SAP Ariba Overview 1636514969

Ariba Overview
ISM SOLUTION OVERVIEW A N A LY T I C S A N D I N T E L L I G E N C E

AGENDA
SOURCE AND CONTRACT CENTRAL PROCUREMENT
PLAN AND FORECAST P L AT F O R M A N D T E C H N O L O G Y
BUY AND DELIVER C U S T O M E R VA L U E S E R V I C E S
I N V O I C E A N D PAY
T R A D I N G PA R T N E R
& RISK MANAGEMENT
© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 2

AGENDA
& RISK MANAGEMENT

SAP SOURCE TO PAY PROCESS OVERVIEW
TRADING PARTNERS — ORDER TO CASH
T R AD I N G P AR T N E R & R I S K M AN AG E M E N T / T R AD I N G P AR T N E R C O L L AB O R AT I O N
Source to pay visibility

Vet and manage trading Minimize risks associated Business rules, application
and Collaboration
partner relationships with trading partners and network Integration
S E L F - S E R V I C E C O N F I G U R AT I O N
E X T E N I S I B I L I T Y & I N T E G R AT I O N
among trading partners
S O U R C E & C O N T R AC T P L AN & F O R E C AS T BUY & DELIVER I N V O I C E & P AY
Plan and forecast Initiate a Request for Create/Manage the

Define and create the
demand for goods, purchasing goods & Invoices and Credit
Category strategy services and resources services memos
Identify and Source Execute Orders for Apply early

material and service need goods & services payment options
Negotiate & manage Pay trading partners for

Deliver & Receive
Contracts with trading goods delivered and
partners goods & services services rendered
ANALYTICS & INTELLIGENCE / CENTRAL PROCUREMENT FUNCTIONS
Utilize Analytics and Digital Innovation to improve

Leverage Central Procurement functions
source to pay process execution
BUYERS — SOURCE TO PAY

SAP SOURCE TO PAY SOLUTION PORTFOLIO
Supplier Lifecycle &

Supplier Risk Network
Performance
C U S T O M E R V AL U E S E R V I C E S
P L AT F O R M & T E C H N O L O G Y
SOURCE & CONTRACT PLAN & FORECAST BUY & DELIVER INVOICE & PAY
Spend Forecast Operational

Analysis Invoice
Collaboration Procurement
Inventory Services Early Payment

Sourcing Collaboration Procurement Discounts
Contract Direct Payments on

Management Procurement Maturity
Digital Innovation Central

Analytics Process Mining (IoT, AI/ML, blockchain, Big data) Procurement

SAP SOURCE TO PAY VALUE LEVERS
69 - 83% 36 - 48% 50-70%

reduction in supplier fewer Compliance & Risk faster transaction cycles for
onboarding cycle time Management FTEs buyers + suppliers
CUSTOMER VALUE SERVICES

PLATFORM & TECHNOLOGY
4-15% 4-12% 5-15% 3% improvement in $2-3M

average Unit Price lower days in Inventory project completion on savings per
Reduction Inventory write-offs budget $1 billion of target
$20M 13 - 36% $20M 1-2% reduction in

contract leakage lower rev loss contract leakage external workforce
per $1 billion of spend due to stock-outs per $1 billion of spend cost
40-50%
operating cost reduction due
to efficiency gains
27 – 36% lower analysis & reporting costs 19 – 30% less time spent by IT on design & integration per ERP

ARIBA NETWORK IS THE INFRASTRUCTURE
Supporting trading partner collaboration
E D I , E M AI L , F AX , P O R T AL , P AP E R AR I B A N E T W O R K
Contract
Manufacturing
High Tech
Component
Suppliers
Industrial
Subassembly
Manufacturing
BUYER 71 TRADING PARTNER
Raw Material
Automotive Suppliers
Distribution
Centers
CPG Logistics
Provider
P O I N T- TO - P O I N T I N T E G R AT I O N BUSINESS NETWORK MODEL

▪ Processes customized per trading partner ▪ 1-time connect for trading partners
▪ EDI formats and connectivity standards ▪ Standardized processes across trading partners
▪ Minimal non-repeatable business logic ▪ Multiple connectivity options with 70+ business
documents
▪ No aggregated data content
▪ Configurable rules and business logic
▪ Low adoption rate, low value, high cost
▪ Community intelligence and insights
© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

▪ High adoption rate, high value, low or no costs
7
BUSINESS COLLABORATIONS - REDEFINE COLLABORATIVE
COMMERCE PO / Blanket Order
Service Order
Order Status Request Goods Receipt

Order Confirmation
Quote Request / Price Update Component receipt
Return PO Shipment Notice
Service Estimate Request Component Consumption
Return Ship Notice Catalog
Goods Return Posting Goods Receipt Notice Manufacturing Visibility
Order Status Response
Consignment PO Candidate Selection
Transport Confirmation
Quote Bid / Price Response
Consignment Withdrawals CC Invoice
TRADING Service Estimate Response Forecast Commit
BUYER
Subcontracting PO ERS/Self-Billing Invoice PARTNER
Candidate Proposal Supplier Forecast
Component Ship Notice Service Entry Response
Invoice Supply Upside
Component Inventory Overview Invoice Status
Credit Memo Panned repl. Notification
Scheduling Agreement Payment Proposal
Debit Memo Quality Notification Response
Transport Request Discount Proposal/Accept
Service Entry Sheet Quality Inspection Response
Quality Notification Request Payment
Discount Accept/Proposal Quality Review Document

Quality Inspection Request Remittance Advice
71 COLLABORATIONS
Quality Inspection Decision Sourcing Event Timesheets Supplier Registration
Quality Review Document Discovery Posting Buy and Deliver – Direct Forecast SOW Confirmation Supplier Qualification Response
Forecast Contract Negotiation Quality Collaboration Buy and Deliver - Indirect Sourcing Bid Buyer/Supplier Survey Response
Inventory Min-Max Levels Supplier Onboarding Source & Contract SLP & Risk Discovery Lead/Bid Supplier Performance Review
Inventory Invoice and Pay
SMI SA Supplier Qualification Request Contract Negotiation
Risk Assessment Response
Buyer/Supplier Survey Request
Supplier Performance Review

Risk Assessments
ARIBA NETWORK:
Connect and Communicate to redefine Collaborative Commerce
Infuse intelligence Connect to new partners Join a trusted,

at every turn and innovations thriving network
Inject intelligence into collaboration - Bring buyers and suppliers together Invest in a network designed to grow
using data from every point of contact to co-create new ideas and connect — the largest business network in the
to make each interaction more to an ecosystem of partners to world with the resources and expertise
informed, each process more efficient extend and enhance your solution. to keep building and expanding, so you
and every experience more meaningful. never stop seeing more innovation,
more intelligence and new value.
9
INFUSE INTELLIGENCE AT EVER TURN
• Benchmarks across every S2P

Use the community to sub-process
become more • Catalog insights
competitive
• like products found in the Spot
Buy marketplace.
Quickly and easily • Confidence levels on bids
find qualified
partners’ in new • Real-time KPIs based on
commodity areas existing commerce
10
CONNECT TO NEW PARTNERS AND INNOVATIONS
• Thompson Reuters
Use web services and
APIs to integrate and • American Express
extend solution • FRDM
• RapidRatings
Growing ecosystem • Spot Buy
of targeted solutions
• And many more…
11
JOIN A TRUSTED, GLOBAL, THRIVING NETWORK …
SAME GDP AS THE UK (6th)
4
MILLION
58
SECONDS
$3
TRILLION
Trading partners a company joins in annual commerce
495
MILLION
597
T H O U S AN D
190
COUNTRIES
Documents annually Timesheets processed Where our Trading Partners
processed (all types) annually are located
200
T H O U S AN D
461
T H O U S AN D
26
MILLION
Catalogs on Ariba Network Leads sent annually to sellers Users

4 Million Trading
Partners on Ariba
Network
exchanging 495 Million

documents annually
Ariba Network with

equivalent GDP as
the UK 3T

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




SOURCE AND CONTRACT CHALLENGES
▪ Spend obscured in multiple systems ▪ Lack of easy and seamless ▪ Contracts stored separately from
integration operational procurement systems
▪ Supplier qualification and
segmentation status not available in ▪ Manual and error-prone direct ▪ Limited visibility into spend, savings,
sourcing and contract management procurement processes and other key metrics
systems
“How can I “How can I “Can our “How can I source “How can I track
connect the bring products contract direct material and execute an
supplier onboarding to market owners get when material RFx or auction
and qualification faster?” automatic management, in a single
processes with notifications pricing, and integrated
strategic sourcing?” of pending forecasting are all platform?”
expirations?” complex issues?”

BUSINESS COLLABORATIONS — SOURCE & CONTRACT
Quote Request / Price Update Quote Bid / Price Response

BUYER TRADING
PARTNER
Sourcing Event Sourcing Bid
Discovery Posting Discovery Lead/Bid
Contract Negotiation Contract Negotiation ONLINE TRADING

PARTNER
5 COLLABORATIONS
Buy and Deliver – Direct Forecast
Quality Collaboration Buy and Deliver - Indirect
Source & Contract SLP & Risk
*additional Procurement Collab.

SPEND ANALYSIS
Your on-ramp to effective spend management
CAPABILITIES
▪ What? - Granular commodity classification

against standard and custom taxonomies
▪ Who? - Supplier Data normalization and
enrichment with Dun & Bradstreet (D&B) for
supply base insights including organization
relationships
▪ “White” glove service in addition to machine
classification and normalization
▪ Optional green/diversity/risk scores through D&B
▪ AI/ML for real-time classification on spend and
normalization of your supplier base
▪ Unlock new insights with blazingly fast analytics
on HANA including Prepackaged, best-practice
reports, role-specific dashboards, and slice-and-
dice analysis
▪ Compound reports for a complete 360-degree
view of suppliers, commodities and business
units
▪ Optional - gauge your spend profile and compare
insights on key metrics against aggregated and
anonymized peer group data and benchmark
indices (i.e. CPI and sourcing savings)

STRATEGIC SOURCING
Price reduction and quality protection
CAPABILITIES
▪ Sourcing Program & Event Management

▪ Electronic, template-based event support for RFI,
RFP, RFQ
▪ Multiple auction type support (reverse, index,
forward) with patented rules to drive best market
results
▪ Integrated to Ariba Discovery to identify new
suppliers
▪ Supplier qualification and segmentation
▪ Savings Pipeline and Tracking
▪ Integrated Customer Support, Sourcing support
desk, Event Day Management and Best Practice
Center
▪ Approvals – Desktop, Email & Mobile
▪ Comprehensive automated and team scoring
features, comparison reporting
▪ Dynamic, real-time event views, reporting and
decision analysis of multiple “what if “scenarios
▪ Constraint-based optimization based on price,
total cost, score, or question response, supplier
profile, allocations, and volumes

PRODUCT SOURCING
CAPABILITIES
Integration
▪ Pre-built packages for SAP ERP integration –
Material master, BOM upload, PIR (Purchase
Info Record) integrations
Product Sourcing
▪ Powerful tools to support end-to-end business
processes (ERP-Ariba-ERP)
▪ Product Life-Cycle Sourcing
▪ Multilevel bill of materials (BOM) support
▪ PDX package import from PLM system
▪ Material 360 –Single page overview on price
trends, sourcing events, contracts, PIR and
associated suppliers
▪ BOM quote, BOM comparison & tracking
of changes
Direct Sourcing
▪ Complex pricing conditions, What-If analysis &
advanced optimization
▪ Clean sheet – RFx templates for direct materials,
Zero based costing
Coming Soon
▪ BOM collaboration with suppliers
▪ ECN integration

SUPPLY BASE OPTIMIZATION
CAPABILITIES
▪ Workbench for the buyer to efficiently drive price

re-negotiations and optimize business award
decisions with existing suppliers of direct
materials
▪ Out-of-the-box integration to SAP ERP and SAP
S/4HANA for master and transactional data
provisioning and updates
▪ Embedded and predictive analytics for target
price setting and progress tracking against
targets
▪ Access to public market benchmark pricing and
supply risk factors from partner Paradata
▪ Suppliers can submit prices through standalone
web UI, Excel upload or Ariba Network
▪ Business rules to drive system recommendations
for optimal business award splits
▪ Simulation and comparison of different awarding
scenarios
▪ Messaging and logging of interaction with
suppliers
▪ Project overview and management dashboards
for progress tracking and reporting
▪ SAP Cloud Platform based standalone
deployment possible in any hybrid/legacy
environment (ERP, PLM, Planning, Sourcing)

INDUSTRY SOURCING - RETAIL
CAPABILITIES
▪ Support for Article master data & category

attribute hierarchy
▪ Article master integration to IS-Retail
▪ Manual import of Article master data
▪ Ability to create ad-hoc articles in sourcing
events
▪ Ability to create display and articles in ERP with
requests initiating in Ariba
▪ Contract terms in category attribute hierarchy
▪ Conditions in category attribute hierarchy
▪ PIR integration to ERP
▪ Association of category specific questions – for
auto additions of questions to sourcing events
▪ Advanced filtering abilities for article search
Coming Soon
▪ Factory integration with sourcing & contracts
▪ Product questionnaire
▪ Product information management integration

CONTRACTS
CAPABILITIES
▪ Manage the end to end contract authoring review

and approval process
▪ Contract Creation with MS Word Integration,
approval workflow, templates & clause library
▪ Create contracts from sourcing projects (with
auto-association to project)
▪ Add existing contracts to sourcing project
environments
▪ Contract terms Integrated to Procurement Usage
& Sourcing Processes for Compliance
▪ Repository, Reports, and Alerts
▪ Contracts of any type: Buy, Sell,
Internal/Corporate, NDA
▪ PDF conversion/assembly for contract execution
including eSignatures through DocuSign and
Adobe EchoSign
▪ Manage contract addendums and documents

PROCUREMENT DESK FOR SOURCING
CAPABILITIES
▪ Role-based workbench views for operational

sourcing users and their managers to manage
activities and tasks that have been
assigned/delegated and those that are
unassigned.
▪ Automatic allocation of tasks to the appropriate
users based on defined attributes of the sourcing
projects or sourcing requests.
▪ Predefined turnaround times – service level
agreements (SLAs )
▪ Display of alerts and warnings for users to
prioritize their tasks to comply with defined
service level agreements.
▪ Ability to track the progress of tasks to focus on
issues that require attention.
▪ Team members can mange their tasks and
activities directly in procurement desk and can
drill directly into Sourcing tasks and documents.
▪ Team members can collaborate directly in the
application with other team members, as well as
with procurement, business users and suppliers.

ARIBA NETWORK FOR SUPPLIERS – SOURCE &
CONTRACT
CAPABILITIES
▪ One login for all S2P business processes

▪ Business process and document status visibility
▪ Single, centralized place to identify opportunities,
find innovative solutions and instant access to
millions of potential customers
▪ 1-time connect for trading partners
▪ Multiple connectivity options supporting 70+
business documents/processes
▪ Quickly discover and establish new trading
relationships
▪ KPI reporting, Community intelligence and
insights
▪ Supports geographies, currencies, languages,
regulations in over 100+ countries
▪ Supplier applications per business process
collaboration (as required)
▪ Example, bidding console, negotiation task

SOURCE AND CONTRACT BENEFITS
TOP-PERFORMING
C O M P AN I E S C AN
AC H I E V E AS M U C H AS :
INCREASE VISIBILITY DIGITIZE THE PROCESS

I N C R E AS E AVE R A G E IMPROVE
AN D B R I N G M O R E SPEN D
U N D ER M AN AG EM E N T
AN N U A L SAVI N G S COM PLIAN CE
AN D I M PR O VE
EFFICIENCY 5% AN N U AL
SOURCING
S AV I N G S
per $1 billion
17% higher spend under 9.7% sourcing savings as Up to 76.6% of Up to 50% reduction in of spend
management for customers a percentage of spend transactions compliant to source-to-contract cycle
using SAP Ariba Sourcing sourced contracts time
versus non-SAP Ariba REDUCTION
customers 39% better cost reduction
savings for SAP Ariba
Up to 69% of spend
compliant to contracts
Up to 76% of contracts
stored in a central,
50% in source-to
contract cycle
Up to 91% of spend under customers versus non-SAP searchable repository time
management Ariba customers Best-in-class companies
83% more likely to have a 62%–83% reduction in F AS TE R
More than 50% increase in
realized contract savings
supplier performance
program and 3x more likely
supplier onboarding cycle
time
31% new contract
creation versus
to have a supplier risk average
program performers
Based on insights from SAP Ariba customer performance benchmarking

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




PLAN AND FORECAST CHALLENGES
▪ Poor visibility into the source of supply ▪ Missed or delayed shipments

▪ Inefficient and outdated collaboration platforms ▪ Inefficient integrations with individual trading partners
▪ High safety stock levels ▪ Lack of analytics capabilities
▪ Stock outs
“How can I have “How can I “How can I have better “How can I reduce
better collaboration minimize the IT intelligence to assess the risk of excess
and increased cost of connecting supply chain risk safety stock or poor
visibility in a single thousands of early so it can be fill rate?”
integrated platform?” suppliers?” resolved before it
gets too serious?”

BUSINESS COLLABORATIONS - PLAN AND FORECAST
ONLINE TRADING
PARTNER
BUYER TRADING
PARTNER Forecast Commit
Forecast
SMI SA Supplier Forecast
Inventory Min-Max Levels Supply Upside
Planned repl. Notification
7 COLLABORATIONS

PLANNING FORECAST COLLABORATION
CAPABILITIES
▪ Provides time series view of forecast for

suppliers
Flexible UI supports:
▪ Search filtering
▪ Configurable views
▪ Flexible time bucket views
▪ Showing related firm orders
▪ Excel download and upload
▪ Improved planning accuracy by using actual

forecast commitments provided by the supplier
instead of assumptions

SUPPLIER MANAGED INVENTORY
COLLABORATION
CAPABILITIES
Configurable Demand/Inventory Monitor

▪ Current demand/inventory levels
▪ Mix/max levels
▪ Projected inventory calculations
▪ Planned shipment
▪ Exception alerts
▪ Flexible key figure configuration
▪ Collaboration on end-to-end supplier-managed

inventory (SMI) process
▪ Push-based replenishment based on min/max
inventory policies
▪ Dashboards providing min/max alerts and
planned shipment calculations
▪ Optimize inventory levels
▪ Ensure supplier compliance to min/max inventory
rules
▪ Improve order fill rates in demand driven supply
chains

PLAN AND FORECAST BENEFITS
SHORTER TIME IMPROVED WORKING

OPTIMIZED COSTS LOWER RISK
TO M AR K E T C AP I T AL
14% shorter time to market for 11% lower transportation costs 20% year-over-year growth in the 1–5% improvement in working
new products in organizations that for organizations that collaborate with business by avoiding stock-out capital through consigned
institute a formal product lifecycle contractors and suppliers to get situations or reducing the demand inventory by deferring payment
management process visibility into the supply situation and supply variation until time of consumption
14% higher customer satisfaction $3 million lower operating cost and 50% reduction in exceptions and Inventory reduction by one turn
for the top 25% of organizations integration support per $1 billion of disputes and improved cash flow by
compared to average organizations spend deferring transfer and payment
of goods until consumed
Based on SAP Ariba customer performance benchmarking

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




BUY AND DELIVER CHALLENGES
▪ A complex end-user experience ▪ Tail spend not strategically sourced ▪ Services procurement that is manual,
and difficult to manage error-prone, and non-compliant
▪ An over-burdened centralized
procurement team ▪ Lack of a real-time view into PO ▪ Little to no talent pipeline for when
status staffing needs arise
“Is there a way to “How can I be sure “What if end “How can I keep my “Is it possible to
create a single my procurement users can’t project managers from have complete
place to buy goods function isn’t find an item spending too much transparency
and services where loaded with they need in time and manual effort on the status of
compliance is a requisitions for the company creating and a requisitions,
given?” repeatable catalog?” approving service including
contracted items?” entry sheets?” approval?”

BUSINESS COLLABORATIONS — BUY AND DELIVER FOR OPERATION
AND SERVICES
ONLINE TRADING
PARTNER
PO / Blanket Order Order Confirmation
Service Order BUYER TRADING Shipment Notice

PARTNER
Order Status Request Catalog
Quote Request / Price Update Order Status Response
Service Estimate Request Quote Bid / Price Response
Goods Receipt Notice Service Estimate Response
Candidate Selection Candidate Proposal
14 COLLABORATIONS

OPERATIONAL PROCUREMENT
CAPABILITIES
▪ One central “landing page” to cover all buying

channels
▪ Multiple buying process covered
▪ Guided procurement based on single search,
action tile and policy
▪ Find and Buy non-sourced goods with Ariba Spot
Buy
▪ Catalogs & Supplier Onboarding
▪ Material and simple Services
▪ Tactical Sourcing (3 bids and a buy)
▪ Document messaging
▪ Service forms for non-standard requests
▪ Business Rules for compliance in requisitioning
▪ Real-time budget check and validation
▪ Approval and Tax API
▪ Goods and Services Receipt

OPERATIONAL PROCUREMENT – MOBILE APP
CAPABILITIES
▪ Mobile app is Supports both iOS and Android

platforms
▪ SSO authentication
▪ Catalog search
▪ Ordering items
▪ Creating and Managing requisitions
▪ Attachments and comments on requisitions
▪ Support for multiple shopping carts
▪ Tracking purchases
▪ Approvals

SERVICES PROCUREMENT
CAPABILITIES
▪ Statement of Work (SOW) bid management

including evaluation and scoring
▪ Automated enforcement to contracted rates
▪ Deliverable tracking and management
▪ Internal staff and supplier collaboration
▪ Quality measurements
▪ Budget management
▪ Terms & Conditions enforcement
▪ Retainage fee tracking
▪ Hierarchical pricing structures
▪ Partial payments
▪ Invoice and taxation localization
▪ Tenure tracking and management
▪ Taxonomy mapping to preferred suppliers
▪ Data protection management
▪ Mobile app for time sheet entry
▪ Mobile app for managers
▪ Self-service & template configuration
▪ Task verification
▪ Configurable pay rules engine for localized rate
requirements
▪ Automatic invoicing to eliminate reconciliation
EXTERNAL WORKFORCE MANAGEMENT
CAPABILITIES
▪ Requisition distribution logic

▪ Real-time rate guidance
▪ Candidate review and selection
▪ Interview scheduling with calendar integration
▪ Worker onboarding, management and
offboarding
▪ Time and expense tracking
▪ Rate management and automation
Submit Select & Onboarding Submit Time Auto-Invoicing Offboarding ▪ Invoice, discount and taxation localization
Create
Requisition to Assign Activities & Expense Activities & ▪ Tenure tracking and management
Requisition
Suppliers Candidates Sheets Advanced
Analytics ▪ Reporting and analytics
▪ Supplier performance tracking
▪ Public and private talent pools
▪ Data protection management
▪ Conversational Chat Bot
▪ AI-enabled resume ranking
▪ Mobile app for time sheet entry
▪ Manager mobile app
▪ Quality feedback and tracking “do not rehires”
▪ Credential and certification tracking
▪ Supplier diversity management
© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC ▪ Automatic invoicing to eliminate reconciliation 41
PROCUREMENT DESK FOR BUYING
CAPABILITIES
Combined with SAP Ariba Buying, procurement

operations desk offers the following features:
▪ Role-based workbench views for procurement
agents and their managers to manage activities
and requisitions that have been
assigned/delegated and those that are
unassigned
▪ Automatic assignment of requisitions to
designated approvers based on factors, such as
spend value, commodity code, or region.
▪ Provides the option to collaborate with other
users to find information required to process
approvals.
▪ Allows approvers to apply custom sub-statuses
to requisitions to provide enhanced visibility.
▪ Enables team managers to track the day-to-day
approval activities of the team, review the
progress of high-priority requisitions, monitor
service level agreement (SLA) violations, and
provides options to balance their team’s
workload.
▪ Display of alerts and warnings for users to
prioritize their tasks to comply with defined
service level agreements.
▪ Unified visibility into requisition approval
progress, priorities, and performance

CATALOG MANAGEMENT AND SPOT BUY
CAPABILITIES
▪ Catalog & Supplier Onboarding

▪ Supplier uploaded catalogs / Punch-out catalogs
thru Ariba Network
▪ Format, CIF, Excel, CSV, BMECat
▪ Cross catalog search (with stemming, fuzzy
matching, phonetic spell checking, relevance
ranking), catalog reporting, items sorting, filtering
▪ Content management tools to define, validate
and enrich catalog content
▪ Multi-lingual catalogs
▪ Multi-level approval of individual or group of
catalog items
▪ API Support for inventory visibility and MM to
Catalog syndication
▪ Find and Buy non-sourced goods with Ariba Spot
Buy from suppliers in collaboration with
marketplace platforms such as eBay, Mercado
Libre, Mercateo in different regions
▪ The user will find articles, which are not in the standard
company catalogs and can request them via Spot Buy
▪ Final approvals are ensured

ARIBA NETWORK FOR SUPPLIERS - PROCURE
CAPABILITIES

conduct commerce and collaborate and instant
access to millions of potential customers
relationships
insights
▪ Supplier applications per business process
collaboration (as required)
▪ catalog management tool - verification speeds updates,
reduces workload, and improves accuracy
▪ Order management of various procurement documents
such as: OC, ASN, BPO, Receipts, Quotes, etc
▪ Configurable action tiles for drill down into a

workbench here you can sort, filter across
multiple times periods and take action on your
transaction documents

ARIBA MOBILE FOR SUPPLIERS –
PROCURE/INVOICE
CAPABILITIES
Supplier mobile app (digital assistant)

▪ View Invoice and Order status including all
supporting documents (OC,ASN, REC, PAY,
REMIT, etc)
▪ View full details of any supporting document thru the
web gateway
▪ invoice, order, discovery, and tasks insight tiles

▪ Proactive notifications based on status
(approved, failed, rejected, pending, etc)
▪ Track spend and volume by document by
customer
▪ Search PO and INV documents across the last
TTM (12 months based on last creation date)
▪ View PDF and web version of PO and Invoice
▪ Create PO and NON-PO invoice documents
Directly thru the web gateway
▪ Create order and invoice supporting documents
indirectly thru the web gateway

BUSINESS COLLABORATIONS* — BUY AND DELIVER FOR DIRECT
Goods Receipt Notice
Return PO
ONLINE TRADING
PARTNER
Return Ship Notice Advance Ship Notice
Goods Return Posting Goods Receipt
Component Receipt
Consignment PO
BUYER TRADING
PARTNER Component Consumption
Consignment Withdrawals
Manufacturing Visibility
Subcontracting PO
Transport Confirmation
Component Ship Notice
Quality Notification Response

Component Inventory Overview
Quality Inspection Response

Scheduling Agreement
Release (LPA/LP and with
item categories ‘K’/’L’ ) Quality Review Document
21 COLLABORATIONS
Transport Request
Quality Notification Request
Quality Collaboration Buy and Deliver - Indirect*
Quality Inspection Request Source & Contract SLP & Risk
Quality Inspection Decision Inventory Invoice and Pay
Quality Review Document

*additional Procurement Collab.

SUB CONTRACT COLLABORATION
CAPABILITIES
▪ End to End Multi-Tier closed loop process

orchestration support
▪ Support of drop ship orders and shipments from
lower tiers into upper tier or contract
manufacturing locations and related goods
receipt capability
▪ Providing visibility to Logistics Providers to
manage transportation as needed between the
tiers.
▪ Improved order fulfillment and reduced
inventories based on multi-tier supply chain
visibility

MULTI-TIER ORDER COLLABORATION
CAPABILITIES
▪ Supports end to end contract manufacturing

collaboration process
▪ Allows buyers to ship components to contract
manufacturers and gain visibility into usage
▪ Enables contract manufacturers to report
production, yield and consumption of
components/raw material with relevant batch
information,
▪ Greater predictability of supply in outsourced
manufacturing scenarios

CONSIGNMENT COLLABORATION
CAPABILITIES
▪ Provides suppliers with visibility to movements

related to consigned inventory
▪ Obtain and share visibility into material
movements with suppliers
▪ Signal change of ownership of inventory and
settle payment to suppliers
▪ Improves buyer cash flow and inventory turns by
deferring transfer and payment of goods until
they are consumed
▪ Minimizes risk of material stock-outs
▪ Reduces replenishment lead times

QUALITY COLLABORATION
CAPABILITIES
▪ Provides comprehensive capabilities to support

quality collaborations between trading partners
(Quality Notifications, Quality Inspections and
Quality Reviews)
▪ Data sharing on inspection of materials and
finished products
▪ Predefined inspection specifications
▪ Visibility into inspection results
▪ Single place for activities review, change control
and issues management
▪ Integrated document repository
▪ Event/Incident tracking, audit trail and reporting
▪ Simple and scalable inspection processes
▪ Fast and transparent inspections
▪ Increased quality compliance
▪ Increased agility of quality collaboration
processes
▪ Flexible and compliant information sharing

BUY AND DELIVER BENEFITS
TOP-PERFORMING
C O M P AN I E S C AN
E X P E C T AS M U C H AS :
IMPROVE DIGITIZE THE PROCESS D I G I T I Z E T H E PR O C ESS AN D LOWER PO

COM PLIAN CE AN D IM PR O VE EF F IC IE N C Y IM PROVE T RANSPA R EN CY
67% PROCESSING COST
Top performer POs are
39% lower maverick spend for top- Compared to non-SAP Ariba 57% higher total electronic processed at nearly one-
performing SAP Ariba customers, customers, SAP Ariba customers PO spend as a percentage third of the cost of
with 90% of purchase order spend enjoy: of total PO spend average-performing
originating from SAP Ariba companies
catalogs and contracts ▪ 84% more POs per FTE 39% higher PO spend on
Network as a percentage of
▪ $78K average savings per 10K
2.8x more compliant PO spend as
a percentage of total PO spend purchase orders processed plus
64% faster requisition-to-order
SAP Ariba PO spend
10K POS PROCESSED
PER FTE
Top-performing
48% higher compliant PO spend cycle time for catalog-based POs companies process 3x
as a percentage of total PO spend compared to non-catalog POs on more POs per FTE than
SAP Ariba Buying average-performing
companies
74% F AS TE R P R - TO -
PO CYCLE TIME

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




INVOICE AND PAY CHALLENGES
▪ Invoice exceptions ▪ Manual and error-prone processes

▪ Constant changes to invoice tax regulations ▪ Lack of visibility into payment status
▪ Negotiated pricing and early payment ▪ Lack of automation leading to excessive
discounts not being captured time spent on non-value-add tasks
“How can I manage “Can I switch to “How can I run “What are my best
multinational legal paperless invoicing a successful options for data
compliance?” without dozens of onboarding security, storage,
partners or service program?” and personal data
providers?” protection?”

BUSINESS COLLABORATIONS — INVOICE AND PAY
ONLINE TRADING
PARTNER
CC Invoice
Invoice
ERS/Self-Billing Invoice
BUYER TRADING
Credit Memo
PARTNER
Service Entry Response
Debit Memo
Invoice Status
Service Entry Sheet
Payment Proposal
Discount Accept/Proposal
Discount Proposal/Accept
Timesheets
Payment
Remittance Advice 15 COLLABORATIONS SOW Confirmation

ELECTRONIC INVOICE LIFECYCLE
TRADING
BUYER
PARTNER
ACCOUNTS ACCOUNTS
RECEIVABLES PAYABLES
Electronic
Create Invoice Validate Send Receive Verification Approve Pay
Signature
INVOICE INVOICE
AUTOMATION MANAGEMENT
Key Business Drivers Key Business Drivers

▪ Minimize number of open invoices and ▪ Ensure effective, efficient and accurate
payments invoice and payment process
▪ Minimize invoice rejections ▪ Keep vendor accounts current
▪ Keep overdue receivables low ▪ Keep Days Payable Outstanding high to
▪ Invoice as soon as allowed maximize liquidity
▪ Send corrections via Credit/Debit Memos ▪ Keep vendors paid on time, or negotiate
discounts for early payments
SAP INVOICE SOLUTION
INVOICE AUTOMATION INVOICE MANAGEMENT
Invoice Automation Invoice Automation with Invoice Management (Approval)

Validation Level 2 Validation through
Digitization through Ariba
Network company specific business
Level 1 Validation through rules
Smart business rules
All invoice types (PO, Non-
PO, Contract, Service All invoice scenarios (2-way,
Entry) 3-way, 4-way) and auto-
creation (ERS, GRI)
5 days
Invoice
© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC approval 57
INVOICE AUTOMATION
PO Flip Invoice TR AD I N G
Contract Invoice P AR TN E R
Service Invoice
Non-PO Invoice
Invoice pdf
CSV file Invoices
PDF file invoices
Online Supplier
BUYER
Invoice cXML
Cloud Integration
Gateway Cloud Integration Gateway
EDI
BUYER SUPPLIER
Middleware Legalization
(optional)
Tax authority

INVOICE AUTOMATION WITH PAPER/PDF INVOICES
TR AD I N G
P AR TN E R
Paper Invoices
ICS (Invoice
Conversion 3rd party scan/OCR
BUYER
Service) provider contracted by
customer
via OpenICS
Cloud Integration
Manual Entry
Gateway
BUYER SUPPLIER
PDF Invoices
Middleware Legalization
(optional)
(AI/ML Conversion
Service)
Tax authority

E-INVOICING VIA THE ARIBA NETWORK (100 + COUNTRIES)
OTHER COUNTRIES WHERE E-INVOICING

R E G U L AT O R Y C O N S I S T E N T
C AN B E U S E D B U T W I T H A P AR AL L E L
E-INVOICING
P AP E R I N V O I C E AS L E G AL T AX I N V O I C E
NA Italy Argentina Iceland Philippines

United States Latvia Aruba Indonesia Portugal
Canada Luxembourg Bahamas Israel Puerto Rico
Netherlands Bahrain Jamaica Russia
LATAM Norway Barbados Jordan Saudi Arabia
Mexico Poland Belize Kazakhstan Slovenia
Brazil Romania Bermuda Kenya Sri Lanka
Chile Slovakia Botswana South Korea Tunisia
South Africa Brunei Kuwait Turkey
EMEA Spain Cambodia Lebanon Taiwan
Austria Sweden Cayman Islands Lichtenstein Thailand
Belgium Switzerland China Lithuania Uganda
Bulgaria United Arab Emirates Costa Rica Macao Ukraine
Cyprus United Kingdom Colombia Monaco Uruguay
Czech Republic Croatia Malta Venezuela
Denmark APJ Dominican Republic Mauritius Vietnam
Estonia Australia Ecuador Morocco Virgin Islands
Finland Hong Kong Egypt Mozambique Zambia
France India El Salvador Namibia
Germany Malaysia Ghana Nicaragua
Greece New Zealand Guam Nigeria
Hungary Singapore Guatemala Pakistan
Ireland Japan Gibraltar Panama
Honduras Peru

INVOICE AUTOMATION WITH VALIDATION
Smart Business Rules
BUYER TRADING
PARTNER
BUSINESS RULES
Error
Invoice
▪ VAT/GST ▪ Price ▪ PO Match ▪ Supplier ID

Compliance ▪ Quantity ▪ Contract Match ▪ Invoice Number
▪ Digital Signature Error
▪ Amount ▪ Receipt Match ▪ Invoice Date
▪ Service Sheet Match ▪ Ship to Address
▪ Bill-to Address
100+ configurable rules that Ariba Network’s Smart Processing Supplier Network provides real-time access to
capture errors and exceptions before approach drives touchless invoicing rates PO, invoice and payment status eliminating
they reach AP & Proc of 98% by eliminating errors and exceptions inquiries to AP & Procurement
at the point of supplier submission

INVOICE MANAGEMENT - APPROVAL AND EXCEPTION
MANAGEMENT
INVO ICE INVO ICE CO LLABO R AT IO N INVO ICE

PAY M ENT
RECEIPT VERIF IC AT IO N & M O NIT O RING CO M PLET IO N
VERIFY AND EXCEPTION

RECEIVE APPROVE PAY
COMPLETE HANDLING
Key in paper invoice Trigger workflows Purchase Order Approval Limits
Contract Routing
Having passed the Ariba
Network business rules, the Receipt Queue Management
invoice is received in SAP
Invoicing Service Sheet
Shipping and Tax
Routing
Queue Management

INVOICE APPROVAL AND EXCEPTION
MANAGEMENT
CAPABILITIES
▪ 2-way (po-inv), 3-way (po-inv-rec), and 4-way

match (po-contract-inv-rec)
▪ Complex services (service entry SE process)
▪ Contract, Non-PO, ERS, GRBi invoices
▪ Recurring (i.e. rent) and milestone Payments
▪ Document messaging for dispute management
▪ Approval and Tax API
▪ Approvals – Desktop & Email
▪ Procurement Desk shared services support
(COE) for invoicing in Q1 2019

ARIBA NETWORK FOR SUPPLIERS — INVOICE
CAPABILITIES

relationships
insights
▪ Supplier applications (collaboration) for invoice
business processes (including several Invoice
types – non-po, SE, GRBi, ERS, contract
invoice)
▪ PO Flip™ enables Suppliers to flip a fulfilled PO into a
100% accurate invoice
▪ Several invoice digitization mechanisms (Invoice pdf,
csv Invoice, invoice conversion service)

WHAT DO WE MEAN BY FINANCING ON THE NETWORK?
0 DAY S 5 DAY S 25 DAY S 35 DAY S 50 DAY S
Best-in-class
I N V O I C E AN D INVOICE NET TERM S

C AP T U R E D AT E AP P R O V AL P AY M E N T D E L I V E R E D
OPTION 1:
Dynamic Discounting
Dynamic discounting: Agree scaled discount terms, for example, 2% discount @ 10
P AY M E N T TE R M S M AN AG E M E N T
days to 0% discount @ 50 days
OPTION 2:
Supply Chain Financing
Supply chain financing: Get paid early, by a funder, with funding at buyer’s credit
rating APR, on term between funds received and final payment date
OPTION 3:
Card payment
Card payment: Get paid through credit or pre-paid card
OPTION 4:
Receivables Financing Receivables financing: Supplier gets access to quick, convenient and cost-
effective working capital finance solutions based on their business credit

SAP ARIBA PAYABLES – FINANCING AND PAYMENT
PAY M E N T T E R M S D Y N AM I C S U P P LY C H AI N R E C E I VAB L E S
PAY M E N T S
M AN AG E M E N T DISCOUNTING F I N AN C E F I N AN C I N G
Program design, Terms strategy, & supplier Supplier accepts to be paid by buyer at Supplier sells approved invoices to funder Supplier agrees to be paid by buyer over Supplier has access to convenient and
W HAT
enablement prorated discount prior to due date at a discount rate based on buyer’s credit the network via EFT, Check or virtual credit cost-effective working capital finance
rating card solutions independent of buyer offerings
Strategy in place prior to executing the program to Earn incremental early payment discounts on Cash-flow via extended ▪ Secure bank account mgmt & ▪ Extension to Buyers financial program
BUYER
V AL U E
ensure success incorporating payment terms invoices pay terms to to increase DPO w/ 3rd party outsourced regulatory checks with no involvement
benchmarking across commodity classes (i.e. bank/FI) money ▪ Single integration to handle multiple ▪ Handle the long tail of suppliers and
payment methods receivables health
▪ Right program/service for supplier segment Get paid earlier at a beneficial discount rate Get paid earlier utilizing financing rates per ▪ Rich remittance information and payment ▪ Marketplace of financial solutions and
SUPPLIER
and lower DSO buyer’s credit and lower DSO visibility financial types
V AL U E
▪ Faster payment with CC ▪ Long term healthy cash flow
▪ Included as part of the solution to drive terms ▪ Standing early payment terms on sliding ▪ Multi-funder platform with access to more ▪ Buyers can pay suppliers from any bank ▪ Multiple Lending programs to effectively
maintain Supplier’s Financial Health
F E ATU R E S
strategy scale than 65 funding sources around the account

▪ Segment by category, commodity and supplier ▪ Buyer-initiated dynamic discount globe ▪ Rich remittance information, matching ▪ Choice of Lenders facilitated via
KEY
▪ Supplier-initiated dynamic discount ▪ Financing rates lower than they could and Payment tracking Apparent Financing by SAP
▪ ERP Integration & Reporting secure on their own ▪ Single Integration to ERP to handle ▪ Underwriting enhanced using data from
▪ Integrated to ERP with automated liability multiple payment methods Ariba Network
transfer
P AR TN E R
▪ All Suppliers ▪ Large to Midsize Suppliers ▪ Large to Midsize Suppliers ▪ All Suppliers ▪ Small to Midsize Suppliers
▪ Buyer-centric Payments & Finance ▪ Buyer-centric Payments & Finance ▪ Buyer-centric Payments & Finance ▪ Supplier-centric Finance
TYPE
WHO
▪ Timing of Payment ▪ Timing of Payment ▪ Independent of timing and payment

method

ARIBA NETWORK FOR SUPPLIERS — PAY
CAPABILITIES

▪ Scheduled Payment & Remittance Advice Visibility
insights
▪ Early Payment and Financing options
▪ Standing discount terms
▪ Sliding Scale discount terms
▪ Buyer or supplier initiated discount proposals
▪ Trade approved invoices
▪ Payment (SAP Multi-bank Connector)
▪ Secure Multi-Bank / Multi-Corporate Connectivity
▪ Outgoing Payments
▪ Payment Status Delivery
▪ Payment Advices
▪ Statement Reconciliation

INVOICE AND PAY BENEFITS
TO P - P E R F O R MIN G C O M P AN I E S
C AN AC H I E V E TH E F O L L O WIN G
F I N AN C I AL S U P P L Y C H AI N
BENEFITS:
DIGITIZE THE PROCESS

IMPROVE WORKING IMPROVE
AND IMPROVE
IMPROVE Average discount rate on
CAPITAL
3x more discount savings

EFFICIENCY
44% higher invoices

TRANSPARENCY
90% electronic invoices

COMPLIANCE
Country-specific
1.5% Ariba Network
€10
per billion of spend for SAP processed per FTE for SAP received and over 90% requirements compliance Increased free cash flow
Ariba customers compared Ariba customers compared touchless invoices for every £250 million
Faster close due to
to non-SAP Ariba customers to non-SAP Ariba customers processed
automated reconciliations extended 15 days
MILLION
47% higher days payable 25-30% reduction in BPO 60-80% reduction in supplier Lower error rate than manual
outstanding for organizations costs. payment inquires reconciliations
Typical adoption rates on
with a compliance program
to optimize working capital
through extension of DPO
€96K savings with 16%
fewer accounts payable
FTEs per billion of spend for
Transparency on invoice and
payment status for suppliers 50% addressable spend
SAP Ariba customers
€1
compared to non-SAP Ariba
Spend associated with
customers suppliers already taking
advantage of the supply
€125K savings per 100K T R I L L I O N chain finance capability
Improved liquidity planning
invoices processed for
and working capital
average SAP Ariba
management
customer compared to non-
SAP Ariba customers

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




TRADING PARTNER AND RISK MANAGEMENT CHALLENGES
▪ No link between supplier ▪ No framework for proactive risk ▪ Manual and error-prone trading
qualification and segmentation due diligence when evaluating partner onboarding
status and sourcing and contract suppliers
management systems
▪ Inability to segment the supply
▪ Vendor master not current base by risk level and category
“How can I capture “How do I remediate “How do I “ How can I “How can I “How can I
risk incidents and issues that arise to quickly register, continuously segment my connect the
classify them into reduce the inherent evaluate and monitor a trading supply base by supplier
regulatory, risk of doing onboard partner’s risk risk exposure to onboarding
operational, business with a suppliers and given changing determine what and qualification
financial, and trading partner?” synch the data risk signals?” actions are processes with risk
ESG categories?” with my ERP required?” due diligence?”
systems?”

TRADING PARTNER COLLABORATIONS — SLP & RISK
BUYER TRADING
Supplier Onboarding
PARTNER Supplier Registration
Supplier Qualification Request Supplier Qualification Response
Buy/Sup Survey Request Buyer/Supplier Survey Response ONLINE TRADING

PARTNER
Supplier Performance Review Supplier Performance Review
Risk Assessments
Risk Assessment Response
9 COLLABORATIONS

SUPPLIER LIFECYCLE MANAGEMENT
CAPABILITIES
▪ Scalable and rapid supplier onboarding on-

boarding process & self-service registration
▪ Matrix driven Supplier Qualification process by
Commodity, Region, and Business Unit
▪ Capture all Supplier Data, including certificate
management
▪ Track performance indicators, Risk Scores, and
supplier non-conformance
▪ Compliance enforcement with Integration to
Sourcing, Contracts and Procurement
▪ Native integration options to ERP allowing real-
time synchronization of supplier information
across SAP Ariba and ERP
▪ Single location for suppliers to register and
collaborate with buying organizations
▪ Automated, out-of-the-box reports for supplier
360-degree view across all spend management
activities
▪ Track supplier performance (Surveys &
Scorecards) to identify improvement needs
▪ Automate alerts onto the dashboard and in
scorecards when out-of-threshold scores occur

Supplier request with duplicate match
CAPABILITIES
1. List of potential duplicates

2. Potential duplicate match warning
3. Option to cancel the request or continue

Supplier Summary page
CAPABILITIES
1. Summary view of supplier

2. Individual listed pages for supplier activity
3. Supplier status
4. Origin of supplier
5. Option to go back to dashboard

Registration page
CAPABILITIES
1. Summary view of the registration

2. Internal questionnaire on the same page
3. Tasks and questionnaires are on the same
page

Certificates
CAPABILITIES
1. List of clickable certificate cards

2. Search certificates by name
3. Option to filter based on status, type, expiration
date

Modular Questionnaire
CAPABILITIES
1. Modular questionnaire and their tasks are listed

on the same page
2. Status of the questionnaire shows the approval
status
3. Filter and search the questionnaire
4. Task list along with filter and search option
5. Can take action on tasks

SUPPLIER RISK MANAGEMENT
CAPABILITIES
▪ Risk monitor and alerting on all suppliers

automatically based on engagement and
external data
▪ Engagement level risk due diligence leading to
actionable, accountable risk management
▪ Flexible and extensible risk scoring and KRI
model powered by (AI/ML)
▪ Intelligent risk assessment triggers based on
policy, controls and risk exposure to drive
compliance
▪ Supplier self-service portal for managing parts of
vendor information
▪ Adverse media scanning via data syndication
from 600,000+ sources including news sites,
government data, disaster system, public and
private data sources
▪ 3rd Party content integration to create a holistic
supplier risk profile on different risk domains
▪ Sources include proactive monitoring for ~200
incident types across regulatory compliance,
financial, sustainability, and operational risks
(~600,000 data sources covered) plus optional
sources to cover financial health, forced
labor, and other third-party offerings.

The Case for Vendor Insights
Ariba Network continuously captures operational data, why shouldn't we add experience data to
assess Vendor Performance?
4.2 Million Trading Collaboration Types

Partners on Ariba 71 Along The Source-to-pay
Process
Network
exchanging 495 Million BUYER TRADING Quality Collaboration Buy and Deliver – Indirect
PARTNER
documents annually Source & Contract SLP & Risk
triggering Billions of
Vendor Experiences
TRADING PARTNER & RISK MANAGEMENT / TRADING PARTNER COLLABORATION

What if you could …
Segment your Define KPIs you Select the Collect the Score and Use advanced
suppliers per spend want to measure collaboration types experience and aggregate the x&o- Analytics and AI/ML
category, their performance you want to gather operational in real data to the defined to predict trends
commodity or against experiences from time KPIs and and take corrective
geography actions

ARIBA NETWORK FOR TRADING PARTNERS -
SLP/RISK
CAPABILITIES

relationships
insights
▪ Supplier applications (collaboration) for
Registration, Qualification, and Risk assessment
▪ Supplier Onboarding Support
▪ 24/7 Supplier support including community help

TRADING PARTNER AND RISK
MANAGEMENT BENEFITS 1,2
TOP-PERFORMING
O R G AN I Z ATI O N S C O U L D
S E E B E N E F I TS S U C H AS :
INCRE AS E VISIBILIT Y INT O IM PRO VE CO NT RACT IM PRO VE CO RPO R AT E
DIG IT IZE
SUPPLIER PERFO RM AN CE ADH E RE N CE AN D RESPO NSIBILIT Y AND
T HE PRO CESS
€31–37
AND REDUCE RISK CO M PLIAN C E PRO CUREM ENT PURPO SE
5%–6% lower cost of goods Increased penalty A review of 200 academic 12%–16% lower audit costs
sold enforcement, which can total studies on sustainability and MILLION
up to 13% in additional corporate performance Cost benefit
revenue4 found:5 per €1 billion in cost of goods sold
15%–20% higher revenue 14%–19% higher spend 90% resulted in lower cost of 36%–48% fewer compliance (COGS) (3%–4%)
growth under contract capital and risk management FTEs
Fewer supply chain Decreased maverick spend 88% resulted in better 62%–83% reduction in
disruptions, which annually and more spend driven to operational performance supplier onboarding cycle
cost on average $850K3 preferred suppliers
80% showed stock price
time6
Lower cost of managing
€11–15
MILLION
performance is positively master data, data
Revenue benefit
correlated integration, and duplicate
per €1 billion in revenue (1.1%–
payments
1.5%)
1High-end range percentage improvements: SAP performance benchmarking 2019; low-end range is 75% of high-end range; 2Individual corporate benefits may vary depending on the level of maturity
within an organization; 3Allianz, Global Claims Review: Business Interruption in Focus, 2015, and Deloitte, The Ripple Effect, 2013; 4Supply Chain 24/7, Why Every Supply Chain Today Needs a Vendor
Chargeback Program, 2016; 5Harvard Business Review, The Comprehensive Business Case for Sustainability, 2016; 6Customer case study

AGENDA
& RISK MANAGEMENT


Performance

Analysis Invoice




SOURCE TO PAY BUSINESS PROCESS CHALLENGES
▪ Inefficiencies and errors in the ▪ Interruptions caused by manual ▪ Non-compliant spend going
transactional process changes and rework activities unspotted and unprevented
▪ Paying too early or too late and not ▪ Unable to identify root causes of ▪ Limited visibility into process
being able to optimize working process problems in a timely manner deviations
capital
“How can I see “What are my “Am I missing “How much rework “What controls ido I
every process, most common discounts activity is needed need to put in place
across my procure process because my and what rework to prevent deviations
to pay system deviations?” process takes activity is going from my ideal
landscape in too long to be on?” process?”
one place?” ready to pay?”

FROM MANUAL TO AUTONOMOUS PROCUREMENT
M AR K ET PR ESSU R E F O R C ES C U ST O M ER S T O … Deal with increased Source for best

innovation speed possible suppliers
Cope with shorter Automate operational

product lifecycles procurement
Within the next 5 years up to 65% of the value of a company‘s products and
services is derived from its suppliers – CAPS Research, Institute for Supply Autonomous operational
Chain procurement processes by RPA and
Automated process steps by Machine Learning
Situations and Machine Learning
Proactive Insight-to-action in Source- Autonomous Sourcing decisions
to-Pay Process based on Situations Robotic Process Automation for
recurring tasks Strategic decisions carried out by
Recommendations by Machine intelligent assistants
Fully digitalized Source-to-Pay Continuous Auditing via Blockchain
Learning Conversational chatbots for proactive
process
Predictive Analytics Sensor-based triggering based on procurement decisions
Realtime Analytics IoT
Digital Assistant
Cross enterprise collaboration
DIGITAL PROCUREMENT INTELLIGENT PROCUREMENT AUTOMATED PROCUREMENT AUTONOMOUS PROCUREMENT
2016 2 0 2 1 PR O C U R EM E N T EN T ER S T H E AG E O F AU T O M AT E D EN T ER PR I SE 2025+

ANALYTICS AND INTELLIGENCE
Application reporting / Intelligent Search

Process mining
Machine
learning
Data APIs
(Qual, Quan, Process)
Blockchain
IoT
SAP H AN A
Event SAP
Network System
Supplier Item Other S/4HANA/ Log data Telemetry
store data
SSP
CONTENT DATA TRANSACTIONAL DATA OPERATIONAL DATA
3RD-PARTY DATA SAP DATA

SAP ENABLE NOW
Intelligent knowledge management
CAPABILITIES
Contextual Help
▪ Descriptive explanations of screen elements
directly in-app
▪ Shows exactly what is needed when the user
needs it
Guided Tours
▪ In-app Interactive step-by-step process
assistance
▪ Useful instructions and information for each
process step
Embedded Learning
▪ Getting-started tutorials to empower users
▪ Consumable content, either in-app or
in the Learning Center
What’s New
▪ Pro-active notifications on new or improved
interface elements
▪ Ideally suited to drive in-app change
management

SAP CO-PILOT
Your digital assistant
CAPABILITIES
▪ Complete all your enterprise tasks with a

conversational interface that uses voice or text
▪ Manage and access all your AI chatbots on
different channels and SAP applications from a
unified interface
▪ Humanize conversational experiences across
SAP and non-SAP applications
▪ Notes and Screenshots
▪ Recognizing Business Objects
▪ In-Context Chat
▪ Quick Actions/Quick Create
▪ Docking on SAP launchpad
▪ Suggesting participants from business context
▪ Connect chatbots to any SAP solution, external
communication channel, or back-end system
▪ Analyze text inputs and enrich key data for a
human-like understanding of information in any
language with our NLP technology

PROCESS MINING
Transforming to an Intelligent Procurement and Invoicing Process
CAPABILITIES
Event Collection
▪ Pre-built connectors to SAP on-premise and
cloud software systems
▪ Up-to-date data through fully configurable delta
loads
▪ Event log transformations
Process Discovery
▪ 100% transparency of as-is process
▪ Real-time process visualization
▪ Drill-downs to variants and deviations
Process Analytics
▪ Fully customizable analysis on end-to-end
process
▪ Automated conformance checking to to-be
process
▪ Root-cause analysis based on AI

SAP ANALYTICS
Data insights and intelligence
CAPABILITIES
▪ Embedded analytics solution across the Source

to Pay process
▪ Predefined analytical content across Source To
Pay
▪ Realtime reporting based on HANA data platform
▪ Build predictive models with Smart Predict
▪ Explore data nuances with Smart Insights
▪ Discover the key influencers behind business-
critical KPIs and run powerful simulations.
▪ Answer ad hoc questions on the fly with powerful
analytics and a simple, intuitive user interface
▪ Use ad hoc and what-if analysis to explore
alternative courses of action and compare the
impact of potential decisions
▪ Auto-generated dashboards, you can instantly
gain decision-making clarity and take action
▪ Speed time to value with predefined queries,
data models, visualizations, and best practice
reports

INTELLIGENT PROCUREMENT TODAY
Proactively track missing Order Confirmations
Propose most optimal Contracts as SoS
Save spend via Cash Discount at Risk warnings
Alert about Invoices blocked for Payment
Alerts for expiry and consumption of central contracts
Protect RFQ Biddings via secure Blockchain Reminder about missing confirmations for SSP PRs
CO-PILOT Overdue central Purchase Order Items
NLP
Delivery Deficits in Purchase Orders
INTELLIGENT
PROCESS BLOCKCHAIN SI T U AT I O N S
AU T O M AT I O N
INTERNET OF M AC H I N E
THINGS LEAR NI NG
Smart Buying via Natural Language Processing
Assist users with Invoice Payment Block

Predict future consumption of contracts INTELLIGENT
Automatically propose Material Groups to casual users INSIGHTS FOR
Propose creation of contracts for most frequently ordered materials PROCUREMENT
Reduce free-text items with recommended catalog items
Predict Delivery Date for Purchase Order Items
Image-Based Buying

SAP SPEND CLASS & SUPPLIER NORMALIZATION
MACHINE LEARNING
Invoice classification in days NOT months based
on US$4.5 trillion in spend at over 250 companies
Supplier normalization and enrichment in days
NOT months based on D&B’s global database of
more than 290 million suppliers
Re-classification of spend in minutes
BUSINESS SCENARIO:
▪ How much am I spending with suppliers at all levels,
up to the corporate family level?
▪ What are my top spend categories?
▪ What are my best opportunities for future savings?
▪ How does my spend compare to that of my industry
peers?
▪ How diverse is my supply base? And how can I
locate more-diverse suppliers?
▪ Is my off-contract spend increasing or decreasing?
By how much?
▪ Where should we rationalize my suppliers and
product portfolio?

SAP POPULAR TRENDS ACROSS CATEGORIES
MACHINE LEARNING
What are the popular trends across categories?
What items are frequently purchased in the
given categories?
BUSINESS SCENARIO:
▪ Save time on finding items you need for your everyday
job by providing insights from what other users in your
department on are purchasing across specific
categories
Historical Display popular Purchase items

Requisitions trends from popular
trends

MACHINE LEARNING: RESUME RANKING
MACHINE LEARNING
Which candidate is the best fit for my opening?
How do I save time identifying the best candidates?
BUSINESS SCENARIO:
▪ Identifying external talent with the right skillset
can be especially challenging in today’s tight
labor market
▪ To help hiring managers identify the best
candidate, Resume Ranking indicates which
candidates are most qualified
▪ Powered by machine learning, resumes are
automatically evaluated and sorted based on
the job description
▪ Hiring managing save time by eliminating the
need to manually sift through every submission

SAP PROPOSE CREATION OF NEW CATALOG ITEMS
MACHINE LEARNING
Which items are frequently purchased as free-
text items?
What items do we need to consider to be placed
into the corporate procurement catalogs?
BUSINESS SCENARIO:
▪ Free-text purchasing items from end users require
buyers’ manual intervention
▪ To maximize automation in the purchasing process,
coverage of frequently purchasing items by corporate
procurement catalogs is important consideration
Historical Proposal as Procurement

Transactions Notification Catalog Update

SAP PROPOSE MATERIAL GROUP FOR FREE-TEXT ITEMS
MACHINE LEARNING
Which material group do I need to
use for this free-text item?
Is there a guideline that the system
can propose to follow the corporate
purchasing policy?
BUSINESS SCENARIO:
▪ Choosing a correct material group is critical when
creating a free-text item to be compliant with a
corporate purchasing policy You can let the system propose a material
▪ You often end up putting up sticky notes next to the PC group appropriate for the free-text item you
monitor for the most frequently used material groups are creating based on the historical data within
your organization – No more sticky notes.
Purchase Approval Purchase

Requisition Order
*Additional license - **Additional installation and license – C(Partially) Compatibility scope

SAP PAYMENT BLOCK - CASH DISCOUNT AT RISK
MACHINE LEARNING
Why are the supplier invoices blocked?
Can I confidently remove the block to
avoid losing cash discount?
BUSINESS SCENARIO: SAP Payment Block - Cash Discount at

▪ Exceptional situation causes payment block for Risk allows Accountants and Purchasers to:
supplier invoices. Which requires manual ▪ Proactively display payment block and analyze
analysis and operations the underlying issues with detailed data context
to resolve. Furthermore, late payment could result
in unnecessary cash discount loss. ▪ Receive recommendations based on historical
system data
▪ Avoid loss of cash discounts

SAP MONITOR MATERIALS WITHOUT CONTRACT
MACHINE LEARNING
Can I automatically detect materials that are
without contracts that have high contract
relevance based on existing purchasing data?
BUSINESS SCENARIO:
▪ Machine learning that is based on SAP Leonardo
technologies supports the purchaser in finding
materials that should be covered in a purchasing
contract based on various criteria, e.g. number of PO
items, days between first and last order, total gross
amount
▪ Proposed material can be selected to initiate a RFQ
▪ To overcome peaks for materials with very high gross
amount, the chart/gross amount can be scaled
AGENDA
& RISK MANAGEMENT

Performance

Analysis Invoice




CENTRAL PROCUREMENT
Centralization over consolidation
CAPABILITIES
Central Procurement is a purchasing control center,

which allows customers to (remote) control a global,
distributed and diverse operational procurement
ecosystem, while maintaining analytical and
operational transparency and compliance.
Central Procurement is about …

▪ Centralized control and compliance
▪ Decentral execution without disruption
▪ Reduced costs by centering transactions
▪ Better pricing through leveraged spend
▪ Greater visibility into purchasing decisions
▪ Better communication with suppliers
▪ Comprehensive central spend analysis
▪ Ideal solution for Shared Service Centers
Its setup is characterized as being …

▪ Cloud-driven and light-weighted
▪ Elastic and decoupled from master data
▪ Remote-controlling its satellite systems
▪ Leveraging Intelligence and ML Innovations
CHOOSING CENTRALIZATION OVER CONSOLIDATION FOR
CENTRAL PROCUREMENT
W H Y S AP I S C H O O S I N G C E N T R AL I Z AT I O N O V E R
C O N S O L I D AT I O N …
With Centralization SAP can deliver undisruptive value to its
customers, while keeping in mind the customers’ backend diversity
and continuously brining new innovations to Cloud customers with as
minimal effort as possible
▪ Consolidating processes comes with a high TCO for our customers
▪ Heterogenous landscapes make master data consolidation challenging
▪ Consolidated processes are usually more error prone
▪ Keeping consolidated processes in synch costs regular maintenance effort
▪ Continuous consolidation slows down innovation
▪ Our Cloud-ready strategy aims at easy, quick adoption of new innovations
SAP S/4HANA for Central Procurement is not merely a consolidated

purchase order creation app, but a purchasing control center, which
allows customers to (remote) control a global, distributed and diverse
operational procurement ecosystem, while maintaining analytical and
operational transparency and compliance.
DESIGN PRINCIPLES OF S/4HANA FOR CENTRAL PROCUREMENT
C O N S O L I D AT I O N
▪ Requires harmonized master data, harmonized extensions, etc.
▪ Central system has to incorporate all decentralized processes
▪ Central users need to handle complexity of all processes at a given time
▪ Additional effort of showing only relevant information to authorized users
▪ New decentral features always need to be incorporated into central system
▪ Training effort depending on number of processes
C E N T R AL I Z AT I O N
▪ No harmonization of master data or extensions necessary in central system
▪ Central system is free of any decentralized processes and logic
▪ Relevant information is only shown after authorized backend access
▪ Only centralization of work load management, but not of decentral processes
▪ Changes in decentral processes have no direct effect on central system
▪ Support central control (e.g. approval), but foster local execution
AGENDA
& RISK MANAGEMENT

Performance

Analysis Invoice




WHAT CAN SAP CLOUD PLATFORM DO FOR YOU?
I N T E G R AT E EXTEND I N N O V AT E M O D E R N I ZE E X P E R I E N C E
Unleash the API Innovate

Extend the Simplify
and Microservice IoT/ML/Analytics
Digital Core User Experience
Economy with SAP Leonardo
Integrate Intelligent Robotic Foster

Extend
the Intelligent Process Enterprise
LoB Solutions
Enterprise Automation (IRPA) Collaboration
Mobilize
Rapid Prototyping of Customers Your Business
requirements from presales to services

implementation using Standard APIs and
Technology - SAP Spend Management
Extension (SSME)
SAP SPEND MANAGEMENT EXTENSIONS (SSME)
Program Goals and Value
The goal of the SAP Spend Management Extension (SSME) Program is to allow SAP ISM customers
the ability to deploy new functionality that is not on the P&I roadmap - enabling quick time to value while
using standard APIs and SAP Technology
Goal is realized by delivering:
Solution extensions applied, tested and supported by SAP
Configured solutions to meet unique customer needs - 1 to many customers
Value Proposition:
Extend ROI by enhancing the value of the customer’s current solution
Utilizes SAP “shared service” rapid prototype to development model

▪ High-quality, SAP-developed solution based on standard and supported APIs and technology
▪ Lower total cost of ownership as it is based on standard and supported APIs in the cloud and technology unaffected by product releases
Flexible Solution types

▪ Product (CFBS) SKU , Cloud Application Extension (CAE) implemented/supported by services, CDP for a specific customer requirement based on
SOW
INTELLIGENT FORMS
Fast and flexible way to extend procurement processes
CAPABILITIES
▪ The Intelligent forms builder provides a fast and

flexible way to extend procurement processes
▪ Design the form using a drag-and-drop interface,
add an approval flow, and configure conditions
for the widgets and approvers, all without writing
any code.
▪ Create procurement-related forms such as check
requests, educational reimbursement requests,
and expense authorizations.
▪ Drag-and-drop fields and other widgets
▪ Visual themes for a consistent look and feel
▪ Approval flow with support for conditional
approvers
▪ Support for basic field conditions
▪ Ability to test your form design before publishing
▪ Access to master data from within forms
▪ API aware to bring information in and get
information out, call external applications, and
kick off other processes
▪ Start with a blank design, or choose a template
your organization already created and modify it
as needed.
INTEGRATE WITH SAP CLOUD PLATFORM
Great things happen when it’s all connected
Employee FAST | OPEN | SECURE
Digital Core S/4
Customer C/4
Services SAP I N T E G R AT I O N Third

SUITE Party
Travel
Procurement ▪ 875+ Prepackaged ▪ Open Connectors to 170+

Integration Flows Third Party Cloud Apps
▪ API-First ▪ Integration Adviser using AI
▪ Workflow ▪ Governance
INTELLIGENT ENTERPRISES ARE INTEGRATED ENTERPRISES
“Included” integration across and beyond the sap portfolio
O U T- O F - T H E - B O X OPEN HOLISTIC AI - D R I V E N
I N T E G R AT I O N I N T E G R AT I O N I N T E G R AT I O N I N T E G R AT I O N
INTEGRATION STANDARDS
Aligned APIs & Standardized Business Process Identity & Access Automated Shared Master Aligned Business
Pre-Packaged Technologies Documentation & Management Integration Setup Data Services Configuration
Content E2E Monitoring
EXTEND WITH SAP CLOUD PLATFORM
Do business your way
FLEXIBLE | SCALABLE | EXTEND CLOUD AND ON -PREM APPS
S/4
C/4
C L O U D P L AT F O R M S AP AP P C E N T E R
EXTENSION TOOLS
1,800+ Partner Apps
▪ Portal on App Center
▪ Mobile Services ▪ Analytics
▪ Web IDE ▪ Finance
▪ RAD by Mendix ▪ Supply Chain
▪ ABAP environment ▪ Procurement
▪ S/4HANA SDK ▪ Sales and marketing
▪ Extension Factory ▪ and more!
INNOVATE WITH CLOUD PLATFORM
Digital transformation without business disruption
Modern | Agile | Innovative
R E AD Y- M AD E R AP I D AP P L I C AT I O N
BUSINESS DEVELOPMENT
SERVICES
INTELLIGENT TECHNOLOGIES
▪ Applied Machine Learning ▪ Artificial Intelligence

▪ IoT ▪ Analytics
SAP ISM SOLUTION WORKS ACROSS ALL
OF YOUR FAVORITE CLOUDS
SAP PLATFORM
& ISM SOLUTION
OPERATIONS AND TECHNOLOGY FOR GLOBAL CUSTOMER SUCCESS
C L O U D O P E R ATI O N S MONITORING I N TE G R ATI O N CUSTOMER SUPPORT USER EXPERIENCE
▪ 5 regional pairs of data ▪ System monitoring ▪ Self-service setup and ▪ 10 global support centers ▪ Persona-based interactions
centers extensibility
▪ Regional experience ▪ 500+ team members ▪ Browser and mobile access
▪ 99.5% uptime service-level monitoring ▪ Simple and easy testing and
▪ 24 supported languages ▪ Intelligent Enterprise and
agreement (SLA) use
▪ Cloud health monitoring Cognitive procurement
▪ 24x7 Priority 1 support
▪ 25+ certifications and audits ▪ Reliable and secure
▪ Business process monitoring ▪ 24 languages
connections ▪ Critical Incident Engagement
▪ SAP Ariba Trust Office for end-to-end user workflows
▪ 90+ buyer countries
▪ Hybrid ERP scenarios ▪ Preferred Care
▪ Build securely, run securely,
▪ 200+ supplier countries
and be secure ▪ Add-ons for SAP S/4HANA,
SAP ERP, and SAP Business ▪ 100+ e-invoicing countries
Suite software
▪ 200+ standard integrations
▪ Power of SAP Cloud Platform
Integration and SAP Solution
Manager
▪ 230+ APIs
SAP ARIBA DATA CENTER LOCATIONS
▪ Each color represents a data center region and includes primary and secondary DC’s for disaster recovery
▪ Each DC regional pair includes one cluster for Procurement and on cluster Sourcing Solutions with supporting services
▪ The Ariba Network is hosted only in the North America data centers
Moscow (2014)
Amsterdam (2013)
TeleCity (Equinix) SafeData
Moscow (2014)
St. Leon-Rot
Dataline
SAP
Santa Clara (2016)
vXchange
Riyadh (Saudi Arabia)

Detased, Colo
San Jose (Legacy)
Equinix
Dubai (UAE) Tianjin (2016)
Equinix GDS/Pacnet
Shanghai (2016)
Sterling (2014)
GDS
Century Link
MANAGEMENT SYSTEM OF STANDARDS AND BEST PRACTICES*
Financial Controls Operations and Compliance

Certification
T R AN S P A R E N C Y SOC 1 SOC 2, SOC 3
ISO 27001**, PCI, IRAP, C5
(SSAE18 / ISAE 3402) (AT 101 / ISAE 3000)
Data Privacy
Data Protection
PRIVACY EU General Data Protection
BS 10012, ISO 27018
Regulation
SECURITY Quality Application Hardening CIS,

Business Destruction of Incident
BEST PR ACT ICE Management Service Delivery Security RAPID7, SANs,
Continuity Media Management
(EXT R ACT ) ISO 9000 ISO 20000 ISO 27034 ISO
ISO 22300 ISO 27040 ISO 27035
ISO 25010 OWASP CERT, NIST
Code of Practice
FOUND AT IO N
ISO 27002 and NIST 800
* The Management systems are used across all SAP Cloud Secure services, execution of independent certification and audit depend on service and organizational unit respectively.
Details available at: http://go.sap.com/corporate/de/company/innovation-quality/excellence.html
** Component of the Integrated Information Security Management System (IISMS) of SAP
AGENDA
& RISK MANAGEMENT

Performance

Analysis Invoice




GLOBAL CUSTOMER AND SELLER MANAGEMENT SUPPORT SITES
460K+
Support requests annually
500+
Customer Support team
members
24
languages supported
200+
Seller Management team
members
24x5
global support (optional
24x7)
CUSTOMER SUPPORT
ENTERPRISE SUPPORT SUPPLIER & END USER SUPPORT

▪ 24X7 support for P1s ▪ Global shared service support organization
▪ Access to remote SAP support best practices ▪ End user basic functional and navigational assistance for
▪ Self-Service Release update information Strategic Procurement solutions
▪ Self - Reporting ▪ Technical, functional, navigational assistance for suppliers

on the Ariba Network
▪ Cases submitted via web form
▪ Phone, Chat, Web Forum case submission in the product
▪ Customer names Designated Support Contacts (super
users or administrators)
P R E F E R R E D C AR E E V E N T D AY M AN AG E M E N T
▪ SAP Enterprise Support + ▪ Auction administrators available by phone 24x5

▪ 24X7 support for P1s and P2s ▪ Proactive monitoring of live auctions
▪ Customer specific release update information ▪ Maximizes supplier participation
▪ Customer specific access for technical and product usage ▪ Ensures market integrity
advice
▪ Includes surrogate bidding and event coordination
▪ Regular checkpoint with customer services
▪ Customer specific product roadmap update
IMPLEMENTATION SERVICES
E N AB L E M E N T &
CENTER OF EXCELLENCE FIELD CONSULTING C U S T O M E R E N G AG E M E N T
I N T E G R AT I O N S E R V I C E S
Delivery Subscription
Solution Program Functional Technical Buyer Supplier Supplier Supplier Flight
Best Training management SME Architect Integration Enablement Integration
Relationship
Planning &
Renewal &
Expertise Management Network
Practices Management
Adoption
▪ Drive and communicate solution ▪ Ariba or certified Partner led ONE-TIME REMOTE SERVICES ▪ Single point of ongoing
and delivery/ implementation best contact and escalation
▪ Full-time onsite: ▪ Services required for baseline
practices technology setup for every ▪ Responsible for
▪ Provide delivery oversight and – program management deployment phase coordination of supplier
solution expertise – functional flight planning and
▪ Focused on specific technical &
design/architecting for execution
▪ Assist in partner enablement configuration activities
activities specific to the SCC process and ERP ▪ Responsible for customer
▪ Included in subscription cost
solution subscriprion renewal and
– supplier enablement/
ongoing supplier network
▪ Provide internal and partner integration coordination
RECURRING REMOTE SERVICES adoption
solution and implementation
▪ Full end-to-end turnkey
training ▪ Focused on supplier enablement
services are available
& integration, release and
▪ Assist in implementation and
▪ Custom Solutions based on technical support for the duration
resource planning
SAP Spend Management of subscription term
Extensions (SSME)
▪ Included in subscription cost
▪ Fees based on the scope
Thank you.

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Ariba Overview

ISM SOLUTION OVERVIEW A N A LY T I C S A N D I N T E L L I G E N C E

PLAN AND FORECAST P L AT F O R M A N D T E C H N O L O G Y

BUY AND DELIVER C U S T O M E R VA L U E S E R V I C E S

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 2

PLAN AND FORECAST P L AT F O R M A N D T E C H N O L O G Y

BUY AND DELIVER C U S T O M E R VA L U E S E R V I C E S

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 3

Source to pay visibility

among trading partners

S O U R C E & C O N T R AC T P L AN & F O R E C AS T BUY & DELIVER I N V O I C E & P AY

Plan and forecast Initiate a Request for Create/Manage the

Identify and Source Execute Orders for Apply early

Negotiate & manage Pay trading partners for

ANALYTICS & INTELLIGENCE / CENTRAL PROCUREMENT FUNCTIONS

Utilize Analytics and Digital Innovation to improve

BUYERS — SOURCE TO PAY

Supplier Lifecycle &

Spend Forecast Operational

Inventory Services Early Payment

Contract Direct Payments on

ANALYTICS & INTELLIGENCE / CENTRAL PROCUREMENT FUNCTIONS

Digital Innovation Central

BUYERS — SOURCE TO PAY

69 - 83% 36 - 48% 50-70%

CUSTOMER VALUE SERVICES

4-15% 4-12% 5-15% 3% improvement in $2-3M

$20M 13 - 36% $20M 1-2% reduction in

ANALYTICS & INTELLIGENCE / CENTRAL PROCUREMENT FUNCTIONS

BUYERS — SOURCE TO PAY

BUYER 71 TRADING PARTNER

P O I N T- TO - P O I N T I N T E G R AT I O N BUSINESS NETWORK MODEL

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Order Status Request Goods Receipt

Discount Accept/Proposal Quality Review Document

Supplier Performance Review

Infuse intelligence Connect to new partners Join a trusted,

• Benchmarks across every S2P

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 12

exchanging 495 Million

Ariba Network with

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 13

PLAN AND FORECAST P L AT F O R M A N D T E C H N O L O G Y

BUY AND DELIVER C U S T O M E R VA L U E S E R V I C E S

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 14

Supplier Lifecycle &

Spend Forecast Operational

Inventory Services Early Payment

Contract Direct Payments on

ANALYTICS & INTELLIGENCE / CENTRAL PROCUREMENT FUNCTIONS

Digital Innovation Central

BUYERS — SOURCE TO PAY

© 2021 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 16

Quote Request / Price Update Quote Bid / Price Response

Discovery Posting Discovery Lead/Bid

Contract Negotiation Contract Negotiation ONLINE TRADING

Buy and Deliver – Direct Forecast

Quality Collaboration Buy and Deliver - Indirect