1. How Fortune 500s Generate Millions with ReadSoft and Dynamic Discounting

2. 1 32 INTRODUCTION MARKET CHALLENGES CASE STUDIES 4 KEY TAKEAWAYS 5 Q & A Agenda 3. DAWNETTE BLAKE Treasury Manager Agilent Technologies JOE HYLAND Chief Marketing Oicer Taulia Chief Product Oicer Taulia MAEX AMENT Who Are We? 4. Who is Taulia? CONNECTIONS Taulia connects over 50 Fortune 500 & Global 2000 corporations with their supply chains through hundreds of thousands of active buyer-supplier connections Suppliers can see approval statuses of their invoices and opt-in for immediate payment of any or all approved invoices for a discount TRANSPARENCY The early payment can be funded by the corporation itself or by a financial institution, leveraging the low cost of credit of the corporation FINANCING BENEFITS: Multi-Millions Savings in Early Payment Discounts Improved Supplier Relationships Terms Extension without Negative Impact on Supplier Finances Improved Capture on Existing Discounts through Sliding Scale Mechanism Complete P2P Platform 5. Worlds Best Brands Choose Taulia 6. NETWORK Taulias P2P platform connects networked buyers and suppliers to maximize program success P2PPLATFORM Taulia offers eInvoicing, supplier self-services, vendor master capabilities and supplier financing to provide a comprehensive toolkit that meets the needs of the entire supply chain SUPPLIERFINANCE Taulia combines Dynamic Discounting, Supply Chain Finance and Enhanced Discounting to offer flexible financing and turn every invoice into a savings opportunity EASYINTEGRATION Full product suite integrated out of the box into ReadSoft and your ERP What Does Taulia Offer? 7. ReadSoft clients use different modules, but here are the typical scenarios we see: The Typical ReadSoft User Unique Environments Using OCR, but missing opportunity to completed automate invoicing process Enjoying fewer inquiries for unpaid invoices, but are still contacted and asked when will you pay me? Benefitting from reduced approval cycles, but maintaining same payment cycles 8. Your Likely Current State but do your suppliers have this same visibility? And are you missing an opportunity to add millions to your bottom line? 01 02 03 You have ReadSoft Invoice Cockpit You have automated workflow and/or OCR You have (internal) visibility and an improved invoice cycle 9. Theres a Fundamential Inefciency in the Financial Supply Chain BuyersHaveExcessCash U.S.Non-FinancialCompaniesCash&LiquidAssets LowReturnonCash U.S.InterestRate10-YearTreasuryRate ($ in tn) 0% 2% 4% 6% 8% 10% 1990 1995 2000 2005 2010 $0.0 $0.5 $1.0 $1.5 $2.0 1990 1995 2000 2005 2010 Current Landscape Challenges 10. 33% 1 to 30 DAYS 6% 0 DAYS 50% 31 to 60 DAYS 11% 61 + DAYS *American Express Small Business Monitor. Polled 500 Canadian Business Owners. September 2012 Average Time Suppliers Wait to Be Paid 11. Suppliers Face a Financing Gap and Predatory Costs of Capital Traditional Supplier Finance Only Serves the Largest Suppliers Banks Continue to Enforce Strict Lending Requirements Long-tail Suppliers Limited to Factoring, P- cards and Other Expensive Forms of Finance Suppliers Have No Access to Financing 12. SUPPLIER Invoices Customer BUYER Approves Invoice on Day 5 BANK Invoice-Net 60 Buyer Earns 0.75% APR until Due Date Suppliers Borrow at 20+% APR 1. 2. 3. Banks Benefit from the Inefficiency 13. Forget the Cliff. Maximize Discount Capture 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0% 0 10 Days 20 Days 30 Days $ 2% 10 Net 30 Hit-or-Miss Discount 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% 0% 0 10 Days 20 Days 30 Days $ $ Sliding Scale Discount Antiquated Discounting Dynamic Discounting 14. No visibility into the invoice process Unnecessary invoice status and inquiry calls Missed early payment discount opportunities AP Depts. drowning in paper High cost of manually processing invoices Common Challenges in Payables Process 15. Why do supplier inquiry calls take up most of my time? Am I missing out on supplier discount opportunities? Is there a better way to optimize working capital? Buyer Pain Points Did you receive my invoice? When will I get paid? Can I get paid earlier? Supplier Pain Points Typical Buyer and Supplier Pain Points 16. What if You can address your suppliers needs for early payment? What if You keep all the returns that would of normally gone to the bank? What if Suppliers could check the status of their invoices online 24/7? Suppliers could incentivize early payments? What if What if There is a way for you to pay your suppliers less and have them thank you? Solving The What If Game 17. Enables Buyers to improve return on cash by paying suppliers early with no additional investment risk Enables Suppliers to access less expensive financing alternatives by accepting time-variable Discounts Win-Win Situation that Generates Revenue Strengthen Supplier Relationships by Paying them Less 18. Largest U.S. independent Coca-Cola bottler Headquartered in Charlotte, NC Operates in 11 Southeastern states $1.7 billion revenue Approximately 6,800 employees 130M cases of sold per year Coke products make up 80% of total volume Non-Coke products manufactured and distributed Case Study: Coca-Cola Bottling 19. Complete invoice transparency and audit trails .004support tickets per supplier Visibility of unrecorded liabilities Electronic approval process now enforces the board-approved Chart of Authority Operational Efficiencies 20. 87% of I N V I T E D S U P P L I E R S enrolled WITHIN 6 MONTHS 90%of enrolled suppliers actively use the portal Live in late October 2011 Internal personnel eager to adopt the new system Enrollment Metrics 21. Case Study: Sealed Air In 1960, Marc Chavannes and Al Fielding invented a revolutionary new wall paper, which would become the Bubble Wrap we love today 25,000 Employees Serves Customers in 175 Countries $7.6 Billion Revenue (2012) 22. Project Goals Free to Suppliers Dynamic Discounting Invoice Visibility PO Confirmation ASN DPT Campaigns Accelerated Workflow Simple Enrollment Higher Enrollment EDI Invoicing eInvoicing Compliance Real-Time SAP Communication Dispute Messaging 23. Globalizing eInvoicing and Discounting Decreased calls into AP because suppliers have visibility into payment and invoice status Of suppliers invited actively use the portal Achieved real time communication between SAP and P2P Platform 4 different currencies: CAD, USD, GBP, NZD Invoices offered for early payment are accelerated 7.9% 24. Globalizing eInvoicing and Discounting SAP 49% eFlip/eForm 49% eUpload 1% API 1% InvoicessubmiLedthroughvariousdierentformats 25. Case Study: PG&E Incorporated in 1905 Headquartered in San Francisco, CA Provides natural gas and electric services to approximately 15 million customers Service area covers 70,000 sq. miles in Northern and Central California from Eureka in the north to Bakersfield in the south 2012 Revenues of $15 Billion 26. Top Performers Dynamic Discounting 61% Of suppliers Request Multiple Early Payments 49% Of the Early Payments Requested by these Suppliers were Automatically Accelerated (AutoAccept) 27. High Annual Rate of Return 23.6% Average Finance Rate of Top Dynamic Discounting Users 19.7% Average APR for All Suppliers 28. Very Real Savings Involved Taulia has saved us more money quicker than anticipated. - Ben Shaffer, PG&E Finance Dept. 0 10 20 30 40 50 2008 2009 2010 2011 2012 2013 Taulia Deployed in 2011 $46M $32M $10M $5.8M$3.9M $121M in Discounts $43M 29. Thats not it Additional joint clients include: 30. 100% free to suppliers. Period. No network fees or ongoing cost Proven to increase supplier adoption NO SUPPLIER FEES Ensure provider has successfully saved organizations operationally and strategically eInvoicing + Discounting = Supply Chain Savings DEMONSTRATED SAVINGS OPPORTUNITIES Program cannot be successful if it cannot scale Ensure that processes can be automated to maximize results and strengthen supplier relationships SCALABILITY Ask for demos of products Compare the UI and usability to ensure maximum supplier adoption and engagement INTUITIVE INTERFACE You need to know it was done before! Be sure to get references on ERP, supplier adoption, globalization, discount savings ASK FOR REFERENCES Provide suppliers with all the information they need All invoices in your ERP displayed in portal History of invoices, purchases and payments ALL INVOICES VISIBLE Keys to Success 31. Our Vision of Tomorrow For You 01 02 03 04 F R E E P R O F I T S A D O P T I O N P A R T N E R Free eInvoicing and Self-Services for your Suppliers Increased Profits From Early Payment Discounting Supplier Onboarding Guarantee Greatly Improved Suppliers Relationships 32. The World's Biggest Brands Manage More Than $200 Billion in Spend on the Taulia Platform 33. Taulia Demo