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[object Object],MADE TO TRADE . Mikhail Sklyarov Head of finance division METRO Cash & Carry Russia
METRO Group structure at a glance MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
METRO Cash & Carry Russia MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Key facts: Operative: Sales 2009, EUR Employees Stores 52 13.000 2.6 bn 2001
Content MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
1-3 thousand hectares of forest is cut each year to produce paper for VAT invoices MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010
[object Object],[object Object],[object Object],MCC RU store 60 million pages of VAT invoices per year MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010
Comparison of e-invoice and paper process MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 ERP system Invoice Documents  receiving EDI invoice EDI provider ERP system EDI invoice ERP system ERP system Retail company Supplier Invoice control Paper Process Retail company Supplier EDI Process
Benefits of e-invoice MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Paper invoice E-invoice Document delivery - + Lost paper invoices - ++ Invoice entry - ++ Invoice check and approval -  + Time for invoice processing - ++ Invoice storage - ++ Master data quality - ++ Investment + -
Cost comparison for invoice processing MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010
MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 ,[object Object],[object Object],[object Object],[object Object],[object Object],Government Electronic document flow implementation will bring significant benefits both for business and for Government:
EDI advantages MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Electronic document flow implementation will bring significant benefits both for business and for Government: Business ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Content MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
EDI is a standard of electronic message exchange between supplier and retailer MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 ORDERS – Electronic order RECADV – Confirmation of delivery DESADV – Dispatch advice INVOIC – E-invoice * Together with paper 90% 30% 2%* 30% EDI Provider
Content MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
Country rollout of EDI Invoice MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 RU TR PL DE HU FR PT ES  BE UA Germany Live 01/1989 France Live 12/2005 Belgium Live 12/2005 Hungary  Live 10/2007 Russia Live 07/2009 Portugal Test 01/2008 Live 02/2010 Spain Test 11/2008 Live 01/2010 Turkey in progress Poland in progress
EDI invoice implementation in Russia (in parallel with paper) ,[object Object],MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Current status:  63 suppliers are in production, another 600 suppliers are in test including Kraft foods, Nestle, WBD. Target 2010:  receive 5% of the invoices by EDI
EDI process together with paper MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Paper invoice Supplier Retail chain Invoice payment Input of total data Goods receiving data Store EDI invoice Paper invoice Reconciliation of EDI and paper invoice Archive
Legislation is still an open issue MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 From legislation point of view E-invoice = Paper invoice Make amendments to article 169 of Tax code Make amendments to accounting law
E-invoice pilot with provider Taxcom ,[object Object],[object Object],[object Object],[object Object],MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 E-invoice format remained an open issue
E-invoice format should be EDI compatible  to be integrated in EDI process MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 ORDERS –  Electronic order DESADV –  Dispatch advice RECADV –  Confirmation of delivery INVOIC – E-invoice
Content MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
Summary ,[object Object],[object Object],[object Object],MADE TO TRADE.  Mikhail Sklyarov: June 2010 | © METRO AG 2010

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Mikhail sklyarov. metro c&c

  • 1.
  • 2.
  • 3. METRO Cash & Carry Russia MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Key facts: Operative: Sales 2009, EUR Employees Stores 52 13.000 2.6 bn 2001
  • 4. Content MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
  • 5. 1-3 thousand hectares of forest is cut each year to produce paper for VAT invoices MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010
  • 6.
  • 7. Comparison of e-invoice and paper process MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 ERP system Invoice Documents receiving EDI invoice EDI provider ERP system EDI invoice ERP system ERP system Retail company Supplier Invoice control Paper Process Retail company Supplier EDI Process
  • 8. Benefits of e-invoice MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Paper invoice E-invoice Document delivery - + Lost paper invoices - ++ Invoice entry - ++ Invoice check and approval - + Time for invoice processing - ++ Invoice storage - ++ Master data quality - ++ Investment + -
  • 9. Cost comparison for invoice processing MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010
  • 10.
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  • 12. Content MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
  • 13. EDI is a standard of electronic message exchange between supplier and retailer MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 ORDERS – Electronic order RECADV – Confirmation of delivery DESADV – Dispatch advice INVOIC – E-invoice * Together with paper 90% 30% 2%* 30% EDI Provider
  • 14. Content MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
  • 15. Country rollout of EDI Invoice MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 RU TR PL DE HU FR PT ES BE UA Germany Live 01/1989 France Live 12/2005 Belgium Live 12/2005 Hungary Live 10/2007 Russia Live 07/2009 Portugal Test 01/2008 Live 02/2010 Spain Test 11/2008 Live 01/2010 Turkey in progress Poland in progress
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  • 17. EDI process together with paper MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Paper invoice Supplier Retail chain Invoice payment Input of total data Goods receiving data Store EDI invoice Paper invoice Reconciliation of EDI and paper invoice Archive
  • 18. Legislation is still an open issue MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 From legislation point of view E-invoice = Paper invoice Make amendments to article 169 of Tax code Make amendments to accounting law
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  • 20. E-invoice format should be EDI compatible to be integrated in EDI process MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 ORDERS – Electronic order DESADV – Dispatch advice RECADV – Confirmation of delivery INVOIC – E-invoice
  • 21. Content MADE TO TRADE. Mikhail Sklyarov: June 2010 | © METRO AG 2010 Implementation of e-invoice 1 Benefits of e-invoice 2 E-invoice as part of EDI 3 4 Summary
  • 22.