Internet Procurement
Oracle iProcurement Centralize Purchasing Control, Decentralize Execution
Procurement policy based self-service enablement Support requests for all goods and services
Productive user interface for self-service audience
Self-service receiving for improved payment accuracy
Manage the Spend, not the Transactions
But, do buyers have the time?
Requesters
Buyers
Suppliers
G&A Create POs Maintenance Document Approvals
Manufacturing
R&D
Communicate
Automate TransactionsFlag Exceptions
Implement Controls
Manage Supply Base
Analyze Spend
Requesters
Suppliers
G&A
Corporate Policy
Maintenance
Role-Based Security
Approval Workflow
Financial Controls
Manufacturing
R&D
Define rules for corporate policy based automation
Flexible workflows to configure your rules
Approvals Rules-based approval list Cost-center, location, commodity controls Flexible approval hierarchies Approve via email or online Automatic PO creation Contract buys vs. one-off Approved supplier usage Standard vs. non-standard items Emergency POs Automatic approval and communication Approved Suppliers and Items Identify approved suppliers for items / commodities Establish approved item/pricing contracts and represent as catalogs Control requester access to authorized catalogs
Charge Accounts & Budgets Person, CC, location, item commodity controls Project tracking and reporting Full budgetary control using encumbrance accounting
Oracle iProcurement Centralize Purchasing Control, Decentralize Execution
Procurement policy based self-service enablement Support requests for all goods and services
Productive user interface for self-service audience
Self-service receiving for improved payment accuracy
Content Management Models
Multiple options to support different item types
Catalog Content Management
Local Catalogs
Direct Material and Mission Critical MRO Demand driven by MRP Inventory level tracked Items under lot/serial/revision control Items under existing long term agreements Dynamic pricing & availability Configurable items Large selection of items Inventory not tracked in buying org.
Remote: Supplier Hosted
Indirect and Non-Critical MRO
Remote: Catalog Hubs
Indirect and Non-Critical MRO
Static item and pricing information Approval controls for price changes Inventory not tracked in buying org.
Supplier Hosted Catalogs
Users punchout to catalogs maintained on supplier websites
iProcurement
Firewall
Catalog content on suppliers website
Access company specific catalogs on supplier website Item configuration rules for CTO items Real time pricing and availability Information Support Oracle XML and cXML formats for punchout
Catalogs Hosted on Catalog Content Hubs
http://www.exchange.oracle.com/
Catalog Content Hub
iProcurement
Firewall
Immediate access to wide variety of catalogs Suppliers author catalogs on content hub You approve changes to items and pricing
Control requesters access to available catalogs
Single Point of Entry for All Request Types
Guide users to appropriate Store based on request type
Office supplies IT equipment Industrial Supplies
Professional services
Temporary staffing Maintenance
Promotional items
Order Items from Suppliers or Internal Warehouses
Purchase requisitions
Local or remote catalogs Non-catalog requests for nonstandard goods
Internal requisitions
Internal catalogs for standard items Source based on availability Inter- or intra-company requests with cross-company accounting
Simple and Advanced search for items in Catalog
New self-guiding search offers targeted results for self-service users
Advanced search for attribute specific criteria Control catalog access to users based on usage
Request for Services using Smart Forms
Flexible templates to capture service details
Flexible templates to define authorized service terms and rates Professional and general business services Minimize data entry, default values from templates Capture additional service details during request creation Configure approval rules based on smart forms
Contractor requests for Temporary Assignments
Contractor requests for administrative and professional needs Requests based on controlled access to approved suppliers and contracted rates Review candidates submitted by suppliers Finalize candidate and terms, flexible approvals for budget and candidate selection Fast-track process for simple requests
Maintenance Requests for Assets
Rule Based Engine Maintenance Schedule Define maintenance schedules for assets Create requisitions for work orders from maintenance workbench, search MRO catalogs for required items Track progress against work orders Order Assets Receive and deliver items directly to maintenance location
Request
Ship To Maintenance Location
Supplier
Financial Considerations for all Business Environments
Flexible cost allocation Automatic account defaults based on business rules Security-based override capabilities Distribute charges across multiple accounts/cost-centers Allocate charges to expense or material accounts based on usage Project-based requests Request goods and services for specific projects Allocate costs to multiple project accounts and budgets Track and report against projects Budgets & Encumbrance Accounting Control spending using budgets and encumbrance accounting Track spending limits and spend-todate Real-time validation of funds during request creation Approvals based on budget ownership Requests charged to specific Grants Capture grant award information on individual requests Allocate costs across multiple grants Default grants information onto request lines to minimize data entry
Oracle iProcurement Centralize Purchasing Control, Decentralize Execution
Procurement policy based self-service enablement Support requests for all goods and services
Productive user interface for self-service audience
Self-service receiving for improved payment accuracy
Productive User Interface for Self-service Audience
Easy-to-use interface
Familiar amazon.com-like interface Create and submit requisitions in just a few clicks
Productivity enhancement tools to minimize data entry
Shopping lists (Favorite and Public) Saved shopping carts Copy requisitions
Simplify catalog searching using Transparent Punchout
Eliminate guesswork from catalog searching
Local Catalogs
Transparent Punchout* Requester Supplier A Website
User sees all search results, irrespective of catalog source, on this familiar page
Exchange.Oracle.com
*Patent Pending
Full visibility into entire Procurement lifecycle
Self-service access frees up buyers time
View approval status and history Related POs and associated status Real-time tracking of in-transit shipments View Receipt history and associated exceptions Invoice and payment information
Rules-based Online Approvals
Eliminate paper approvals, improve auditability
Centralized approval engine services approval needs across apps. Automatic approval routing based on business rules Approvers can approve via email or from work list Nominate proxy approvers when on vacation Full approval trail with relevant comments captured for audit needs
Oracle iProcurement Centralize Purchasing Control, Decentralize Execution
Procurement policy based self-service enablement
Support requests for all goods and services Productive user interface for self-service audience Self-service receiving for improved payment accuracy
Self-service receiving of goods and services
Increased payment control with 3-way matching
Requester initiated receipts using selfservice screens Single-click simplicity Record packing slip, waybill information Track in-transit shipments and receive against them Automatic invoicing based on receipt System initiated receipts using workflow Automatic notification on due date Requester acknowledges receipt via response Automatic receipt generation based on response
Record receipt exceptions, reconcile payments accurately using 3-way match
Return to Vendor Self-service screens to return defective goods to supplier Reference RMA code Real-time updates to on-hand quantities Automatically generate debit memos for reimbursement Full receipt history audit trail to resolve discrepancies Receipt Corrections Correct data entry errors by issuing corrections Factor corrections into receipt audit trail for accurate reporting
Receive
Return
Correct
Summary
Oracle iProcurement Centralize Purchasing Control, Decentralize Execution
Procurement policy based self-service enablement
Buyers manage the spend, not individual transactions
Support requests for all goods and services
Single entry point for requests, single business rules repository
Productive user interface for self-service audience
Quicker customer adoption, smoother rollouts
Self-service receiving for improved payment accuracy
Increased control with 3-way match
Oracle Sourcing
Maximize Savings and Sourcing Bandwidth
Information Age Applications
Oracle Sourcing
Oracle Advanced Procurement
The Integrated Suite that Dramatically Cuts All Supply Management Costs
Demand Collection
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 Direct Materials
Budget-Based Procurement Supplier Performance
Supplier Network
Settlement
Enforce Policy Compliance
Profile Management
Oracle Sourcing
Identify Opportunities & Suppliers Define Strategies & Negotiations Conduct On-Line Negotiations Make Savings Stick
Analyze & Award
Approve & Issue
Source More of Your Spend Structured Event Support Change Management Automated Negotiations, Bid Mgmt and Award
Source for Lowest Total Cost Cross-Functional Collaboration Knowledge Capture / Re-use Total Cost Analysis Integration
Create Immediate and Long-Term Savings Rapid Deployment Enterprise Integration Real Time Decision Support
Contract Mgmt
Purchasing
Finance
Marketing
Operations
Other
Oracle Sourcing Overview
Demand
Blanket Agreements
Collaborative Sourcing Process
RFI / Survey RFQ
Outcome
Purchase Orders Blanket Agreements Update Catalog Global Agreements
Suppliers
Requisitions
Auction
Spreadsheets (1000 lines+)
Sourcing Templates
Purchasing Data
Contracts
Signed Contract
Oracle Sourcing
Enables You To
Source More of Your Spend
Source for Lowest Total Cost Create Immediate and Long-Term Savings
Exploit More Savings Opportunities
Percentage of Spend Under Contract
Oracle Enabled Sourcing
Automated Bid Comparison System Generated Awards Efficient Change Management On-Line Negotiation Support Structured Event Creation
Traditional Sourcing Approach
Sourcing Resources
Structured Sourcing Event Creation
Greatly Reduce Preparation Time and Manual Effort
Expiring Agreement 1-Click Renegotiation
RFx, Auction
Renewal Driven
Instantly create new sourcing event from previous agreements
Requisitions
Sourcing Template
RFx, Auction
Request Driven
Aggregate requests across the enterprise to leverage buying power
Efficient Online Negotiations: Buyer
Slash Cycle Time by Eliminating Manual Processes
Drill into individual sourcing events
View responses and monitor bidding activity in real-time
View new incoming supplier messages and incomplete tasks
Efficient Online Negotiations: Supplier
Slash Cycle Time by Improving Communications
Suppliers review contract terms early in the sourcing cycle
Suppliers can review all requirements before bid submission
Efficiently Manage Change
Quickly Create New Round or Amendment
Buyer
RFQ 1234
Supplier
Publish Changes
RFQ 1234-1
New Round or Amendment
Acknowledge Changes
Create and Publish New Rounds or Amendments Online Full Audit Trail Including Net Change Comparison If Suppliers Accept, Their Quotes Roll Forward
System Generated Recommendations
Eliminate Time-Consuming Manual Analysis
Company Policy Complex Bids
Sourcing Rules Budget Constraints Supply Base Rules
Minimum 60% to incumbent supplier $100k Annual Maximum
Multiple Sites Dozens of Bid Lines
Award Optimization Engine
Model multiple business constraints and supplier inputs
Multiple Suppliers
Maximum of 5 Vendors
Optimized, PolicyCompliant Award Recommendation
Facilitated Online Bid Comparison
Make Faster Award Decisions
Utilize structured bid data
- Automatic bid scoring - Consistent format for sideby-side comparison of competing bids
Provide online analysis for
fast, accurate awards
- Multiple chart and graph formats (e.g., scatter plot, bar, pie) - Flexible award methods enable selection of suppliers, bid lots or specific line items - Business and regulatory compliance policies (e.g., multi-sourcing requirements, minority
View award
summary for purchase recommendation, approval, and compliance details
Oracle Sourcing
Enables You To
Source More of Your Spend
Source for Lowest Total Cost Create Immediate and Long-Term Savings
Cross-Functional Collaboration
Combine Expertise for Higher Quality at Lower Price
Requestor
(eg., Mfg, HR)
Commodity Manager
Suppliers
Domain
Market knowledge knowledge Supplier performance Define requirements Implementation planning Best
payment terms
Constraints Costs estimates
Best delivery terms Handling instructions Latest BOM,
specs and drawings
Project Manager
Sourcing Manager
Logistics
Corporate
policy and procedure
Finance / Legal
Design Contract Manager
Sourcing Knowledge Capture
Drive Optimal Results by Re-Using Best Practices
Bidding Rules Supplier Lists Sourcing Policy Rules Sourcing Templates Pricing Factors Scoring Methods Negotiation Event Style
New Sourcing Event
Knowledge from Past Sourcing Events
Leverage Proven Practices Replicate Buyer Expertise Retain Knowledge across
the Organization
Example: Template-Based Scoring Criteria
Exclude from supplier shortlist
Weighted scoring Header Line Attribute group
Total Cost and Complete Bid Analysis
Evaluate Tangible and Intangible Costs
North American Supplier $21 vs. $21* Latin American Supplier $14 vs. $26*
European Supplier $16 vs. $23*
Asian Supplier $20 vs. $23*
Capture Total Cost
- Tangible (e.g., freight) - Intangible (e.g., switching costs)
Example:
Supplier C Bid $14
System Added
Freight 6 Tariff Risk
$ $4 $2
- Buyer and Supplier Entered
Evaluate Transformed
Bids
- View Transformed or Un*Bid vs. Transformed Bid Transformed
Transformed Bid =
Total Cost and Complete Bid Analysis
Balance Price, Quality, Promise Date, etc.
Display quote price and score based on all attributes
Preferred quotes represent an optimal balance of price, quality, promise date, etc.
Oracle Sourcing
Enables You To
Source More of Your Spend
Source for Lowest Total Cost Create Immediate and Long-Term Savings
Rapid Deployment
Start Saving Immediately
Simple RFx / Auctions Supplier Enablement Start with a few key activities
Quickly enable suppliers to participate in sourcing events
Complex RFx / Auctions
Off-the-Shelf Integration
Grow into advanced capabilities as needed
Automate complete business process using integrated Advanced Procurement platform
Implementation in days or weeks -- not
months! Incrementally implement capabilities
Consistent Execution and Compliance
Realize Sustainable Savings via Integration
Sourcing
Procurement Contracts
Transfer negotiated terms and pricing to execution Drive contract compliance and track deliverables Monitor contract utilization and supplier performance Enable suppliers to openly compete for business Seamlessly execute negotiated agreements Leverage common source of master / reference data
iSupplier Portal
Purchasing
Example: One-Click PO Creation
Create Purchasing Documents Directly from Award
Workflow Enablement
Awarded Quotes
Create Agreements/ POs
Receive Goods or Services
Pay Supplier
Copy all pricing, contract
and deliverable information Eliminate manual entry and associated errors
Example: Real-Time Deliverable Mgmt
Easily Monitor Compliance Across the Review status of Enterprise deliverables
Drill into details
Link to source document
Track notes and correspondence
Ensure supplier compliance and consistent evaluation
- Sourcing deliverables - Contractual deliverables
Enable buyers to be proactive
- e.g., Contract milestones or expirations
Example: Contract Intelligence
Evaluate Compliance and Identify Opportunities
Expose need for new or revised contract
Consumption Trends Quality Performance
Evaluate supplier and contract performance before renewal Track KPIs including
Business Targets
Contract Utilization
Seamless Data Flows
Procurement Data
Requisitions POs Contracts Etc.
Integrated Flows
Requisition to RFx/Auction Creation Requisition allocation upon award Removal of requisition from requisition pool during negotiation Return of requisition to requisition pool on cancellation/partial allocation Negotiation number viewable in iProcurement Contract to RFx/Auction creation for renewals Contract created from award PO created from award Sourcing accessed from single iSupplier Portal Supplier search of the Supplier Master and ASL
Sourcing Data
RFIs RFQs Buyers Auctions Templates Attributes Etc.
Shared Data
Shared Data Procurement Operating Units Data
Requisitions POs Contracts Etc. Contract Variables System and User Buyers Defined Buyer Approval Supplier Responses Hierarchy Contract Deliverables UOM Contractual & Ship to Addresses Negotiation Bill to Addresses Contract Clauses Currency Contract Templates Payment Terms Attachment Repository Suppliers Purchasing Categories Approved Supplier List Supplier Classification Inventory Items with Supplier Commodities revision
Sourcing Data
RFIs RFQs Buyers Auctions Templates Attributes Etc.
Oracle Sourcing
Easy sourcing event creation, management of on-line negotiations and bids, with automatic systemgenerated recommendations Source More of Your Spend
Cross-functional collaboration, sourcing knowledge capture / re-use, and total cost analysis
Source for Lowest Total Cost
Rapid deployment capabilities with modular integration to Advanced Procurement, and real-time decision support including deliverable mgmt
Create Immediate and Long-Term Savings
Information Age Applications
