Your customers are implementing a procurement solution. Learn how to change beliefs, shift thinking, and drive conversations and change within your company to shift from operationally focused e-commerce to customer-centric digital commerce and help your company flourish. You'll also gain insights into how to get to the future and create a change organization.
1. Dante Malcangi, Manager of Client Success, IBM Digital Sales
Søren Bartels, Program Director, Atea A/S
Yi Zhu, Chief Consultant, Zber / June 15, 2016
Selling E-Commerce to Your Leadership
Public
5. 5
Dante Malcangi
Manager of Client Success, IBM Digital Sales Europe
Responsibility to lead Europe Digital Coverage and Commerce
team, with the objective to increase business on Top Accounts,
combining traditional and digital sales approaches to expand the
number of engaged buyers and to increase the volume of electronic
transactions, making easier the way customer do business with IBM
7. 7
IBM (as a supplier) and SAP Ariba
• Started with non catalog
orders, catalogs and
order response came
later, began true
integration for Intels
Servers and PC in 2005)
• Changing product
portfolio leads to re-
engineering of approach
• First Ariba implementation in 2000
• Ariba Ready Platinum Supplier
• Today supporting more than 150 customers
• Almost $4B per year of spend per year
• Processing more than 50 000 documents
8. 8
The Digital Revolution is changing the way business is transacted
Changing customer buying behavior:
• Informed customers
• Procuring vs. selling
• More decentralized decision making
• Customer users driven engagements
DIGITAL MISSION
To plan, design, build, manage and deliver
a transformation of digital channels; to
craft a holistic digital experience that
delights customers and partners across the
full customer life-cycle
9. 9
Procure to Pay with B2B integration
Source
Order &
Expedite
Manage
(Services)
Receive Reconcile
& Pay
Market
& Bid
Receive &
Acknowledge
Order
Deliver
(Services)
Ship
(Advance
Ship Notice)
Invoice &
Receive
Payment
BUY: Source to Pay
The CPOs’ agenda for process integration with preferred
suppliers
SELL: Market to Cash
Creating client value, while capturing internal
efficiencies
Inter-Enterprise
Integration
Gain efficiencies and
reduce costs
• Automate Transactions: reduce manual
processing of orders and invoices
• Automate Requisition Approvals:
preapprovals and exception routing
embedded in system – freeing field sales
time
• Simplify contract management:
enable simple, repetitive transactions within
complex deals and contracts
Strategic Partnership
• Create Competitive Barrier: through shared
investment of global, integrated processes
• Create Differentiated Value: demonstrate
client value delivered by IBM as a preferred
supplier who supports client goals for
efficiencies
• Create Client Loyalty: by supporting client
eProcurement strategy and improve ease of
doing business
10. 10
Digital buying journey
Identify Discover Learn Try Buy Deploy Renew, Expand
eProcurement
eOrdering / eInvoicing
eShops & Catalogs
Buy
Collaboration Portals
Collaborate, co-work and
share documents in a
secure environment
Share
Contract Management
Inventory Management
SoW Management
RFS Management
Manage
Contract Negotiation and
Signing, RFQ & RFP
Management
Negotiate
Smarter Sourcing
Less time processing
e-mail, leaving more
time for actual work.
Source
11. 11
Best Practices and Lessons Learned
Engage leadership in a fact-based strategy discussion
pointing out the disruptive elements and create the urgency
to respond
Implement a standard digital engagement program flexible
enough to respond to different customer engagement types
Leverage existing digital tools and processes to facilitate
different kind of integration requirements
Be prepared to overcome objections and expect a lot of
iterations and transformation discussions
12. 12
Dante Malcangi
Manager of Client Success
IBM Digital Sales Europe
Mobile: +393442320307
E-mail: dante_malcangi@it.ibm.com
15. Local presence
and worldwide
delivery capabilities
Atea is the market leader in
IT infrastructure and system
integration for private and
public sectors in the Nordic
and Baltic regions.
= Offices
= Data centers
16. Atea's products
and services
Our business consists of
three areas: hardware,
software and services.
All supplemented by
IT specialists with key
competences.
Hardware
56%
Software
22%
Services
22%
17. 17%
share of market
1st
largest in Nordic region
28
NOK billion revenue
2nd
largest in Europe
+7,500
technology certifications
+4,000
service consultants
+6,800
full-time employees
27,500
customers public & private
+130
countries delivered to
89
offices
TP2B
The Place to Be
WE BUILD
THE FUTURE
WITH IT.
23. Know your stakeholders
Selling to senior management is crucial,
but it is only the first step
• Advocates
• Avoid channel conflicts
Source: http://www.stakeholdermap.com/Ecommerce-Stakeholders.png
24. Know your stakeholders
Selling to senior management is crucial,
but it is only the first step
• Advocates
• Avoid channel conflicts
Source: http://www.stakeholdermap.com/Ecommerce-Stakeholders.png
25. The first sale was easy …
• Large customers were first
movers in e-procurement
• Cost game – “burning platform”
2001 – launched…
• First integrated web-shop
• First customer integration
(catalogue and order)
26. Continuously prove business value
• Relevant (simple) business KPIs
– Level of automation (savings)
– Revenue and profit
– Customer satisfaction
2015
• E-revenue 5.7 billion NOK (~EUR 613 million)
• ~900 000 e-orders, >70% of transactions
• Positive impact on customer satisfaction
27.
28. Yi Zhu, Chief Consultant
Selling E-Commerce to your
Leadership
Zber
30. About Zber
• Zber is working on business commerce platforms to combine
industry-leading cloud-based sourcing/procurement applications with
huge Chinese business community to help companies discover, connect and
collaborate globally.
• Found: 2015
• Office: Beijing, Nanjing…
Zber
34. Ariba Network Zber
Other, 3000000
China, 1000000
0
500000
1000000
1500000
2000000
2500000
3000000
3500000
4000000
4500000
2010 2015 2020
Members of Ariba Network
?
Only few from China?
How can we have more
members from 5M+ Chinese
enterprises?
Participation Is Key !
35. Business Improving is BIG
• Achieve sustainable savings
• Eliminate 30 percent of buyers’ time finding new suppliers
• Bring more “spend under management”(>75 percent)
• Obtain ready access to in-context market intelligence, best practices,
and benchmarking
• Seamless integration of technology with a broad portfolio of Sourcing Transformation services
and global supply market expertise
Zber
China Mobile achieved billions in savings within few years.
State Grid achieved 10x ROI with > 50% spend (under management)
36. Why There is a Gap Zber
Customers don’t need
Customers have other solutions
Why
Did not know
Did not
understand
Did not reach them?
Need service,
education/training?
Business Model
Value/Price
Resource
Security
Just Beginning in China!
38. Challenge: can not address them at one time! Zber
Suppliers/Buyers in China
YOU
Priority Is Key !
39. Integrated with IT, Service & Support delivers value Zber
Analyze Source Contract Procure Invoice & Pay Manage
Research Market/Bid Contract SO/Deliver
Invoice &
Receive
Manage
BUY
SELL
Platform
Implementation
Support
Service
40. What Customers Want Zber
Company
Function
(They said)
What Zber can do
1 Private Company Sourcing
Collaboration
Sell
Best Practice
• Realize immediate savings by Ariba tools & Sourcing service
• Comprehensive RFX management, reverse and forward auctions
technology capabilities
• Global market expertise
2 Int’l Company Roll Out
Local Support
Training
Supply Base
Source Service
Collaboration
• Seamless integration of technology with a broad portfolio of Sourcing
Transformation services and global/China market expertis
• Service/Support Team
3 SME Sell
Market Information
• Unique discovery tool and access to world’s largest commerce network
provides complete visibility to supplier information
• Comprehensive RFX management, reverse and forward auctions
technology capabilities
• in-context intelligence and on-demand category playbooks
4 SOE Security
Total Solution
Best Practice
• Comprehensive RFX management, reverse and forward auctions
technology capabilities
• Achieve sourcing cycle time reductions by > 50 percent
• Seamless integration
41. Process of eBusiness Decision Zber
Yes
Is it
an
opportunity
?
Are
solutions
defined
?
Solutions
Is it
low risk?
Is it
possible?
Will
it really
work?
Out!
Tell me
about
eBusiness
to
Wish List
?
Wish List
Yes
Yes Yes Yes
No No No
NoNo
No
Yes
• Where is the fish?
• Can I have the fish?
• Help me get the fish?
• Show me your fishing tools and
Teach me how to use them
• Can I try them?
• Rent me your fishing tools
Priority Is Key !
42. Supplier Information / Ariba Network
Participation Is Key
SOLUTIONS
• Integrated with Ariba SIPM, Ariba
Network, Ariba Discovery
• Improve quality of supplier data by IT,
data clean & enrichment service
• Process data by industry, by area for
Critical Mass
Zber
Supply Base
Development
Supplier
Qualification
Supplier
Management
VALUE
• Reached new market
• Competitive response
• Increased customer satisfaction
• Increased visibility via collaboration
• Decreased cost
• Improved product / service quality
• Accelerated cash flows
43. Connection/Collaboration for Ariba Network
SOLUTIONS
• Supplier enablement with Ariba Network
• Integrated with ERPs, portals or other
applications
• Implementation, support and help desk
Zber
PROBLEM
• Knowledge – do not know online
collaboration
• Competency – do not have the skill
in-house
• Resources – do not have scalable staff
for support – necessary languages etc.
• Methodology
• Best-Practices
• Costs
$15.42
$4.47
$19.89
$8.04
$1.30
$9.34
$0
$5
$10
$15
$20
Purchase Order Cost per Invoice End-to-End
Cost per Transaction
(Labor and Outsourcing)
Peer World-Class
44. Global Sourcing Service
• Global/China market expertise
• Leveraged with Ariba Sourcing, Ariba Network & Ariba Discovery
• Realize immediate savings by SAP Ariba tools & Ariba Sourcing
• Comprehensive RFX management, reverse and forward auctions
technology capabilities
Zber