Etihad Airways has begun transforming its procurement and supply management department to support future growth with the adoption of Ariba Sourcing and Supplier Information Management solutions.
The solutions will help the airline to automate and streamline its source-to-contract processes and efficiently integrate new suppliers.
Etihad announced in June that it had signed a multi-million dollar deal with Accenture to assist with a business transformation program including the implementation of a wide range of SAP solutions.
A statement by the airline said the capabilities of the Ariba solutions will enable it to have clear visibility of spend and contracts, with up to date information on all supplier activity. It also expects to gain workflow improvements through a virtual tender board and faster contract approval procedures, automated purchase orders to remove manual activities, and access to global suppliers through the SAP Ariba portal.
Suppliers will also be able to collaborate electronically through a self-service portal, and bid for available procurement opportunities at Etihad Airways and with its partner airlines.
The next phase of the implementation will see the Contract Management and Supplier Performance management solutions adopted, providing further automation and standardisation of contracts and supplier performance evaluation.
Adil Al Mulla, Etihad Airways’ vice president, procurement and supply management, said: “SAP Ariba will support Etihad Airways’ extraordinary growth by more effectively tapping into the global business network and standardising our processes for purchasing goods and services. It will offer enormous value to our suppliers and our guests, while allowing us to control spending, collaborate with suppliers at the right time, and minimise risks.”
