SAP Ariba Cloud Solutions

SAP Ariba Cloud Solutions

Introduction

  • SAP Ariba world largest Business to Business (B2B) commerce network. Ariba is a cloud based procurement solution for interactions between buyers and sellers. It does similar as Supplier Relation Management (SRM/MM) is SAP built solutions.

  • As business volume increase simultaneously procurement needs of an organization is also increase, more spending is happening across more channels using payment method than ever before. Customers demanding more from the organizations they buy from and work with. They want quick response, better quality, the best experience and full transparency into the impact your organization and suppliers are making on the world.

  • SAP Ariba Network removes all complexities in procurement process. Supplier and buyers can maintain the key terms and condition of vendor management on a single network.

  • You can integrate your master data and transactional data from different ERP solution Ariba processes.

SAP ARIBA Solutions

1) Upstream Solution:

Supplier, Sourcing, and Contract

2) Downstream Solution:

Procure to pay, catalogue

Business Example

Searching Supplier:

As we get requirement to purchase a product. The process of procurement starts with searching of supplier who can supply the desired product.


Negotiation:

In Negotiation process we define the price and payment terms.


Create Contract and Assignment:

On the basis of negotiation on terms and condition of price and payment a contract is to be created and to be assign to the supplier.


Create Purchase Requisition:

In this process purchase requisition is created. After approval process of purchase requisition it is triggered to purchasing process.


Create Purchasing Order:

After purchase requisition got approved. The purchasing order is to be created and deliver it to supplier. Supplier confirms the order and initiates the supply of product with in delivery date and address which mention in the purchase order.


Goods Receipt:

After receiving the product in good condition the goods receipt process is completed.


Invoice:

Invoice is received from the supplier after verification of the invoice is initiated with reference to purchase order and goods receipt.


Payment

After verification of the invoice, the payment process is to be initiated.


Catalogue

Is a material master in which vendor can create his products list with product specification.


Supplier to Pay (S2P)

Ariba business process can also termed as Supplier to Pay (S2P)

Overview of SAP Procurement Solutions comparison with SAP Ariba

Ariba Architecture

Client Browser:

  • Clients

  • Supplier

Web Server:

  • Client Web Server

  • Supplier Web Server

Application Server:

  • HTML Generator

  • Report Manager

  • Object Model

  • Approval Engine

  • Java Script Interpreter

  • SAP Ariba File Channel

  • SAP Ariba Webservice channel

  • Persistence Manager (RDBMS) Data Server

  • SAP Ariba cXML Channel

  • Ariba Supplier Network

External System:

  • Email Server

  • CSV Files

  • ERP System (SAP ERP, S4HANA, other third party ERP

Physical Network Diagram

Ariba Network

  • Ariba Network makes it easy for buyers and suppliers to collaborate on transactions, strengthen their relationships, and discover new business opportunities.

  • Buyers can manage the entire procurement process from source to settle, while controlling spending, finding new sources of savings, and building a healthy, ethical supply chain.

  • Suppliers can help buyers achieve their procurement transformation goals, while boosting customer satisfaction, simplifying the sales cycle, and improving cash flow.


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