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© 2012 SAP AG. All rights reserved. 2
Procurement Executives What does this mean for your business?
How do we standardized processes and
drive user adoption to drive down procure-
to-pay costs?
How do we avoid maverick buying and
enforce contract and process compliance to
maximize spend under management for all
categories of spend?
How do we enable our suppliers to
efficiently collaborate on supplier on-
boarding, communication, engagement, and
visibility?
How do we harmonize systems to enable
end-to-end processes and ensure low
TCO?
© 2012 SAP AG. All rights reserved. 4
Inefficient Procure-to-Pay Processes Results in High Costs
Ineffective Ability to Meet
Sourcing Demand – Lack of
centralized view of demand
increases cost and cycle times
and decreases transparency
Lack of Contract Compliance –
Inability to monitor and reduce
maverick buying, enforce
preferred catalogs and vendors,
and drive cost savings
High Procure-to-Pay Process
Costs – due to non-standardized
Req-to-PO processes, poor user
adoption and disparate systems
Inefficient Supplier
Enablement & Collaboration –
Leads to poor supplier
on-boarding, communication,
engagement and visibility
Corporate
Buyers
Suppliers Category Managers
Production
Chief
Procurement
Officer
Contract
Managers
Supply Chain Product
Development
Finance Cost
Accounting
Procurement
© 2012 SAP AG. All rights reserved. 5
Efficient Procure-to-Pay Processes Ensures Cost Savings
Deliver on Sourcing Demand.
Centralized sourcing aggregates
demand, decreases cycle times,
and increases visibility
Enforce Contract Compliance.
Centralized contracts automate
preferred catalogs, vendors and
contracts, eliminates off-
contract purchasing and delivers
realized savings
Reduce Procure-to-Pay
Processing Costs. Easy-to-use
catalogs and automated
Req-to-PO process enabled by
an integrated solution drives
user adoption
Automate Supplier
Collaboration. Streamlined
supplier connectivity delivers
efficiency, transparency, and
increased supplier engagement
Corporate
Buyers
Suppliers Category Managers
Production
Chief
Procurement
Officer
Contract
Managers
Supply Chain Product
Development
Finance Cost
Accounting
Procurement
© 2012 SAP AG. All rights reserved. 7
SAP Sourcing SAP SRM & ERP (w/ SAP Cart Approval
mobile app)
SAP Invoice Mgmt
by OpenText
SAP Supplier Self-Service
SAP Commodity Procurement
New!
SAP
Contract Lifecycle
Management
SAP’s Procurement Portfolio Today
SAP
Supplier Lifecycle
Management
New!
SAP Spend
Performance
Management
SAP Data
Enrichment and
Classification
OnDemand
New!
Spend
Analytics
Supplier Management
Sourcing Contract
Management
Operational
Procurement
Invoice
Management
SAP Confidential
SAP eInvoicing for
Compliance
OnDemand
SAP SRM
Bidding Engine SAP Information Interchange OnDemand
SAP SRM
Central Contract
Management
© 2012 SAP AG. All rights reserved. 8
Procurement Excellence
Complete and flexible solution for organizations in all industries
Expert User Casual User
End-to-End
Business Process
User Interface
and Access
Channels
Mobile
Forms Familiar
Applications
NetWeaver
Business
Client
Web Browser
© 2012 SAP AG. All rights reserved. 9
Automates requisition and order
management with intuitive UI and
easy to use catalog
Centralized sourcing reduces cost
and cycle times
Centralized contracts drives
compliance to contracts and policies
Financial Settlement automates the
pay process
Supplier Management reduces risk
and improves supplier engagement
Operational Reporting delivers
enterprise-wide insight
Integration with Business Suite/ ERP
enables end-to-end processes and
lower TCO
SAP Supplier Relationship Management Automates the Procure to Pay Process
Finance
Requisition, Purchase Order Management and Cart Approval
Centralized Contract Management
Operational Reporting
Financial Settlement
Centralized Sourcing
Supplier Management & Collaboration
SRM
SRM Delivers Efficiency, Flexibility, and Insight
*Available as a function of Supplier Lifecycle Management
© 2012 SAP AG. All rights reserved. 10
Inventory/Stock Goods
IT Spend Non PO Invoice
Only Complex
Services
Indirect Direct Materials
/MRO
WORKFLOW AP / FI TRANSFORM PREPARE
Pro
cu
rem
en
t
So
luti
on
Enabled by SAP P2P functionality
Multiple Buy Channels
Indirect materials Easy to use self service tool for end users P
Services Supplier portal enabling service entries P
Direct materials Collaboration with key suppliers P
Project System (wbs) Budget approval and financial control P
Plant Maintenance Shop floor MRO/spare part replacements P
Stock inventory Real time check against inventory items P
SAP SRM Enables all Spend Categories
© 2012 SAP AG. All rights reserved. 11
Catalog-Based Shopping
Capabilities & Benefits
Simplified shopping for casual users
Easy to use wizard for end users
Generation of a requisition, reservation,
or purchase order
Team purchasing concept
Availability check and assignment
of sources of supply
Drive spending to referred vendors,
contracts
Distribute account assignment
© 2012 SAP AG. All rights reserved. 12
Self-Service Procurement – Approval
Flexible approval flow to drive
compliance
Spending limit, accounting access
enforcements
Line item approval
Mobile access
Ad Hoc approvers, Reviewers
Business rule based flows
Email notifications
Delegations and substitutes
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 13
SAP Cart Approval
Capabilities & Benefits
Become notified of pending shopping
carts for approval
View list of shopping carts to be
processed
View requestor details
View shopping cart/product details
Approve or reject shopping carts and
process multiple carts
View requester and approver details
© 2012 SAP AG. All rights reserved. 14
More efficient, reduced purchasing
cycle
Easy to use Self-Service Procurement
Compliance to purchasing policies
Personal work lists
Reduced cycle times
Supplier self service (SuS)
Electronic service confirmations
Services Procurement
Requisition and Purchase Order Management
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 15
Self-Service Procurement – Confirmation & Invoice
Returns and Credit Memos
Partial confirmations, cancellations
Advance Ship Notice
Text / attachments can be internal or
external
Invoice entry
Returns, Credit memos
Non-PO invoices
Tolerances
Evaluated Receipt Settlement (ERS)
Invoice against contracts
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 16
Self-Service Procurement – Check Status
Check status of workflow
Change/ edit shopping carts
Track PO status
Extensive document search and sort
Related documents
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 17
Centralized Sourcing
Aggregate demand and streamline
bidding
Manage complex services sourcing
Robust sourcing for direct, indirect and
Services spend
Easy to use bidding engine
Electronic supplier response
Collaboration to propose changes,
chat and bid confirmation
RFx creation from SRM and demand
from ERP
Dutch auction
Multi-round processing
Bid evaluation and award
Offline bidding
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 18
Centralized Contracts
Central contract repository and
compliance across SRM and ERP
Consolidate Contract Information
Track Contract Compliance
Distribute Contract Usage
Payment Terms at Header, Line item, and
distribution level
Flexible alerts on contract value,
expiration date, qty etc.
Distribute contract items to catalog
Document Change & version
management
Control on Exchange rate thresholds,
multi-currency contracts
Embedded analytics
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 19
Supplier Enablement*
With SAP Information Interchange
OnDemand (Crossgate):
Exchange purchase orders, forecasts,
invoices, delivery notes and other
documents electronically from your SAP
applications
Connect any partner, anywhere in the
world, regardless of data standard
With SAP Supplier Self-Service (SUS):
Empower suppliers to register and update
critical business data
Embed collaboration in your daily operations
with suppliers – shrinking order cycles with
an intuitive and automated workflow
Leverage shared reporting – providing
suppliers with the information they need to
measure and improve their performance
Capabilities & Benefits
*Enabled by SAP Information Interchange OnDemand
and SAP Supplier Self Service. SRM can also work
with 3rd party supplier networks such as Capgemini
and Hubwoo
© 2012 SAP AG. All rights reserved. 20
Operational Spend Reporting
Operational Reporting with data access
across SRM and ERP Financials
Comprehensive Spend Insight
Ease to use prepackaged reports
Role based data access
Flexible query engine
SAP NetWeaver support for BI data
extractors/ mapping, Portal, MDM data
harmonization
Capabilities & Benefits
© 2012 SAP AG. All rights reserved. 22
SAP SRM 7.0
Release Summary
Delivers
Improved, fully integrated procure to pay offering for core procurement processes
Excellence in end to end collaborative services procurement
Increased investments to extend scalability, flexibility and reduce TCO
Procurement Excellence Foundational Investments Services Procurement
Highlights
Unified Access and
Information
Centralized Global
Operational Contracts
Process Enhancements
Document Search Across
Source Areas
Highlights
Collaborative End to End
Process
Specific Industry Category
Focused
Enhanced Sourcing
Enablement
Services Repository and
Specification
Highlights
Extended Workflow
Capabilities
TCO Reduction
Enhancement Pack
Enablement
© 2012 SAP AG. All rights reserved. 23
SAP Business Suite 7 Innovations 2010 EHP 5 for SAP ERP 6.0 & EHP 1 for SAP SRM 7.0
Highlights
Usage of central contract also
for services
Functional improvement in the
bidding engine
Embedded contract analytics for
central contracts
Central Purchasing Hub
Highlights
Offline bidding via SAP
Interactive Forms software by
Adobe
Bid response processing within
Supplier Self-Services
Enhanced supplier registration,
qualification and on-boarding
Supplier Collaboration
Highlights
New shopping cart as part of
ERP Employee Self-Services
Additional scenarios for the one-
client deployment
Usage of SAP SRM without a
portal installation
Preconfigured scenarios for
BAiO customers
SAP ERP
E-procurement
© 2012 SAP AG. All rights reserved. 24
SAP Business Suite 7 Innovations 2011 SAP SRM 7.0 EhP 2 & SAP ERP 6.0 EhP 6
Highlights
Availability of Sustainability
information in Catalog While
Shopping
Enhanced Supplier & Info
Record Masters
Sustainable Supplier Evaluation
and Monitoring
Sustainable Procurement
Highlights
Unknown Account Assignment
Category
Enhancements for Public and
Regulated Industries
Un-Bundled Service Line Items
SRM Catalog Visibility – Flat
and Hierarchical Views
Improved ERP Integration for
Info Record & Source List
Updates
Continuous Procurement
Innovation
Highlights
Quick Quote (RFx) from
Shopping Cart
Shopping Cart Modifications
from Sourcing
Improved Sourcing Decisions
with Embedded Analytics
Enhanced Bid Comparison
Streamlined Operational
Sourcing
© 2012 SAP AG. All rights reserved. 26
SAP Supplier Lifecycle Management Process Coverage and Timing
Supplier Performance
Management
Supplier Classification
Supplier Phase Out
360° Category
Management
Supplier Qualification
Supplier Registration
Supplier Order Collaboration (UI
Integration)
Planned
2013
Planned
Q4 2012
Supplier Development
© 2012 SAP AG. All rights reserved. 28
Supplier management Strategic buyer workplace
Planned innovations
© 2012 SAP AG. All rights reserved. 29
SAP Sourcing - SAP SRM Central Contract Integration
SAP Sourcing / SAP CLM
SAP ECC 6.0 SAP ECC 6.0
SAP SRM 7.0
Draft Negotiation
Approval/
Signature
SRM
Central Contract
Outline
Agreement
Outline
Agreement
Repository
Master and
Config Data
Master and
Config Data
Master and
Config Data
© 2012 SAP AG. All rights reserved. 31
Future vision for procurement
Future direction
Business network Supplier portal
Mobile Employee
shopping Buyer portal
SAP Sourcing
SAP Contract
Lifecycle
Management
SAP SRM
Materials management
(MM) functionality in
SAP ERP
SAP Commodity
Procurement
SAP Supplier Lifecycle Management
Procurement analytics
© 2012 SAP AG. All rights reserved. 32
SAP SRM User Interface Add-On
Overview
User Story
Employees need to buy products and services for the company.
Often these purchase are catalog driven so users can quickly find
the items they need and comply with the company's supplier
agreements.
The purchases can be routine or infrequent, but in either case,
users now expect the same user-friendly interfaces that they
experience in their personal online purchasing.
User Benefits
Casual users can buy products and services that they need with
little or no training.
Improve compliance with company purchasing rules and
contracts
Reduces the number of steps to get information, such as order
tracking
Ability to process multiple items efficiently
Reduce errors and re-processing
Key Capabilities & Challenges
• Familiar, web-shopping, user interface
• Cross-catalog search (internal and external catalogs)
• Customizable
• Guidance to enter the right information
© 2012 SAP AG. All rights reserved. 33
Search
Key Features
Familiar, web-shopping like, user interface
that requires little to no training.
Cross catalog search, including internal
and external catalogs, contracts,
inforecords, and material masters
Browse individual catalogs or browse by
categories
Type ahead on search fields
Search more than one product at a time
Free-form – system will propose items
from catalogs and suggest product
categories
Quick access to recurring and recent
items
© 2012 SAP AG. All rights reserved. 34
Search Results
Key Features
One UI – search results will contain
product details from catalogs
Fast search results
Filtering to refine searches
Product comparison
Product images, details, and related
product information
Mini shopping tray keeps a summary and
running total of all shopping cart items
Save the shopping cart – manual and
auto save
Quick checkout
© 2012 SAP AG. All rights reserved. 35
Check Out
Key Features
Simple or advanced (item details, multiple
account assignment, etc) changes
Mass changes – update multiple line items
at once
Error messages – users can navigate
directly to the error
© 2012 SAP AG. All rights reserved. 36
SAP Supplier Briefing iPad Application Information at Your Fingertips
Automated data aggregation
Reduced effort
Comprehensive
Timely
Data Integration
Spend
Contracts
Third Party
News Feeds
Sourcing
iPad Accessibility
Tablet-based
Easily locate information
Portable
© 2012 SAP AG. All rights reserved. 37
Solution Summary
SAP Supplier Briefing iPad Application
Capabilities
Supplier Spend and Performance insight
Supplier participation in RFx projects
Existing Contract visibility
Latest supplier news
Supplier profile and financial information
Meeting notes and history
Supplier contact information
Technology Pre-Requisites
SUP 2.1.x
Gateway 2.0 SP04
BW (Recommended)
Mobile Device Support
Apple iPad 2/3 on iOS 5.1 or higher
Planned Capabilities, Technology Pre-Requisites, and Mobile Devices
© 2012 SAP AG. All rights reserved. 39
SAP Procurement Solutions Offer Flexible
Deployment Options
On premise
On demand
Customer migration
between models is
supported
SAP Confidential
Business process
outsourcing
© 2012 SAP AG. All rights reserved. 40
SAP Rapid Deployment Solutions Available for Self-Service Procurement
Four more rapid-deployment
solutions for procurement
planned for 2012
SAP Confidential
Service
Software
Enablement
Content
Preconfigured software based on best
practices
Rapid delivery with packaged services;
go-live in 10-12 weeks
Low TCO with affordable, flexibly priced
consulting solutions and licensing
Currently Self-Service Procurement is
the only SRM solution available via RDS
SAP SRM functionality is optional as a
one-client deployment, and built as an
add-on to your existing SAP ERP
functionality
© 2012 SAP AG. All rights reserved. 41
SRM as a Shared Services Hub
SRM Hub
Supplier Collaboration
and Management
Leverage SRM as a centralized, shared services hub and support a
Center of Excellence model
Deliver one source of spending truth, bringing spend under
management and simplifying spend analysis
Empower corporate-level discounts that can be
extended to distributed purchasing groups
Aggregate demand
across disparate ERPs
Centralize Contract
Management
Create a single point
for supplier management
© 2012 SAP AG. All rights reserved. 42
Upgrade Services for your existing SAP SRM
Solution
Pricing
conditions Your Challenge
The new SAP SRM offers a fully
integrated procure-to-pay solution for
automating core procurement
processes – including services
procurement. You are seeking a way to
change your old SRM quickly and,
above all, with low risk? You are
running SAP SRM already, planning to
upgrade to the new SAP SRM?
You can optimize the efficiency of your
procurement organization with
centralized sourcing and contracts, as
well as obtain unified access to
functionality and information across
SAP SRM and to relevant data in the
SAP ERP application.
Make the most out of your SAP SRM
without compromises. Take the chance
to use the flexibility of our software to
optimize your processes and unleash
the full potential of your business.
By this you maximize your benefit and
make gainful use of the new
possibilities and features of your SAP
SRM.
1 - Quick upgrade analysis The Quick Upgrade Analysis (QUA) evaluates the chances
and the potential of an upgrade to the new SRM version. Get
to know the way to your new SAP SRM.
Fixed price 3.600 Euro
T&M 20.000 – 40.000 Euro
Fixed price 25.000 Euro
2 - Upgrade assessment In the upgrade and migration assessment we elaborate
together with you requirements, optimization potential, and
new processes methodically on the basis of an analysis tool
and accelerators. This leads to detailed recommendations,
roadmap, upgrade readiness scorecards, effort estimation,
resource planning, and established migration plans for
technical upgrade, processes and user interface.
3 - Functional upgrade service Offers an Upgrade Service for a Self-Service Procurement
scenario in SRM 7.0 based on your current system. Result is
an up and running SRM 7.0 system with your data and
settings. Custom enhancements can be adjusted at add. cost.
Our Solution
4 - UI Migration service Offers an UI-migration including an upgrade of customer
specific ITS developments based on the results of the 2nd
phase.
© 2012 SAP AG. All rights reserved. 44
The SAP Procurement Portfolio Is Rapidly Innovating In Many Dimensions
Sustainability Cloud / On
Demand
Mobile
On-Premise Rapid
Deployment
3rd Party Partner
Solutions
In-Memory
Computing
Usability
Embedded Analytics
© 2012 SAP AG. All rights reserved. 45
Improved Functionality in:
• User Interface
• Operational Procurement
• Self-Service Procurement
• Plan-Driven Procurement
• Services Procurement
• Catalog Management
• Centralized Sourcing
• Centralized Contracts
• Supplier Collaboration
• Technical Benefits
© 2012 SAP AG. All rights reserved. 46
Business Benefits
• Improve Enterprise Processes and Visibility
• Increase and Facilitate Contract Compliance
• Optimize Services Procurement
• Streamline Sourcing Activities
• Reduce Total Cost of Ownership
© 2012 SAP AG. All rights reserved. 47
Technical Benefits
• Easier Upgrades with Enhancement Packs
• Harmonized User Interface Across SAP SRM and
Other SAP Applications
• Business Rule Framework Workflow Technology
• Shift to Web Dynpro for ABAP
• Enterprise Services
© 2012 SAP AG. All rights reserved. 48
SAP SRM - Best in Class Procure-to-Pay Solution
Integrated process with SAP
Business Suite
Self-service procurement +
Goods Receipt + Invoice +
Payment Approval = P2P
Catalogs, shopping cart with
automated approval workflow
Centralized sourcing &
contracts
Collaborative Services
Procurement
Invoicing
Reporting
… delivers value Comprehensive Functionality
Compliance tracking
delivers realized savings
Efficiency throughout the
entire P2P process
reduces costs
Compliance and
governance are achieved
by using best practice
Positive ROI as measured
key KPIs
© 2012 SAP AG. All rights reserved. 49
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