Sap ariba network

SAP Ariba is a cloud-based innovative solution that allows suppliers and buyers to connect and do business on a single platform. It improves over all vendor management system of an organization by providing less costly ways of procurement and making business simple. Ariba acts as supply chain, procurement service to do business globally. SAP Ariba digitally transforms your supply chain, procurement and contract management process.

INTRODUCTION TO THE ARIBA NETWORK

In today’s world, there is a need to control your supply chain and to collaborate with your suppliers in an efficient way. To enable a healthy supply chain, you need to have suppliers with visibility to every part of the procurement process so that they can maintain an efficient supply chain and help organizations to grow their own business.

The cloud based innovative solution was first developed in 1996 by a company named Ariba and was later acquired by SAP in 2012 with a total acquisition cost of 4.3 billion USD with each share cost $45. Thus, the name SAP Ariba. At the onset, Ariba was a B2B company to do procurement over the Internet and was the first one to introduce IPO in 1999.

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BENEFITS OF USING THE ARIBA NETWORK:

With a solution suite integrated into the digital heart of SAP S/4HANA, SAP Ariba enables businesses to reinvent spend management. The following are a few of SAP Ariba's main advantages:

With connectivity to SAP Supplier Relationship Management (SRM) and other ERP applications, the procurement and sourcing process is made simpler.enables supplier risk, compliance, and sustainability management with transparency and scalability.

You can access it from anywhere because to its cloud-based nature, and putting it up has reduced upfront capital expenditures.

Make your supplier qualification, segmentation, and onboarding specific to your business unit, geography, and category

Access the Ariba Network, which connects more than 4 million businesses.

TYPES OF ARIBA BUSINESS NETWORKS:

Below are the types of Ariba business networks such as;

• Buying organization view.

• Suppliers view

• Purchase order life cycle

Let us know them one by one;

Buying organization view.

The SAP procurement solutions, such as SAP Ariba purchasing and invoicing, can be used by the buying organisation view to create purchase orders and make it possible to transmit them to the appropriate clients via the Ariba network.

Purchasing an organisation view allows you to send cXML documents between the external ERP system and Ariba network apps using SAP Ariba commerce automation.

The following are some usage of the SAP Ariba network by purchasing organisations:

to look for vendors who can provide the needed goods and services.

To send purchase orders and receive invoices To invite suppliers to join a trade relationship

Obtain order confirmations and shipping notifications

Sending payment documentation

SUPPLIERS VIEW:

a vendor in an Ariba network who offers any goods or services. The ability for suppliers to have another advantage of using the SAP Ariba network for the suppliers' view.

The options that Suppliers see in the offer are as follows:

Access a network of companies that conduct high-volume purchases.

Make contact with particular purchasing organisations that are considering the supplier's goods or services.

Publish catalogues with information and costs that are tailored to particular clients.

Sort goods and services into categories so that customers may find them when doing a category search.

Suppliers can receive documents by email, fax, online (using your Ariba Network inbox and outbox), cXML, or any other way that best suits their business needs.

THE PURCHASE ORDER LIFE CYCLE:

Suppliers upload each information on the Ariba network site for validations after successfully creating their catalogue files that define the goods and services. Following that, they publish their catalogues to the targeted clients.

The options provided by the purchase order life cycle are listed below;

Initiating buy requisitions that are forwarded via their companies for approval, their customer uses their procurement application to explore catalogues for goods and services.

As soon as they are approved, the customer's procurement application turns the requisitions into purchase orders and transmits them to Ariba Network in cXML format.

The purchase orders are delivered via Ariba Network to the supplier's account, where they can be viewed in their online inbox and received in accordance with the chosen routing mechanism.

Sap Ariba Training helps you acquire a resourceful cloud-based solution that enables suppliers and buyers to connect and do business on a single platform.