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Top Ways to Build a Successful Supplier Management Initiative Sundar Kamakshisundaram - Ariba Madison Goodwin - HP Alan Harrah - Pentair Jennifer Roberts - Sonoco Products Aarika Andrews - Ariba GSO © 2011 Ariba, Inc. All rights reserved.
Agenda ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Typical Business Requirements for Supplier Management © 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Supplier  Portals Vendor Master Management Risk  Management Diversity/Green/ Corporate Responsibility Registration & On-boarding Process Performance Management Supplier Management Supplier  Discovery
Top Ways to Build a Successful Supplier Management Initiative Madison Goodwin Manager – eSourcing and Supplier Management HP © 2011 Ariba, Inc. All rights reserved.
Agenda ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
TODAY HP IS THE LARGEST TECHNOLOGY COMPANY IN THE WORLD—COMMITTED TO USING OUR PRODUCTS AND SERVICES TO UNLEASH NEW POSSIBILITIES AND HAVE A MEANINGFUL IMPACT ON BUSINESS AND LIFE © 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Global Procurement ,[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.  Technology  Contract Labor Business  Services Marketing  Print Travel & Meetings Logistics Hardware Software Telecom
Current Ariba Footprint © 2011 Ariba, Inc. All rights reserved.  Dashboard Supplier Ariba Network Identify Opportunity Develop Strategy Source and Negotiate Contract  and Procure Invoice  and Pay Monitor and Manage Ariba Platform eForms Supplier Ariba  Invoice Ariba Sourcing Ariba Contract Compliance Ariba Buyer 9r1 Ariba Contract Workbench Ariba Category Procurement Ariba Category Management Ariba SPM Ariba Analysis Ariba Data Enrichment ERP ERP ERP Currently deployed Planned
Supplier Management Lifecycle © 2011 Ariba, Inc. All rights reserved.
Supplier Performance Management © 2011 Ariba, Inc. All rights reserved.  Supplier of the Year Eligibility (SOYA) demands excellence across these key areas ,[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]
GP’s Implementation of SC-SER ,[object Object],© 2011 Ariba, Inc. All rights reserved.  SC-SER Policy Audit Validation Corrective Action Assessment Reporting Capability Building GP Sourcing GP Contracting GP Supplier Performance Management ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Strategic Supplier Development A segmented and prioritized approach to developing  our supplier relationships © 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object]
Top Ways to Build a Successful Supplier Management Initiative Jennifer Roberts Sonoco © 2011 Ariba, Inc. All rights reserved.
Sonoco Overview © 2011 Ariba, Inc. All rights reserved.  Consumer Packaging Flexible Packaging Rigid Paper  Ends and Closures Rigid Plastic Packaging Services Service Centers Point-of-Purchase Global Tubes and Cores Protective Packaging Industrial Products
Program History ,[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.
Key Lessons Learned ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Pentair’s Journey to Building Supplier Performance Management… Alan Harrah VP Supply Chain Excellence Pentair © 2011 Ariba, Inc. All rights reserved.
Pentair Overview ,[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.
Pentair – Over 50 Well-Known Brands © 2011 Ariba, Inc. All rights reserved.
Ariba Roadmap Sourcing  Professional Project management of Sourcing Process for e-RFx and  e-Auctions across Pentair globally Spend Visibility Suppliers Normalized Spend Enrichment ERP Data Feed Connections GBU/Supplier Spend Validation Supplier Info & Perf Mgmt Scorecard Framework Data Availability & Integration Supplier Questionnaire Supplier Pilots (TP, Pool, Indirect) Contracts  Professional Effective, ongoing    Contract Mgmt and  Compliance activity Procure-to-Pay  Transform Indirect and  Select Direct with easy, Electronic desktop tools  Drive supplier    development through Scorecards, Trends,  and Action Plans June  2009 June  2010 2012 Fast Track Services  Quick Win Opportunity Execution on 4 key sourcing projects  Optional Phase 3 Phase  2 Phase  1 Sept  2009 Jan  2011 Perform spend analysis and commodity  profiling to develop commodity strategies  and ongoing category spend management Commodity Validation  Custom Taxonomy GBU Validation Refinement Rules Opportunity Analysis Automation Data Validation Perf Surveys Registration Global Rollout Assessment Process Benchmark RFI / RFP Business Case 2013 Today
Supplier Performance  Management Vision ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Global consistency and automation are key to success © 2011 Ariba, Inc. All rights reserved.
Supplier Performance Management Fundamentals ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Four key workstreams that are critical to success © 2011 Ariba, Inc. All rights reserved.
Scorecard Framework © 2011 Ariba, Inc. All rights reserved.  Direct Material  KPIs (monthly, automated) Indirect Materials & Services KPIs (semi-annual, survey) Important to measure Direct and Indirect suppliers appropriately
Supplier Scorecard Example – Direct Materials Monthly Developed custom visual scorecard that Ariba sends to each supplier © 2011 Ariba, Inc. All rights reserved.
Challenges/Lessons Learned thus Far… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Try to build team with subject matter expertise and open-minded individuals © 2011 Ariba, Inc. All rights reserved.
Building a Successful Supplier Management Initiative Aarika Andrews Ariba © 2011 Ariba, Inc. All rights reserved.
Typical Objectives of Supplier Management ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.
Tips for Success ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object]
Tips for Success ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object],[object Object]
Deployment Considerations ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],© 2011 Ariba, Inc. All rights reserved.  ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Questions © 2011 Ariba, Inc. All rights reserved.
“Safe Harbor” and Confidential Information Statement ,[object Object],© 2011 Ariba, Inc. All rights reserved.
Top Ways to Build a Successful Supplier Management Initiative Sundar Kamakshisundaram - Ariba Madison Goodwin - HP Alan Harrah - Pentair Jennifer Roberts - Sonoco Products Aarika Andrews - Ariba GSO © 2011 Ariba, Inc. All rights reserved.

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Top Ways to Build a Successful Supplier Management Initiative

  • 1. Top Ways to Build a Successful Supplier Management Initiative Sundar Kamakshisundaram - Ariba Madison Goodwin - HP Alan Harrah - Pentair Jennifer Roberts - Sonoco Products Aarika Andrews - Ariba GSO © 2011 Ariba, Inc. All rights reserved.
  • 2.
  • 3.
  • 4. Top Ways to Build a Successful Supplier Management Initiative Madison Goodwin Manager – eSourcing and Supplier Management HP © 2011 Ariba, Inc. All rights reserved.
  • 5.
  • 6.
  • 7.
  • 8. Current Ariba Footprint © 2011 Ariba, Inc. All rights reserved. Dashboard Supplier Ariba Network Identify Opportunity Develop Strategy Source and Negotiate Contract and Procure Invoice and Pay Monitor and Manage Ariba Platform eForms Supplier Ariba Invoice Ariba Sourcing Ariba Contract Compliance Ariba Buyer 9r1 Ariba Contract Workbench Ariba Category Procurement Ariba Category Management Ariba SPM Ariba Analysis Ariba Data Enrichment ERP ERP ERP Currently deployed Planned
  • 9. Supplier Management Lifecycle © 2011 Ariba, Inc. All rights reserved.
  • 10.
  • 11.
  • 12.
  • 13. Top Ways to Build a Successful Supplier Management Initiative Jennifer Roberts Sonoco © 2011 Ariba, Inc. All rights reserved.
  • 14. Sonoco Overview © 2011 Ariba, Inc. All rights reserved. Consumer Packaging Flexible Packaging Rigid Paper Ends and Closures Rigid Plastic Packaging Services Service Centers Point-of-Purchase Global Tubes and Cores Protective Packaging Industrial Products
  • 15.
  • 16.
  • 17. Pentair’s Journey to Building Supplier Performance Management… Alan Harrah VP Supply Chain Excellence Pentair © 2011 Ariba, Inc. All rights reserved.
  • 18.
  • 19. Pentair – Over 50 Well-Known Brands © 2011 Ariba, Inc. All rights reserved.
  • 20. Ariba Roadmap Sourcing Professional Project management of Sourcing Process for e-RFx and e-Auctions across Pentair globally Spend Visibility Suppliers Normalized Spend Enrichment ERP Data Feed Connections GBU/Supplier Spend Validation Supplier Info & Perf Mgmt Scorecard Framework Data Availability & Integration Supplier Questionnaire Supplier Pilots (TP, Pool, Indirect) Contracts Professional Effective, ongoing Contract Mgmt and Compliance activity Procure-to-Pay Transform Indirect and Select Direct with easy, Electronic desktop tools Drive supplier development through Scorecards, Trends, and Action Plans June 2009 June 2010 2012 Fast Track Services Quick Win Opportunity Execution on 4 key sourcing projects Optional Phase 3 Phase 2 Phase 1 Sept 2009 Jan 2011 Perform spend analysis and commodity profiling to develop commodity strategies and ongoing category spend management Commodity Validation Custom Taxonomy GBU Validation Refinement Rules Opportunity Analysis Automation Data Validation Perf Surveys Registration Global Rollout Assessment Process Benchmark RFI / RFP Business Case 2013 Today
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  • 23. Scorecard Framework © 2011 Ariba, Inc. All rights reserved. Direct Material KPIs (monthly, automated) Indirect Materials & Services KPIs (semi-annual, survey) Important to measure Direct and Indirect suppliers appropriately
  • 24. Supplier Scorecard Example – Direct Materials Monthly Developed custom visual scorecard that Ariba sends to each supplier © 2011 Ariba, Inc. All rights reserved.
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  • 26. Building a Successful Supplier Management Initiative Aarika Andrews Ariba © 2011 Ariba, Inc. All rights reserved.
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  • 31. Questions © 2011 Ariba, Inc. All rights reserved.
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  • 33. Top Ways to Build a Successful Supplier Management Initiative Sundar Kamakshisundaram - Ariba Madison Goodwin - HP Alan Harrah - Pentair Jennifer Roberts - Sonoco Products Aarika Andrews - Ariba GSO © 2011 Ariba, Inc. All rights reserved.