Download - Luc Dewinter & Rutger Frissaer - Staples - Ariba : from cost to value creations ariba network
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Ariba Supplier NetworkStaples : from cost to value creation
June 18 th, 2014
Luc Dewinter, Sr. Business Development Manager
Rutger Frissaer, E-Business Consultant
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It all started with a ribbon…
Staples founder: Tom StembergStaples founder: Tom Stemberg First office superstoreFirst office superstore RevolutionRevolution
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Staples today
• Staples is the world’s premier office products company.
• We’re committed to making it easy for our customers around the globe to buy a wide range of office products, including supplies, technology, furniture, and business services.
• With billions in sales, Staples serves businesses of all sizes and consumers in 26 countries throughout North and South America, Europe, Asia and Australia.
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Our vision
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Our Product Offering – Your Single Source
• Office Supplies (e.g. writing instruments, desk accessories, diaries and sticky notes)
• Paper (e.g. A4 80grams, colored premium for laser and inkjet printing and envelopes)
• IT Consumables (e.g. computer products and ink & toner cartridges)
• IT Peripherals (e.g. tablets, computer accessories, memory cards, etc…)
• Facility Products (e.g. cleaning and hygiene products/break room/safety supplies)
• Business Interiors (a single chair ora large project-managed installations)
• Print Management (business cards, letterheads, envelopes)
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Our brand promise
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Global Coverage
ArgentinaAustraliaAustriaBelgiumBrazilBulgaria*Canada
Russia*Singapore*Slovakia*Slovenia*SpainSwedenSwitzerland*
ChinaCosta Rica*Czech Republic*DenmarkFinlandFranceGermany
Hong Kong*HungaryIndiaIrelandItalyLuxembourgMalaysia*
Mexico*The NetherlandsNew ZealandNorwayPolandPortugalPuerto Rico*
TaiwanTurkey*United KingdomUnited States
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Our value creation
Total lowest delivered cost
•Hard savings through combining purchasing power and product substitutions
•Process cost savingso E-commerce orderingo Ordering behavior o Consolidation of ordering, delivery, invoicingo Control of ordering
(multiple subcategories)o Stock optimisation
•Office Products costs < 2% of the total costs of products and services procured
15% stock value
30% product price
55% process costs
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Staples eBusiness expertise
• Expert in e-Commerce- N°1 in online business after Amazon- N°1 in B2B online business- Several solutions : from Internet ordering
to Connectivity (SAP, Ariba, etc.)-One “look & feel” for all locations
• We process millions of orders a year through the Internet, so we know how to make ordering office products easy
• Staples Webshop serves over 365.000 registered accounts with more than half a million users
• Staples Advantage has eBusiness expertise in every country
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Staples eBusiness figures
Belgium
80% of all orders are processed electronically
6% or 1,5 M€ is processed via Ariba
Staples Belgium is active on ASN since 2003.
We currently have 15 transacting relationships. Global
Over 60% of global sales is processed electronically.
195 transacting relationships on ASN
+ 3.5 M transactions and counting via ASN since start
= 760M$ transaction spent via ASN
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Ariba implementation
Fast Implementation / Easy setup
We target a go-live of a full roundtrip within 1 month
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Ariba / punch out / e-invoice
ERP- vendor data- G/L data
enrich requisition to Purchase Order
generate PO and transmit
receive and process
ERP- vendor data- G/L data
enrich requisition to Purchase Order
generate PO and transmit
receive and process
Ariba Buyer Frontend - account data - user data - ship to data- bill to data
Ariba Buyer Frontend - account data - user data - ship to data- bill to data
Cat
alo
gu
e L
ayer
CountriesCountries SolutionSolution BackendBackend
Pu
rch
ase
Ord
er
Lay
erE
-In
voic
e L
ayer
ICC Seeburger(Middleware)
ICC Seeburger(Middleware)
Ariba ASN (Middleware)Ariba ASN (Middleware)
EuropeEurope
Country ERP- account data - Stock data - prices- assortment
E2C- Item content
receive and process
generate Response(s) and transmit
Country ERP- account data - Stock data - prices- assortment
E2C- Item content
receive and process
generate Response(s) and transmit
Punchout Setup Request
Transactionss/ Messagess
Purchase Order
Country ERPgenerate invoice
Country ERPgenerate invoice
ICC Seeburger (Middleware)
ICC Seeburger (Middleware)
ARIBA ASN (Middleware)ARIBA ASN (Middleware)
Finance receive and process
Finance receive and process
E-Invoice
Order Response / Dispatch Advise
STAPLESSTAPLES CUSTOMERCUSTOMER
VIE
WO
RD
ER
PA
YD
EL
.
WebshopFrontend - product information
-Item content
WebshopFrontend - product information
-Item content
create basket
final basket
send
send
send
send
sendsend
info
send send send
send send send
sendrequest
ship order deliver order
Basket transmissione.g. Product and price
data
Red: implementation effort = punchoutOrange: potential implementation effort
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The supplier console
Online Tool to manage incoming, outgoing messsages, request reporting,setup customer catalogs, etc…
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The supplier consolePurchase orders overview
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The supplier consoleSent Invoice overview
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The supplier consoleCatalog overview
CIF or Punchout Catalogs
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The Administration Console
Easy way to manage your relationships.
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Example : Staples customer start using ASN
• Spent with Staples (Pharma sector)
- 2012 : 750 € per month
- 2013 : bonding phase after ASN introduction : 2000 € per month
- 2014 : maturing phase 4000 € per month
- 2015 : adding additonal sites using same ASN catalog
• Average Order Value
- 2012 : 109 € (35% of orders < 50 €)
- 2013 : 196 € ( 9% of orders < 50 €)
- 2014 : 225 € ( 6% of orders < 50 €)
• Conclusion : ASN is decreasing indirect costs : less transactions, less delivery, manual PO’s replaced by e-po’s
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Thank you – Q&A
All your business needs to succeed