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The Critical Role of Procurement in Today’s O&G Industry Sharon Harlow – Supplier Enablement Team Lead BP, plc © 2011 Ariba, Inc. All rights reserved.
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
BP  Focus  in 2011 Safe Operation: Upstream, Midstream and Downstream © 2011 Ariba, Inc. All rights reserved.  AE AE
BP Growth in More Recent Years – Driving our Standardization in BP  1. 2. BP has inherited  a large variety  of processes  and systems with  varying standards  of master data  quality © 2011 Ariba, Inc. All rights reserved.  (2000) (2002) (2002) (2000) (1999) (1996) (2000) (2001) (2001)
Industry Needs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Traditional Barriers in Upstream O&G © 2011 Ariba, Inc. All rights reserved.  Oilfield Supplier Reduction in DSO Reduction of Commoditization risk Quicker Dispute Resolution Reduction of Paper-Based Processes Repeatable Processes Industry-based Standards  Automated Invoice Load GL Classification Less Paper, SAP/ERP Integration Price Validation Early Payment Discounts Supply Chain Barriers Industry-based Standards  Operator
How Commerce Collaboration Can Help © 2011 Ariba, Inc. All rights reserved.  Reduction of Commoditization Risk Reduction in Days Sales Outstanding, Payment Cycle Audit Trail, Supporting Documentation Quick Dispute Resolution & Early Payment Reduction of Paper-Based Processes, Repeatable Conforms to PIDX and SAP iDOC Standards Off-Contract Spend Reduction, GL Classification Electronic Catalogue,  GL Classification Reduction in Invoice Processing Time and Costs Spend Visibility/ Benchmarking, Vendor Terms, Policy/Regulatory Compliance Contract Compliance – Price Validation, Activity/Early Payment Discounts Less paper, SAP Integration, Repeatable Process, Automated SES/Invoice Load Conforms to PIDX and SAP iDOC Standards Streamlined Business Process with Controls Transparency, Attachments, Notes Price Validation, Discrepancy Reporting Integrated Connectivity, Secure Facilitator Standards Definition and Compliance Oilfield Supplier Operator
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
BP Upstream Challenges ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.  Benefit Drivers Contract Line Item Compliance Non-line Item and Off Contract – Spend Management Invoice Price Compliance Spend Visibility for Strategic Sourcing Early Payment Discount
From NO Data to MASTER  Data to SORTED Data  Master Data UNSPSC Item Data Category Data Good Data Supplier One Supplier Two Product Atributes Data Data Data Misc Data Misc Data Misc Data Part Extension Misc Data Misc Data Currency ACodes Units of Purchase PBQ Unit of Measure Part Number © 2011 Ariba, Inc. All rights reserved.
Current World  New World PO 12 gloves Delivery Ticket 6 pr gloves Invoice 1 dz gloves Hmmm… this looks  like the  same thing.  The Data Challenge PO 12 gloves Delivery Ticket 6 pr gloves Invoice 1 dz gloves REJECT © 2011 Ariba, Inc. All rights reserved.
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Solution ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
BP’s Solution Objectives ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Solution - Features ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Solution Overview © 2011 Ariba, Inc. All rights reserved.
Reporting and KPIs ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
© 2011 Ariba, Inc. All rights reserved.
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Lessons Learned ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Results ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Results ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Topics ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
What’s next? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Questions? © 2011 Ariba, Inc. All rights reserved.
“Safe Harbor” and Confidential Information Statement ,[object Object],© 2011 Ariba, Inc. All rights reserved.
The Critical Role of Procurement in Today’s O&G Industry Sharon Harlow – Supplier Enablement Team Lead BP, plc © 2011 Ariba, Inc. All rights reserved.

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The Critical Role of Procurement in the Oil and Gas Industry

  • 1. The Critical Role of Procurement in Today’s O&G Industry Sharon Harlow – Supplier Enablement Team Lead BP, plc © 2011 Ariba, Inc. All rights reserved.
  • 2.
  • 3. BP Focus in 2011 Safe Operation: Upstream, Midstream and Downstream © 2011 Ariba, Inc. All rights reserved. AE AE
  • 4. BP Growth in More Recent Years – Driving our Standardization in BP 1. 2. BP has inherited a large variety of processes and systems with varying standards of master data quality © 2011 Ariba, Inc. All rights reserved. (2000) (2002) (2002) (2000) (1999) (1996) (2000) (2001) (2001)
  • 5.
  • 6. Traditional Barriers in Upstream O&G © 2011 Ariba, Inc. All rights reserved. Oilfield Supplier Reduction in DSO Reduction of Commoditization risk Quicker Dispute Resolution Reduction of Paper-Based Processes Repeatable Processes Industry-based Standards Automated Invoice Load GL Classification Less Paper, SAP/ERP Integration Price Validation Early Payment Discounts Supply Chain Barriers Industry-based Standards Operator
  • 7. How Commerce Collaboration Can Help © 2011 Ariba, Inc. All rights reserved. Reduction of Commoditization Risk Reduction in Days Sales Outstanding, Payment Cycle Audit Trail, Supporting Documentation Quick Dispute Resolution & Early Payment Reduction of Paper-Based Processes, Repeatable Conforms to PIDX and SAP iDOC Standards Off-Contract Spend Reduction, GL Classification Electronic Catalogue, GL Classification Reduction in Invoice Processing Time and Costs Spend Visibility/ Benchmarking, Vendor Terms, Policy/Regulatory Compliance Contract Compliance – Price Validation, Activity/Early Payment Discounts Less paper, SAP Integration, Repeatable Process, Automated SES/Invoice Load Conforms to PIDX and SAP iDOC Standards Streamlined Business Process with Controls Transparency, Attachments, Notes Price Validation, Discrepancy Reporting Integrated Connectivity, Secure Facilitator Standards Definition and Compliance Oilfield Supplier Operator
  • 8.
  • 9.
  • 10. From NO Data to MASTER Data to SORTED Data Master Data UNSPSC Item Data Category Data Good Data Supplier One Supplier Two Product Atributes Data Data Data Misc Data Misc Data Misc Data Part Extension Misc Data Misc Data Currency ACodes Units of Purchase PBQ Unit of Measure Part Number © 2011 Ariba, Inc. All rights reserved.
  • 11. Current World New World PO 12 gloves Delivery Ticket 6 pr gloves Invoice 1 dz gloves Hmmm… this looks like the same thing. The Data Challenge PO 12 gloves Delivery Ticket 6 pr gloves Invoice 1 dz gloves REJECT © 2011 Ariba, Inc. All rights reserved.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16. Solution Overview © 2011 Ariba, Inc. All rights reserved.
  • 17.
  • 18. © 2011 Ariba, Inc. All rights reserved.
  • 19.
  • 20.
  • 21.
  • 22.
  • 23.
  • 24.
  • 25.
  • 26. Questions? © 2011 Ariba, Inc. All rights reserved.
  • 27.
  • 28. The Critical Role of Procurement in Today’s O&G Industry Sharon Harlow – Supplier Enablement Team Lead BP, plc © 2011 Ariba, Inc. All rights reserved.