Learn how SAP S/4HANA is transforming sourcing and procurement.
Get more information here: http://scn.sap.com/community/business-trends/blog/2016/08/01/why-sourcing-and-procurement-will-never-be-the-same-with-sap-s4hana
Why Sourcing and Procurement Will Never Be the Same with SAP S/4HANA
1. Meet Steve!
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Steve’s a procurement officer
at a manufacturing company
that just unveiled a promotion.
The promotion was met with
an overwhelming demand, and
Steve’s supplier is now struggling
to deliver the required quantities.
He’s also a procurement
officer working for a similar
company facing the same issue
of overwhelming demand and a
struggling supplier. Luckily, his
company runs SAP S/4HANA for
Sourcing and Procurement.
Despite the fact that the company
has sourced that exact same item from
other vendors in the past, Steve has no
search function that enables him to
easily locate these vendors.
Mark quickly types in the required material
number in his S/4HANA Google-like search
box. He instantly locates all the suppliers
that have delivered the material in the past.
Even after the painstaking process of
identifying suppliers, Steve doesn’t have
access to real-time supplier analytics to
evaluate whether the new suppliers can
actually meet the surge in demand.
Mark has access to real-time KPIs including
procurement spends, delivery dates, and
quantity deviations. He quickly evaluates
the suppliers and chooses one that
can meet the demand spike.
Because his system isn’t integrated with
his suppliers’, Steve relies on fax, email,
and mail to send purchase orders, order
confirmations, and invoices—taking
weeks for anything to get done.
After confirming the supplier can
deliver, Mark sends the purchase
order via the Ariba Network, which
immediately confirms receipt order
and electronically submits the invoice.
Steve doesn’t have an easy way to
measure and track his spend across
different suppliers and materials. He
can’t negotiate efficiently with suppliers
and often misses his target budget spend.
Mark can easily track his spend across
different suppliers and materials to
compare against goals, enabling him
to effectively negotiate his spend
and meet his budget targets.
While stock-outs lost customers and revenue for Steve’s company, Mark was able
to take advantage of the seasonal promotion and meet the spike in customer demand.
As digital technology continues to transform procurement
functions, SAP S/4HANA is the solution to help your
company run live. For more information about
SAP S/4HANA, visit sap.com/s4hana.
2.
Supplier
Evaluation
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
2.
Supplier
Evaluation
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
2.
Supplier
Evaluation
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
2.
Supplier
Evaluation
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
3.
Supplier
Collaboration
4.
Spend
Management
1.
Material
Search
2.
Supplier
Evaluation
3.
Supplier
Collaboration
4.
Spend
Management
Transforming Sourcing
and Procurement
with SAP S/4HANA
Now meet Mark!