CSC Proprietary and Confidential

Optimize Procurement with Integrated Solutions

Johan Duba and Jeff Kurz Global Process Owner and Consultant May 5, 2015

2 CSC Proprietary and Confidential May 5, 2015

72,000

2

EMPLOYEES WORLDWIDE

$12.6B

GLOBAL IT SERVICES POWERHOUSE

50+

YEARS OF INNOVATION

14

KEY INDUSTRES WITH ACCELERATORS, TEMPLATES

AND EXPERIENCE

A GLOBAL POWERHOUSE IN BUSINESS AND IT

TRANSFORMATION

7,700+

SAP PROFESSIONALS WORLDWIDE

2,500+ SAP PROJECTS

30+

YEARS SAP PARTNER

Who We Are

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CSC Finance Transformation Overview Efficiency and Effectiveness

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User Adoption is the #1 Reason CSC Made the Switch to Cloud Solutions

Friendly user interface

Simplified process

Faster requisition to PO cycle time

Better data quality

Automated decision making

Better controls and compliance

Faster payments

CONTINGENT

LABOR

Ariba is an SAP company.

Concur is now part of SAP.

5 CSC Proprietary and Confidential May 5, 2015

Six Optimizations for Procurement using Best of Breed Solutions

1 One-step and hop approvals

2 Mass asset creation

3 Auto-generation of CEME files

4 Expense Report Automation

5 Intercompany billing

6 Vendor Payment while Billing

Clients

CONTINGENT

LABOR

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CSC Optimization #1: One-Step and Hop Approvals

Standard Approach:

Each step of management chain up to final approver needs to

approve

Approval chain exists in a separate table or spreadsheet

Pain points: difficult to maintain, sheer number of approvals,

lag time between steps

CSC Optimization:

Enhancement to standard workflow rules in Ariba solution

One-Step at Business Approver then Hop to Final Approver

HR hierarchy defined and maintained in SAP solution

Budget accountability with Finance

Approver

Manager

VP

CEO

$6M Request

Director

One-Step and Hop Approvals

Global Governance

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CSC Optimization #2: Mass Asset Creation

Ex: Client needs 100 servers

Standard Approach:

Request asset numbers from the asset accounting software in

the SAP ERP application

Enter 100 asset shells on requisition

Pain points: error prone and inefficient

CSC Optimization:

Interface between the Ariba solution and the materials

management software in SAP ERP, enhanced to auto-

generate asset shell based on PO

Automation of rules to derive correct account category in the

Ariba solution

Asset shell creation is based on asset matrix

Goods Receipt can be done in mass and trigger capitalization

and depreciation

Responsiveness and Agility

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CSC Optimization #3: Auto-generation of CEME files

Standard Approach:

Four Ariba files – Commodity Export Map Entry (CEME)

ERPCommodityCodeMap.csv

GSCMCategoryFMD.csv

MaterialNumberRequiredFMD.csv

ReceivingTypesByCommodity.csv

Updates made by manual entry to individual csv’s

Pain points: manual process and error prone

CSC Optimization:

Custom routine to generate and update CEME files

Automation of account determination per commodity

Dollar threshold by commodity to force capitalization or make

a pass-through charge to the client

Receiving file customized to specify receiving type

by commodity type

by account type

Process speed improved

Leveraging of Leading Practices

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CSC Optimization #4: Expense Report Automation

Standard Approach:

Employee submits Expense Report for reimbursement to

him/herself or credit card company

Bills are generated for client separately

CSC Optimization:

Custom integration between Concur solution and the SAP

Travel Management application

Ability to reimburse employee or credit card company and

bill client at the same time

Ability to distinguish between ‘billable’ and ‘non-billable’

expenses within a single expense report

Inherent connection between the SAP Travel Management

application and HR (payroll)

Automated / integrated

Reimbursement and Billing

Reimburse

Employee or

Credit Card

Direct

Bill Client

Expense

Report

Common Systems

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CSC Optimization #5: Intercompany Billing

Standard Approach:

N/A

CSC Optimization:

CO enhancement to repost cost for Intercompany

process

GL entry is force posted in both AR and AP automatically

from Goods Receipt and Invoice, for both procuring

company and company where work is performed

Dummy cost centers and employee’s company code force

post to the WBS

Expense Report charged to Company B is reimbursed

through Company A

Ex: Intercompany Labor

Company A

AR

End to End Integration

Company B

AP

Billing Reimbursing

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CSC Optimization #6: Vendor Payment while Billing Clients

Standard Approach:

Manual PO creation for Contingent Labor (Sub-K)

CSC Optimization:

Unique assembly of standard processes enabled by SAP

software

Contingent Labor application generates subcontractor PO’s

using Service-based PO’s

Subcontractors are on-boarded and utilize CATS for

timekeeping

Enables simultaneous billing of clients and payment to vendor

subcontractors, using Resource Related Billing (RRB)

Talent Management

Subcontractor Payment and

Client Billing

CONTINGENT

LABOR

Vendor

Customer

Payment

Billing

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Recap: Six Optimizations for Procurement

CSC Optimization Transformation Objective Business Value

1 One-step and hop approvals Governance Reduced Cycle time

2 Mass asset creation Responsiveness and

Agility Reduced Head Count

3 Auto-generation of CEME files Leading Practices Data Quality / Accuracy

4 Expense Report Automation Common Systems Reduced Head Count

5 Intercompany billing End to End

Integration Data Quality / Accuracy

6 Vendor Payment while Billing

Clients Talent Management

Reduced Head Count

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Q&A

14 CSC Proprietary and Confidential May 5, 2015

Thank You

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