The document outlines innovations in sourcing, contracts, and spend analysis by SAP Ariba, emphasizing data-driven decision making, persona-based user experiences, and user engagement with suppliers. It discusses the product vision and upcoming technological enhancements that improve procurement processes, focusing on smart item enrichment and machine learning capabilities. The presentation also includes a roadmap for future developments aimed at simplifying sourcing and contracting experiences for buyers and suppliers.

1. PUBLIC
August 2017
Debashis Banerjee, Keertan Rai, Dave Herman
Innovations in Sourcing, Contracts, and
Spend Analysis

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The information in this presentation is confidential and proprietary to SAP SE or an SAP affiliate company and may not be
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assume no responsibility for errors or omissions in this document, except if such damages were caused by SAP SE or an
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All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ
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speak only as of their dates, and they should not be relied upon in making purchasing decisions.
Legal disclaimer

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 Introduction
 Portfolio Rebranding and Naming
 Innovation Themes and Road Map
 Demo
 Q&A
Agenda

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SAP Ariba solutions: The world’s leading business commerce network
SAP Ariba cloud solutions simplify source-to-settle process
Suppliers | Sell to settle
Ariba Network
Procurement
Supply
chain
Financial supply
chain
Supplier
management
Strategic
sourcing
Buyers | Source to settle
Selling Fulfillment
Openplatform
Customervalueservices

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SAP Ariba Priorities
3
Data-driven
smarter decisions
1
Persona-based
user experience
2
Deeper
supplier engagement

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SAP Ariba Product Vision

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Data Driven Smarter Decisions
Innovations:
 Smart item enrichment with deduping
 Large scale optimization with “what-if” analysis
 Intelligent authoring with automated clause
creation
 Neural network–driven classifier
 Smart suppliers suggestions
Driving adoption through native intelligence and enhanced user experience

8. Demo – Enhanced Authoring, New Contracts User Experience - NDA &
Complex Services

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Faster time to value with improved technology,
content and processes
 Next-gen classifier ~30% reduction
 Next-gen supplier match ~20% reduction
 Content and process changes ~30% reduction
 Continuous expansion of models and rules
 Improved quality assurance processes
Spend analysis – neural network–driven classifier
Faster enrichment turnaround
30
21
15
5
10
7
5
2
TODAY PHASE 1 - NEXTGEN
CLASSIFIER
PHASE 2 - NEXTGEN
SUPPLIER
PHASE 3 - CONTENT &
PROCESS CHANGES
Average enrichment turnaround
(machine + human days)
Initial Refresh
Scope Range Avg. Initial Avg. Refresh
Invoices 5M-150M 10M 5M
Suppliers 10K-250K 50K 40K
Spend 3B-100B 5B 4B

10. Demo – Spend Classifier

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Persona-based user experience
Innovations:
 Operational buyer experience – guided buying
 Shared services experience – shared services
 Strategic buyer experience – strategic sourcing
 Supplier experience
Awesome sourcing and contracting experience for both “buyers” and “suppliers”

12. Demo – Sourcing

13. Road Map Overview

14. 14CUSTOMER© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
CUSTOMER
This presentation and SAP‘s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is
provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement
This is the current state of planning and may be changed by SAP at any time.
Planned Q4/2017
User Experience
• Simplified operational sourcing
• Cognitive contracts management
• Search for content in contract line items
Integration
• SAP Ariba Contracts integration with S/4
HANA
• Integrate selected Items to external
systems
• Scheduling Agreements
• Desktop file sync. API – Google Docs,
Drive, Microsoft 360
Smart Sourcing & Contracts
• Advanced cost optimization/What-if
analysis support
• Machine Learning and Artificial Intelligence
based sourcing event creation
• Automated price negotiations
• Legal Clause generation from Sourcing
Awards
• Enforce qualification status on contracts
• Intelligent authoring with automated clause
creation
• Next generation classification engine
Expanded Category Coverage
• Commodity Index based pricing
• Japanese auctions
• Complex service line item hierarchy
• Volume based pricing
User Experience
• New smart strategic sourcing app
• Enhanced smart contracts
• Enhanced smart sourcing
• Mobile support – event management,
contracts
• Enhanced Spend Visibility
Integration
• Automated spend data integration
• Digital signature integration API – Korea,
China
Smart Sourcing & Contracts
• Collaboration support for sharing engineering
drawings and large attachments
• Contract negotiation/in event multi round
bidding
Expanded Category Coverage
• Traffic light auctions
• Service item master integration
• NLP based compliance term extraction
Platforms
• ActiveX removal for reports export
• Globalization – Croatian, Bulgaria, Slovakian
Future DirectionPlanned Q3/2017
User Experience
• Office 2016 support (under Office 365
subscription)
• Improved participant Invite Process
• Enhanced contracts authoring
• Drag and Drop document upload
Integration
• Material Master integration
• Multi-ERP support
• Sourcing integration to S/4 HANA
Smart Sourcing & Contracts
• Award approval at the line item level
• Lookup table formulas
• Contract request creation from sourcing
award
• Additional Custom Category Taxonomies
(SV)
Expanded Category Coverage
• SAP Simple Service item integration
Supplier Management
• Preferred supplier list integration to RFX
• Supplier qualification grid support for
sourcing
• Supplier qualification rules for sourcing
User Experience
• Ad-hoc team member creation from UI
• Mobile support for approval tasks
• Drag and Drop for attachments
• Multi currency enhancements
• My Sourcing Request tile
Integration
• Award to PIR integration
• Contracts to PIR integration
• Improved Contract Line Item web services
Smart Sourcing & Contracts
• Document link sharing with suppliers
• Create sourcing request from Spend
Visibility
• Smart approvals for line items
• Enhanced amendments
• Improved Enrichment Change Requests
(dynamic)
SAP Ariba Sourcing, Contracts and Spend Analysis
SAP Ariba Procurement Application Suite Product Roadmap Overview
Recent Innovations
Q2’ 2017 Release

15. 15CUSTOMER© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ
CUSTOMER
This presentation and SAP‘s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is
provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement
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16. Thank you.
Aarathi Vidyasagar
Vice President, Head Strategic Procurement,
SAP Ariba P&I
aarathi.vidyasagar@sap.com
Debashis Banerjee
Director, Contracts Management,
SAP Ariba P&I
debashis.Banerjee@sap.com
Dave Herman
Chief Data Scientist, Strategic Procurement
SAP Ariba P&I
dave.herman@sap.com