Company opens access to additional risk insights, enabling businesses
to more effectively balance costs with conscience

LAS VEGAS–(BUSINESS WIRE)–What is the purpose of procurement? Not long ago, the answer might have
been “to lower costs” or “drive process efficiencies.” But times are
changing. Today, many companies are looking to procurement to make the
world a better place and improve lives. And SAP
Ariba can help them do it. The company today announced it is opening
access to additional insights as part of its supplier
risk solution, enabling companies to track more than 200 risk types
and more effectively manage their costs with conscience. The news came
during SAP
Ariba Live, the premier business commerce conference being held this
week at Caesars Palace in Las Vegas.

The new insights will cover factors such as social, environmental, and
sustainability and will be offered in collaboration with new partners
such as EcoVadis,
a leading provider of sustainability, risk and performance ratings for
global supply chains, and Verisk Maplecroft, a principal source of
global risk analytics and research. By enabling a standard programmatic
interface, SAP Ariba will equip risk managers to bring increased
sophistication to their programs, using SAP Ariba’s supplier risk
solution as a platform.

“Evidence is mounting that environmental, social and governance factors
can create long-term performance advantages, and in opening access to
additional inputs on this front, SAP Ariba can help companies gain this
edge,” said Tony Harris, Vice President & General Manager, Supplier
Management Solutions SAP Ariba. “Our supplier risk solutions deliver the
information and transparency needed to effectively manage risk across
the entire source-to-settle process and in addition to lowering costs
and increasing efficiencies, enable companies to create a positive
impact on the world.”

By investing in the expanded inputs, companies will gain the ability to
identify and understand supplier exposure across the full spectrum of
global sustainability risks and leverage performance data to determine
how well they manage their operations against these issues.

“Rapid economic changes and increased regulations have combined to make
business riskier than ever. And much of this risk lies in the supply
chain,” said Mickey North-Rizza, Vice President of the Enterprise
Applications and Digital Commerce research practice at independent
research firm IDC. “To protect themselves, companies need a complete
view into every supplier they work with along with real-time insights so
that they can detect and mitigate potential risks before they negatively
impact their operations.”

SAP Ariba enables companies to gain such insights through SAP
Ariba® Supplier Risk™, a risk management platform that can be used
to:

• Evaluate and segment the supply chain to get a clear view into areas
  where risk might exist
• Assess the inherent risk associated with procuring or outsourcing
  goods and services to third parties
• Monitor suppliers for potential risks by triangulating a myriad of
  inputs across a broad range of risk categories including financial,
  legal, operational, environmental, social and regulatory threats
• Highlight areas within the supply chain that could be incorporating
  forced labor

By enabling the option to receive supplier scorecard data from EcoVadis,
companies using SAP Ariba Supplier Risk can gain an enhanced view of
their exposure to key risk areas by tracking sustainability
considerations, including environmental practices, labor and
discrimination issues, fair business practices and sustainable
procurement management.

“Market leaders drive business performance through sustainability, and
the number one channel for making a measurable impact is procurement and
the supply chain,” said Pierre-Francois Thaler, Co-Founder and Co-CEO of
EcoVadis. “By providing SAP Ariba customers with reliable and trusted
sustainability intelligence, we are equipping their procurement teams to
reduce risk, drive supplier performance and uncover new business
opportunities, all while enriching communities, improving CSR outcomes
and making the world a better place.”

By leveraging Verisk Maplecroft’s wealth of 100+ risk indices, companies
will be able to build a deep understanding of industry, commodity or
locational issues; the underlying factors driving those risks and the
impact issues such as heat stress, climate change and working conditions
have on them and their suppliers.

“Building a holistic, data-driven understanding of the primary
political, social and environmental issues can empower organizations to
make risk-adjusted sustainable sourcing decisions in a world of
uncertainties,” said Sondra Scott, President of Verisk Maplecroft. “In
teaming up with SAP Ariba, we are providing the tools and insights
global companies need to build more ethical supply chains and make
positive business impacts.”

SAP Ariba has been ranked as a leader in Supplier Risk and Performance
Management Platforms by independent research firm Forrester Research,
Inc. in a report titled “The Forrester Wave™: Supplier Risk and
Performance Management Platforms, Q1 2018: The Providers That Matter
Most And How They Stack Up” (The Forrester Wave™: Supplier Risk and
Performance Management Platforms, Q1 2018, Forrester Research, Inc.,
February 2018). To learn more about SAP Ariba’s supplier management
offerings and the value they can deliver, click here.

About SAP Ariba

SAP Ariba is how companies connect to get business done. On the Ariba
Network, buyers and suppliers from more than three million companies and
180 countries discover new opportunities, collaborate on transactions
and grow their relationships. Buyers can manage the entire purchasing
process, while controlling spending, finding new sources of savings and
building a healthy supply chain. And suppliers can connect with
profitable customers and efficiently scale existing relationships –
simplifying sales cycles and improving cash control along the way. The
result is a dynamic, digital marketplace, where nearly $1 trillion in
commerce gets done every year.

To learn more about SAP Ariba, visit www.ariba.com

About SAP

As market leader in enterprise application software, SAP (NYSE:SAP)
helps companies of all sizes and industries run better. From back office
to boardroom, warehouse to storefront, desktop to mobile device – SAP
empowers people and organizations to work together more efficiently and
use business insight more effectively to stay ahead of the competition.
SAP applications and services enable approximately 378,000 customers to
operate profitably, adapt continuously, and grow sustainably. For more
information, visit www.sap.com.

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Contacts

SAP Ariba
Karen Master, +1-412-297-8177
[email protected]