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Ariba Network Cloud Solutions for
Spend Analytics, Strategic Sourcing
and Supplier Management for SAP
Customers
Speaker: Florian Seebauer and Ceylan Thomson
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
The information in this presentation is confidential and proprietary to SAP and may not be disclosed without
the permission of SAP. This presentation is not subject to your license agreement or any other service or
subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this
document or any related presentation, or to develop or release any functionality mentioned therein. This
document, or any related presentation and SAP's strategy and possible future developments, products and
or platforms directions and functionality are all subject to change and may be changed by SAP at any time
for any reason without notice. The information in this document is not a commitment, promise or legal
obligation to deliver any material, code or functionality. This document is provided without a warranty of any
kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness
for a particular purpose, or non-infringement. This document is for informational purposes and may not be
incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except
if such damages were caused by SAP´s willful misconduct or gross negligence.
All forward-looking statements are subject to various risks and uncertainties that could cause actual results
to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-
looking statements, which speak only as of their dates, and they should not be relied upon in making
purchasing decisions.
Legal
disclaimer
#AribaLIVE
Agenda
• Introductions
• Ariba Network Cloud Innovations for SAP customers
Spend Visibility Basic services for SAP Spend
Performance Management
Integration of D&B content using Ariba Data Enrichment
services
Ariba Discovery
Ariba Sourcing
• Key Take-aways
• Q&A
© 2013 Ariba, Inc. All rights reserved.3
Spend Visibility Basic Services for
SAP Spend Performance
Management
© 2013 Ariba, Inc. All rights reserved.
Speaker: Florian Seebauer
#AribaLIVE
© 2013 Ariba, Inc. All rights reserved.5
Contract Compliance
Rates*
Strategic Sourcing
Savings*
62%
6.7%
11.7%
46%
Before Spend Analysis After Spend Analysis
44% 59%
Spend Under
Management *
34% incremental
increase in contract
compliance rates
75% increase in strategic
sourcing savings
34% increase in spend
under management
*Aberdeen Group : Spend Analysis – Working Too Hard for the Money – 2007
Why do enterprises care about
increased Spend Analysis?
#AribaLIVE
SAP Spend Performance Management
Best-in class comprehensive Spend Analytics solution
• Extractor Starter Kit (SAP)
• SAP BOBJ Data Integrator ETL
Tool (Non-SAP) – Included in
SPM License
• Web based
• Self-service data
management portal
• Aggregated Raw Data
Views
• Enriched and Classified
Views
• Analyze Savings
Opportunities
• Monitor KPIs
• Track compliance
• Assess Risk
Supplier Enrichment
• Supplier Normalization/
Rationalization
• Parentage
• Enrichment: SIC, Credit,
Revenue, Bankruptcy, Diversity*,
Green* & Risk Ratings*
P-Cards
GL/AP
Supplier data
Data Extraction/
Integration
Source Systems
Powerful, Actionable
and Easy to Use!
SAP SPM
Ariba Spend Visibility
Basic for SPM
OnDemand
Spend Reporting
SAP SPM
Commodity Classification
• Classified via best practice
combination of Knowledgebase,
Databases & Services
• Classification to UNSPSC & Ariba
Best Practice Taxonomy
• Custom Taxonomy supported
Daily
Weekly
Monthly
Quarterly
#AribaLIVE
SAP Spend Performance Management
Data Flow and Responsibilities
• As part of SPM Implementation
Customers use SPM Extractor
Starter Kit or other ETL process
to extract data from Source
systems
• Customers loads the raw
data into SPM and upon
Validation exports un-
enriched (raw) data from
SPM Data Management into
flat files in SPM Formats and
uploads them to Ariba
Secured Site.
• Customers download the
Enriched and Classified data
and Loads them into SPM.
• Any post Enrichment and
Classification process related
support will be provided by
Ariba PM
P-Cards
GL/AP
Supplier data
Data Extraction/
Integration
Source Systems
Powerful, Actionable
and Easy to Use!
SAP SPM
Ariba Spend Visibility
Basic for SPM
OnDemand
Spend Reporting
SAP SPM
Daily
Weekly
Monthly
Quarterly
• Ariba team will pick up the files,
take them through SPM to ADE
transformation service, validates
the data and runs it through
Enrichment and classification
service
• Results of the service will be
validated as per SLA’s agreed
with customer, take them through
refinement process with
customer power user
involvement, export results and
transform to SPM formats.
Customer Responsibility Customer Responsibility Ariba PM Responsibility Customer/Ariba PM
Responsibility
Find the Right Suppliers with
Ariba Discovery
© 2013 Ariba, Inc. All rights reserved.
Speaker: Ceylan Thomson
#AribaLIVE
Topics
• What is Ariba Discovery and How Does It Work?
• Benefits of Ariba Discovery
• Where to Access Ariba Discovery
© 2013 Ariba, Inc. All rights reserved.9
#AribaLIVE
0%
5%
15%
20%
35%
30%
25%
10%
Savings vs. Number of Bidders
2 3 4 5 6 7 8 9 10 11 12 13
Number of Participants
Source: Ariba Customer Averages 2011; Ariba GSO Services Experience, 2010
AverageSavings
Adding additional savings
opportunities by inviting
more suppliers
Typical number of
suppliers invited
Missed Savings With Few Suppliers
© 2013 Ariba, Inc. All rights reserved.11
#AribaLIVE
12
Traditional Supplier Identification
Resource-IntensivePoor Quality of InformationTime-Consuming
Sub-Optimal Trading Partner Decisions
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Introducing: Ariba Discovery
• The premier service for matching business buyers and suppliers globally, built on the
world’s commerce network
© 2013 Ariba, Inc. All rights reserved.13
50 PERCENT OF THE
GLOBAL 2000
OVER 3,000 BUYERS
Faster, Easier, and Better
Supplier Discovery
Matching Service
#AribaLIVE
14
3 Simple Steps
Review
proposals2.
Describe
your needs1.
Make
selection3.
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
15
Strong Supplier Community
Over 730,000 suppliers
Across 20,000 categories
In more than 190 countries
Over 50,000 green and diverse suppliers*
36% have global reach
*16,000 Women, 5,000 Veteran, 11,000 Minority, 4,700 Small Disadvantaged, 13,000 Green
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Relevant & Trusted Information
Rich Supplier Profiles
• Supplier Provided Information
♦ Description
♦ Business Information
♦ Certifications (Green, Diversity)
• Ariba Community Information
♦ References
♦ Ratings
• Ariba Information
♦ Ariba Commerce Cloud Activity
♦ Advantage designation
♦ Ariba Ready Certification
• Objective third-party financial
and risk information
♦ Up to 4 types of D&B® financial
and risk scores
© 2013 Ariba, Inc. All rights reserved.16
#AribaLIVE
Topics
• What is Ariba Discovery and How Does It Work?
• Benefits of Ariba Discovery
• Where to Access Ariba Discovery
© 2013 Ariba, Inc. All rights reserved.17
#AribaLIVE
18
Benefits
Fast & Easy
Interactive
Effective
Trusted
Integrated
It’s Free!
Save up to 90% time and 75% cost
finding and qualifying suppliers
Lower your cost by 15%, reduce
lead time, and improve quality
Communicate with suppliers in real-
time, and make better decisions
Join other buyers who post over $350B
USD per year in business volume
Easily bring suppliers into your Ariba
Sourcing project from the start
Post your buying needs in 10 minutes,
and get matched to suppliers at no risk
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
19
Proven Buyer Success
Over $5B in business posted annually
Over 30K matched suppliers
First bids within 24 hours
Saving 90% time and 75% cost
© 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Topics
• What is Ariba Discovery and How Does It Work?
• Benefits of Ariba Discovery
• Where to Access Ariba Discovery
© 2013 Ariba, Inc. All rights reserved.20
#AribaLIVE
Ariba Discovery Home Page
© 2013 Ariba, Inc. All rights reserved.21
http://discovery.ariba.com
#AribaLIVE
Create a Posting
22 © 2013 Ariba, Inc. All rights reserved.
Network RFQ to Drive Sourcing
Events Directly from SAP MM or SRM
© 2013 Ariba, Inc. All rights reserved.
Speaker: Florian Seebauer
#AribaLIVE
Network RFQ
Network RFQ’s
• An automated RFQ generated from a backend ERP system like SAP
ECC (MM) and or a Supplier Relationship Management system like
SAP SRM that allows for the Sourcing event to be built and published
in Ariba Sourcing with little to none buyer / project owner actions.
• Suppliers who are either invited as part of the Network RFQ or who
get matched through Ariba Network / Ariba Discovery can provide
their responses through Ariba Sourcing. And the responses are sent
automatically back to the source system like SAP ECC or SAP SRM
with little or no buyer action.
29 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Network RFQ
• RFQ initiated in SAP SRM or MM and sent to Ariba Sourcing via
Ariba Network
Tactical RFQ meant to be run without requiring buyer
interaction in Ariba Sourcing
Document includes Items, Suppliers, and Timings
30 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Network RFQ
• Ariba Sourcing Consumes the information and creates and
publishes the RFQ
If document contains all required information, it publishes
automatically
31 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Network RFQ
• Suppliers can be invited in 3 different ways
Direct invite Suppliers
Invite by Commodity
Open to New Suppliers
– Match on Discovery by Commodity / Location
– Suppliers “self-invite” via Discovery
– Notification sent to event initiator if new
supplier(s) quotes are sent back
32 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Network RFQ
• After the bidding, results are sent back over via Ariba Network
Best Bid
Lead Bid
Awarded Suppliers
33 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Network RFQ
• Ariba Network delivers the results to the initiating backend system
updating pricing
34 © 2013 Ariba, Inc. All rights reserved.
#AribaLIVE
Key Takeaways
• Ariba solutions are complementary to your existing
SAP investments
• Ariba solutions are cloud based solutions that are
easy to deploy onto your existing SAP landscape
• Key Ariba Network solutions for SAP customers to
manage “Analyze to Contract” processes are:
Spend Visibility solution, powered by D&B content
Ariba Discovery
Ariba Sourcing and Network RFQ
Ariba Supplier Information and Performance Management
© 2013 Ariba, Inc. All rights reserved.35
Questions?
© 2013 Ariba, Inc. All rights reserved.
36
#AribaLIVE
Frequently Asked Questions
• Who can use Ariba Discovery?
Any buyer can create an account on Discovery
• Are there any fees associated with Ariba Discovery?
No, Ariba Discovery is free for buyers
© 2013 Ariba, Inc. All rights reserved.37
#AribaLIVE
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© 2013 Ariba, Inc. All rights reserved.38
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Analyze To Manage Ariba Network Solutions for SAP Customers

  • 1. Ariba Network Cloud Solutions for Spend Analytics, Strategic Sourcing and Supplier Management for SAP Customers Speaker: Florian Seebauer and Ceylan Thomson © 2013 Ariba, Inc. All rights reserved.
  • 2. #AribaLIVE The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation and SAP's strategy and possible future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful misconduct or gross negligence. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward- looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions. Legal disclaimer
  • 3. #AribaLIVE Agenda • Introductions • Ariba Network Cloud Innovations for SAP customers Spend Visibility Basic services for SAP Spend Performance Management Integration of D&B content using Ariba Data Enrichment services Ariba Discovery Ariba Sourcing • Key Take-aways • Q&A © 2013 Ariba, Inc. All rights reserved.3
  • 4. Spend Visibility Basic Services for SAP Spend Performance Management © 2013 Ariba, Inc. All rights reserved. Speaker: Florian Seebauer
  • 5. #AribaLIVE © 2013 Ariba, Inc. All rights reserved.5 Contract Compliance Rates* Strategic Sourcing Savings* 62% 6.7% 11.7% 46% Before Spend Analysis After Spend Analysis 44% 59% Spend Under Management * 34% incremental increase in contract compliance rates 75% increase in strategic sourcing savings 34% increase in spend under management *Aberdeen Group : Spend Analysis – Working Too Hard for the Money – 2007 Why do enterprises care about increased Spend Analysis?
  • 6. #AribaLIVE SAP Spend Performance Management Best-in class comprehensive Spend Analytics solution • Extractor Starter Kit (SAP) • SAP BOBJ Data Integrator ETL Tool (Non-SAP) – Included in SPM License • Web based • Self-service data management portal • Aggregated Raw Data Views • Enriched and Classified Views • Analyze Savings Opportunities • Monitor KPIs • Track compliance • Assess Risk Supplier Enrichment • Supplier Normalization/ Rationalization • Parentage • Enrichment: SIC, Credit, Revenue, Bankruptcy, Diversity*, Green* & Risk Ratings* P-Cards GL/AP Supplier data Data Extraction/ Integration Source Systems Powerful, Actionable and Easy to Use! SAP SPM Ariba Spend Visibility Basic for SPM OnDemand Spend Reporting SAP SPM Commodity Classification • Classified via best practice combination of Knowledgebase, Databases & Services • Classification to UNSPSC & Ariba Best Practice Taxonomy • Custom Taxonomy supported Daily Weekly Monthly Quarterly
  • 7. #AribaLIVE SAP Spend Performance Management Data Flow and Responsibilities • As part of SPM Implementation Customers use SPM Extractor Starter Kit or other ETL process to extract data from Source systems • Customers loads the raw data into SPM and upon Validation exports un- enriched (raw) data from SPM Data Management into flat files in SPM Formats and uploads them to Ariba Secured Site. • Customers download the Enriched and Classified data and Loads them into SPM. • Any post Enrichment and Classification process related support will be provided by Ariba PM P-Cards GL/AP Supplier data Data Extraction/ Integration Source Systems Powerful, Actionable and Easy to Use! SAP SPM Ariba Spend Visibility Basic for SPM OnDemand Spend Reporting SAP SPM Daily Weekly Monthly Quarterly • Ariba team will pick up the files, take them through SPM to ADE transformation service, validates the data and runs it through Enrichment and classification service • Results of the service will be validated as per SLA’s agreed with customer, take them through refinement process with customer power user involvement, export results and transform to SPM formats. Customer Responsibility Customer Responsibility Ariba PM Responsibility Customer/Ariba PM Responsibility
  • 8. Find the Right Suppliers with Ariba Discovery © 2013 Ariba, Inc. All rights reserved. Speaker: Ceylan Thomson
  • 9. #AribaLIVE Topics • What is Ariba Discovery and How Does It Work? • Benefits of Ariba Discovery • Where to Access Ariba Discovery © 2013 Ariba, Inc. All rights reserved.9
  • 10. #AribaLIVE 0% 5% 15% 20% 35% 30% 25% 10% Savings vs. Number of Bidders 2 3 4 5 6 7 8 9 10 11 12 13 Number of Participants Source: Ariba Customer Averages 2011; Ariba GSO Services Experience, 2010 AverageSavings Adding additional savings opportunities by inviting more suppliers Typical number of suppliers invited Missed Savings With Few Suppliers © 2013 Ariba, Inc. All rights reserved.11
  • 11. #AribaLIVE 12 Traditional Supplier Identification Resource-IntensivePoor Quality of InformationTime-Consuming Sub-Optimal Trading Partner Decisions © 2013 Ariba, Inc. All rights reserved.
  • 12. #AribaLIVE Introducing: Ariba Discovery • The premier service for matching business buyers and suppliers globally, built on the world’s commerce network © 2013 Ariba, Inc. All rights reserved.13 50 PERCENT OF THE GLOBAL 2000 OVER 3,000 BUYERS Faster, Easier, and Better Supplier Discovery Matching Service
  • 13. #AribaLIVE 14 3 Simple Steps Review proposals2. Describe your needs1. Make selection3. © 2013 Ariba, Inc. All rights reserved.
  • 14. #AribaLIVE 15 Strong Supplier Community Over 730,000 suppliers Across 20,000 categories In more than 190 countries Over 50,000 green and diverse suppliers* 36% have global reach *16,000 Women, 5,000 Veteran, 11,000 Minority, 4,700 Small Disadvantaged, 13,000 Green © 2013 Ariba, Inc. All rights reserved.
  • 15. #AribaLIVE Relevant & Trusted Information Rich Supplier Profiles • Supplier Provided Information ♦ Description ♦ Business Information ♦ Certifications (Green, Diversity) • Ariba Community Information ♦ References ♦ Ratings • Ariba Information ♦ Ariba Commerce Cloud Activity ♦ Advantage designation ♦ Ariba Ready Certification • Objective third-party financial and risk information ♦ Up to 4 types of D&B® financial and risk scores © 2013 Ariba, Inc. All rights reserved.16
  • 16. #AribaLIVE Topics • What is Ariba Discovery and How Does It Work? • Benefits of Ariba Discovery • Where to Access Ariba Discovery © 2013 Ariba, Inc. All rights reserved.17
  • 17. #AribaLIVE 18 Benefits Fast & Easy Interactive Effective Trusted Integrated It’s Free! Save up to 90% time and 75% cost finding and qualifying suppliers Lower your cost by 15%, reduce lead time, and improve quality Communicate with suppliers in real- time, and make better decisions Join other buyers who post over $350B USD per year in business volume Easily bring suppliers into your Ariba Sourcing project from the start Post your buying needs in 10 minutes, and get matched to suppliers at no risk © 2013 Ariba, Inc. All rights reserved.
  • 18. #AribaLIVE 19 Proven Buyer Success Over $5B in business posted annually Over 30K matched suppliers First bids within 24 hours Saving 90% time and 75% cost © 2013 Ariba, Inc. All rights reserved.
  • 19. #AribaLIVE Topics • What is Ariba Discovery and How Does It Work? • Benefits of Ariba Discovery • Where to Access Ariba Discovery © 2013 Ariba, Inc. All rights reserved.20
  • 20. #AribaLIVE Ariba Discovery Home Page © 2013 Ariba, Inc. All rights reserved.21 http://discovery.ariba.com
  • 21. #AribaLIVE Create a Posting 22 © 2013 Ariba, Inc. All rights reserved.
  • 22. Network RFQ to Drive Sourcing Events Directly from SAP MM or SRM © 2013 Ariba, Inc. All rights reserved. Speaker: Florian Seebauer
  • 23. #AribaLIVE Network RFQ Network RFQ’s • An automated RFQ generated from a backend ERP system like SAP ECC (MM) and or a Supplier Relationship Management system like SAP SRM that allows for the Sourcing event to be built and published in Ariba Sourcing with little to none buyer / project owner actions. • Suppliers who are either invited as part of the Network RFQ or who get matched through Ariba Network / Ariba Discovery can provide their responses through Ariba Sourcing. And the responses are sent automatically back to the source system like SAP ECC or SAP SRM with little or no buyer action. 29 © 2013 Ariba, Inc. All rights reserved.
  • 24. #AribaLIVE Network RFQ • RFQ initiated in SAP SRM or MM and sent to Ariba Sourcing via Ariba Network Tactical RFQ meant to be run without requiring buyer interaction in Ariba Sourcing Document includes Items, Suppliers, and Timings 30 © 2013 Ariba, Inc. All rights reserved.
  • 25. #AribaLIVE Network RFQ • Ariba Sourcing Consumes the information and creates and publishes the RFQ If document contains all required information, it publishes automatically 31 © 2013 Ariba, Inc. All rights reserved.
  • 26. #AribaLIVE Network RFQ • Suppliers can be invited in 3 different ways Direct invite Suppliers Invite by Commodity Open to New Suppliers – Match on Discovery by Commodity / Location – Suppliers “self-invite” via Discovery – Notification sent to event initiator if new supplier(s) quotes are sent back 32 © 2013 Ariba, Inc. All rights reserved.
  • 27. #AribaLIVE Network RFQ • After the bidding, results are sent back over via Ariba Network Best Bid Lead Bid Awarded Suppliers 33 © 2013 Ariba, Inc. All rights reserved.
  • 28. #AribaLIVE Network RFQ • Ariba Network delivers the results to the initiating backend system updating pricing 34 © 2013 Ariba, Inc. All rights reserved.
  • 29. #AribaLIVE Key Takeaways • Ariba solutions are complementary to your existing SAP investments • Ariba solutions are cloud based solutions that are easy to deploy onto your existing SAP landscape • Key Ariba Network solutions for SAP customers to manage “Analyze to Contract” processes are: Spend Visibility solution, powered by D&B content Ariba Discovery Ariba Sourcing and Network RFQ Ariba Supplier Information and Performance Management © 2013 Ariba, Inc. All rights reserved.35
  • 30. Questions? © 2013 Ariba, Inc. All rights reserved. 36
  • 31. #AribaLIVE Frequently Asked Questions • Who can use Ariba Discovery? Any buyer can create an account on Discovery • Are there any fees associated with Ariba Discovery? No, Ariba Discovery is free for buyers © 2013 Ariba, Inc. All rights reserved.37
  • 32. #AribaLIVE Please Complete Session Survey © 2013 Ariba, Inc. All rights reserved.38 Find Session in Schedule Click Choose one Rate Session Thank you for joining us Click Survey and Select Breakout Session Survey