Defining SAP Ariba Sourcing Terminology

Objectives

After completing this lesson, you will be able to:

  • Define SAP Ariba Sourcing Terminology

SAP Ariba Sourcing Terminology

Defining SAP Ariba Sourcing Terminology

What are some of the common terms used across SAP Ariba Sourcing?

  • Sourcing project can include one or more related events, tasks, sections, and documents within one project workspace.​
  • Sourcing event can be a noncompetitive Request for Information (RFI), or formatted with specific pricing and bidding rules within a Request for Proposal (RFP) or auction.​
  • Templateevents are created from templates, which dictate timing, bidding and market feedback functionality settings during event creation.
  • Participantthat the supplier contacts that will respond to the event content.
  • Sourcing Library stores documents and customer-created standard event content, such as questionnaires, lots, line items, and past event content​.​

What are some of the common terms used across Direct Spend Sourcing?

  • Approved Manufacturer List (AML): A list of manufacturers or suppliers approved to provide a given item, as specified in Approved Manufacturer Parts List (AMPL) master data. The suppliers in an AML for an item are automatically invited to simple RFQ events that contain the item.​
  • Ad-Hoc Manufacturer: A manufacturer or supplier that is not linked to a given item in the AMPL, such as a supplier manually invited to participate in the event.​
  • Bill of Materials (BOM): A list of the raw materials, sub-assemblies, intermediate assemblies, sub-components, and parts and the quantities of each needed to manufacture an end product.​
  • Item Master: A list of all components that a manufacturer buys, builds, or assembles into its products. The item master includes such information as the size, shape, material, manufacturer, part number and vendor for each component.​
  • Purchase Info Record (PIR): A document containing information, such as pricing conditions on a specific material and a vendor supplying the material.​

Sourcing Project and Event Types

Sourcing Project Types

Full Sourcing Projectsare workspaces that enable the user to manage complex sourcing processes with stages and associated documents. They include support for process management, document storage, tasks, a message board, and project team.​ They can include a certain number of business tasks that must be completed, both online and offline.​

Events or Quick Projects

  • Request for Information (RFI)is an event type used to collect information from suppliers and are not competitive, where participant responses are never shown to other participants.
  • Request for Proposal (RFP) is an event that collects both information about a suppliers' qualifications as well as pricing information. Although pricing information can be collected, price might not be the most important factor in the selection.​
  • Auctionsare dynamic bidding sessions where bidders submit legally binding bids in real time, and price is the most important factor. ​
  • Reverse Auctions are used to buy goods and services, where suppliers compete against each other, driving prices down.
  • Forward Auctions are used to sell goods and services where participants are invited as potential buyers to compete to offer you the highest price.

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