accuracy and Efficiency Through Seamless Integration A panel of thought leaders – representing buy-side and sell-side © 2012 Ariba, Inc. All rights reserved.
  • 2. Introductions • Kevin Turner Director, Global B2B Integrations • Jeremy Donaldson Senior e-Procurement Technology Manager • Leah Knight ♦ Product Marketing Director, Ariba’s Seller Solutions 2 © 2012 Ariba, Inc. All rights reserved.
  • 3. Topics • Introductory Comments • Seller Perspective • Buyer Perspective • Demonstration 3 © 2012 Ariba, Inc. All rights reserved.
  • 4. What is B2B Integration? automated machine-to-machine cXML EDI PunchOut back-end integration server-to-server 4 © 2012 Ariba, Inc. All rights reserved.
  • 5. Why Focus on Integration Technologies? • If you are a buyer: Increased order accuracy Better shopping experience for users Fewer invoice exceptions • If you are a seller providing… SKU-based products: Integrating to your e-commerce Web Shop can offer top and bottom-line benefits Configurable products: Integrating to your e-commerce Web Shop can improve the customer experience and make customer self-service possible Services: Many services can also be configured and sold through e-procurement 5 © 2012 Ariba, Inc. All rights reserved.
  • 6. What Integration Technologies Are Possible on the Ariba Network? • PunchOut An electronic catalog on a remote website that is accessible from a procurement system Replaces CIF/“static” electronic catalogs • cXML and EDI • Automatic, two-way communication between business applications across organizations • Examples • Customer POs automatically appear in your order-processing system • Your customer automatically receives a ship notice when you send an order • Your accounts receivable system sends invoices automatically to your customer’s accounts payable system 6 © 2012 Ariba, Inc. All rights reserved.
  • 7. Why Electronic Catalogs? • Receive better POs • If your catalogs contain correct data, the POs you receive contain correct data Catalog Requisition PO The same information appears in each document Electronic catalogs drive up order accuracy by 10% to 85% 7 © 2012 Ariba, Inc. All rights reserved.
  • 8. What About Documents? Transaction Volume Segmentation Level of Enablement Participation Customer Ariba Enablement Participation Participation Effort Tier 1 High High High Tier 2 Med Med Med Tier 3 Low Low None Supplier Base High Volume Moderate Volume Low Volume, Low Tech Ariba Network Electronically Enabled Invoice Conversion cXML and EDI Fax, HTML, PO Flip, CSV Paper Quick Enablement Fax, Email Invoice webform Ariba Network HTML 8 Supplier Enabling Methods
  • 9. Topics • Introductory Comments • Seller Perspective • Buyer Perspective • Demonstration 9 © 2012 Ariba, Inc. All rights reserved.
  • 10. Dell Facts Dell Inc. PremierConnect (FY12 Non-GAAP) • $62.1B revenue • 1,500+ customers • $5.5B cash flow • 106% revenue growth in • $18.2B in cash and two years investments • 38% order growth in • 30% of revenue two years generating from • Record customer enterprise solutions satisfaction score of 63% and services 10 © 2012 Ariba, Inc. All rights reserved.
  • 11. Dell/Ariba Relationship • ~ 300 Ariba relationships • Ariba Seller Platinum Program • Ariba Ready CIF, PunchOut, Invoice • Member of Supplier Steering Committee • Over $1B in revenue through the Ariba Network • Integrated Marketing Campaign 11 © 2012 Ariba, Inc. All rights reserved.
  • 12. 12 © 2012 Ariba, Inc. All rights reserved.
  • 13. 13 © 2012 Ariba, Inc. All rights reserved.
  • 14. 14 © 2012 Ariba, Inc. All rights reserved.
  • 15. Dell Prefers PunchOut 15 © 2012 Ariba, Inc. All rights reserved.
  • 16. 16 © 2012 Ariba, Inc. All rights reserved.
  • 17. Topics • Introductory Comments • Seller Perspective • Buyer Perspective • Demonstration 17 © 2012 Ariba, Inc. All rights reserved.
  • 18. Sallie Mae • Company Overview Fortune 500 company founded in 1972 as a government-sponsored entity, privatized in 2004 and is now a publicly held company The nation’s No. 1 financial services company specializing in education Serving 25 million customers through managing or servicing $234 billion in education loans and administering $38 billion in 529 college savings plans $625 million earned by members of our Upromise college savings rewards program • Corporate Procurement Dream. Invest. Succeed. Department established in 2006 Structure – Strategic Sourcing – Procurement Operations 18 © 2012 Ariba, Inc. All rights reserved.
  • 19. Sallie Mae’s View – Why B2B? Standardized Lower Business Operational Processes Costs Improved Consistent User Efficiencies Experience 19 © 2012 Ariba, Inc. All rights reserved.
  • 20. Sallie Mae Integration Approach Ariba Buyer Ariba Network Requisition/Catalog Collaboration Routing/ Approval Supplier Supplier Supplier Supplier Purchase PO Distributed Supplier Order to Suppliers HTTPS/cXML 20 © 2012 Ariba, Inc. All rights reserved.
  • 21. Sallie Mae Benefits • B2B Integration Business Automation Shopping Experience Increased Order Accuracy • Ariba Network Single Channel Management Easy Supplier Enablement Catalog Management Order Tracking 21 © 2012 Ariba, Inc. All rights reserved.
  • 22. Sallie Mae/Dell Success Story • Dell’s experienced integration team • Reduced time to implementation (AN) • Powerful catalog shopping experience • Improved order accuracy • Invoice efficiencies 22 © 2012 Ariba, Inc. All rights reserved.
  • 23. Sallie Mae B2B Roadmap • Expansion • Targeting Suppliers • Electronic Invoicing 23 © 2012 Ariba, Inc. All rights reserved.
  • 24. ARIBA LIVE 2012 Questions Questions • Contact Information: Jeremy.Donaldson@salliemae.com 24 © 2012 Ariba, Inc. All rights reserved.
  • 25. Topics • Introductory Comments • Seller Perspective • Buyer Perspective • Demonstration 25 © 2012 Ariba, Inc. All rights reserved.
  • 26. Demonstration Overview 1. Sallie Mae invites Dell to transact over the Ariba Network 2. Dell accepts the invitation 3. Dell creates and uploads a catalog 4. Sallie Mae accepts the catalog 5. A buyer (i.e., Sallie Mae employee) buys equipment from Dell using PunchOut 6. Dell receives the order 26 © 2012 Ariba, Inc. All rights reserved.
  • 27. 1) Sallie Mae Invites Dell to Transact Over the Ariba Network 27 © 2012 Ariba, Inc. All rights reserved.
  • 35. 2) Dell Accepts the Invitation 35 © 2012 Ariba, Inc. All rights reserved.
  • 36. Seller View Dell receives an email and completes the action required to activate the trading relationship 36 © 2012 Ariba, Inc. All rights reserved.
  • 37. Seller View Sallie Mae Inc. This creates an Ariba Network relationship with Dell in production and test. Dell enters existing user name and password to log in.
  • 39. Buyer View Sallie Mae receives an confirming email once Dell accepts 39 © 2012 Ariba, Inc. All rights reserved.
  • 40. Buyer View Now Dell appears as a supplier in Sallie Mae’s system
  • 41. Seller View …And Dell can view information about Sallie Mae
  • 42. Seller View Dell creates a detailed profile
  • 43. 3) Dell Creates and Uploads a Catalog 43 © 2012 Ariba, Inc. All rights reserved.
  • 44. Seller View Dell can now create a test catalog
  • 45. Seller View The catalog has now been published to The Ariba Network
  • 46. 4) Sallie Mae Accepts the Catalog 46 © 2012 Ariba, Inc. All rights reserved.
  • 51. 5) Sallie Mae Employee Buys Equipment from Dell Using PunchOut 51 © 2012 Ariba, Inc. All rights reserved.
  • 52. Sallie Mae PunchOut PO to Dell • From Sallie Mae’s Spend Management Application 52 © 2012 Ariba, Inc. All rights reserved.
  • 53. Buyer View Dell Confidential 1/09/2003
  • 54. Buyer View Dell Confidential 1/09/2003
  • 55. Buyer View 55 © 2012 Ariba, Inc. Dell Confidential All rights reserved. 1/09/2003
  • 56. Buyer View Dell Confidential 1/09/2003
  • 57. Buyer View Dell Confidential 1/09/2003
  • 58. Buyer View Dell Confidential 1/09/2003
  • 59. Buyer View Dell Confidential 1/09/2003
  • 60. Buyer View Dell Confidential 1/09/2003
  • 61. Buyer View 61 © 2012 Ariba, Inc. Dell Confidential All rights reserved. 1/09/2003
  • 62. Buyer View Purchase Order is now sent to Dell 62 © 2012 Ariba, Inc. Dell Confidential All rights reserved. 1/09/2003
  • 63. Buyer View Dell Confidential 1/09/2003
  • 64. Sallie Mae PunchOut PO to Dell • From Sallie Mae Ariba Network Buyer Account 64 © 2012 Ariba, Inc. All rights reserved.
  • 65. Buyer View Purchase Order has been acknowledged by Dell 65 © 2012 Ariba, Inc. Dell Confidential All rights reserved. 1/09/2003
  • 66. 6) Dell Receives the Order • From Dell Ariba Network Supplier Account 66 © 2012 Ariba, Inc. All rights reserved.
  • 67. Seller View Dell has received and can view the Purchase Order Dell Confidential 1/09/2003
  • 68. Sallie Mae PunchOut PO to Dell • From Dell’s Global Premier B2B Tools 68 © 2012 Ariba, Inc. All rights reserved.
  • 71. Share This Session…NOW…from your mobile! • All presentations are posted: Guidebook mobile app – Search Apple or Android app store for Guidebook – Enter code “collabor8” Or at Slideshare.net/Ariba • Share via email or social media **Come back soon – we are syncing #AribaLIVE audio and video interviews to the presentations** 71 © 2012 Ariba, Inc. All rights reserved.
  • 72. Thank you! 72 © 2012 Ariba, Inc. All rights reserved.