Cisco Completes Corporate-Wide Deployment of Ariba eCommerce Solution

Strategic Insights -

Cisco Systems, a leading provider of networking solutions for the Internet, has successfully implemented the Ariba eCommerce solution company-wide. Since February, all of Cisco's more than 16,000 U.S. employees have had access to the system, enabling them to purchase operating resources and non-production goods and services online through the company's intranet. This move aims to leverage Cisco's buying power, reduce costs, and improve procurement efficiency.

Key Takeaways:

  • The Ariba eCommerce solution is designed to capture corporate-wide operating resource spending at end-users' desktops and direct it to pre-approved suppliers on the Ariba Network eCommerce service.
  • Cisco spends approximately $1 billion annually on operating resources, which the Ariba solution intends to concentrate and leverage.
  • The Ariba solution is integrated with multiple corporate systems, including enterprise resource planning (ERP) applications from Oracle and the PeopleSoft human resource management system (HRMS).
  • Cisco's goal is to continuously increase corporate efficiency and strategic procurement objectives.
  • The Ariba ORMS application provides better visibility into corporate spending and greater control over operating resource purchasing.
  • Cisco has partnered with Ariba, Inc. as a client and a partner, leveraging their expertise in business-to-business electronic commerce solutions.
  • The Ariba solution has resulted in a best-in-class procurement system for Cisco, making its internal operations a business-to-business eCommerce role model for others to follow.

Statistics:

  • 16,000 Cisco employees have access to the Ariba eCommerce solution.
  • Cisco spends approximately $1 billion annually on operating resources.
  • The Ariba solution is integrated with multiple corporate systems, including:

+ Oracle enterprise resource planning (ERP) applications.

+ PeopleSoft human resource management system (HRMS).

Sources:

  • Ariba, Inc. press release, "Ariba Enables Cisco to Streamline Procurement Process"http://www.ariba.com/pr/newsrelease_6232.cfm, July 27, 1999.
  • Cisco Systems press release, "Cisco Systems and Ariba Inc. Announce Strategic Partnership"http://www.cisco.com/en/US/about/pressevents/tr_evan_iparisgi_1999.html (no date provided).