SAP Supplier Relationship Management Value of Upgradesapidp/011000358700000665892012E.… · SAP Supplier Relationship Management Value of Upgrade ... Text / attachments can be internal

SAP Procurement Portfolio

November 2011

SAP Supplier Relationship Management

Value of Upgrade

© 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?

Challenges and Opportunities


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


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

Solution Overview


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


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


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


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


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


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



SAP Cart Approval


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


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



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



Self-Service Procurement – Check Status

Check status of workflow

Change/ edit shopping carts

Track PO status

Extensive document search and sort

Related documents



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



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



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


*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


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


SAP SRM 7.0 and EHP Highlights


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


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


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

SRM Surroundings


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


SAP Supplier Lifecycle Management

Solution today


Supplier management Strategic buyer workplace

Planned innovations


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

Future Vision


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


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


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


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


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


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


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

Implementation


SAP Procurement Solutions Offer Flexible

Deployment Options

On premise

On demand

Customer migration

between models is

supported

SAP Confidential

Business process

outsourcing


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


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


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.

Why Upgrade?


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


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


Business Benefits

• Improve Enterprise Processes and Visibility

• Increase and Facilitate Contract Compliance

• Optimize Services Procurement

• Streamline Sourcing Activities

• Reduce Total Cost of Ownership


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


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


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SAP Supplier Relationship Management Value of Upgradesapidp/011000358700000665892012E.… · SAP Supplier Relationship Management Value of Upgrade ... Text / attachments can be internal