Big Data Standardization Software For Inside the Enterprise Example Application: SAP® Material Masters & Line Items With a special focus on all Indirect Materials / MRO Cameron Green, Business Development Lead Håkan Cervin, Software Development Lead Fresh International, Fresh Software AG This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Do you have these toxic data symptoms in your company? This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Do your Purchasers mention any of these problems?... “Our Indirect material spend is a “black hole”” ? “Surely this item could be on an e-catalogue?...” “Our Company still purchases MRO by unformatted freeform text and only in one local language” “Why is the supplier name so often in the material description?...” “We’re struggling a bit with Purchasing Automation” “It’s difficult to analyze spend on services” FFT FFT (Free Format Texts) Contracts BOM’s Material Catalogue TODAY “How do we move away from all this free-format text purchasing?” ? Structured Purchases Contracts BOM’s Material Catalogue “Why are items purchased as free text when they are already on the catalogue or in the store” Services BOM’s Services Catalogue WHEN? “So few of our materials are on Maintenance BOM’s with wellmaintained Purchasing Information Records” This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Do your Engineers mention any of these problems?... “Why can't I list all the similar parts together?...” “Describe it in only 40 characters??” “Why can’t it be easy - like Google?” “I can't find my material...” “I could find it if it was on the BOM...” “The vendor sent the wrong thing…” “Do I have duplicates?...” “Purchasing bought the wrong #@§* thing again...” “This description looks like Greek to me... hmmmm... maybe it is Greek” “If I have production downtime due to missing parts once more...” This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Do your IT Professionals mention any of these problems?... "Our users are sometimes frustrated" “MDM can’t do detailed cleansing but all these other tools are so expensive and they don’t complement SAP’s offering" "How many legacy materials did you say we have to clean?" "I am not sure of the quality, or the business ownership afterwards if we outsource the actual data cleansing" "I don’t want to look after any more interfaces – even if they swear they are certified!" IT IT "9 months+ for data cleansing? ... My project is never going to go-live" This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Do your Accountants mention any of these problems?... "Was this spend CAPEX or OPEX?" "We can’t always prove Sarbanes Oxley (SOX) compliance... Especially SOX 404 - internal control of financial reporting" "Did we comply with all the import/export duties... are the base commodity codes even correct?" "The requisitioner in the factory chose the wrong account again – seems they are just choosing the top one in the list" “Our Accounts Payable process has too much rework - regardless of our move to financial shared services” “Intrastat, HS and VAT returns are a nightmare and it takes ages to close these books" “I can't match the purchase order to the invoice – these vendors won't be paid...” “SOX 404 - tells me to identify points at which a misstatement could occur – but many of our materials cause misstatements” This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Are you happy with ALL of your material types?... Businesses implementing ERP have traditionally focused on the Data Quality of Supply Chain Materials closest to the customer: Finished Products, Packaging etc. In many large organizations today that leaves a large untapped seam of value in the Raw & Indirect / Non-Production Items such as Spare Parts MRO, Office Supplies, Production Consumables and that messy catch-all: “Other”. FINISHED PRODUCTS 0 Since the area under the curve represents real money for your business, significant real value has been hidden in the large number of line items. Until recently there has not been a toolset absolutely dedicated to this job. PACK Flattening curve due to credit crunch higher risk of CapEx (Credit) 1000 RAW Money gained per cleansed material Most of the low hanging fruit may have already been picked… 2000 INDIRECT MATERIALS 300000 3000 Number of Materials Cleansed over time This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Wouldn’t you like a way to “refresh” ALL your dirty item/ material masters? “By 2013, standardized ways of describing products will prevent errors and help manufacturers, distributors and retailers cut costs. Implementation will not be cheap, but the payoffs will be too big to ignore” Gartner 2006. “SAP is behind some of the competition in data quality, data profiling and associated reporting facilities, which are important in complex product data environments that are heterogeneous in nature. Many customers report having to refer to other tools in this area as part of their implementations. The acquisition of Business Objects enables SAP potentially to leverage some of the data services related to profiling and data quality, but even Business Objects' experience was generally associated with customer data and not product data” Gartner, July 2009. “For an engineer to consider incorporating a standard part in a new design, the engineer must first know that it exists and be able to find it. 27% of total time is routinely spent looking through databases and in-house libraries...18% of total time is devoted to reentering and re-creating part information that already exists but can’t easily be found.” "Data visibility is the major challenge for the majority of programs despite the significant progress of e-sourcing and e-procurement.” Aberdeen Group, Dec 2004 Our customers include some of the world’s largest companies and governments - wouldn’t you also like to get more business benefits out of your substantial investment in SAP? This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Refresh™ can help you… right out of the box… Automated Data Standardization for SAP materials – A fresh, new approach to this problem This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com …using the power of big data standards, Supported by: ECCMA ISO 8000 NATO UNSPSC ECLASS INTRASTAT Harmonized System … and many other excellent standards This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Easy & automated process removes barriers to adoption of standards …customized and scored to make it more specific to your industry, Disorganized / 'dirty' / low quality data. refresh™ NON SAP EAM/ERP Clean data exported in exact format needed for ERP upload (LSMW, Text, etc…) Fresh pre-scores and cleanses (in this example) the eOTD and UNSPSC matches by your industry type and then incorporates this into SAP format in the easy to use tool, Refresh™. Fresh also feeds back to standards providers for continuous improvement and uses membership to standards and content providers to stay current International organizations update standards e.g. the UNSPSC and eOTD catalogues in 23 languages through experts in 47 countries. Data and catalogue contributions from Fresh and other members including over 2M real examples This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com …including expert content to work from day1. Repeatable scoring algorithm eOTD / ISO 8000 Scored Dictionary Common misspellings, & abbreviations content ‘Smart’ search engine Duplicate proposal engine e.g. Vendor Catalogues Export format options predefined e.g. for ERP Top nouns This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com …and realistic examples & tutorials to help you get started This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com User-friendly, easy to learn, flexible and powerful to use, Functionally Rich and Intuitive: • User Friendly, familiar & intuitive screens, no dedicated training necessary • Imports ‘dirty’ data directly from SAP or in a standard Excel format • Automatically proposes potential duplicates and translates material descriptions • Automatically spend-classifies materials to UNSPSC and your Material Groups • Automatically re-describes short text and long text to a noun modifier standard using unique algorithms based on a patented combination of word scoring, translations, synonyms, standard abbreviations and dictionary settings • Key settings are customizable, to allow the user to build more accuracy into the tool with each use. Obscure classes are removed from the shipped standards. • Proposes attributes from key supplier catalogues which are openly shared • Can mine attributes from all in-house structured and unstructured texts in SAP • Deep Global International Standards experience & content included on day 1 • Pre-Built dictionary ready to use on day 1 - no upfront specification needed • The right person does the job quickly as part of the daily job – no extra FTE’s. Disorganized / 'dirty' / low quality data. Technically built for lowest TCO: • Java application running stand alone . Works with SAP and non-SAP. • Built using the same development tools used by SAP in SAP master data exchange infrastructure (XI) / process integration (PI) products. • No database needed = Lower software license cost and implementation effort • Pre-integrated with standard ERP = lower total cost of ownership • Architecture based on deep SAP experience & low risk, plain vanilla IT • Design mirrors the exact table field names and characteristics of SAP materials, SAP Classification, SAP purchasing information records and bills of materials. • Requires no additional hardware CAPEX – low consumption windows service • Promotes the full use of your existing software footprint, especially ERP. Cleansed data exported in exact SAP format for expert check / SAP upload. SAP or NonSAP EAM/ERP This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com ...in all your simultaneous languages automatically, Refresh is live today at customers with complex language requirements – Global businesses with multiple simultaneous texts. Our software and dictionaries are truly multilingual; powering local ease of use and head-office visibility. No matter which original language. This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Refresh™ gives you perfectly clean item data (SAP example). Good, repeatable, nounmodifier standard compliant structured short text – multilingual, accurate & commercially neutral Structured long texts autogenerated in all languages Always find your similar parts in ERP whether its through the standard transactions or… Optimized PO text including attributes and part numbers Correct Account Assignment Verified Spend Classes –Both Internal & External including UNSPSC & Material Groups Correct Commodity Codes/Intrastat/HS & PRODCOM codes Automatic Technical Class & Better BOM Assignment Reduced Obsoletes, Reduced Duplicates, and Optimized Stock Levels & equivalent parts … a Fresh Enhanced Material Search Help. This can be found on any ERP screen including Purchase Requisition, Purchase Order, Goods Receipt, Invoice Verification, across the entire process. Automated & Complete Technical Characteristics, Values and ERP UoM’s. Can be used to generate standard long & short texts in materials and purchasing inforecords per vendor This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com …and Keeps it clean for longer Refresh acts with SAP as a “helpful policeman” at the point of data entry. Run in SAP technology for realtime, online use. SAP is the Master Storage System. While Clients are free to use the Refresh Algorithms & content as it suits them, usually it is deployed as an ABAP WebForm &/or material request workflow. Other formats such as Z-transaction are also available. Refresh gives powerful & practical assistance to the material requestor during the material creation process. Refresh Server holds helpful rules for SAP data creation: autocorrecting, proposing, validating and safeguarding the data at point of entry by the business end-user. It’s a live, electronic big data standard at first point of entry. Refresh does not overlap in functionality with SAP. Standard pre-built workflows will accelerate your data governance project and Refresh’s online real time auditing checks will help your the material requestor by proposing alternatives & content to get it right first time. This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Isn't it time you "refreshed" your data? Refresh is being used today in leading multinational companies to dramatically reduce the man-hours needed to achieve and maintain perfect SAP material data. This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Business results from a typical project... … some of which are quick wins for the •Reduced working capital & / or operational expenses business... •Less false stock-outs & Reduced maverick buying •Leveraged plant commonality - sharing of big-ticket items •Reduced Dormant or Obsolete Inventory •Easier searching •Easier stock level optimization •Better Spend Analysis •Easier goods receipt and accounts payable processes •Increased procurement visibility for supplier consolidation •Data ownership and sharing enhances data quality This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Contact us If you have any questions at all, or would like to schedule a demo at your convenience, contact our functional and technical sales leads below: We will be very happy to help you. Commercial Questions, Functional Questions: Cameron Green +41 793883662 cameron<dot>green<at>freshinternational.com Technical, Deployment and Architecture Questions: Håkan Cervin +41 797027378 hakan<dot>cervin<at>freshinternational.com Fresh International offices: Fresh HQ Baarerstrasse 78 Zug CH-6300 Switzerland Fresh Nordics Wallingatan 11, Stockholm S-111 60 Sweden Fresh UK 4-5 Bonhill St. London EC2 4BX UK www.freshinternational.com We are excited about the possibility of working together. Thank you for your interest in our products and services. This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Company Profile & References Fresh was incorporated 8 years ago to build the leading Item Data Standardization tool based on Big Data matching algorithms . After initial sponsorship by a fortune 50 multinational and 3 years of R&D culminating in a patent application for its unique process, the commercial version of Refresh is live in leading multinationals and governments globally. A Global Footprint: Some Key Customers: World’s Biggest Utility Company France. Refresh user since ‘11 1 Million materials in SAP ECC6. World top 10 Aluminium company, UAE, Middle East. 80000 materials in SAP ECC6 Canada’s #2 Electricity Company Canada. Refresh user since ’09 500 000 SKU’s in SAP to UNSPSC in two weeks. World’s #1 Fine Paper Company Austria. Refresh user since ‘07 340 000 SKU’s in SAP ECC6. Leading Global Chemical Co. USA. Refresh user since ‘10 300 000 SKU’s in SAP ECC6 New Project for 2011. Oxford University, 100 000 SKU in sciences, life sciences & research. Live with Refresh Desktop since 2011. Government of Canada. 250 000 materials in SAP ECC6 on around 20 sites in northern Canada. Portugal’s Largest Employer Portugal. Refresh user since ‘10 350 000 Materials in SAP 4.7. This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Some examples of great places where we’ve implemented Refresh This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com Acknowledgements SAP, ABAP, SAP NetWeaver, LSMW, ABAP WebDynpro are trademarks or registered trademarks of SAP-AG. www.sap.com Sun, Sun Microsystems, the Sun logo and Java are trademarks or registered trademarks of Sun Microsystems Inc. www.sun.com Fresh is a member of the electronic commerce code management association. www.eccma.org http://www.eccma.org/Member_Directory/Fresh.php Fresh is a member of UNSPSC www.unspsc.org See “Refresh for SAP” at http://www.unspsc.org/unspsc_resources.asp This presentation is the confidential property of Fresh Software A.G. - www.freshinternational.com