Understanding SAP Ariba Sourcing terminology is crucial for anyone involved in procurement and supply chain management. SAP Ariba is a platform that simplifies sourcing processes, and knowing the specific terms used within the system can greatly enhance efficiency and collaboration. This tutorial provides an overview of the key terms you need to know to effectively use SAP Ariba Sourcing.
SAP Ariba Sourcing Terminology
1. Event
An Event refers to publishing data to suppliers or buyers and gathering their responses to questions or bids for goods or services. Events may include Requests for Information (RFIs), Requests for Proposals (RFPs), and forward and reverse auctions. Events streamline communication between buyers and suppliers and help in making informed purchasing decisions.
2. Project
A Project is a container that holds all documents and information related to a sourcing event, contract, or procurement project. Projects enable multiple users to work together, with clearly defined roles and tasks. This structure ensures that all sourcing activities are well-organized and team members are aligned.
3. Sourcing Request and Sourcing Event
- A Sourcing Request is an internal request to start a sourcing process for a particular item or service.
- A Sourcing Event is an externally shared event where suppliers are invited to bid or participate in auctions.
4. Forward and Reverse Auctions
- Forward Auction: Suppliers compete to sell goods or services to buyers, with buyers bidding higher prices.
- Reverse Auction: Suppliers compete to offer the lowest price, driving costs down for the buyer.
5. User Roles in SAP Ariba Sourcing
Below is a table of roles in SAP Ariba Sourcing and their descriptions:
| User Role | Description |
|---|---|
| Category Manager | Manages categories of goods or services within sourcing projects. |
| Commodity Manager | Manages commodity groups, aligning procurement with market conditions. |
| Event Administrator | Creates and manages sourcing events (requires SAP Ariba approval). |
| Junior Sourcing Agent | Supports sourcing events and assists in document preparation. |
| Procurement Agent | Manages procurement activities, including suppliers and RFQs. |
| Sourcing Agent | Manages sourcing activities, runs events, and evaluates bids. |
| Sourcing Approver | Reviews and approves sourcing projects to ensure compliance. |
| Operational Junior Sourcing Agent | Supports guided buying customers using operational sourcing. |
| Operational Sourcing Agent | Manages guided buying activities and supplier negotiations. |
| Operational Sourcing Approver | Approves guided buying activities to meet operational needs. |
6. RFIs, RFPs, and RFQs
- Request for Information (RFI): Collects information about suppliers’ capabilities.
- Request for Proposal (RFP): Invites suppliers to provide proposals for specific goods or services.
- Request for Quotation (RFQ): Used to obtain pricing information before selecting a supplier.
7. Audit Log
An Audit Log is a record of all actions and activities within SAP Ariba Sourcing. It ensures traceability, allowing users to track changes, maintain accountability, and ensure transparency.
8. Supplier Onboarding
Supplier Onboarding involves registering and qualifying suppliers within SAP Ariba. This process ensures that suppliers meet requirements and are ready to participate in sourcing events.
- What is SAP ARIBA?
- SAP Ariba Roles and Responsibilities?
- What is SAP Ariba product Portfolio?
- What is the SAP Ariba Dashboard?
- What is SAP Ariba Sourcing?
- Different Ariba Sourcing Tools and Services.
Conclusion
SAP Ariba Sourcing terminology helps streamline procurement, enhance collaboration, and ensure efficient supplier engagement. Understanding key terms like Events, Projects, RFIs, RFPs, and User Roles is essential for getting the most out of SAP Ariba. Mastering this terminology will help you navigate the platform, improve procurement outcomes, and foster stronger supplier relationships.