Session2:- SAP Ariba Spend Visibility

7TH August2018-10 AM
What is Spend Visibility?

 Spend visibility is the analysis of an organization's spend data to identify, quantify, and prioritize
sourcing opportunities.
 A good spend visibility program empowers you with the tools and information required to answer
questions like the ones listed on the slide above.
 The ultimate goal is to uncover sourcing opportunities that will reduce your organization's spend and
increase savings.

Typical questions

• How much is your organization spending?

• Who is spending it and with whom?
• How much did you spend on a certain commodity this versus last year, or the year before?
• Are you buying the same item from multiple suppliers at different prices?
• How has the average price per part changed over time?
• How can you identify more savings opportunities?

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Typical Reporting Problems

• Data is stored in many systems

• Data entry is inconsistent
• Typos and errors cause part misclassification
• Can't find specific information quickly and easily
• Lack of tools to manage complex reports

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 Ariba Spend Visibility Professional

 Provides a comprehensive view of spend across the entire organization which drives business decisions and
priorities regarding spend and sourcing opportunities.

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 Data Enrichment Service

 Data is collected and combined from all of your organization's systems and sources.
 Segments, normalizes supplier information, and stores all data.
 Map parent-child relationships for supplier organizations.
 Assign standardized commodity codes.
 New data is added and cleansed on a regularly scheduled basis.

Reporting Features
 Dozens of prepackaged reports.
 Simple wizard to create any ad hoc reports from any fact tables in the system. These reports can be
saved in your personal workspace for future use.
 Ability to view reports as tables or charts.
 Customizable dashboard for immediate access to all critical information.
 Data access control can be used to hide specific data in a report from certain users.
 Ability to share key reports with others.

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Spend overview reports overview
The Spend Overview folder is located in the Prepackaged Reports > Spend Visibility folder
1)Commodity overview report
• Commodity Summarized View with data on UNSPSC (L1) top-level commodity categories, total spend by
commodity, supplier optimization cost, price variance cost, number of suppliers, and number of purchasing
company sites
• Commodity Trend Analysis
• Spend Variance By Supplier and Commodity Analysis
• Supplier Optimization By Commodity
• Annual Inflation Cost Per Part By Commodity
• Organization Analysis
• Commodity Analysis
• Premium Costs By Commodity
• Purchase Price Variance By Commodity

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 2) Organization overview report
• Organization Summary Spend View with data on purchasing companies, total spend by organization, off PO
spend, off PO spend percentage, price variant cost, premium cost, supplier count, commodity count, and
invoice count
• Organizational Spend Trend Analysis
• Supplier Spend Analysis
• Commodity Analysis
• Off-Contract Spend By Organization
• Premium Costs By Organization
3) Supplier overview report
• Geographic Source Analysis ,Commodity Analysis
• Purchase Price Variance By Supplier
• Supplier Spend Analysis
• Supplier Profile Overview, with data on supplier global ultimate parent, number of ERP suppliers, diversity
suppliers, diversity status, credit rating, and revenue rating
• ERP Supplier Analysis
• Supplier Spend Trend Analysis by Buying Org.
• Off-Contract Spend By Supplier
• Purchase Price Alignment Cost by Supplier
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SAP Ariba Spend Visibility Insight-Driven Action

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