UC P200 – SPEND ANALYTICS INTRODUCTION WEBINAR 1/8 & 10/13

• Today’s Objectives

• Spend Analytics Overview

• Training Timeline

• Spend Analytics Scope

• A Look at Spend Analytics

• Guiding Principles

• Next Steps

• Questions

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Agenda

Today’s Objectives

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• Prepare you for in-person training session at your campus – Overview of Spend Analytics

– Live demonstration of navigation and basic functionality of the application

• What is Spend Analytics? – A web-based analytics application developed by Spend Radar that

provides a common view of the UC Procurement environment via system-wide spend data from campus financial systems of record

• Why Spend Analytics?

– Efficient • Quicker and easier to pull data and prepare reports

• Standardized system-wide definitions allows for increased inter- and intra-campus collaboration

– Easy to Use • Web-based solution with a single system-wide view of spend data

– Identifies Cost Saving Opportunities • System-wide data can be leveraged for price reasonableness checks and supplier

negotiations • Spend visibility contributes to the development of sourcing, forecasting and planning

strategies

Spend Analytics Overview

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• Procurement Leadership Committee (PLC) – Procurement leadership from each campus and UCOP who provide overall strategic

vision, decision-making and project endorsement

• Governance Committee – A small group of campus subject matter experts who support the Core Team in

implementation activities, including solution and best practice recommendations

• Single Point of Contacts (SPOCs) – Campus resource who is the first point of contact and campus champion for all P200

projects

• Campus Primary Representatives (CPR) – Campus data subject matter experts who communicate campus needs and requirements

and participate in testing activities

• Core Team – UCOP team who executes the day-to-day implementation and project management

activities in close partnership with all campuses

Project Participation

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All campuses have participated from the RFP/vendor selection phase through configuration, testing and implementation

Training Timeline

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January February Ongoing

Training 1 Training 2 Training 3

Training 1 – Webinar Training 2 – On Campus Training 3 – Ongoing Webinars

• NorCal Intro – Tuesday 1/8 • SoCal Intro – Thursday 1/10

• UCSF – Wednesday 1/9

• UCB/UCOP – Monday 1/14

• UCR – Wednesday 1/16

• UCI – Thursday 1/17

• UCD – Tuesday 1/22

• PLC – Wednesday 1/23

• UCM – Thursday 1/24

• UCSC – Tuesday 1/29

• UCSB – Friday 2/1

• UCLA – Wednesday 2/6

• UCSD – Thursday 2/7

• Ongoing Scheduled Webinars – topics TBD

Go-Live 1/7

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Spend Analytics Scope

The focus of the Spend Analytics tool is to answer four key questions:

• What are we buying? – Commodity, item, good, service, etc.

• Who are we buying from? – Supplier

• Who is buying? – Campus, Department

• How are we buying? – Purchase Order, PO & Invoice, Non PO, etc.

Spend Analytics Scope

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Data Definitions

Term Definition

Spend Spend is defined as expenditures paid to an entity external to the University of California System that has been recognized in the General Ledger for a good or service procured by an authorized representative of the University. A spend transaction corresponds to one expense line on the General Ledger.

Note: the definition of “sourceable spend” is out of scope for Phase 1

Spend Date The date a Spend transaction is posted to the General Ledger. This is often called the Expenditure Date or Posted Date.

Customer The Department aligned to the General Ledger Spend posting.

Payee The external entity receiving payment from the University of California. For Procurement Cards: US Bank is considered an authorized representative of the University of California; therefore, the external entities paid by the bank will be considered payees, not US Bank.

• To answer the four questions consistently system-wide, we established a common set of data definitions

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Spend Analytics Scope Area What’s In What’s Out

Audience • Central Procurement Buyers / Commodity Managers

• Analysts • Executives (Procurement Leadership

Council Members)

• Medical Center Procurement • eProcurement Operations/Support • Small Business • Contract Managers • Asset Management • Non-Procurement Resources

o Accounts Payable

Data Sources • Campus Financial Systems • External source feed:

o Pcard (US Bank)

• Secondary Source Systems (examples)*: o Food (Foodpro, Computrition) o Catering o MRO (Maximo) o Storehouse o Bookstore o Library

• Vendor Provided Spend Data • Medical Center • National Labs *Summary level information should be available in Spend Radar if payments are made by AP

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Spend Analytics Scope Area What’s In What’s Out

Data Type • Line Item Detail information from Campus Financial System: o Purchase Order info o Accounts Payable info o eProcurement transaction info

• External source feed: o Pcard info

• Employee Reimbursements (at the summary level)

Varying levels of detailed spend information will exist in Spend Radar based on Campus ERP data capabilities

• Secondary Source line item detail information from systems mentioned in the Data Sources section

• Contract Information • Recharges (within the UC) • Compensation (including Payroll) • Encumbrances

Data Refresh

• Go-Live – fiscal year 2011 and 2012 • Two years plus current fiscal year of

spend data • Monthly refreshes

• Spend data older than two years plus current fiscal years

Data Visibility

• End Users will have spend data visibility across all campuses

• Limiting campus views and data to End Users

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Spend Analytics Scope

Area What’s In What’s Out Reports /

Bookmarks • Spend Radar refers to Reports as

Bookmarks • Key elements include: Spend Amount,

Vendor, Campus, Department, Transaction Type, Fund, Date, and Commodity

• Re-creation of campus-specific reports • Contract Reporting • System-wide reports including:

o System-wide KPI report o Strategic Sourcing report o Transparency report o Diversity report o Sustainability report o Equipment report o Price schedule report

User Interface

• All users will have the same views and functionality

• Limiting the dashboard views, tabs and functionality based on user role

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A look into Spend Analytics

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Spend Analytics

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Spend Analytics Navigation Training

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Guiding Principles for Using Data

• Remember that the data provided is only a part of that Procurement transaction. Reported prices may include other variables such as extended warranties, delivery methods or other special pricing considerations

• Understand the context, need and intended recipient of the data request – Just because you can, doesn’t mean you should run every report request!

– Use discretion, especially if the request is to run a report against a different campus

• Data is self-serve – pull the data yourself and clarify, if needed

• Use wisely and with discretion – this is a powerful tool!

• Got questions? Contact your Campus Primary Representative

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Next Steps

• User login and password information – Will be distributed via email by Spend Radar (users who already have access to the

application will not receive an email)

– Expect to receive in next 12 hours. Contact your Campus Primary Representative if you do not receive the email

• Check for the email in your spam / junk mail folder if experiencing lengthy delay

– Upon email receipt, log into application and update password

– Familiarize yourself with the application prior to training (time permitting)

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Next Steps

• Attend in person campus training – Bring user log-in credentials with you and ensure you have updated your

password

• Additional questions prior to training – please reach out to your Campus Primary Representative

Campus Representative Contact

UCI Gordon Cole dgcole@uci.edu

UCSD Gayle Ta gta@ucsd.edu

UCM Terry Thun tthun@ucmerced.edu

UCSB Henry Chen henry.chen@purchasing.ucsb.edu

UCLA Nancy Jong njong@finance.ucla.edu

UCD Lia Scott liascott@ucdavis.edu

UCR Russ Lewis russell.lewis@ucr.edu

UCSC Mike Steele masteele@ucsc.edu

UCSF/UCB Andrew Clark andrew.clark@ucsf.edu

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Questions

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Thank You

Appendix – Spend Analytics Toolbar

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• Quick access toolbar provides easy access to frequently used commands – Clear: Clears all selections (CRTL+SHIFT+D)

– Back: Reverts to the preceding selection state

– Forward: Moves one step forward (provided you have used Back button)

– Undo: Undoes the last layout action

– Redo: Redoes the latest undone layout action

– Lock: Locks all selected cells/filters

– Unlock: Unlocks all locked cells/filters

– Current Selections: opens the current selections window

Appendix – Spend Analytics Overview

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• Search Box (A) – input data elements to find in solution

• Overview Information (B) – quick information view such as filtered spend, number of Vendors, POs, Invoice, Lines, Date Range

• Data Source (C) – select between campus financial system data or US Bank Pcard data

• Campus Filter (D) – select all, multiple, or single campus data view

• Date Select (E) – data can be filtered by date range criteria such as quarter, month, year

• Current Selections (F) – displays the current selections user has selected

A

B

C

D

E

F

Appendix – Dashboard Containers

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What are we buying? Who are we buying from?

How are we buying? Who is buying?

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Appendix – Tabs Overview

Tab Overview

Dashboard View system-wide spend data and filter by campus, time period, etc. There is a single Dashboard for all users.

Category Analysis Analyze spend by category based on a variety of dimensions.

Price Analysis Identify items or like items and view prices paid across the system

Opportunity Assessment

Analyze potential savings and sourcing opportunities based on spend data. Assessment opportunities are updated as spend data is added.

Custom Report Create reports using any dimension or metric available in the solution.

Selections Filter data based on all available fields and associated values.

Advanced Filter View Supplier, Invoice and PO data sorted into pre-established thresholds.