Using Ariba to Strengthen Customer Relationships A panel of leading sellers © 2012 Ariba, Inc. All rights reserved. CS S

© 2012 Ariba, Inc. All rights reserved. 2 Inefficiencies Between Companies Hinder Results Operations / Fulfillment Accounts Receivable / Treasury Sales / Marketing Sellers Getting paid Getting orders Qualifying customers Publishing catalogs Acknowledging orders Getting order cancellations Submitting invoices Getting payment status Finding leads Negotiating Responding to RFIs “The White Space” Managing errors Buyers Sourcing Procurement Accounts Payable / Finance 80% of transactions completed manually – costing $650 Billion Source: Celent Communications, Basex Research- “Information Overload”

© 2012 Ariba, Inc. All rights reserved. Collaborative Business Commerce Addresses These Challenges SourceSelectProcureReceiptsPayIdentifyContract BUYER: DISCOVER-TO-PAY BidSellFulfillInvoiceCollectMarketContract SELLER: MARKET-TO-CASH Online negotiating E-Marketing and exposure Business opportunities Better compliance Automated collaboration Greater visibility Early payment opportunities 3

Business Commerce Is an Evolutionary Process… Comply with First Customer Request Address Additional One-off Requests Create Processes, Infrastructure and Resources Expand Collaborative Channel and Poise for Growth Phases of Seller Evolution Reactive Responsive Proactive Innovative Collaborative Commerce Business Value Enablement Transformation © 2012 Ariba, Inc. All rights reserved. 4

© 2011 Ariba, Inc. All rights reserved. Business Commerce Self-Assessment: Questionnaire Completion

Business Commerce Self-Assessment: Results! Growth Opportunity Cost Savings Opportunity Mostly As: Newbies Mostly Bs: Growth Driver Mostly Cs: Efficiency Driver Mostly Ds: Business Commerce Innovator © 2012 Ariba, Inc. All rights reserved. 6

7 Introductions Teleflora  Greg Peck, Senior Partnership Development Manager Lawson Products  Salim Lakha, E-Procurement Manager Ariba  Leah Knight, Director of Seller Product Marketing

Building Your Ariba Business: A Seller’s Perspective… © 2012 Ariba, Inc. All rights reserved. 8 On Ariba…Now What Do I Do? Effective Strategies Working with Ariba Building Your Ariba Business

The Roll Family of Companies © 2012 Ariba, Inc. All rights reserved. 9

10 Founded Lawson Products, Inc. founded in 1952 Headquartered in Des Plaines, IL 2010 Sales of $316.8 million Publicly traded company listed on the NASDAQ stock exchange (LAWS) Teleflora Overview Privately Held 3+ Billion in Sales Based in Los Angeles, CA World’s Largest Floral Provider: 17,000 Florists in North America 20,000 Global Affiliate Florists Largest Proprietary Order Routing Network Largest E-Commerce Provider 13,000 websites Technology: POS, CC and product sales

What Do Ariba Buyers Want? © 2012 Ariba, Inc. All rights reserved. 11 Buyers Want an Easy Solution Ariba Buyers Would Only Consider Ariba Sellers Show Me Your Catalog Became Clear We Needed to Be “Ariba Ready” And What Did They Ask for…?

© 2012 Ariba, Inc. All rights reserved. 12 One Process to Manage Floral Gifting Spend Manage “down” Corporate Gifting Expenditures Eliminate Maverick Spending Save Time and Money Using One Floral Gifting Catalog Each Site Customized  Price controls  Authorized buyers  Custom merchandising

© 2010 Ariba, Inc. All rights reserved. 13 Teleflora - We Listened Dedicated Floral Gifting Website  PunchOut catalog  Electronic Invoicing  P-Cards Benefits  Consolidate corporate gifting spend  Customized merchandising  Spending caps  Detailed billing  No need to “shop around” © 2010 Ariba, Inc. All rights reserved.

Your First Steps…  Identify the need of the buyer  Be fully aware of everything Ariba offers  Engage with Ariba The “Build”…  Networking  Speed dating  Leverage relationships  Be proactive Building Your Ariba Business © 2012 Ariba, Inc. All rights reserved. 14

© 2012 Ariba, Inc. All rights reserved. 15 Introductions Teleflora  Greg Peck, Senior Partnership Development Manager Lawson Products  Salim Lakha, E-Procurement Manager Ariba  Leah Knight, Director of Seller Product Marketing

© 2012 Ariba, Inc. All rights reserved. 16 Lawson Products, Inc. founded in 1952 Headquartered in Des Plaines, IL 2010 Sales of $316.8 million Publicly traded company listed on the NASDAQ stock exchange (LAWS) Overview of Lawson Products, Inc. Offering over 100,000 standard products Serving over 160,000 customers in the industrial, commercial, institutional and government markets Shipping 99% of all lines complete within 24 hours from several strategically located distribution centers in North America Over 1,300 sales representatives throughout North America ISO 9000 Registered Company GSA Contract Holder: Schedule Contract GS-06F-0027L Distinctions: Listed among Industrial Distribution magazine’s “Big 50” distribution companies Listed among the Selling Power® “25 Best Service Companies to Sell For”

© 2012 Ariba, Inc. All rights reserved. 17 Lawson Products’ Approach Dedicated E-Procurement Website Supporting Business Tools and Processes Integration into sales ordering system - eVMI Standards-Based Technology Fast integration PunchOut Level II and RoundTrip Turn-key style implementation Training & Support “Ariba Ready” Certification (six consecutive years) Field Sales & Customer training Dedicated support team Customer feedback process

© 2012 Ariba, Inc. All rights reserved. 18 Over the last five years  Sales have increased by 359%  Relationships have increased by 62%  E-Invoicing has increased from 10% to 50%  95% PunchOut catalogs (all marketplaces) are still live Lawson Products – Results

Start with the Basics ♦ Complete your configuration on Ariba Network ♦ Set relationships to “Automatic” ♦ Set up multiple users and assign roles Use Available Resources on Ariba Network ♦ View “getting started” videos and demos ♦ Download guides and samples Catalog Setup ♦ Set up a basic Excel catalog to validate ♦ Use guidelines from cXML guide Purchase Orders ♦ Receive orders via traditional means if necessary ( , EDI, etc.) Electronic Invoices ♦ Use “PO Flip” option New Supplier on Ariba Network - Tips © 2012 Ariba, Inc. All rights reserved. 19

Best Practices for a PunchOut Website Integrated Website  Minimize or eliminate frames  Do not open links in new pages  Close transaction after every session  Separate E-Procurement Logic Dedicated E-Procurement Website  Keep it B2B focused – shed the extras  Leverage components of existing website (search, product pages, etc.)  Consistent look and feel © 2012 Ariba, Inc. All rights reserved. 20

© 2012 Ariba, Inc. All rights reserved. 21 Best Practices for Successful Onboarding Supplier  Standards-based approach  Use business tools to on board customers  Provide training for both buyers and sales reps  Feedback from customer for continuous improvement Customer  Work with “ Ariba Ready ” Suppliers  Engage suppliers in internal rollouts  Mandate use of authorized vendors to drive compliance

© 2012 Ariba, Inc. All rights reserved. 22 Introductions Teleflora  Greg Peck, Senior Partnership Development Manager Lawson Products  Salim Lakha, E-Procurement Manager Ariba  Leah Knight, Director of Seller Product Marketing

Taking Business Commerce to the Next Level with Ariba Growth Opportunity Cost Savings Opportunity Newbies (As) Ariba Discovery Profile Ariba Network Account Ariba LIVE Attendance Growth Drivers (Bs) Ariba Ready Programs Ariba LIVE Sponsorship and Attendance Early Payment Options Ariba Discovery Advantage and Advantage Plus Efficiency Drivers (Cs) Ariba Ready Programs Blackbook Consultation Seller Consulting Services Ariba Discovery Advantage and Advantage Plus Ariba LIVE Attendance Early payment options Business Commerce Innovators (Ds) Ariba Ready Platinum Blackbook Consultation Ariba LIVE Sponsorship Active Ariba Discovery Usage © 2012 Ariba, Inc. All rights reserved. 23