Table of Contents

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Foreword
17
Preface
19
Target Audience
21
Objective
22
Structure of this Book
22
Acknowledgments
25
1 Introduction to SAP Ariba
27
1.1 Procurement: From On-Premise Solutions to the Cloud
28
1.2 SAP Ariba
32
1.2.1 SAP Ariba Process Areas
34
1.2.2 SAP Ariba Mobile App Features
35
1.3 Cloud Solutions at a Glance
36
1.4 Cloud, On-Premise, and Hybrid Models
37
1.5 Hybrid Deployments
40
1.5.1 Strategic Sourcing
41
1.5.2 MRO, Indirect, and Services Procurement
42
1.5.3 Direct Procurement
43
1.5.4 Accounts Payable and Invoicing
45
1.6 Cloud Implementation Model
46
1.6.1 SAP Activate
46
1.6.2 Time-to-Value Acceleration
51
1.6.3 Enhancement and Modification Limitations
53
1.7 Summary
55
2 Supplier Collaboration
57
2.1 What Is Supplier Collaboration?
58
2.1.1 Supplier Collaboration Strategies
58
2.1.2 Ariba Network
58
2.2 Implementing the Ariba Network
60
2.2.1 Strategy
61
2.2.2 Design and Build
62
2.2.3 Supplier Onboarding
65
2.2.4 Network Growth
67
2.2.5 Resources
68
2.2.6 Change Management
69
2.2.7 Customer Long-Term Supplier Enablement Program
70
2.3 Onboarding Suppliers
72
2.3.1 The Supplier Information Portal
73
2.3.2 Uploading Suppliers
74
2.3.3 Assigning and Monitoring Tasks
76
2.3.4 Buyer Tasks
77
2.3.5 Monitoring Suppliers
77
2.4 Enabling Suppliers
78
2.4.1 Configurations
80
2.4.2 Supplier Enablement Notifications
82
2.4.3 Supplier Enablement Reports
83
2.4.4 Supplier Integration
85
2.5 Becoming a Supplier on the Sales Side
89
2.6 Buying with the Ariba Network
92
2.7 Purchase Order and Invoice Automation with the Ariba Network
93
2.8 Summary
99
3 Supplier Lifecycle Performance and Risk Management
101
3.1 What Is Supplier Lifecycle Performance and Risk Management?
102
3.1.1 Supplier Management Strategies
102
3.1.2 SAP Ariba Portfolio
104
3.2 SAP Ariba Supplier Lifecycle and Performance
105
3.2.1 Application at a Glance
105
3.2.2 Monitoring Your Supplier Management Activities
108
3.2.3 Monitoring the Suppliers You Manage
108
3.2.4 Using the Supplier 360-Degree View
109
3.2.5 Supplier Information Process Flow
111
3.2.6 Supplier Request Process
112
3.2.7 Supplier Registration
119
3.2.8 Supplier Qualification Process
129
3.2.9 Preferred Supplier Management Process
142
3.2.10 Modular Questionnaire Process
146
3.2.11 Approving, Denying, or Requesting Additional Information During Modular Questionnaire Approvals
148
3.2.12 Configuring Supplier Certification Management Using Modular Questionnaires
148
3.2.13 Configuring SAP Ariba Supplier Lifecycle and Performance
150
3.2.14 Creating and Configuring Supplier Request Templates
153
3.2.15 Configuring Supplier Registration Template
161
3.2.16 Configuring Workflow Approval Tasks
164
3.2.17 Configuring the Supplier Qualification Template
167
3.2.18 Configuring the Supplier Disqualification Template
170
3.2.19 Configuring Preferred Supplier Management Project Template
172
3.2.20 Configuring Modular Questionnaire Templates
174
3.2.21 Configuring Banking and Tax Questions in Supplier Management Questionnaires
177
3.2.22 Loading Master Data
179
3.3 SAP Ariba Supplier Risk
181
3.3.1 Application at a Glance
182
3.3.2 Risk Assessment Process
184
3.3.3 Engagement Risk Issues Management Process
185
3.3.4 Planning the Implementation of SAP Ariba Supplier Risk
186
3.3.5 Configuring SAP Ariba Supplier Risk
190
3.3.6 Configuring Risk Assessment Project Templates
194
3.3.7 Configuring Issues Management Project Templates
196
3.4 Summary
198
4 Sourcing
199
4.1 What Is Sourcing?
200
4.1.1 Sourcing Strategies
200
4.1.2 SAP Ariba Portfolio
201
4.2 SAP Ariba Sourcing
202
4.2.1 Application at a Glance
204
4.2.2 Planning the Implementation
217
4.2.3 Configuring SAP Ariba Sourcing
222
4.2.4 Creating and Configuring Sourcing Request Templates
222
4.2.5 Creating and Configuring Sourcing Project Templates
227
4.2.6 Creating and Configuring RFx Event Templates
234
4.2.7 Configuring Sourcing Library
236
4.2.8 Configuring Approval Tasks in Templates
238
4.2.9 Sourcing as a Buyer
242
4.2.10 Sourcing as a Supplier
242
4.3 SAP Ariba Discovery
243
4.3.1 Application at a Glance
244
4.3.2 Recommended Sourcing Scenarios for SAP Ariba Discovery
245
4.3.3 Planning Your Implementation
247
4.3.4 Configuring SAP Ariba Discovery
247
4.4 SAP Ariba Strategic Sourcing for Product Sourcing
247
4.4.1 Application at a Glance
249
4.4.2 Planning Your Implementation
258
4.4.3 Creating and Configuring Simple RFx Event Templates for Materials
258
4.4.4 Configuring Parameters for Product Sourcing
260
4.5 Summary
262
5 Contract Management
265
5.1 What Is Contract Management?
266
5.1.1 Contract Management Strategies for Indirect Procurement
266
5.1.2 SAP Ariba Contracts
268
5.2 Planning Your Implementation
271
5.2.1 Prepare Phase
271
5.2.2 Explore Phase
272
5.2.3 Realize Phase
275
5.2.4 Deploy Phase
276
5.3 Configuring SAP Ariba Contracts
276
5.3.1 Creating Project Templates
278
5.3.2 Contract Authoring Process
289
5.3.3 Configuring Workflow Approval Tasks
293
5.3.4 Create Custom Fields Required on Contract Requests and Contract Workspace
297
5.3.5 Loading Master Data
300
5.3.6 Enabling Electronic Signatures
301
5.3.7 Enabling Reports on Contracts Dashboard
303
5.4 Creating Contracts
305
5.4.1 Contract Creation
306
5.4.2 Contract Execution and Consumption
307
5.5 Consuming Contracts
311
5.6 Amending Contracts
312
5.7 Using Contracts with Other Applications
315
5.7.1 Using Contracts in SAP Ariba Buying and Invoicing
315
5.7.2 Consideration When Using Contract Compliance in SAP Ariba Buying and Invoicing with SAP Ariba Contracts
317
5.7.3 Using Contracts in SAP ERP Backend
318
5.8 Summary
319
6 Guided Buying
321
6.1 What Is Guiding Buying?
321
6.1.1 Buying Strategies
322
6.1.2 SAP Ariba Guided Buying Capability
324
6.2 Planning Your Implementation
326
6.3 Configuring the SAP Ariba Guided Buying Capability
328
6.3.1 Approval Flows
330
6.3.2 Spot Buying
331
6.3.3 Images
331
6.3.4 Tiles
334
6.3.5 Landing Pages
335
6.3.6 Homepage
337
6.3.7 Users and Groups
338
6.3.8 Purchasing Units
339
6.3.9 Categories
339
6.3.10 Catalogs
340
6.3.11 Suppliers, Preferred Suppliers, and Supplier Management
341
6.3.12 Forms
342
6.3.13 Purchasing Policies
344
6.3.14 Help Community
347
6.3.15 Tactical Sourcing
351
6.3.16 Purchase Orders
352
6.3.17 Receiving
352
6.3.18 Mobile Solution
353
6.4 SAP Ariba Guided Buying Capability in Procurement Operations
354
6.5 Summary
355
7 Operational Procurement
357
7.1 SAP Ariba Buying and Invoicing, SAP Ariba Buying, and SAP Ariba Catalog
357
7.1.1 SAP Ariba Buying and SAP Ariba Invoicing and Buying
359
7.1.2 SAP Ariba Services Procurement for Operational Sourcing, SAP Ariba Buying and Invoicing, and SAP Ariba Buying
370
7.2 Implementing SAP Ariba Buying and Invoicing and SAP Ariba Buying
374
7.2.1 SAP Ariba Buying and Invoicing and SAP Ariba Buying Projects
374
7.2.2 SAP Ariba Buying Deployment
384
7.2.3 Standalone Implementations
408
7.2.4 Integrated Implementations
409
7.2.5 Defining Project Resources and Timelines
415
7.2.6 SAP Ariba Buying, Multi-ERP Edition
424
7.3 SAP Fieldglass Vendor Management System
428
7.4 Implementing SAP Fieldglass Vendor Management System
435
7.4.1 Planning Your Implementation
435
7.4.2 Defining Project Resources, Phases, and Timelines
439
7.5 Summary
446
8 Invoice Management
447
8.1 What Is Invoice Management?
447
8.1.1 Invoice Management Strategies
448
8.1.2 SAP Ariba Portfolio
448
8.2 SAP Ariba Invoice Management
449
8.2.1 Electronic Invoice Management at a Glance
451
8.2.2 Integrated Implementations
458
8.2.3 Data Sources and Solution Landscape Inventory
459
8.3 SAP Ariba Payables
460
8.3.1 SAP Ariba Payables at a Glance
461
8.3.2 Creating and Managing Payments in SAP Ariba Payables
470
8.4 Implementing and Configuring SAP Ariba Invoice Management and SAP Ariba Payables
484
8.4.1 Planning Your Implementation: SAP Ariba Electronic Invoice Automation and SAP Ariba Payables
485
8.4.2 Build Preparation and Connectivity Phase
495
8.4.3 Go-Live and Wrap-Up
498
8.5 Summary
502
9 Spend Analysis
503
9.1 What Is Spend Analysis?
503
9.1.1 Spend Analysis Strategies
505
9.1.2 SAP Ariba Spend Analysis
506
9.2 Planning Your Implementation
510
9.2.1 Prepare and Kickoff Phases
511
9.2.2 Data Collection
516
9.2.3 Data Validation
517
9.2.4 Data Enrichment
518
9.2.5 Deployment
519
9.3 Configuring SAP Ariba Spend Analysis
520
9.3.1 Configuring File Validation
520
9.3.2 Setting Opportunity Search Date Ranges
521
9.3.3 Configuring Star Schema Export
522
9.3.4 Configuring Non-English UNSPSC Code Display
523
9.3.5 Integrating SAP Ariba Spend Analysis and SAP Ariba Data Enrichment Services
523
9.3.6 Enrichment Change Request Setting
525
9.3.7 Managing Data Access Control
528
9.4 Integrating SAP Ariba Spend Analysis with SAP Analytics Cloud and On-Premise Data Sources
530
9.5 Mining Procurement Operations for Data
531
9.5.1 Data Types
531
9.5.2 SAP Ariba Spend Analysis: Areas for Analysis
532
9.5.3 Work Areas
534
9.5.4 Key Reports and Corresponding Impact Areas
536
9.5.5 Key Data Sources and Options for Importing into SAP Ariba Spend Analysis
542
9.6 Summary
546
10 SAP Ariba Integration
549
10.1 SAP Ariba Integration Projects and Connectivity Options
550
10.2 Ariba Network Purchase Order and Invoice Automation with Purchasing Integration Options
554
10.2.1 Conducting Transactions with Ariba Network Integrated with SAP S/4HANA
556
10.2.2 Ariba Network Customer and Supplier Interaction
559
10.2.3 Confirming and Order Fulfillment
561
10.2.4 Confirming Goods Receipts
563
10.2.5 Invoice Creation
564
10.3 SAP Ariba Sourcing Integration with SAP S/4HANA
567
10.3.1 Key Process Steps
568
10.3.2 Conducting Transactions with SAP Ariba Sourcing Integrated with SAP S/4HANA
569
10.3.3 Creating a New RFQ in SAP S/4HANA
569
10.3.4 RFQ in SAP Ariba Sourcing
573
10.3.5 Supplier Processing of RFP
577
10.3.6 Bid Processing in SAP Ariba
579
10.3.7 Creating Follow-On Documents for RFPs
581
10.4 SAP Ariba Supply Chain Collaboration for Buyers
583
10.4.1 SAP Ariba Supply Chain Collaboration for Buyers Capabilities
586
10.4.2 Supplier Record in SAP ERP
589
10.4.3 Supplier and Buyer Collaboration in the Ariba Network
590
10.4.4 Scheduling Agreements in SAP Ariba Supply Chain Collaboration for Buyers
591
10.4.5 Scheduling Agreement Release Collaboration
592
10.4.6 Contract Manufacturing Collaboration
596
10.4.7 Order Collaboration Process for Direct Materials
598
10.4.8 Purchase Order Line Item Views
599
10.4.9 Invoice Enhancements for Self-Billing in the Ariba Network
599
10.4.10 Consignment Collaboration
600
10.4.11 Conducting Transactions in SAP Ariba Supply Chain Collaboration for Buyers
601
10.5 SAP Ariba Cloud Integration Gateway
623
10.5.1 SAP Cloud Platform Integration and SAP Ariba Cloud Integration Gateway
627
10.5.2 Backend Configuration
631
10.5.3 General Configuration
635
10.5.4 Ariba Network Integration
640
10.5.5 Additional Integration Options for Older Versions of SAP ERP
644
10.5.6 Integration Pointers for SAP ERP and SAP Business Suite
646
10.5.7 SAP Master Data Integration in ERP
649
10.5.8 SAP Ariba Sourcing Integration
649
10.5.9 SAP Ariba Procurement Integration in ERP
654
10.5.10 SAP Ariba Cloud Integration Gateway Extensions
663
10.5.11 Migrating to SAP Ariba Cloud Integration Gateway
664
10.6 Summary
666
11 Conclusion
667
11.1 Summary
668
11.2 The Future of Procurement Solutions
671
11.2.1 Procure-to-Pay and Order-to-Cash Processes
671
11.2.2 In-Memory Computing, Real-Time Analytics, Machine Learning, and Decision-Making
671
11.2.3 Big Data
672
11.2.4 Blockchain
672
11.2.5 Consumer-Grade User Experiences
673
11.2.6 SAP’s Intelligent Enterprise
673
11.2.7 Conclusion
674
The Authors
675
Index
677