Alkem selects SAP Ariba Solutions to accelerate Intelligent Procurement Transformation

SAP will now help the Indian pharmaceutical company Alkem Laboratories in digital procurement.

SAP Ariba Solutions will enable Alkem to reduce costs and improve efficiency. The solution will increase transparency and encourage supplier collaboration while integrating with the existing system, which includes the SAP S/4 HANA.

SAP acquired Ariba in 2012. SAP Ariba helps in control spending and cut costs by simplifying buyers' and suppliers' experience. Intelligent procurement with SAP Ariba with AI analyzes data related to supplier, policy, spend and risk data. The solution further recommends key actions at key decision milestones.

Executive Opinion

Ben Redwine, chief operating officer, SAP Ariba Asia Pacific Japan, said, "Digitalizing procurement can transform supply chains and support growth strategies. Alkem’s unwavering commitment is to make a difference to patients’ lives around the world — a commendable goal we hope to support by accelerating its adoption of Intelligent Spend Management. Our SAP Ariba solutions will help Alkem reduce costs, improve efficiency, increase transparency and encourage supplier collaboration while integrating with existing systems, including SAP S/4HANA — which will help the business run better and, in turn, improve more people’s lives."

Alkem's SAP Deployment

To focus on future growth prospects, Alkem is digitizing the source-to-settle process with SAP S/4 HANA integration. The company expects to improve the buying experience with intelligent insights.

Some of the latest emerging technologies are helping the drug makers to improve operational efficiencies in distribution and manufacturing channels.

Pharmaceutical products are sharply affected by storage conditions, and companies commonly face issues around under and overstocking. Some of the technologies, such as IoT and AI, solve these issues by helping companies to track product supply chain in a real-time scenario.

In the month of May 2019, Raymond Group leveraged SAP to develop a digital platform for its Fast Moving Consumer Goods Business.

AstraZeneca, a British Swedish pharmaceutical company, has also deployed SAP’s Ariba offerings to modernize the procurement process at its Brazilian unit.