Advanced Procurement: What's New in E-Business Suite Release 12: The Procurement Professional's Release

Advanced Procurement
Whats New in E-Business Suite Release 12: The Procurement Professionals Release
Mary Burns
A Decade Of Procurement Innovation

Whats Wrong With This Picture?
Professional Buyer
Employees & Business Managers
Suppliers & IT Departments
Accounts Payable
Sourcing Mgrs & Budget Holders
HR & IT
Data Analysts & Category Managers
Legal and Contracts Managers
Data Analysts & Project Managers
Procureto-Pay
eProcurement
Supplier Enablement
eInvoicing
Sourcing
Services Procurement
Analytics
Contract Management
Spend Data Management
1995
2000
2005
As niche start-ups drove action at the edges, the tools needed for the daily business of procurement were taken for granted
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract
Agenda
Procurement Challenges & Opportunities How Oracle Delivers A Look at Release 12
Oracle Advanced Procurement

The Integrated Suite that Dramatically Cuts All Supply Mgmt Costs
Spend Categories
Reduce Spend on Goods and Services

Spend Analysis Online Sourcing Category Management
Supplier Collaboration
Orders
Indirect Goods
Streamline Procurement Processes

Services Approval Routing Touchless Buying Automated Payment
Supplier Portal
Logistics
Engineered Goods Contract Management
Settlement Budget-Based Procurement Supplier Performance Profile Management Supplier Network
Direct Materials
Enforce Policy Compliance
Reduce Spend on Goods and Services

Increase Sourcing Efficiency and Effectiveness
RFI / Survey RFQ Online Auction Agreement Creation Blanket Agreements Automatic Implementation Global Agreements Signed Contracts Purchase Orders Requisitions Sourcing Rules
Online negotiations Online expert

collaboration
Templates, standard
Ts & Cs Two-way MS Word integration 1-click renegotiation for agreements
Automatic price &

terms enforcement
Preferred supplier
enforcement
Award optimization
Exploit Savings Opportunities and use Open Competition to Improve Price / Terms
Streamline Procurement Processes

Reduce Manual Effort to Free Staff for Higher-Value Activities
Apply AutoSource Rules
Apply Agreeme nt Terms & Condition s
Create Purchas e Order
Dispatch Electroni c PO to Supplier
AutoApprove Minor Changes
Receive Goods or Services; Inspect
Receive Electroni c Invoice
Pay Supplier (EFT)
Transaction Execution Procure-to-Pay Automation
Higher Value Activities

(e.g., program management)
Higher Value Activities

(e.g., supplier development)
Enforce Policy Compliance

Identify and Rectify Policy Violations
Rejections
Configurable
Purchasing Professional
Indirect & MRO
Return or Modify Reqs Approvals Exceptions
workflow & automation of routine transactions

BuyerAssisted Purchasing Transactions
Automatic
bubble-up of exceptions
Direct Materials
Single point for

defining and enforcing purchasing policy
Services
Demand Sources
Designed Matls
Demand Queue
Rules Config. Automation
Document Creation
Automatic
Release 12 -- Rethinking the Routine

Automate Routine Tasks, Focus on High-Value Activities
Strategic
Oracle Advanced Procurement
Supply Optimization
High
Spend Analysis
Contract Negotiation
Value
Medium
Monitor & Review Controls
Internal Benchmark Delivery
ProjectBased Procurement
Low
Answering Supplier Queries
Helping Requesters
Managing Content
Creating Manual Orders
Advanced Procurement R12

The Procurement Professionals Release
Unified Workcenter For All Procurement

Responsibilities
Improved Support for Complex Goods & Services
Expanded Supplier Management and Enablement
Professional Buyers Work Center

Enable Command & Control for the Procurement Professional
Professional Buyers Work Center
Exceptions Agreements Performance Analysis
Negotiations
Contracts & Agreements
Requisitions
PO Execution
Supplier Management
Invoicing & Payment
View exceptions across multiple applications and operating units Create, implement, and execute agreements Analyze performance of procurement & suppliers
Single Access Point for All Responsibilities
Professional Buyers Work Center (cont.)

Enable Command & Control for the Procurement Professional
Intuitive UI and
streamlined workflows
Status at-a-glance
Multi-Org Access
Control for shared services
Extensive options
for personalization
Two-Way MS Word Synchronization

Automatically Import Redline Changes for Superior Compliance
Streamline internal
Contract Administrator Oracle Procurement Contracts Identify modified clauses Review changes in detail Accept / reject offline changes
collaboration and supplier negotiation by allowing key stakeholders to be involved in the contract review process
XML edits
XML edits
Improve contracting
efficiency while reducing effort
Minimize errors and risk

Legal Stakeholders Supplier
from manual updates
Two-Way MS Word Synchronization (cont.)

Automatically Import Redline Changes for Superior Compliance
Accept or Reject offline changes
Review each change in detail
Identify modified clauses at a glance


Responsibilities
Complex Requisition Approvals

Graphically View Approval Chain & Requisition Status
Parallel Approvals Position Hierarchy Support
Notify multiple approvers of

a requisition simultaneously
Define approval routing structures that remain stable

even if individuals / organizational structures change
Reduce approval cycle time
Minimize workflow maintenance
Support for Viewers
Keep people informed of business purchases and

decisions without requiring a response
Maintain key stakeholder engagement & oversight
Team Scoring of Requirements

Technical Team
John = 90 Mary = 85 Sue = 80
Each team member

Quote ABC
Technical Capabilities (40% weight)
scores the assigned section
Commercial Team
Sue = 75 Doug = 80 Tina = 85
Technical Capabilities
Price Past Performance
= 34 = 32 = 17
Oracle Sourcing
calculates average of individual score sheets to determine section score
Price (40% weight)
Sum of team scores

determines overall response score (as input to optimization)
Quality Control Team

Alan = 90 Mark = 80
TOTAL SCORE: 83
Past Performance (20% weight)
Procurement for Complex Services

Source to Settle Support for Complex Payments
Supplier Collaboration
Request for Service Examples:
Negotiat e Agreeme nt Negotiate Payments:
Advance s Make Payments:
Receipts
Invoice
Payment
Validate:
Match:
Enforce: Terms
Facilities
services Landscaping services Architectural services
Milestones Rates Advances Retainage Lump sums
Track project
details
Timecards Receipts Work

confirmations
Agreements Invoices Receipts
Recoupment
of advances
Release of
retainage
Drive Consistent Execution of Negotiated Terms & Conditions in All Spend Categories
Procurement for Complex Services

Define Progress Payment Schedule
Define progress payments - rate, lumpsum & milestone pay items
Suppliers provide timecards, receipts, and work confirmation

information that are matched with agreements and invoices
Settlement drives release of recoupment of advances & retainage



Responsibilities
Prospective Supplier Registration

Reduce Overhead with Self-Service Registration
Supplier Requests Supplier Registration Review & Approval
Use corporate website

to allow interested prospective suppliers to register
Configure qualification
details captured during registration
Use request details to

customize approval flow
Define req. elements

of supplier profile
Enable approvers to
update details
Include customized
questionnaires* as part of registration
Notify suppliers via

email once registration request has been approved / rejected
* Requires iSurvey
Supplier Management User-Interface

Streamlined Supplier Profile Management
To Do List for requests Create supplier Search or drill down to supplier details
Unified Catalog Architecture

Establish a Single Authoring, Ordering, & Maintenance Environment
Sourcing User
Add new items from award lines
Catalog Admin
Bulkload / online author & update content
Buyer Punchout & transparent punch-out
Supplier
Upload and maintain content
Catalog
Approval workflows
Requester
Buyer
View, approve, add, edit, and delete items
Reduce Maintenance Efforts and Drive Spend Visibility
Content Security with Content Zones

Provide the Right Content to the Right People
Partition content into zones
Content Zone 1 Suppliers A B C
Combine zones to create stores
Grant access by OU or responsibility
Marketing Exec
X Y Z Categories
Catalog
Content Zone 2 Suppliers A B C
Promotional Items Professional buyer
X X X
X X
Industrial MRO Maintenance
X Y Z Categories
Improve control over what end users can see & user buying experience Execute organizational unit-specific procurement strategies Reduce risks associated with sensitive categories
Tolerance Based Auto-Approvals

Automate Processing of Routine Change Requests
Touchless Processing
Supplier Change Orders / Requests Supplier Portal
Within Requesters tolerance?
Exception Processing
Approver No
Route to Requesters hierarchy
Yes
Within Buyers tolerance?
Buyer No
Route changes to Buyer
OSN*/ XML / EDI
Yes
PO updated & submitted to approval workflow
eMail
Yes
PO changes within limits?
Purchasing Mgr No
Route changes to buyers hierarchy
PO Approved
Fax
Self-Service Supplier Scorecarding

Drive Improvements w/ Access to Supplier Performance Management
Supplier management KPIs
Spend analysis trend
Evolution of Oracle Advanced Procurement

Base Differentiators New in 11i.9 New in 11i.10
Self-service enterprise
requisitioning from suppliers or internal stock Integrated asset and production planning Self-service supplier inquiries and transactions, (e.g. VMI and self-invoicing) Flexible invoice matching including match to receipt Automatic invoice and debit memo generation Project- and budgetarybased purchasing Multi-attribute scoring for reverse auctions and RFQs Open platform for demand, orders, receiving, invoices Integrated spend and supplier intelligence Workflow-driven automation
Global agreements Supplier managed and

consigned inventory Requester and supplier change requests Supplier registration and profile management Collaborative sourcing Requester stores for secure content zones Patent-pending transparent punch-out One-click renegotiation of blanket agreements Expanded XML support including cXML for easing Ariba migrations Time-phased pricing for direct materials Commodity intelligence
Services procurement
contingent labor & bus services, negotiation through payment Procurement contracts global T&Cs standards, negotiation, doc & change mgmt, compliance Formula-based pricing & tiered discounts (Advanced Pricing) Retroactive pricing including automated invoice adjustments Negotiate with subjective scoring and what-if analyses Automatic bid scoring and award (Sourcing Optimization) Shared services procurement Requisition SmartForms LPN & lot/serial receiving Supplier managed banking
Evolution of Oracle Advanced Procurement

New in R12
PLUS
Professional Buyers WorkCenter 2-way MS Word integration Complex requisition approvals w/

requestor-directed procurement, parallel & position hierarchy approvals
Shared services support Supplier catalog authoring Advanced pricing

integration
Work confirmations Retainage &

authorization of release
Team scoring of sourcing rqmts Procurement for complex svcs Prospective supplier registration Supplier mgmt user interface for
supplier profile management
eTax integration Document styles Negotiation styles Negotiation drafts Automatic scoring of
requirements
PO lifecycle tracking Non-PO invoices Clause usage &

compliance analysis
Supplier-managed
user admin
Unified catalog architecture Content security w/ content zones Tolerance based change order
auto-approval
Supplier knockout criteria Payment advances &

recoupment
Progress payments based

on milestones, rates, & lump sums
Self-service supplier scorecarding

Advanced Procurement: What's New in E-Business Suite Release 12: The Procurement Professional's Release

Transféré par

Informations du document

Titre original

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

Advanced Procurement: What's New in E-Business Suite Release 12: The Procurement Professional's Release

Transféré par

Droits d'auteur :

Formats disponibles

Advanced Procurement

A Decade Of Procurement Innovation

Employees & Business Managers

Suppliers & IT Departments

Sourcing Mgrs & Budget Holders

Data Analysts & Category Managers

Legal and Contracts Managers

Data Analysts & Project Managers

Spend Data Management

Procurement Challenges & Opportunities How Oracle Delivers A Look at Release 12

Oracle Advanced Procurement

Reduce Spend on Goods and Services

Streamline Procurement Processes

Engineered Goods Contract Management

Settlement Budget-Based Procurement Supplier Performance Profile Management Supplier Network

Enforce Policy Compliance

Reduce Spend on Goods and Services

Online negotiations Online expert

Automatic price &

Streamline Procurement Processes

Apply AutoSource Rules

Apply Agreeme nt Terms & Condition s

Create Purchas e Order

Dispatch Electroni c PO to Supplier

AutoApprove Minor Changes

Receive Goods or Services; Inspect

Receive Electroni c Invoice

Pay Supplier (EFT)

Transaction Execution Procure-to-Pay Automation

Higher Value Activities

Higher Value Activities

Enforce Policy Compliance

Indirect & MRO

Return or Modify Reqs Approvals Exceptions

workflow & automation of routine transactions

Single point for

Rules Config. Automation

Release 12 -- Rethinking the Routine

Oracle Advanced Procurement

Monitor & Review Controls

Internal Benchmark Delivery

Answering Supplier Queries

Creating Manual Orders

Advanced Procurement R12

Unified Workcenter For All Procurement

Improved Support for Complex Goods & Services

Expanded Supplier Management and Enablement

Professional Buyers Work Center

Exceptions Agreements Performance Analysis

Contracts & Agreements

Invoicing & Payment

Professional Buyers Work Center (cont.)

Two-Way MS Word Synchronization

Minimize errors and risk

from manual updates

Two-Way MS Word Synchronization (cont.)

Accept or Reject offline changes

Review each change in detail

Identify modified clauses at a glance

Advanced Procurement R12

Unified Workcenter For All Procurement

Improved Support for Complex Goods & Services

Expanded Supplier Management and Enablement