Unleash your procurement transformation potential with SAP Signavio for SAP Ariba - Part I

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Part I: Overview of SAP Signavio capabilities

In today's dynamic business landscape, the procurement function stands at the crossroads of driving operational efficiency, reducing costs, and enhancing agility. The challenges are manifold, encompassing a wide range from maverick buying and late deliveries to manual interventions and a lack of process compliance.

One aspect needs to be clear: processes are at the center stage to address these challenges.

In this blog post series, we'll explore the capabilities offered by SAP Signavio to assist organizations in

• realizing untapped value quickly,
• harmonizing processes across the organization,
• and building a resilient future in procurement.

I. Realize Untapped Value Quickly

The journey to realizing untapped value begins with identifying, analyzing and prioritizing improvement opportunities effectively.

Therefore, SAP Signavio provides pre-built analysis capabilities: 

With procurement process flows and associated blockers, organizations gain an "X-ray" view into their procurement process performance, allowing for swift identification of bottlenecks. Process performance indicators provide insights into the backlog and throughput of your SAP Ariba system.

With cross-system dashboards, as part of the plug and gain approach, customers can deep-dive into very specific issues to analyze and act on your most relevant improvement opportunities in Source to Pay. Internal benchmarking and filtering capabilities enable organizations to compare their performance across the organization and analyze current values and trends.

This, coupled with correction and innovation recommendations, empowers organizations to make quick fixes and improve procurement FTE productivity, days payable outstanding, and reducing data management costs as well as to make use of recommended SAP Ariba and Intelligent spend Management capabilities, ultimately realizing tangible value outcomes. 

PRODUCT HIGHLIGHTS

Procurement Process Flows and Process Performance Indicators      

  

• Within hours, get pre-defined insights into processes and their adoption running in SAP Ariba Procurement, SAP Ariba Sourcing, SAP Ariba Contracts, and SAP Ariba Supplier Management
• Leverage a fast track to process improvements, ranging from manual purchase order creation and maverick buying to late supplier payments
• Find the root cause of your issue with advanced filtering capabilities, e.g., on material groups, purchasing organizations, or company codes
• Gain visibility into buying and clearing behavior to increase efficiency, decrease obstacles, and better optimize available resources
• Understand supplier performance to prioritize them according to the PO spend, their delays, and on-time delivery rates

SAP Signavio plug and gain approach: Improvement opportunity dashboards

  

• Identify manual changes and reprocessing in purchase orders, and requisitions to improve operational efficiency and reduce costs of process execution
• Improve your automation across SAP Ariba and SAP ERP
• Increase your supplier delivery reliability, e.g., compare different suppliers of materials so you can identify the most suitable supplier for each material, or avoid shortages of materials
• Improve your material and supplier master data quality to reduce errors, improve decision-making, and enhance overall operational efficiency
• Improve your three-way match rate to avoid under or over deliveries which lead to issues in production, and warehouse logistics and increase storage risks

Correction and Innovation Recommendations

• Quickly identify procurement process issues and get guidance on how to resolve them, such as adjusting invoice exception configuration and closing sourcing events with a pending status
• Optimize data management and reduce data management costs e.g. cancelling requisition items and purchase orders no longer expected
• Understand which additional capabilities could be leveraged to solve your Source to Pay issues more fundamentally, e.g., AI and ML solutions to increase automation rates.

II. Harmonize Processes Across Organizations

Achieving process harmonization across the organization is crucial for enhancing efficiency and driving alignment.

SAP Signavio offers the plug and gain approach for Source to Pay, providing an execution and variant analysis as well as best run scores . With the help of best run scores, you can understand different integration variants across SAP Ariba and SAP ERP and identify the best and worst practices in your organization.

SAP Signavio facilitates the establishment of a single source of process truth, decreases inefficient variants, and fosters a common understanding across organizational units, driving improved adoption for ERP and Ariba solutions through a data-driven approach to change management.

PRODUCT HIGHLIGHTS

Plug and gain approach: Execution Analysis, Process Variant Analysis, and Best Run Scores

• Quickly identify inefficiencies and their effect on overall procurement lead times, such as delays in supplier deliveries
• Understand cycle times across your whole Source to Pay process
• Efficiently harmonize your process by targeting the most relevant variants for improvement, e.g., by selecting a specific supplier or specific material group

III. Build a Resilient Future

In an ever-evolving business landscape, building a resilient future demands a proactive approach to driving change.

SAP Signavio Process Insights equips organizations with the tools to accelerate the transition from the current to the desired future state to collaboratively and governely model the to-be process. With the quick modeler, you can easily model your as-is and to-be Source to Pay processes, share and view them, track changes, and manage versions efficiently.

Consider pre-defined process models as a starting point towards your own next procurement operating model, ranging from SAP Ariba Guided Buying, Sourcing to Contracts and Network. This empowers organizations to ensure compliance, decrease the impact of risks, such as disruptions in the supply chain, and set the stage for a resilient future.

PRODUCT HIGHLIGHTS

Pre-defined process models

• Get inspiration into possible ways of running your business
• Save time as skip the first steps of defining your to-be Source to Pay processes
• Adjust the processes to your own needs

These process models are not part of the plug and gain approach.

 SAP Signavio empowers organizations to perform cross-system analysis at speed, leveraging pre-built content through direct access to the SAP Ariba system. SAP Signavio serves as a catalyst for procurement transformation by providing a robust suite of tools and capabilities to address critical challenges, optimize processes, and drive sustainable value across the organization. With its comprehensive features and proven results, SAP Signavio empowers organizations to lead the way toward procurement excellence.

With each release, we’re extending our capability set. Let’s explore our latest release on plug and gain for SAP Ariba in the next blog posts, with a very tangible exemplary customer story shared by our colleagues Katharina Minninger and @nklimenko.