So the two decided to build a business case to integrate with SAP Ariba solutions which they determined had an internal rate of return of about 21%.

The company attempted to do the necessary process for the move but was acquiring very costly and time-consuming upgrades in the meantime. Olson and Dabat considered their hosted version of the Oracle Fusion a burning platform because of the push coming from Oracle to move to the cloud. With a looming deadline, cost-effectiveness was the main priority. Operational, functional, and business objectives required by contracts were not being met efficiently. They were losing track of all the RFIs (request for information) and RFPs (request for proposal). With their legacy system, Land O’Lakes’ contract management process was done on a highly manual and on a case-to-case basis. The company’s IT team was running on a tight schedule to set up an enterprise-ready platform to replace the Oracle Fusion environment and that integrated well with their JD Edwards ERP environments. Director for IT Delivery Joe Dabat pushed for the move to SaaS platform, SAP Ariba. The company’s legacy system-a hosted version of the Oracle Fusion applications-was about to get decommissioned. Back in 2019, US-based dairy company and member-owned agricultural cooperative Land O’Lakes was facing the massive challenge of adopting a radical change strategy to its indirect procurement platform.

Ariba bidding platform