Web-Based Supply Chain Management (WBSCM) IFAC Conference – Ocean Carriers

1. Web-Based Supply Chain Management (WBSCM) IFAC Conference – Ocean Carriers

2. Agenda • Overview • WBSCM Vision • WBSCM Release 1 Program Timeline • How This Benefits You • Ocean Carrier Functionality** • Master Data • Portal Navigation • Freight Bidding • Purchase Orders • Invoicing • Reporting • WBSCM Summary ** simulations will follow to showcase functionality

3. WBSCM Vision WBSCM will provide new capabilities and functionality to support doing business with USDA! WBSCM… Delivering web-based food supply when it is needed... FSA USAID FAS AMS FNS ...where it is needed

4. We are here 0 Strategy & Selection 1 Project Kick Off 2 Design 4 Deploy 5 Go Live • Acceptance Testing • Training • Planning & Budgeting • Communicating • Production Cutover! • Business Requirements Definition • RFIs, RFPs • Product Evaluations & Selection • Scoping • Team Setup • Project Kick-off • Planning & Budgeting • Process Design • Configuration Design • RICEFW Functional Design • Data Mgmt Plan • Training & Communication Plan • Technology Design • Planning & Budgeting • Go-live! • Monitoring • Final Revisions • Support Moving in!! Final Walk Through Search and Selection Requirements, Contract Detail Design Specifications (Blueprint) WBSCM Release 1 Program Timeline 2009 3 Build / Test • Configuring • RICEFW Technical Spec • Building: • Processes • Training • Programs • Technology • Testing • Go-live Planning • Communicating A Home Building Analogy Step by step process Leads to strong structure

5. How This Benefits You • Overall Benefits • Easier and faster to do business with USDA • Lower administrative costs • Paperless, non-duplicative processes • Easier, transparent registering, bidding, contracting, shipping, and payment processes • Ocean Carriers • Easier access to all Freight Solicitations • Automation of Bulk Procurement • Simplified submission of Freight bid responses/offers • Visibility of submitted Freight Bids/Offers • Electronic notification of Freight purchase awards • Online submission of Freight Invoices and Proof of Delivery (FAS Programs) • Real time status of Freight Invoice payments (FAS Programs) • Online reporting & information access capabilities

6. Ocean Carrier Functionality • Master Data • Portal Navigation • Freight Bidding • Freight Preferences • Purchase Orders • Invoicing • Reporting

7. Current Definition Commodity Master Data Definition • WBSCM Definition • Material Number COMMODITY : 682066 COMM GROUP: 68 OIL COMM TYPE : 20 OIL, VEGETABLE PACK SIZE : 66 PLASTIC BOTTLE 6/4 L MATERIAL: 102420 DESCRIPTION: OIL, VEGETABLE BOTTLE, PLSTC-6/4 L = Other Examples 102418 OIL, VEGETABLE PAIL-20 L 102419 OIL, VEGETABLE CAN-6/4 L • Material Number - Freight • Freight MATERIAL: F102420 DESCRIPTION:OIL, VEGETABLE BOTTLE, PLSTC-6/4 L-F FREIGHT : Not used in current system = • Key Changes • Commodity identifiers will be converted to SAP Material numbers • Freight Materials will be defined for Freight Bidding and Booking documents. Other Examples F102418 OIL, VEGETABLE PAIL-20 L-F F102419 OIL, VEGETABLE CAN-6/4 L-F

8. Vendor Master Data Definition • WBSCM Vendor Definition • Business Partner • Definition: Organization (firm, branch office), person or a group of persons or organizations in which USDA/USAID has a business interest. This includes the roles: • Freight Vendor (Ocean Carrier) • Contact Person Information • Freight Agents • Locations • Definition: These types of Business Partners will be used to support the selection of load points in the Price conditions for the Freight Solicitation. Based on the evaluation results, the applicable locations will be defined on the Purchase order awards. • Regions • Load ports • Intermodal Bridge • Intermodal Plant • Terminals/Berths • Key Changes • Vendors will be converted to SAP Business Partners • Locations will be defined for Price Conditions related to different load points.

9. Vendor Self-Service Portal View • Key Changes • WBSCM Portal requires Level 1 e-Authentication • Key Functionality • Bid/Offer Management • Vendor Self-Service • Reporting Simulation Portal Navigation

10. Freight Bid/Offer Management Overview • Bid/Offer Management Functionality • Enter Bid/Offer Response • Copy from Preferences • Can maintain multiple preferences (Ex: one for trade route) • Copy Bid/Offer functionality related to the same Solicitation • Constraint group functionality • Hierarchy level pricing on Load point • Ability to apply min/max and cost components at region/port/terminal levels. • New AGAR Numbering for Solicitations • Current numbering - Freight Solicitation 019 • WBSCM Numbering – AG-INTF-09-S-0032 • Where • AG – Agriculture • INTF – Office Code for International Freight • 09 – Fiscal Year • S – Bid Invitation/Solicitation • XXXX – Sequence Number

11. Freight Bid/Offer Response • Key Changes • Easier access to all Freight Solicitations • All USDA Solicitations will be available • Freight Preferences can be maintained • Key Functionality • Visibility of Submitted Bids/Offers Simulation Freight Bidding

12. International Freight Preferences • Freight Preferences can be maintained for the following: • Load Port – Regions • Load Port • Load Port – Terminals • Intermodal Point Price Conditions can be defined for each applicable location

13. Freight Purchase Order Overview Current System • Current system references information from the Freight Booking Information on the related Commodity Contract/Notice to Deliver. WBSCM Design • Purchase Order will be used for Freight Purchase Awards • Different Order types will be defined for • FAS Freight Purchase Orders • USAID Freight Purchase Orders • Charter Booking information will be attached as a document to the Purchase Orders • Purchase Order Numbers will be defined as follows • FAS - AG-INFF-09-P-0023 • USAID – AG-INFA-09-P-0024 • Where the following fields are defined as • AG – Agriculture • INFF- Office Code for Freight FAS • INTA – Office code for Freight USAID • 09 – Fiscal Year • P – Purchase order • XXXX – Sequence Number

14. Freight Purchase Orders • Key Changes • Freight Purchase orders will be created in WBSCM • Paperless, non-duplicative processes • Key Functionality • Purchase Orders will be available on the Vendor Self-Service • Email notification (PDF Output) will be sent to the Contact information when the PO is approved Simulation Purchase Order

15. FAS Freight Invoice Matching Overview 3 Way Invoice Matching criteria Invoice Quantity Purchase Order Quantity Goods Receipt Quantity = = Freight Forwarder -performs Goods Receipt Ocean Bill of Lading • Vendor enters Invoice for FAS Programs includes • Proof of Delivery FAS – Sends award Notification • Key Functionality • Automated invoice matching, approval, release, of payments for commodity, freight, storage, and other services

16. Key Changes • Key Functionality Simulation Invoicing FAS Freight Invoicing Invoices are created based on the Purchase Order selected by the Ocean Carriers • Key Changes • Automated invoice matching and approval of payments for FAS freight Purchase Orders • USDA requested documents will be scanned and attached • Key Functionality • Real time status of invoice payments

17. Ocean Carrier Reporting Overview • Reporting • Specific reports will be made available to the Ocean Carriers to report on their different types of documents • Freight Purchase orders • Invoices (FAS Programs) • Ocean Carrier Business Partner information

18. WBSCM Summary • Key Changes: • Vendor Self-Service functionality • Contract award notification • Online invoice status review • Online reporting & information access capabilities WBSCM provides new capabilities and functionality to makes it easier to do business with USDA

19. Next Steps • Vendor Testing & Training • Vendor testing to begin in the Summer 2009 • Training materials will be available in the Fall 2009 • Deployment Activities • WBSCM User Administration • Confirm Corporate Admin Contacts • E-Authentication Registration • Data Validation • Business Partner relationships • WBSCM Go-live Dec 2009 For more information visit us online at www.usda.gov Interested in participating or have questions? Contact us atWBSCM@kcc.usda.gov