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© 2012 IBM Corporation 1 13 November 2012, Moscow Smarter Commerce Trading Partner Integration and Supply Chain Visibility Hilmi Erdem B2B and Commerce Sales Leader, Central and Eastern Europe Hilmi Erdem B2B and Commerce Sales Leader, Central and Eastern Europe

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© 2012 IBM Corporation1

13 November 2012, Moscow

Smarter CommerceTrading Partner Integration and Supply Chain Visibility

Hilmi ErdemB2B and Commerce Sales Leader, Central and Eastern Europe

Hilmi Erdem

B2B and Commerce Sales Leader, Central and Eastern Europe

© 2012 IBM Corporation2

Delivering Smarter Commerce

Connect

Automate

Collaborate

IBM Sterling Business to Business Integration

© 2012 IBM Corporation3

The need to be both locally and globally integrated is driving an expansion of ecosystems and the number of partners organizations transact with

Trading Partners

Protocols

Standards

IntegrationTechnologies

Data formatsSLAs

Governance

Reliability

Visibility

Multi-Enterprise Organization’s

Companies across all industries are facing an increasingly complex landscape when they want to leverage technology to collaborate with their clients, suppliers, partners, service providers

© 2012 IBM Corporation4

Partners

Customers

Carriers

Banks

Suppliers

Inter-connects

Automated End-to-End Integration Exchanges

ERP

CRM

BillingProduct Data

Multiple PlatformsMultiple ConnectionsMultiple Partners

From 15 to 65Average # of Trading Partners

Sterling

In the last 10 years

From <10 to >40# of protocols supported

Sterling

From 3 to 12Integration Platforms

Gartner

Double B2B integration projectsTriple Multi-enterprise traffic

Gartner

In the next 5 years

4

Automation efforts are hindered by challenges associated with this complexity..

© 2012 IBM Corporation5

Lack of automation is cause for significant inefficiencies when conducting business transactions

Suppliers

3rd Party

Services

Payrollproviders

Legal Services

Logistics

Too many costly error-prone manual business

processes

Lack of real-time business process

visibility

Limited resources focused on B2B

Increasingly complex and diverse business partner communities

© 2012 IBM Corporation6

Cross Border Invoicing ComplianceAdapt to the complex, ever-changing regulations associated with international e-

Invoicing

Consolidation of B2B technologiesReduce uncoordinated and legacy B2B technologies to one single platform

Where’s my order?Lack of real-time business process visibility impacting customer satisfaction

Get rid of the paperToo many costly error-prone paper based manual business processes

The Need for Process ExtensionManaging key processes, end to end, with partners will enhance

responsiveness, meet customer expectations, and improve satisfaction

Extend trading communities and reduce on boarding timesAutomate more trading partners and the documents you exchange with them

faster

Responding to complexity creates new demands on the organization

© 2012 IBM Corporation7

A Common Focal Point for integration is the Buy-Sell-Ship-Pay Process Between Companies

CarrierShip Process

Buy ProcessSell Process

Pay Process

Submit (Purchase) OrderOrder Status

Advanced Shipment Notification

Shipment Status

Delivery Verification

Tender the Freight

Delivery

Generate & Send Invoice

Generate &Send Payment

Payment

Sales Activity & Proposal

10

BuyerSeller

98

123

4

5

6

7

Bank

© 2012 IBM Corporation8

Benefits of Automating The Buy-Sell-Ship-Pay Process

8

© 2012 IBM Corporation9

Automating trading partner communities - directYou could do it yourself with direct communications…

Your Company

© 2012 IBM Corporation10

Automating trading partner communities - indirectOr via the cloud…

Your Company

© 2012 IBM Corporation11

Your Company

IBM® SterlingB2B Integrator

IBM® Sterling B2B Collaboration Network

provides cloud access to 300,000 pre-connected

trading partners

IBM® Sterling B2B Integrator on premise capabilities for direct

connections to your most strategic and demanding

partners

Community management reduces the effort of on-boarding and managing

partners

Integrate 100% of your trading communityHowever, why not leverage the value of both

FaxConversion

Supplier Portal

ManagedAS2 Gateway

EDI/Non EDI

© 2012 IBM Corporation12

IBM® Sterling B2B Integration Solutions

Carriers

Banks

Partners

Suppliers

Customers

Pre-connected partners

IBM B2B Cloud Services

IBM Sterling B2B GatewaysIBM Sterling Transformation Engines

Providing a choice of on-premise, cloud, or hybrid solutions that enable seamless and secure integration with your business community

© 2012 IBM Corporation13

IBM® B2B Cloud ServicesFlexible solutions and expert services to reduce the time and complexity of securely integrating with 100% of your business partners

YourCompany

Access to over 300,000 pre-connected trading

partners

Rapidly connect, exchange and manage business data with global partners –

IBM® Sterling B2B Collaboration Network

The expertise and experience to operate all or part of your global B2B operations –

IBM® Sterling B2B Integration Services

Large file-based exchanges with global trading partners –

IBM® Sterling File Transfer Service

YourBusiness Community

IBM® B2B Cloud Services

© 2012 IBM Corporation14

Global supply chain and inventory visibility connects and serves other applications to enable communication and collaboration

14

Another VAN

IBM® Sterling B2B Collaboration Network

EDI Suppliers

EDI Carrier / Outsourced Logistics Provider

Non-EDI Suppliers

Buyer Enterprise

LogisticsProcurement

Supply Chain

Warehouse

Finance

IBM® Sterling Supply Chain Visibility Vendor Compliance

IBM® Sterling Supply Chain Visibility

Non-EDI Carrier

IBM® Sterling Supplier Portal

© 2012 IBM Corporation15

Resulting in business value to clientsIBM delivers agility by enabling dynamic business networks to integrate, interact, and execute across internal operations and extended value chains

Improve business agility through efficient communication across and extended management of trading partner communities

Eliminate “blind spots” and improve business performance with real-time business transaction visibility and performance metrics

Minimize business risk and protect your brand with consistent policy enforcement and compliance

© 2012 IBM Corporation16

True Value

Customer Overview– True Value is one of the world's largest

retailer-owned hardware cooperatives, serving 54 countries with more than 5,000 stores and 12 regional distribution centers.

Customer Challenges– Fragmented visibility into the physical

movement of shipments – Too much data to proactively resolve supply

exceptions– Inefficient use of inventory

“The better data you have, the better decisions you can make. Having end to end visibility allows us to pick and choose the high priority alerts and then drill down into the cause of the alert.”

Greg LinderDirector of Supply Chain Operations

True Value

Business Benefits– Reduce lead-time by 57% by proactively

managing and reducing response times to potential order delays

– Increase fill rates by 10% by identifying potential order delays and shortages

– Reduce backorders by 85% by optimizing inventory in their stores to reduce out-of-stock items

© 2012 IBM Corporation17

Intereuropa d.d.Challenge

To implement an enterprise-wide integration solution that unifies supplier and customer networks, helping to reduce costs and improve visibility

SolutionSterling B2B Integrator ®

Value/Benefits– Onboard customers efficiently and cost-

effectively– Streamlined data exchange enables rapid

acquisition of new customers, large and small– Increased efficiency through automation of

internal processes– Improved customer service through visibility

into B2B data exchange– Improved customer satisfaction

Company FactsIntereuropa Group is the leading supplier of logistics services in Slovenia and South Eastern Europe. Intereuropa offers complete logistics solutions in the field of land transport, sea freight and air freight, as well as a range of terminal, customs and forwarding services reliant on speed, safety and fair pricing.

“The Sterling Commerce solution meets all of our customers’ data exchange needs, even from the largest and most demanding companies. Not only are we on-boarding customers more efficiently and cost-effectively, Sterling Integrator has opened up new revenue opportunities for Intereuropa as we are now able to acquire new customers with whom we were previously unable to exchange data.”

Branko Lozej, Service Support Department Manager,Intereuropa Group

© 2012 IBM Corporation1818

“The bottom line is that IBM® Sterling B2B Integrator and IBM® Sterling B2B Collaboration Network combined has allowed us to handle our partners and our supply chain relationships more effectively.”

Natalie Henderson Director of IT Account Management

Ball Corporation

Ball CorporationSituation

Need to provide the customer with an overall experience that makes them want to continuing doing business with Ball

Solution

IBM® Sterling B2B Collaboration Network

IBM® Sterling B2B Integrator

Value/Benefits Eliminate manual processes Increase data quality Decrease process delays Improve customer satisfaction Quickly rescale internal and external users

Company FactsA provider of metal and plastic packaging, primarily for beverages, food and aerosol and for aerospace and for other technologies and services to commercial and governmental customers

© 2012 IBM Corporation19

Unisource Canada, Inc.

“IBM® Sterling Web Forms allow us to realize our supply chain initiatives in less time.”

Tom DickieEDI Data Manager

Unisource Canada, Inc.

Value/Benefits– Improved throughput of orders– Increased data accuracy– Decreased invoice discrepancies– Increased customer satisfaction– Improved supply chain performance– Reduced internal costs

Company FactsUnisource is Canada’s single-source distributor of more than 80,000 paper, printing, imaging, graphic arts, packing, and maintenance supplies and equipment.

Situation– Unisource needed a cost-effective and

efficient way of doing EDI with their suppliers. They also wanted to improve their own B2B functionality because their current system no longer met their needs.

Solution– IBM® Sterling Web Forms– IBM® Sterling B2B Collaboration Network– IBM® Sterling B2B Integrator

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© 2012 IBM Corporation20

Blue Rhino

“Now that IBM® Sterling B2B Integrator is in place, we have improved communications in both time and efficiency and are better able to leverage our people and processes. We are no longer limited by the previous software. Instead, we are able to respond faster with better business solutions to both the divisions we support and to trading partners”

Jennifer Mehaffey, EDI ManagerBlue Rhino

Value/Benefits– Improved onboarding time– Quickly increased visibility– Enhanced reporting capabilities– Improved internal customer satisfaction

Company FactsBlue Rhino, a division of Ferrellgas, is the leading brand of propane tank exchange at more than 43,000 retail locations nationwide and in Puerto Rico.

Situation– Blue Rhino was looking for a solution that would

provide greater visibility and tracking of all documents, the ability to create maps and business processes internally, faster onboarding of new trading partners, and better reporting and automated processes for error document communication. Alleviating hands on everything approach for EDI personnel.

Solution– IBM® Sterling B2B Integrator

20

© 2012 IBM Corporation21

RCAR Reduces Cost and Fuels Growth with B2B Integration

Situation

Automate and secure the management of employee pension funds from a growing number of government institutions

Solution

Sterling B2B Integrator®

Benefits

• Rapid growth through new communication channels increased capacity

• Reduced operating costs by $1 million each year

• Enhanced security and integrity of data

• Reduced errors by eliminating human intervention

© 2012 IBM Corporation22

Delivering Smarter Commerce

Batch File Transmissions

Secure, Reliable File exchange with suppliers, partners

Ad hoc file Transfers

IBM Sterling Managed File Transfer

© 2012 IBM Corporation23

The data that need to be moved around are increasingly more business critical ; the volume and the size of files are getting larger and larger

© 2012 IBM Corporation24

IBM provides a comprehensive solution to address challenges related to moving high-volume, business critical data in a secure way

Preventing unauthorized accessSterling Secure Proxy

Secure +

Manage and monitor file transfer activitySterling Control Center

B2B Onboarding and file transfersSterling File Gateway

Point-to-point file transfersConnect:Direct

© 2012 IBM Corporation25

The IBM Managed File Transfer Solution Provides the following Benefits

25

© 2012 IBM Corporation26

What it does– High volume, large size, high performance file transfers– Automation, retry-restart, for unattended operations– Certified security to provide sensitive data– Increase transfer speed over high speed networks and overcome latency issues

IBM Sterling Connect:Direct is the reliable solution for secure, point-to-point file transfers

How it is delivered– Client-server application optimized for high volume, assured data delivery– Well defined API that supports multiple clients and schedules jobs on a one-time, recurring, or

continuous basis– A protocol invented by IBM Sterling that has never been breached

Point-to-point file transfersIBM® Sterling Connect:Direct®Preventing unauthorized access

IBM® Sterling Connect:Direct® Secure Plus

© 2012 IBM Corporation27

IBM® Sterling File Gateway: An “Edge” based application for exchanging data between partners, customers, suppliers and employees What it does

– Provides a centralized file gateway for processing inbound and outbound files– Supports any format, any protocol, any size B2B file transfer– Enables the transformation of files to optimize data delivery processes

What capabilities does it provide customers?– Consolidate disparate centers of file transfer activity to a central gateway– Minimize the risk and steps required to transform and process data– Gain visibility and governance oversight of data exchange activity– Accelerate trading partner on-boarding regardless of system or protocol

B2B onboarding and data exchangeIBM® Sterling File Gateway

© 2012 IBM Corporation28

IBM® Sterling Control Center

Gain control and oversight of the movement of critical corporate data

Manage and monitor file transfer activityIBM® Sterling Control Center

Consolidated logging, reporting, and analytics for all transfers and integration processesRule-driven service level managementAlerts and notificationsConfiguration management for IBM Sterling Connect:Direct servers

© 2012 IBM Corporation29

HSBC Bank BrazilSituation

To implement a new file transfer platform, thus enabling banking customers to conduct their electronic business with increased productivity, efficiency, and effectiveness

Solution

Sterling Managed File Transfer™

Value/Benefits– Increased the number of processing times from 4 to

11, enabling customers to engage in real-time transactions

– By significantly reducing file transfer time from 7 hours to 40 minutes to 3.1 minutes – regardless of the file type – the new solution enabled the bank to offer customers a unique product that discounted receivables in a few minutes.

– Increased bank’s productivity by supporting high data volumes

– Quickly improved overall efficiency by delivering information to customers within a short time

Company FactsHSBC Bank Brazil, a wholly-owned subsidiary of HSBC Holdings, is one of the largest financial groups in the world.

“Sterling Commerce Managed File Transfer greatly reduced our file transfer timetable, which not only improves our productivity, but our customers’ as well. Now our electronic banking process is much more efficient and effective.”

Ivo Katz, Senior Executive, Business Channel,

HSBC Bank

© 2012 IBM Corporation30

Bank of China

Value/Benefits• Provides accurate and reliable data delivery• Securely moved data ensuring regulatory

compliance• Leverages existing infrastructure• Boost performance and improves productivity

SituationTo implement an accurate, secure,

reliable, and regulatory compliant date transmission platform

SolutionConnect:Direct®

Company FactsBank of China Limited is one of the four largest commercial banks in China.

“Connect:Direct unites all different data sources comprehensively. It serves as the information channel by reorganizing data, removing unnecessary parts and then translating it into meaningful information for use in various departments.”

Madam Cai Jin, Head of Information Center,

Bank of China

© 2012 IBM Corporation3131

Merci

Grazie

Gracias

ObrigadoDanke

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