1. Document Standards & On-Boarding Solutions 06 May 2005 William (Bill) Le Sage CEO OFS Portal, LLC

2. Scope – Upstream Oil & Gas

3. OFS Portal, a group of diverse suppliers working together with a non-profit objective, provides standardized information to B2B customers to facilitate e-commerce in upstream products and services. Who is OFS Portal?

4. Community

5. Supply chain life cycle IdentificationSelectionOrderDeliveryInvoicingPayment FulfillmentSourcingOrdering Catalogs/ContentTransactions

6. Value Provided Reduce costs & resistance –Standards –Rules of engagement –Shared learnings Distribute catalogs/content Transaction messaging

7. OFS Portal Services OFS Portal Transaction Messaging Services Integration Competency Services Operational Services (GXS) Business Services Catalog Services Business Services

8. Focus of discussion today Supply-side Vertical Friction Enablement of –Standards –Trading partners (On-boarding)

9. Things to consider Industry culture Capabilities Nature of products and services Industry needs

10. Summary Standards acceptance has worked remarkably well One set of industry standards works best There is friction and we can fix

11. What impacts enablement? Standards –Types Content Transactions Processes Trading partners Entities in the “Chain” ERP/Software/Solutions deployed

12. Considerations Industry Culture –Buyer/Suppliers relationship –How are products/services bought, sold, used and serviced? –Complexity of the requirements –Breadth and diversity of the organizational/industry needs.

13. Complex Products and Services People, Technology, Products and Processes Complex Pricing Collaborative Service-orientated

14. CatalogableConfigurableCustom 80% of the Transactions 80% of the Value Content changes by characterContentContent Complex Products/Services Cannot catalog products that are dynamically structured or priced

15. Content’s role Characteristics by functionality –Sourcing –Contract compliance –Spend analysis Three components –Catalogable –Dynamically priced –Non-catalogable

16. Industry Needs for eCommerce Sourcing –Collaborative and Complex –Desk engineers Fulfillment –Cost Savings –Contract Compliance –Spend Analysis Ordering –Contract Compliance –Spend Analysis not worked

17. Value added functions Logistics Order Select DeliveryPay Identify Strat.Src. Selection Purchase Order Invoice ServicePartsDeployment VMI SupplierCollab. ServiceExecution Order Mgmt. Operational Tactical Strategic Invoice Inventory Mgmt Executional ContractCompliance Demand Planning

18. Partner ERP Value vs. the connection Gateway/ Svc Provider Partner ERP Cost line Gateway/ Svc Provider RFx Sourcing AP O/S Utility / Internet/ Transaction messaging Good Neighbor Policy Trading Partner #1 Trading Partner #2

19. Cost line Partner ERP Other Issues Gateway/ Svc Provider Partner ERP Gateway/ Svc Provider RFx Sourcing AP O/S Trading Partner #1 Trading Partner #2 PIDX Standards SAS70/BS7799 Are ERP providers supplying necessary  ? SLA End-to-End Ack

20. Interoperability vs. Independence Technology vs. Commercial Buyer Owned vs. Value Orientated

21. Transaction messaging footprint -EDI -EDIFACT -XML -CIDX -PIDX -IDOC Standard Documents Standard Event Processes -Functional Acks -Control Messages Standard Business Processes -Long life cycle Transactions -BP Choreography Standard Protocols -AS2 -RNIF 2.0 EDI SFTP Standard Projects -Standard Operations -Standard Support Transaction Messaging Standards (Document Exchange) Not standardizing the product/service offered Read: commoditize – not general consumable

22. Leveraging TMS (GXS) to reduce cost and friction ERP #2 ERP #3 Member xyz ERP #1 SAP Gateway AS2 /Flat + Binary EAI / IDOC EAI / Flat Field Ticket Capture EAI / Binary EAI / Flat PIDX XML PIDX XML / EDI Customers Marketplace OFS Portal Services/ GXS PIDX XML Spend Analysis Networks

23. Why Industry document standards Electronic version of the way the industry does business Sensitive to the unique needs of the industry Created not to give competitive advantage to anyone or class of TP No vendor control of standard Isn’t trying to be all things to everyone and thus too complex Industry specific –Documents, Structures, and Tags

24. PIDX Transaction Standards – Request Requisition Return – Quote Request – Quote – Quote Notification – Order Create – OrderStatusResponse – OrderStatusRequest – CustodyTicket – Order Change – Order Response – Field Ticket – Field Ticket Response – Invoice – Invoice Response – Receipt – ASN (AdvancedShipNotice) All were ratified by the PIDX General Committee and updated as API Recommended Practice 3901, Version 1.2 – Parts I-IV. All are available today as open standards

25. Future Industry Standards –Convergence CIDX/PIDX – serve an integrated industry –Share and learn information CEN/ISSS - Information Society Standardization System provides market players with a comprehensive and integrated range of standardization services and products, in order to contribute to the success of the Information Society in Europe.

26. ........ Priorities for 2002 - 2006 3

27. Future Industry Standards –Convergence CIDX/PIDX – serve an integrated industry –Share and learn information CEN/ISSS Mature –More standard, fewer flavors Work with S/W Providers - EIPP Continue to share Seek out and reduce friction

28. Questions wlesage@ofs-portal.com