You could also set receiving tolerances and you could set receiving by quantity or amount based on your commodity. Moreover the drafts for partial receipts keep on auto appearing till you have received the entire order. Just think of a Doc user trying to avoid the keyboard with his gloves on. Receipts - This is the interesting part, whether it is a goods or a service you can receive it against the PO using a pre-populated draft again minimizing the keying of information. back to you to track on your Purchase Order tied to your initial Req. They could then use standard forms with minimum to no manual keying of information and send back Order Confirmation, Advance Ship Notice etc. Purchase Order - This is the first legal document that your supplier receives electronically over the Ariba Network (Think of it as a single self service portal for the supplier for all its business across the globe with not just you but any other buying organisation). You could also import Req's from your ERP system through automated loads. This can then go through your purchasing and pre-configured approvals.
Requisition - One can create a request for material or a service using a catalog or a free text item. Lets see how it helps move through different sub processes The organisation can let SAP Ariba P2P take care of the entire process in a very user friendly manner. Later is supported by Receiving, Invoicing and Reconciliation leading to the Payment. The procurement process starts with Purchase Requisition leading to a Purchase Order and followed by a possible three way match process. There has been continuous improvement and thanks to SAP's market leadership that it has become one of the most popular e-procurement solutions of this decade.
In its initial days it was a popular and innovative tool to manage indirect spend. One can say that this module evolved with the Oil and Gas industry as it inherited the terminology Downstream ( and also upstream for Source to Contract). In 2012 SAP acquired Ariba but it all started with the Buyer (On-Premise) module which is now P2P On-Demand (Cloud based). This is the fourth article in this series and I am writing about the key native module Procure-to-Pay of SAP Ariba.
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