Upcoming SIG Events Open for Registration Welcome to today’s Webinar : The CPO’s Agenda for 2012 and Beyond Presented by Ariba Thank you for joining us. We’ll Get Started in a Few Moments Upcoming SIG Events Open for Registration November 28, 2012 Washington D.C. Regional Roundtable December 6, 2012 Chicago Regional Roundtable January 17, 2013 Minneapolis Symposium February 28, 2013 Sydney Symposium March 27, 2013 London Symposium May 14-16, 2013 SIG Global Sourcing Summit, Amelia Island, FL

New Topic Every Tuesday 2:00 pm Eastern (11:00 am Pacific) Upcoming SIG Webinars: December 11, 2012 Strategic Sourcing partnership models – the compelling case for Co-Sourcing Presented by Xchanging

SIG is Blazing New Trails. SIG’s Symposiums and Regional Roundtables provide education and local networking for members and invited non-member corporate users Open for Registration: Roundtables: Washington D.C. – Nov 28, 2012 Chicago – Dec 6, 2012 Symposiums: Minneapolis – January 17, 2013 Sydney, Australia – February 28, 2013 London, UK – March 27, 2013 Also in 2013: Los Angeles, San Francisco, Toronto, New York, Seattle, Columbus and Denver SIG is Blazing New Trails. New in 2013, SIG Symposiums blend some of the most requested aspects of our Summit and Regional Roundtables to create a one-day “mini-Summit” filled with executive networking, live Peer2Peer discussions, breakout sessions and a learning center

75% at director level or above, of which 45% were VP/C-level A SIG Global Summit is… Non-commercialized Almost 70% buy-side Global brands 3 days of networking Executive Roundtables Advanced workshops 40 breakout sessions 75% at director level or above, of which 45% were VP/C-level Procurement and Outsourcing Executives participate in deep-dive discussions on risk, innovation and talent management Roundtable Format: Executive Luncheon Executive Leadership Keynote Roundtable Discussions Speakers Corner Executive Cocktail Reception

Cost-cutting strategies, Innovative processes, and Risk-mitigation approaches

The CPO’s Agenda for 2012…and Beyond November 20, 2012 © 2012 Ariba, Inc. All rights reserved.

Speaker Introductions John Lark Marketing Director Ariba Chris Dwyer Research Director Global Supply Management Aberdeen Research © 2012 Ariba, Inc. All rights reserved.

Current Market Thoughts and Findings Agenda Webinar Introduction Current Market Thoughts and Findings The Best-in-Class Chief Procurement Officer Recommended Actions (and the Future of Procurement) © 2012 Ariba, Inc. All rights reserved.

Networked Businesses are… More Profitable More Efficient Growing Faster © 2012 Ariba, Inc. All rights reserved.

Networked Businesses are… More Profitable More Efficient Growing Faster “Effective Business Networks link trading partners to improve the efficiency, profitability and growth of the holistic business system.” © 2012 Ariba, Inc. All rights reserved.

Keys to an effective Business Network Open Of Scale Complete © 2012 Ariba, Inc. All rights reserved.

Keys to an effective Business Network Open Of Scale Complete Any ERP or System Buyers and Sellers Benefit Proven Volume and Velocity Sustainable Full Source to Settle All Spend Types © 2012 Ariba, Inc. All rights reserved.

Aberdeen’s Research - Chris Dwyer © 2012 Ariba, Inc. All rights reserved.

Aberdeen’s Research Methodology Data fueled by online benchmark survey Analysis of data aggregate The Maturity Class Framework (Best-in-Class, Industry Average, and Laggard) Research output Benchmark studies (20-25pp) Sector Insights, Research Briefs and Analyst Insights (5-10pp) Assessment tools Webinars Social media (blogs, Twitter, etc.) All research supported with real-life end-user quotes and case studies © 2012 Ariba, Inc. All rights reserved.

Current Market Thoughts and Findings Agenda Webinar Introduction Current Market Thoughts and Findings The Best-in-Class Chief Procurement Officer Recommended Actions (and the Future of Procurement) © 2012 Ariba, Inc. All rights reserved.

Noteworthy Notions and Findings The average organization only realizes and implements 25% of negotiated and identified cost savings Nearly 75% of companies feel that the procurement group is a “strategic” to “extremely strategic” component of their business The CPO’s Agenda People / staff management (41%) Spend management (37%) Technology (12%) Suppliers (10%) © 2012 Ariba, Inc. All rights reserved.

Top Pressures Faced by Procurement Executives © 2012 Ariba, Inc. All rights reserved.

Top Action-Oriented Strategies © 2012 Ariba, Inc. All rights reserved.

Who Do We Report To? © 2012 Ariba, Inc. All rights reserved.

Developing a “Frugal Culture” © 2012 Ariba, Inc. All rights reserved.

Current Market Thoughts and Findings Agenda Webinar Introduction Current Market Thoughts and Findings The Best-in-Class Chief Procurement Officer Recommended Actions (and the Future of Procurement) © 2012 Ariba, Inc. All rights reserved.

The Best-in-Class Maturity Framework © 2012 Ariba, Inc. All rights reserved.

Best-in-Class Training Strategies © 2012 Ariba, Inc. All rights reserved.

Collaboration With Key Stakeholders © 2012 Ariba, Inc. All rights reserved.

“Traditional” Procurement Solution Utilization © 2012 Ariba, Inc. All rights reserved.

“Emerging” Procurement Solution Utilization © 2012 Ariba, Inc. All rights reserved.

“The Financial Ecosystem” © 2012 Ariba, Inc. All rights reserved.

Supplier Networks at the Center of the Ecosystem © 2012 Ariba, Inc. All rights reserved.

Current Market Thoughts and Findings Agenda Webinar Introduction Current Market Thoughts and Findings The Best-in-Class Chief Procurement Officer Recommended Actions (and the Future of Procurement) © 2012 Ariba, Inc. All rights reserved.

…and Beyond (The Future of Procurement) Collaboration: A Consistent Strategy A Focus on Indirect / Complex Spend Management New and “Fresh” Strategies Crowdsourcing Buying on TCO Corporate Social Responsibility Talent Management as a Primary Focus COMMERCE, not just spend management © 2012 Ariba, Inc. All rights reserved.

Recommendations for Program Improvement Align the procurement and spend management strategies with the goals and objectives of the greater organization Leverage both traditional and emerging solutions to enhance the overall procurement program Focus on people management in addition to spend and supplier management Analytics is the key to the future © 2012 Ariba, Inc. All rights reserved.

Q&A and Contact Information Christopher J. Dwyer Research Director Global Supply Management, AberdeenGroup chris.dwyer@aberdeen.com Boston Office: 617.854.5280 Twitter: @ABG_GSM For More Research, Please Visit: www.aberdeen.com © 2012 Ariba, Inc. All rights reserved.