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New Member Orientation

An introduction to the EIPP Standards Advisory Board

November 2013

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Terminology

EIPP Electronic Invoice Presentment and Payment

SAB Ocean Freight Industry EIPP Standards Advisory Board

Billers Providers of ocean shipping services who invoice their customers for those services

Payers Recipients of ocean shipping services who receive and pay invoices from Billers

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Member Organizations

BILLERS• CSAV

• Hamburg Süd

• Hapag-Lloyd

• Maersk Line

• MOL

• MSC

• UASC

PAYERS• Agility Logistics

• CEVA Logistics

• DB Schenker

• DHL

• Ecu-Line

• JF Hillebrand

• Kuehne + Nagel

• Panalpina

• Sinotrans

OTHER

• INTTRA

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Organizational Structure

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Leadership Team

BILLERS

Steen Erik Larsen

Maersk Line

Sven Noffke

Hamburg Süd

PAYERS

Leendert Vis

JF Hillebrand

Henrik Steinmann

Kuehne + Nagel

Executive Officer

Sherrie Orzechowski

INTTRA

Treasurer

Steve NiziolINTTRA

Secretariat

Melissa KofrothINTTRA

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Why We Use Standards

• Fundamental to establishing agreements on business collaboration are standards

• Using standards creates certainty… – and certainty enables trust

• Using standards promotes interoperability– Sharing information across communities

• Using standards promotes effectiveness– Re-use of software– Implement solutions faster– Scalable

• ‘open’ standards provide for independent governance – Long term sustainability– Security of investment

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Benefits of EIPP Standards

• Reduced implementation costs

– Both among and within enterprises

– Through the reuse of common components

• Greater choice of commercial software

– Generic, lower cost data input and output tools

– A standard target for off-the-shelf business software

– Standardized training resulting in many skilled workers

– An easier learning curve because implementers need master just one format

• Reduced effort of integration

– Simplified interfaces to services

• Lower cost of entry

– Allows adoption by smaller enterprises

– Enables critical mass of adoption

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What is the EIPP Standards Advisory Board?

The Ocean Freight Industry EIPP Standards Advisory Board was established in 2010 and includes

executives representing the leading ocean carriers and their customers.

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What is the EIPP Standards Advisory Board?

Purpose• Provide an independent, collaborative forum for, and driven by,

industry participants

• Shape electronic invoicing for the ocean freight industry

• Create standards for business process and data exchange

Mission Statement

“Our mission is to lead the ocean freight industry, as a community, towards greater efficiency in Electronic Invoice Presentment and Payment

through standardization and automation.”

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Goals and Objectives

Goals• Understand standards and regulations for electronic invoicing• Influence standards and regulations for electronic invoicing• Make the industry more efficient with regards to dispute management• To become the recognized authority on ocean EIPP standards

Objectives• Identify and develop electronic invoicing and payment requirements• Determine the implementation of current standards used by the industry• Develop implementation guides of existing standards • Determine and prioritize the adoption of future standards used

by the industry• Develop new standards based on best practices• Provide ongoing governance of the work items

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EIPP SAB Charter

• A initial Charter was developed by founding members

• This defines the basic constitution of the group

• A copy of the Charter is available upon request

• Your organization has agreed to this.

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Basic Operating Principles

• Facilitate discussions to reach decisions that benefit the industry

• Fast moving, collaborative environment

– Focus on results within bounds of Charter

– Publish two to three industry EIPP standards as early as possible

• Staff leadership positions with proactive individuals that can dedicate time to the initiatives

• Adapt existing standards before designing new

– Suggest enhancements to existing standards

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Why Participate in an EIPP Standardization Initiative?

The cost of doing nothing…

• Increasing variation in your processes over time

• Increased competence requirements requiring more training and slower on-boarding of staff

• Limited reuse of IT components, with resulting sub-optimisation of investments

• Slow and inefficient execution on EIPP partnering, as all integrations are new “greenfield projects”

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Why Participate in an EIPP Standardization Initiative?

Plus…

• Industry standards are being jointly developed and adopted by carriers (billers) and their customers (payers)

• There is a commitment from members to support the standards developed

• Member organizations can chooseto use the standards or not

• Your organization can influencestandards used by the industry

• Excellent networking opportunities

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What is Expected of Members?

The success of the EIPP Standards Advisory Board depends on the active participation of every member.

• Join the EIPP Standards Advisory Board Community Site, establish your profile, check the site for important information, and use to collaborate

• Attend and participate in two annual face-to-face plenary meetings (typically held in April and November)

• Vote in annual elections for Supervisory Board positions

• Join and actively participate in work teams

• Adhere to EIPP SAB Charter with respect to IPR, Anti-trust and Confidentiality

• Once comfortable, recruit new members through yourindustry contacts

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Work Teams

There are two active work teams charged with developing standards:

Messages and Codes

•Information Requirements Analysis

•Logical Message Structure

•Common understanding of data elements

•Implementation Standards / Guides

•Standard Code Sets

Processes

•Process component analysis

•Functional Decomposition

•Gap Analyses vs. messaging

•Standard flows, deviations/exceptions

•Process dependencies and sequences

Separate activity for governance

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EIPP Standards Advisory Board Community Site

http://eippstandardsadvisoryboard.ning.com/

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EIPP Standards Advisory Board Public Site

http://www.eippsab.com

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Four Deliverables (so far…)

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Progress

• Accomplishments– Completed first SAB message standard (ocean invoice) in 2012– Published Implementation Guide for industry use (www.eippsab.com)– Standardizing various codes such as charge codes for EDI messages– Drafted best practices in electronic invoicing processes– Drafted second SAB message standard (ocean payment remittance advice)

• Current Projects– Publish payment remittance advice message standard– Publish best practices in electronic payment and remittance advice– Drive standardization of credits messages and best practices

• Membership– Sustained membership base and workshop participation– Evolved from INTTRA-funded to self-funded organizational model (independence)– Established governing body (elected officers - Supervisory Board of 2 billers and 2 payers)– Held 2x/year meetings with excellent attendance– Maturing processes and procedures based on experience

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Guest Speaker Series

We believe that increasing awareness and access to information about EIPP with drive our members to more successful ROI and adoption of industry

standards

SAB leadership has organized our Plenary meetings to include guest speakers to address key topics of interest to our members including:

– electronic invoicing– electronic payments– legal/compliance (going paperless)– ocean shipping processes– standards organizations– accelerating standards adoption

Examples:

– Danish Ministry of Finance (Agency for Digitization) – Experiences with EIPP in Denmark – Trustweaver CEO – Paperless Invoice Compliance Status and Best Practice– Freight Payment VP –Trends in the Electronic Payment of Transportation Invoices

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Checklist for Newcomers

• Agree to terms of the SAB Charter

• Register on our community site (Ning)

• Find the right people to contribute to work teams

• Catch up on existing work products

• Plan to attend our next Plenary meeting

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Questions?

www.eippsab.com