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ServiceNow + Celonis Connected Source to Pay Solution

Import · Jul 20, 2023 · video

all right Michael you ready to go get ready when you are all right sounds good well good morning everybody Welcome um to live at servers now we're going to talk about how to redefine your workflows with solanus and servicenow so um we're excited that our partner solanus is joining us for this um just a couple housekeeping things to go through here first of all obviously we may have some forward-looking statements in this content um and you know all those four looking statements um you know obviously it might be new products or new features or we might talk about something that's coming in the future we'll release um we're no under no obligation to make sure that that happens um but for the most part we'll be talking about everything that's released and so there shouldn't be too much of that um and this is part of a series right this is an interactive event series live on server cell um there'll be a link that goes into chat or you can grab this QR code to see the full schedule of all the meetups and everything that happened out on live at servicenow but we really appreciate you all being here today um we're gonna save time at the end for a q a so um definitely use the Q a feature um rather than the chat um if you have questions along the way we'll be gathering those and answer those at the end um we're also recording this presentation so we'll share it with the servicenow community as well so if you missed something you can go back and see that um and then you'll be getting a short survey at the end of this um we really appreciate your feedback we use the feedback to really Drive future sessions and to provide feedback for the speakers to make sure that the content we're providing is of the highest quality and the most relevant to our customers and our partners so thanks for joining us today again my name is John Summit I'm the global director of our uh Global director for sales for our finance and supply chain workflows so we'll get into what those are here in a little bit but I want to let Mike introduce himself as well yep hey everyone my name is Michael O'Brien I'm from solonis and I'm the servicenow solution lead for North America foreign and I think with that we can just do a quick brief um on kind of the partnership here uh where it stems from and why we came together um so servicenow is loans have been strategic technology partners with each other for a little over a year and a half now um and the story behind that was that we have the Visions who you know make the invisible visible and redefine how work flows and we do that with slowness on one hand is the intelligence layer that Services insights across your business processes so salonis for the past 10 years has been the leading process Mining and execution management platform for Enterprise business and what we specialize in is revealing hidden inefficiencies that organizations can't typically see and so while we are the layer for intelligence we also needed you know someone to be the engagement layer Drive in the automation right the actual muscle that makes workflow the way it needs to be and who better than service now right so servicenow is getting low code workflow platform actually makes the world work with better digital experiences working smarter faster and better so the Two of Us come together to really you know redefine how workflow is moving forward into the future yeah and we're excited to be here today I'm gonna let Michael continue but you know we're going to focus on source to pay today salonist and servicenow partner in many different spaces um but today we're going to focus on your source to pay process and so to get us started and to kind of frame ourselves within the source to pay kind of space we wanted to just start with some quick questions um So within the source to pay uh you know end to end process what business objectives are most important to you guys out here today we'll give it about 30 seconds and then see what answers we see okay interesting so far definitely and um for those that are um answering increased productivity if you feel like it I'd love to see in the chat just kind of for you what is productivity what where productivity where in the source to pay process are you looking to improve your productivity we'll get into some of our ideas but I'd love to hear what you're thinking and that's a pretty good segue into the next poll question actually I think because as we kind of go one level deeper right within productivity um if we jump to the next Slide John yeah sorry about that no it's all good right so when it comes to increasing productivity do any of these metrics resonate in terms of where you guys feel like you may be losing productivity or could do better and curious to see where we think prototype product productivity is being successful and maybe not as successful these days okay interesting pretty even spread so far yeah definitely it's very normal what we hear from our customers okay on time delivery taking the lead we do all like to receive our Goods on time whether in business or personal Amazon deliveries all right I think that's a pretty good start to get us understanding kind of how we're thinking about source to pay and I'll hand it back over to John who's going to take you through some recent learnings from servicenow in IDC perfect so um you know when we talk about procure to pay and you know we had IDC um do a study and we looked at like where are you know where are the challenges and procure to pay and we've got a couple different slides where we'll talk about this but you know what we really see is there's tons of fragment and procurement processes styloid data sources different parts of the procure to pay process have different data sources um there's really a poor experience for stakeholders and very low visibility into order processes and just when we look at finance and procurement they're spending a lot of time on very low value tasks they're answering a lot of emails on status updates they're taking a lot of phone calls on how do I do this or status updates and there's really not a lot of work being done on really increasing spend under management they're really focused on a lot of admin type off and a lot of just updates and not really focused on um increasing spend under management and when we look at that work is broken and it's really broken in a number of different places it's certainly broken for people there's departmental silos everyone's being asked to do more with less when we look at the processes and that's where solonus comes into this we really look at the process and there's laws and regulations we have to have there's geopolitical complexity um the process is just broken and then when we look at technology there's siled systems every department has their own system and quite frankly when we really look at how work gets done a lot of times it's in Excel a lot of times it's in SharePoint um or that favorite email tool or the favorite process tool of everybody which is email and so how do we really fix this broken inefficient work and that's really what we're going to get into today when we look at our source to pay so we're really going to start talking about trans transforming source to pay with digital workflows and before we get into that we have one more poll question we wanted to get into and so what we want to know is how many underlying systems and solutions are you using today to support your sourcing procurement accounts payable supplier management I mean if you think about it you have Erp systems you have OCR systems you probably have one or two BPO tools analytics RPA and exactly what we're seeing on some of the answers coming through um we're seeing that many of you have four and greater systems um we'll just give it another minute or another couple seconds here before we end the poll but very very common in what we see across our customers okay we can go ahead and end that and I'll show the results real quick sorry about that um but you know as you see this everybody answered four or more systems um so what let's go and take a look at that um sorry about that let me move through here okay so what we're hearing our customers say is exactly what we just shared through the poll questions and teams are really struggling to do work and back to that IDC study we found that forty percent seven percent of the work that's being done by um finance and procurement is really non-standard inquiries issues and other requests they're spending their time doing admin work they're really trying to Cobble together all these siled systems they're doing you know what we would call Global chair work working in one system then going you know that three or four monitors they're going back and forth between all those monitors and there's just really a poor experience for end users and there's just mountains of work to onboard and onboard suppliers and to really make the process of source to pay happen and so what we're doing in servicenow with the help of Salon is looking at your processes we're really coming up with a single engagement layer so if you look at your source to pay from beginning to end and all those underlying systems we're providing a single engagement layer so whether you're talking about sourcing Contracting you're onboarding your suppliers you're trying to manage the ESG and risk of your suppliers you're looking at your order management you're looking at how you receive Goods you look at how you how you go through and receive invoices and pay those invoices all that process is done with a single engagement layer with servicenow and our source to pay operations product and so what I wanted to do is just kind of level set everybody on when we're talking to source to pay what are we talking about what does this look like and you know what is servicenow bringing to the table so when we look at source to pay we have three distinct products in our source to pay um products that we have procurement and um source and procurement operations supplier life cycle operations and accounts payable operations and so those three products are represented across the slide here and if you look we at the center of the slide we have uh the bigger bubbles that are representing the personas that are involved in those processes whether they're employees or procurement managers suppliers supplier managers vendor managers um and then also when we get to the payment side the employees or suppliers as well and you look at all at the bottom all those bullets are the different types of work that get done across the source of payment life cycle and the smaller bubbles across the top those are different parts of our platform that we can leverage whether they're portals or the shopping Hub or the workspaces that are specifically designed for those person personas across across the um Source the pay process we're bringing the right information in a way that can be actionable and then bringing standardization across the process from beginning to end so that then we can automate that process and we can use information from solonis to really understand where the gaps and the inefficiencies are in that process and then we have the ability to surface the right information and then automate the process where it makes sense so if you think about it um if we can tie all those systems together whether it's your sourcing system your Erp system your contract management system your accounts payable system and all the work that you have out there in different catalogs and in places where you maybe have different SharePoint forms and different requests we're going to pull all that together and provide one single engagement layer um for the source to pay process beginning to end so with that I'm going to hand it over to Michael and we're going to take a look at another poll question yep so this is the last poll question I promise but um it I think it all come together so you know John just walked me through all the different kind of systems sub processes and personas involved in source to pay and so the question ultimately becomes like you know how confident are you and if you were able to if you were asked to describe your current workflow for any of these core processes today do you think you can you know read it like the back of your hand do you think there's maybe some some things you might miss or is it so you know just misconstrued across multiple systems that you wouldn't be able to confidently describe it all right we have some answers rolling in we're at a tie for one and one hopefully you can see if someone can break somebody needs to break a tie exactly all right yeah well don't want to be hung up on this one too long right we had a yes I didn't know but I think ultimately is that at least in my experience and with Sloan's experience over the past 10 years looking at these processes there isn't necessarily always a right answer what we do know is that processes don't always run the way we expect them to and you can kind of really break that down into three main ideas that we've represented here going left to right so at a certain point in time the process was designed and in that design it was kind of it was the ideal flow it's what you might call the happy path you know it was steps one through five and this is how you do something as we all know businesses and and groups and industries regulations evolve over time and so everyone's business has to adjust to it and maybe there are some new kind of Pathways some different requirements for a process and so the business thinks that the process runs how you see in the middle section here where it's still relatively straightforward uh with some exceptions here and there however if you take if you look over to the right how the process actually runs and this is you know this is actually a real screenshot from the salonist platform this is how all of our customers processes end up looking at the end of the day um you know the the bigger the company the bigger the Enterprise the more customers they support the more of a spaghetti diagram you're going to see here um and the only you know and not the only way but we think that the most effective way here at slums in service now is that if you really want to modernize and improve the experience of of your processes and your workflow you have to bring a magnifying glass to your processes to truly understand where work is broken so you know how to prescriptively fix it and so that's what we want to represent here is that within source to pay there's going to be a lot of things and variants that you may not be aware of but we're here to shine a light on that and so what I wanted to show next was a bit of a variation of the slide that John showed you before right if you recall the servicenow source the source to pay platform is going to be able to uh you know facilitate your work and improve your experience everything from source to pay all the way on the right hand side and John also showed you that they have the ability to integrate with all of those transactional systems that you're probably using right I think we had the everybody was saying four plus systems to support their processes what I also wanted to add here was that when you combine the service now source to play platform with the salonis EMS platform you're able to take process intelligence that solonis picks up on across your transactional systems and feed them into the servicenow platform but the idea being that now that you know prescriptively where your process breaks down you can more accurately deploy and Leverage The Great capabilities of servicenow's STP product within your Enterprise so we're really just trying to bring again that magnifying glass so that you can get the most out of out of these great products and so that was a bit of an architecture right a pretty high level I want to just take a moment to talk about what is the methodology look like okay like that all sounds great but how do you actually put this into practice and what slowness and service now came together on was the you know I'll call it a catchphrase it's a bit of a slogan it's it's fine frame and fix and the idea is that with salonis being able to x-ray all of your business processes you can really confidently and objectively find inefficiencies and then frame the value of the impact they're having on your business processes once you have that business case which is completely data driven by solonis you can now say okay how do I actually want to fix the problems I've identified and so that's where we come together with servicenow to say hey you guys have all the great tools capabilities workflows portals you know the list goes on and on to actually fix the laundry list of problems that we've identified with salonis and when we think about fixing we typically think about it in three high level categories there's modernizing there's remediating and there's enriching and I'll just briefly touch on what those what those mean so the idea with modernizing is that salonis has looked at your process and you know you as a process Improvement team as a company have decided that you know the underlying systems that currently support our process have really not evolved or got come up to speed with what we need to do or how to support our operate our business today and so rather than trying to make little fixes here and there we we would benefit more from just kind of strategically re-platforming our process on to servicenow and so the idea there is that you would really want to take almost all of the products and features of the servicenow source to pay platform and have that uh control your your process right so you're pretty much taking all those all old four systems and saying I'm just going to do this all in service now that's one way the other idea is remediating and remediating is that even if you do say strategically re-platform everything onto servicenow again like we said before businesses processes regulations environments customer bases will continue to evolve and so your business will have to react to that and so when you have salonis looking over your business processes and our data models are able to pick up on everything that happens in real time we're able to identify undesired business scenarios that you would like to or you would ultimately want to remediate and you know the old way of remediating remediating issues would be you'd have to wait for that problem to present itself and sometimes that wasn't always the fastest way of doing things right sometimes things go unnoticed and it's not until days later that it's like you're like oh shoot this is something that we should have been on top of well now with solonus you can have slowness to eat the monitoring for you and automatically trigger a case so workflow or communication and service now to an end user so that they can address it more proactively so the idea of remediating is that slowness is pushing those situations those scenarios to servicenow so that as the layer of Engagement they're prompting and helping users address things more quickly lastly we have the idea of enriching and the idea is here is that we know that a lot of people already use servicenow as their day-to-day operational tool wouldn't it be great if they if we could also embed process intelligence from solonis into those operational views that you're already using on the servicenow platform and so kind of opposite of the way where Sloan's was pushing situations into servicenow and data into service now this is now about servicenow querying solonis so that it can fetch the relevant um process intelligence and context that users would benefit from and so that was a quick summary of the different ways that you know we find frame fixed but ultimately what it comes down to at the end of the day is that we're able to measure that impact continuously and we have this what we call a value lab so it's not just a one-time project but you're able to do this um over and over again and your business your business runs as optimally as possible now trying to go again one level deeper right so we did an architecture we talked about a methodology how do you actually kind of you know work on this boots on the ground might be your next question and within source to pay we take a very prescriptive approach not approach not only to this process but any process that we you know that we partner on and so what uh servicenow and slowness look at together is that we know that there's a happy path for a process right for a source to pay it could be generalized from you create the purchase request all the way through you clear that invoice and you make payment but that process is really underpinned by business objectives and those objectives are measured by metrics and those metrics are either driven in the right direction or in the wrong direction by specific opportunities and so we know that source to pay and all kind of digital transformation process Improvement projects are really business driven at the core and so what we come to do with our customers is say if you want to focus on labor productivity which I think our first poll highlighted today all the way or any other topic from Supply reliability or you want to optimize working capital right these are all supported by key metrics that you're all familiar with that you probably see here and then even one layer deeper those key metrics are supported by or driven by I should say by certain opportunities whether it's automation whether it's delivery changes whether it's invoicing terms ultimately what we want to get to here is that because solonis is able to look at your processes at a very granular level we're able to work bottoms up here so that we can help you drive that labor productivity to a better place or maybe that work in capital optimization to a better place and we do that by saying hey servicenow we know exactly what's going wrong on your processes we know you guys have the tools to help make it better faster stronger let's work on it prescriptively so that's what we use here when it comes to uh you know again architecture methodology and actual approach I'll hand it back over to John here who's going to take you a little more in depth on some of those fixing capabilities that servicenow provides thanks Michael that was amazing and you know when we talk about digital transformation it's a great buzzword and everybody wants to have digital transformation but look I've been here at servers now for 12 years and what I see a lot of times is people take an old broken process and move it to servicenow a really great Innovative tool and you have a bad process on a great tool and so you still end up with not a great user experience you don't end up driving the metrics in the way that you want to drive them so what solonis allows us to do is to really look at that process before we start implementing servers Now understand where those gaps and inefficiencies are understand where we can use servicenow to change our work and to move levers to really change these metrics that we're looking at so in particularly to Source the pay we're going to talk about our source to pay operations and we're really going to talk about how does servicenow Drive um source to pay to manage our employer Quest manage our suppliers and manage our payments so when we look at managing our employees request we're going to really talk about procurement operations and that's going to provide us a single entry point for making purchases it's going to allow us to automate intake and to have intelligent routing and really get that increase to our spend under management because we know when we manage our spend that we're the sourcing and procurement is able to save our company 20 30 percent uh on the dollar and so how do we really increase that spend under management how do we get to 80 to 90 percent of our total spend being spent it's under management and really how do we just increase efficiency across our procurement and sourcing operations along with that how do we manage our suppliers how do we manage the full life cycle of our suppliers how do we bring them on how do we manage them throughout the life how do we communicate back and forth with our suppliers how do we increase the efficiency with our suppliers and how do we increase our efficiency of our vendor managers and how do I really manage suppliers for risk ESG and other key metrics that I really want to manage my suppliers for and then once we actually manage our sourcing and we manage our suppliers how do I really ensure that I'm managing the accounts payable process how do I make that as automated and streamlined as possible possible how do I reduce errors how do I reduce fraud and how do I increase efficiency in my accounts payable and so that's what we're really going to look at as we dive into servicenow source to pay operations so let's just look at procurement operations for a minute and we're really going to talk about this idea of a single entry point many of our organizations already use servicenow the single entry point for it for employee workflows for cut for their customers coming in and external um entities into servicenow or into the organization but procurement they're really left um procurement of Finance is really left with kind of archaic ways people interface with Google forms or they're doing a SharePoint form or that great efficiency tool of email and so there's no standard way on how to request um uh services from procurement and sourcing and there's really no workflow behind those requests maybe there's a form that I fill out but at the end of the day it just generates an email that goes into an email box um one of the organizations we worked worked with a large Aerospace manufacturer had over a thousand inboxes for sourcing where people when they needed to Source something would send an email to one of those thousand inboxes think about just the sheer magnitude of managing over a thousand inboxes the emails that are coming into that how does an organization do that how do they have visibility to that and so that's really what we're trying to do with particular German operations first and foremost is that single entry point people can come in and request to purchase something whether that's something as simple as I need a laptop or I need a microphone or something out of a catalog or whether that's something much more complex where I need some type of a service whether that's a marketing service or maybe I need a very um I need contingent labor however I'm going to go and request services and goods from my sourcing Department I want to have one way that I do that um and when they get in there they're going to be made up of dynamic forms and workflows so I'm not just going to only facilitate the request but then I want to have based on category or whatever criteria that you're selecting that I route that to the right person I am able to get the information up front in a very easy to understand way we all shop every day on Amazon on um you know bestbuy.com or wherever we go out and buy Goods in a in our personal life we're able to do that today or even if I need a service I'm able to go out and request a taxi on Uber in a very um modern way how come when I go to work I'm sending an email and hoping that somebody gets it and it gets to the right person and three or four weeks later I find out you know hey this is in process and what that tends to do is it tends to drive people to find their own ways and they go and they're out really doing their own procurement work bringing bids back to sourcing and saying hey hey I have these three bids I need to make this purchase so what we really want to be able to do is allow sourcing and procurement to do their work and do it in a very easy way and have a single way for our employees across the organization to interface with them and then when that work comes in we have a procurement workspace where finance and procurement can really see their work category managers can understand all the requests that they have to do we can prioritize those we can communicate back with the employees they can see all their work that's out there in one common workspace and kind of see what's happening so that's really what procurement operations is doing and to dive down a little bit deeper into that we have this idea of guided buying so for years sourcing tools have been out there they provide a guided buying process but it's really we design more for the procurement professional and less for the end user and specifically even if I do have a sourcing tool that has a guided buying process my end users aren't used to going into that tool they do that once in a while so what we're able to do is lay on top of that process and provide a very Amazon like process through shopping Hub provide a consumer grade experience for person purchasing like I said either single items or multi-complex um workflows to look at hey how do I do it complex Services project or something like that um so that's what shopping Hub does obviously we want our end users to sell Service as much as possible so we provide case and Knowledge Management just the same as we do in it or employee or customer today for finance we're allowing them to provide case and Knowledge Management and allow individuals to self-service as much as possible and then enhance visibility as these requests come in we'll really be able we're able to deliver insights on spending and performance and really start to look at the process we started with process transformation with the data that Salon has provided us we continue to get data from solanus on the process where that's at with the enrichment and then servicenow is able to put all that into a dashboard and be able to drive insights on spend and Performance Management so that's sourcing and procurement operations I want to dive a little bit into what supplier operations is and again it's this idea of a single entry point where suppliers can come in and have a single entry point they can go and view their we can onboard them they can view the statuses they have the ability to procure to communicate with the procurement team I work in sales and service now every day I'm dealing with the procurement teams of our organizations and nine times out of ten I'm doing that via a phone call or an email it'd be great if I had a portal to go into and could communicate with them through that portal I could understand where my status or where my request was at what the status of that was at and procurement could task me with if they need more information they need a pricing update or whatever they can send that to me I get it in an automated fashion I get it on my mobile device I really understand how to enter interact with our organizations so that's the supplier portal there's a supplier management workspace for vendor managers and supplier managers that they again can see all their work they can see the suppliers that they're dealing with and and if they're where things are at and they can communicate effectively back and I also have a supplier portal profile and I can see the analytics of a given supplier and I can see the cases that get open against us acquirer I can see the risk I can see the ESG metrics so all that I have in one place in my supplier operations portal and then accounts payable once we get the good or service into the organization we consume that we have a Goods receipt how do I know that I should really go and pay that invoice or how do I know that it's a valid invoice that I should pay is it somebody that's sending me an invoice that's not correct or is it really a valid invoice and so through accounts payable operations we have the ability to automate invoice processing through our OCR solution but it's a AI driven OCR solution we're using our document intelligence so that we can get 85 to 90 percent of the invoices that come in automated and we can pull that information into the system and we can fill out um match that with a Goods receipt match it with a purchase order ensure that everything is there and we can automate the pro the payment processing and send that directly to me my Erp system again Finance requests I have one place where people can go check the status um they can confirm their goods receipt we can automate the processing of all that and have one place that employees interact with finance and then again an accounts payable workspace so the AP team can have one place to look at all their requests understand the progress of those and I can prioritize those and I can ensure that we're getting the discounts that we deserve to get because the approvals are going through a very visible process and we're automating the work and we're doing that in a fashion that makes sense and is based on my discounts and where approvals can be so again all three of those come together and Source same determine operations supplier life cycle operations and accounts payable operations to bring one consistent source-to-pay solution from beginning to end and we have customers that have lowered their spend and improved their procurement in weeks and not years when we look at this first of all we're not saying you need to change any of your underlying transaction systems whether you have an Erp system or a sourcing system and say you're running a Reba on top of sap we're not saying you have to rip and replace all those systems that you have investment in we're saying that we can come in and lay on top of those systems and we can drive that engagement layer and drive those processes with the map that salonis provides us and provide change in weeks not years so if you look here's a couple examples out there there's a global sports apparel apparel company where using salon they've been able to look at some of their procurement processes and then we've been able to come in and provide an automated shopping experience to their employees and so they're estimating over a billion dollars in savings just because they're able to increase spend under management and they're able to streamline how their employees request goods or services and it's going through procurement and increasing spend under management rather than just a bunch of off catalog purchases that are happening happening out there on credit on P cards and other places and so they're estimating over a billion dollars in savings by fiscal year 2025. and I mentioned that leading Aerospace manufacturer they're thinking this is their number they're expecting over a 300 percent increased Roi using a global standard supplier workflow platform so now I'm taking that work out of all these inboxes and my communication with my suppliers are going through one supplier portal I can automate all that work and they I can make them unseen visible so with the use of slowness and servicenow our customers are seeing this spend and production or they're spending cost reduction immediately so I want to say some time for questions definitely um toss those out in the Q a I think we have Jennifer watching that Jennifer are there any questions that we can answer yeah we've got a couple of questions in the queue right now and Michael I think you were prepared to address them so would you go ahead and uh take on that challenge for us yeah happy to so uh Jordan came in with a pretty good question and uh so he seems to work for a consulting firm and they want to think about slows and servicenow offerings which is great and as John and I can both tell you you know we heavily rely on our SI Community to help get these connected Solutions out in out in the field um and so I think uh Jordan's question is around um kind of how does the new salonist uh pricing model um kind of impact this partnership how does it impact the connected solution um and the question was specific to itsm but I'm just going to answer it at a more kind of just higher level so uh solonus has moved from a consumption to process-based uh licensing model and we actually found that this benefits our technology partnership specifically with servicenow um more so than the uh then the consumption model did specifically specifically because as you know the way that servicenows products work you have there's an itsm module there's an s2p module there's an HR module right and now it's a little bit easier to say okay if I'm going to do s to P I know I have my servicenow source to pay module and I know that I need to buy the slowness STP or procurement and AP uh process licenses so really we see that it's more aligned um with this new pricing mechanism but hopefully that was a good first pass answer and I'm happy to follow up offline to go into more specific details any other questions out there Jenny I didn't see any others I'm not seeing any others either at the moment all right well we appreciate everybody joining us today and really um being open to this idea of redesigning your source to pay process using solanus and servicenow again salonis provides that x-ray into that process you can really understand the gaps and inefficiencies in your process and servicenow provides that fix using our source to pay operations modules we have the ability to change how you do your work and digitally transform your source to pay operations from sourcing all the way through to accounts payable and we do that with the help of solonis we're able to see those gaps and inefficiencies and then we'll be able to really Drive true digital transformation rather than taking a poor process and putting it on a really new and Innovative platform so I appreciate solonuses um being here today with us and sharing how they can map those processes and we appreciate everybody joining us if you have any questions feel free to reach out to myself um or Michael solanus and we look forward to seeing you on that and future live at servicenow sessions thank you for joining us today thanks everyone

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