the benefits of collaborative business commerce with cargill...
TRANSCRIPT
Cargill Supplier SummitThe Benefits of Collaborative Business Commerce with Cargill
March 2017
Audio is available through your computer speakers or headphones
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2
Agenda
Welcome and Introductions
Overview of Cargill Initiative
Impact and Benefits
Ariba Network
Solutions for Suppliers
Supplier Fees
Tools & Resources
Next steps
Q&A
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 3
Megan GreivesSupplier Communication
Specialist
SAP Ariba
Welcome and Introductions
Linda VeneckNorth America Supplier
Enablement Lead
Program Maestro
Cargill
Drew DorkoNetwork Deployment Lead
SAP Ariba
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 4
Welcome and Introductions
Overview of Cargill Initiative
Impact and Benefits
Ariba Network
Solutions for Suppliers
Supplier Fees
Tools & Resources
Next steps
Q&A
Agenda
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 6
“Program Maestro strives to achieve best-in-class
performance based on industry benchmarks for efficiency
(cost to perform) and effectiveness (adherence to process)
through design and technical enablement of a best
practice source-to-pay process using technology
solutions with a common data foundation.”
Program Maestro
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 7
Welcome and Introductions
Overview of Cargill Initiative
Impact and Benefits
Ariba Network
Solutions for Suppliers
Supplier Fees
Tools & Resources
Next steps
Q&A
Agenda
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 8
The Landscape is Changing
$40 billion in marketing
spend is migrating from print
to online
There are more devices
connected to the Internet than
there are people on Earth
42% of all B2B spend
is electronic
85.3% of buyers go online
to research purchases
Online payments for
e-commerce to reach $31.4B,
growing at 20% per year
Leading companies place 60%
of their orders electronically
through supplier networks
*sources available in appendix
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 9
Where Do I Start?
“It hit so fast that everyone wants to
know what do we do now. How do
we approach this?”
“We are forced to support many
platforms, many “standards””
“We spend hours chasing invoices
and still don’t know when we’ll get
paid”
“Customers demand. We only
have time to react.”
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 10
What If…
…you could track
invoice and payment
status in real time
and accelerate
receivables
…you could get
your products
and services in
front of active
buyers
…you could
streamline
communications and
interactions with
customers
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 11
…fueling operations, connections and
collaborations in a highly scalable, global
and secure environment
Ariba Network
connects people, systems, and
processes between companies to
simplify business commerce…
for collaborative innovation in the
digital economy
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 12
Networked Economy Fueled by Hyperconnectivity
$65 trillionGlobal businesstrade by 20203
2.5 billion Connected people on
social networks by 20201
75 billion Connected devices
by 20202
1. eMarketer Report: "Worldwide Social Network Users: 2013 Forecast and Comparative Estimates
2. Morgan Stanley: 75 Billion Devices Will Be Connected To The Internet Of Things By 2020
3. Source: Catalyst Strategies Analysis
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 13
SAP Ariba Delivers Solutions to Suppliers
• Ariba Discovery™
• Ariba Network
(via catalogs)
FIND buyers
ready to buy
• Ariba Sourcing
and Contracts
• Ariba Network
• Supplier
Integration
ACCELERATE the sales cycle
PREDICT and
APPLY cash
• Ariba Network
• Ariba Supplier
Mobile App
IMPROVEcustomer retention
• Ariba Network (via
invoicing and early
payment discounts)
• AribaPay™
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 14
Supplier
Procure-to-Pay Cycle via Ariba Network
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 15
PO Flip ® - Your Way to Invoice
>> supplier.ariba.com <<
Access your PO via
your Ariba Network
account.
Pre-populate PO
data into the
invoice.
Adjust tax and
shipping
information when
appropriate
Review final
invoice and send
Monitor the real
time invoice status
54321
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 16
Subscription Offerings
Standard
Continues our see-value-first model providing a no-cost service for occasional
transactors and suppliers just getting started
Bronze
Helps suppliers differentiate and build stronger customer relationships with
catalog-driven collaborative commerce
SilverOffers expanded technical support to encourage suppliers to embrace
automation
GoldDelivers complete collaborative commerce optimization –
bundles of tools, services, and support for suppliers utilizing Ariba Network
as a multi-million dollar channel
PlatinumOptimizes collaborative commerce for suppliers utilizing Ariba Network as a
$10M+ channel
Subscription Offerings for Ariba Network Suppliers Differentiate – Grow – Automate
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 17
Supplier Fees
Transaction Fees
Billed every quarter
0.155% of transaction volume
Capped at $20,000/year (per Relationship)
Subscription Fees
Billed once a year
Annual Document Count
Across All Customer Relationships
Subscription Annual Fees
5 to 24 documents Bronze $50
25 to 99 documents Silver $750
100 to 499 documents Gold $2,250
500 and more documents Platinum $5,500
Examples
Volume Subscription Transaction Total Annual
60 documents | $35K Standard - $0 $0 $0
4 documents | $500K Standard - $0 $0 $0
60 documents | $500K Silver - $750 $775 $1525
5 and more documents? More than $50K? Usage
NO NO FREE
YES NO FREE
NO YES FREE
YES YES CHARGEABLE
• FREE for all suppliers to join and begin transacting
• No surcharges for suppliers with multiple divisions or business units
• Documents are considered Purchase Orders, Invoices, Service Entry Sheets, and Service Entry Sheet Responses
• Chargeable suppliers transacting less than 250,000 USD in annual financial volume will be assigned to the Bronze level irrespective of annual document count
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 18
SAP Ariba Supplier Community & Resources
Account Managers for
Strategic Suppliers
Exchange User
Community
Seller Commerce Consulting
Team
24x5 Global Support
Product Investment
Service & Training
Resources
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 19
Catalog Management
• Improve Purchase Order
Accuracy
• Accelerate Responsiveness to
Customers
• Encourage Compliance to
Procurement Processes
• Enhance Cash Flow
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 20
Introducing Ariba DiscoveryTM:
Matching suppliers to buyers that are ready to buy
“I’m looking for . . .” “I can offer that!” “Perfect match!”
US$3 billion+ in postings
20,000+ categories
4,000+ buying organizations
1,000,000+ suppliers
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 21
Seller Integration
Dell Boomi
Pre-built adapters for supported accounting
systems (QuickBooks, Sage 50, Microsoft
Dynamics) – Gold Level
cXML
Most commonly used; Ariba’s native format; direct
connection with automatic validation
( >100 invoices/month) – Silver Level
EDI
(VAN or AS2)
Interface with Ariba through your VAN or using
EDI over the internet
(>500 invoices/year) – Silver Level
SAP Business
OneAdapter for sellers using SAP Business One– Silver Level
SAP SD
Add-On
Free seller add-on for SAP sellers using the Sales
and Distribution Module– Silver Level
CSVPO/INV/OC/ASN
(>20 invoices/month)
According to the Hackett Group,
3.5% of invoices contain errors; this can be
reduced to 1% through B2B process
automation or up to 2.3% via use of e-
invoicing through a portal
Paystream Advisors and the Aberdeen
Group approximates the typical paper
invoice processing cost at $10.54; the costs
for “best in class” organizations drops 50%
to $5.29 per invoice, driven by e-invoicing
and electronic disbursements
Staples and HP see 99.9% customer
retention when they integrate
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 22
SAP Ariba Supplier App
Network Access On-The-Go!
• Confirm Orders
• Track Existing Orders
• Access User Community
Available in the Apple iTunes App Store or
Google Play
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 23
SAP Ariba Strategic Payables
• Apply your cash faster
and more efficiently
with rich remittance
advice
• Enhance your
receivables reporting
Apply Cash
• Access accelerated
payments and on
demand cash flow
• Improve your Days
Sales Outstanding
(DSO)
• Control when you will
be paid
Control Cash Flow
• Gain visibility into
invoice approval
• Track and trace
payment status
• Predict when
payments will be
received
Predict Payment Arrival
Your one stop solution housing all of your receivables needs.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 24
Supplier Information Portal and Exchange User Community
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 25
• Customer Support: http://www.ariba.com/help/ariba-
answers/contact-us/ariba-customer-support-phone-numbers
• (8:00 pm ET Sunday - 8:00 pm ET Friday)
• Enablement Help Desk: 800-974-4899
• (M-F, 8A-5P ET)
• Seller Commerce Consulting Team:
• Live Demos: http://www.ariba.com/resources/live-demo
Additional Resources
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 26
Welcome and Introductions
Overview of Cargill Initiative
Impact and Benefits
Ariba Network
Solutions for suppliers
Supplier Fees
Tools & Resources
Next steps
Q&A
Agenda
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 27
Project Notification
Letter
Attend Supplier Summit
Accept Trading
Relationship Request
Configure Account Go-Live
Next Steps
1 2 3 4 5
Only 2 simple steps to start transacting online...
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 28
Accept Trading Relationship Request Letter3
Currently, you can use Ariba Network's on-demand
solutions with the following certified browser versions:
• Apple Safari 4 -9 (Apple Mac OS)
• Microsoft Internet Explorer 9, 10, and 11 (32 bit)
• Microsoft Edge 25
• Google Chrome 51-53
• Mozilla Firefox 46-48
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 29
4
• Enter your Tax ID Number
• Set up Email Notifications for:
Orders (Order Routing)
Invoices (Invoice Routing)
Configure Your Account
Q&APlease submit your questions using the Q&A Widget
Business-related questions? [email protected]
System-related questions? Requests for [email protected]
Check out our website and our YouTube channel for more information!
http://www.ariba.com/suppliers/ariba-network-for-suppliers
https://www.youtube.com/user/AribaSpendManager/videos
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 34
Benefits sellers gain
FIND BUYERS
READY TO BUY
30% growth in
existing accounts
35% growth in
new business
ACCELERATE THE
SALES CYCLE
75% faster deal
closure
75% order processing
productivity gains via
cXML
80% increase in order
accuracy through
PunchOut
IMPROVE CUSTOMER
RETENTION
15% increase in
customer retention
Up to 99% renewal
rates
PREDICT AND
APPLY CASH
64% reduction in
manual intervention
62% decrease in
late payments
68% improvement in
reconciling payments
© 2015 SAP SE or an SAP affiliate company. All rights reserved. 34
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 35
Here’s what suppliers say
Real-time visibility and
improved cash flow
Invoices paid as
quickly as 4 days
50% higher conversion
rate with 11% increase
in lines per order
Grew existing
account 300%Won new
€500K deals
99% average fill rate with
98% on-time delivery rate
15% increase in
customer retention
Accelerated deal
cycle by 75%
FIND buyers ready to buy ACCELERATE the sales cycle
PREDICT and APPLY cashIMPROVE customer retention
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 36
Supplier Fee Schedule
Transaction Fees
Billed every quarter
0.155% of transaction volume
Capped at €15 500/year (per Relationship)
Subscription Fees
Billed once a year
Annual Document Count
Across All Customer Relationships
Subscription Annual Fees
5 to 24 documents Bronze €45
25 to 99 documents Silver €670
100 to 499 documents Gold €2 000
500 and more documents Platinum €4 900
Examples
Volume Subscription Transaction Total Annual
60 documents | €35K Standard - €0 €0 €0
4 documents | €500K Standard - €0 €0 €0
60 documents | €500K Silver - €670 €775 €1445
5 and more documents? More than €44 600? Usage
NO NO FREE
YES NO FREE
NO YES FREE
YES YES CHARGEABLE
• FREE for all suppliers to join and begin transacting
• No surcharges for suppliers with multiple divisions or business units
• Documents are considered Purchase Orders and Invoices
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 37
Supplier Fee Schedule
Transaction Fees
Billed every quarter
0.155% of transaction volume
Capped at £13 200/year (per Relationship)
Subscription Fees
Billed once a year
Annual Document Count
Across All Customer Relationships
Subscription Annual Fees
5 to 24 documents Bronze £35
25 to 99 documents Silver £500
100 to 499 documents Gold £1,500
500 and more documents Platinum £3,770
Examples
Volume Subscription Transaction Total Annual
60 documents | £30K Standard - £0 £0 £0
4 documents | £500K Standard - £0 £0 £0
60 documents | £500K Silver - £500 £775 £1275
5 and more documents? More than £34,250? Usage
NO NO FREE
YES NO FREE
NO YES FREE
YES YES CHARGEABLE
• FREE for all suppliers to join and begin transacting
• No surcharges for suppliers with multiple divisions or business units
• Documents are considered Purchase Orders and Invoices
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 38
Subscription Level Description
Standard The no-cost Standard subscription level provides the tools you need to manage your key order-to-cash documents on
the Ariba Network. It includes reporting functionality, document repository and status, account administration,
PunchOut and CIF catalogs, and toll-free webform access to Ariba customer support.
Bronze This subscription level offers unlimited proposals and one free response to a buyer RFI/RFQ posting through Ariba
Discovery. Personalized guidance from our supplier commerce consulting team helps you optimize your account
for better collaboration with multiple customers. You get access to collaborative commerce training courses and can
showcase your expertise by displaying digital badges that denote your specific e-commerce capabilities.
Silver You receive two free sales opportunity responses on Ariba Discovery, unlimited use of EDI and cXML-based
integration protocols, and unlimited post-deployment technical support, enabling you to automate the submission
and receipt of order-to-cash documents between your systems and your customers via the Ariba Network.
Gold You receive unlimited free sales opportunity responses through Ariba Discovery. You can reap the benefits of
automated “touchless” transacting with integration adaptors to connect supported accounting systems to Ariba
Network for automated document exchange. Priority access to the supplier commerce consulting team gives you
personalized, expert advice and resources to make the most of your Ariba Network subscription.
Platinum Make collaborative commerce a competitive advantage with extensive connectivity solutions, support, and validation
services that help you provide a fully automated and seamless collaboration. A pass to SAP Ariba Live gives you
access to in-depth e-commerce insights plus exceptional opportunities to network with key prospects and customers.
Subscriptions Overview
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 39
FAQ
Q: Why is my buyer asking suppliers to transact with them electronically?
A: Your buyer wishes to move away from conducting commerce via hard copy and manually transmitted purchase
orders, change orders, advance ship notices, invoices and more. Your buyer has selected the Ariba Network
as the preferred platform for sending documents such as these.
Q: What infrastructure do I need to use the Ariba Network?
A: A regular Internet connection and a web browser are the only requirements.
Q: How do I register on the Ariba Network?
A: Ariba and your buyer are contacting suppliers in phases during the rollout and will send you a Trading
Relationship Request Letter when is it time to convert to the new process. This letter will explain how to register
on the Ariba Network and the steps to take to create your account.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 40
FAQ
Q: What do I need to know when transacting with my buyer through the Ariba Network?
A: It is important to review the information, training materials, and reference documents provided on your buyer’s
Supplier Information Portal. To access the Supplier Information Portal:
• Log into your Ariba Network account at https://supplier.ariba.com
• From the Administrator drop-down menu, select Customer Relationships
• Locate your buyer and click the Supplier Information Portal link next to their name
Q: What if I don’t want to participate?
A: Your buyer is committed to the success of this initiative and is working hard to make the transition as seamless
for suppliers as possible. Suppliers that are asked to participate are considered strategic for ongoing business
and are thus expected to comply with this process change as a requirement for continuing the relationship.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 41
FAQ
Q: How secure is the Ariba Network?
A: The Ariba Network uses Secure Hypertex Transfer Protocol (HTTPS) for all communication between
procurement applications, suppliers, and the Ariba Network. HTTPS is the standard for secure Internet
communication and uses Secure Socket Layer (SSL) with RSA Labs encryption. Additionally, accounts on the
Ariba Network are password protected.
Q: What do I do with paper invoices that have already been printed or sent to the buyer?
A: Until any testing is complete and you have been notified to begin sending “live” invoices through your Ariba
Network production account, you will continue to submit invoices the same way you have done so previously.
Q: What if I have more questions about registration, account navigation or how to use Ariba solutions and
services?
A: Simply contact Ariba Customer Support. Support is available in multiple languages via live chat, webform and
phone. In your account, click on Help/Help Center, click Support Center in the right-hand column and then
follow directions to reach support resources or personnel.
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 42
Welcome letter from your customer
Trading Relationship
Request Letter Sent to
Your email
Landing Page
Open the Invitation Letter that you received at
your email address from
scroll to the section Action Required and click
on the link Click here to proceed. You will
be redirected to the landing page
In case you did not receive the letter, please
check your spam folder and enable
[email protected] as a
trusted resource
Two Possibilities:
First Time User – select Register
Now to start the registration and create
a new Ariba Network Account
Existing User – log in using you
current Ariba username and password
in order to accept the relationship
1
2
1 2
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 43
Registration: Basic Company Information
Please fill in all fields marked required
with an asterisk.
Once this section is complete, please
scroll to the bottom of the page to the
next section
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 46
Configure Order Routing
On your Order Routing Screen,
select how you would like to
receive your Purchase Orders from
your Customers
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 48
Logging In
http://supplier.ariba.com/
© 2016 SAP SE or an SAP affiliate company. All rights reserved. 49
Landscape is Changing Sources
1. “85.3% of buyers go online to research purchases.” - Enquiro B2B survey
2. “There are more devices connected to the Internet than there are people on Earth” -
The Social Skinny
3. “Online payments for ecommerce to reach $31.4B, growing at 20% per year” - -World
Payments Report 2012 from Capgemini, RBS and Efma
4. “Leading companies place 60% of their orders electronically through supplier
networks” - Aberdeen Research “Supplier Networks v.2.0 – A Look At Commerce In the Cloud“
– 2012
5. “$40 Billion in marketing spend is migrating from print to online” - eMarketer