Buyer Seller Matchmaking for Better Business Commerce
- 1. B Buyer-Seller
Matchmaking for
Better Business
Commerce
Moderated by Chris Wang,
Director of Marketing, Ariba Discovery
Las Vegas, April 12, 2012
© 2012 Ariba, Inc. All rights reserved.
- 2. Agenda
• Ariba Discovery Overview
• Panel Introduction
• Best Practice Sharing
• Summary
• Q&A
2 © 2012 Ariba, Inc. All rights reserved.
- 3. What Is Ariba Discovery?
• The premier service for matching business buyers and
sellers globally
Over 700K buyers and sellers
More than 20K categories
Over 190 countries
Innovative matching engine
Advanced collaboration capabilities
Rich seller profiles and lead management tools
Over $1.5B USD in business opportunities
More than 30K green and diverse sellers
3 © 2012 Ariba, Inc. All rights reserved.
- 4. More Value for Buyers and Sellers
BUYER VALUE SELLER VALUE
• Achieve incremental savings of 15% • Tap into over 3B USD buying volume
right in Discovery
• Reduce costs up to 75% for seller
identification and qualification • Maintain high visibility in front of real
decision-makers, with budget and
• Save up to 90% of time for seller
ready to buy
identification and qualification
• Cost-effective lead source versus
• Make better, more informed seller
traditional methods
selection decisions
• New sales channel, comprising
15-50+% of revenue for many sellers
4 © 2012 Ariba, Inc. All rights reserved.
- 5. Introducing Our Panel
Tom Greco
Vice President, Operations
.d Brian Bender,
Sr. Director, Global Purchasing
Kevin Govin, CEO
Karen Sherrill, Sr. Commodity Manager,
Indirect Products and Services
5 © 2012 Ariba, Inc. All rights reserved.
- 6. ThomasNet.com Overview
• Supplier Discovery and Product Sourcing with a Focus on
Direct Spend & MRO
Industrial Components, Material Handling Equipment, Plant
& Process Equipment, Laboratory Equipment, Electrical
Components, Custom Manufacturers and more….
• Supplier Directory with Over 600,000 Suppliers
Classified under 67,000 product categories and
19,000+ UNSPS Commodity Codes
Selectable by location, ownership type,
certification and more
Comprehensive Company Profiles
6 © 2012 Ariba, Inc. All rights reserved.
- 7. ThomasNet.com Overview
• Product Sourcing
Find detailed product information from over 30,000 suppliers
100 million+ parts, components, materials and more
Specify products by attribute, dimension or weight, construction,
material, intended application and more
Search by Part Number
• Visit us at ariba.thomasnet.com
7 © 2012 Ariba, Inc. All rights reserved.
- 8. ThomasNet.com and Ariba Discovery
• ThomasNet.com‟s network of suppliers will be added to
Ariba Discovery
Expands the suppliers available via Ariba Discovery in the Direct
Spend & MRO areas
• Postings for commodities covered by ThomasNet.com will
be matched to ThomasNet.com network suppliers
Matching will be performed by staff application
engineers and content specialists
ThomasNet.com staff will be reaching out to
suppliers to ensure postings receive responses
8 © 2012 Ariba, Inc. All rights reserved.
- 9. Organization J.M. Huber Corporation
• dd
Huber Engineered
Woods
Huber Engineered
CP Kelco
Materials
Flame Calcium
Retardants Carbonate Food-gums Bio-gums
Nutritional Precipitated
CMC
Supplements Silica
PURCHASING RESPONSIBILITY
9 © 2012 Ariba, Inc. All rights reserved.
- 10. J.M. Huber & Its Challenges
• Enhances the performance of consumer industrial products with
application support across a variety of industries
• Challenges
Complicated sourcing process across a broad range of products
– 8 different businesses, 27 process manufacturing plants
Managing spend across 5 continents in direct & indirect categories:
– FY 2011 spend = $840 million
Manage large capital goods & services:
– FY 2011 = $86M
Manage MRO & plant services:
– FY 2011 = $45 million
Center led with decentralized execution at the plant level
– Plant buys focused on local sellers
– Multiple ERP applications
10 © 2012 Ariba, Inc. All rights reserved.
- 11. J.M. Huber & Ariba Discovery
• Uses Ariba Discovery to easily find sellers for a broad
range of products across manufacturing footprint
• Discovery Results:
Receives multiple competitive offers on a single platform
Provides easy access for lower dollar „Spot Buys‟
Expands number of potential sellers quickly
Lowers sourcing & delivery lead time from several weeks down to sometimes days
Best used for standard „commodity‟ grade equipment vs. specialty
Provides easy platform ability for market tests
Alleviates local capacity issues and enhances productivity
of plant and category buyers
Quickly conducts market research and
seller identification in new markets
11 © 2012 Ariba, Inc. All rights reserved.
- 12. MarkMaster and Its Challenges
• Minority-owned manufacturer of marking and identification
products, e.g. badges, stamps, and signs
• Challenges
Competing in a shrinking industry, both in the U.S. and abroad
Conducting cost-effective timed outreach while customers have
constant need for supplies
Building strong, long-lasting relationships
with large companies
Presenting a small company as a reliable
business partner on par with large companies
12 © 2012 Ariba, Inc. All rights reserved.
- 13. MarkMaster and Ariba Discovery
• Ariba Discovery offers a quick and easy way to identify
business opportunities with Global 2000 companies
• Leverages Ariba Network and Ariba Ready Silver
designation to build credibility with prospects
• Results
Reduced RFQ response time to two days
Grew sales volume 250% over the last 11 years
Was discovered by a large bank
Allows to service nine of the top 10 banks
and eight of the top 10 insurance companies
13 © 2012 Ariba, Inc. All rights reserved.
- 14. OSU and Its Challenges
• One of the largest and most diverse academic medical
centers in the country
• Challenges
Extremely paper- and tech support-intensive bidding process
Limited collaboration and visibility into sourcing projects
State requirement to issue public bid notifications, but limited
ability to reach 5K sellers in its database
14 © 2012 Ariba, Inc. All rights reserved.
- 15. OSU and Ariba Discovery
• Easily integrates with Ariba Sourcing and Ariba Contract
Management
• Uses Ariba Discovery to increase competition and find new
suppliers for a wide range of categories
• Results
Buyer Benefits: Identified a new supplier for linens and signage,
resulting in $2.5M in savings and better value over contract terms
Seller Benefits: Increased revenue beyond
one-time purchase; positioned for future growth
Environmental Benefits: Greened strategic sourcing
process with improved visibility and validation
15 © 2012 Ariba, Inc. All rights reserved.
- 16. Sharing Best Practices
• Seller identification
In circumstances such as spot sourcing, entering a new market,
or meeting diversity program requirements
• Quick seller vetting
How to screen sellers and manage risks
• Showcase your company as a seller
How to maximize your presence at Ariba Discovery
16 © 2012 Ariba, Inc. All rights reserved.
- 17. Maximize Your Impact
• The Top 5 things to do to leverage your company
1. Update your profile
2. Get the commodity right
3. Update contact information
4. Invite more references
5. Build your premium brand
17 © 2012 Ariba, Inc. All rights reserved.
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