Item: SAP Ariba
Rating: 8
Author: Alok Kumar

Overall Satisfaction with SAP Ariba

Use Cases and Deployment Scope

We use SAP Ariba in our Organization to complete the Procurement of inventory using Purchase orders, Advanced Shipping notifications, and Inbound Delivery using the Ariba Network portal for our clients. We initially tested the entire end to end Inbound Procurement step in lower SAP environments during System Integration Testing and User Acceptance Testing by simulating client SAP Ariba credentials as Test ids and complete the SAP EWM Inventory procurement step using SAP Ariba, where we create, process and generate invoice steps. SAP Ariba has been essential for our external procurement steps using external vendors. We have implemented this for our Automotive and Consumer Goods client Business processes, which made integration of SAP systems between warehouse and Vendor location seamless and made sure it happens, everything happens on the cloud. Given the intuitiveness and simplicity of the app to use made Vendors more susceptible to the software.

Pros and Cons

Pros

Complete Procurement of Inventory step easy through GUI-Ariba integration once Purchase order is created and it is sent to the SAP Ariba Supplier Network. Vendor confirms the order and sends notification of Inbound Delivery to the warehouse through ASN and the Inbound process, Goods Receipt Process, Unloading, Put away process easy.
SAP Ariba integrates the different SAP Sourcing platforms, services and their tools in order to optimize operations, saves cost and meeting customer requirements through its easy to use tools. Such as integration with SAP S/4 HANA, SAP EWM using Idocs for End to End sourcing and Procurement coverage.
As a part of the SAP Direct Sourcing suite, it helps allow customer manage their direct materials in the single dashboard and helping customer to have view of the comprehensive info about BoM and the structure. Based on requirements, buyers can run materials and/or entire Bill of Materials. When these are sent from ERP to SAP Ariba, managers can manage them in the direct spend dashboard. Can search for desired items in the dashboard and view details of BoM or deeper view of information of the material. Buyers can run sourcing, run details for materials, create material quotes, and create pricing using book quotes.

Cons

SAP Ariba has a high learning curve during initial phases, given user has to be trained significantly in order for them to be accustomed to the platform. This applies particularly for the new user who doesn't have experience working on ERP or sourcing platforms. This happened with one of our vendor, whom the client made use SAP Ariba, but the personnel has been new to the platform faces consistent issues while using the platform, hence we had to train them once a week to get them settled with the platform.
Though SAP Ariba accepts integration with other tools, but it requires constant maintenance and development efforts for making it stable. So that the data flow using idocs and data sync happens without much of an issue.
On insisting vendors to adopt to the SAP Ariba Platform, they have reported one major issue being the cost. Given it has significant set-up, maintenance and license cost to use it. For medium and small companies the cost benefit it on the negative side and it is more susceptible to the bigger companies.

Most Important Features

Supplier Management and collaboration
Integration with other SAP systems
Guided Buying capability
SAP Ariba Discovery
Sourcing and Procurement

Return on Investment

Saving time in managing end to end sourcing needs
Cost cutting with seamless integration with other tools
Real Time updates and notifications on the process and visibility
Internal collaboration and strong compliance

Usability

SAP Ariba has been tremendously helpful for my clients and their business processes. There were a time when they were using external tool to manage the sourcing and procurement step, and vendors were having hard time keeping track of Inventory, notification of delivery, invoicing, Bill of Materials. However, since the migration to SAP Ariba, using its wide range of features we have seen good turnaround for past year. So we have been satisfied as well as a lot better at clients processes mapping using SAP Ariba.

Key Differentiators

Cloud Solutions
Integration with Other Systems

Key Insights

Do you think SAP Ariba delivers good value for the price?

Yes

Are you happy with SAP Ariba's feature set?

Yes

Did SAP Ariba live up to sales and marketing promises?

Yes

Did implementation of SAP Ariba go as expected?

Yes

Would you buy SAP Ariba again?

Yes

Other Software Used

InfoZoom, XGen Ai

Likelihood to Recommend

SAP Ariba is more suited for Sourcing and Procurement using the Ariba Supplier network. Wherein once the RFQ document is approved, PR is generated, and on approval, we have a PO created, which goes to the vendor, who then corresponding to the PO, confirms it and creates ASN to the company as a mark to sending delivery confirmation. It generated Inbound delivery on SAP EEP side and on Goods receipt, Invoice document is generated on Ariba supplier network. Which completes the Procurement step. So for external procurement process, where vendor uses Ariba it is better to use SAP Ariba. With connectivity and integration with SAP ERP.

Comments

Please log in to join the conversation

SAP Ariba: Mastering Sourcing & Procurement for businesses