Microsoft has partnered with SAP Ariba and Intrigo Systems to create a platform to support the efficient, cost-effective manufacturing of its most popular products, including the Xbox and Surface.
According to Ali Khaki, principal PM, supply chain engineering, Microsoft, the Ariba network is the backbone of the company’s Xbox and Surface line of products supply chain.
“When we looked at our supply chain, it was clear we needed to build a flexible, scalable platform that could support the complexity of our hardware business,” said Khaki. “It’s a very clear and transparent process because of all the communication that happens within the SAP Ariba system itself. And it has allowed us to create a very positive user experience for everyone involved in it.”
Microsoft has created a platform utilising the Ariba Network and its associated cloud-based applications, including SAP Ariba Supply Chain Collaboration, to collaborate with multiple tiers to contract manufacturers and suppliers across key supply chain planning and execution processes, such as sharing production forecasts, anticipate and resolve supply assurance problems, and onboarding suppliers.
The implementation has enabled Microsoft to undertake multi-tier planning and collaboration with contract manufacturers and suppliers, reduced the supplier commit process from three days to 30 minutes, cut the time it takes to onboard suppliers from four months to four days, and standardise vendor engagement.