Migrating Open Purchase Orders to SAP Ariba at Groupsoft
As Groupsoft embarks on a pivotal upgrade to its procurement systems, the migration of Open Purchase Orders (POs) to SAP Ariba is a significant step. Open POs, which are orders where not all items or quantities have been fully delivered by the end seller, represent a critical area for this transition.
The primary goal of this migration is to seamlessly transfer existing Open POs from our legacy systems into SAP Ariba. This transition is essential for ensuring that all pending orders are managed efficiently, allowing for the completion of deliveries and invoicing through the new SAP Ariba system.
Planning the Migration
The success of this migration hinges on meticulous planning. A key aspect of this process is determining the volume of Open POs that need to be migrated. It’s also crucial to schedule a blackout or freeze period during which no new requisitions will be created. This period, typically lasting between one and two weeks, ensures that the migration process runs smoothly without the interference of new transactions.
During this blackout period, users will be restricted from creating normal requisitions. It’s important to communicate these changes clearly through company announcements on the Ariba Dashboard. Additionally, specific measures, such as disabling requisition creation or setting up special approval blocks, will be implemented to manage the transition effectively.
To further streamline the process, efforts will be made to reduce the number of Open POs before the cutover date. This involves close communication with stakeholders to address any outstanding issues. Supplier onboarding is another critical component, ensuring that all suppliers are ready to operate within the SAP Ariba Network. Suppliers will need to be informed about the new procedures for delivery and invoicing, and a demo practice of the migration process will be conducted to iron out any potential issues before the actual cutover.
Contracts and PO splitting, based on delivery addresses, will be handled according to specific business requirements. Finalizing and approving the Open PO data is a necessary step before migration. Technical preparations include creating files for remaining lines and quantities, and conducting system testing and User Acceptance Testing (UAT) to confirm the volume and accuracy of data.
Managing Resources and Timeline
The migration requires a well-coordinated team. A senior consultant or project manager will oversee the migration, while a mid-level data specialist will handle data preparation. A mid-level Ariba consultant will be responsible for loading the data, conducting unit tests, and overseeing UAT. Active collaboration with the client management team is crucial for process, data, and change approvals.
The timeline for the migration depends largely on the volume of data. For a low volume of around 1,000 POs, the process can take approximately four weeks. It is essential to adhere to the planned blackout periods and obtain timely client approvals to ensure a smooth transition.
Open PO migration Workflow
Technical Considerations
Technical support plays a vital role in the migration process. Activating the “Requisition Import” service in SAP Ariba is one of the first steps. During the cutover, migrated Open POs will be renamed using a specific convention to distinguish them, such as “Ariba Migrated PO: ERP DO1234: Furniture Woods.” This renaming helps in applying a business rule that skips approvals for these requisitions or, alternatively, disables all approval rules during the cutover period.
Requisition files, including headers, line items, and split accounting details, will be prepared according to the approved Open PO lines and quantities. These files will be loaded in smaller batches to ensure smooth conversion to POs
without requiring additional approvals. Once loaded, the POs will be delivered to networked suppliers as per the enablement plan. Suppliers will then manage deliveries and invoicing through SAP Ariba, with buyers receiving and approving items in SAP Ariba or other systems.
Addressing Challenges
The migration process is not without challenges. For suppliers not yet onboarded to SAP Ariba Business Network, orders will need to be handled through traditional methods such as email or fax. Goods will be received and invoiced as per the current process, and any matching of POs and invoices will occur either in SAP Ariba or the ERP system.
Additionally, there may be a need to match legacy PO line numbers with new Ariba PO line numbers in the ERP system. This could involve extra effort to ensure that descriptions in Ariba reference the old line numbers.
Special Considerations for Ingka
Ingka faces some unique challenges due to the large volume of approximately 30,000 Open POs that need to be migrated. All suppliers must be onboarded to SAP Ariba before the migration begins. To manage this volume, the migration will be conducted in waves, aligned with the onboarding of suppliers. Multiple weekend cutover windows will be planned to handle the migration in smaller, manageable batches. Proper planning is crucial to ensure that each batch of POs is identified, frozen, and migrated efficiently.
