peppol business requiremernts

www.peppol.eu

PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974

PEPPOLBusiness requiremerntsJostein FrømyrTransport Infrastructure Agreement (TIA) CoordinatorEdisys Consulting AS / Agency for Public Management and eGovernment (Norway)


The PEPPOL project

Pilot A objective: Enabling EU-wide public eProcurement50% EU contribution for achieving interoperabilityCoordinated by the Norwegian Agency for Public Management and eGovernment (Difi)Consortium and scope:

18 beneficiaries from 11 countriesTotal budget 30,8 M€ 8 work packages, <1.600 person months and 10 M€ on sub-contractorsProject start up: 1 May 2008, duration 52 months (Pending EC approval)

PEPPOL - Pan European Public Procurement OnlineThe PEPPOL project is the result of the European Competitiveness and Innovation Programme (CIP) ICT Policy Support Programme (ICTPSP) 2007 and 2009 Call for Proposals


The business case

Government procurement in the European Union account for around 19% of GDP, which is over 2.200 billion Euro It has been estimated that if eProcurement were introduced in all EU contracting authorities, annual savings could exceed 50 billion EUR* Less than 5% of total procurement budgets is awarded through electronic systems**Only 1,6% of contracts are awarded to undertakings from another Member State***

*Source: Deutsche Bank Research: E-procurement, February 2011**Source: Green Paper on expanding the use of e-Procurement in the EU. SEC(2010) 1214***Source: Green Paper on the modernisation of EU public procurement policy - Towards a more efficient European Procurement Market

COM(2011) 15


….. for public sector

• Experience from the use of electronic invoicing in Denmark shows that supplies generally receives payment earlier then before!

• 1 day interest at 3% on 2 200 billion

€ 180 821 918 per day

• An internal report by Austrian government from 2002 claims that by applying an electronic order process (catalogue to payment), the time spent on the process can be reduced by some 60%!

• In Denmark it is estimated that there were approximately 55 mill. purchase orders in 2005.

• For simplicity let’s assume 1 PO = 1 transaction, each with a time saving of 15 minutes

• Denmark is approximately 3% of EU GDP

250 000 person years


….. for privat sector

2-3 € per invoice

4-12 € per invoice

Up to 65 € per trans.

Source: Alessandro Perego, Politecnico di Milano School of Management


Challenges in the current marketIt is very costly to establish new connections

It is complicated to migrate to a new service provider

Many solutions are custom built to enable e-invoicing... Only

My service provider cannot connect to some of my trading partners service providers

Cross border exchange is pretty much impossible unless my trading partners uses my service provider (or if I use theirs)

I have customers in several countries, all using their own domestic e-invoice formats (not always possible for me to use)

I receive a lot of electronic invoices that are incorrect. It takes lots of efforts to identify the issues

I want to check if my customers can receive electronic invoices (and what format they use)


Current scenario


The goalPEPPOL goal is to enable European businesses to easily deal electronically with any European public sector buyers in their procurement processes, thereby:

Increase opportunities for greater competition for government contracts, giving better value for tax payers moneyencourage new and innovative ICT servicessimplify access to larger markets for suppliers (especially SMEs)


PEPPOL scenario


How PEPPOL helps solve the Challenges

Aligning business processes:Defining standards based PEPPOL Business Interoperability Specifications

Developing interoperable technologies:Connecting the “islands of eProcurement” through PEPPOL Document Transport Infrastructure/eDelivery solution

Addressing common legal issues:Establishing tools for uniform handling of eSignatures, eAttestations and eCataloguesEstablishing a legal framework for many-to-many interoperability


Aligning business processes

”PEPPOL will… Implementing the results of the CEN/ISSS WS “Business Interoperability Interfaces on public procurement in Europe” (CEN BII)”André Hoddevik, Project Director, PEPPOLPEPPOL Conference February 2010


The PEPPOL Document Transport Infrastructure

One common transport protocol between APs – BusDox STARTA PEPPOL AP Provider is free to use any transport protocol towards his own customers

A common minimum SLAA PEPPOL AP and/or SMP Provider is free to offer a higher SLA or any service he likes towards his own customers

No charges between PEPPOL SML, AP and/or SMPProviders

A PEPPOL AP and/or SMP Provider is free todetermine his own charges towards his customers

Commonly defined business documentsOnly business documents approved by the PEPPOLCoordinating Authority or one of the PEPPOL Regional Authorities may be exchanged betweenthe APs

Commonly defined identifiersOnly identifier schemes approved by the PEPPOL Coordinating Authority may be used for routing between the APs


Scope for PEPPOL solutions


Legal framework for many-to-many interoperability

The Coordinating Authority provides European wide governance for:

the PEPPOL Agreementsthe PEPPOL Technical Standardsthe PEPPOL Service Specifications the PEPPOL SML

The Regional Authority provides regional governance for:

the implementation and use of the transport infrastructurethe legal framework for specific AP and SMP agreementsspecific requirements applicable within a domain

Community agreement

Provider agreement

The PEPPOL AP and SMP Providers provides the actual services to the end users according to PEPPOL specifications.


PEPPOL is live!

15


Future of PEPPOL

OpenPEPPOLLong term sustainability through user driven governance An entity by the users for the users

Continued cooperation between MS and EUShort term plans: Further development and implementation of eProcurement building blocks in new Pilot A, ISA operationsMedium term plans: Connecting Europe Facility (CEF)

Continued StandardisationCEN initiatives on eProcurement business process standardisationOASIS/other initiatives on eDelivery/Document Transport Infrastructure

PEPPOL is an EU co-funded project CIP-ICT PSP-2007 No 224974www.peppol.eu

eProcurementwithout borders in Europe

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