Complexity and Risk

Effective Business Community Management through Integration

Date

Presenter NameJon Gatrell

5.6.2009

Risky Business

3

TinyManufacturer, Inc.

Goods made by the hands of 60 Taiwanese artisans are

connected to 300 retailers around the world.

4

BigODM, Inc.

Computers from Korean contract manufacturers are ordered and

shipped to computer retailers and consumers across the globe.

5

BigRetailer, Inc.

Buyers and logistics teams orchestrate a symphony of thousands

of suppliers to get products to market quickly and accurately.

6

Longer Supply Chains

Off-shore sourcing can increase risk, limit

visibility and lower flexibility.

The State of Integration

8

Automation Spending Out of Alignment

18X More spent on Internal automation

than External B2B Automation

$55B

Internal Automation

$3B

External B2B Automation

But…“Non-linear revenue growth for companies is not going to come from within but from their extended

ecosystem…” Harvard Business Review

9

Connections are EVERYWHERE!

Who owns data and process

governance?

10

How to monitor orphaned processes?

Who has what data?

Opportunity is beyond the 4 walls.

Risk is also beyond the 4 walls.

13

Risk Doesn’t Go Away

14

RISK: Beyond the Buzzword

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Systems failure

17

Exceptions happen

Time is your enemy

The right systems, the right platforms, the

people and the technology to onboard partners

Global Operations&

Compliance

19

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Data is everywhere

New processes and capabilities

21

International Trade

Customs, e-Invoicing and Basel II

22

SOX

Sarbanes-Oxley requires integration

23

HIPAA

Security inside and outside required

24

25

Anyone with customers in Nevada or Mass

All consumer data must be encrypted

“from hair stylists to hospitals”

Fines = $1000 per customer

$30B spent on security IT (19%)

Recent ePrivacy laws mandate encryption

26

B2B and Data Exchange Security is

Easy, right?

A slam-dunk?

Corp Govt ClientsBUs Partners

Onboarding Team

IT App Team Infrastructure

Team

Exception

Monitoring

Team

Infrastructure

File Transfer

App

Analyst

Backlog of new

demand

Custom Onboarding

Team unique to each

MFT application

System and DB

administrators

unique to the MFT

application

Manual exception

Monitoring Team

Infrastructure team

for platform and

network

Manually generated

custom reporting

Significant CAPEX

and Maintenance

investment in

platform, network

and applications

Corp Govt ClientsBU Partners

Onboarding Team

IT App Team Infrastructur

e

Team

Exception

Monitoring

Team

Infrastructur

e

File Transfer

App

Analyst

Multiple Systems

Manual Processes

Multiplicity

Complexity

Cost

Over time, things change

Mergers acquisitions, new platforms,

new people, new partners

Mitigating Risk

29

3030

Managing Data is Getting Harder

• Increasing MFT demand across business units

• Partner On-boarding requirements increasing

• Increasing demands for compliance reporting

• Protocol complexity growing

• Increasing focus on security and governance

31

B2B Technology & Operations teams are getting squeezed by competing demands

32

33

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One size does not fit all

Different capabilities, scale and value

35

A process centric approach

It’s about business value and improved

agility

Typical File Data Management and Transfer Platforms

36

37

Leverage a Consolidated Platform

• Consistent onboardingand self-servicing for end users

• Cost savings through efficiencies

• Common functions across the enterprise

• Simplified client self-service and end-user experience

• Common management process and controls

• Structured onboardingmanagement

• Open integration platform

• Robust Communications module

Complexity and Risk

Effective Business Community Management through Integration

Date

Presenter NameJon Gatrell

5.6.2009