SAP SRM supports the procurement process through the full e-procurement cycle. From sourcing, to purchasing, and supplier management, you can do this all with SAP SRM. This procurement software facilitates automating, simplifying, and centralizing your procure-to-pay process. If you need to streamline your operation, ensure compliance with negotiated contract, and to improve your company funds are spent, then consider SAP SRM for your needs.
What is SAP SRM Procurement Software?
SAP SRM gives your company the ability to manage its procurement process, and to implement procure-to-pay best practices. This ultimately leads to fster, more efficient operations and simplified supplier communication. SAP SRM simply makes cost management easier to manage overall. This software provides business with tools such as catalog management, contract management, and self-service and plan-driven procurement.
Businesses can spend a significant amount carrying out tasks related to procurement which aren’t necessary adding much value. SAP SRM lets businesses focus their efforts on valuable tasks such as building supplier relationships and streamlining the procure-to-pay process.
The features offered by SAP SRM are based on proven business and industry expertise. The application comes pre-configured with a variety of different business scenarios which lets organizations quickly deploy effective procurement strategies which can also be easily tweaked.
SAP SRM Benefits
Maintaining quality output while also lowering supply costs is important for effectively running your business. In order to support this an efficient supplier relationship management (SRM)/procurement process is needed. SAP SRM provides the framework which allows for this with the following benefits:
- Streamline and standardize the purchase of goods and services
- Shrink procurement costs by closing the loop from source to pay
- Automate operational processes to increase efficiencies and avoid maverick buying
- Drive user adoption with consumer-grade shopping interfaces
- Gain greater visibility into supplier relationships and performance
- Accelerate procurement processing and cycle times
SAP SRM Features
This software offers businesses the opportunity to improve their efficiency through the automation of operating processes and through reining in spending. Its interface is user-friendly, making it easy for staff to get started with it. Overall SAP SRM helps businesses to improve customer relationships and performance and to speed up the procurement process overall.
Below are some of the features which help to make SAP SRM an excellent solution for streamlining your business’ procurement process.
SAP SRM integrates seamlessly with enterprise resource planning (ERP), product lifecycle management (PLM), and supply chain management (SCM) applications to ensure that your procurement processes effectively tie together with the other aspects of your business.
Easily Check Order Statuses
The Check Status application lets requisitioners monitor their shopping cart requests. Instead of having to call the purchasing department of their company, they can simply use this application, saving time.
Biller Direct Application
This application lets businesses view their invoices and see in real time which payments have been made and those that need to be made. SAP SRM simplifies the communication process between the accounts payable department and requisitioners.
Faster, More Streamlined Requisitioning
SAP SRM’s streamlined procure-to-pay processes reduce requisitioning, order processing, and supply management cycle times.
Controls and automated processes can be put in place with SAP SRM which helps to eliminate costly process related errors. This leads to increased productivity.
Automated Procurement Processes
SAP SRM’s procurement process replaces manual procurement, saving time and reducing delays which are largely due to lengthy manual approvals. SAP SRM’s workflows are much faster and the status of orders can be viewed in real time through the web interface.
Web-based catalogs make it easier to find negotiated goods and services with the required specifications and suitable prices. Basing goods selection off of the catalog also ensures that there is compliance with approved vendors.
Web-Based Request for Proposal System
This clever system reduces the source evaluation cycle time.
View Historical Spending Data
Data such as past supplier performance keeps the purchasing professionals in your organization well informed. They can use this data to make better sourcing decisions, ensuring that you get the best goods and sources.
Improved Contract Compliance And Governance
SAP SRM ensures that the terms of contracts are complied with. It funnels spending towards a business’ selected suppliers with negotiated products and prices. Contracts are matched against purchase transactions in order to monitor possible off-contract spending.
SAP SRM’s web interface and systems of requisitioning, bidding and supplier interaction naturally lend themselves to increased collaboration across the supply chain.
SAP SRM comes with ready-to-use workflow templates which makes implementation of responsible procurement processes much easier.
Electronic Approval System
Instead of piling up your office with paper approvals, SAP SRM uses online approvals. Not only does this save space, it also speeds up the approval processing time drastically. This method is easier to audio and naturally lends itself to greater visibility and awareness.
SAP SRM integrates with mail clients such as Microsoft Outlook and Lotus notes. This helps to boost productivity and makes it easier for your staff to embrace the software.
Configure According To Your Business’ Needs
Each business has different needs. You can configure SAP SRM to match various implementation scenarios.
Integrates With Various Technologies
This solution integrates with technologies such as XML and Supplier Networks. This helps to promote supplier adoption.
Only a web browser is required to use SAP SRM. This reduces end user maintenance costs and leads to a reduced total cost of ownership (TCO).
Simple But Powerful
It doesn’t take a lot of training to get up and running with SAP SRM. This doesn’t mean that it isn’t a powerful application however. Users can opt to use the Streamlined Wizard or the Extended Form requisitions navigation. This ensures that both casual and power users have access to the functionality that they need and are capable of using.
SAP SRM is set up so that users can easily find and purchase products and services which are compliant with your business’ purchasing policy. Users can serach across multiple catalogs using a consumer like interface.
SAP Bidding Engine
The bidding engine can be used to create and process requisitions. It can also be used to process quotation requests. Bidders can use it to submit bids in response to submitted requests.
Online Transaction Processing System
The online transaction processing system facilitates data flow between SAP SRM and connected online transaction processing systems.
SAP NetWeaver Business Intelligence
This facilitates data warehousing, analytics, web-based reporting, and sharing of business intelligence with the relevant parties.
SAP Netweaver Portal
This allows users to access applications, services, and organizational information from one place.
Live Auction Cockpit (LAC) Web Presentation Server
This features lets users conduct virtual auctions and allows for reverse auctions, real-time monitoring, and real-time bidding. This is integrated closely with procurement processes.
Plan-driven procurement automates the processes related to ordering regularly used core materials. your procurement processes can be linked to a plan-driven strategy which ensures that you get the materials you need for your core business tasks on time.
With spend analysis businesses can analyze spending across various categories. Analysis of suppliers, products, and product categories can be carried out.
Supplier self-registration gives potential suppliers a web-based registration portal. This facilitates accepted suppliers’ easy participation in bidding and auction events.
Suppliers can get directly involved with hashing out specifications and bills of materials.
Collaborative Inventory Replenishment
SAP SRM optimizes the replenishing of inventory. Businesses can specify their desired inventory levels and suppliers can then access a customer’s inventory data, and maintain inventory levels accordingly.
A free trial is offered. However, if you wish to continue using SAP SRM after the trial is up, you will need to contact SAP for a quote on how much their packages costs. You will only have to pay for the functionality and number of users you require.
This application is accessed through a web-based interface which means that it can be accessed on any device with an internet connection. Currently, in terms of languages, English, Dutch, Polish, Turkish, and Swedish are supported.
Support is provided via email and phone. A live chat solution is also available. Additionally, a comprehensive knowledge base is available which provides customers with lots of information on a variety of topics. Support can also be accessed through the SAP community. There are support solutions offered for enterprise clients, as well as small and medium-sized businesses.
SAP SRM provides a number of useful features for streamlining the procurement processes of businesses. These features enable businesses to take control of their unique procurement process. SAP SRM integrates closely with other enterprise applications. It also offers a number of process, technology, and people benefits.
With SAP SRM you will gain visibility and be able to better control your spending. You will also be better able to manage demand and ensure compliance with your standards. You will be given tools which can help you to make better business decisions that let you take advantage of benefits offered by your supplier network.
In addition, your procurement process will be simplified, standardized, and automated. You will reduce errors and be more efficient with your procurement process.
SAP SRM also lets you effectively collaborate with suppliers and promotes increased adoption of e-procurement.
If you want to reduce procurement spending, and optimize your process then it would be worthwhile for you to give SAP SRM a try.