Finance and Procurement

Transcription

1 Finance and Procurement Getting Started with the NZBN Date 26/02/2018 Version 1.0 nzbn.govt.nz 1

2 Contents This Document... 2 What s the New Zealand Business Number?... 3 What s held in Primary Business Data?... 3 How should our business get started?... 5 Why the NZBN?... 7 Recommended implementation approach... 8 Phase one implementing the foundations... 8 Phase two taking stock Phase three integrating fully Getting started questions to ask Useful links: Contact us This Document This document is intended to assist you in planning and commencing your implementation of the New Zealand Business Number. It was developed jointly by the NZBN and ArcBlue Consulting. ArcBlue Consulting were engaged to assist the NZBN team in: Understanding typical scenarios, opportunities and challenges for incorporating the NZBN into Finance and Procurement systems and processes Clearly articulating the benefits of implementation Building materials to help develop internal business cases to support implementation nzbn.govt.nz 2

3 What s the New Zealand Business Number? The NZBN is a globally unique identifier available to all businesses and government agencies in New Zealand. The NZBN will transform how businesses work with each other and with government. Using it will speed up businesses interactions with government, suppliers, customers and other businesses. The NZBN is linked to key business information, known as Primary Business Data (PBD), such as an address, phone number and website. PBD is the information businesses are most often asked to supply when dealing with government or each other. Companies registered in New Zealand already have an NZBN and these can be found by searching the NZBN Register at The NZBN legislation came into effect in April 2016 allowing all other types of businesses (e.g. sole traders, partnerships, trusts and public sector organisations) to register for their NZBN. What s held in Primary Business Data? Under the New Zealand Business Number Act 2016, PBD for Corporate and Public NZBN entities and for Unincorporated NZBN entities is classified into Public PBD which must be visible and Other PBD which is private unless it has been authorised by the NZBN owner to be made public. Corporate and Public NZBN entities Public PBD: Plus: Legal entity name Trading name or names Registered address Location identifier NZBN Start date Kind of entity Status Any Other PBD that is otherwise available on a public register; and Any Other PBD that the NZBN entity elects to make publicly available Other PBD (private unless authorised as public): Industry classification GST status GST effective date Postal address Physical address Principal place of activity Director(s) Website Phone number Other address(es) Australian Business Number Australian Company Number Australian service address Owner nzbn.govt.nz 3

4 Unincorporated NZBN entities Public PBD: Plus: Location identifier NZBN Start date Kind of entity Status Any Other PBD that the NZBN entity elects to make publicly available Other PBD (private unless authorised as public): Legal entity name Industry classification GST status GST effective date Registered address Postal address Physical address Principal place of activity Director(s) Website Trading name(s) Phone number Other address(es) Australian Business Number Australian Company Number Australian service address Owner Since 2016, stakeholders have told us about how you would like PBD to improve. In response to your suggestions, we have developed a set of change proposals and, subject to Cabinet approval, final proposals will be released for public consultation during April/May nzbn.govt.nz 4

5 How should our business get started? Over time, the NZBN will become increasingly central to the way we do business in New Zealand. But when beginning the NZBN implementation journey, businesses often ask the same question: Where should we start? Here are 10 ideas your business could use to begin taking advantage of the NZBN. 1. Set up a working group Identify appropriate participants: look across your business and determine who should contribute e.g. business system owners, senior leadership team. Nominate a Champion: determine a key sponsor to act as the main point of contact for your organisation in respect of the NZBN. 2. Reach out Set up a time with a member of the NZBN Team to ensure your working group receives tailored support and advice around the NZBN, right across your implementation journey. 3. Take stock The potential of the NZBN lies in its power to connect consider how your business currently interacts with other businesses (including government agencies). Take stock of the systems and processes you use to connect with businesses, like finance, procurement or your Customer Relationship Management (CRM) system. For a more complete list of questions your working group could consider, please see Getting Started Questions to ask later in this document. 4. Unlock the potential Think widely about what might limit your ability to make the most of the NZBN, and talk to the NZBN Team about how we can help you overcome these challenges. 5. Connect the dots The NZBN s free data matching service can help match your current customers, suppliers or service providers to their NZBN, or you could use the online register to look up businesses as needed. 6. Get creative Think about innovative ways you could use and benefit from the NZBN. For example, you could: Streamline transactions and improve customer experience: Use the NZBN to speed up interactions with your customers or suppliers e.g. to pre-populate fields in online forms. Connect information: Use the NZBN to connect internal or external data sets. By automating the process and cutting back on manual handling, you can spend more time doing the work that matters. Consider new services: Explore ways the NZBN could allow you to optimise and innovate, such as providing new tailored services to your customers. Data-driven growth: Use the insights you gain from the NZBN and other business data sets to inform your investment strategies. Future-proof: The NZBN should be considered part of the process when a business or technology change is proposed. Add an NZBN section to your business planning or new initiative documents. 7. Build a roadmap Take the opportunities you ve identified and build these into an implementation roadmap over the short, nzbn.govt.nz 5

6 medium and long-term. Where appropriate, consider other scheduled upgrades or changes to systems/processes, and build the NZBN into these projects. 8. Stay in the loop Keep your records accurate and up-to-date by connecting to the NZBN notification Application Programming Interface (API). 9. Spread the word Develop a communications plan to keep your staff, suppliers and/or customers in the loop as you roll out the NZBN. Promote the benefits and explain how you re using the NZBN to streamline or improve your systems, processes or services. The NZBN Team can help you develop communications. 10. Start now! Add your NZBN to documentation like purchase orders, invoices, signatures and letterheads. Use your NZBN to identify yourself when interacting or transacting with other businesses. The NZBN Team is here to support your NZBN implementation. Get in touch to set up a meeting with a member of our team. See Contact Us on page 14. nzbn.govt.nz 6

7 Why the NZBN? There are numerous reasons to implement the NZBN into your systems. Some of these include: connecting data across all your interactions - suppliers, customers, partners - to gain a better picture of opportunities and risks connecting data in different systems for better analytics as a trusted source for business information locating wider relationships between businesses to improve negotiating power Gains can be made in six broad areas: Efficiency Includes reduction in general or indirect overheads provided the time saved results in a reduced consumption of resources or the deployment of the resources in other value-based activities. Improved supplier communications can also be a benefit here, as can greater organisational agility and ability to respond. Cost Saving of internal costs or opportunity to access more competitive pricing through, for example, consolidating and leveraging spend, or adopting more competitive suppliers. Service Delivery Refers to an organisation s ability to meet its core purpose delivery more effectively such as through improved functionality, faster delivery or time-to-market, or better supply performance. Innovation Improved awareness of and access to alternative solutions. Aligned Strategy Overall procurement or supply-side strategies are more informed and effective, typically through better understanding of supply markets, opportunities and risks by having improved data accuracy and accessibility, analysis and decision-making. Risk Management Improved identification and mitigation of supply risk, whether financial, operational, reputational, fraud or other type of risk. A comprehensive description of the reasons to implement the NZBN can be found in the separate Benefits document that supports this document. nzbn.govt.nz 7

8 Recommended implementation approach We recommend you take a phased approach to implementing the NZBN, which allows you to make logical step changes and spread the costs as you move towards achieving maximum benefit. Our suggested phases are outlined at a high level below and described in more detail in the remainder of this section. While the phases have been described sequentially, your business may choose to overlap phases or even stop/pause after a particular phase has been completed. Steps should not be considered definitive and you may wish to add or remove steps as appropriate to your circumstances. To gain the maximum benefit, we suggest that you complete all the phases, but these should be completed in a way that works best for your business e.g. as additional requirements into planned works or as a separate programme of work. Phase 1 Implement the foundations Simple first steps with some benefits Phase 2 Take stock and plan for the next stages Let businesses you deal with know the plan Phase 3 Integrate with the NZBN for record updates Start realising greater benefits and potential Phase one implementing the foundations For phase one the aim is to implement the NZBN in a way that allows you to do more detailed analysis and planning. Foundation activities will depend on your current systems and processes, so use the data that you gathered by considering the Getting Started Questions to ask section as part of defining what will happen for you in each phase. Phase one implementation has been approached by outlining typical scenarios for businesses with different Procure-to-Pay structures (systems and processes). For each there s a corresponding approach to phase one and the value gained by doing so. A baseline assumption is that systems hold supplier business name, address, phone and details. By completing these implementation activities your business would embrace some basic benefits of the NZBN. nzbn.govt.nz 8

9 SCENARIO IMPLEMENTATION ACTIVITIES BUSINESS CASE 1. Outdated platform not regularly used can only hold the NZBN field. 2. Simple, single, P2P system can hold the NZBN and the Business Industry Classification (BIC) Code e.g. Financial Management system used for payment only. Purchase Orders, where used, are generally for internal purposes. 1. Identify/enable/create a field to store the NZBN. 2. Use the NZBN data matching service to identify your records that already have an NZBN. 3. Import NZBN numbers into your system field against your records. 4. De-duplicate your records. 5. Use the bulk data download service to cross check information from the NZBN against your records and augment or update your records as appropriate. 6. Update processes to a. include NZBN lookup when creating new records b. maintain records in line with NZBN (e.g. via bulk data, watchlist or manual process). 1. Identify/enable/create a field to store the NZBN. 2. Identify/enable/create a field to store the BIC Code. 3. Use the NZBN data matching service to identify your records that already have an NZBN. 4. Use the bulk data download service to augment your records with BIC codes where available. 5. Import NZBN numbers and BIC codes into your system against your records. 6. De-duplicate your records. 7. Use the bulk data download service to cross check information from the NZBN against your records and update your records as appropriate. Provides confidence that all suppliers with an NZBN are legitimate businesses. Enables analysis of spend data across several departments, or even related organisations, using different systems as the NZBN will help you join data. Provides a good foundation from which you can: a. further integrate the NZBN b. realise more benefits c. migrate to new or replacement systems. In addition to the above benefits you can: Cross check available BIC Codes before adding new vendors to reduce unnecessary supplier growth. Identify existing suppliers that might be able to quote for or provide services. Use BICC to supports supply market analysis, social procurement goals, and more holistic category planning over time. nzbn.govt.nz 9

10 SCENARIO IMPLEMENTATION ACTIVITIES BUSINESS CASE 3. Multiple, unintegrated, systems e.g. contract management system not linked to payment or purchase order systems. Supplier records separately maintained in multiple locations. 8. Update processes to: a. include NZBN lookup when creating new records b. maintain records in line with NZBN (e.g. via Bulk data, watchlist or manual process). 1. For each system: a. identify/enable/create a field to store the NZBN b. use the NZBN data matching service to identify your records that already have an NZBN. 2. Import NZBN numbers into your system(s) against your records. 3. Join your own data sets together using the NZBN as the key and compare the information held in each system e.g. addresses, contact names, s etc. to determine which records are most up-to-date, comprehensive, and the cross-over between your systems. 4. De-duplicate records within each system. 5. Use the bulk data download service to cross check information from the NZBN Register against your records and augment or update your records as appropriate 6. Update processes to: a. include NZBN lookup when creating new records In addition to the benefits highlighted for scenarios 1 and 2, you can: Improve your understanding and management of supplier data across systems. Improve your ability to analyse supplier transactions, and spend to plan your supply base more efficiently. nzbn.govt.nz 10

11 SCENARIO IMPLEMENTATION ACTIVITIES BUSINESS CASE 4. Full P2P with integrated bolt-ons (such as Contract Management, etendering) or utilizing a third party P2P system with an API connection or a cloud-based ERP with the API enabled b. maintain records in line with NZBN (e.g. via Bulk data, watchlist or manual process). 1. Identify/enable/create a field to store the NZBN. 2. Use the NZBN data matching service to identify. your records that already have an NZBN. 3. Import NZBN numbers into your system field against your records. 4. De-duplicate your records. 5. Use the bulk data download service to cross check information from the NZBN against your records and augment or update your records as appropriate. 6. Update processes to: a. include NZBN lookup when creating new records b. maintain records in line with NZBN (e.g. via bulk data, watchlist or manual process) 7. If integrating with the NZBN API, then identify and map the NZBN data fields to those you are already using in your own systems (or ask the vendor for their recommendation). These are the fields that will connect and update directly from the Register. In addition to the benefits highlighted for scenarios 1, 2 and 3, you can: Auto-populate data fields when creating new supplier records. Update records in line with changes to the NZBN Register by NZBN owners. Enable optimum efficiency and maximise benefits of implementing the NZBN. nzbn.govt.nz 11

12 Phase two taking stock With the proposed review to Primary Business Data, we would currently recommend taking stock of a few things before proceeding. Use this time to: Consider more fully the data that you use most often about businesses. Think about what information you update most frequently about a business, consider a time and motion study over the course of a couple of weeks. Think about which items would be ideal to automatically update from the NZBN. Are there private data items that you would like to consume that your business contacts would need to make publically available? Are there items that you want to consume that you d like the businesses that you work with to complete as mandatory in the NZBN for you? Plan your communications: Take time to think about how and when you will communicate with stakeholders both internal and external to your business. Do you want to deliver progressive information about the NZBN via a number of channels? Will you send out the current NZBN information for your suppliers and customers as part of the communication? What call to action are you asking for? From what date will you be switching over? What does it mean for the different stakeholders e.g. Benefits? Phase three integrating fully Moving to more comprehensive integration of the NZBN, including consuming data from the Register via the API, is where the most significant benefits are attained. To integrate you should think about the mechanism of integration that works best for you. For example: Do you want your records to automatically update when changed at the Register? Would you prefer to trigger an update when you interact with a record? Do you want updates to go directly into the record fields or do you want the NZBN information to collect into parallel fields? Does your system accommodate the level of audit trail you need across record changes? Think about opportunities: What additional information is contained within the NZBN that you could benefit from capturing e.g. changes in business status and directors to identify solvency or changes in ownership? More detailed analysis across your supply chain for spend or number of suppliers? nzbn.govt.nz 12

13 Joining data together from other sources (branches of your business or separate systems) to get a bigger picture of your customer base? Simplifying and automating aspects of tender and evaluation processes by using trusted data. Should you consider including the ABN into your implementation for the Australian companies that you interact with? nzbn.govt.nz 13

14 Getting started questions to ask Here s a list of useful questions to get you started with thinking about the NZBN in your business. The list is by no means definitive, but hopefully these questions will trigger others that are specific to you. 1. Is there an area in your business that could champion the NZBN e.g. Digital Strategy? 2. What interactions do you have with other businesses (companies/contractors/government agencies/suppliers/customers/service providers/vendors)? 3. Of the businesses that you interact with, how many are from Australia or overseas? 4. What information do you record about businesses? 5. Which of the items that you record overlaps with the data stored in the NZBN Register? 6. Do you ask businesses to repeat information because of overlapping processes? 7. What business systems do those processes use? 8. Which systems are most heavily involved (rank the systems)? 9. What activity is underway or planned for your business systems? 10. Does one system stand out as holding the majority of your information about businesses e.g. a Customer Relationship Management tool like Salesforce or your Finance System? 11. Which system updates would give you the best return on investment for piloting implementation? 12. Do you have online forms that businesses use to interact with you? 13. Could you integrate a business lookup to simplify completion of forms? 14. How would you consider the NZBN for any future new or upgraded systems and processes? 15. Could the NZBN be used to drive other process improvements? 16. Are there areas of business that you haven t previously been able to gather information for? Could the NZBN join these datasets together for better analysis and reporting? 17. Are there services that your business could bring to market that would use the NZBN to make life easier for other businesses? 18. Do you need any assistance identifying opportunities that the NZBN might bring or want someone to bounce ideas off? 19. Who would you need to communicate with as you go through this journey (internal stakeholders, customers, suppliers)? 20. What mechanisms or channels would you use when communicating (direct e.g. letter/ , indirect e.g. newsletters/website/social media)? 21. Are there others in your sector/industry that you could work jointly with when implementing? 22. On what documentation do you include your business GST number? 23. On what documentation do you include your supplier or customer number? nzbn.govt.nz 14

15 Useful links: What Description Link NZBN Website Data Services API Website Public Sector Intranet ArcBlue Consulting Learn more about the NZBN including case studies. Find your NZBN and log in to update your details, or register to get one. Free data services offered by the NZBN team to support your implementation. Technical information about the NZBN API and how to use it. A location for government agencies to share and leverage materials and guidance including the government directions for implementing the NZBN. ArcBlue s website for further information on their services /apis/info?name=nzbn&versio n=v3&provider=mbiecreator /guidance/nzbn/ Contact us NZBN Public Sector Jo Tarleton Joanna.Tarleton2@nzbn.govt.nz I Telephone I Mobile NZBN Private Sector Beth Williams Beth.Williams@mbie.govt.nz I Telephone I Mobile ArcBlue Consulting Dave Nellist dave.nellist@arcblue.co.nz I Mobile: nzbn.govt.nz 15