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What is changing for suppliers to BHP?

BHP‘s goal is to have industry-leading, digital capabilities that drive collaboration with our valued suppliers.  Future procurement and accounts payable transactions with BHP will be conducted through the Ariba Network commencing from early 2021. 

Why is BHP moving to the SAP Ariba Network?

SAP Ariba provides a simple, transparent and fast way to manage purchase orders, send invoices and to receive payment. This will streamline how we do business in the future. By leveraging systems and technology, we can improve productivity and create long-term shared value together. 

Here are the key benefits of operating on the SAP Ariba Network:

Benefits 

 

Will this be the preferred method to transact with BHP in the future? 

Yes.  As a requirement of doing business with us all suppliers** engaging with BHP will be onboarded to the Ariba Network, as part of their registration.  

**Note: Some countries will not have all functionality available on SAP Ariba based on regional requirements and restrictions; an example being suppliers in certain countries may not be able to send invoices back to BHP through SAP Ariba.

When will the transition to transacting on the SAP Ariba Network happen?

Onboarding of our suppliers will take place from October until early 2021, with a series of communications delivered to advise suppliers the action that is required from them.

supply

Will BHP cover the fees on SAP Ariba Enterprise accounts?

No.  BHP is only requiring suppliers to sign up for a free Standard account at a minimum.

However, larger volume suppliers should consider the added functionality of an Enterprise account that is available for a capped fee per annum.

Should I have a Standard or Enterprise SAP Ariba Account?  

Below is an example of the type of transactions available in an SAP Ariba account. BHP only requires suppliers to have a Standard account. 

Standard Account
Enterprise accounts
Suitability of account Suppliers with lower volumes of transactions determined by the number of documents per annum. Suppliers with higher volumes of transactions determined by the number of documents per annum.
Cost Free account Fees charged by SAP Ariba based on transaction value/volumes.
Use a centralized portal for all Ariba Network transactions Respond to requests via email communications from BHP Receive and manage orders and invoices in one online dashboard
Receive orders and send invoices View last 200 documents per type (i.e. PO, INV, OC, etc.) Unlimited documents per type (i.e. PO, INV, OC, etc.)
Track invoice and payment status Yes Yes
Collaborate on contracts N/A Yes
Unlimited RFP responses through SAP Ariba Discovery N/A Yes
Supply chain collaboration N/A Yes
Catalogue Supplier-managed catalogues N/A Yes
Ariba Support Get Ariba support via email only
Get support via phone, chat, or email

What if we don’t want to transition to the SAP Ariba Network?

BHP is committed to the success of this initiative and is working hard to make the transition as seamless for suppliers as possible. Suppliers that are asked to participate are considered strategic to the ongoing business of BHP and asked to comply with this process change by opting to use the Ariba Standard Account which is always free regardless of the number or value of transactions.

Email the SAP Ariba Project Team (bhpsupply_ariba@bhp.com) if you want to change the type of account you have been allocated to by BHP.

What documents can we send and receive via the Ariba Network?

  1. Receive Purchase Orders
  2. Submit SES (Service Entry Sheet) claims
  3. Submit invoices**
  4. Receive Payment proposal and remittance advice
  5. Receive Request for Quote (RFQ)*
  6. Respond to RFQs*

*Note: Restricted to SAP Ariba Enterprise accounts

**Note: Some countries will not have all functionality available on SAP Ariba based on regional requirements and restrictions; an example being suppliers in certain countries may not be able to send invoices back to BHP through SAP Ariba.    

Supplier Summits and Training sessions

SAP Ariba Summit

To support your on-boarding journey to SAP Ariba, BHP invites you to take part in a virtual SAP Ariba Summit which will be delivered jointly by BHP and SAP Ariba. The virtual event will provide an overview of the transition process and the features of the platform as well as an opportunity to ask questions. The duration of each session is 60 minutes. You can register here.

SAP Ariba training sessions

The employees who will utilise the SAP Ariba platform to transact with BHP will be required to complete the training session. You can register here. The training will provide practical examples of how to process transactions. For example, from confirming a new purchase order (PO) to creating a ship notice or Service Entry Sheet (SES) and then converting that document into an invoice. You are able to nominate a maximum of 10 attendees from your organisation who will process documents (eg. order confirmation creation, service sheet creation, invoice creation, etc). You can register here.

Attendance for the summit and/or training is based on the type of SAP Ariba account that you have selected Enterprise or Standard. There are no costs associated with the summit or training. Suppliers who register will be provided with the recording of the session.

Where can I find out more about SAP Ariba project or my transition?  

Details about the operation of the SAP Ariba account and functionality can be found at the BHP Ariba Supplier Education Portal 

Email the BHP SAP Ariba Project Team (bhpsupply_ariba@bhp.com) for all other questions.

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