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Improve Your Purchase to Pay - Requisition

Optimize your P2P requisition in SAP S/4HANA: a 6-step guide.
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Improve Your Purchase to Pay - Requisition
Challenges (11) Goals (10) 6 Steps Preview Outcomes Data FAQs (5)

Optimize Purchase Requisition in SAP S/4HANA for Efficiency

Delays and compliance gaps often hinder requisition processes. Our platform helps you precisely identify bottlenecks in creation and approval stages. We guide you toward practical improvements, streamlining your procurement and reducing lead times.

Download our pre-configured data template and address common challenges to reach your efficiency goals. Follow our six-step improvement plan and consult the Data Template Guide to transform your operations.

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Why Optimize Your Purchase Requisition Process?

Optimizing the Purchase to Pay, specifically the Requisition phase, within your SAP S/4HANA environment is critical for overall procurement efficiency and financial health. Inefficient requisition processes lead to substantial costs, often hidden in prolonged cycle times, manual rework, and compliance gaps. Imagine a scenario where a critical business need is delayed because a purchase requisition is stuck in an approval queue for days, or even weeks. This not only impacts project timelines and operational continuity but also results in missed savings opportunities, increased expedited shipping costs, and frustrated internal stakeholders.

The requisition process is the foundational step where business needs translate into formal requests. Any friction here cascades through the entire Purchase to Pay lifecycle, affecting purchase order creation, goods receipt, and invoice processing. Addressing these inefficiencies directly enhances your organization's ability to procure goods and services effectively, ensuring that your SAP S/4HANA investment delivers maximum strategic value.

How Process Mining Illuminates Requisition Workflows

Process mining offers an unparalleled approach to understanding and improving your Purchase to Pay - Requisition process in SAP S/4HANA. Instead of relying on assumptions or anecdotal evidence, process mining uses event logs from your SAP system, specifically data from tables like EBAN (Purchase Requisition) and EBKN (Purchase Requisition Account Assignment), to reconstruct the actual end-to-end journey of every purchase requisition. This creates a visual, data-driven map of your process, revealing how requisitions genuinely flow, which steps are taken, and where delays occur.

This technology allows you to precisely analyze key performance indicators such as requisition cycle time, from creation to final approval or conversion to a purchase order. You can identify variants, discover hidden bottlenecks, and pinpoint deviations from your intended process flow. For instance, process mining can highlight if certain departments or requisition types consistently experience longer approval times, or if a significant number of requisitions are repeatedly rejected and resubmitted, indicating issues with initial submission quality or approval criteria.

Uncovering Key Improvement Areas

Through detailed process mining analysis of your Purchase to Pay - Requisition data, several critical improvement areas typically emerge:

  • Bottleneck Identification: Pinpoint specific approval steps or individuals that consistently cause delays. Is it a particular manager, a specific value threshold, or a complex approval workflow path that slows down requisitions? Understanding these points allows for targeted interventions, such as adjusting approval matrices or providing additional training.
  • Rework and Rerouting: Discover instances where requisitions are frequently rejected, amended, and resubmitted. This rework often indicates unclear requirements, insufficient initial data, or a confusing approval hierarchy. Reducing rework directly shortens the overall requisition cycle time and improves efficiency.
  • Compliance Gaps: Verify adherence to internal purchasing policies and regulatory requirements. Process mining can detect unauthorized changes to requisitions, approvals bypassing standard procedures, or deviations in urgent requisition handling, ensuring your process is compliant and auditable.
  • Automation Opportunities: Identify manual steps or repetitive tasks within the requisition lifecycle that could be automated, especially within the SAP Fiori apps for requisition management. This reduces human error, frees up resources, and accelerates processing.
  • Process Variant Optimization: Analyze different process paths for similar requisitions. By comparing efficient paths with less efficient ones, you can identify best practices and standardize the most effective workflow across your organization, leveraging SAP S/4HANA's flexible configuration options.

Realizing Tangible Outcomes for Your Organization

Implementing improvements based on process mining insights for your Purchase to Pay - Requisition process yields significant, measurable benefits:

  • Reduced Cycle Time: Accelerate the time from requisition creation to approval and subsequent purchase order creation, ensuring faster fulfillment of business needs. This directly contributes to a lower overall Purchase to Pay cycle time.
  • Cost Savings: Minimize expedited shipping fees, reduce manual processing costs, and optimize inventory levels by ensuring timely procurement actions. Efficient requisition processing also helps in capturing early payment discounts.
  • Enhanced Compliance: Strengthen adherence to internal controls and external regulations, reducing audit risks and improving governance within your SAP S/4HANA environment.
  • Improved Efficiency: Streamline operations, reduce administrative burden, and free up procurement teams to focus on strategic sourcing rather than chasing approvals or correcting errors. This translates to higher productivity and better resource allocation.
  • Better Strategic Decisions: Gain deeper insights into procurement patterns, demand forecasting, and supplier performance, enabling more informed purchasing strategies.

Getting Started with Purchase Requisition Optimization

Unlocking these benefits for your Purchase to Pay - Requisition process in SAP S/4HANA starts with understanding your current state. By applying process mining, you move beyond guesswork, gaining an objective, data-driven view of your operations. This empowers you to make targeted, effective changes that truly transform your procurement landscape. Explore how our template and guidance can help you quickly set up your analysis, identify critical insights, and embark on your journey toward a highly optimized and compliant requisition process. Embrace process optimization to reduce cycle time and enhance the effectiveness of your SAP S/4HANA investment.

Purchase to Pay - Requisition Purchase Requisition Management Procurement Request Approval Workflow Compliance Management Lead Time Reduction Procurement Team Requester Cost Center Management Workflow Optimization

Common Problems & Challenges

Identify which challenges are impacting you

Requisitions get stuck in approval queues, leading to procurement delays and potential business disruption. This impacts critical purchasing timelines and supplier relationships. ProcessMind visualizes the complete approval flow for Purchase to Pay - Requisition in SAP S/4HANA, highlighting where and why requisitions are delayed, identifying specific bottlenecks and approvers.

Requisitions are frequently amended after submission or during approval, indicating errors at creation or unclear requirements. This causes rework, extends lead times, and frustrates requesters and approvers. ProcessMind analyzes amendment rates and identifies the root causes, whether it is incomplete data entry in SAP S/4HANA or a lack of clarity in the initial Purchase to Pay - Requisition creation.

Requisitions often deviate from defined approval workflows, leading to non-compliant purchasing and increased risk. Unauthorized or incorrect approval paths undermine control and governance. ProcessMind automatically discovers all actual approval paths taken for Purchase to Pay - Requisition in SAP S/4HANA, comparing them against expected workflows to pinpoint deviations and their frequency.

The time from requisition creation to purchase order creation is excessively long, delaying critical purchases and impacting project timelines. This inefficiency directly affects operational continuity and budget utilization. ProcessMind pinpoints exactly where delays occur within the Purchase to Pay - Requisition process in SAP S/4HANA, showing average and outlier durations for each activity.

A high percentage of requisitions are rejected, forcing requesters to resubmit or abandon their needs. This wastes effort, causes frustration, and signifies issues with initial request quality or approval criteria. ProcessMind identifies patterns in rejected Purchase to Pay - Requisition items in SAP S/4HANA, revealing common reasons for rejections and the stages where they occur.

It is difficult to ascertain if all requisitions consistently adhere to internal purchasing policies and budget controls. Lack of visibility into compliance risks financial penalties and audits. ProcessMind provides a clear view of how well the Purchase to Pay - Requisition process in SAP S/4HANA aligns with predefined rules, highlighting any non-compliant behaviors.

Some requisitions navigate unnecessarily complex or circuitous approval paths, consuming excess time and resources without adding value. This inflates processing costs and extends overall cycle times. ProcessMind visualizes all actual approval routes for Purchase to Pay - Requisition in SAP S/4HANA, helping identify and optimize inefficient sequences of approval steps.

Significant variations exist in requisition processing efficiency and compliance across different departments or cost centers. This uneven performance can lead to internal friction and inconsistent service levels. ProcessMind allows for comparative analysis of Purchase to Pay - Requisition metrics across different organizational units in SAP S/4HANA, identifying best practices and areas for improvement.

Requisitions occasionally become stuck in the process, remaining open for extended periods without progress or clear resolution. These "dormant" requisitions can lead to missed procurement deadlines and outdated requests. ProcessMind flags long-running or inactive Purchase to Pay - Requisition instances in SAP S/4HANA, pinpointing exactly where they become stagnant.

The requisition approval process relies heavily on manual interventions or sequential approvals that could be automated or streamlined. This results in higher operational costs and increased potential for human error. ProcessMind quantifies the extent of manual touches within the Purchase to Pay - Requisition workflow in SAP S/4HANA, highlighting opportunities for automation.

Requesters often experience long wait times, rejections, or a lack of transparency regarding their requisition status, leading to dissatisfaction and potential shadow IT procurement. This erodes trust in the official procurement process. ProcessMind provides insights into the entire Purchase to Pay - Requisition journey in SAP S/4HANA, enabling identification of pain points that impact requesters directly.

Typical Goals

Define what success looks like

This goal aims to significantly cut down the time it takes for a purchase requisition to be approved, from submission to final endorsement. Reducing approval delays directly impacts procurement lead times, allowing for quicker acquisition of goods and services, and minimizing operational disruptions. It also improves overall efficiency and stakeholder satisfaction within the Purchase to Pay process.ProcessMind helps by visualizing approval workflow paths, identifying bottlenecks in specific steps or by particular approvers. It can pinpoint requisitions with excessively long waiting times, analyze the root causes of delays in SAP S/4HANA, and suggest process re-engineering opportunities to streamline the Purchase Requisition approval flow, potentially reducing cycle times by 20-30%.

This objective focuses on reducing the frequency with which purchase requisitions need to be revised or corrected after initial submission. High amendment rates often indicate unclear requirements, errors in creation, or inefficient initial review processes, leading to wasted effort and delays in the Purchase to Pay process.ProcessMind provides insights into why and where requisitions are frequently amended in SAP S/4HANA. By analyzing activity sequences and attribute data, it can identify common error patterns or missing information that lead to rework, enabling targeted training or form adjustments to decrease amendments by up to 40%.

Achieving this goal ensures that all purchase requisitions and their subsequent approvals strictly adhere to predefined internal purchasing policies, regulatory requirements, and budgetary controls. Non-compliance can lead to financial risks, audits, and potential legal issues, making adherence crucial for responsible procurement in the Purchase to Pay process.ProcessMind automatically discovers the actual process flow of purchase requisitions in SAP S/4HANA and compares it against predefined compliance models. It highlights deviations such as unauthorized approval steps or bypassing of required checks, providing a clear audit trail and enabling enforcement actions to increase compliance by 15-25%.

This goal targets the entire lifecycle from a purchase requisition's creation to the generation of its corresponding purchase order. A shorter lead time means faster procurement, reduced inventory holding costs, and improved responsiveness to business needs, significantly impacting the overall efficiency of the Purchase to Pay process.ProcessMind maps the complete journey of a purchase requisition in SAP S/4HANA, identifying precisely where delays occur between requisition approval and purchase order creation. It pinpoints inefficient handoffs or system integration gaps, offering insights to reduce this critical lead time by 10-20% through process optimization.

This objective aims to reduce the number of purchase requisitions that are rejected during the approval process. High rejection rates indicate issues with initial planning, lack of clear guidelines, or misaligned expectations, leading to wasted effort, delays, and frustration for requesters within the Purchase to Pay cycle.ProcessMind analyzes the reasons and patterns behind rejected purchase requisitions in SAP S/4HANA. It identifies common attributes, departments, or approval stages associated with rejections, providing data-driven insights to address root causes, improve initial requisition quality, and potentially cut rejection rates by over 15%.

This goal focuses on ensuring that purchase requisitions follow consistent and predetermined approval routes, eliminating ad-hoc or inefficient detours. Standardized pathways lead to predictable lead times, better resource allocation, and simplified process management, contributing to a more robust Purchase to Pay process.ProcessMind visually reconstructs all actual approval paths taken by purchase requisitions in SAP S/4HANA, revealing variations from the intended workflow. It can identify non-standard routes and their impact on efficiency, enabling organizations to enforce a single, optimized pathway and reduce process variance by 20-30%.

This goal is about proactively detecting purchase requisitions that become stuck or remain unaddressed for extended periods within the approval or processing stages. Stalled requisitions lead to significant delays in procurement, impact project timelines, and cause frustration, negatively affecting the overall Purchase to Pay flow.ProcessMind monitors the active status of purchase requisitions in SAP S/4HANA, flagging those that exceed predefined thresholds for inactivity at any stage. It provides real-time alerts and insights into where and why requisitions get stuck, enabling immediate intervention and ensuring smooth process progression.

This objective aims to minimize the manual intervention required for processing and approving purchase requisitions. Excessive manual effort not only slows down the Purchase to Pay process but also increases the risk of human error and diverts resources from higher-value tasks, impacting operational efficiency.ProcessMind uncovers activities within the SAP S/4HANA Purchase Requisition approval process that are frequently manual or repetitive. It quantifies the time spent on these tasks and identifies opportunities for automation or system enhancements, potentially reducing manual workload by 25% or more.

Achieving this goal involves optimizing the performance and collaboration of different departments involved in the purchase requisition process, from creation to final approval. Inconsistent performance across departments can create bottlenecks and lead to varied lead times, impacting the entire Purchase to Pay process.ProcessMind benchmarks the performance of various departments involved in purchase requisition processing in SAP S/4HANA. It highlights discrepancies in cycle times, approval rates, or adherence to policies, providing data to identify best practices and areas for improvement to elevate overall organizational efficiency.

This goal focuses on enhancing the overall experience for employees initiating purchase requisitions, addressing their frustrations due to delays, lack of transparency, or complex processes. A positive requester experience leads to higher adoption rates, better data quality, and a more efficient start to the Purchase to Pay cycle.ProcessMind identifies pain points within the Purchase Requisition process in SAP S/4HANA, such as prolonged waiting times, frequent rejections, or obscure approval paths. By analyzing process variations and bottlenecks from the requester's perspective, it helps streamline the process and improve communication, ultimately increasing user satisfaction.

The 6-Step Improvement Path for Purchase to Pay - Requisition

1

Download the Template
2

Export Your Data
3

Upload Your Dataset
4

Analyze Your Process
5

Implement Improvements
6

Monitor Your Process
1

Download the Template

What to do

Access and download the pre-built Excel template specifically designed for Purchase to Pay Requisition data from SAP S/4HANA to ensure correct data structure.

View Data Template Guide Download Template
Why it matters

Using the correct template ensures your data is properly formatted for analysis, saving time and preventing errors during the upload process.

Expected outcome

A ready-to-fill Excel template for Purchase Requisition data, aligned with ProcessMind's requirements.

WHAT YOU'LL GAIN

Reveal Hidden Hurdles in Your Requisition Process

ProcessMind unveils the true path of your purchase requisitions, showing you where delays occur and how compliance can be strengthened. Get clear visualizations to guide your optimization efforts.
  • Visualize actual SAP S/4HANA requisition paths
  • Identify approval delays and bottlenecks
  • Uncover compliance gaps in requisition creation
  • Quantify impact of process inefficiencies
Discover your actual process flow
Discover your actual process flow
Identify bottlenecks and delays
Identify bottlenecks and delays
Analyze process variants
Analyze process variants
Design your optimized process
Design your optimized process

TYPICAL OUTCOMES

Achieve Efficiency and Cost Savings in Purchase Requisition

These outcomes represent the tangible improvements organizations typically experience by rigorously analyzing and optimizing their Purchase to Pay, Requisition process within SAP S/4HANA. By pinpointing bottlenecks and streamlining workflows, businesses can realize substantial operational benefits.

0 %
Faster Approval Cycle

Average reduction in approval time

Streamline the requisition approval process, removing bottlenecks and reducing manual interventions. This leads to quicker approvals and faster initiation of purchasing activities.
0 %
Fewer Requisition Amendments

Decrease in rework due to errors

Identify root causes of requisition changes, such as incomplete data or unclear requirements. Reducing amendments saves significant rework time and accelerates the overall P2P cycle.
0 %
Higher Policy Compliance

Reduction in non-standard paths

Gain clear visibility into deviations from standard approval policies and workflows. This ensures requisitions adhere to internal rules, minimizing audit risks and rejection rates.
0 %
Shorter PO Creation Time

Lead time from req to PO creation

Optimize the end-to-end journey from requisition creation to purchase order generation. Expedite the procurement process to meet demand faster and improve supplier relationships.
0 %
Increased Automation Rate

More requisitions automated

Pinpoint opportunities to automate routine approval steps, reducing manual effort and processing costs. This frees up staff for more strategic tasks and accelerates throughput.

Results vary based on existing process maturity, data quality, and specific organizational context. The figures mentioned reflect common improvements observed across various implementations.

FAQs

Frequently asked questions

Process mining visualizes your actual requisition workflows in SAP S/4HANA, revealing bottlenecks like slow approvals or constant rework. It identifies deviations from standard paths and areas where requisitions get stuck. This deep insight helps you understand the true performance and pain points of your procurement process.

By identifying inefficient routes and delays, process mining helps accelerate requisition approval cycles and shorten request to purchase order lead times. It highlights opportunities to reduce manual effort, minimize amendment rates, and decrease requisition rejection rates. This leads to a more streamlined and responsive procurement process.

You primarily need event log data from your SAP S/4HANA system, including the Purchase Requisition ID as the case identifier. Key fields typically include activity name, timestamp, and a unique identifier for each event. This data is extracted from relevant tables to reconstruct the complete process flow.

Initial data extraction and connection to a process mining tool can often be achieved within a few weeks, depending on system access and data readiness. The first insights and visualizations can usually be generated shortly after data ingestion. Subsequent analysis is iterative, building on the initial discoveries.

While basic understanding of your SAP S/4HANA data structure is helpful, modern process mining tools are designed for business users. They offer intuitive interfaces for visualizing and analyzing processes without requiring extensive coding skills. Some technical expertise may be beneficial for initial data connector setup.

Yes, process mining is excellent for ensuring adherence to purchasing policies. It can automatically detect instances where approvals bypass standard rules or where non-compliant routes are taken, providing clear evidence of deviations. This allows you to enforce policies more effectively and mitigate risks.

You can expect significant improvements in process speed, compliance, and cost efficiency. This includes faster requisition approvals, reduced rework, and enhanced adherence to policies. Ultimately, it leads to a better experience for requesters and more predictable procurement outcomes.

Process mining tools are adept at mapping all executed process variations, regardless of how many different approval workflows exist. It consolidates all event data, allowing you to see which paths are most common, which are slowest, and where variations occur. This helps in standardizing pathways or optimizing specific routes.

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