UN/CEFACT Forum Lunch & Learn April 18, 2012 PEPPOL

1. UN/CEFACT Forum Lunch & LearnApril 18, 2012PEPPOL Jostein FrømyrTransport Infrastructure Agreement (TIA) CoordinatorEdisys Consulting AS / Agency for Public Management and eGovernment (Norway)

2. Agenda • Business requirements • The transport infrastructure • The business documents (BII) • The future (OpenPEPPOL)

3. The PEPPOL project PEPPOL - Pan European Public Procurement Online The PEPPOL project is the result of the European Competitiveness and Innovation Programme (CIP) ICT Policy Support Programme (ICTPSP) 2007 and 2009 Call for Proposals • Pilot A objective: Enabling EU-wide public eProcurement • 50% EU contribution for achieving interoperability • Coordinated by the Norwegian Agency for Public Management and eGovernment (Difi) • Consortium and scope: • 18 beneficiaries from 11 countries • Total budget 30,8 M€ • 8 work packages, <1.600 person months and 10 M€ on sub-contractors • Project start up: 1 May 2008, duration 52 months (Pending EC approval)

4. The business requirements

5. The business case • Government procurement in the European Union account for around 19% of GDP, which is over 2.200 billion Euro • It has been estimated that if eProcurement were introduced in all EU contracting authorities, annual savings could exceed 50 billion EUR* • Less than 5% of total procurement budgets is awarded through electronic systems** • Only 1,6% of contracts are awarded to undertakings from another Member State*** • *Source: Deutsche Bank Research: E-procurement, February 2011 **Source: Green Paper on expanding the use of e-Procurement in the EU. SEC(2010) 1214 • ***Source: Green Paper on the modernisation of EU public procurement policy - Towards a more efficient European Procurement Market COM(2011) 15

6. ….. for public sector • Experience from the use of electronic invoicing in Denmark shows that supplies generally receives payment earlier then before! • 1 day interest at 3% on 2 200 billion • € 180 821 918 per day • An internal report by Austrian government from 2002 claims that by applying an electronic order process (catalogue to payment), the time spent on the process can be reduced by some 60%! • In Denmark it is estimated that there were approximately 55 mill. purchase orders in 2005. • For simplicity let’s assume 1 PO = 1 transaction, each with a time saving of 15 minutes • Denmark is approximately 3% of EU GDP • 250 000 person years

7. ….. for privat sector 2-3 € per invoice 4-12 € per invoice Up to 65 € per trans. Source: AlessandroPerego, Politecnico di Milano School of Management

8. Challenges in the current market • It is very costly to establish new connections • It is complicated to migrate to a new service provider • Many solutions are custom built to enable e-invoicing... Only • My service provider cannot connect to some of my trading partners service providers • Cross border exchange is pretty much impossible unless my trading partners uses my service provider (or if I use theirs) • I have customers in several countries, all using their own domestic e-invoice formats (not always possible for me to use) • I receive a lot of electronic invoices that are incorrect. It takes lots of efforts to identify the issues • I want to check if my customers can receive electronic invoices (and what format they use)

9. Current scenario

10. The goal • PEPPOL goal is to enable European businesses to easily deal electronically with any European public sector buyers in their procurement processes, thereby: • Increase opportunities for greater competition for government contracts, giving better value for tax payers money • encourage new and innovative ICT services • simplify access to larger markets for suppliers (especially SMEs)

11. PEPPOL scenario

12. How PEPPOL helps solve the Challenges Aligning business processes: Defining standards based PEPPOL Business Interoperability Specifications Developing interoperable technologies: Connecting the “islands of eProcurement” through PEPPOL Document Transport Infrastructure/eDelivery solution Addressing common legal issues: Establishing tools for uniform handling of eSignatures, eAttestations and eCatalogues Establishing a legal framework for many-to-many interoperability

13. The transport infrastructure

14. The PEPPOL Document Transport Infrastructure SMP Registry SML Registry Country A Invoice • SMP point: • SMP point de • http://smp.de/ • Key: CompanyC Operator 1 • Key: CompanyC • Doc: Invoice • Profile: Peppol • Endpoint: • Access point 2 • http://ap2.de/ BusDox Access point, VAN 1 Company B Company A Company C • Transport properties • Secure • Reliable • Profile properties • Transport + QoS Country B Access point 2, Operator 2 Operator 2 Public agency D

15. The PEPPOL Document Transport Infrastructure (2) • One common transport protocol between APs – BusDox START • A PEPPOL AP Provider is free to use any transport protocol towards his own customers • A common minimum SLA • A PEPPOL AP and/or SMP Provider is free to offer ahigher SLA or any service he likes towards his own customers • No charges between PEPPOL SML, AP and/or SMPProviders • A PEPPOL AP and/or SMP Provider is free todetermine his own charges towards his customers • Commonly defined business documents • Only business documents approved by the PEPPOLCoordinating Authority or one of the PEPPOL Regional Authorities may be exchanged betweenthe APs • Commonly defined identifiers • Only identifier schemes approved by the PEPPOL Coordinating Authority may be used for routing between the APs

16. Trust through hierarchical agreement model Coordinating Authority Community agreement Regional Authorities Provider agreement Service providers

17. The business documents (BII)

18. Aligning business processes • ”PEPPOL will… Implementing the results of the CEN/ISSS WS “Business Interoperability Interfaces on public procurement in Europe” (CEN WS/BII)”André Hoddevik, Project Director, PEPPOLPEPPOL Conference February 2010

19. PEPPOL + BII = true • The timeline of PEPPOL and BII are synchronized so that BII will benefit from the lessons learned in PEPPOL before publishing the results from BII2. BII1 BII2 BII profiles Joint work Lesonslearned • PEPPOL is based on BII 1 deliverables • Lots of valuable input to BII based on the experiences from PEPPOL • Requested changes are incorporated in BII 2 PEPPOL Prod. PoC Test pilot Production pilot

20. BII implements standards • The focus of BII is on collecting European requirements and to provide guidance for consistent implementation of existing international developments. International development/standard is doing the implementation Requirements Implementation guidelines is providingthe guidance User implementation

21. CWA 16073:2010 • This CEN Workshop Agreement was made publically available in December of 2009. • It is available free of charge, at www.cen.eu/cwa/bii/specs. • The deliverables from BII have already been, or are in the process of being, implemented and tested in several projects and initiatives! • e-PRIOR • PEPPOL • Is under implementation in several national initiatives

22. BII2 The objective of the BII2 workshop is to continue the work initiated by CEN WS/BII to support interoperable public electronic procurement and business (e-Procurement and e-Business) solutions. • providing a forum for governance, life cycle management and further refinements of the CWA 16073:2010, • providing support for pilot adopters of CWA 16073:2010, • contribute to the harmonization amongst European initiatives addressing various aspect to e-procurement, and • ensuring that European requirements, as expressed by the workshop, are catered for in relevant international developments and to continue the convergence work fosteredin CEN WS/BII.

23. Our approach Goal • A Profile is a technical specification describing • the choreography of the business process(es) covered, • the electronic business transactions exchanged as part of the business process , • the business rules governing the execution of that business process(es), its business collaborations and business transactions, as well as any constraints on information elements used • the information content of the electronic business transactions exchanged. Requirements Validation Syntax

24. The future (OpenPEPPOL)

25. The PEPPOL sustainability roadmap

26. Future of PEPPOL • OpenPEPPOL • Long term sustainability through user driven governance • An entity by the users for the users • Continued cooperation between MS and EU • Short term plans: Further development and implementation of eProcurement building blocks in new Pilot A, ISA operations • Medium term plans: Connecting Europe Facility (CEF) • Continued Standardisation • CEN initiatives on eProcurement business process standardisation • OASIS/other initiatives on eDelivery/Document Transport Infrastructure

27. eProcurementwithout borders in Europe www.peppol.eu