Identity the lowest cost commodity procurement combination for CPG
Enable large-scale commodity buyers to identify the lowest-cost procurement matrix while considering supply-demand constraints and purchasing guidelines. It provides real-time sourcing intelligence by evaluating demand, inventory, supplier capacity, sourcing limits, lead times, and supply constraints. Deployed on SAP Business AI Platform and ready for integration with SAP Ariba.
Overview
Reduce procurement costs
Identify the lowest-cost procurement allocation across vendors and plants by optimizing material prices, shipping costs, and sourcing constraints in real time.
Accelerate sourcing decisions
Automate complex commodity sourcing scenarios by evaluating demand, vendor capacity, minimum order quantities, and procurement rules in run time for the real-time allocation matrix.
Improve supply assurance to customers
Build feasible and diversified procurement plans by balancing plant demand, vendor capacity, cluster-level supply limits and supplier diversification rules.
Details
Solution type
Extensions and Add-ons
Industry
Consumer Products, Industrial Manufacturing, Wholesale Distribution, Retail, Cross-Industry
Compatibility
Works with
This product is compatible with or enhances the functionality of these SAP solutions but doesn't require them.
Features
Enable real-time sourcing decisions with AI-enabled workflow
Capture all demand and supply parameters in a single integrated workflow, enabling Purchase Managers to simplify complex, multi-dimensional procurement scenario analysis with an AI-powered allocation engine. Reduce days of effort to minutes during every procurement cycle.
Realign allocation to changing raw material costs and shipping charges
Resolve one of the biggest bottlenecks of sourcing analysis - identifying the impact of changes in prices and costs from the previous procurement run, by enabling procurement teams to reuse baselined price or upload latest pricing data and re-generate new procurement allocation within seconds.
Perform constraint and rule modeling easily (Capacity, MOQ, Constraints, etc)
Enforces vendor capacity, MOQ, cluster-specific supply restrictions, and an optional minimum-2-vendor rule alongside price. This turns a theoretical cost comparison into an executable purchase plan and directly mitigates single-source risk on commodities exposed to weather and market volatility.
Instantly generate the lowest-landed-cost sourcing recommendation
One click evaluates every vendor-plant-cluster combinations and generates a Vendor-Material-Plant-Quantity award at minimum landed cost, with KPIs and an exportable table. This turns hours of spreadsheet work into a quick, auditable, execution-ready sourcing decision.
Plans and pricing
All plans include:
- Dedicated support and ISO compliant ticketing tool
- SaaS or customer environment (SAP Business AI Platform) hosted
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- Multiple commodity configuration to suit purchase needs
- Customize procurement workflows
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- Up to 3 sourcing templates (for 3 Materials/Commodities)
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Technical Information
Technical details
| Solution type | Extensions and Add-ons |
| Category | Procurement |
| Industry | Consumer Products, Industrial Manufacturing, Wholesale Distribution, Retail, Cross-Industry |
| Works with |
|
Deployment and operations
The following information is provided by the publisher and applies to the latest app version available on the SAP Store. SAP does not control these policies and procedures; the publisher is solely responsible for the accuracy of the provided information.
| Deployment |
|
| Operations |
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Security and compliance
The following information is provided by the publisher and applies to the latest app version available on the SAP Store. SAP does not control these policies and procedures; the publisher is solely responsible for the accuracy of the provided information.
| Security |
|
| Compliance |
|
| Privacy policy |
SAP's privacy policy is not applicable to the use of this app. Please refer to the privacy policy provided by this app's partner. |
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Resources
Customer Success Story
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Technical Spec Document
Publisher
Hornbill Labs Private Limited
Hornbill Labs is an AI, Data and Analytics Company. Our mission is to transform businesses into Intelligent Enterprises with the power of the SAP Business AI and SAP Business Data Cloud combined with Hornbill.AI insights packages for industries and lines of businesses.
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