Event timing rules in SAP Ariba are critical components in Sourcing that help control how and when an event occurs. These rules define the timing of bidding periods, preview periods, and review periods, ensuring a well-structured process that allows all participants to engage effectively. In this tutorial, we will explore how to configure event timing rules and some key considerations for different types of sourcing events.

Understanding Event Timing Rules

Event timing rules determine the schedule for the various stages of an event, such as when it opens for bidding, how long participants have to submit their bids, and the timeframes for review and decision-making. These rules can vary significantly depending on the type of sourcing event, such as Request for Information (RFI) or Request for Proposal (RFP).

Key Components of Event Timing Rules

  1. Preview Period: This is the time before the event officially opens for bidding. During this period, participants can view the event details but cannot submit responses. The preview period is useful for allowing participants to prepare and understand the requirements before submitting their bids.
  2. Bidding Period: The bidding period is the timeframe during which participants can submit their bids or responses. Depending on the event type, the bidding period can be open-ended or fixed to specific dates.
  3. Review Period: After the bidding period closes, the review period begins. During this time, the buyer evaluates the bids and decides which participants to select or award contracts to.

Configuring Event Timing Rules

To configure event timing rules in SAP Ariba Sourcing, follow these steps:

  1. Create the Event: Begin by creating an event in SAP Ariba Sourcing. Choose the type of event—such as RFI or RFP—based on your objectives.
  2. Set the Preview Period: If needed, configure a preview period to allow participants to see the event details in advance. This helps participants understand the requirements before bidding starts.
  3. Define the Bidding Period: Set the start and end dates for the bidding period. You can choose to start the bidding as soon as the event is published or set a specific date. Similarly, you can either end the bidding after a fixed duration or at a precise date and time.
  4. Specify the Review Period: After the bidding period ends, specify the review period during which you will evaluate the bids and make awarding decisions. Clearly defining this period helps participants understand when they can expect to receive feedback or results.
  5. Save and Publish the Event: Once all the timing rules are configured, save and publish the event. Participants will be able to see the timeline for each stage of the event, ensuring transparency.

Detailed Steps for Configuring the Review Period

  1. Access the Event Settings: After the bidding period ends, access the event settings to configure the review period.
  2. Set the Duration: Define the length of the review period. This can be done by specifying the number of days or setting a specific date range during which the evaluation will occur.
  3. Assign Reviewers: Assign individuals or teams responsible for evaluating the bids. This ensures that all bids are reviewed by the appropriate stakeholders within the defined timeframe.
  4. Evaluation Criteria: Establish the criteria for evaluating the bids, such as technical specifications, pricing, and supplier qualifications. This helps reviewers focus on key areas that are critical to making the final decision.
  5. Use Evaluation Tools: Utilize SAP Ariba’s built-in evaluation tools, such as scoring and comparison features, to assess the bids. This allows for a more efficient and systematic review process.
  6. Communicate with Participants: During the review period, maintain communication with participants, if necessary. Inform them if additional information or clarifications are required.
  7. Finalize the Decision: Once all bids have been reviewed, make the awarding decision. Ensure that the decision is documented and communicated clearly to all participants.

Examples of Different Bidding Rules

  1. Bid Decrement Rules: These rules determine the minimum amount by which a supplier must lower their bid in each subsequent round. For example, if the bid decrement is set at $500, each new bid must be at least $500 lower than the previous bid.
  2. Bid Increment Rules: Similar to bid decrement rules, these rules are used in forward auctions where participants are required to increase their bids by a specified minimum increment. For instance, a bid increment of $200 means each new bid must be at least $200 higher than the last bid.
  3. Bid Visibility Rules: These rules specify what information participants can see during the bidding process. For example, in a sealed bid event, participants may only see their own bids, while in an open auction, they may see the leading bid.
  4. Reserve Price Rules: These rules set a minimum price that must be met for the auction to be successful. If the reserve price is not met, the buyer is not obligated to accept any bids.
  5. Automatic Extension Rules: These rules automatically extend the bidding period if a new bid is placed in the final minutes of the auction. This encourages competitive bidding and prevents last-minute sniping.

Usage Considerations for Event Timing Rules

  • Request for Information (RFI): RFIs are generally less time-sensitive since they do not collect pricing information. You can set an RFI to open as soon as it is published and leave it open for as long as necessary for all suppliers to gather the required information and respond. If published to Preview status, participants cannot respond until the event is opened.
  • Request for Proposal (RFP): RFPs are used to collect pricing information, which means timing is more critical compared to RFIs. Typically, you may want the RFP to open for responses immediately after it is published, unless you anticipate making changes based on supplier feedback. You should also specify the date by which you expect to make your awarding decision, as this helps participants prepare accurate bids, especially if their pricing is influenced by external factors such as supply availability or planned workloads.
  • Setting Specific End Times: You can configure the bidding period to end after a specified duration or at a precise time. Providing clear end times is crucial, especially for events like auctions where timing impacts bidding strategies. For RFPs and auctions, specifying the exact end time helps participants plan their bidding strategies based on their supply and availability.
  1. What is SAP ARIBA?
  2. SAP Ariba Roles and Responsibilities?
  3. What is SAP Ariba product Portfolio?
  4. What is the SAP Ariba Dashboard?
  5. What is SAP Ariba Sourcing?
  6. Defining SAP Ariba Sourcing Terminology
  7. Different Ariba Sourcing Tools and Services.
  8. Different ARIBA Sourcing Project Types in SAP.
  9. SAP Ariba Sourcing Types.
  10. SAP Ariba Sourcing Event Process

Summary

Event timing rules in SAP Ariba Sourcing are essential for ensuring that events run smoothly and participants are well-informed throughout the process. By configuring preview, bidding, and review periods effectively, you can facilitate a structured and fair bidding process. Follow the steps outlined in this tutorial to set up event timing rules that align with your sourcing objectives and ensure a seamless experience for all participants.