Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (2024)

Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (7)Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (8)

Objectives

After completing this lesson, you will be able to:

  • Realize the Benefits of SAP Ariba Sourcing
  • Summarize SAP Ariba Sourcing Key Capabilities

Why SAP Ariba Sourcing?

Why SAP Ariba Sourcing?

  • Unified platform to manage all source-to-settle processes
  • Powerful process and workflow management with savings-tracking technology​
  • Comprehensive RFx management, forward and reverse auctions
  • Power to extend the value of existing ERP Investments​
  • Access to a wide user community​
  • Unified supplier experience and collaboration
  • Easy to adopt interface
  • Ability to deliver at scale​
Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (9)

Realize the Benefits of Total Commerce Management

  • Bottom line results: Realize immediate savings.
  • Faster supplier discovery: Discover new qualified suppliers, using SAP Business Network Discovery to improve bid competitiveness.
  • Agility: Dramatically reduce sourcing cycle times and administrative costs​.
  • Flexibility and lower total cost of ownership: Rapidly deploy a SaaS solution for faster time to value and accelerated innovation, and use support services from SAP to eliminate IT burdens​.
  • Efficiency: Create sustainable organizational knowledge using analytics for in-content intelligence.​
  • Global reach: Trade globally with ease using support for multiple languages and currencies.
  • Reduced risk supply: Use continuous performance measures to detect and mitigate risk.
  • Adoption: Help foster internal adoption and realization of the benefits through a simplified, intuitive user interface.​​​

Summarizing the Benefits of SAP Ariba Sourcing

Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (10)

Summarizing the Benefits of SAP Ariba Sourcing

  • Improve Spend Coverage
    • Easy content creation and collaboration experience through single page event creation, inline editing of content, bulk line item management, project widgets, contextual learning and in-application messaging.
    • Enable sourcing managers to easily create and manage the sourcing pipeline to rationalize the supply base, negotiate lower pricing, or respond to unforeseen demands.
    • With a simple and easy to use interface, ensure high user adoption and coverage across spend categories.
    • Supplier access to the world's largest business network to manage sourcing events, supplier onboarding and lifecycle management projects, and PO, Invoice, Inventory, Quality, Forecast, and Financing collaboration.
  • Execute Desired Sourcing Outcome
    • Define and drive your sourcing strategy using a range of patented RFP and auction tool sets supported by comprehensive decision framework and analysis engines.
    • Comprehensive event format support - RFPs, RFI, auctions (forward, reverse, index, Dutch, Japanese, total cost, bid transformation with patented rules to drive market results.​
    • Mechanisms to drive event competitiveness, market feedback, compliance through event scoring methodology, multi-round sourcing, sealed envelop, traffic lights and so on.​
    • Constraint based optimization solver with built-in and configurable scenarios, what-if analysis and so on, for awarding large complex events with bid analysis for comparative visualization based on user criteria.
  • Realize Sustainable Savings
    • Enforce negotiated savings through fully integrated contracting, supplier management, operational procurement, and analytics processes.

    • Integration with SAP Ariba Buying and Invoicing for operational procurement compliance, SAP Ariba Supplier Management solution for Supplier status based event inclusions, SAP Business Network Discovery integration for event posting​.
    • SAP Endorsed app certified integration with Icertis Contract Management for follow-on contract authoring, negotiations, obligations management and contract performance management​.
    • Native integrations with SAP S/4HANA and ERP system for material master, request for quotes and award integration. API library to support 3rd party app extensions and add-ons.

SAP Ariba Source-to-Contract Suite Key Capabilities

Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (11)

SAP Ariba Sourcing Key Capabilities

  • Electronic, template-based support for RFIs, RFPs, and auctions​.
  • Auction support, including a variety of types, such as reverse, index, forward, Dutch, Japanese, and total cost, with rules to drive the best market results​.
  • Comprehensive automated and team scoring features with comparison reporting​.
  • Sourcing support desk, sourcing advice, and guidance by expert SAP Ariba personnel​.
  • Flexible project management tools with integrated workflows, document management, and approvals​.
  • Centralized sourcing information faster and easier access​.
  • Dynamic, real-time event views, integrated reporting, and decision analysis of multiple "what if scenarios​.
  • Rapid identification and assessment of new sources of supply​.​

Contracts

By using contract management functionality built into SAP Source-to-Contract Suite, you can say goodbye to misplaced and mismanaged paper contracts, as well as the risks of lost savings that go with them.​

  • Manage procurement and sales contracts, IP licenses, internal agreements, and more​.
  • Standardize and control contract deployment and approval​.
  • Collaborate with internal stakeholders and trading partners​.
  • Integrate vendor master and contract data to and from other back-end systems.​

Supplier Lifecycle and Performance

SAP Strategic Sourcing supports the management of supplier information by helping ensure that the supplier information in your vendor master data is accurate and up to date.

  • Assess and qualify suppliers using matrix-based filtering based on a category, region and business unit​.
  • Access a 360-degree view of supplier information.
  • Streamline supplier onboarding processes, including workflows and approvals.​

Summarizing SAP Ariba Sourcing Solution Objectives and Benefits

Summarizing SAP Ariba Sourcing Benefits

The SAP Ariba Sourcing solution integrates patented "request for" RFx technology, process workflows, commodity intelligence, and supplier discovery, resulting in a flexible, comprehensive sourcing solution that enables fast, sustainable, bottom-line results. ​

  • Slash cycle time and administrative costs​
  • Reduce IT burdens and costs​
  • Trade globally in many languages and currencies​
  • Mitigate supply risk using performance measures​
Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (12)

Solution Objectives

Develop an informed sourcing strategy and determine the right processes, activities, and tasks.

  • Project management: Model best practices, including phases, tasks, milestones, team members collaborators and more​
  • Process, workflow, and approval management: Use workflow management and savings technology to accelerate sourcing cycles​
  • Document management: Enable easy document collaboration, sharing, and management using version controls, comment capabilities, and an audit trail​
  • Knowledge management​
  • Resource management: Employ management and reporting tools to manage user priorities and staff availability across projects​

Source and select suppliers

  • Rather than relying on a vendor list or searching the internet to find new suppliers, you can use the SAP Business Network Discovery solution for supplier matching, so that you access more than a million qualified suppliers worldwide.​
  • The solution allows tenders to express their interest in a tender or bid opportunity and self-invite, which is a key requirement for public sector organizations.​
  • SAP Ariba Sourcing automates RFX creation and distribution as well as scoring, using multilevel weighted scoring settings where stakeholders can score supplier responses collaboratively.​

Track and report savings and spend

  • You can deploy SAP Ariba Sourcing with an optional, pre-integrated solution that provides savings pipeline and tracking functionality for driving and evaluating the impact of sourcing programs.​
  • Capture and report on estimated, negotiated, implemented, and actual savings and spend savings analysis across regions, time periods, departments, suppliers, and spend types.
Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (13)

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Summarizing SAP Ariba Sourcing Benefits and Key Capabilities (2024)

FAQs

Summarizing SAP Ariba Sourcing Benefits and Key Capabilities? ›

SAP Ariba enables easy transfer of transactional data. Invoice details, goods receipt, PO details can be easily transferred to Ariba solution with optimum integration. We can use integration toolkit to connect ERP system with Ariba solution.

What are the key benefits of SAP Ariba? ›

SAP Ariba enables easy transfer of transactional data. Invoice details, goods receipt, PO details can be easily transferred to Ariba solution with optimum integration. We can use integration toolkit to connect ERP system with Ariba solution.

What are the capabilities of SAP Ariba? ›

With tools for onboarding, evaluating and managing relationships across the supply chain, SAP Ariba can organize multiple workflows into a unified platform. Its advanced compliance monitoring capabilities help monitor and enforce internal policies and procedures related to spend, contracting and regulatory standards.

What is the functionality of Ariba sourcing? ›

Centralized Supplier Management: SAP Ariba Sourcing offers a centralized repository for supplier information. This feature streamlines supplier onboarding, performance evaluation, and risk management.

What are the benefits of SAP Ariba Guided buying? ›

Guided buying increases compliant spend by steering users to preferred suppliers while incorporating guardrails so users follow procurement policies without having to know them in advance. The procurement department can also offer tailored help content in situations where users need more guidance.

What is SAP Ariba in simple words? ›

SAP Ariba is a cloud-based innovative solution that allows suppliers and buyers to connect and do business on a single platform. It improves the overall vendor management system of an organization by providing less costly ways of procurement and making business simple.

What are the uses or benefits of SAP? ›

SAP's advantages

SAP allows all data to be well integrated with various databases. For this reason, this system is able to streamline business processes so that companies can collect data more easily and efficiently.

What are the skills required for SAP Ariba? ›

An SAP Ariba developer needs various skills to do their job well:
  • Knowledge of SAP Ariba: They must understand how Ariba works.
  • Integration skills: They should know how to connect Ariba with other systems.
  • Problem-solving skills: They need to fix issues that come up during setup.

What is SAP Ariba strategic sourcing? ›

SAP Ariba Strategic Sourcing Suite can help you integrate sourcing, contracting, and supplier management on a unified platform and source key spend types – improving cycle time while driving contract compliance and immediate savings.

What are the advantages and disadvantages of using SAP Ariba? ›

It enables you better negotiation with suppliers and saves money.
  • User interface needs to be simplified.
  • You need proper training to use it effectively.
  • Integration may take longer time.

What is the objective of SAP Ariba? ›

Summarizing the Benefits of SAP Ariba Sourcing

Enable sourcing managers to easily create and manage the sourcing pipeline to rationalize the supply base, negotiate lower pricing, or respond to unforeseen demands. With a simple and easy to use interface, ensure high user adoption and coverage across spend categories.

How does Ariba work for suppliers? ›

Suppliers receive the orders and can then create and send order confirmations, advance ship notices, and invoices if the buyer accepts these documents. The buyer can then send payment documents (remittance advices) to the supplier to document the payment transfer.

What is SAP Ariba Guided Sourcing? ›

Guided sourcing is an enhanced interface that provides a streamlined and intuitive user experience for SAP Ariba Sourcing. This service is a rapid and efficient way to convert your existing SAP Ariba Sourcing experience to guided sourcing.

Why implement SAP Ariba? ›

It enables organizations with an all-in-one platform to manage sourcing and contracting, planning and forecasting, buying, delivering, invoicing, paying, vendor management, and more. SAP Ariba and SAP Ariba Sourcing have over 25,000 customers and own 36% of the supply chain management software market.

What are the advantages of SAP Ariba Discovery? ›

Benefits of SAP Ariba Discovery

Save time and money: Reduce risk and time spent on finding alternate sources of supply by choosing from competitive bids provided by new suppliers and reviewing detailed supplier profiles.

What are the benefits of SAP platform? ›

Enhanced decision making. SAP BTP significantly enhances database and data management by enabling data-driven decisions. It does this by providing solutions that manage, govern, and integrate your enterprise data to feed analytics and drive more confident business decisions.

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