CON7637 Jha CON7637 BI Create Proc Insight and Opportunity Final (1)

8/19/2019 CON7637 Jha CON7637 BI Create Proc Insight and Opportunity Final (1)

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Copyright © 2014, Oracle and/or its affiliates. All rights reserved. |

Amit JhaProject Leader, Product ManagementOracle EBS Procurement & Contracts

Rick NguyenBusiness Systems ManagerBoeing

Business Intelligence to Create

Procurement Insight & Opportunity


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Safe Harbor StatementThe following is intended to outline our general product direction. It is inteninformation purposes only, and may not be incorporated into any contract.commitment to deliver any material, code, or functionality, and should not in making purchasing decisions. The development, release, and timing of anfunctionality described for Oracle’s products remains at the sole discretion


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Program Agenda

Oracle Spend Classification

Demo – Value Add by Spend Classification

Case Study – Boeing

Additional Resources

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Program Agenda


How It Works

Business Benefits

New Features and Roadmap




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1. Extract data from ERP to Spend Analytics

2. Classify the Spend Data

3. Rewrite classified data baand Spend Analytics

Procurement and

Spend Analytics

• Extract

• Classify• Approve

Knowledge Base

Spend

Classification

Pro

Spe

• A

ERP(s)

In-line classification

Oracle Spend ClassificationThe Solution


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Identify

Cleansed Data

Train the

System

Classify

Make ManualChanges (if required)

Update

D

Poin

Enhance

Oracle Spend ClassificationHow It Works

Approve


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Program Agenda


How It Works

Business Benefits





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Process Data from Any Source

Powerful Data Manipulation

Other

Purchasing Systems

ETL & Business Adapters

Procurement &

Spend Analytics

Pre-built ETL to extract data from hundreds of operational systems

Classifies Requisitions, Purchase Orders, Invoices and other documents

http://www.google.com/imgres?imgurl=http://www.sap.com/china/about/ocs/en/wiss10/files/sap-logo.JPG&imgrefurl=http://forums.sdn.sap.com/message.jspa?messageID=8520368&h=1264&w=2507&sz=207&tbnid=Pg83oTgs8IXABM:&tbnh=76&tbnw=150&prev=/images?q=sap+logo&usg=__42QPXQ-hHr6gY6Ty_V9tUuFUEKQ=&ei=UmBGS_nOF5TKsAP-78VG&sa=X&oi=image_result&resnum=1&ct=image&ved=0CAkQ9QEwAA



Classify Heterogeneous Data Into a Single Taxonomy

Support for Multiple Sources

Standard Taxonomy

Map multiple data sources & taxonomies to on Avoid intrusive changes to source systems

EMEA

APAC

Americas



Interpret Data from New Sources and Classify Into Existing Taxonomies

Predictive Engine

New SourcingProgram for

Existing Business

Unit

Incorporating

Acquired

Company 1

Incorporating

Acquired

Company 2

Standar(e.g

eCl@ss

Custom

UNSPSC

NoHierarchy


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Use Manual Corrections and New Spend Patterns to Improve Accuracy

Intelligent Learning Engine

Assisted Mode Identifies Potential Categories forAmbiguously Classified Spend and Improves Future Results


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• Works seamlessly with iProcurement

• Functionality extensibleprocurement applicatioservices

• Easy for Requisitioners category

• Improves category-baseroutings

• Reduces Errors and Protime

• Helps to drive Complian

Oracle EBS iProcurement In-line ClassificationPrevent Misclassification at Source


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The Intelligence-Based App that Improves Spend & Performance Visibility


Organize Spend Into Logical

Categories

Automate Expensive Data

Management

Adapts to C

Pa


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Oracle Spend ClassificationSome of Our Customers…


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Program Agenda


How It Works

Business Benefits





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Oracle Spend ClassificationSimplified User Interface

• Feature

– Simplified, intuitive user interface

– Key functions initiated from Dataset entity

• Create Knowledge Base

• Enrich Knowledge Base

• Classify

– View Log in context of Entity

• Benefits

– Improved User Experience

– Increased User Productivity


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Oracle Spend ClassificationClassify Selective Transactions

• Feature

– Specify transactions to be classified

• Benefits

– Better control on transactions to be classified

– Manageable Batch Size

– Improved Query Performance

– Reduced Download Time – Quicker Batch Analysis

– Faster Approval and Reset


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Oracle Spend Classification: Current Release and R

• Improved User Interface• Custom Classification Batch• Track Progress Updates• Reset Specific Datasets• Export to Excel• Delete Classification Batch

• OBIA 11.1.1.8.1 Certification• Manage Taxonomy• Enhance Classification Quality

• Classify P-CarExpense

• Integration w• Supplier Clea• Dataset Wiza• Automate Cla

• Increase Wei

Release 12.2.4

August 2014

What’s Next

0-12 month planning cycle

Future

Post 12 mon

Restricted to event us


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Program Agenda





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Program Agenda





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Sha

Supplie

Copyright © 2014 Boeing. All rights reserved.

Spend AnalyticsOracle Open World

September 2014


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Shared Services Group


ProductivityDriving Productivity to Enable Boeing Competitiveness

Service Delivery Optimization

Work Placement

Skills Management

Quality Management & Lean+

Technology / Automation

User Access / Experience

Demand Management

Contract Savings

Asset Management

Overhead Management

Benchmarking

ProductivityLevers

CostDrivers

SSG Implications

Service Requests

Major Projects

Hiring / Employment

Facilities / Infrastructure

Compliance / Regulatory

Business Requirements

Production Rates

Program Changes

Repositioning

International Expansion

Mergers & Acquisitions

Deliver

Year-Over-Year Quality, Co

and Productivity

Improvements


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Shared Services Group


Global Service Delivery109 Services Support ing the Boeing Enterprise

Site Services

Enterprise Payment Services

Payroll Services

Corporate Credit Office Services

International FinanceServices (Payment,

Assignee Tax, & Payroll)

Travel and Expense Services

Cost Assurance

Enterprise Benefits Accounting

Property Accounting

Non-Production Supplier Management and SupplierQuality, such as:

IT

Professional Services

Contingent Labor

Travel

Site Services

Manufacturing Support

Freight and Logistics

Benefits Administration

Security and FireCompliance Services

Government and BCASecurity

Business Continuity

Supply Chain / AviationSecurity

Emergency Preparednessand Response

Site Security and Fire Serv

Finance and Business Supplier Management

Security and

Planning and Real EstateServices

Project ImplementationServices

Maintenance Services

Transportation Services

Environmental and UtilitiesServices

Surplus and ReclamationServices

Creative Media Technical Media

Print, Plot and Scan

Information and ContentServices

Freight Transportation

Frequency ManagementServices

Employee Services

Site Services Enterprise Services

International B

Operations Management aCompliance

Business Partner CompliaSupport

In-Country Human ResourTravel Support


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Shared Services Group | Supplier Management


Collection: Bringing invoice line-item data from approximately seven P2P syste

data warehouse Classification: Categorizing data against a Boeing-customized two-level catego

Reporting: Presenting categorized data in a web-based reporting tool featuring reports, charts, graphs, filtering and export capabilities

Enables build of multi-year sourcing strategies and to monitor compliance with quarterly data upda

Enables value-add analysis, fraud analysis, supplier diversity reporting and other ad-hoc report req

Spend Analytics Overview


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P2PSystems

Seven Systems

Oracle BI Data Warehouse

Spend classification engineCategorizes each transaction based on a

defined Boeing category taxonomy

Formatt

Enab

creatio

2

1

3

IronData -Freight

Ecova - Utilities

PCOS - BCA NWP - BDS

PCard Travel

SSPN

Spend Analytics - Overview


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Data availabil ity: from ad-hoc to quarterly

Scope: from summary (i.e. spend by supplier) to line-item detail

Completeness: from fragmented/local to enterprise-wide

Functionality: from static Excel-based to on-demand and web-bas

Categorization: from manual to automated

Accuracy: from low/unproven to high/continually monitoredProcess: from labor-intensive to automated

Spend Analytics – Improvement over past syste


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Currently a small core of highly skilled data and strategy analysts (Business In

Team)

Once aware of the capability, users have brought forth additional ideas on howcapability

The process of building training sets, running classification and validating accurequests from other business units within Boeing

Potential of becoming a profit center, performing taxonomy development, trainclassification and validating the accuracy.

Spend Analytics – How the data is now being us


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Operating rhythm - sustaining

– Receive or chase expected data files (Supplier Management) – Monthly or quarterly

– Validate data files per existing data maps (Information Technology)

– Load data files (Information Technology)

– Update training sets (Supplier Management)

– Run classification (Supplier Management)

– Validate classification and fix errors (Supplier Management)

– Publish updates (Supplier Management)

One labor ‘head’ in Supplier Management (sustaining, contractor)

Four labor ‘heads’ in Information Technology (two sustaining and two dev

Spend Analytics - Current


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Repackage visibility dashboards for Procurement Managers and for lead

Transition MRO BPA Utilization visibility Dashboards Seven commodities to date, more on horizon

Quarterly updates

Requires changes to category taxonomy

Requires additional database attribute

Spend Analytics – Development (future)


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Plan, plan and plan again!

Don’t underestimate the effort to build a custom taxonomy Socializing both the taxonomy and the benefits of classification is a time-consu

– Requisitioners outside of procurement add substantial time and further communicatio

– Sync your taxonomy with your finance and tax departments. This can avoid or eliminrework, and reclassifying the data

Build and enforce a robust taxonomy change management process!

– Socialize the impact of taxonomy changes.

– Perform cost benefit analysis upfront and use as part of the decision process

Look for residual benefits! Although we adopted this tool for category manageit to be valuable for compliance monitoring, fraud analysis, and business contin

Spend Analytics – Lessons Learned


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Multiple data sources

Understand the input data – Identify data source subject-matter expert

– Mapping of the data will require comprehensive analysis

Customization is require to identify the source system

Running data classification on select data source

– Currently implementing

Manual analysis Spend analytics requires substantial analysis work to update the training set an

base

Multiple data sources increases training set work

Spend Analytics – Lessons Learned Cont.


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Program Agenda





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• Oracle Support Notes

– 948082.1 – Latest Roll Up Patch, Certification Matrix, Installation Instructions

– 1450275.1 – Spend Classification Process Guide

– 1672861.1 – Best Practices for Creating a Spend Classification Knowledge Ba

• Oracle University Transfer of Information

– Implement and Use Oracle Spend Classification (L2)

– Support and Troubleshoot Oracle Spend Classification (L3)

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Questions & Answers


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CON7637 Jha CON7637 BI Create Proc Insight and Opportunity Final (1)

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