A little Introduction to Procurement with S/4 HANA
S/4 HANA is booming everyday. It is being an attractive product now days. People are keen to know more feature in S/4 Hana. Recently I prepared an overview on Procurement with S/4 HANA. I am sharing my thoughts.
In blog, we will learn about the basic information about S/4 HANA, Digital core and Digital realisation. I would request you read the blog and give you input in comments
SAP always looks for the procurement line of business through intelligent enterprise initiative. SAP Strategy is to be a rich experience company by powered by the intelligent enterprise.
SAP always focus on three pillars, experience, operations, and intelligent. The intelligent enterprise leverages emerging technology such as AI(artificial intelligence), IoT(Internet of Things), and analytics to allow users to focus on higher-value outcomes and automate repetitive tasks.
SAP Procurement strategy today emerges with SAP S/4 HANA Enterprise Management as the digital core, with SAP Ariba as the go to solutions portfolio for the procurement transformation.
Digital Core:- SAP is pursuing a digital core strategy from the its traditional position of strength in ERP System. SAP S/4 HANA serves as the core, and the cloud solutions in the SAP portfolio then integrated with and augment the core. For sourcing and Procurement, SAP S/4 HANA is the logical area to support procurement processes with heavy cross module dependencies. such as direct procurement, inventory management and account payable.
Digital Core does not mean on premise. SAP S/4 HANA has two deployment options or editions On premise SAP S/4 HANA and SAP S/4 HANA Cloud. On Premise SAP S/4 HANA edition supports 30 languages over 60 country version.
S/4 HANA Cloud covers specific business scenarios for the marketing line business as well as for the professional service industries. The most essential scenario to run an entire enterprise in the cloud with a digital core includes finance accounting, controlling, procurement, sales, manufacturing, plant maintenance, project system and product life cycle. In SAP S/4 HANA 3 main service are available marketing, professional service and enterprise.
The combination of S/4 HANA enterprise Management and SAP Ariba allows you take control with Transform procurement, Achieve digital IT transformation and realize digital IT information with procurement.
1- Transform Procurement:- Savings from Strategic Sourcing, Scaling Supplier management, and efficient operational procurement can be found in SAP Ariba procurement solutions.
2- Achieve Digital IT Transformation:- Next Gen SAP ERP for IT transformation, Procurement in the digital core and simplified digital landscape can be found in SAP S/4 HANA and Ariba networking.
3-Realise digital IT transformation with procurement:- Nex- Gen digital Landscape procurement savings and engagement at scale across the enterprise can be found in SAP S/4 HANA, SAP Ariba procurement solutions and Ariba networking.
Note:-These are the three main paths for procurement transformation with SAP All include Ariba Network.
Conclusion:- SAP always recommends running SAP Ariba solutions and Ariba Network for all source to pay business processes integrated into SAP S/4 HANA. It is called digital Core. This overview provided the S/4 hana procurement information and information of terminology. Also S/4 HANA procurement has been very attractive due its speed and transformation
Hope blog will help
Reference Sourcing and Procurement and S/4 HANA on SAP Help Portal
Hi - What about companies who do not have enough money to do an SAP Ariba implementation - but still want to migrate to S/4 to get the benefits offered in other SAP modules?
Could you provide some insights as to which benefits customers can expect on the source to payment process when they run it in S/4 but do not implement Ariba?
I have not seen any documentation on it yet.
Thanks Oscar Del.
I will try to get insights on the same
Hi Oscar Del
Could advise if blelow blog help you