01_28-07-25_ARIBA_Ariba Introduction and Overview
Topics Covered -
SAP Ariba Training Session Planning, SAP Ariba Cloud Evolution Overview, Supplier Management Process Overview, Ariba Procurement Automation Overview, Ariba's Supply Chain Integration Advantages, SAP Ariba vs S/4hana Advantages, SAP MM vs Ariba Comparison,SAP Ariba Training Overview
Summary
SAP Ariba Training Session Planning
The meeting focused on the structure and content of upcoming SAP Ariba training sessions. Sree explained that daily sessions would follow a consistent format, including reviewing previous topics and maintaining detailed notes which would be shared at the end of each session. The team discussed SAP Ariba overview and modules, with Chetan asking about server access, which Sree clarified would be provided after finalizing subscription details. The session concluded with plans to cover Ariba screens in the next meeting.
SAP Ariba Cloud Evolution Overview
Sree explained the evolution of SAP Ariba from an on-premise to a cloud-based solution, highlighting its advantages such as reduced maintenance costs and improved accessibility. He noted that after SAP's acquisition in 2012, Ariba was only offered as a cloud platform, with subscription and user fees based on transactions and user volume. Sree also discussed the classification of Ariba modules into upstream and downstream categories, which are crucial for managing supplier and buyer relationships respectively.
Supplier Management Process Overview
Sree explained the process of supplier management, covering upstream activities like sourcing, contract management, and supplier qualification, as well as downstream activities such as supplier evaluation and performance monitoring. He emphasized the importance of evaluating suppliers based on specific business requirements, such as 24/7 support and vendor authorization, and discussed continuous improvement strategies to ensure suppliers meet evolving business needs. Sree also touched on the use of tools like SAP SRM and Ariba for supplier management.
Ariba Procurement Automation Overview
Sree explained the process of procurement automation using Ariba, covering the steps from creating a purchase requisition for a Macbook to final payment. The system will automatically trigger approval workflows, convert PRs to POs, and handle supplier communications through the SAP Ariba network. After delivery and goods receipt, the supplier can create an invoice which undergoes system validation before payment is scheduled through the existing payment system.
Ariba's Supply Chain Integration Advantages
Sree explained the flexibility and integration capabilities of Ariba's supply chain and procurement modules, highlighting that clients can choose any combination of modules and integrate with third-party systems. He emphasized Ariba's unique advantage over other ER systems, particularly its supplier network and sourcing capabilities, using a scenario to demonstrate how Ariba facilitates seamless supplier interactions through its platform. Sree also noted that Ariba provides a free middleware tool, "Manage the Gateway," for connecting SAP systems with Ariba, which is not available in other ER systems.
SAP Ariba vs S/4hana Advantages
Sree explained the advantages of using SAP Ariba over SAP S/4HANA, highlighting its superior features for supplier management, contract execution, and workflow automation. He detailed how Ariba enables more efficient supplier interactions, secure document access, and streamlined contract review processes. Sree also outlined the role of an SAP Ariba consultant, emphasizing the need for a mix of functional and technical expertise to configure systems, manage business processes, and provide user training. Phani inquired about the relationship between Ariba and SAP MM, and Sree clarified that Ariba extends SAP MM capabilities by providing a network for supplier interactions and quotations.
SAP MM vs Ariba Comparison
The discussion focused on comparing SAP MM and SAP Ariba for managing supplier quotations and transactions. Sree explained that while Ariba offers more advanced features like supplier competition and auction capabilities, it cannot fully replace MM due to inventory limitations and different business objectives. Naveenkumar inquired about Ariba network registration fees, and Sree clarified that suppliers can use a free standard account for unlimited RFP responses and invoice processing, while enterprise accounts are required for system integration with a sales system.
SAP Ariba Training Overview
Sree conducted a training session on SAP Ariba, explaining its features and functionality. He clarified that inventory is not part of SAP value and outlined the prerequisites for understanding procurement concepts. Sree discussed the continuous upgrade process of Ariba, emphasizing its unified system and lack of migration challenges. He addressed questions about product releases, customization options, and licensing types. Sree also highlighted the importance of interactive participation during the training sessions and encouraged attendees to practice using the system. He concluded by discussing the future of Ariba in the market and its competition with other procurement tools like Oracle Fusion.