Ariba Customer Best Buy Is Recognized for Transforming Accounts Payable into a Strategic Function; AberdeenGroup Acknowledges Best Buy for Best Practices in Invoice Management

Business Wire, July 26, 2005

SUNNYVALE, Calif. -- Ariba(R), Inc. (Nasdaq:ARBA), the leading Spend Management solutions provider, today announced that Best Buy Co., Inc. has been recognized for its ability to transform accounts payable into a strategic business function impacting the organization's bottom line. In a new report titled "Accounts Payable Success Stories," AberdeenGroup explores the strategies required for design, deployment, and ongoing success of invoice reconciliation and payment processes. The report includes seven best practice case studies that highlight the value accounts payable can deliver to an organization. Best Buy and the other case studies were selected from a review of nominated accounts payable programs from a variety of industries.

In the report, AberdeenGroup discusses how increasing cost pressures in the retail industry challenge organizations to be rigorous about maximizing profits, and how Best Buy responded to that challenge by building an accounts payable program that was able to successfully enable suppliers, reduce costs and collect rich data to support spend analysis and demand management, especially for non-merchandise categories.

Best Buy deployed Ariba(R) Invoice(TM) and immediately began to gain benefits in several critical areas. Invoices are validated at several stages in the process, to improve data accuracy and to allow more sophisticated invoice tolerances on product, freight, tax, and handling fees. Rich, level 3 invoicing details are captured on every invoice. Real-time dispute collaboration and supplier visibility into the reconciliation and payment status creates a closed loop process with suppliers that is highly efficient.

Today, more than 100 Best Buy suppliers are participating in that closed-loop process, enabled for electronic invoicing, with 70 percent of the suppliers using Ariba Invoice. Best Buy is now able to collect valuable, level 3 data and use that data to more effectively source and mange their spend. They have been able to reduce full-time resources by providing suppliers visibility into reconciliation and payment status, thereby reducing the number of supplier inquiries.

"Best Buy is being recognized by AberdeenGroup for the strategic business value that they have achieved with their accounts payable program," said Lou Unkeless, senior vice president of marketing, Ariba. "Aberdeen's research demonstrates how an organization can be more successful by transforming the accounts payable organization in a more strategic role. Ariba is proud to be partnered with Best Buy in support of this strategic initiative, and we look forward to helping other companies achieve this type of success."

To access the Aberdeen report, "Accounts Payable Success Stories," visit http://www.aberdeen.com/link/sponsor.asp?spid=30410027&cid=1948.

About AberdeenGroup

Founded in 1988, AberdeenGroup, Inc., the trusted advisor to the global business executive for value chain strategies and business advice.

About Ariba, Inc.

Ariba, Inc. is the leading provider of Spend Management solutions to help companies realize rapid and sustainable bottom line results. Successful companies around the world in every industry use Ariba Spend Management software and services. Ariba can be contacted in the U.S. at 1.650.390.1000 or at www.ariba.com.

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