Driving Value through Business Networks · APPLICATIONS COLLABORATIVE BUSINESS COMMUNITIES 8.0...
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Use this title slide only with an image Driving Value through Business Networks Eric Washer, Vice President January 2016
Transcript of Driving Value through Business Networks · APPLICATIONS COLLABORATIVE BUSINESS COMMUNITIES 8.0...
Use this title slide only with an image
Driving Value through Business Networks
Eric Washer, Vice President January 2016
2 © 2015 Ariba - an SAP company. All rights reserved.
3 © 2015 Ariba - an SAP company. All rights reserved.
Megatrends
4 © 2015 Ariba - an SAP company. All rights reserved.
Digital Economy Fueled By Hyperconnectivity
$65 trillion Global business
trade by 2020
2.5 billion Connected people on
social networks by 2020
75 billion Connected devices
by 2020
The Digital Economy requires a shift to a Real time Business Collaboration.
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Business demands are driving business collaboration technology innovations
1980 1990 2000 2010 2020+ -1970
Mail Phone Fax EDI
Vans Direct B2B
Connections Email
@
Corporate Portal
Single Process
Solutions Business Networks
MANUAL COMMUNICATIONS
EARLY ELECTRONIC COMMUNICATIONS
INTERNET
COMMUNICATIONS
COLLABORATVIE BUSINESS
APPLICATIONS
COLLABORATIVE BUSINESS
COMMUNITIES
8.0 trillion dollars are exchanged through eCommerce annually*
2X self-reported expected increased usage of B2B Networks in 12 months
25% of eCommerce volume is conducted through business networks ”
“ More than 60% of CEOs expect 15-50% of their earnings growth in the next 5 years to come from technology-enabled business innovations. – McKinsey study, 2013
*“Bullish on digital: McKinsey Global Survey results” August, 2013
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Changing business environment increases pressure on companies
Increasing Globalization • Expansion into new markets • Global process standardization • International supply chains • Increased off/near shoring
Economic Volatility • Volatility in markets • Decreased stock valuation • Slow economic growth • High expense ratio
More Competition • Pricing pressures • New sources of competition • Decreased budgets and spending
Greater Risk • Supply chain disruption • Financial risk and fraud • Commodity risk
Accelerating Technological Change • Changing business models • Faster innovation cycles • Expanding partnerships and channels • Leveraging big data for decisions
Regulatory Changes • Increasing disclosure requirements • Country-specific regulations • Industry-specific disclosures
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Collaboration inefficiencies between companies is costly
Paper Based Transactions
Leakage Of Value
Too Many Exceptions
Lack Of Visibility Into Spend By Category
“15% of invoices have exceptions adding 6.6 days to the cycle.” - TAPN, 2010
“$4.6 million in contract leakage per billion in spend on average.” - The Hackett Group, 2012
“50% of prenegotiated discounts are never captured.” - Aberdeen, 2012
“Companies are losing $260 billions each year due to a pervasive inability to organize and analyze spend data.” Aberdeen, 2010 90% of companies still use spreadsheets application as their primary analysis tool. Aberdeen, 2010
“Nearly 77% of all incoming invoices are still paper based.” - Aberdeen, 2012
“70% of payment is still handled via paper checks” - 2013 AFP Electronic Payments
Survey
(1) Basex Research
Collaboration inefficiencies cost companies $650B (1)
annually
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The use of business networks impact the bottom line
41% Improved collaboration across silos
55% Better information sharing
24% increased revenue
77% Increased access to knowledge
63% Increased marketing effectiveness 43%
Greater market share 8%
Higher margins
“Networked enterprises were 50% more likely than their peers to have increased sales, higher profit margins, gain market share, and be a market leader.”
Source: McKinsey & Company, “The rise of the networked enterprise, Web 2.0 finds it’s payday.” Survey of 4,394 executives. December 2010
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Thank You !
Contact
Eric Washer Vice President, Network Strategy [email protected] (510) 606 - 0482
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� Gain process visibility into the interactions between all your trading partners
� Make decisions based on real-time collaborative information � Expand your presence geographically without incremental cost � Collaborate seamlessly to deliver innovative solutions to your customers � Accelerate the speed in your collaborations driving cost efficiencies and
savings � And, leverage network enabled insights to create first-to-market
opportunities
What If You Could …
… across your business ecosystem
