【正文】 curement and documented this work in a 200page prehensive report. In addition, one member of our team is the former technical leader for Merrill Lynch’s implementation of Oracle Financials and Oracle Purchasing. Another has a long history of top performance in Merrill Lynch realestate. Our team knows Merrill Lynch. ? We Are Rated Number 1 in Client Satisfaction. Consulting firms are ultimately measured not on their size, the firm’s credentials, or how well they craft their proposals, but in the end, the only measures that count are the quality of the work they do on engagements, the results that are achieved, and the levels of client satisfaction their engagements create. To measure this, the Emerson Group conducts an independent study on client satisfaction on a yearly basis. This year, Arthur Andersen ranked number one overall as well as in 10 out of 11 categories as pared to other Big 5 firms, including technology consulting. We take client satisfaction seriously and strive to maintain our top ranking with every client on every project everyday. 7 PROPRIETARY and CONFIDENTIAL: Not for use or disclosure outside of Merrill Lynch except by written agreement. Background and Objectives ? Merrill Lynch is pursuing the use of webbased technologies to improve and automate internal requisitioning and procurement processes. ? Arthur Andersen has recently pleted an analysis of the current requisition and procurement processes at Merrill Lynch and has developed a set of future state process models that are optimized for eProcurement. ? Merrill Lynch is currently testing eProcurement solutions from Ariba and Oracle in a conference room pilot (CRP) environment. The goal of the November 1999 CRP is to select the appropriate vendor solution and obtain business user support for the initiative. ? The program schedule developed by Merrill Lynch is for the chosen solution to be implemented, and ready to go into production, immediately following the expected Y2K moratorium (on or about April 1, 2000). ? Initially, this effort will target a user population of 100 200 from Corporate Services located in New York headquarters by April 1, 2000 with an enterprise rollout to approximately 7,000 users in New York and New Jersey by July 1, 2000. 8 PROPRIETARY and CONFIDENTIAL: Not for use or disclosure outside of Merrill Lynch except by written agreement. Project Scope ? Key modities ? Standalone furniture ? Office supplies ? Personal puters (not including servers) ? Software ? High volume MRO items ? Cell phones, pagers ? Subscriptions ? Key suppliers/items ? Approximately 8 10 suppliers that will be identified by Merrill Lynch ? Approximately 5,000 10,000 items ? User munity ? 100 200 Corporate Users (by 4/1/00) ? 7,000 Users in NY/NJ (by 7/1/00) ? Interfaces ? Oracle Financials (1 instance, ) ? PeopleSoft HRMS (if required) ? Procurement processes ? Enterprise procurement rules per major modity group ? Nonprocurement processes ? Up to 5 nonprocurement electronic forms to be implemented ? Production support ? Merrill Lynch personnel The scope of this project will include the following: 9 PROPRIETARY and CONFIDENTIAL: Not for use or disclosure outside of Merrill Lynch except by written agreement. Critical Success Factors Based on our experience and the objectives for this project the following factors will be critical to the success of this initiative: ? Executive sponsorship ? Experience implementing large scale enterprise applications including Oracle, PeopleSoft and Ariba ? A detailed understanding of Merrill Lynch’s Oracle Financials and Purchasing implementations ? A thorough understanding of Merrill Lynch’s requisitioning and procurement processes ? An understanding of the Merrill Lynch business culture, organization structure and business user munity ? Strong project management skills through implementation and business user acceptance ? Experience with eProcurement and strategic sourcing implementation and best practices ? Ability to surface and resolve issues as they are identified in a timely manner ? Strong program management 10 PROPRIETARY and CONFIDENTIAL: Not for use or disclosure outside of Merrill Lynch except by written agreement. Assumptions ? The Ariba eProcurement system will be selected during the CRP. If Oracle is chosen, the approach and timeline will be modified and presented to Merrill Lynch. ? The results of the CRP will provide detailed confirmation of the business rules and workflow to be implemented. ? The results of the Conference Room Pilot (CRP) currently being conducted by Merrill Lynch will be provided to Arthur Andersen. ? Merrill Lynch personnel will setup and support the technical environment and will be responsible for obtaining the chosen software and hardware prior to our engagement. ? We will implement one set of enterprise business rules per major modity group as confirmed in the CRP. ? During the analysis and design, it will be determined whether user information can be obtained from Oracle Financials () instead of PeopleSoft HRMS. ? The system will integrate with one instance of Oracle Financials () and the PeopleSoft HRMS system (if necessary). The proposed approach, anticipated timeline and estimated resources are based on the following assumptions: 11 PROPRIETARY and CONFIDENTIAL: Not for use or disclosure outside of Merrill Lynch except by written agreement. Assumptions (continued) ? There will be no interfaces required for accepting receipt in the eProcurement system. ? The eProcurement system will feed Oracle Financials for ordering, accounting and payment functions. ? Merrill Lynch will be responsible for the training required in support of the enterprise rollout to the 7,000 NY/NJ users. 12 PROPRIETARY and CONFIDENTIAL: