NETWORKING EVENTS. The SIG Webinar will begin shortly. Once the webinar begins, the sound will come from your computer speakers.

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1 The SIG Webinar will begin shortly. Once the webinar begins, the sound will come from your computer speakers. In the meantime, please take a look at the upcoming SIG networking events listed on the right side of your screen and plan to join us if you are in one of these cities this fall. NETWORKING EVENTS GLOBAL SUMMITS Oct Carlsbad, CA SYMPOSIUMS Sep 13 SF Bay Area, CA Sep 29 New York, NY Oct 4 Toronto, CAN Nov 9 London, UK REGIONAL ROUNDTABLES Sep 27 Cincinnati, OH Nov 3 Pittsburgh, PA For more information and to register for all SIG events:

2 Networking and sharing thought leadership are part of SIG membership Global Summits attend two large events with 50+ breakouts, 5-8 keynotes and unlimited networking Stay connected with other SIG members through various social media bit.ly/siglinkedin opportunities Global events in North America, EMEA, APAC attend SIGnature events, GBS Roadmap series, Challenge awards Weekly Webinars and Monthly Town Hall Teleconferences access virtual thought leadership Peer2Peer Resource ask top-of-mind questions for instant responses bit.ly/sigblog bit.ly/sigyoutube bit.ly/sigfacebook SIG Resource Center access 4,000+ presentations, research, whitepapers, tools, templates and more Career Network post and find jobs or internships Student Talent Outreach meet students interested in a career in supply chain, sourcing or services

3 SIG Global Summits are semi-annual events with decision-makers in attendance Carlsbad, CA October 18-20, 2016 Global Summits 67% of delegates are director level or above, of which 43% are VP/C-level 3-days of networking in a non-commercial environment 5 keynote sessions Global brands CPO Roundtables Over 50 breakout sessions Hundreds of industry thought leaders with a buy-side ratio of 70:30 Recent speakers include:

4 We are bringing SIG to you all over the globe GLOBAL EVENTS GLOBAL SYMPOSIUMS Oct 4 Toronto, Canada Nov 9 London, England GBS ROADMAP SERIES Nov Copenhagen, Denmark CHALLENGE THE FUTURE AWARDS PROGRAM Feb 2-3 London, England

5 Online learning environment with multiple elearning options: Virtual Classroom, Self-Paced and Custom Solutions Sourcing and Governance certifications with Professional and Executive level courses Modules with lessons, formative assessments, summative testing and final proctored exam Certification good for 5 years Early enrollment options that can save you up to 25% Certified Sourcing Professional starting September 19, 2016! Certified Governance Professional starting October 24, 2016! For more information go to:

6 6 Unexpected Benefits from your P2P Transformation

7 Speakers Corey Roberts P2P Project Director CACI Gary Malhotra Head Product Marketing Ivalua Inc.

8 About Ivalua Proven Proven consistent delivery of Value Beyond Savings; responsive partner focused on helping you achieve a competitive advantage 2015 Sourcing Leader & 2016 P2P Visionary in Gartner MQ Innovative Single application for the broadest impact that includes organization-wide Indirect, Direct, Services Procurement, Complex Spend, Project Management, Assets & Tooling, Bill of Materials, Expenses and Business Intelligence Strong out-of-the-box functionality for Source-to-Pay, Dynamic Discounting, Supplier Information, Risk, Performance and Improvement Management, Spend Analytics and Data Enrichment Simpler Modern, Easy-to-use, Internet and Mobile user interface Nothing is Impossible Workflow; Unbelievable Configurability 1 Organic Application $500 B Spend Managed 250 Customers 98% Customer Retention

9 What does Procurement Value Creation mean? REALIZE SAVINGS HIGH ADOPTION IMPROVE CONTROL INCREASE EFFICIENCY SIMPLIFY COMPLEXITY LOWER RISK GREATER AGILITY ENABLE INNOVATION

10 Agenda for Discussion P2P Challenges & Program Scope P2P Technology Selection 6 Expected Benefits Realized 6 Unexpected Benefits Realized Lessons Learned Q&A

11 P2P Challenges and Goals P2P Challenges Disjointed piped systems for PR, PO, Invoicing and Payment; users forced to login to multiple systems ERP system not meeting Procurement process needs; and Difficult to manage relational Source-to-Pay data across different systems P2P Program Goals Streamline procurement and accounting processes to be more efficient; Provide the organization visibility throughout the P2P process; and Provide for the electronic retention of all required documents for audit purposes.

12 P2P System Selection Considerations Unique, broad and comprehensive suite on a single, organic code base for Source-to-Pay Supplier Information and Risk Management Services Procurement Spend Analysis Expenses Good Out-of-the box functionality to meet out needs High Configurability did not want rigid as a service system Modern, Familiar Consumer Internet user interface Handles complex Workflows easily Robust, Native, Single Integration Toolbox Nimble, Responsive partner focused on our Success

13 Phased Roll-Out Phase 1 - SRM Phase 2 P2PO Phase 3 P2P Phase 4 S2C

14 6 Expected Benefits Realized 1. End-to-End Visibility Track spend across S2P i.e. whether its in pipeline or committed or incurred Forecast spend accurately Optimize spend decisions based on Contract and PO commitments, payments and pending Invoices Accurate Visibility into $1.5B of annual spend; 85% is direct charge 40K suppliers available 35K PRs, 25K POs, 700 Contracts, 200K invoices % Current, Accessible, Data Validation and cross-reference rules; duplicate detection Warnings and blocking alerts reduce human error Automatic propagation of data & task creation against pre-defined workflows Reduction in errors and corrective journal entries due to upfront validation

15 6 Expected Benefits Realized contd. 3. More efficient processes for Procurement and Accounting Time savings by users, buyers and suppliers on what is the status, where is the info type communications Significant reduction in P2P cycle time Reduction in PR, PO, and invoice processing costs More than $500K in annual savings Enables growth without needing to proportionately scale staff Largest acquisition to date without having to increase AP staff Ability to manage by exception not by election

16 6 Expected Benefits Realized contd. 4. Improved Purchasing Compliance and Collaboration Contract and Invoice Compliance Reduction in maverick buys: 95% compliance Automatic invoice reconciliation with POs, Goods Receipts, & Contracts which allows identified savings to be captured 1. 85% suppliers submitting invoices 2. 95% accuracy Overpayment Elimination and Fraud Reduction which prevents payments to unknown suppliers or for missing goods: 100% compliance Buyer- Stakeholder-Supplier-Sub-contractor Collaboration Increased Collaboration capability through online messaging, file sharing True Workflow-based project management True 360-degree Supplier view via performance tracking: 95% compliance

17 6 Expected Benefits Realized contd. 5. Lower Operating Costs Minimized Costs by retiring outdated legacy systems and databases 30% reduction in costs Reduction in hard-copy storage and retrieval cost 20% reduction in costs initially, more than 50% over time Accounts Payable and Procurement to be 100% paperless 6. Expected Sourcing Benefits Easy Sourcing Opportunity Identification since all of the data is readily available for spend analysis 30% identified Savings via sourcing projects and events 95% of spend addressed through sourcing process and formal agreements

18 6 Unexpected Benefits Realized 1. Got a solution for Total Sub-contract and Purchase Order management From low-dollar POs to multi-million dollar contracts

19 6 Unexpected Benefits Realized contd. 2. Faster revenue recognition Automatic loading of supplier invoices into financial ERP with correct fiscal year and period Booking revenue while adhering to payment terms Has allowed for one-day close and accrual ability Reduce invoice cycle time invoice visibility is immediate Account for cost in the pipeline All invoices are centralized within the application Automatic alerts and escalation to management for unapproved invoices

20 6 Unexpected Benefits Realized contd. 3. Improved Compliance to Policies and Regulations Online Portal for Supplier Information Management, Updates, Certificate submission Allows a supplier to submit what is needed, when needed and alerts buyers when a requirement is done or missing Forced compliance with insurance and regulatory compliance as the system can prevent orders until requirements are met Effective audit trail Got the ability to enforce rules to support compliance with: Government Audits Financial audits Sarbanes-Oxley Compliance Small Business Administration (SBA)

21 6. Unexpected Benefits Realized 4. Relational data available from within any record, anywhere, anytime Co-relate and Track Relational Spend, Supplier and Financial data One-click access to RFX, Contract, PR, PO, Receipt, Invoice Examples Activity, such as POs can be seen on a supplier record Requisitions are accessible from the PO Purchase Order is accessible from the invoice Master agreements are linked to Purchase Orders Procurement objects are a click away from within a record

22 6 Unexpected Benefits Realized contd. 5. High Adoption High Employee Adoption All have access, 2,000 employees working in the system 100% employee adoption upon go-live Employees appreciate having everything in one place and knowing that suppliers are operating within the application Intuitive to use for ALL users- analysts, configurators, administrators, category managers- not just Requestors Great Supplier Adoption Ease of Use of the system Multiple ways for suppliers to connect No Supplier Fees that comes with a 3 rd party business network Supplier delight - see Awards, Contracts, POs, Invoice and Payment status in a single place 70-90% Supplier enablement within sprint phases with limited effort

23 Supplier Enablement at CACI Supplier Enablement Results Over 40,000 available suppliers - 6,000 in receipt of Contracts and/or POs 95% of suppliers accepting contracts and POs on the Supplier Portal Suppliers gaining visibility into contract, transaction and invoice status Overall Approach Big Bang : Target all suppliers regardless of spend Use Ivalua standard transaction fields, as well as configure new ones Repeated supplier communication Multiple s, POCs provided Deploy different processes in phases, as described below Phase 1: Purchase Orders and Contracts (August 2015) s letting suppliers know that to do business with CACI, they must be registered on the Supplier Portal s used to deliver purchase orders - let suppliers know they had an order to accept in the system, which led to quick adoption Phase 2: einvoicing (December 2015) Invoicing: 70% electronic adoption within 2-3 months, 85% within 6 months Phase 3: Sourcing (December 2016) Sourcing process, local catalogs and Punch-outs

24 6 Unexpected Benefits Realized contd. 6. Easier, Cheaper, Simpler IT management All-in-one system from sourcing through to invoicing Eliminate cost of maintaining separate legacy systems and databases Utilizes information from financial ERP system does not replace it Reliable, secure Ivalua P2P system Full control over choice and timing of innovation updates from Ivalua (never forced to upgrade) Majority of configurations done by business users and not IT Low Help Desk requests or calls due to Ease of Use Responsive partner- resolves change requests and support issues quickly

25 Lessons Learned Deploy in logical order Sourcing would be best deployed earlier, after SRM Systems integrator is paramount to success Integrating big data and applying associated rules Business process mapping and documentation What do you do today and how will it be done in the future Document use cases Project plan Ensure it comprehensive and realistic Allow time for testing, training, and communication Be prepared to play by your own rules Legacy systems allowed leeway new application enforces do what you say you do Maintain civility and respect Passions can be strong amongst stakeholders know when to take a time out

26 Clients are realizing Value well beyond Savings REALIZE SAVINGS HIGH ADOPTION IMPROVE CONTROL INCREASE EFFICIENCY $800 M savings/year 28% Auction savings 30% lower costs 3% P&L impact 100% User adoption 80% of POs electronic 95% suppliers enabled 85% electronic Invoice 95% spend managed 71% on-contract 70% spend on PO 95% Invoice accuracy 60% of POs electronic PO cycle: 5 hours 95% Invoices on-time P2P cycle: 11 hours SIMPLIFY COMPLEXITY LOWER RISK GREATER AGILITY ENABLE INNOVATION 70K+ contracts 300K items in 3 tier supply chain 69K vendors, 135 plants 95% Services spend is E-procured 20,000 Audits/ year 63% contracts online 80% on-time delivery KPIs for 60% suppliers 3,000 vendor evals in 150 sites 43 days contract cycle Central DB in < 3 months 7-12% greater savings than competition 2,000 Action plans/ year 1,000 productivity plans/ year *Facts across multiple Ivalua Client implementations

27 Q&A and Wrap-up Thank You! Corey Roberts P2P Project Director CACI Gary Malhotra Head Product Marketing Ivalua Inc.