
Supply Chain, what to expect now?
Digitisation: this continues to be the answer, and once again it is useful to shed light on digital tools and systems for supply chain management. The solution we propose today has a name: supply networks, i.e. a digital network that allows buyers and suppliers to establish relationships and carry out transactions via the internet.
The result is greater performance control and improved efficiency for your company and your customers.
Music to the ears of supply chain managers.
No, Covid-19 did not spare Supply Chain.
Fortunately today we’re seeing a slow recovery, growth that will inevitably lead to a “new normal” that brands will have to be ready and prepared for.
Despite this, we can’t ignore the challenges faced by small and large companies today and the difficulties in managing manufacturing, distribution and logistics. The cause of these problems is the disruption of the traditional linear model of the supply chain, where each stage depends on the previous one, and consequently glitches in one stage cascade through the others. And when the buyer and supplier are at both ends of the chain, it’s easy to understand the negative consequences for their respective businesses.
The lack of cordination along the supply chain is making the job difficult for procurement teams. The difficulty in predicting future events in the management of suppliers, sites, raw materials and finished products leads to an inevitable inability of companies to secure new sources of supply in a timely manner.
Replacing the traditional supply chain model with dynamic cooperation through supply networks.
The primary change is the shift from a one-to-one model to a many-to-many structure, thus enabling global visibility. The moment an organisation joins the network it becomes both a buyer and a supplier, thus gaining broad visibility into the operations of its business partners.
Furthermore, this model allows brands to more easily identify trends and problems at an early stage, and access to the network enables them to collaborate with new partners, improve cash flow, develop new products and improve sustainability.
Being part of a network that includes manufacturers, vendors, distribution centres, warehouses, transport companies and retailers contributes to improved business agility, being able to respond more quickly to demand and to cope with unforeseen circumstances such as those experienced in 2020.
SAP – Ariba Network
Imagine condensing all the concepts mentioned so far: the problems highlighted, future trends and the supply network model described. This is what is offered by Ariba Network, SAP’s hosted service that connects suppliers and buyers by enabling them to execute transactions via the internet.
Let’s take a look at how it works
The tool is designed for both sides of the chain, i.e. for both buyers and suppliers.
Buyers can use Ariba Network by accessing their account directly online and can do the following:
- Search for suppliers offering the needed products and services
- Invite suppliers to establish business relationships
- Send purchase orders and receive invoices
- Receive order confirmations and shipping notices
- Send payment documents
- Produce supplier reports
Suppliers, on the other hand, can have more than one account, each of which can be linked to as many accounts of buyers. By connecting to the service directly online they can:
- Access a network of high-volume buyers
- Get in touch with specific buyers interested in the supplier’s products or services
- Publish catalogues containing customised information and prices for specific customers
- Categorise products and services so that customers can find them by searching by category
- Select the document routing method that best suits the supplier’s business needs: suppliers can receive documents by email, fax, online
- (using Ariba Network messaging), cXML or EDI and send documents online or via cXML or EDI
- Execute transactions electronically by sending purchase order confirmations, invoices and other documents: Ariba Network enables the rapid transmission, tracking and processing of the transactions.
The advice of Ccelera
Ccelera considers SAP Ariba Network to be the ideal tool for managing your supply chain in view of current and future changes in the economy. It’s a tool that automates certain aspects of business relations and enables control of the supply chain from a single, secure and reliable platform. It also offers the opportunity to be part of a network and thus to make oneself known in the market, creating targeted catalogues for each customer.
Contact us if you need to revise your supply chain or simply want to learn more about SAP Ariba Network. We can offer you a service for the integration of SAP in your company, protecting you in all steps and assisting you in your needs by speeding up their implementation thanks to our packages.
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