Paul Bot, Project Director Strategic Change at PostNL – one of Europe’s leading postal and parcel distributers – discusses the challenges and opportunities of digitalization and business transformation, including the importance of simplifying and standardizing processes while remaining focused on the overall user experience as the key to continued growth. https://www.hybris.com/billing

1. Implementation of
Hybris Billing at PostNL
SAP Hybris Live - Barcelona
Paul Bot – October 2017

2. 2
177 million (+13.3%)
parcels in NL, BE
2.2 billion (-8%)
addressed mail items in NL
2,900
Post Offices and Parcel Points in the
Netherlands
3.4 billion
euros in revenue
46,500
employees headcount
4.000
vehicles
Globally
180 countries
European countries
Germany and Italy
This leads to the following yearly volumes
1.5 mln invoices & more than 1 billion O2C-P2P event charges
Who’s PostNL
Key figures 16/15

3. 3
Year on year decline of mail volumes
Focus on cost reduction and cost flexibility
Strong growth of Parcels due to web shops
Growth as flexible Logistical Service Provider
Much more IT intensive than traditional mail network
Digitization of customers and suppliers
International e-retail using global web-shops
Receiver gets more in control
Who’s PostNL
The transition of a postal operator
-8% to -15% yearly
+10 to +25% yearly

4. 4
CRM
Sap IaaS +
Hana
Cloud
Kernel
HCI
BW4Hana / BO Cloud
API Management
SCP PaaS
Billing
SAP HCP
SAP HEC
Cloud only !
Migrate SAP and the Kernel to SAP SaaS, PaaS and IaaS solution
Why these choices
Saas > PaaS > IaaS
Cloud = Open architecture
Standardize back-office
Innovate in commerce
SAP HEC

5. 5
Contract Order €
Procure
Produce
Invoice
Traditional Order Based scenario
Contract Consume Charge €
Invoice
IoT Base event architecture
Procure
Measure ALL logistical events
and charge the actuals
Billing
SAP HEC
Why traditional ERP won’t work
Moving from tradition order-to-cash to high volume IoT based event billing
100x more
charges

6. 6
Main requirements to fulfill with Hybris Billing platform
Digitization of a Postal company
Every parcel, coded letter and collo is unique adding different services, like
• Controlled logistics (temperature,medicalB2C)
• Receiverservices è consumerfirst
• In total 40 services with more than 200 service levels
Charge network exceptions across all networks
Information level and charging per item with full trail back to original event
Make logistical network more flexible
• Real time feedbackfrom charging to logistical network
• Supportdynamic subcontracting and self bill sub-contractorbased on same events
Time to market to implement new pricing models and services
Full integration to finance, including revenue recognition
Correlate events from different networks
Reduce network revenue losses
Enable platform to communicate with partners using standard and open APIs
Food box

7. Charging across different networks
Different event sources and correlations across events being charged in Hybris Billing

8. Charging across different networks
Different event sources and correlations across events being charged in Hybris Billing
1
3
45
2
6
7
8
9
10

9. 9
Overall Architecture of Hybris
Logical overall architectue of Hybris Billing
Flexible and short time to market Standard & Simple
Networks
CM CC CI
SOM
SOM Business API for
all product configuration
and contract integration
CM Integration to all events
CC Charges all events
CI Invoice Generation
and all financial logic

10. 10
Monitoring all events
How we monitor all events on exceptions, warnings and errors
Networks
SAP HANA
Every event is saved
in real time
Log records are
written per event
In memory SAP Hana Database
Real time dashboardof how ConvergentMediationis
processingeveryeventand errorsit finds
1

11. 11
Monitoring all events
How we monitor all events on exceptions, warnings and errors
Networks
SAP HANA
Every event is saved
in real time
Log records are
written per event
In memory SAP Hana Database
2
Zoom in on an error group on the Dashboard
Immediately all errors are groupedper root-cause

12. 12
Monitoring all events
How we monitor all events on exceptions, warnings and errors
Networks
SAP HANA
Every event is saved
in real time
Log records are
written per event
In memory SAP Hana Database
2
Solve the root-cause of a group of issues
Press REPROCESS and mediation will immediately
reprocessthese pendingevents to be charged

13. 13
DenHaag•00maandjaar
Salesforce
Business Portal
ByDesignSaaS
Invoices
HEC Hybris Billing
with ODS on SCP
drill down to the
lowest charge
Cloud Kernel
HCI
SAP Cloud Identity
API Management
SCP PaaS
SAP SCP
Integrate the clouds
Salesforce – Hybris Billing – BusinessByDesign – SAP Cloud Platform

14. 14
Integrate the clouds
Combine SAP Hybris on Hana & SCP using open standards for integration SAML / oData
SCP
Hana DB
Hana SDIInvoice
Details
XML Invoice
Output
HCI HCI
HCI
Printed
Invoice
in SaaS
archive
Customer invoices
ERS Supplier invoices
Inter Company invoices
Financial Notifications
all cloud
platforms
are SSO
SCI
API
Management
Invoice
Portal
Networks
Hybris on Hana
HEC Hana via SDI
to SCP Hana
Salesforce via API Mgt
SCP App to HEC Hana
SAP SCP

15. 15
Program timeline
Ramp up &
Architecture
2015-H1 2015-H2 2016-H1 2016-H2 2017-H1 2017-H2 2018-H1 2018-H2
Build main functionality
Parcels, NetSet, Retail-1, Mail-ECC
PRD Shadow RunStep 1
Data conversion - Training
110.000 customer live
Step 2
Step 3
Bulkmail, Contact mail items, Letterboxparcels, Fulfilment
Web & AppShops,Retail-2, Cross Border,Cargo, Subco’s
Go-Live
SalesforceCPQ / EDI
Go-Live
Go-Live
End of Year Freeze
PRD Shadow Run

16. 16
Full audit trail on parcel, retail, letterbox or any event level – from event to cash
Multi level contract for customers and partners – flexible outsourced networks
Manage network exceptions and charge accordingly
No limit in volumes – with initial setup we can process 4x daily volumes and we are tuning to 10-20x peak
Fully detailed invoice to our customers and sub-contractors
Resolve revenue leakage and event anomalies
Allow in case of issues to reprocess old events or contracts in full detail
Quick go to market of new services