On February 7, 2017, SirionLabs conducted this webinar in association with IACCM. The webinar features Reinhard Plaza-Bartsch, Group Head of Commercial Contract Management at Vodafone along with Tim Cummins, President and CEO at IACCM and Ajay Agrawal, Founder and CEO at SirionLabs. Watch this on-demand webinar to discover how Vodafone effectively manages contractual performance, mitigates risks and minimizes value leakage in its supplier engagements through its Commercial Contract Management (CCM) program – powered by Sirion.
6. Key demands and pressure points
• Commercial innovation – a critical source of growth and competitive advantage
• Agility – the need to move fast in unpredictable and rapidly changing geopolitical and
economic conditions
• Demonstrate an ROI – functions as business units, not cost centers
6
7. What it means – emerging trends
• New contract and commercial models
• Focus on enabling
• A focus on ‘outsights’ and performance data
• Collaborative networks
• Leadership and influencing skills
7
8. What it means – the critical enabler
• Technology and adaptive standards
• Transformational technologies are no longer 2 years away
8
10. Local markets
Partner markets and
affiliates
Revenue
Mobile subscribers
Fixed Broadband
customers
TV customers
IoT connections
26
58
£41bn
464m
13.7m
9.5m
38m
10
Vodafone Overview
We connect everybody to live a better today and build
a better tomorrow
Vodafone Proprietary
12. Are We Really Getting the Full Value of Our Contracts?
Vodafone Proprietary 12
How well are we managing our contracts?
Contract Communication
Change Management
Operational
Leakage
Relationship
Damage
Risk
Exposure
Contract
Leakage
People & Processes
Performance Management
Systems &
Tools
Reporting & Governance
Implications
Contract
Communication
Change
Management
People &
Processes
Performance
Management
Systems &
Tools
Reporting &
Governance
14. Supplier Governance
Technology Backbone
Exit/RenewalIn-Life Contract ManagementHandoverSourcing
9. Exit and
Renewal
4. Compliance
Monitoring
6. Contract
Governance
5. Transaction
Monitoring
7. Change
Management
8. Dispute
Management
2. KPI / SLA
Monitoring
3. Risk
Monitoring
Exceptions
Management
Performance
Monitoring
Formal
Governance
1. Handover &
Comms
Transition to contract
management
Upon reaching
contract
milestones
Designing the Future of CCM | Our Blueprint
Pre-Requisites
CM leads
CM & CCM
team up
CCM leads
Contract Management Cycle
Vodafone Proprietary 14
15. Designing the Future of CCM | Our People
15
Global
Category Manager
Global / Local Business
Contract Manager
(e.g. Vendor Manager, Delivery
Manager, Partner Manager)
New - Global / Local
Commercial Contract
Manager
• Complementary during In-Life management
stages (CCM on the commercial side and BCM
on the technical/operational side)
• Supplier Governance
• Technical solution
• Supported by the CCM CoE
• Supplier Governance
• Contract handover
• Supported by the CCM CoE
Vodafone Proprietary
16. Designing the Future of CCM | Setting the Priorities
16
Highest
Least
Degree of
Effort and
Focus for
CCM
Top 40%
Segmentation % Market Spend Characteristics
Remaining
60%
Full
Partial
Light-Touch
Top 40%
Contracts which form part of the
top 40% of market spend, but do
not demonstrate all
characteristics for Full
segmentation
Global Governance
New commercial models
Strategic Relevance
Global footprint (>3 markets)
Vodafone Proprietary
17. Designing the Future of CCM | Leveraging on Technology
Data Normalization
SERVICE PERFORMANCE
TRANSACTIONAL DATA
CONTRACTSSUPPLIERS
+25bn€ spend
+15k +20k
+100 other CRM and
Network systems
+820K POs per year
COMPLIANCE MANAGEMENT
OBLIGATION MANAGEMENT
RISK MANAGEMENT
PERFORMANCE MANAGEMENT
RELATIONSHIP MANAGEMENT
Business Insights
Vodafone Proprietary 17
Simple & User-friendly
Enables Collaboration
Provides Data Insights
Scalable (End-to-End
Lifecycle)
19. Sirion Functionality and Implementation
19Vodafone Proprietary
Jan 2016
POC
kick-off
Migration of
Suppliers and
Contracts
Extraction of
Service Levels
and KPIs
July 2016
Go-live with
300+ users,
60+ contracts
Integration with
SAP
Expansion to
650+ users,
100+ contracts
Nov 2016
Dynamic contract repository with
comprehensive obligation and service
levels capture
Automated performance validation
against contractual obligations
Data-backed relationship
management
Functionality
Highlights
Implementation
Onboarded suppliers
start reporting
performance on
Sirion
20. Analytics and Insights | Dashboards
Vodafone Proprietary
Dummy Data for Illustration Purposes
20
21. Analytics and Insights | Dashboards
21Vodafone Proprietary
90
110.4
66.1
39.6
102.5
53.4 15.4
86.8
Project X
Dummy Data for Illustration Purposes
22. Driving Awareness and Adoption
Vodafone Proprietary 22
CCM Knowledge Portal
Onsite & online training
+ Webinars and onsite forums….
23. Where We are Today with Our System Deployment
Vodafone Proprietary 23
Effective supplier governance to streamline supplier performance monitoring, reporting, and in-life contract
management through:
• Centralization of contracts in a structured format to enable quick computation, validation, comparison, and analytics
• Automated obligations management, SL management, invoice auditing, and value tracking against contracted
business case
• Effective management of supplier risks and issues on a single platform
• Enhanced compliance through automated compliance tracking
+1000
Users Across the
Enterprise
20,000+
Service Levels and Obligations
Under Management
Strategic Suppliers
Under Management
+75