Increasing Accuracy and Efficiency Through Seamless Integration

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


What is B2B Integration?

automated machine-to-machine

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


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


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


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%

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

• Demonstration


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


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


Dell Prefers PunchOut


Topics

• Demonstration


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


Sallie Mae’s View – Why B2B?

Standardized Lower
Business Operational
Processes Costs

Improved Consistent User
Efficiencies Experience


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


Sallie Mae Benefits

• B2B Integration
Business Automation
Shopping Experience
Increased Order Accuracy

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


Sallie Mae/Dell Success Story

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


Sallie Mae B2B Roadmap

• Expansion
• Targeting Suppliers
• Electronic Invoicing


ARIBA LIVE 2012
Questions
Questions

• Contact Information:
Jeremy.Donaldson@salliemae.com


Topics

• Demonstration


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


1) Sallie Mae Invites Dell to
Transact Over the Ariba Network


2) Dell Accepts the Invitation


Seller View

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


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.

Buyer View

Sallie Mae
receives an
confirming email
once Dell
accepts


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


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


5) Sallie Mae Employee Buys
Equipment from Dell Using PunchOut


Sallie Mae PunchOut PO to Dell

• From Sallie Mae’s Spend Management Application


Buyer View

Dell Confidential
1/09/2003

Sallie Mae PunchOut PO to Dell

• From Sallie Mae Ariba Network Buyer Account


6) Dell Receives the Order

• From Dell Ariba Network Supplier Account


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