TheKeytoSuccessE.Procurementisnotabouttechnologyalone.Savingsareneverautomatic.CentralizedprocurementwillneedtonegotiatetherequiredagreementsStreamliningprocessesEnablingprocesseswithtechnologySimplifypaymentprocessOptimizingthesupplierbase第一頁，共三十六頁。SupplierReadinessE.ProcurementrequiresSuppliercapabilities

Ataminimum:

1.Electroniccatalogcontentfiles 2.Internetaccess

Desired:

3.Inventoryavailability 4.OrderStatus 5.Shippingdetails 6.OrderentryintegrationviaXML第二頁，共三十六頁。TwoCategoriesofProcurementProcurementofIndirectandDirectgoodsandservicesareusuallytheresponsibilityoftwoseparateorganizationsandhavedifferentbusinessobjectivesandstrategiessuchaslongtermcontractsversusspotbuys.Indirect OfficeEquipmentandsupplies,Computer&ITequipment,MRO,Services,Expensedgoodsandservicesnotconsumedinthemanufacturingofaproduct

Direct Rawmaterialsandpackagingmaterialsusedinthemanufactureandassemblyofproducts.

第三頁，共三十六頁。BenefitsLeveragescorporatespendingpowerforlowerpricesEnablesincreaseduseofpriceagreementsandapprovedsuppliersReducestotalleadtimeby50–80%Improvesbuyer’sroleasnegotiatorReducestransactionprocessingtimeandmanpowerAcquisitionInventory

CarryingTransactionCostreductioninthreemajorareas第四頁，共三十六頁。BenefitsExamplesofelectronicprocurementresultsTransaction

CostsAdditional

DiscountsCycle

TimeCompliance

AgreementsCostsper

Transaction-90%-10%-75%+30%PriceTimeCompliance100%100%20

Days60%90%10%5

Days90%第五頁，共三十六頁。BenefitsIntangiblesBenefit

SourcePurchasedUnit

CostReductionProcessEfficiencyBenefits=softwaresolution+processchangeAsapercentageoftotalpurchasecostplusprocesscostforacatalogueditemSoftware-related

BenefitsIncreaseduseofpriceagreementsTransactioncostsreductionAccountspayablecostreductionLeadtimereductionProcurementdataavailabilitySystemsharmon-izationUserinterfacesimplification2–5%*ProcessChange

BenefitsStrategicsourcingleverageComplianceenforcementDemandmanagedLogistics/inventorycostreductionBuyerefficiencyControlsystemsimplificationEnd-userefficiencyAutomatedcontrolsandaudittrailsIncreasedcustomersatisfaction10–15%*PurchasingEfficiencySupplierIntegration第六頁，共三十六頁。SAP,GlobalChemical&PharmaceuticalMarketplaceBusinessChallenge:Chemicalindustry’sonlinesalesincreasingto40%by2005)DisintermediationofchemicalproducersLoweroverallsupplychaincostsIncreaseoverallserviceefficiencyDeeperpenetrationofstrategicaccountsCapturewealthintheneweconomyEDSRole:TechnologyandIntegrationsupportA.T.KearneyLeveragedSourcingNetworkscorporatebuyersandstrategicsuppliersInitialMembers:BASFAGBayerAGDegussa-HulsAGHenkelKgaAKSBAGLindeAGSartoriusAGSiemensAGHeinzWollschlagerGmbH第七頁，共三十六頁。CaseStudy–TruckBayBusinessChallenge:CreateB2BMarketplaceforthetruckingandtruckingmaintenanceindustry.Corporatestartup:Nobusinessprocesses,noinfrastructurearchitecture,andnoexistingsystemsareinplaceforthisEDSSolution:

Deployedtheinitialmarketplacewithin90daysAdopted30suppliersNormalized60,000catalogitemsImplementedMarketplaceinfivemonthsWilladdfurthercustomizationsandreverseauctionsClientValue:

Lowerbuying/sellingtransactioncostsProvidealternatepartscatalogsReducebuyers’inventorycarryingcostsIncreaseproductivityofprocurementprocessesCutlayersfromexistingdistributionchannelsConsolidationofprocurementactivities第八頁，共三十六頁。TradingExchanges:

TheExecutiveDilemmasDoWeJoinanExistingExchange?IfSo,HowDoWePreventOurProductsFromBecomingCommodities?DoWeFormAnExchangeWithOneorMoreofOurCompetitors?How?We’veHatedThemforDecades?DoWeStartOurOwn?WillAnyoneJoin?第九頁，共三十六頁。TheEnginesthatwillPowerCovisintIntegrationEngineCommunicationEngineCollaborationEngineProcurementEngineCovisintisstillanovelty,butitwillbecomeacriticalcomponentineverysupplierse-businessstrategy第十頁，共三十六頁。ProblemSummaryLackofconnectivitytoallsuppliers/allcustomersPushvs.PullBatchvs.RealtimeCostofcommunication/EDIMapsRequiresPersonnelInterventionBuildsInventoryProblemSummary第十一頁，共三十六頁。Real-timeVisibilityofInventory,

Consumption,Shipments,andForecastsTier-2managesmaterialflowtoTier-1,andtoTier-1'sinventoryBenefits:EliminateexcessinventoryReducedexpeditingBetterplanning/executionEconomicallycommunicatedemandforecast/deliverynotificationstosuppliersInternet/ANX第十二頁，共三十六頁。Today’s

Solutions:ProviderealtimedataflowWebBrowserVisibleSystemtoSystem–XMLCompatiblewithEDIMultiplefulfillmentprocesses AbletoconnectwithemergingexchangesDeliveringbigresultsquicklyWINWINforbothsidesofthesupplychain Today’sSolutions:第十三頁，共三十六頁。CollaborativeManufacturingWorkshop

第十四頁，共三十六頁。Howclosearewetoa5-daycar?63daysaway!Source:AMRResearchModuleandComponentWarehouseModuleandComponentSupplier(3dayProduction)AssemblyPlant(6daystoassemble)DistributionCenterandOutboundLogisticsOEMRegionalOfficeDealerConsumerOrder=1daySalesOrdertoRegion=5daysOrdertoDC=N/AOrdertoProductionSequence=25daysCheckComponentInventory=2daysOrderModule=2daysDeliverComponent=2dayDeliverCompoent=1dayDelivertoDC=8daysDCtoDealer=11daysRegiontoDealer=N/ADeliverVehicle=2daysOrdertoComponent=35daysComponenttoConsumer=33daysToday’sOrdertoDelivery=68days(andthat’swithoutorderingsteel)Today’sDeliveryDateAccuracy<20%第十五頁，共三十六頁。AcceleratedOTDisEnabledbyInformationVisibilitySource:AMRResearchDoyouhavealime-green2-door,manual,noA/C?VehicleTrackingSystemDealerInventoryDCInventorySalesIncentiveSystemProductionSequencingSystemCRMSystemHowaboutlime-green,2-door,manualwithA/Cwith$100off?InformationVisibility

Isitonthelot?

Isitonatruck?

IsitinDCinventoryIsthereafleetvehiclebeingheldforfuturedelivery?

Isscheduledforproduction?Istheresimilarafleetcarscheduled?

Isitaloyalcustomer?

ArepushingthemodelSpecialoptionpackagesAretheredealerincentives?Istheresomethingclose?第十六頁，共三十六頁。Impactofre-engineeredOTDonSuppliersTypicalimpactoncommoditysuppliers…faster/cheaperIn-sequenceproductionwillbecomemandatoryforcriticalsystemsuppliersLesspressureoncomponentinventoryLittleimpactonmaterialsuppliersCo-locationwillbecomedecidingfactorforchoosingkeysystemsuppliers第十七頁，共三十六頁。e-ManufacturingSolutions

第十八頁，共三十六頁。EnablesmanufacturerstodeliveronpromisesAddressesorderfulfillmentissuescreatedbythee-businessmodeltoconductbusinessthrougheffectiveintegrationEnsuresmanufacturingpeople,processes,andtechnologyarealignedwithe-businessgoalse.ManufacturingDefined

EnablingManufacturingOperationsfore-businessResult:Demandfulfillmentsynchronizedwithdemandgeneration第十九頁，共三十六頁。FinishedGoodsStorageMaintenance/RepairsScrap/ReworkProductionLinesShipping/ReceivingBarCodePrintingBarCodeShippingFastershippinginterfacedtoERPsystemsMaintenanceIntegratedlifecyclemanagementofassetsErrorProofingProductcorrectlylabeledandshippederrorfreeQualityImprovementFirsttimequalityisfasterandcheaperTracking&TraceabilityProductrecallcapabilityLeanManufacturingIncreasingthroughputInventoryManagementIncreasinginventoryturnse-ManufacturingSolutionsEnterpriseTrainingFoundationaltrainingformanufacturingprofessionals第二十頁，共三十六頁。OrderFulfillment-FunctionalAreasProductmarketing,developmentandconfigurationSupplychainnetworkplanningDemandforecastingandplanningSupplyplanningandsourcingManufacturingschedulingWarehousingandinventoryplanningTransportationanddistributionplanningManufacturingExecutionMaintenance,repairandoperationsplanningandexecutionPerformancemeasurementandmonitoringPlanExecuteMaintainCollaboration第二十一頁，共三十六頁。StakeholdersCustomers,ResellersSuppliers,Distributors,PartnersCustomerRelationshipManagementMarketingSalesCustomerServiceSellingChainManagementSupplyChainManagementEnterpriseResourcePlanningLogisticsProductionDistributionKnowledge-ToneApplicationsEnterpriseApplicationIntegration

AdministrativeControlHRMS/BMS/ORMSFinance/Accounting/AuditingManagementControlEmployees第二十二頁，共三十六頁。BusinessproblemsthatleadacustomertoEAIService:HowdoI...…conductelectronicbusiness(crossselling)whoseoverallenterprisebusinessprocessspansmultipledisparateapplicationsystemsandmanualprocesses?…conductelectroniccommercethatspansmultipleenterprises?…enableabusinessprocesstospantheboundariesofindependentlydesignedandmanagedsystems(applications,datawarehouses,thirdpartysystems,packagedapplications)?…facilitateefficient,cross-functionalinformationflowacrossdisparatedatawarehouses,ERPsystem,andlegacyenvironments?BusinessChallenges第二十三頁，共三十六頁。BusinessproblemsthatleadacustomertoEAIService:HowdoI…(continued)...integrateinformationsystemsfromdifferentinfrastructuresandgeographies?...provideuserswithmorepowertogatherandanalyzedataforimproveddecisionmaking?...leveragelegacyinvestmentstosatisfyinformationrequirementsatthedesktop?...meetimmediatebusinessrequirementswhiledevelopinganimprovedenterpriseenvironment?BusinessChallenges 第二十四頁，共三十六頁。TheIntegrationChallengeTheTraditionalAegratesapplicationsonlyoneatatime,creatinganultimatemorassofindividuallinksthatcannotbereusedtodevelopsubsequentapplicationsTheNewIntegratedApproach...Usesamiddlewarelayerofstandardinterfacestomediateinteractionsamonglegacyapplications,packagedapplications,datawarehouses,businessmethods,andnewWebfunctionality.第二十五頁，共三十六頁。EnterpriseApplicationIntegrationEnterprisePortalIntegratedEnterpriseDivisionASystemSAPFinancialHRMSDivisionCSystemDivisionBSystemSCM/CRMApplicationProcessControlSystemsBusinessPartnersSystemEAI/MiddlewareEnterpriseDataWarehouse第二十六頁，共三十六頁。ApplicationIntegrationFrameworksMessageOrientedMiddlewareDistributedObjectComputingDecisionSupportIntegrationWeb/JavaIntegrationTransactionProcessingMonitorsRemoteDatabaseAccessSystemsManagementandSecurityInterprocessCommunicationEAITechnologies 第二十七頁，共三十六頁。ApplicationIntegrationFrameworksMessageOrientedMiddlewareDistributedObjectComputingDecisionSupportIntegrationWeb/JavaIntegrationTransactionProcessingMonitorsRemoteDatabaseAccessSystemsManagementandSecurityInterprocessCommunicationEAITechnologies 第二十八頁，共三十六頁。NewWaysofWorkingEEEEEEEEEEEEEEEEEEEValueTimeProcessautomationNoreengineeringAccurateinformationFunctionalautomationReengineeringofaprocessinafunctionalareaEnhancedinformationaccessImproveprocessesacrossdepartmentsOrganizationalreengineeringSharedinformationnetworksInter-enterpriseprocessimprovementInter-organizationreengineeringIntegratedinformationnetworksCostCostProductivityCostProductivityRevenueRevenueOpportunityMarketShareDepartmentalefficiencyMulti-departmentalefficiencyMulti-departmentalintegratedefficiencyInter-enterpriseintegrationTaskAutomation

(DepartmentalComp.)InformationSharing

(Intra-Enterprise)ExtendedEnterprise

(Inter-Enterprise)VirtualEnterprise(Community)第二十九頁，共三十六頁。Smalltomoderatedemand-supplymismatchStableMPS/MRPIntuitivecapacitymeasuresandplanningShort-termvisibility(daily/weekly)IndividualplantfocusCustomer-to-customerawarenessStageII-STABILITYTheprocessisundercontrol,withaverageperformance.“InternalCooperation”Largedemand-supplymismatchWildlyinaccurateornon-existentforecastsLostordersHeavyexpeditingLongleadtimesFrequentshortagesProductionschedulesignoredbyOperationsStageI-CHAOSBasicprocesscontrolislacking.“FunctionalParochialism”Demand-supplymatchSupplier-to-customerfocusSegmenteddemandplanningSchedulesharingwithcustomersandsuppliersLong-termvisibility(monthly/quarterly/yearly)Global,multi-plantfocusAccurateforecasts(90%+)Real-timeoptimization,planning&schedulingStageIII-BESTPRACTICEProcessperformanceisequaltoorbetterthanthatofcompetitors.“InternalIntegration”“Shared”systems(instantaneousinformationexchange)Globalinter-enterprisesupply-chainplanning(enterpriseextension)Rapidinventoryreplenishment(customerpull)“Deterministic