What is spend management?
Spend management is the tried and true practice of comprehensively managing all supplier relationships and company purchasing to identify every dollar spent and get the most out of it. Spend management best practices integrate and automate all spend-related activities from source to settle so that buying happens as planned and suppliers get paid in compliance with contracts.
By taking a big-picture view of spending, more addressable spend can be brought under management, driving more organizational value. The value is derived from:
- Greater efficiency – from automating manual, error-prone processes
- Lower supply costs and risks – by knowing exactly what is being bought, from whom, and for how much
- More effective collaboration – between trading partners and cross-functional teams
- Improved productivity – by freeing time and resources to focus on more strategic activities


Turn insights into action
Using spend management software, you can turn insights into action in an interconnected, end-to-end process:
Sourcing is performed from a stronger negotiating position to receive better pricing from suppliers
Contracts are written in real time, then stored in a centralized repository to facilitate visibility and compliance
Purchasing is controlled by guiding employees to buy from preferred suppliers at negotiated prices
Supplier lifecycle and performance are managed with a 360-degree view of reliable, up-to-date data
Multitier supplier visibility mitigates supplier risk and potential threats to operations, image, and revenue
Invoice capture, workflow, and approval are automated to eliminate exceptions and ensure compliance with contracts and purchase orders
Collaborating with suppliers, payments are managed to increase free cash flow, improve working capital, and capture early-payment discounts
This is Spend Management™
SAP Ariba Spend Management Solutions

Solutions Overview
SAP Ariba offers intelligent solutions that seamlessly connect virtually every step and piece of data together across the entire source-to-pay process.
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A fast and simple way to automate procure-to-pay for midsize and growing companies. Do it in 12 weeks or less with pre-configured solutions packaged and priced to meet your needs.
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