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Enterprise SRM Procure to Pay Update

Enterprise SRM Procure to Pay Update. Tom Anthony Sr. Director, Product Strategy. Legal.

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Enterprise SRM Procure to Pay Update

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  1. Enterprise SRMProcure to Pay Update Tom Anthony Sr. Director, Product Strategy

  2. Legal The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decision. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

  3. Thought of the Day On Wednesday, at two minutes and three seconds after 1:00 in the morning, the time and date will be: 01:02:03 04/05/06

  4. Agenda Topics • Procurement in General • Enterprise SRM Update: 8.9, 9.0, and beyond • Fusion Overview: A Procurement Perspective • Activities between now and ‘08

  5. Business Challenges • Organizational Challenges • Insufficient policy influence • Fragmented processes • Staff consumed by routine processing • Increasing Savings Targets • Same or greater % every year • Resource constraints – “save more with less” • Inflation, currency fluctuation ProcurementOrganization • Compliance Concerns • Low visibility • Contract leakage • External Pressures • Outsourcing • Regulatory

  6. Goal: World Class ProcurementDrive 60% Higher Savings on Procurement Investment Shift investment in procurement to higher-value activities Reduce staff by swapping labor for technology Source: Hackett Group

  7. Best Practice Maximize Self-Service Enforce approval and tendering policies Leverage Automated Sourcing Tools Control budgets via tolerance and exception notifications Establish and monitor spend objectives Utilize Procurement Cards Benefit Focus on strategic activities Gain visibility and control over spending Improve internal policy compliance Maximize contract spend Leverage supplier base Improve productivity Best Practices Procurement

  8. Best Practice Eliminate paper invoice (use ERS, web-invoicing, XML/EDI) Enable supplier self-service Leverage auto-matching rules Enable duplicate invoice/vendor setup checking Limit non-PO invoices Benefit Improve internal policy compliance Improve productivity Improve accuracy Take advantage of payment discounts Reduce supplier inquiries, increasing time analysts can spend on more value-added projects. Best Practices Payables

  9. Procurement Transformation High Strategic Procurement Value Creation Collaborative Procurement Supply Optimization All Categories, All Processes Cost Procurement Touchless Buying Policy Enforcement Contract Negotiation Spend Management Strategic Value Tactical Buying Create Manual Orders Answer Supplier Queries Help Requesters Manage Content Low Low High Maturity

  10. What Customers Are Achieving… automated and streamlined procurement process saved $120,000 per month with reduced payment times reduced prices by 10-30% buyers now focused on strategic activities saved 20% of spend in Food and Beverage category reduced inventory levels by 50% saved $1.5 – $2M annually, positive ROI < 3 years saved over $75M from contract consolidation increased productivity led to multi-million dollar savings

  11. Orders Indirect Goods SupplierPortal DirectMaterials Logistics EngineeredGoods SupplierNetwork Settlement ProfileManagement Services PeopleSoft Enterprise SRMThe Integrated Suite That Dramatically CutsAll Supply Management Costs Reduce Spend on Goods and Services DemandCollection SupplierCollaboration SpendAnalysis CategoryManagement OnlineSourcing Streamline Procurement Processes ApprovalRouting TouchlessBuying Automated Payment Budget-BasedProcurement ContractManagement SupplierPerformance Enforce Policy Compliance

  12. eProcurement 8.9:Simplified ProcessingAccelerate Self-service Adoption • 3 step process simplifies requisitioning • Line Level Approvals • Mass approvals and email-based approvals • Redesigned pages provide more information with fewer clicks

  13. Services Procurement 8.9 Greater control and oversight Capture More Spend, More Efficiently Extend Services Spend Programs Across Globally Improve Total Workforce Management • Vendor-managed services • Skills matrix • Deliverable-based expense capture • Multi-resource work order • Multi-project work order • Improved notifications • Global time and expense reporting • Multiple time-based work order alerts • Full rate sheet breakdown structure, including expenses • HCM Person ID integration • Normalized terminology with HCM • Integration to HCM Talent Acquisition Manager module

  14. PeopleSoft Enterprise SRM 8.9The Contract Lifecycle Management Release Exploit More Savings Opportunities Central Clause Library Document Configurator Collaborative Authoring Online Negotiation MS Word Integration Approval Workflow Agreement Management Version Control Contract Syndication Source and Award Contract Amend, Renew, or Close-out Convert Negotiated Savings into Real Savings Monitor Performance Execute Now available for 8.8! Increase Procurement Process Effectiveness

  15. SRM 9.0 Planned Features Greater Business Insight Buyer Dashboard Superior Ownership Experience Archiving Documentation Reopen Specific Closed Requisitions and Purchase Orders XML upload for Sourcing event creation Extend Customer Investment Contract Mgmt Request for Contract SLA Compliance Contract and Library Upload / Import Misc. Customer Enhancements Amount Only Requisitions Shift and Assignment Support in Services Procurement Special Request, Favorites, and Templates Enhancements Supplier Contract Management 8.8

  16. Fusion Update

  17. Oracle’s Application Vision • Applications driven by business processes • From implicit to explicit processes • Business Intelligence is not an afterthought • Good BI needs to be in the DNA of applications • Applications that can be configured and integrated with ease • Applications must increasingly fit in a heterogeneous environment • Applications that are cheaper to deploy and operate

  18. Oracle’s Core Beliefs • Industry Relevance is a must • We have too know and manage industry processes in minute detail • Application customers want consolidation • Standards always win • At a business level (Rosettanet, HL7, SWIFT etc.) • At a technology level (J2EE, WSI-*, XML etc.) • Providing a full technology stack is an advantage • Significantly reduces cost

  19. Fusion Overview

  20. Recent Activities

  21. Greatest Business InsightInformation You Can Trust • Single data model for single source of truth, but set for heterogeneity • Centralized data with additional data hubs • Embedded analyticsand management reporting • Real-time operational analysisand ability to take related actions • Industry specific KPIs • Open to third party data

  22. Deep and AdaptiveIndustry ProcessesInformation You Can Use • Industry-based configuration • Modularized services • Broad API / web services support • Enhanced interoperability through standards-based, open platforms • User experience personalization • Standards-based extensibility • Tailored business process flows • BPEL Certification

  23. Superior Ownership ExperienceInformation You Can Manage • Automated, tailored installs • Functional components for individual upgradeability • Minimal downtime upgrades • Active system and business monitoring • Self-supporting, self-tuning • In-place education • Packaged integration… from server technology, middleware, to applications

  24. Sample BI by Role

  25. SOA Example: Procure to Pay Other Apps ALM Legacy Purchasing Employee Directory Legacy Inventory 3rd Party Tax Legacy PO/ALM Oracle SOA Requisition Get Approver List Availability Check Calculate Tax Synch PO Data 1 3 4 6 8 <XML> PTP Business Process Create Requisition Approve Source Create PO Dispatch PO Receive Create Invoice 1 Oracle SOA Catalog Punchout Availability Check Electronic PO/ACK ASN Invoice 5 <XML> 2 5 7 9 10 Supplier Inventory Management Order Management Logistics Billing Supplier Websites

  26. Some Benefits to Enterprise CustomersProcurement • XML Publisher (including eText) • Reduced number of batch processes • Improved Blanket Orders • Contract Budget Checking • Retainage • Streamlined change requests • Transparent punch out • Payment terms negotiation • Sourcing Line Grouping

  27. Some Benefits to EBS CustomersProcurement • Graphical Hierarchies (Trees) • Shared reference data (Setid) • Streamlined Internal Orders • Landed Cost • Line Level Approvals • Encumbrance Accounting • Notes and Attachments • Improved Auto-sourcing Logic • Improved Sourcing Optimization • Sourcing Project Management • Word and Excel Integration

  28. Everyone Will Get ThereWhy You Will be Successful… • Best in class intellectual property from PeopleSoft, Oracle, and JD Edwards • Unparalleled level of investment, including applications and server technology divisions • History of successful migration across technologies

  29. Automated Upgrades To Next Releases And To Fusion CurrentRelease NextRelease PeopleSoft Enterprise 8.8 8.9 9 JD Edwards EnterpriseOne 8.11 8.12 Oracle E-Business Suite 11i.10 12 Information Age Applications

  30. Activities between now and ‘08

  31. Breakout Sessions • Ask “how do you”, “has anyone else”, … • Take advantage of “lessons learned” • Influence direction of Enterprise SRM • Influence direction of Fusion

  32. Customer Usage Surveys • What is it? • Online functional usage questions • Why participate? • Provides a source of guidance and input into Fusion process • Where do I find them? • http://www.iouc.org/index.php?mo=st&op=ld&sid=s1_005_fusion&stpg=57

  33. Customer Usage Scripts • What is it? • Scripts that provide insight into the usage and customization profile of your PeopleSoft system for Oracle’s analysis • Why participate? • Provides one source of guidance and input into Fusion process • Where do I find them? • http://www.peoplesoft.com/corp/en/support/user_groups/index.jspLogin to Customer ConnectionClick on SupportClick on User GroupLook under other resources on the right hand side and you will find "SQR Script File and Instructions for Enterprise Customers” • What have you found so far?

  34. Purchasing Summary • 57 purchasing customers in database • Industry breakdown for those customers • Education and Research - 27 • Financial Services - 6 • Communications - 3 • Public Sector - 7 • Health Care - 4 • Life Sciences - 1 • Industrial Manufacturing - 2 • High Technology - 2 • Media and Entertainment - 1 • Professional Services - 1 • Consumer Products – 1 • Blank - 1

  35. Sample:Purchasing Feature Usage Analysis

  36. Q&A

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