SAP Business Suite Value ScenariosPartnership to deliver “Integrated Sourcing and Procurement”

Derek BealDirector of Procurement Application SolutionsWipro11 May 2009

About Wipro Technologies

Wipro Technologies (NYSE: WIT), is a global provider of Enterprise and Technology Software Services.

Comprises a software services practice growing at a CAGR of more than 60% over the last five years.

We have a worldwide pool of more than 18000 highly skilled professionals with a sophisticated mix of technical and managerial skills.

These professionals deliver software solutions to 200+ clients in 38 countries globally.

55+ ‘Centers of Excellence’ that create solutions around specific needs of industries.

The largest independent R&D Services provider in the world.

Only Indian company to be ranked among the top 10 global outsourcing providers in IAOP's 2006 Global Outsourcing 100 listing

SAP Pinnacle Award recipient – 2008 – Netweaver/SDN #1 Contributor

About Wipro Technologies

Asia Pacific (7)Japan - YokohamaIndia - Bangalore (HQ)China SingaporeAustraliaTaiwanUAE

Europe (11)Finland FranceItaly Germany (3)Sweden Switzerland The Netherlands United Kingdom(2)

Development centers (46)

Sales offices

EuropeReading

Hanninge

Tampere

Kiel

Munich

Dusseldorf

Bucharest

Stockholm

Helsinki

Asia-PacificBangalore (13)

Chennai (3)

Pune (2)

Kolkata

Delhi (4)

Hyderabad (4)

Mumbai (2)

Beijing

Shanghai

Yokohama

North America (27)USA – West Paradise Valley, AZMountain View, CA (HQ)San Francisco, CASan Diego, CAPortland, ORSeattle, WAReston, WABellevue, WAUSA - CentralDenver, COBloomington, MNOlathe, KSDallas, TXHouston, TXIndianapolis, INSt Louis, MODetroit, MIColumbus, OHChicago, ILUSA - EastE Brunswick, NJWoodbury, NYNorwalk, CTTarpon Springs, FLCary, NCNewton, MAAtlanta, GAHaverhill, MA CANADAWindsor, Ontario

South AmericaCuritiba, Brazil

North AmericaBoston

Chicago

Dallas

Seattle

Windsor

Wipro’s client base includes many of the top Fortune 500 companies. Wipro has a strong tradition of commitment to quality that ensures continuous improvement in organization-wide processes. Wipro’s flagship Mission Quality initiative is currently the Six-Sigma defect reduction program. Wipro is the first Software Services organization in the world to be assessed at SEI CMMi Level 5.

Relationship with SAP

Wipro has a National Implementation Partnership (NIP) with SAP under the ValueNet™Implementation partner program, to implement mySAP.com™ suite of solutions.

Wipro is among the small select Global Partners (16) and one of four to participate in the Value Scenarios. Wipro is the only Global Partner involved with Integrated Sourcing and Procurement given our depth and experience.

Our experience dates back to the beginning of SRM when SAP Markets introduced the Enterprise Buyer Professional giving Wipro depth and understanding the Procurement and Sourcing product lifecycle.

This alliance is a key force behind the group's focus on building expertise across the mySAP.com (including the new generation applications), and in providing strong sustenance capabilities for your existing SAP systems.

We demonstrate commitment to providing higher quality and faster time-to-market solutions to our customers for SAP implementation services.

This is reflected in the investment in ASAP™ methodology training, vertical template creation and evolution of industry best practices for SAP implementation at our SAP CoE (Centers of Excellence).

Wipro is a leading SAP Partner worldwide that is adequately geared up to provide end-to-end consulting and support services on SRM across multiple packaged applications

The Wipro value-addsRobust capabilities in the end-to-end Sourcing, Contract Management, Procurement and Spend Analytics domain Thought leadership in the SRM domain for appropriate Go-To-Market positioning Application enrichment: SRM, eSourcing, Contract Mgt, Invoicing, SSAJoint invent/ define/ development engagements for developing product roadmapComplete application validation (functional/ technical): Suggestions for enhancements based on industry best practices and customer experienceFaster product market success

“One Partnership” with SAP Integrated Sourcing & Procurement

Strategic Relation with SAPWipro is SAP’s Global Services PartnerWinner of SAP Pinnacle Award 2007 for Software Solution Leadership350 + projects, Across 30 countries150 of Fortune 500 are Wipro SAP customers

Wipro - SAP Relationship: Value Scenario

Confidential © Copyright 2008 Wipro Ltd

GOAL: Integrated Sourcing and Procurement

Achieve Economies of Scale from Business Suite 7.0

Unleash existing capabilities SRM procurement and E-Sourcing functionality

Lower the costs to source for supply

Lower consulting costs and project timelines with Speed 2 Market

Improve Business Process ties into best in class corporate initiative

Manage spend better, consolidation, enforce pricing

Generate cost savings

Reduce operational costs

Improve compliance

Reduce supply risk

Accelerate decisions

Cost Savings

Year 1 Year 2 Year 3 Year 4

Integrated Sourcing and Procurement with SAPMaximize cost savings by fully integrating Source To Pay

Closing The Loop Between Sourcing and ProcurementSustainable savings can only be achieved by closing the loop between the strategic sourcing cycle and the procurement order cycle

Identify Savings

NegotiateSavings

DeliverSavings

CPO

Spend Analysis Operational Procurement Spend AnalysisStrategic Sourcing

Cost Savings

KPIs

Negotiated Cost savings

KPIs

Negotiated Cost savings

KPIs

Operating costOperating cycle-timeProductivityCompliance with Contracts

KPIs

Cost savingsCost of purchaseProfitability

KPIs

Cost savingsCost of purchaseProfitability

The business value from procurement is typically generated in the strategic sourcing cycle and then delivered in the procurement order cycle

CaptureSavings

Contract Life-cycleManagement

© SAP 2007 / Page 9

Sourcing and Procurement Key Performance Metrics

0 20 40 60 80 100

56%

36%

On ContractSpend

11%

4%

Identified Savings

0 2 4 6 8 10 12

10%

4%

RealizedSavings

0 2 4 6 8 10 12

TopPerformingCompanies

OtherCompanies

TopPerformingCompanies

OtherCompanies

TopPerformingCompanies

OtherCompanies

TopPerformingCompanies

OtherCompanies

Significant Difference in Performance Between Top Performing and Other Companies

64% Identify as a Top 5 KPI

72% Identify as their Highest Initiative

55% Measureas their #1 KPI56% Rigorously

Track Performance

Effectiveness: Return on Assets

0 20 40 60 80 100

39%

67%

Spend Under Management

Effectiveness: Return on Assets

0 20 40 60 80 100

39%

67%

Spend Under Management

Source: Aberdeen, CPO RisingMarch 2007 and CPO Agenda, March 2008

Integrated Sourcing and ProcurementKey Stakeholders & Objectives

Strategic Sourcing Contract ManagementSpend Analytics

CPO

CPOCPOCPO

How do I maximize cost savings?

How do I enable complete visibility into spend?

How do I avoid to miss savings opportunities?

How do I avoid savings leakage?

Percentage of total spend under management

Amount and percentage of identified savings opportunities

Increase savings opportunities

Maximize negotiated savings

Ensure contract compliance

Reduce operational costs

Percentage of sourcing projects captured in the system

Amount and percentage of negotiated savings

Sourcing cycle-time

Amount and percentage of captured cost savings in contracts

Percentage of compliant transactions with contracts

Contract creation cycle-time

How do I deliver highly efficient procurement operations?

Operational Procurement

CPO

Procurement operating cost as % of revenue

Amount and percentage of savings realized

Percentage of compliant transactions with contracts

Procurement productivity

Sustainable savings in procurement can be realized only by closing the loop between your strategic sourcing activities and your procurement order cycle

Integrated Sourcing and ProcurementEnd to End Process

Strategic Sourcing Contract ManagementSpend Analytics

CPOCPOCPO

CPO

Integrated Sourcing and Procurement connects Spend Analytics, Strategic Sourcing, Contract Management and Operational Procurement to sustain savings

Operational Procurement

CPO

Strategic Purchasing

Operational Purchasing

Supplier

Contract Negotiation

Key Supplier Contact

Head of Procurement

Head of Procurement

Head of Demanding Unit

Category Strategy Planning

Consolidated Spend

Reporting

Buyer Compliance Reporting

Supplier Management

Self-Registration

and Data Administration

Create and Submit Bids

Bid Evaluation

and Awarding

Supplier Evaluation

and Onboarding

Demanding Unit

Business Unit

Compliance Reporting

Purchasing Policy and

Compliance Analysis

RFX Preparation

and Processing

Template and Clause

Library

Contract Repository

Contract Execution

Contract Negotiation

Supplier Compliance

Analysis

Source Assignment

Demand Planning and

Creation

Financial Settlement

Purchase Order

Processing

Goods and Service

Confirmation

Order Collaboration Service Entry Invoice

Collaboration

Integrated Sourcing and ProcurementProcess Flow

Spend Spend AnalyticsAnalytics

EE--SourcingSourcingProject MgtProject Mgt EE--SourcingSourcing MMMM--PURPUR

Process SourcingEvent

Award Supplier andInitiate Contract

Creation

Spend DataAnalytics

Project StatusReview

Initiate Sourcing Event

StoreMaster Agreement

CreateOperational Contract

LeverageOperational Contract

in Purchase Order

Post Goods Receipt and Invoice

Check Savings in Spend Data

Analytics

Bid Submission

Bid Analysis & Evaluation

WIN-WIN-WIN: Customer, Implementation Partner and SAP all benefit from experiences and knowledge to continue driving World Class solutions

Decrease in Go to MarketAccelerators jointly built by SAP and WiproImplementation Briefcase

Decrease in Cost InnovationBest Practices are preconfigured in the COELeverage Wipro sandbox during Blueprint and TrainingNative integrated Analyze to Pay solution across the business functionsEnables better decision-making and reduces latencyReduces TCO

Direct access to SAP Solution Management via Wipro!

Evolution of Innovation enhances with each software release

Why take interest? SPEED 2 MARKET!

Confidential © Copyright 2008 Wipro Ltd

Taking the hard work out of it!

Compiled customer feedback with what works best, at par and needs improvement

Compiled “wish lists” to identify upcoming trends and designed a process to prioritize based on weight and ranking from our base SAP customers

Identified common functional usage & mapped business processes to Value Scenarios

Configured Test Environments based on Value Scenarios and tested

Suggested recommendations to SAP Solution Management for enhancement and started integrated testing with other applications

Monitored functional behaviors to ensure expected results were achieved

Configuration steps were documented “step by step” to activate Value Scenarios in Solution Manager

Bundled in Business Suite 7.0 with implementation tools (i.e. Implementation Briefcase)

Procurement and Sourcing Center of Excellence for customers was setup to educate and train field consultants

Value Scenario - Learnings

Early Insight into the “spirit” of the E-Sourcing, CLM and SRM products

Better Understanding of new functionalities introduced as part of the Business Suite 7.0

Enhanced our understanding in how SAP AG is structured to allow Wipro to be more effective in advocating on behalf of our customers

Combined learning with the Solution Management and Wipro Consultants to work the problem and deliver a Best Practice solution together

The “competitive drive” from SAP Solution Management to make a better and meaningful solution for the market for customers to accelerate business value

The flexibility and openness to not only Receive but to Implementfeedback on the various functionalities as per the market trends from our customers

© SAP 2009 / Page 16

Thank you!

© SAP 2009 / Page 17

Copyright 2007 SAP AGAll rights reserved

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice.Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors.SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver, Duet, Business ByDesign, ByDesign, PartnerEdge and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned and associated logos displayed are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary.

The information in this document is proprietary to SAP. This document is a preliminary version and not subject to your license agreement or any other agreement with SAP. This document contains only intended strategies, developments, and functionalities of the SAP® product and is not intended to be binding upon SAP to any particular course of business, product strategy, and/or development. SAP assumes no responsibility for errors or omissions in this document. SAP does not warrant the accuracy or completeness of the information, text, graphics, links, or other items contained within this material. 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.SAP shall have no liability for damages of any kind including without limitation direct, special, indirect, or consequential damages that may result from the use of these materials. This limitation shall not apply in cases of intent or gross negligence.The statutory liability for personal injury and defective products is not affected. SAP has no control over the information that you may access through the use of hot links contained in these materials and does not endorse your use of third-party Web pages nor provide any warranty whatsoever relating to third-party Web pages

Weitergabe und Vervielfältigung dieser Publikation oder von Teilen daraus sind, zu welchem Zweck und in welcher Form auch immer, ohne die ausdrückliche schriftliche Genehmigung durch SAP AG nicht gestattet. In dieser Publikation enthaltene Informationen können ohne vorherige Ankündigung geändert werden.Einige von der SAP AG und deren Vertriebspartnern vertriebene Softwareprodukte können Softwarekomponenten umfassen, die Eigentum anderer Softwarehersteller sind.SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver, Duet, Business ByDesign, ByDesign, PartnerEdge und andere in diesem Dokument erwähnte SAP-Produkte und Services sowie die dazugehörigen Logos sind Marken oder eingetragene Marken der SAP AG in Deutschland und in mehreren anderen Ländern weltweit. Alle anderen in diesem Dokument erwähnten Namen von Produkten und Services sowie die damit verbundenen Firmenlogos sind Marken der jeweiligen Unternehmen. Die Angaben im Text sind unverbindlich und dienen lediglich zu Informationszwecken. Produkte können länderspezifische Unterschiede aufweisen.

Die in diesem Dokument enthaltenen Informationen sind Eigentum von SAP. Dieses Dokument ist eine Vorabversion und unterliegt nicht Ihrer Lizenzvereinbarung oder einer anderen Vereinbarung mit SAP. Dieses Dokument enthält nur vorgesehene Strategien, Entwicklungen und Funktionen des SAP®-Produkts und ist für SAP nicht bindend, einen bestimmten Geschäftsweg, eine Produktstrategie bzw. -entwicklung einzuschlagen. SAP übernimmt keine Verantwortung für Fehler oder Auslassungen in diesen Materialien. SAP garantiert nicht die Richtigkeit oder Vollständigkeit der Informationen, Texte, Grafiken, Links oder anderer in diesen Materialien enthaltenen Elemente. Diese Publikation wird ohne jegliche Gewähr, weder ausdrücklich noch stillschweigend, bereitgestellt. Dies gilt u. a., aber nicht ausschließlich, hinsichtlich der Gewährleistung der Marktgängigkeit und der Eignung für einen bestimmten Zweck sowie für die Gewährleistung der Nichtverletzung geltenden Rechts.SAP übernimmt keine Haftung für Schäden jeglicher Art, einschließlich und ohne Einschränkung für direkte, spezielle, indirekte oder Folgeschäden im Zusammenhang mit der Verwendung dieser Unterlagen. Diese Einschränkung gilt nicht bei Vorsatz oder grober Fahrlässigkeit.Die gesetzliche Haftung bei Personenschäden oder die Produkthaftung bleibt unberührt. Die Informationen, auf die Sie möglicherweise über die in diesem Material enthaltenen Hotlinks zugreifen, unterliegen nicht dem Einfluss von SAP, und SAP unterstützt nicht die Nutzung von Internetseiten Dritter durch Sie und gibt keinerlei Gewährleistungen oder Zusagen über Internetseiten Dritter ab.Alle Rechte vorbehalten.