Schlumberger, the world’s leading oilfield services provider, is renowned for innovation and technological efficiency. One key area where they’ve made significant strides is procurement, powered by their integration with SAP Ariba. This powerful e-procurement platform streamlines Schlumberger’s complex sourcing and supplier management operations across its global footprint.

What is Ariba?

SAP Ariba is a cloud-based software solution that facilitates business-to-business (B2B) transactions. It provides a comprehensive suite of tools, including:

• Spend Analysis: Provides visibility into spending patterns, enabling companies to identify cost-saving opportunities.
• Sourcing: Streamlines the process of finding and negotiating with new suppliers.
• Contract Management: Automates contract creation, approvals, and compliance tracking.
• Supplier Management: Centralizes and manages supplier information, performance data, and risk assessments.
• E-Invoicing and Payments: Creates paperless processes for invoice creation, submission, tracking, and payments.

Ariba’s Benefits for Schlumberger

Schlumberger leverages Ariba to drive several critical benefits within their procurement process:

• Cost Savings: Ariba’s spending analysis identifies cost-saving opportunities. Its sourcing tools also help Schlumberger negotiate better terms with suppliers.
• Enhanced Efficiency: The platform automates and streamlines procurement processes, freeing up time for strategic initiatives and reducing the risk of manual errors.
• Supply Chain Visibility: Ariba gives Schlumberger a centralized view of their global supply chain. This visibility enhances decision-making and helps proactively identify potential disruptions.
• Risk Mitigation: The platform allows for thorough supplier vetting and ongoing risk monitoring. This helps Schlumberger mitigate potential supply chain disruptions and ensure compliance.
• Supplier Collaboration: Ariba acts as a central communication hub. This improves collaboration and efficiency when working with suppliers across the globe.

Ariba in Action: Schlumberger’s Success

Schlumberger’s successful implementation of Ariba has resulted in tangible benefits across their procurement operations. Here are some specific examples:

• Spend Visibility: Ariba has given them granular insights into their global spending. This allows them to uncover areas for improvement and negotiate improved contracts.
• Process automation: Many procurement tasks, once manual and time-consuming, are now automated. This includes purchase order creation, approvals, and invoicing.
• Global Collaboration: Using the platform, Schlumberger teams in different locations can collaborate on sourcing projects and supplier management efficiently.

The Future of Procurement with Ariba

Schlumberger’s partnership with Ariba is a testament to the power of digital transformation within the oil and gas industry. As Ariba continues to evolve, we can expect Schlumberger to further leverage these capabilities for:

• Harnessing big data analytics: Advanced analytics on Ariba data can further optimize spending optimization and identify emerging trends in the supply chain.
• Integration with artificial intelligence: AI algorithms can automate routine tasks and predict supply chain disruptions in advance.

Conclusion

By adopting SAP Ariba, Schlumberger has transformed its procurement processes into a powerful, data-driven function. This partnership is an excellent example of how leading oil and gas companies embrace digital technology to unlock better efficiency, cost savings, and risk mitigation.