1. Tomkins Spend Visibility Project Kick-off Meeting
May 17, 2010
Keith Luers, C.P.M.
SV Project Mgr

2. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

3. Spend Visibility Overview
Software and Solution
Ariba
Analysis
Reporting UI
Ariba Analysis Software
Hosted
Configurable database with reporting UI
Ariba Data
Enrichment
Processing Engines, Supplier DB, Knowledge Base
Ariba Data Enrichment Software
Hosted
Processing engine
Supplier database
Knowledge (rules/content) databases

4. Spend Visibility Overview
Software and Solution
Ariba
Analysis
Reporting UI
Ariba Analysis Software
Hosted or installed
Configurable database with reporting UI
Spend Visibility
Fully hosted Analysis and ADE
Project Management services provided to enable data collection and validation
Data Enrichment services provided to classify transactions and enrich supplier information
Standard data schema enables robust OOTB reports
Web deployed Analysis user interface
Ariba Data
Enrichment
Processing Engines, Supplier DB, Knowledge Base
Ariba Data Enrichment Software
Hosted or installed
Processing engine
Supplier database
Knowledge (rules/content) databases

5. Spend Visibility Enables Best In Class Sourcing
Visibility should be the launching pad for all sourcing and procurement activities
Provides high level view of corporate spend for strategic planning
Enables supplier evaluation for spend and parent/child leverage opportunities
Fuels the drive for opportunity visibility
Allows to answer key questions like - What we spend our money on and who we spend it with - across multiple source systems and company sites, etc
Identify
Opportunity
Develop
Strategy
Source &
Negotiate
Implement
Contract & Execute
Monitor & Manage
Invoice & Pay

6. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

7. Project Scope Number of Source Systems: 17 Estimated Annual Spend: $2B
Number of Users: 200 Max
Initial Deployment: 12 months historical data (2 phases)
Refresh Cycles: Quarterly
Refresh Data: 3 months worth of data

8. Project Scope Service Level Agreement:
Ariba certified commodity classification on a minimum of 90% of customer spend
95% accuracy of Ariba classifications when supported by data
90% accuracy of Ariba classifications when data does not support 95% accuracy
Supplier enrichment for a minimum of 90% of customer spend
95% accuracy of parentage for Supplier Records with name and address information – minimum of country and city
90% accuracy of parentage for Supplier Records when no country or city information provided
Implementation of customer “Custom Taxonomy” of up to six levels

9. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

10. Project Overview: Roles
Ariba
SV Project Manager – Daily responsibility for execution of hosted Spend Visibility program
ADES Manager and Team – Responsible for data enrichment process
Tomkins Gates
Customer SV Champion – Overall responsibility for success of Spend Visibility program
Customer SV Project Manager – Daily responsibility for execution of Spend Visibility Manager (may be Champion)
Business Owner(s) – Individuals who understand client business data from a user prospective, facilitates the validation spend based on extracted data (Typically one representative from each business unit)
IT Owner(s) – Individual(s) within the client organization who own responsibility for data extraction and transformation if required

11. Project Overview: Timeline (Typical)
Refinement
1 – 2 Weeks
Deployment
1 Week
Collect and Validate Data
4 - 8 Weeks
Data Enrichment
5 – 9 Weeks
Client
Ariba PM
ADES
Extract data
Approve Spend
Train Client on Data Schema
Initiate Analysis site deployment
Receive, validate, and load data
Review question sheets and provide feedback
Review refinement drop in AA and provide feedback
Train customer on SV Analysis
Load final data, QA, publish
Enrichment Assessment
Set timeline
Perform Enrichment
Automated + Manual
Apply Feedback

12. Project Phase: Data Collection & Validation
Goal:
To collect customer’s spend data in the most complete and form fitting way possible.
Activities:
Conduct the KickOff Meeting
Train the customer on the data schema
Proactively work with client on issues/questions to ensure spend data is collected in the right format
Use the visibility tool to validate data which has been submitted.
Extract data
Approve spend
Train Client on Data Schema
Initiate Analysis site deployment
Receive, validate, and load data
Enrichment Assessment
Set timeline

13. Project Phase: Data Enrichment
Goal:
To classify and enrich customer’s spend providing easy segmentation and thus visibility into spending patterns.
Activities:
- Coordinate enrichment and timeline with the ADE Manager
Present project plan and timeline to customer
Educate customer on Ariba Analysis Tool and Enrichment Process
Load and Validate Enrichment results into the Ariba Analysis Tool
Review question sheets and provide feedback
Perform Enrichment
Automated + Manual

14. Project Phase: Refinement ** Note will only do after 2nd cycle
Goal:
Educate the customer on building reports and the refinement feedback form
Crete report templates
Collect and apply feedback
Combination of manual feedback and automatic through Analysis tool
Review refinement drop in AA and provide feedback
Apply Feedback

15. Project Phase: Deployment
Goal:
To publish the approved data on the customer’s instance and enable them to use their site
Activities:
- Load final data
QA final data
Push final data to Presentation
Train customer on Analysis
Customer satisfaction survey
Train customer on SV Analysis
Load final data, QA, publish

16. Tomkins Gates Specific Project Plan

17. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

18. Data Acquisition Overview
The Ariba Data Acquisition Schema
A roadmap for the customer to create files in the proper format
Helps the customer to define which data they want to include for upload
Provides technical “do’s” and “don’ts” for the IT owner to follow in data extraction
Defines the various tables and fields, and the requirements for their successful creation
Is the primary and final reference for all matters relating to data extraction and file creation.

19. Data Acquisition Overview
Where does the data come from?
Spend Data refers to the accounts payable data or any other supporting data including but not limited to purchase order data, purchasing card data, and third party payable data which the client provides to Ariba for processing during the Spend Visibility project. This data may include transactional data and data identifying client suppliers from any accounts payable systems.
A Source System generally refers to a standalone software installation where actual payment transaction data is available (typically AP systems).
The creation of a complete data set for a given Source System may include feeds from multiple feeds a number of systems to augment the AP data.

20. Data Acquisition Overview
Example of Related Systems
Invoice (payment) information found in an AP system describes the transaction but does not contain a lot of related detail
1 invoice system = 1 SV Source System
Supporting supplier detail may be found in a vendor master system
1 vendor master ≠ 1 SV Source System
PO and item master detail may be found in an MRP system
1 MRP system ≠ 1 SV Source System
Three separate source systems = 1 SV Source System

21. Data Acquisition Overview
Example of Independent Source Systems
Oracle = 1
SV Source System
SAP = 1
SV Source System
To capture all the spend, transactions from both
Oracle AP and SAP AP are required = 2 SV Source Systems

23. Data Acquisition Overview Questions
The following questions need to be answered prior to an extract being generated
What constitutes an Accounts Payable (AP) Spend Event?
Invoice entered for eventual payment
Invoice receipt
Invoice payment
PO receipt
Other?
What types of transactions/spend should be included/excluded?
Invoice supported by PO
Invoice without supporting PO
P-Card
Expenses
Check Requests
Wire Transfers
Intra/Inter-Company
Payroll (should probably be excluded from extract)
Other Transaction Types

24. Data Acquisition Overview Questions
Which ERP date field should be used to determine transactions that are in scope/out of scope?
Which timeframe should the extract include? 12 months per contract
How should taxes be handled?
Is it necessary to flag direct vs. indirect spend?
Is it necessary to flag Internal vs. External Suppliers?
Are there specific requirements for enrichment we should be aware of upfront?

25. Data Acquisition Overview – Next Steps
A formal Data Acquisition Schema training will be right after this overview session
The following team members should be present:
Ariba Project Manager
Customer Project Manager
Business Analysts or Business Users
IT Resources (person(s) performing extracts)

26. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

27. Data Enrichment Overview
The Ariba Data Enrichment (ADE) team will focus on two areas for enrichment:
Supplier - Provide parentage and enriched supplier information.
Invoice - Classify to a commodity code based on descriptive and ‘hint’ fields available in the customer-provided data.
You have probably already seen this slide, it is the basic activities and tools that exist during the classification and enrichment phase.

28. Data Enrichment Overview
The following fields will be used to assign supplier parentage during the supplier enrichment:
Name
Address
City
State
Zip Code
Country

29. Data Enrichment Overview
Supplier Enrichment Example Outcome
Spend with the Palmer House Hilton was $4,456, but total spend with Hilton Hotels Corporation as a parent is $577k
Ariba Data Enrichment enriches and classifies your supplier spend using multiple sources of continuously updated data. In addition to our internal database of millions of global suppliers, Ariba licenses information from 3rd party supplier experts in N. America and globally.
Enriched Supplier Parent
Enriched Supplier
Supplier Provided

30. Data Enrichment Overview
Supplier Level Hierarchy in Analysis
Level 1 (highest): Active Supplier / Low Activity Supplier
Shows enriched supplier parent for top 75% of spend or line items. The remaining 25% is grouped in one value as Low Activity Suppliers
Level 2: Supplier Parent (enriched)
Parent of raw supplier as enriched
For the active suppliers, this will be the same as Active Supplier
Level 3: Supplier (enriched)
Supplier name after it has been Enriched
Level 4: ERP Supplier
Raw supplier as imported from source system (ERP)
Basis for supplier dimension

31. Data Enrichment Overview
The following hint fields will be used to help perform classification during the invoice enrichment:
Invoice & PO Descriptions
Part Descriptions
Suppliers
ERP Commodity Descriptions
GL Accounts
Invoice Flex Fields (1-3)

32. Data Enrichment Overview
Invoice Classification Example
Ariba Data Enrichment enriches and classifies your supplier spend using multiple sources of continuously updated data. In addition to our internal database of millions of global suppliers, Ariba licenses information from 3rd party supplier experts in N. America and globally.
Customer Provided Information
Ariba Classifications
This example shows how the ADE classification process looks at multiple sources of information to make a classification to UNSPSC

33. Data Enrichment Overview
Invoice Enrichment
Ariba Analysis allows users to report on invoice commodity classifications using the following fields
UNSPSC – United Nations Standard Products and Services Code
ACT – Ariba Classification Taxonomy

34. Data Enrichment Overview
UNSPSC
Level 1: Segment
Example: 44 – Office Equipment, Accessories and Supplies
Level 2: Family
Example: – Office Supplies
Level 3: Class
Example: – Ink and Lead Refills
Level 4: Commodity
Example: – Pen Refills
Make sure to note that Ariba does not do additional research for this information. Information that is provided by our sources are used.

35. Data Enrichment Overview
ACT
Foundation is UNSPSC
New codes are being constantly added from 3 different sources:
Newer version UNSPSC table when it is available.
Leverage other industry taxonomies as benchmarking (e.g. Wand, eClass, NATO etc)
SV customers' specific needs (e.g. Ingredients-Fruits-Fresh Fruits-Fresh Oranges)
Offers six level - allows more detailed classification results than UNSPSC
Make sure to note that Ariba does not do additional research for this information. Information that is provided by our sources are used.

36. Data Enrichment Overview
ACT
Level 1, Example: Chemicals including Bio Chemicals and Gas Materials
Level 2, Example: Compounds and Mixtures
Level 3, Example: Inorganic Compounds
Level 4, Example: Inorganic Acids
Level 5, Example: Nitric Acid
Level 6, Example: Pure Nitric Acid
Make sure to note that Ariba does not do additional research for this information. Information that is provided by our sources are used.

37. Data Enrichment Overview
Data Enrichment Classification Methodology
Source Data Hints
Supplier Name
Supplier Address
Expense Description
GL Account
Commodity Description
Part Description
Invoice Description
other hints
Supplier
Engine
Rationalization
Business Rule
39M+ Supplier Database
Matching & Parentage
Enrichment: Industry (SIC and NAICS), Revenue
Text Reading
Learned Models
Custom Mapping
Custom Rules
Inference
Engine
Weighted Triangulation
Enriched
Spend Data

38. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

39. Designated Support Contacts
Designated Support Contact (DSC)*
Allows the user to submit administrative requests including:
Master data updates, site customizations, legal agreement changes, and enhancement requests.
Acts as liaison for end-user requested changes
Interfaces with Ariba regarding end-user issue trends
DSCs automatically receive the following types of notifications:
Scheduled/unscheduled downtime
Security information/bulletins
Information on new product releases, new features and service pack availability
Full access on Connect.ariba.com
*Designated Support Contact access is available for up to 3 contacts per solution. If you have any questions, please contact

40. Becoming a Designated Support Contact
Register on Connect
Navigate to
Click the “New User” link
Complete the brief registration form
After you set up your account, you will receive an from Connect Support when your account is activated. Please respond to the from Connect Support and request DSC access.
If you have any issues logging in or creating the account on Connect, send an to

41. Agenda Introductions Spend Visibility Overview Project Scope
Project Overview
Roles
Timeline
Project Phases
Data Acquisition Overview
Enrichment Overview
Designated Support Contacts
Next Steps

42. Next Steps Data schema training Receive/review extracted data
Begin uploading and validating data
Validate and approve spend
Enrichment Process
Automated Process
Manual Process
Refinement drop and feedback
Deployment
Survey

43. Instance Set-Up (Hosted Site)
URL Convention
Currencies
USD Default
Up to 5 additional
Unit of Measure
Metric (gram, kilometer)
US (pound, mile)
Source Systems
Quantity - 17
Names – see supplied list to fill out

44. Communications Plan
Weekly Status Call (best days/times?)
Weekly Project Status Report & Project Plan

45. Support and Escalation
Project Manager – Keith Luers,C.P.M.
Data Issues / Day to day project support
Analysis support and training
Spend Visibility Support
Analysis site via a webform