Why would you use SAP SRM over SAP ECC? (duplicate functionality?)

[former_member550105]

Hello all,

I am doing some research into procurement with S/4HANA and particularly looking at scenarios it can take over from SRM.

I see the role of Ariba here in taking over SRM functionality, but according to various sources, SAP S/4 will also take over some SRM functionality. But when looking at these scenarios It looks like this functionality is already in ECC (for instance purchase requisition <-> shopping cart or workflows)

So I whas thinking, why would you use SRM instead of plain ECC for these seemingly duplicate functionalities? And how does S/4HANA reduce these 'advantages' of SRM over ECC? For everything more interesting (catalogs etc.) they seem to refer to Ariba, but i want to know the advantages for S/4HANA only.

note: my SRM knowledge is pretty limited to non-existant, but I cannot seem to find decent documents about SAP strategy or history as to why these 2 products exist next to eachother in this way?

[former_member208609 · Accepted solution]

Hello,

Answer in two parts.

The root of the answer comes from a long time ago. SRM was created as a "new dimension" product part of the Business Suite, in the same way as CRM for SD. SRM has different capabilities than ECC, it handles Source (ie including collaborating with suppliers on RFQs) to Contract , and Procure to Pay processes. This:

- in a centralized way (ie , one SRM collecting requirements of several ECC worldwide to increase negotiation power with suppliers),

- with an end-user web-based acceptable UI to deploy potentially to all company users (you cannot ask all employees to be able to create purchase requsitions in ME* transactions). For example at SAP, each employee orders its laptop or cables from SRM without receiving any prior training...

- easier mass user management capabilities..

- Workflows are as well much more powerful, with capabilities such as offline approval in Outlook, individual validation of items within a shopping cart, assignment of different approvers to different line items...

best regards

Renaud

[former_member550105 · Accepted solution]

Thank you, this was a helpful answer.

Regarding Workflow, would you say that new S/4HANA workflow implications would cover SRM workflow options (like the outlook approval for instance)? or do you need to expand with Ariba for similar functionality?
Is there a comparison document for instance?

[former_member208609 · Accepted solution]

Hello Jacco,

I am checking with Product Management. Will revert back to you as soon as I will as I get feedback. I am not at all Ariba specialist so I cannot tell what Ariba can do in the domain.

In the meantime, you may want to look at this page

Best regards

Renaud

[former_member208609 · Accepted solution]

Hello again,

Sorry for long time , was very busy and still waiting . In the meantime, you may be interested in this video from SAPPHIRE https://events.sap.com/sapandasug/en/session/37357 (I hope you can access it) about SAP strategy for procurement.

Best regards

Renaud