What are the options for sellers and buyers collaborating on catalog content? Join a panel of leading sellers and buyers as they discuss their catalog strategies and preference for hosted CIF versus PunchOut catalogs. Learn how leading sellers use the Ariba Network to drive exposure of their product content to procurement organizations and individuals at their key accounts, while leading procurement organizations use online catalogs to drive up compliance to contract terms and to improve the user experience.
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Best Practices in Catalog Strategies
1. Michiel Dorhout Mees, eBusiness Commercial Manager, Dimension Data
Philip Remington, Digital Marketing & E-Commerce Manager APAC, Insight Enterprises / August 30, 2016
Best Practices in Catalog Strategies
Public
5. Wholly-owned
subsidiary of
NTT Group
Global footprint direct
presence 58 countries
Preferred partners in
100+ countries
ICT provider since
1983 Our FY15 turnover
is USD 7.5bn
Clients include 75% of
Fortune 100 &
60% of Fortune 500
Global Top
Employer of
31,000+ employees
Strategic partners
– Cisco, EMC,
Microsoft, SAP,
and Deloitte
Who we are
Official technology
partner of A.S.O.,
organiser of the Tour
de France
Title partner of Team
Dimension Data
for Qhubeka
6. Access (or edit)
quotes we create
for you
View reports,
ETAs and
invoices
Submit your PO on-line
Connect via
Ariba Punchout
to access these
functions as part of
your ERP process
Build your own product
and services quotes
using integrated vendor
tools
Pay by Credit Card for smaller
purchases
About ‘Direct’ – Dimension Data’s
eBusiness Solution
7. What Ariba Punchout means for our clients
For our clients
• Added value to SAP Ariba
solutions
• Eliminate off-contract/rogue
buying
• Vendor specific configuration
tools
• Receive rich data
(UNSPSC)
• No re-keying of information
• Reporting
For Dimension Data
• Customer loyalty and
collaboration
• We become embedded in
the client’s procurement
process
• Streamlines accounting
process
For both customers and us
• Accurate orders
• Reduces the cost/risk of doing
business
• Collaboration via a single
document
• Fast order processing and
fulfilment
• Secure environment
8. Building the Ariba Punchout
relationship:
Value and flexibility August 2016
11. 26
Client’s ultimate goal…
Licensing via third party IT Service Management
Products via hosted catalogues
Managed and Professional Services and Products via Ariba Punchout
Licensing, Managed and Professional Services and Products via Ariba Punchout
Premium Products only available to certain users
12. Value
Work with the client
We collaborated with the client to deliver a solution that worked for them and us
20. 35
DIRECT
ANID:123456789
CIF
CSV
B2BB2B
CIF
CSV
DIRECT
PO
PO
cXML PO
• Multiple accounts using one ANID from SAP Ariba software
• Three different sources of catalogue data (Ariba Punchout, CSV, CIF)
• Customised user access to content
• Leverages the established processes
• Number of transactions per month: 150+ (ranging from $10.00 to $10M)
• Total cost to client: $0.00
21. 36
What have we learnt over the years?
• We recommend Ariba Punchout over CIF files where possible
• Increased price accuracy
• Easier update process
• Improved order accuracy
• Be part of the client’s SAP Ariba solutions rollout - or soon thereafter
• Simplified testing
• Deliver a more customized solution
• Better and earlier training opportunities
• Work with the client at a strategic level, not end-users
• Helps to eliminate “This-is-the-way-we’ve-always-done-it” mentality
• Talk to your supplier!
• How to realize the ROI
23. Insight PresentationInsight’s Tagline Would Go Here Insight Presentation
Best Practices in Catalog Strategies
Phil Remington, Digital Marketing and eCommerce Manager, APAC
25. Insight Presentation
• 20 years’ eCommerce experience
• SAP Ariba Solutions Supplier since 2001
• Over 30 ANIDs globally
• SAP Ariba Solutions Ready Platinum Seller
INSIGHT AND SAP ARIBA SOLUTIONS
26. Insight Presentation
The importance of maintaining good data
Accurate pricing
and product
data in
catalogue
Approved order
is submitted to
supplier with
required
information
Supplier is able
to process order
without manual
intervention
Supplier can
auto-invoice
client without
data mismatch
27. Insight Presentation
The effect of bad data
Supplier is unable to
process PO; has to
manually intervene
and request buyer
resubmission
Buyer manually
corrects the order and
resubmits PO
28. Insight Presentation
The effect of bad data
Inaccurate
catalogue
data/ad hoc
requisition
Approved
order is
submitted to
supplier
Order fails on
arrival at supplier,
who has to
manually correct PO
and resubmit
internally
Supplier processes
invoice, which is
submitted to
buyer
Invoice data cannot
be reconciled with
PO data; invoice fails
and must be
manually processed.
29. Insight Presentation
Calculation of quotation time and cost
Average hourly salary
of Client Services
Teammate
$22
Time taken to process
a quote/correct a
purchase order
10 mins
Average cost of manual
quote/order correction
$3.67
30. Insight Presentation
‘The human factor’
Teammate repeatedly
keys in same quotes
Teammate becomes
demoralised and loses
focus
Possibility for human
error increases
31. Insight Presentation
An example of learning the hard way!
Global organisation, existing relationship with Insight US
Catalogue expansion into 12 APAC countries
Requested exact catalogue replication (000s of parts)
Largely manual effort; huge potential for inconsistency
32. Insight Presentation
• Changes the Buyer-Supplier conversation
• Buyer can identify cost-saving potential, e.g. volume
discount
• Supplier can use data to cross- or upsell
• Remove redundant parts, recommend replacements
BENEFITS OF GOOD CATALOGUE DATA
33. Insight Presentation
A quick example
Major
Australian
bank
Decentralised
offshore
procurement
process
High order
volume
Dual pricing
model
Little variation
in requested
products
34. Insight Presentation
Result of integration
More coherent
procurement
strategy
Client was able
to enforce
internal
processes
Improved
Buyer/Seller
relationship
Used purchasing
data to cross-sell
and recommend
improvements
35. Insight Presentation
What have we learned?
• Ariba Punchout > CIF
• Cost and time savings are important, but don’t forget the human
factor behind it!
• Collaboration on good data is key:
• Reduce human intervention
• Be realistic on catalogue content
• Use data insights to improve purchasing strategy
• Keep at it, and be vigilant!
• Enforcing adherence to a buying process will often improve, not
damage, a Buyer-Seller relationship