SAP Ariba and IBM Join Forces to Transform Procurement with SAP Leonardo and Watson
Industry leaders to develop next-generation source-to-settle solutions; launch hub for cognitive
procurement
Procurement is about to get smarter, faster and more efficient. SAP Ariba and IBM (NYSE: IBM) today announced a global strategic alliance to deliver cognitive procurement
solutions that redefine the source-to-settle process. Leveraging SAP Leonardo, IBM Watson technologies and SAP Ariba, the solutions
will bring intelligence from procurement data together with predictive insights from unstructured information to enable improved
decision making across supplier management, contracts and sourcing activities.
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IBM Global Business Services will provide consulting and services to build, implement and operate the new offerings using
tailored roadmaps to help enterprises of all sizes lower costs and realize faster time to value. IBM will also work with SAP Ariba
to bring new and existing IBM customers, including those using IBM Emptoris solutions, to the SAP Ariba platform where they can
benefit from this expanded functionality and the comprehensive source-to-settle offerings that SAP Ariba provides.
Additionally, the companies will launch a Cognitive Procurement hub to further the development of intelligent procurement
solutions and services, working side by side to explore applications of emerging technologies, including blockchain.
Combining the Best of the Best to Transform Procurement
“We’ve built a cognitive procurement platform trained specifically to understand procurement transactions and unstructured data
such as weather, non-standard part numbers in contracts and complex pricing structures,” said Jesus Mantas, General Manager,
Cognitive Process Transformation, IBM Global Business Services. “By combining the power of IBM Watson on the IBM Cloud with SAP
Ariba, we are leaping existing procurement benchmarks and delivering unprecedented value to our joint clients.”
“Today marks a major milestone for procurement,” said Alex Atzberger, President, SAP Ariba. “With the deep horizontal
integration capabilities native within SAP Ariba’s mature platform and the innovative capabilities of SAP Leonardo and IBM Watson
delivered by the industry’s most experienced and trusted providers, companies can realize an even more intelligent source-to-settle
process for managing all categories of spend that creates value across the entire business.”
A Smart Approach
In joining forces, SAP Ariba and IBM will use data insights to empower procurement professionals to make smarter, faster
decisions across their supply chains. The new applications can impact the entire procurement process from improving spend
visibility to assisting buyers and enriching content management.
For example, a digital assistant combined with IBM Watson services, will transform sourcing events by helping with tasks such as
defining the correct Request for Proposal type, identifying appropriate suppliers to participate based on commodity category,
region or industry and delivering intelligence on market signals and pricing pressures to optimize results.
With SAP Leonardo and IBM Watson, contracting will be become smarter and more comprehensive, as applications automatically
identify relevant terms and conditions matched to legal library and taxonomy, uncover similar contract terms for a specific
commodity by industry or region based on benchmarking data and suggest optimal prices to target based on expected volume and
contractual discounts. SAP Ariba and IBM will also explore automating the extraction of contract terms and summaries to help
customers ensure compliance in next-generation procurement.
To learn more about the SAP Ariba-IBM partnership to transform procurement, click here.
About SAP Ariba
SAP Ariba is how companies connect to get business done. On the Ariba Network, buyers and suppliers from more than 2.5 million
companies and 190 countries discover new opportunities, collaborate on transactions and grow their relationships. Buyers can manage
the entire purchasing process, while controlling spending, finding new sources of savings and building a healthy supply chain. And
suppliers can connect with profitable customers and efficiently scale existing relationships – simplifying sales cycles and
improving cash control along the way. The result is a dynamic, digital marketplace, where more than $1 trillion in commerce gets
done every year.
To learn more about SAP Ariba, visit www.ariba.com.
About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better.
From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work
together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services
enable approximately 350,000 customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit
www.sap.com.
About IBM Watson: Pioneering a New Era of Computing
Watson represents a new era in computing called cognitive computing, where systems understand the world in a way more similar to
humans: through senses, learning, and experience. Watson continuously learns from previous interactions, gaining in value and
knowledge over time. With the help of Watson, organizations are harnessing the power of cognitive computing to transform
industries, help professionals do their jobs better, and solve important challenges.
As part of IBM’s strategy to accelerate the growth of cognitive computing, Watson is open to the world, allowing a growing
community of developers, students, entrepreneurs and tech enthusiasts to easily tap into the most advanced and diverse cognitive
computing platform available today. Watson solutions are being built, used and deployed in more than 45 countries and across 20
different industries.
For more information on IBM Watson, visit: ibm.com/watson. Join the conversation at #ibmwatson.
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SAP Ariba
Karen Master, +1-412-297-8177
karen.master@sap.com
or
IBM Media Relations
Suzanne Cross, +1-617-693-1811
suzanne.cross@us.ibm.com
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