Leveraging Technology to Transform a Purchasing Organization
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Procurement is increasingly looked upon to not just drive further cost reductions, but also help mitigate risk, meet sustainability targets and support a range of other objectives. World class organizations are transforming themselves to rise to the challenge and continue delivering greater results. Automation is a key enabler for such transformations, streamlining processes and freeing employees from tactical work. Join this session to hear how Fujitsu, the leading Japanese information and communication technology (ICT) company, leveraged an integrated suite to empower its staff and transform the function into a strategic value driver.
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Leveraging Technology to Transform a Purchasing Organization
- 1. Leveraging Technology to Transform a Purchasing Organization Andrew Croston Chief Procurement Officer Fujitsu © 2013 Ariba, Inc. All rights reserved.
- 2. Delivering Measurable Benefits Value to Companies of All Sizes, Industries, Regions Supplier ValueBuyer Value Sourcing Procurement Process AP Process Compliance WCM & Discount 3-9% Process Savings $3-20 Savings/ Document 1-8% Spend Savings Total Savings Faster Payment AR Process Processing Orders Sales & Marketing Increased Revenue 15-75% Time Savings 15-75% Process Savings 5-32% Revenue Increase Total Savings Source: Ariba customer surveys and interviews 2 © 2013 Ariba, Inc. All rights reserved.
- 3. Ariba Collaborative Value Chain – Direct, Indirect, Services 3 •Spend Data Enrichment •Spend Analysis •Contract Collaborat ion •Authoring •Repository •Requisition Ownership •Catalog Compliance •Contract Compliance •Approv al Workflo w •PO Collaborat ion •PO Transmissio n •Goods & Services Receipt •Invoice Receipt •Invoice Compliance •Invoice Approval •Exception Workflow • Awareness Marketing •Lead Collaborat ion •Proposal Collaborat ion •Bidding Opportunit y •Contract Collaborat ion • Contract Repository •Catalog Collaborat ion •Catalog Syndication •Requisition Collaborat ion •Specificati on Negotiation •Order Collaborati on •Order Status •Invoice Delivery •Invoice Collaborat ion •Supplier Info; Performance Mgmt; Supplier Research •Company Profile Mgmt •Customer Account Management Buyer’s Processes: Analyze to Pay Supplier’s Processes: Market to Cash •Payment Collaborat ion •Discount Collaborat ion •Payment Collaborat ion •Payment Visibility •Working Capital Collaborat ion •Category / Project Mgmt •RFI / RFP / Auction Collaborati on •Savings Tracking & Pipeline © 2013 Ariba, Inc. All rights reserved.
- 4. Speaker Bio - Andrew Croston © 2013 Ariba, Inc. All rights reserved.4 • Andrew Croston is the Chief Procurement Officer at Fujitsu Services. Andrew is currently moving the procurement organisation towards a new operating model to drive consistency and efficiency across the UK and International team. The initiative includes centralising 3rd party contracts, standardising strategic sourcing methodologies as well as a wider Procure to Pay project. Andrew’s background is in large public and private sector procurement programmes for Her Majesties Revenue and Customs, the Ministry of Defence and Corus Steel. He also set out ‘how to procure the London 2012 Olympic Games’ working for the Olympic Delivery Authority (ODA). Andrew is a Fellow of the Chartered Institute of Purchasing (CIPS) and Supply and also a member of the CIPS Management Council.
- 6. Fujitsu in Context 6 © 2013 Ariba, Inc. All rights reserved.
- 7. 7 Long and Winding Road
- 10. Why Ariba?
- 12. Managing Complexity Procurement as a Service Procurement Bid ManagementStrategic + Complex
- 13. Challenges
- 14. In Summary
- 15. 15
- 16. Please Complete Session Survey © 2013 Ariba, Inc. All rights reserved.16 Find Session in Schedule Click Choose one Rate Session Thank you for joining us Click Survey and Select Breakout Session Survey
Notas do Editor
- Ariba’s On Demand applications and the Network generate measurable value to organizationsBuyer’s experience significant savings that fall right to the bottom lineSome savings are obvious (see above) but others less so. For example, a large Oil company was able to significantly cut inventory of replacement parts in its refineries due to the visibility into order status the network provided. This visibility not only enabled the managers to focus on the operations instead of whether a critical shipment was going to come, but also enabled them to reduce the excess inventory they needed as safety stock to ensure the refinery didn’t go downSuppliers experience savings through the automation of non-value added activities (like AR clerks having to call their customers each month to see when payments will be made)Suppliers also see top line growth from participation on the network – including net new business and increased wallet share with existing customers