hybris Solutions for Industrial Machinery and Components

hybris Solutions for Industrial Machinery andComponentsThe Value of E-commerce for IM&C companies

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Dynamics E-Commerce Imperative Why hybris? Next Steps

© 2014 SAP SE or an SAP affiliate company. All rights reserved.

The current market reality

Four critical market conditions are forcing IM&C companies to focus on driving aseamless cross-channel customer experience:

Solution ProviderNetworksSafeguard futurerevenue streams bytransforming from aproduct supplier to aturnkey solutionprovider

DemandingCustomersOffer highlyconfigurable solutionsto well-informed andmore demandingcustomers

Complex Sales andService ChannelsOffer standardproducts, customizedsolution bundles,service parts, andMRO consumablesthrough multiple saleschannels

Smart DataPlatformsReal-time E-Commerce platformsintegrating withdistributionchannels, partners,and customersseamlessly as agrowing driver ofrevenue

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 3Public

Demand for self-service capabilitiesCustomers expect better self-service tools to research, buy,and get customer service

Purchase pathnot linearSmartphone /tablet adoptionhas shifted the commercelandscape

Buying landscapehas shiftedB2B buyers are browsing andbuying on B2C and B2C-like B2Bwebsites

Relevant customerinteraction is crucialNeed to address buying behaviorand preferences no matter how thecustomer interfaces, Field Sales orDigitally

MARKET REALITY: CLEAR SHIFT IN CUSTOMERBEHAVIOR

”“ “Technology is transforming every industry.Winners are building strategies and capabilities tomatch.”

– McKinsey: Digital Edge 2014

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IM&C information is exploding and driven by “Big Data”

20%Annual growth in

smartphones

What will be next ?

IM&C industries need the scalability and agility to plugin to new ways to connect with customers.

Over 30 million networked sensor nodes are currently operating across most industrialand consumer sectors, and this number is projected to grow 30% year over year

5BPeople worldwide will be

middleclass by 2030

1.3BUsers on business andsocial networks today

30MNetworked sensors

nodes today

50BConnected devices onthe industrial internet of

things by 2030


BECOME THE UNDISPUTED MARKET LEADER IN B2B COMMERCE

• PROCESSES: Provide best in class omni-channel B2B commerce capabilities beyond theframework into End to End processes, without compromising platform agility

• CUSTOMER EXPERIENCE: Continue aggressive investment in B2B mobility for both endcustomers as well as sales rep. selling/B2B clienteling scenarios

• LEVERAGE: Bundle and integrate hybris with complementary SAP B2B assets (e.gConfigure Price Quote, Customer Engagement Intelligence, Cloud for Customer…) tosupport the complex B2B customer journey (CEC)

• AGILITY: Remain backend agnostic whilst considerably improving time-to-value and tomarket for joint hybris-SAP customers by delivering productized integration to the SAPbackend

B2B COMMERCE


CONFIGURATION ANDQUOTING

POWERFUL SEARCHBACKBONE

POWERFUL PRODUCTCONTENT MANAGEMENT

07 08 09

MOBILE: ANY DEVICE,ANYWHERE

WORLD CLASSUSER EXPERIENCE04 05 06

END-TO-ENDORDER MANAGEMENT

MODERN, SCALABLEPLATFORM

ROLE-BASED WORKFLOWSAND ORGANIZATIONMANAGEMENT01 02 03

B2B Commerce REQUIRES…

FLEXIBLE INTEGRATIONFRAMEWORK


B2B OBJECTIVES

Grow AftermarketService Parts

Establish New ChannelsImprove Sales Efficiency

Go Mobile Manage ComplexProducts & Pricing

Reduce costs withSelf Service

Offer Product Selectionand CPQ

Expand GeographicallySell Solutions


ENGAGING YOUR B2B CUSTOMERS

WORLD CLASSCUSTOMER EXPERIENCE

ENABLINGCORE PROCESSES

POSITIVELYIMPACT OPERATINGCOSTS

STRATEGIC PRIORITIES KEY IMPERATIVES

• Personalized view of Product Content & Pricing• Support for all Digital Channels• Self-Service

• Enforce Policy & Standardize Best Practices• Seamless Experience between Channels• Opportunity for Innovation (CPQ)

• Complete Automation of End-to-End Processes• Standardize on a single, Omni-Channel Platform• Big Data and Predictive Capabilities



Top inhibitors to achieving e-commerce

IM&C companies lack the intuitive tools and infrastructure required to mineenterprise and external data to improve complex product and solution offerings

Heterogeneous systems and multiple disconnected interaction points betweensales and operational teams lead to a poor customer experience

Latency in order management and MRP processing makes providing real-timeavailable-to-promise checks across multiple locations difficult

Lack of buying behavior analytical tools makes as-sold configurations difficult toidentify, leading to inaccurate forecasting of component features and options

Inefficient sales processes due to a lack of end-to-end process integrationbetween customers, dealers, sales front office, and operations back office

No cross-divisional solutions leads to the inability to configure, price, quote,fulfill, and invoice complete product and service solutions across multiple locations

High order entry error rates caused by manual efforts needed to manage legacydealer systems with outdated price and configuration data



What hybris means for IM&C companies

Sell more spareparts, products andsolutions

With less sales effortby direct, easy-to-useaccess for customers& distributors throughmultiple touch points

Extend the market

Directly link hybrismulti-channelcommerce tothousands of buyerson the Ariba Network

Improve salesefficiency

Faster & betterintegrated salescycles with touchpoints acrosschannels - customer,distributor, sales frontoffice & back office

Drive more salesthrough yourbusiness network

Efficiently integratewith customers,distributors &suppliers

Reduce sales costs

Optimize channels &rely on self-service toreduce effort for salesteams & call centerstaff

Become a solutionprovider and boostprofitability

Sell more serviceparts, offer tailoredproducts & providecomplete solutions



Today: Channel specific applications to sell IM&C products &solutionsNo view across channels; multiple integrations to many backend systems

Channel Specific Applications

Enterprise Applications

Print Catalog

Data

Warehouse Cloud forCustomer

CRMERP Non-SAP

Online Catalog

Data

Web Shop

Data

Mobile Shop

Data

DealerApplications

Data

Call Center

Data



A solution to manage the new customer experience in IM&CGain complete visibility across all channels

Product & Web Content

Platform

Multi-Channel LogicOrder Management

Multi-ChannelTouch Points

Enterprise Applications

A single platform to create a consistent brand experience, effectively managecomplex product bundles, and sell more products, services, and solutions

Cloud forCustomer

Warehouse CRM Non-SAPERP

To A Multi-channel B2B Commerce Platform

Print Catalog Web Shop - Customerand Dealer Portal Mobile Shop Call Center Marketplaces



hybris and SAP for IM&C solutionsThe future of e-commerce and customer engagement

hybris and SAP are combining a leading multichannel e-commerce solution with the world’s foremost IM&C solution.

hybris and SAP provides IM&C companies :A complete multichannel e-commerce platformthat incorporates Web, mobile, call center andphysical solutionsA single view of customers, products, andorders across multiple demand and deliverychannels – made possible by state-of-the-artmaster data management and unified commerceprocesses for all channels

Real-time data to support customer interactionsat any point of connection with personalized andrelevant experiences

A complete commerce solution that connectsindustrial customers, suppliers, dealers, anddistributors with flexible deployment options

Engage customers like never before.



Powering business results for leading IM&C industries

Best-in-class performance1

20%Higher conversion

ratesIncrease in allonline sales

40% 21%Average growth

in cart sizeMore visits

40%

Source: 1. 2012 hybris Customer Survey



hybris runs industrial e-commerce around the globeBest run IM&C companies differentiating with hybris

Deals Average deal size Call center costs On-time deliveryConversion rateSales

Customer overviewLeading provider of compact equipmentfor global construction, rental,landscaping, agriculture, groundsmaintenance, government, utility,industrial and mining markets

Customer overviewDiversified global manufacturer of aerialwork platforms, construction equipment,cranes, and materials processingmachinery

Customer overviewFortune 500 global distributor of MROsupplies, industrial equipment, and tools

Key value drivers

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Dynamics Omnichannel Imperative Why hybris? Next Steps


Gartner names hybris as a leader for Digital Commerce

According to Gartner: “We see continuing strong demand for digital commerce as organizations invest to improve thecustomer experience and extend the infrastructure required for the creation of new digital business designs.”

‘Leader’ Qualities According to Gartner:

The optimal blend of insight, innovation, execution and the ability tosee what's going to happen next

The strongest capability to meet Internet B2B and B2C sellingrequirements

Consistent, extensive and durable execution in delivering e-commercewebsites at the enterprise level

Maintain a strong vision regarding the key points that have emergedduring the past year, including globalization, mobile e-commerce,social commerce, multiple deployment options and multisitemanagement; the capability to support B2C, B2B and B2B2C sellingmodels; integration with multiple points of interaction, such as mobile,call centers and stores; and support for overall sales, service andmarketing in an e-commerce context

Magic Quadrant for Digital CommercePublished: 29 September 2014Analyst(s): Chris Fletcher, Gene Alvarez, Praveen Sengar, Penny Gillespie, David Kohler

Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation.Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect tothis research, including any warranties of merchantability or fitness for a particular purpose.



What hybris and SAP for IM&C can do for you

hybris and SAP are combining a leading multichannele-commerce solution with the world’s foremost IM&C solution

E-Commerce

Increase E-Commerce revenuefrom customers,dealers, anddistributors

Configure, Price,and QuoteReduce quote-to-order cycle times,and increasemargins by movingfrom sellingproducts toproviding solutions

Collaborative SalesForce AutomationImprove win/lossratio, and achievehigher adoption ratesof business tools bysales teams

Solution Sales andBillingReduce days salesoutstanding (DSO)through accurateand timely billing,and compress time-to-market for newsolution packages

OrderManagementReduce lead-timesfor cross divisionalsolutions, improveservice levels, andincrease on-timedeliveryperformance

Smart DataPlatformBetter forecastaccuracy. increaseservice margin, andimprove win rates

Appendix

hybris Solutions for Industrial Machinery and Components

Documents

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