Case Study: Modernizing Invoice Management & Procurement using SAP Ariba

February 13, 2025

Table of Contents

About The Toro Company

With roots in the landscaping industry that date back more than a century, international manufacturer The Toro Company currently operates across 125 countries. The Minnesota-based company manufactures products and services used in turf and landscape fields, snow and ice management, rental and specialty construction, and irrigation and outdoor lighting applications. In addition to the well-known Toro brand, the parent company owns product lines that include Lawn-Boy, Ditch Witch, Boss Snowplows and American Augers. Toro serves a diverse customer base, from groundskeepers and homeowners to farmers, builders, governments and institutions worldwide.

Discover how a leading U.S. construction company transformed its procurement and invoicing processes with SAP Ariba and VIM to streamline procure-to-pay workflows. 

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As one of the top construction companies in the United States, our client embarked on a digital transformation to modernize their procurement and invoicing processes. Their goal was to leverage SAP Ariba and Vendor Invoice Management (VIM) to optimize their procure-to-pay workflows while maintaining operational consistency.

The Challenge

Before implementing SAP Ariba, the company only relied on a legacy system for procurement and invoice processing. This solution lacked the scalability and supplier network connectivity needed for their expanding operations. Adding SAP Ariba to the landscape offered a comprehensive approach but required seamless integration with their existing VIM solution—an integration that also necessitated a VIM upgrade. This introduced both technical and procedural challenges that had to be carefully managed.

Optima's Solution

Having been a trusted Optima client for nearly a decade, the company turned to us for a smooth integration. Our expertise enabled us to:

  • Establish A Common Communication Framework: We created a new channel to facilitate efficient, bidirectional communication between SAP Ariba and VIM, ensuring seamless invoice data flow to streamline document ingestion and provide up-to-date invoice status for their suppliers.
  • Setting Up Ariba Network Invoice Business Rules: Leveraging our extensive experience supporting customer Accounts Payable processes, Optima blueprinted and configured the recommended business rules to be enabled in the Ariba Network to ensure seamless integration between Ariba and VIM.
  • Invoice Data Mapping and Configuration: Our team reviewed data mapping requirements to ensure Ariba and VIM smooth and complete document data transmission, performed invoice status mapping configuration, refined IDoc mappings, and configured the VIM system to receive and process invoices in alignment with Ariba’s and customer requirements.
  • Enhancements for Direct Procurement scenarios: As part of the overall Supply Chain Collaboration implementation, the customer had a business need to introduce new Direct Procurement scenarios, including 3-way PO invoices and subcontracting purchase orders. The team worked with the customer to map the requirements and configure Ariba Network Invoicing and VIM to support the new business scenarios.
  • Technical Integration: Using Cloud Integration Gateway as middleware between SAP and the Ariba Business Network, we ensured the two systems would integrate seamlessly, optimizing workflows and reducing manual intervention.

The integration was completed on time and without complications, enabling the company to quickly begin realizing the benefits of its new procure-to-pay ecosystem.

The Results

  • Seamless Integration: Invoices now flow directly from the procurement network into the invoice management system, reducing manual effort and expediting processing times.
  • Enhanced Collaboration: By connecting to a broad supplier network, the company improves supplier relationships and streamlines procurement activities.
  • Touchless Invoice Posting: By leveraging Ariba Business Network PO-Flip feature in combination with a standardized and efficient data exchange format, less invoices are routed into VIM with exceptions, increasing touchless posting rate.
  • Improved Accuracy and Validation: VIM manages all invoices—both direct and indirect—validating quantities and prices with 2-way or 3-way matches. Refined invoice rules ensure they meet the company’s exacting standards.
  • Direct Procurement Enhancements: The solution supports direct procurement invoices, including multi-step matching for purchase orders and goods receipts, resulting in more accurate invoice reconciliation.
  • On-Time Delivery & Ongoing Support: Optima met all project deadlines and continues to provide post-go-live support, addressing any adjustments and further optimizing performance.

A Trusted Partnership

This success underscores the strength of our long-standing relationship with the client. By relying on Optima Consulting for this critical integration, they’ve taken a significant step toward digital transformation, operational excellence, and a more efficient, collaborative procure-to-pay process.