Transport for NSW expands SAP Ariba usage

Transport for NSW is expanding its SAP Ariba service to improve supplier vetting in its procurement activities.

The transport department intends to implement SAP Ariba’s supplier risk management module in December in an effort to “enable supplier screening and ongoing monitoring of supplier risks”.

The addition comes as TfNSW renews its existing SAP Ariba licenses for another three years to the tune of $24 million.

TfNSW has used the following SAP Ariba modules since 2017: Ariba Strategic Sourcing, Ariba Network and Ariba Catalog.

In 2024, the department introduced SAP Ariba’s Guided Buying module to improve the user experience for employees managing purchase requisitions – requests to buy goods or services.

The latest renewal package retains the full suite of Ariba modules already in operation.

“SAP Ariba has improved the procurement process within TfNSW. It has done so by delivering an intuitive system that guides users through the entire procurement process, from sourcing all the way to payment,” a TfNSW spokesperson said.

“From a technical perspective, TfNSW now has a platform that has laid down the foundation which further supports continuous procurement process improvements and innovation.”

TfNSW has also used SAP as the core of its enterprise resource planning (ERP) system since 2014 for its finance, HR, supply chain, goods and services procurement and asset management.

The department migrated to the cloud-based SAP S/4 HANA in November 2023, transitioning from SAP ECC.

Additionally, the department uses SAP Analytics Cloud for online reporting; SAP SuccessFactors for HR and SAP Concur Expense for expense management.

The TfNSW spokesperson added that the transition to S/4 HANA had improved “efficiency, data accuracy and decision-making across the organisation”.