Contract Management with SAP Ariba Contracts (4AZ)

Contract Management with SAP Ariba Contracts (4AZ)

In this scope item, you can integrate value and quantity contracts, which are agreements for a company to order certain quantities of products during a specified period. In SAP Ariba Contracts, users can negotiate prices for goods and lean services to be procured, and they can sign a legally binding contract with a supplier. In source determination, contracts can then be assigned in the source list as fixed sources of supply. Pricing details are passed on from SAP Ariba Contracts to the operational system, so that operational purchasers can use these prices to buy goods or services as required. Target groups of Contract Management with SAP Ariba Contracts are purchasing managers as well as strategic buyers and operational purchasers.

Key Process Steps Covered

  • Create contract in SAP Ariba Contracts

  • Set up and review contract terms

  • Approve contract

  • Send contract to SAP S/4HANA 

  • Automatically create operational purchase contract

  • Automatically approve and release operational purchase contract

  • Use operational purchase contract as source of supply

  • Create purchase order against operational purchase contract

Benefits

  • Manage purchase contracts for materials and lean services
  • Automate and accelerate the contract lifecycle
  • Standardize and control contract development
  • Minimize effort for tracking and administration of contracts
  • Optimize the value of contracts by supporting full-scale reporting
  • Strengthen operational, contractual, and regulatory compliance

Software Products

  • SAP S/4HANA
  • SAP Ariba Contracts
  • SAP Ariba Cloud Integration Gateway

Where is Contract Management with SAP Ariba Contracts(4AZ) being used?

This Scope item is used in the following way:

  • As a management function of Sourcing and Contract Management within Sourcing and Procurement Scope Item Group

Process flow of Contract Management with SAP Ariba Contracts (4AZ)

Find below the process flow of the scope item Contract Management with SAP Ariba Contracts as it is defined for release s4h-2021.


Download Process Flow of Best Practice scenario Contract Management with SAP Ariba Contracts (4AZ) - S/4HANA OP
Ref: Sourcing and Procurement of SAP S4H-2021
Best Practices related to S/4HANA*1) Yearly Updates are released per September of each year
*2) The Quarterly updates are released per Februari, May, August and November
Details of future releases can be found in the SAP Roadmap section of each product. Go to SAP Roadmap Product Finder.
Knowledge Center Scheer Nederland | The Process Experts Visit also the SAP Cloud ERP knowledge center of Scheer Netherlands. The following topics are covered:
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