SAP Ariba Strategic Sourcing Suite: A Solution for Process Manufacturers
Discover how process manufacturers can accelerate the sourcing process and optimize direct spend costs during product development and subsequent cost-out programs with SAP Ariba Strategic Sourcing Suite. Download the DocumentSAP® Ariba® Strategic Sourcing
Suite: A Solution for Process
Manufacturers
Benefits
With SAP Ariba Strategic Sourcing Suite,
you can:
• Capture more savings by increasing
spend under management and reducing
direct spend costs
• Improve the quality of recipes and bills of
materials by collaborating with suppliers
and external manufacturers
• Accelerate time to market
• Increase average savings by using
competitive sourcing methods such as
auctions
• Identify cost reduction opportunities by
gaining visibility into supplier cost
structures, pricing, and forecasting
• Shorten source-to-contract cycle times
• Increase the efficiency of sourcing
departments by reducing manual data
entry
• Achieve contract compliance and
stop contract leakage through ERP
integration
For businesses in the process manufacturing industry, time to market and direct
materials costs are critically important not only to increasing revenue and profits
but also to improving product quality, consumer safety, and sustainability. By
integrating your sourcing processes for direct materials and services, you can
support these priorities by enabling collaboration across internal recipe and
product development and sourcing teams, external manufacturers, and suppliers
of raw materials and ingredients.
As shown in the figure below, SAP® Ariba® Strategic Sourcing Suite helps process
manufacturers like you accelerate the sourcing process and optimize direct spend
costs. It supports collaboration across recipes, ingredients, and product quality with
external manufacturers and raw material and ingredient suppliers. In addition,
you gain integrated functions that help optimize ongoing direct spend reductions,
continuous cost-out programs, and renegotiations. And finally, it helps you design
for manufacturability and costing – quickly, accurately, and efficiently.
Data Sheet | PUBLIC
SAP Ariba Solutions | SAP Ariba Strategic Sourcing Suite
Figure: SAP Ariba Strategic Sourcing Suite
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ERP
Suite: A Solution for Process
Manufacturers
Benefits
With SAP Ariba Strategic Sourcing Suite,
you can:
• Capture more savings by increasing
spend under management and reducing
direct spend costs
• Improve the quality of recipes and bills of
materials by collaborating with suppliers
and external manufacturers
• Accelerate time to market
• Increase average savings by using
competitive sourcing methods such as
auctions
• Identify cost reduction opportunities by
gaining visibility into supplier cost
structures, pricing, and forecasting
• Shorten source-to-contract cycle times
• Increase the efficiency of sourcing
departments by reducing manual data
entry
• Achieve contract compliance and
stop contract leakage through ERP
integration
For businesses in the process manufacturing industry, time to market and direct
materials costs are critically important not only to increasing revenue and profits
but also to improving product quality, consumer safety, and sustainability. By
integrating your sourcing processes for direct materials and services, you can
support these priorities by enabling collaboration across internal recipe and
product development and sourcing teams, external manufacturers, and suppliers
of raw materials and ingredients.
As shown in the figure below, SAP® Ariba® Strategic Sourcing Suite helps process
manufacturers like you accelerate the sourcing process and optimize direct spend
costs. It supports collaboration across recipes, ingredients, and product quality with
external manufacturers and raw material and ingredient suppliers. In addition,
you gain integrated functions that help optimize ongoing direct spend reductions,
continuous cost-out programs, and renegotiations. And finally, it helps you design
for manufacturability and costing – quickly, accurately, and efficiently.
Data Sheet | PUBLIC
SAP Ariba Solutions | SAP Ariba Strategic Sourcing Suite
Figure: SAP Ariba Strategic Sourcing Suite
Comprehensive
process
management
Advanced direct
materials sourcing
Total landed
cost
calculation
Material
quote
Product
questionnaire
Collaborate on
specifications
S u p p l i e r o n b
o
a
r
d
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n
g
,
q
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www.ariba.com
About SAP Ariba
Solutions
SAP Ariba solutions support the market-
place for modern business, creating
exchanges between millions of buyers
and suppliers across the source-to-pay
process. Our solutions enable companies
to simplify collaboration with their trading
partners, make smarter business decisions,
and extend their collaborative business
processes with an open technology platform.
More than two million companies use
SAP Ariba solutions to connect and
collaborate around nearly US$1 trillion in
commerce on an annual basis. To learn
more about SAP Ariba solutions and the
transformation they are driving, visit
us online.
OPTIMIZING DIRECT SPEND COSTS AND SPEEDING UP THE
SOURCING PROCESS
With SAP Ariba Strategic Sourcing Suite, process manufacturers can:
• Utilize electronic, template-based requests for information, requests for proposals,
requests for quotations, auctions, and project management tools with integrated
workflows, document management, and approvals to obtain bids and award
suppliers
• Rely on dynamic, real-time event views, integrated reporting, and what-if scenarios
for decision support
• Share and collaborate with suppliers on recipes, bills of materials, and product
specifications and characteristics
• Include product- and quality-related attributes in sourcing events automatically
and transfer the result of this collaboration into contract documents
• Access assigned materials quickly using a materials dashboard
• Gain insights into material price history and trends, sourcing activities, and sources
of supply
• Calculate total landed costs, including logistics costs and import duties and taxes,
to accurately compare supplier prices with different International Commercial
Terms (Incoterms)
• Understand cost structures and identify potential savings by configuring cost
breakdowns using complex costing information collected from suppliers and
external manufacturers
• Transfer sourcing event or contract negotiation outcomes to procurement systems
that generate follow-on documents containing advanced pricing conditions (such
as purchase information records and schedule agreements) through integration
with the SAP ERP application and material master data
A CLOSED-LOOP, DIGITALLY TRANSFORMED SOURCING
SOLUTION FOR YOUR NEEDS
SAP Ariba Strategic Sourcing Suite supports your source-to-contract and supplier
management processes for direct materials; maintenance, repair, and operations
materials; and indirect materials. It also supports a closed-loop, digital, source-to-
contract process for your sourcing needs.
Contract Management Capabilities
With this suite, you can reduce the risks and lost savings associated with misplaced
and mismanaged paper contracts. You can:
• Manage procurement and sales contracts, IP licenses, internal agreements, and
more
• Accelerate the contract lifecycle with automated contract authoring, review,
and approval
• Collaborate with internal stakeholders and trading partners
• Integrate article master, supplier master, and contract data to and from sourcing,
ERP, and other back-end systems
Supplier Lifecycle and Performance Management Capabilities
Support the supplier management lifecycle using a single, Web-based platform that
enables merchandise vendors and suppliers to register and collaborate with you. You
are able to:
• Register, qualify, and segment suppliers based on category, location, and
business unit
• Integrate qualified and preferred suppliers smoothly into the source-to-contract
process
• Access a 360-degree view of supplier information
• Monitor and manage supplier performance with a centralized information portal
• Utilize automated, standard alerts and reports to assess compliance and manage
supply risk
LEARN MORE
To learn more, visit us online.
Studio SAP | 73948enUS (23/09)
© 2023 SAP SE or an SAP affiliate company. All rights reserved.
See Legal Notice on www.sap.com/legal-notice for use terms,
disclaimers, disclosures, or restrictions related to SAP Materials for
general audiences.
About SAP Ariba
Solutions
SAP Ariba solutions support the market-
place for modern business, creating
exchanges between millions of buyers
and suppliers across the source-to-pay
process. Our solutions enable companies
to simplify collaboration with their trading
partners, make smarter business decisions,
and extend their collaborative business
processes with an open technology platform.
More than two million companies use
SAP Ariba solutions to connect and
collaborate around nearly US$1 trillion in
commerce on an annual basis. To learn
more about SAP Ariba solutions and the
transformation they are driving, visit
us online.
OPTIMIZING DIRECT SPEND COSTS AND SPEEDING UP THE
SOURCING PROCESS
With SAP Ariba Strategic Sourcing Suite, process manufacturers can:
• Utilize electronic, template-based requests for information, requests for proposals,
requests for quotations, auctions, and project management tools with integrated
workflows, document management, and approvals to obtain bids and award
suppliers
• Rely on dynamic, real-time event views, integrated reporting, and what-if scenarios
for decision support
• Share and collaborate with suppliers on recipes, bills of materials, and product
specifications and characteristics
• Include product- and quality-related attributes in sourcing events automatically
and transfer the result of this collaboration into contract documents
• Access assigned materials quickly using a materials dashboard
• Gain insights into material price history and trends, sourcing activities, and sources
of supply
• Calculate total landed costs, including logistics costs and import duties and taxes,
to accurately compare supplier prices with different International Commercial
Terms (Incoterms)
• Understand cost structures and identify potential savings by configuring cost
breakdowns using complex costing information collected from suppliers and
external manufacturers
• Transfer sourcing event or contract negotiation outcomes to procurement systems
that generate follow-on documents containing advanced pricing conditions (such
as purchase information records and schedule agreements) through integration
with the SAP ERP application and material master data
A CLOSED-LOOP, DIGITALLY TRANSFORMED SOURCING
SOLUTION FOR YOUR NEEDS
SAP Ariba Strategic Sourcing Suite supports your source-to-contract and supplier
management processes for direct materials; maintenance, repair, and operations
materials; and indirect materials. It also supports a closed-loop, digital, source-to-
contract process for your sourcing needs.
Contract Management Capabilities
With this suite, you can reduce the risks and lost savings associated with misplaced
and mismanaged paper contracts. You can:
• Manage procurement and sales contracts, IP licenses, internal agreements, and
more
• Accelerate the contract lifecycle with automated contract authoring, review,
and approval
• Collaborate with internal stakeholders and trading partners
• Integrate article master, supplier master, and contract data to and from sourcing,
ERP, and other back-end systems
Supplier Lifecycle and Performance Management Capabilities
Support the supplier management lifecycle using a single, Web-based platform that
enables merchandise vendors and suppliers to register and collaborate with you. You
are able to:
• Register, qualify, and segment suppliers based on category, location, and
business unit
• Integrate qualified and preferred suppliers smoothly into the source-to-contract
process
• Access a 360-degree view of supplier information
• Monitor and manage supplier performance with a centralized information portal
• Utilize automated, standard alerts and reports to assess compliance and manage
supply risk
LEARN MORE
To learn more, visit us online.
Studio SAP | 73948enUS (23/09)
© 2023 SAP SE or an SAP affiliate company. All rights reserved.
See Legal Notice on www.sap.com/legal-notice for use terms,
disclaimers, disclosures, or restrictions related to SAP Materials for
general audiences.