The Best of Both Worlds

Integrating SAP Ariba Solutions with Your SAP Infrastructure

by Manoj Narayan | SAPinsider, Volume 17, Issue 4

October 10, 2016

The flexibility and scalability of cloud-based solutions hold a lot of promise for sourcing, procurement, and supply chain processes, but many organizations already have on-premise infrastructures built around SAP ERP devoted to managing these processes. How do you protect your existing investments while also taking advantage of the innovations offered by the cloud? Learn how SAP Ariba solutions enable easy integration between on-premise implementations and cloud-based technology, so that you can benefit from the best parts of each. 

Businesses around the world continue to seek ways to streamline sourcing, procurement, and supply chain processes. Organizations like Kaeser Kompressoren, a manufacturer of compressed air products and services, are increasingly turning to the scalability and flexibility of cloud-based solutions to achieve this goal, but still have on-premise infrastructures built around SAP ERP software to manage their business.

So how do you protect your existing on-premise investments while taking advantage of the innovations offered by the cloud? SAP Ariba solutions are developed with this need in mind, offering flexible solutions for combining on-premise implementations with cloud-based technology while minimizing costs.

Integration to the Ariba Network

The Ariba Network helps buyers and suppliers connect and manage everything from indirect and direct expenses to payments and financing, ensuring supply chain visibility, efficiency, and collaboration. Buyers with on-premise SAP ERP implementations have two options for integrating the Ariba Network with their back-end systems: an add-on to SAP Business Suite that supports integration with the Ariba Network without the need for protocol mapping, and an adapter for the Ariba Network that can be used with SAP Process Integration to connect the Ariba Network and SAP ERP.

For suppliers, Ariba Cloud Integration Gateway, built on SAP HANA Cloud Platform, enables simple and efficient integration of their SAP ERP systems with the Ariba Network. It reduces the deployment and integration time needed to connect with multiple buyers by leveraging a web application that connects back-end systems to the Ariba Network. This solution is in limited availability, but will soon be generally available.

Integration to SAP Ariba Solutions

The cloud integration options for SAP Ariba sourcing and procurement solutions provide standard integrations for SAP ERP and SAP S/4HANA. These standard integrations help ensure a streamlined end-to-end process, and are available for both master data and transactional data. Integration is offered through direct connectivity or mediated through SAP Process Integration.

The standard integration for SAP ERP and SAP Ariba sourcing solutions helps ensure smooth, integrated sourcing processes. Sourcing events are initiated from SAP ERP and are negotiated with the Ariba Sourcing solution; a follow-up purchase order is then created in SAP ERP. Similar integrations are available for Ariba Contract Management, and bidirectional vendor master integration is available for Ariba Supplier Information and Performance Management and SAP ERP, SAP S/4HANA, or SAP Master Data Governance. Standard integration is also provided between SAP Ariba procurement solutions and SAP ERP or SAP S/4HANA, allowing for the easy management of all procurement processes.

The ability to combine on-premise systems with SAP Ariba cloud solutions gives you the best of both worlds.

The Best of Both Worlds

The ability to combine on-premise systems with SAP Ariba solutions enables you to take advantage of the innovation and agility that come with the cloud while preserving existing implementations — giving you the best of both worlds. For instance, Al-Futtaim Automotive Group selected SAP Ariba solutions to transform its procurement process into a more strategic function. The company deployed the Ariba Sourcing solution to support its cost reduction initiatives and create a fair marketplace for its suppliers. The company integrated the Ariba Procure-to-Pay solution with SAP ERP to create an easy and transparent procure-to-pay process as well as drive contract compliance. This resulted in increased compliance for contract buying and accumulated savings of $25 million in total indirect spend.

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Manoj Narayan
Manoj Narayan

Manoj Narayan ( is senior director of solutions management at SAP Ariba. In this role, he is responsible for the strategy, roadmap, and product management of the cloud integration solutions.

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