Understand how SAP Ariba solutions enabled by IBM Watson are shaping the future of cognitive procurement. In this session, we go deep into cognitive procurement use cases and share how you can unlock value in your business. Learn how your organization can transform from seeking process standardization and simplification to building automation and intelligence in its source-to-settle platform. Find out how you can achieve greater efficiency and savings and better risk management.

1. Mayank Chandla
IBM SAP Ariba Leader - Europe
Visit me at the IBM booth to learn more

2. IBM Cognitive
Procurement
Masterclass
SAP Ariba Live, Sydney
Breakout Session
22nd August 2017

3. More data created in 2017 ›5000 years of humanity
“We have far exceeded the
human threshold for interpreting
all the data we are surrounded
with”
“Drastic Technology transformation
is taking place to help businesses
consume data for strategic &
tactical decision making”

4. Despite significant investment in big data and analytics,
business are struggling with three major problems
Too much data and too little insight
Poor linkage between insights discovery and business action
Scarce learnings from actions taken
“Less than 1% of data is actually being analysed
for operational decision making”

5. Thus our evolution towards Artificial Intelligence
Traditional
Analytics
Big Data
Platforms
• Structured
Data
• Unstructured
Data
Machine
Learning
Platforms
• AI Technical
Services
• AI Tools
Augmented
Intelligence
Platforms
• User
Engagement
• Process
Engagement
Industry
Cognitive
Clouds
• New
Business
Models
• Cloud Scale

6. What can Augmented Artificial Intelligence do?
UNDERSTAND
• They derive meaning from all forms of multi-structured data and user interactions.
INTERPRET
• They represent the meaning in a deterministic and probabilistic knowledge graph
based on declared, observed, and inferred entities, events, and relationships.
REASON
• They reason over the domain-optimized interpretation in business and user context to
come up with personalized advice with supporting evidence.
LEARN
• They learn continuously based on real-time and historical data, user, and system
interactions.
ASSURE
• They use AI and Blockchain technology to ensure ongoing compliance and governance
for responsible and risk-managed use of cognitive services in the enterprise.

7. How this Works: The cognitive business delivers insight to serve
knowledge workers, data scientists, and clients

8. Where are we headed with Artificial Intelligence?
“We are moving from
a mobile-first to an AI-
first world”
Sundar Pichai
CEO, Google
“Human-AI partnership
can help solve society’s
challenges ”
Satya Nadella
CEO, Microsoft
“Cognitive Computing
will impact every
decision in 5 years”
Ginni Rometty
CEO, IBM
“45% of the fastest growing
companies in the world will
adopt more smart machines
and virtual agents than people
by 2018”
Gartner
“95% of top 100 largest
enterprise software companies
will have cognitive
incorporated in their products”
Gartner

9. Artificial Intelligence Use Cases across industries
Financial Services
•Risk Analytics
•Credit evaluation
•Customer segmentation
Retail
•Predictive Inventory Planning
•Recommendation Engines
•Market segmentation &
targeting
Healthcare & Life
Sciences
•Real time alerts & diagnostics
•Patient triage optimisation
•Proactive health management
Travel & Hospitality
•Aircraft scheduling
•Dynamic pricing
•Traffic patterns & congestion
management
Manufacturing
•Predictive maintenance
•Demand forecasting
•Telematics
•Process Optimisation
Energy & Utilities
•Power usage analysis
•Customer pricing
•Smart Grid Management

10. We have a real opportunity need to transform our
Procurement with Artificial Intelligence
Deeper engagement and adoption
• Increase end-user productivity (ease of use, less training required)
• Bring the application to users in their environment of choice
Better decision making
• Have access to richer and broader set of data
• Uncover and discover hidden insights
Improve business outcomes
• Automate repetitive tasks
• Improve approvals and accuracy
• Improve efficiency by delivering personalized and context-specific information

11. Cognitive Procurement Transformation Journey
Fragmented
Process & Systems
Single Cloud Platform
Source to Pay Process
Orchestration
Supplier Collaboration
Cognitive
Procurement

12. Two world leading companies together delivering greater value

13. IBM Watson APIs & Apps for Cognitive Procurement
Cognitive Procurement enhances the user experience and enables faster and more
insightful procurement resulting in greater savings and compliance.

14. SAP Ariba Platform & IBM Watson Apps / API cover the entire
spectrum of Cognitive Procurement

15. Adding Cognitive to SAP Ariba Solutions to drive future procurement

16. Sourcing Intelligence In consideration

17. Contract Intelligence In consideration

18. Cognitive Solution – Value drivers
IBM Cognitive App / API Description and Value

19. 19
Approach for building Automated Cognitive Solutions for you
AUTOMATED DATA &
CONTENT QUALITY
MANAGEMENT
Normalization
Automated
Classification
Analysis
Taxonomy
& Ontology
Management
Data Quality
Score Cards
Content Quality
Agreements
Watson
Automated Data
Enrichment
Chemical / Safety
Flagging
Validation
Cleansing
Business
Rules
Automated
Classification
Enforcement
Data Warnings
Metrics
Ontology
Mapping
Image Quality
Validator
Enrichment
Packing Details
Verification
Category
Restrictions
• Local
• Trusted Source
• Global
• Manufacturers
• Suppliers
• Ontology
Values
• Units of
Measure
Manual DQA
Audits
Locate, Collect & Enrich
Required Data Attributes
Similar Item
Grouping
Stakeholder
DQA Reviews

20. Personalized mobile app that scales across multiple buying channels and
systems
Recommends the optimum compliant product while being transparent to the
end-user
Delivers recommendations from preferred vendor catalogues based on users
needs, Profile-of-one and peer feedback
Enables users to interact in Natural language for optimized user experience and
speed
20
Cognitive Buying Assistant (CBA) Prototype

21. 21
Cognitive App interfaces with SAP Ariba Buying & Invoicing
Accesses SAP Ariba Customer Content as well as external market content and is cognitive
SAP Ariba Mobile
Interface
Guided Buying
Interface
Cognitive Buying
App

22. 22
Cognitive App – understands your voice, suggests appropriate products
Accesses SAP Ariba Customer Content as well as external market content and is cognitive

23. 23
Cognitive App – understands image input, suggests appropriate products
Accesses SAP Ariba Customer Content as well as external market content and is cognitive

24. 24
Cognitive App – predictive insights, compliant buying, delivery tracking
Accesses SAP Ariba Customer Content as well as external market content and is cognitive

25. 25
Cognitive Buying App – launch SAP Ariba for more detailed buying
formats

26. How can IBM engage with you for Cognitive Transformation?

27. 27 © 2017 IBM Corporation

28. Use cases in Procurement for Robotic Process Automation?

29. 29
Watson Company Analyzer – Supplier IQ
The vision
Supplier financial and risk
assessment tool using real
time holistic view of all
information to uncover hidden
trends
The disruption
Comprehensive information
aggregation to change how
Sourcing Professionals consume
and exploit data
Deep
Supplier
Insight
The result: Users equipped with enhanced supplier knowledge for
optimal source identification and/or informed negotiations
Internal supplier
data
External market
intelligence
Watson APIs+ +

30. 30
Watson Company Analyzer – Supplier IQ

31. 31
Watson Analytics in Source to Pay Analytics
Visibility
•Explore data by asking questions to Watson cognitive tool, identify insights by mining large volumes of data
•With the Dynamic view dashboards enables to see different parameters in real time.
•Gives a birds eye view of all the different parameters that drive savings.
•Watson helps in looking at different regions separately.
•The prediction component is used to identify key drivers for the selected KPI.
Visualization
•Graphical representation to identify Vendors with high volume of spend and PO count
•Leveraging Watsons more refined graphical representations for a more lucid data graphs.
•Watson helps create customer specific dashboards that can be refreshed with new data periodically.
•Watson is helping us replace the standard excel/ppt reports with the more detailed and dynamic Watson
Dashboards
Agility
•Watson helps make changes to the data on the fly with Refine. Which helps team to be more Agile.
•With flexible nature of Watson, multiple iterations of the analysis can be completed in a shorter time frame.
Collaborate
•Watson helps the customer ask questions regarding the data and provides the necessary analysis.

32. 32
Comprehensive analytics enable you to systematically turn
information into insight and insight into business outcomes
Source to contract (S2C) Procure to Pay (P2P)
Multiple data sources
structured and unstructured
Suppliers
Employees
External markets
Transactions
S2P applications
Business outcomes
 Increased savings
 Reduced cost
 Enhanced service
 Improved control
 Diminished risk
Analytics
Insight
What is
happening?
Why did it
happen?
What
action
should I
take?
What
could
happen?
Factors limiting analytics effectiveness:
 Data quality and complexity
 Time, expertise and investment required to
produce analytical insight

33. 33
IBM Supply Chain Risk Insights
Predicting
Risk with
Certainty
The vision
Monitor natural, social, and
economic supply chain
disruptions to make fast
informed decisions in the
most critical situations when
every minute counts.
The disruption
Hyper-localized insights that are now
built into supply chain models
.
The result: Cognitive event monitoring that saves time and money
focusing efforts on true impacts to your supply chain
Supply chain
operational data
Twitter
The Weather Company
Local events
+ + Watson APIs

34. Thank you

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