Essar Shipping Limited. · NSE:ESSARSHPNG

Essar Shipping — SAP — Slide 1

43 slides from Essar Shipping's investor presentation, Feb 13, 2007

  1. Slide 1: Managing Spend for Continuous Profitability with mySAP SRM

    Managing Spend for Continuous Profitability with mySAP SRM 13th Feb. 2007

  2. Slide 2: Agenda

    Agenda SAP SRM Vision and Solutions Emerging Procurement Trend Roadmap ahead .. Summary ONGC Scenario  SAP AG 2007, mySAP SRM for Essar / 2

  3. Slide 3: SAP Vision for mySAP SRM

    SAP Vision for mySAP SRM mySAP SRM is a …that delivers PURCHASING PLATFORM SUSTAINABLE SAVINGS mySAP SRM SRM ERP PLM SRM GTS ERP CRM …and …for world-class VALUE GENERATION SUPPLY MANAGEMENT  SAP AG 2007, mySAP SRM for Essar / 3

  4. Slide 4: mySAP SRM is a Purchasing Platform

    mySAP SRM is a Purchasing Platform Automate and accelerate processes  Fully integrated system for all purchasing processes  Enterprise platform for center-led purchasing  Built-in performance and knowledge management  Complete audit trails for regulatory compliance  Support for multi-channel su

  5. Slide 5: …that delivers Sustainable Savings

    …that delivers Sustainable Savings Close the loop between sourcing and procurement  Sourcing events triggered by enterprise processes  Role-based dashboards for intuitive analytics  Contract distribution to multiple ERP systems  Automated purchasing and regulatory compliance  better insight and

  6. Slide 6: …and Value Generation

    …and Value Generation Create a foundation for long-term results  Get suppliers involved in the design stage  Reward suppliers for innovation  Shift focus from price to performance  Assimilate all supply processes  Drive efficiency beyond boundaries  SAP AG 2007, mySAP SRM for Essar / 6

  7. Slide 7: …to World-Class Supply Management

    …to World-Class Supply Management Enlarge the scope of supply management SRM CRM PLM GTS ERP PLM SRM GTS ERP CRM ERP From human-integrators … … to service-oriented applications  Supply management is more than just purchasing  Requires strategic insight and category expertise  Ability to compose a

  8. Slide 8: mySAP SRM addresses Procurement Challenges

    mySAP SRM addresses Procurement Challenges Procurement Challenges mySAP SRM Solution Managing growing no. of SKUs Catalog Management Managing supplier performance Supplier Evaluation & Performance Management (Scoring mechanism, Managing growing no. of vendors Supplier scorecard, benchmark) Statutory

  9. Slide 9: mySAP SRM addresses Procurement Challenges

    mySAP SRM addresses Procurement Challenges Procurement Challenges mySAP SRM Solution Inefficient & inconsistent Supplier Collaboration (Web-based collaboration with suppliers interaction with suppliers ) Significant maverick buyers leading Self-Service Procurement to overpayment to suppliers Manual

  10. Slide 10: mySAP SRM Comprises of Three Core Elements

    mySAP™ SRM Comprises of Three Core Elements Strategic Purchasing & Sourcing  Supply strategy development  Spend analysis  Supplier selection (RFx, Auction)  Contract management SCENARIOS  Catalog management Operational Procurement  Self service procurement Better supply strategies through focu

  11. Slide 11: Implement Better Supply Strategies

    Implement Better Supply Strategies STRATEGIC PURCHASING & SOURCING Establish focused sourcing initiatives Typical characteristics  High executive visibility  Involves multiple stakeholders  Approach varies by category  Knowledge of markets is key  Multiple, parallel initiatives  Primary metric

  12. Slide 12: mySAP SRM for Strategic Purchasing & Sourcing

    mySAP SRM for Strategic Purchasing & Sourcing Improve spend visibility Reduce errors and compress and supply strategy sourcing cycle times Supply Strategy Development Supplier Selection  Demand aggregation & planning  Supplier qualification  Portfolio analysis  Request for quotation  Purchasing

  13. Slide 13: Closed-Loop Process for Strategic Procurement & Sourcing

    Closed-Loop Process for ‘Strategic Procurement & Sourcing’ Sourcing activities are part of an overall process 4. Negotiate 3. Qualify  Request for quotation   Reverse auctioning Supplier identification   Terms and conditions Supplier registration   Engineering specifications Request for Infor

  14. Slide 14: Expedite Purchasing Processes

    Expedite Purchasing Processes OPERATIONAL PROCUREMENT Purchasing platform for ALL spend categories Typical characteristics  High administrative workload  Complex approval rules  Many unplanned expenditures  Low contract compliance  Large safety stocks  Supplier disconnect  SAP AG 2007, mySAP

  15. Slide 15: mySAP SRM: Solving Your Procurement Needs

    mySAP SRM: Solving Your Procurement Needs Simplify process flows Self Service Procurement  Adaptive requisitioning  Order management  Confirmation  Invoice processing Automate PO generation for Establish cost limits for mission-critical buying service agreements Plan Driven Procurement Services

  16. Slide 16: Self-Service Procurement

    Self-Service Procurement Self-service procurement empowers company employees to create and manage their own requisitions, allowing purchasers to focus on strategic sourcing. • Employee • Employee • Admin • Accounting • Manager • Employee • Central Receiver • Purchaser • Purchaser  SAP AG 2007, mySA

  17. Slide 17: Plan-Driven Procurement

    Plan-Driven Procurement Integrates operational procurement with existing supply chain management, plant maintenance, and project solutions for compliance enforcement, process efficiency, and supplier selection efficiency. Demand Materials Maintenance Purchasing Planning management and project system

  18. Slide 18: Service Procurement

    Service Procurement Services processes are more complex and less standardized compared to products. Services procurement requires increased flexibility, greater collaboration, and judicious cost management. Buyer Supplier Monitor Request for Service Requisition Invoice Invoice Approve Confirm Confir

  19. Slide 19: Enable Supplier Participation

    Enable Supplier Participation SUPPLIER COLLABORATION Multi-channel approach for supplier collaboration Typical characteristics  Low process transparency  Long order cycle times  Unsynchronized design cycles  Last-minute changes  Poor visibility on inventory  Frequent supply shortfalls  Limite

  20. Slide 20: Supplier Collaboration with mySAP SRM

    Supplier Collaboration with mySAP SRM Extend process control to your suppliers… Design Collaboration Order Collaboration Collaborative  New product design  Account information Replenishment  Collaborative project  Bidding event notification  Stock requirement visibility management  Order manag

  21. Slide 21: Supplier Enablement

    Supplier Enablement EXPAND your value proposition by linking ANY kind of suppliers with THREE appropriate and cost-effective channels. BUYER Low-volume SAP NetWeaver™ Web browser Supplier PLM portal Collab. Design Order Collab. SUPPLIERS SRM SAP ERP XI Fulfillment Supplier High-volume connectivity S

  22. Slide 22: Closing the Loop Between Value Discovery and Realization

    Closing the Loop Between Value Discovery and Realization VALUE DISCOVERY VALUE REALIZATION  SAP AG 2007, mySAP SRM for Essar / 22

  23. Slide 23: Agenda

    Agenda SAP SRM Vision and Solutions Emerging Procurement Trend Roadmap ahead .. Summary ONGC Scenario  SAP AG 2007, mySAP SRM for Essar / 23

  24. Slide 24: Emerging Trends in Purchasing

    Emerging Trends in Purchasing …. Trends Driving Changes Expanding Scope of Supply Management Increased amount of spend managed and influenced Supplier Relationships will Deepen Capturing Innovation from supplier base, Performance base agreements The CPO will Become a Strategic Partner to the Board P

  25. Slide 25: Critical Success Factors of Today's Purchasing Organizations

    Critical Success Factors of Today’s Purchasing Organizations Globalization and Growth  Simplified and Standardized Global Purchasing Processes  Tightly Integrated Suppliers £€¥ Increase Savings  Spend Analysis and Effective e-Negotiations $  Collaboration amongst Key Stakeholders Empower Strateg

  26. Slide 26: How mySAP SRM supports Purchasing

    How mySAP SRM supports Purchasing Requisitioning Order Supplier Management Enablement Globalization & Growth Standardize Automate supplier Simplify procurement global processes transactions Data Category Management Supplier Negotiation Improvement £€¥ Increase $ Savings Improve spend Transforming Ob

  27. Slide 27: Agenda

    Agenda SAP SRM Vision and Solutions Emerging Procurement Trend Roadmap ahead .. Summary ONGC Scenario  SAP AG 2007, mySAP SRM for Essar / 27

  28. Slide 28: Major Investments to Capture Market Growth

    Major Investments to Capture Market Growth  300% Research and Development Growth  Frictionless Acquisition addresses:  “On Demand” Market and Delivers immediate Savings to Customers  Demonstrates SAP’s Commitment to Growth in the SRM Market  SAP and Partners delivered Proof-of-Value Trials:  4

  29. Slide 29: SRM 5.0

    SRM 5.0 FOCUS FOR SRM 5.0: Improve Strategic Sourcing  Enhanced Sourcing Execution  Category Management  Introduce Sourcing On Demand Offering (Frictionless acquisition)  Global contract compliance monitoring  Enhanced contract execution  Cross System Invoice management  Supplier Enablement S

  30. Slide 30: SRM 6.0 is Focused on Business Optimisation

    SRM 6.0 is Focused on Business Optimisation . . . .  Flexible Sourcing Strategy  Intelligent Category and Category-Based Strategic Spend Management Sourcing  Contract Types and Authoring Scaleable Platform  Streamlined Operational Supplier Contract Management with Business Management Procurement

  31. Slide 31: The New Face of mySAP SRM

    The New Face of mySAP SRM Streamlined User Interaction  Navigation  Personalization  Work Center Concept Single-Click to Launch Actions  E.g. Process an order, change a query Ability to Define Regularly Used Queries and Reports  Define attributes  Store query  Personalize More Intuitive, Pers

  32. Slide 32: Category Management Objective and Value Drivers

    Category Management Objective and Value Drivers How does Category Management create £€¥ value for the company? $  Sharing knowledge and best practices  Enabling collaboration amongst stakeholders  Monitoring performance,  Identifying opportunities and shifting priorities as required  Proactivel

  33. Slide 33: Category Management in mySAP SRM

    Category Management in mySAP SRM Mission Statement: transforming corporate objectives into actionable initiatives OBJECTIVES OBJECTIVES STRATEGY STRATEGY PROGRAMS SUPPLIER OUTSOURCING SAVINGS SOURCING L.C.C.S. PERFORMANCE ……….. INITIATIVES ANALYZE & PLAN EXECUTE MONITOR  SAP AG 2007, mySAP SRM for

  34. Slide 34: Agenda

    Agenda SAP SRM Vision and Solutions Emerging Procurement Trend Roadmap ahead .. Summary ONGC Scenario  SAP AG 2007, mySAP SRM for Essar / 34

  35. Slide 35: Conclusion: mySAP SRM is Better Supply Management

    Conclusion: mySAP SRM is Better Supply Management IMPROVED SUPPLY STRATEGY  Supply base rationalization  Global spend analysis  Reduced risk of supply COMPRESSED CYCLE TIMES  Immediate online approvals  Purchasing process automation  Quicker supplier responses REDUCED OPERATING COSTS  Better

  36. Slide 36: Benefits At Each Stage

    Benefits At Each Stage Process Process Business Innovation Automation Simplification Optimization Empowerment Mahindra: Pemex Gas: 70% manufacturing cycle reduction in “Quite simply, mySAP compressed form suppliers‘ sales Supplier cycle SRM offers us a better 4 weeks to 1 week way of collaborating M

  37. Slide 37: Customers Quotes on SRM

    Customers Quotes on SRM  SAP AG 2007, mySAP SRM for Essar / 37

  38. Slide 38: 700+ Organizations Run SRM

    700+ Organizations Run SRM  SAP AG 2007, mySAP SRM for Essar / 38

  39. Slide 39: Customers

    Customers Over 80+ Live Customers in Asia includes  SAP AG 2007, mySAP SRM for Essar / 39

  40. Slide 40: Agenda

    Agenda SAP SRM Vision and Solutions Emerging Procurement Trend Roadmap ahead .. Summary ONGC Scenario  SAP AG 2007, mySAP SRM for Essar / 40

  41. Slide 41: ONGC Scenario

    ONGC Scenario Bid Domestic Create Bid Publish Bid Foreign Invitation Bid Invitation Invitation Vendor Bid Display Submission Bid Return Bid Re- Technical Adjust Price Price Bid Bid submission Bid Bid Opening Comparison Rejection Report  SAP AG 2007, mySAP SRM for Essar / 41

  42. Slide 42: Thank You!

    Thank You!  SAP AG 2007, mySAP SRM for Essar / 42

  43. Slide 43: Raj Kumar Singh

    Raj Kumar Singh Solution Architect [email protected]  SAP AG 2007, mySAP SRM for Essar / 43

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