Automated procurement processes thanks to Cognitive Procurement
The more and more frequent problem concerning large enterprises and corporations is managing the developing procurement processes.
Manually handling them proves to be ineffective and too complicated at following stages of developing the supply network.
Due to this, a question arises – how to efficiently and productively manage the purchasing network? Automation and improving processes prove to be a great deal of help. These are possible thanks to taking advantage of the SAP Ariba platform which has been enriched with the capabilities of the IBM Watson supercomputer.
What is SAP Ariba?
SAP Ariba is a global procurement platform located in the SAP cloud. It connects millions of business partners within the most extensive trade network (Ariba Network) via a procurement system used in the SaaS/Cloud model. It allows us to search, communicate, and work with business partners.
It is a solution addressed at both purchasing as well as selling companies. Processes executed within it may be handled from the level of any device, stationary or mobile. SAP Ariba allows managing resources more efficiently and effectively.
SAP Ariba is a network of more than two million suppliers from all over the world.
The most important advantages of using SAP Ariba:
- Intelligently managing purchases and relations with suppliers at the company
- Controlling company expenses
- Handling inquiries for quotation
- Searching for suppliers
- Determining procurement needs
- Managing contracts
- A better understanding of procurement transactions
- A practical analysis of expenditures and information concerning suppliers
- Faster purchasing processes
- Improved communication with business partners/suppliers
How can combining SAP Ariba with IBM Watson automate procurement processes?
Artificial Intelligence is entering business reality with a great force. There are many examples of using it in accounting and logistics systems or managing relations with clients. And now, thanks to taking advantage of IBM Watson – also purchases.
This solution can make decisions on its own, and even independently place orders. It is possible thanks to taking advantage of the highest class Machine Learning technology.
These types of Big Data systems gather data, thanks to which they can learn on the observed patterns and tests. Constantly providing new portions of knowledge allows them to perfect the algorithms which process information. Thanks to using proper algorithms they automate the process of acquiring and analyzing data. As a result, this leads to the creation of a unique system based only on valuable and essential information.
The direct advantages of using such automation usually include lowering costs and the risk of errors, as well as increasing efficiency and effectiveness.
Thanks to using IBM Watson, the SAP Ariba system becomes enriched with such functionalities as:
- Machine Learning applications
- Answering questions in a natural language
- Intelligent Virtual Assistants
- NLP (Natural Language Processing)
The synergy of these two solutions results in achieving a new quality of managing suppliers and purchases within a company – Cognitive Procurement.
- On 13/07/2017