SRM stands for Supplier Relationship
Management. SAP SRM supports the full procurement cycle that is starting from
source and purchase to pay through complete procurement process with suppliers
and effectively managing supplier to build a long-term relationship. SAP SRM is
to managing with an enterprise's interactions with the organizations that
supply the products and services it uses. The purpose of SRM is to streamline
and make more useful the procedures between an enterprise and its suppliers
just as Customer Relationship Management (CRM) is planned to streamline and
make more effective the procedures between an enterprise and its clients.
SAP SRM allows you to optimize your
procurement process to work effectively with suppliers to get long term benefits
and also to perform forecasting, procurement cycle and to work with partners.
You can reduce the time span and cost of procurement cycle using innovative
methods to manage business processes with key suppliers. SAP SRM helps you to
maintain supplier performance management and helps you to streamline the
procurement operations, put compliance with contracts and purchasing policies,
and improve overall cost management and payment.
Organizations can procure all type of
products like direct and indirect material, services and this can be
incorporated with SAP ERP modules. The SAP SRM documentation offers a complete
description of the functional scope of SAP SRM and the connection between the
application and the technologies. SAP SRM is part of SAP business suite. It is
a SAP product that facilitates the procurement of goods via a web-based
platform.
Importance
of SAP SRM
SAP SRM provides you creative strategies to arrange your business
processes with your suppliers and make them more powerful. SAP SRM enables you
to upgrade your procurement strategy, to work more effectively with your
supplier pool, and hence to increase long-term benefits from all your supplier
relationships. To maintain high-quality output while lowering supply costs,
need ultra-efficient SRM procurement processes.
- Automate operational procedures to build efficiencies and avoid unusual purchasing.
- Streamline and order the purchase of services and products.
- Increase extra visibility into dealer relationships and performance.
- Shorten procurement costs by closing the circle from source to pay.
- Accelerate procurement processing and cycle durations.
- Drive client reception with consumer review purchasing interfaces.
Functions
in SAP SRM
There are different key functionalities
that can achieve by utilizing SAP SRM product and by integrating with other SAP
ERP modules and non-SAP systems for planning and optimization. Following are
the key functions of SAP SRM
Inventory
Management
This function is used to manage
inventory data and this data can easily be integrated with business processes
like accounting, finance, and planning. The inventory data must be synchronized
with the SAP master data and the data should be checked for quality to guarantee
that it is right for clients. The inventory function in SAP SRM also provides
companies with the ability to add pictures to the catalogs they use as well as
internet and print distributing.
Procure
to Pay Optimization
Using SAP SRP product, this feature is
used to implement procure to pay lifecycle and enhance communication with
supplier and cost management. This is achieved by improving supplier
communications, streamlining procurement operations, and improving cost
management. In this function, it is possible to cut process costs and speed
cycle durations by automating procurement and utilizing work process. Also,
improve supplier relationships by helping electronic exchanges and co-operation.
Self
Service Procurement
This functionality gives employees of a
organization the opportunity to purchase items they require from vendors via an
internet portal. This allows employees who don't normally purchase items, to be
able to purchase items through the catalogs that are available to them. By
developing a set of business rules for the employees, they can purchase items
which can trigger an approval work process so the items are received in a convenient
request.
Reporting
The SAP SRM application contains
operational reporting that allows an organization to monitor purchasing
activities, measure contract compliance, and review organization wide spending
and sourcing needs. Using SAP SRM, you can make reports related to procurement
activities, contract management, and managing costs in the procurement process.
The reports can utilize information from the SAP SRM and SAP ERP systems.
Contract
Management
Manage contracts using the secure
central treasury. This function helps to reduce agreement crimes and permits
end-users to follow business processes during self-service procurement. The SAP
SRM application can associate an organization with its supply base which
permits multiple levels of suppliers, partners, and manufacturers to work
together, while you reduce the cost of products sold.
About
SAPVITS
SAPVITS is one of the leading SAP Online Training and consulting company. We offers online training for SAP SRM module. We have
more than 9 years of training experience in SAP and as well as Real-time
working experience in all SAP modules. The SAP SRM Training at SAPVITS is
provided by a very experienced and knowledgeable faculty who has several years
expertise in the industry.
SAP SRM
is in trade and this will only increase with time as companies realize the
benefits of this module. Learn the business processes and components of the SAP
SRM solution. The SAP SRM sessions are based on real-life scenarios which are
derived from the instructor’s job experience.
Contact Us:
Website:-www.sapvits.com
Email:-info@sapvits.com
UK:- +44 141
416 8898
India:- +91 992
284 8898
USA:- +1 678
389 8898
