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Transcript of TAMS CLM Presentation
SAP CLM - Contract Lifecycle Management
Presenter
Total Asset Management Solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
2
SAP CLM - Contract Lifecycle Management
Boost Savings and Revenue Whilst Lowering Risk
Contracts are dynamic in nature and require varying levels of management along the entire lifecycle from strategy and creation to execution and monitoring
Whatever the purpose an organization must maintain tight control over of their contracts and address common issues such as
Inconsistent language Incomplete approvals Long contract completion cycles and Limited visibility and compliance
SAPrsquos Contract Lifecycle Management (SAP CLM) application supports your companys entire Contract management process The application supports all contract types and can integrate with back-end systems or operate as a stand alone application to support contract compliance
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
3
SAP Contract Lifecycle Management
Implementing SAPrsquos CLM will enable you to proactively manage all aspects of the contract life cycle by
Accelerating the contract process through automated contract creation and collaboration Lower legal financial and regulatory risk through standardized language and reporting Protect your companys bottom line by reducing revenue loss in the contract lifecycle Realize full savings and revenue through contract visibility and awareness Ensure greater control and improved compliance throughout the contract life cycle via system
integration alerting and reporting
Powered by SAP NetWeaver
SAP CLM is powered by the SAP NetWeaver technology platform SAP NetWeaver unifies technology components into a single platform enabling your organization to reduce IT complexity and obtain more business value from your IT investments
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
4
SAP Contract Lifecycle Management Features
Features for SAP CLM
Full text search (using TREX) you can search across clauses contracts and attachments thereby making it easier to locate and access contract documents in your contract repository
Improved contract amendment process with automatic amendment document creation You can initiate an amendment for a released contract document and view of the changes with a full audit trail and versioning function
The improved contract creation flow has streamlined the contract creation process And improved usability You can automatically create a master agreement and contract document with a single contract document template
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
5
SAP E-Sourcing application Features
SAP E-Sourcing application helps to attain bottom-line savings and accelerate time to benefit by
cutting costs and encouraging user adoption with features including
Category and Project Management Configurable RFP Auction and Bid Optimization Management Contract Lifecycle Management Supplier Management Spend and Compliance Management
The SAP E-Sourcing application also enables negotiation activities including
1048696 Spend analysis 1048696 Category and project management 1048696 Requests for proposals information and quotation 1048696 Forward and reverse auctions 1048696 Contract generation and management 1048696 Supplier management
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
2
SAP CLM - Contract Lifecycle Management
Boost Savings and Revenue Whilst Lowering Risk
Contracts are dynamic in nature and require varying levels of management along the entire lifecycle from strategy and creation to execution and monitoring
Whatever the purpose an organization must maintain tight control over of their contracts and address common issues such as
Inconsistent language Incomplete approvals Long contract completion cycles and Limited visibility and compliance
SAPrsquos Contract Lifecycle Management (SAP CLM) application supports your companys entire Contract management process The application supports all contract types and can integrate with back-end systems or operate as a stand alone application to support contract compliance
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
3
SAP Contract Lifecycle Management
Implementing SAPrsquos CLM will enable you to proactively manage all aspects of the contract life cycle by
Accelerating the contract process through automated contract creation and collaboration Lower legal financial and regulatory risk through standardized language and reporting Protect your companys bottom line by reducing revenue loss in the contract lifecycle Realize full savings and revenue through contract visibility and awareness Ensure greater control and improved compliance throughout the contract life cycle via system
integration alerting and reporting
Powered by SAP NetWeaver
SAP CLM is powered by the SAP NetWeaver technology platform SAP NetWeaver unifies technology components into a single platform enabling your organization to reduce IT complexity and obtain more business value from your IT investments
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
4
SAP Contract Lifecycle Management Features
Features for SAP CLM
Full text search (using TREX) you can search across clauses contracts and attachments thereby making it easier to locate and access contract documents in your contract repository
Improved contract amendment process with automatic amendment document creation You can initiate an amendment for a released contract document and view of the changes with a full audit trail and versioning function
The improved contract creation flow has streamlined the contract creation process And improved usability You can automatically create a master agreement and contract document with a single contract document template
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
5
SAP E-Sourcing application Features
SAP E-Sourcing application helps to attain bottom-line savings and accelerate time to benefit by
cutting costs and encouraging user adoption with features including
Category and Project Management Configurable RFP Auction and Bid Optimization Management Contract Lifecycle Management Supplier Management Spend and Compliance Management
The SAP E-Sourcing application also enables negotiation activities including
1048696 Spend analysis 1048696 Category and project management 1048696 Requests for proposals information and quotation 1048696 Forward and reverse auctions 1048696 Contract generation and management 1048696 Supplier management
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
3
SAP Contract Lifecycle Management
Implementing SAPrsquos CLM will enable you to proactively manage all aspects of the contract life cycle by
Accelerating the contract process through automated contract creation and collaboration Lower legal financial and regulatory risk through standardized language and reporting Protect your companys bottom line by reducing revenue loss in the contract lifecycle Realize full savings and revenue through contract visibility and awareness Ensure greater control and improved compliance throughout the contract life cycle via system
integration alerting and reporting
Powered by SAP NetWeaver
SAP CLM is powered by the SAP NetWeaver technology platform SAP NetWeaver unifies technology components into a single platform enabling your organization to reduce IT complexity and obtain more business value from your IT investments
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
4
SAP Contract Lifecycle Management Features
Features for SAP CLM
Full text search (using TREX) you can search across clauses contracts and attachments thereby making it easier to locate and access contract documents in your contract repository
Improved contract amendment process with automatic amendment document creation You can initiate an amendment for a released contract document and view of the changes with a full audit trail and versioning function
The improved contract creation flow has streamlined the contract creation process And improved usability You can automatically create a master agreement and contract document with a single contract document template
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
5
SAP E-Sourcing application Features
SAP E-Sourcing application helps to attain bottom-line savings and accelerate time to benefit by
cutting costs and encouraging user adoption with features including
Category and Project Management Configurable RFP Auction and Bid Optimization Management Contract Lifecycle Management Supplier Management Spend and Compliance Management
The SAP E-Sourcing application also enables negotiation activities including
1048696 Spend analysis 1048696 Category and project management 1048696 Requests for proposals information and quotation 1048696 Forward and reverse auctions 1048696 Contract generation and management 1048696 Supplier management
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
4
SAP Contract Lifecycle Management Features
Features for SAP CLM
Full text search (using TREX) you can search across clauses contracts and attachments thereby making it easier to locate and access contract documents in your contract repository
Improved contract amendment process with automatic amendment document creation You can initiate an amendment for a released contract document and view of the changes with a full audit trail and versioning function
The improved contract creation flow has streamlined the contract creation process And improved usability You can automatically create a master agreement and contract document with a single contract document template
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
5
SAP E-Sourcing application Features
SAP E-Sourcing application helps to attain bottom-line savings and accelerate time to benefit by
cutting costs and encouraging user adoption with features including
Category and Project Management Configurable RFP Auction and Bid Optimization Management Contract Lifecycle Management Supplier Management Spend and Compliance Management
The SAP E-Sourcing application also enables negotiation activities including
1048696 Spend analysis 1048696 Category and project management 1048696 Requests for proposals information and quotation 1048696 Forward and reverse auctions 1048696 Contract generation and management 1048696 Supplier management
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
5
SAP E-Sourcing application Features
SAP E-Sourcing application helps to attain bottom-line savings and accelerate time to benefit by
cutting costs and encouraging user adoption with features including
Category and Project Management Configurable RFP Auction and Bid Optimization Management Contract Lifecycle Management Supplier Management Spend and Compliance Management
The SAP E-Sourcing application also enables negotiation activities including
1048696 Spend analysis 1048696 Category and project management 1048696 Requests for proposals information and quotation 1048696 Forward and reverse auctions 1048696 Contract generation and management 1048696 Supplier management
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
6
R3 SRM CLM Integration
Together with the SAP SRM application SAP ESourcing gives a complete sourcing to-contract
management process with several points of entry into the process multiple delivery model options
and a seamless migration path to transform purchasing functions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
7
CLM ndash R3 Integration
R3
RFQ (RFx) PO Contract
CLM
RI (RFx) RFQ (RFx) Contract
XI (PI)
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
8
Functionality R3 SRM CLM Comments
Shopping Cart Possible Y N
RFx Y Y Y
Purchase Orders Y Y N
Scheduling Agreements Y Y N
Contracts Y Y Y
GRGI Y Y N
Invoice Processing Y Possible N
Contract Management N N Y
Contract Collaboration N N Y
R3 Integration Y Possible Possible
Stand Alone Capable Y Possible Possible
More detail required
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
9
ERP CLM SRM Integration
More detail required
SRM CLM
SAP
ERP
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
10
SRM Scenarios
SRM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP SRM system itself Procurement requisitions in the form of
shopping carts and follow- on documents such as purchase orders goods receipts and invoices are processed in the SAP SRM system Only the
invoices are integrated with the backend financial accounting system and payments are made from the backend accounting system
ClassicIn the classic scenario the shopping cart is processed in SAP SRM and the follow -on documents are processed in the backend ERP system Goods
receipts or invoices can be created either in SAP SRM or in the backend system
Extended ClassicIn the extended classic scenario the shopping cart and the follow- on documents are processed in SAP SRM Purchase orders are replicated to the
backend system However changes to purchase orders can be made only in SAP SRM Goods receipts or invoices can be created either in SAP SRM or
in the backend system
DecoupledOfficially SAP SRM does not have a scenario called decoupled However this scenario name is loosely used to indicate the ability to use all of the
previous three scenarios in parallel That is you can run all of the previous scenarios in parallel based on product category For example you can specify
that services are processed in SAP SRM and stock items are processed in the backend system By using a Business Add- In (BAdI) you can define your
rules on whether the purchase order should be created in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
11
CLM Scenarios
CLM Scenarios
Local StandaloneIn the local or standalone scenario all procurement documents are processed in the SAP CLM system itself with no integration to the
backend accounting system
IntegratedThe integration of CLM to the backend system is also possible where the follow -on documents are processed in the backend ERP system
Goods receipts or invoices can be created either in SAP SRM or in the backend system
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
12
ERP FI and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
13
SAP ERP FI MM and e-sourcing integration
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
14
CLM Technical Integration
CLM Technical Integration
Infrastructure
E-Sourcing Platform
SAP LDAP Connector
Optimizer
Contract Generation
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
15
SAP CLM Infrastructure
Typical Infrastructure
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
16
SAP CLM Infrastructure
E-Sourcing Platform
The SAP E-Sourcing platform is a J2EE application that provides the core sourcing functionality In addition to a J2EE-
compliant application server the E-Sourcing configuration requires an Oracle database an LDAP directory and an SMTP
server Optionally the sourcing application can leverage an external HTTP web server and a Symantec AntiVirus Scan Engine
server
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
17
SAP CLM Infrastructure
The SAP LDAP Connector
The following part gives a short introduction to the technological mechanism providing the synchronization
functionality between the directory service and the SAP system ndash the so-called SAP LDAP Connector
The protocol used for communicating with a directory is usually the Lightweight Directory Access Protocol (LDAP)
The SAP LDAP connector allows direct access to directories within ABAP applications using the LDAP protocol It
provides this functionality in form of an API for connecting and searching reading and editing of directory entries
This API has already been shipped with the basis release 46 But this release does not provide any functionality to
synchronize user master data between SAP and the Active Directory
This functionality was first introduced with basis release 6x that is used for SAPrsquos Web Application Server
architecture and is therefore also available for all components based on SAPrsquos NetWeaver platform
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
18
SAP CLM Infrastructure
Optimizer
The SAP Optimizer is also a J2EE application that requires a J2EE-compliant application server that
supports the EJB20 spec The E-Sourcing application makes requests to the Optimizer service
The Optimizer has no direct end-user interface The Optimizer is typically deployed on a separate
physical application server from the E-Sourcing application This prevents the computation-intensive
processing of the Optimizer from impacting the performance of user interaction with the E-Sourcing
application
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
19
SAP CLM Infrastructure
Contract Generation
Contract generation is a Microsoft NET service This service processes requests from the E-
Sourcing application The Service generates Contract documents in Microsoft Word format This
service requires the Microsoft NET application framework and should be deployed on a server
independent of any J2EE application component However it may be deployed with other NET
services
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
20
Functions of SAP E-Sourcing 51
Category and Project Management
Link all sourcing activities to specific projects to track results and decisions during each projects duration Monitor project status manage employee workload and track opportunities for savings
Configurable RFP Auction and Bid Optimization Management
Conduct simple or complex sourcing activities in direct indirect and service categories by automating the creation of requests for information proposals quotations and reverse auctions
Analyze bids using collaborative scoring weighted scoring for multiple attributes total cost calculations side-by-side comparisons and pricing and savings reports
Contract Lifecycle Management
Generate negotiate and manage contracts with a single searchable contract repository Create a library of standard contracts and contract clauses to promote and enforce your organizations legal standards during the
contract-generation process Configure an approval process using such factors as a contracts monetary value and spend category Automate all contract activity such as rebidding auditing renewing and renegotiating prior to expiration
Supplier Management
Employ a single searchable repository to support a supplier portal in which suppliers can register themselves maintain and modify their own profiles and category records send updated files participate in collaborative discussions respond to bid requests and auctions view scorecard performance and view active contracts and sourcing events
Define metrics for supplier performance scorecards
Spend and Compliance Management
These functions are limited to Oracle database instances Achieve comprehensive reporting and analysis Realize effective spend data cleansing and comprehensive reporting and analysis
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
21
Architecture of SAP E-Sourcing 51
SAP E-Sourcing 51 is delivered to the customer in two companion products
SAP E-Sourcing 51 provides support for strategic sourcing business processes SAP CLM 20 provides contract lifecycle management for strategic sourcing and other business process areas
The SAP E-Sourcing architecture was designed from the beginning to be an adaptivesoftware solution which supports a variety of deployment scenarios and offers a high degreeof flexibility to the customer environment The following list and figure describe the requiredand optional components
SAP E-Sourcing core is deployed on the SAP NetWeaver application server
If SAP CLM is installed and used then KM and the TREX services are required Both aredeployed on the SAP NetWeaver instance
If SAP E-Sourcng is integrated with the ERP systems then the PI component is needed to exchange messages between the two systems
Micrcosoft IIS is used for the contract generation activities and is an optional componentbased on the use of SAP CLM
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
22
Architecture of SAP E-Sourcing 51
Architecture of SAP E-Sourcing 51
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
23
SAP Netweaver
SAP NetWeaver
SAP NetWeaver is SAPs integrated technology platform and is the technical foundation for all SAP applications since the SAP Business Suite release
SAP NetWeaver is marketed as a service-oriented application and integration platform
SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems
SAP NetWeaver is built using open standards and industry de facto standards and can be extended with and interoperate with technologies such as Microsoft NET Sun Java EE and IBM WebSphere
SAP NetWeavers release is considered as a strategic move by SAP for driving enterprises to run their business on a single integrated platform that includes both applications and technology Industry analysts refer to this type of integrated platform offering as an applistructure (applications + infrastructure) It is widely held that this approach is driven by industrys need to lower IT costs through an enterprise architecture that is at once (1) more flexible (2) better integrated with applications (3) built on open standards to ensure future interoperability and broad integration and (4) provided by a vendor that is financially viable for the long term
SAP is fostering relationships with system integrators and independent software vendors many of the latter becoming Powered by SAP NetWeaver
SAP NetWeaver is part of SAPs plan to transition to a more open service-oriented architecture and to deliver the technical foundation of its applications on a single integrated platform and common release cycle
With the SAP NetWeaver platform you can align IT with business requirements SAP combines composition technologies and application functionality to reduce IT complexity and increase business flexibility With SAP NetWeaver you can compose applications using enterprise services orchestrate business processes and events manage enterprise information and deliver applications and content to users more quickly and cost-effectively
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
24
KM - Knowledge Management
Knowledge Management
Knowledge Management is a part of SAP Enterprise Portal The entire functional scope and configuration of Knowledge Management are available in portal iViews
Functions such as discussions feedback and sending items from KM folders by e-mail are integrated into Knowledge Management and enable you to work across role and department borders In addition Knowledge Management functions are used in Collaboration for example to store documents in virtual rooms
Knowledge Management supports the SAP NetWeavertrade scenario Information Broadcasting You can use the BEx Broadcaster and Knowledge Management to make business information from SAP NetWeaver Business Intelligence available to a wide spectrum of users in the portal You can store the following BI objects in KM folders
Documents with precalculated reports Links to BEx Web applications and queries with live data Various Knowledge Management functions such as subscriptions for documents are available for these items
There is a specially modified user interface for displaying BI items in KM folders You can also change or extend this interface to meet your requirements
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
25
TREX - Text Retrieval and information EXtraction
TREX
TREX is a search engine in the SAP NetWeaver integrated technology platform
The TREX engine is a standalone component that can be used in a range of system environments but is used primarily as an integral part of SAP products such as Enterprise Portal Knowledge Warehouse and Business Intelligence (BI formerly SAP Business Information Warehouse)
In SAP NetWeaver BI the TREX engine powers the BI Accelerator which is a plug-in appliance for enhancing the performance of online analytical processing
The name TREX stands for Text Retrieval and information EXtraction but it is not a registered trade mark of SAP and
is not used in marketing collateral
Search and Classification (TREX) is an integral part of Knowledge Management It is the technical component that enables the use of search and classification operations to access documents stored in KM repositories TREX enables
Flexible search in large collections of electronic documents Mining of interesting and relevant information from documents Classification of documents into meaningful structures TREX can perform these functions on document collections in almost any file format that can be rendered as
text in almost any major language
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
26
SAP PI (XI)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
27
IIS - Internet Information Services
Internet Information Services (IIS)
Internet Information Services (IIS) - formerly called Internet Information Server - is a set of Internet-based services for servers created by Microsoft for use with Microsoft Windows
It is the worlds second most popular web server in terms of overall websites behind the industry leader Apache HTTP Server
As of November 2008 it served 3449 of all websites according to Netcraft The servers currently include FTP FTPS SMTP NNTP and HTTPHTTPS
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
28
Things to clarify
CLM is not available in Extended Procurement pricing package CLM is included in Extended Sourcing package but limited to Procurement contracts If Extended Sourcing licensing package is taken then the Pricing metric will be Spend Volume (not revenue) Part of CLM functionality is available as part of SRM offering (Extended Procurement or Extended Sourcing industry packages) limited to procurement
contracts only CLM itself may be licensed separately for the broader set of all contract types (eg sales and procurement) Pricing is typically based on revenue or other metrics depending on the industry
Defense amp Security Program Budget
Public Sector Operating Budget
Insurance Gross Premiums
Banking Assets Under Management
Other Total Revenue
Definition of Metric Total Revenue of the customer
Pricing applies if only one contract type is handled If two or more different contract types are handled the price needs to be multiplied by two There are three contract types defined
ProcurementProcurement applies to all contracts which designate an agreement where the company will pay a third party for something the company receives This will include related agreements to complete a purchase agreement such as NDAs and the like Pass through payment contracts such as those for health insurance (wdoctors and hospitals) and media buying would fall under this area
SalesSales applies to all contracts which designate an agreement where the company will receive payment for something they provide and all related agreements
All Others (Non-Procurement and Non-Sales)All Others Non-Procurement and Non-Sales captures agreements not relating to a specific purchase or a sale with third parties such as general NDAs partnerships IP non-infringement etc and internal contracts that may or may not have monetary elements such as employee agreements
Note also that CLM is one of the solutions that is offered by our BPO partners (eg Quadrem in Australia)
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
29
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
30
Questions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
31
ISS - Internet Security Systems
Internet Security Systems (ISS) Is the Latest Addition to the Microsofts SecureIT Alliance
ISS will be able to exchange security development practices with the already existing members aiming to achieve seamlessly integration with Microsofts platforms
ISS brings unique multi-layered capabilities to the Microsoft platform centered on protecting networks desktops and servers before they suffer from attack
ISS will enhance the collaborative dialogue among members and elevate the solutions guidance available to IT security professionalsrdquo with vulnerability assessment and intrusion detectionprevention solutions
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow
Copyright copy 2009 Total Asset Management Solutions Pty Ltd
32
SAP to Expand Sourcing Offering with Acquisition of Frictionless CommerceCustomers to Gain Rapid Time-to-Benefit Transaction Aims to Simplify Business Between Buyers and Suppliers While Enabling the Complete Source-to-Settle Process
ORLANDO Fla - May 17 2006 - Recognizing the value customers gain by having a fast on-ramp for sourcing SAP AG (NYSE SAP) today announced that it is acquiring Frictionlessreg Commerce a privately-held leading provider of supplier relationship management (SRM) software Through the addition of Frictionless Commerce SAP will be able to help customers act quickly and save strategically while also providing a seamless and easy migration to the proven and robust mySAPtrade SRM Acquiring Frictionless Commerce extends the value of SAPreg applications representing a key component of the companyrsquos strategy to offer the preferred global purchasing platform for organizations of all sizes and across all industries The announcement was made today at the onset of SAPPHIREreg rsquo06 SAPrsquos international customer conference being held in Orlando Florida May 16-18 Terms of the all-cash transaction were not disclosed
Headquartered in Cambridge Massachusetts Frictionless Commerce serves large and midsize enterprises across an array of vertical markets including banking insurance professional services consumer products discrete manufacturing life sciences telecommunications and utilities The transaction with Frictionless Commerce is consistent with SAPrsquos strategy to use targeted fill-in acquisitions that add superior functionality to its broad solution portfolio while continuing to grow its business organically
With globalization and increasing cost pressures companies need to take a strategic approach to managing suppliers With this acquisition SAP will combine the proven e-Sourcing capabilities of Frictionless with the robustness of SAP applications including mySAP Supplier Relationship Management As ldquoPowered by SAP NetWeaverregrdquo solutions Frictionless products are fully compatible with SAP applications minimizing product integration concerns and assuring a seamless solution road map as customer requirements grow