Intel is Moving to the Ariba Network Topic What is Ariba What does this mean for me (Supplier View) Procurement Paths Overview Description • Why Intel is moving to the Ariba Network • Description of what changes are coming for doing business with Intel • Different Procurement paths available on the Ariba network Procurement Path Details • Understanding how each of these procurement paths work Intel Confidential – Internal use only 2 The Ariba Network What it is New standard platform to improve and streamline Intel’s procurement and invoice collaboration between Intel and our suppliers. Why it’s Important • Key benefits to your company: • Receive electronic notifications for PO’s and other documents • Removes the need for order confirmation via phone/email • Enable catalogs • Reduce paper invoices and administrative overhead • Online visibility into your Intel transactions • Simple to use • There are no fees for you to transact with Intel on the Ariba Network • Replaces Intel’s WebSuite for new PO’s: • New platform is available now to those suppliers who have completed registration and account setup • More information can be found Supplier.Intel.com • WebSuite will EoL when all functions are supported on the Ariba Network and all suppliers have been transitioned Intel Confidential – Internal use only What does this mean for me? A supplier view of Ariba Expectations Level of Effort • There will likely be a change to the current PO / Invoice processes as Intel will now execute these via the Ariba Network • For partners already familiar with the Ariba Network, the change will be easier • New functionalities will be deployed such as Service PO’s, Invoice against contract (No PO’s, supplier just invoices in system against line items) • Ariba Network ID’s (ANID’s) will need to be created and tied to your current supplier ID • Documentation and step-by-step instructions for all of these events will be provided if a contract is signed Cost New Purchasin g / Invoicing Paths • Intel will be covering all transaction costs – therefore there is no system cost burdened put on suppliers for Intel transactions • Ariba suppliers have seen 62% decrease in late payments, 15% reduction in customer retention, 30% growth in existing customer accounts, 64% reduction in manual intervention, 60% average reduction in operating costs (2018 Ariba Data) • There are several new capabilities brought by Ariba technologies that Intel is excited about – all designed to provide flexibility for the Supplier and Intel • Each of them is described in detail in this deck – all executed through the Ariba portal Intel Confidential – Internal use only What does this mean for me? A supplier view of Ariba Expectations Timing • Intel is rolling out these capabilities regionally across the globe, as a result, suppliers in some areas may have to straddle both of our Procurement tools (Websuite & Ariba) • This is an unfortunate result of the ever changing and dynamic business that Intel strives to be – we have taken great pains to provide incredibly detailed information to help manage this process for our contracted suppliers Potential for Integratio n • Similar to all companies, Intel prefers to integrate with suppliers directly