SAP Presents Next Generation of Supply Chain Orchestration

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Supply Chain Connect is part of the inaugural edition of SAP Connect. Picture: SAP/Hayashi
At SAP Connect, SAP launched AI-led orchestration, planning and network updates to help procurement boost resilience, automate onboarding and reduce risk

Procurement leaders face relentless shocks, yet expectations for continuity and margin protection keep rising. 

SAP’s latest releases aim to turn disruption into advantage by fusing AI with reliable data and reworked processes across networks, planning, logistics and ERP.

“To thrive when volatility is the new normal, businesses need more than a patchwork of disparate best-of-breed applications," says Muhammad Alam, Executive Board Member for SAP Product & Engineering. 

Muhammad Alam, Executive Board Member for SAP Product & Engineering

"Our announcements demonstrate the power of SAP Business Suite, where AI, data and applications come together in an experience to propel smarter decisions, faster execution and scalable transformation.” 

For CPOs, Muhammad’s point is clear: unified platforms beat point tools when speed and assurance matter.

Orchestration that senses risk and triggers action

SAP Supply Chain Orchestration, built on SAP Business Technology Platform, connects SAP Business Network and SAP Business Data Cloud to give multi-tier visibility.

It detects supplier and logistics risks early, models impact against a firm’s actual supply design and triggers AI-led actions across procurement, manufacturing, logistics and planning. 

Contextual risk alerts convert into prioritised actions that drive supplier compliance, faster recovery and stronger service levels. Joule, SAP’s AI assistant, automates decisions to reduce revenue exposure. General availability is targeted for the first half of 2026.

SAP Connect 2025 has been taking place in Las Vegas. Picture: SAP/Hayashi

Unified planning that ties sourcing to demand

SAP Integrated Business Planning gains a harmonised data model and AI to link strategic, tactical and operational decisions without switching platforms. It supports time-series and order-based planning, enabling telescopic planning so buyers can connect long-term forecasts with near-term supply moves. 

Scenario simulations show how alerts and risks cascade across horizons. AI-driven forecasting tightens inventory accuracy, while characteristic-based planning improves stock to capacity matching in life sciences, fashion, consumer goods and high tech. A Configurable Planner Workspace surfaces real-time insights and Joule recommendations so planners can simulate and act immediately.

Enhancements are generally available now with full AI capabilities due in Q2 2026.

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Joule agents automate high-friction procurement work

Three new Joule Agents embed SAP Cloud ERP, SAP Cloud ERP Private and SAP Business Network to cut manual effort and accelerate decisions:

  • Production Planning and Operations Agent validates material, capacity and schedules, proposes workarounds or releases orders. GA Q1 2026
  • Change Record Management Agent interprets problem reports, recommends actions and initiates changes to improve governance. GA Q2 2026
  • Supplier Onboarding Agent reasons over supplier data, issues invites, validates submissions and handles exceptions so teams can scale onboarding and focus on development

These agents target bottlenecks that undermine cycle time and quality in source to pay and make to deliver.

SAP is a leader in procurement and supply chain technology. Picture: SAP

Business Network upgrades for SRM and ESG

Handling more than US$6.3tn in annual transactions across 190 countries, SAP Business Network now runs on SAP BTP for modern integration with SAP and third-party systems. 

Buyers get a global supplier directory with guided onboarding, configurable workflows via SAP Build and AI analytics through Joule from January 2026. 

Later this year the network will support end-to-end value streams integrated with SAP Cloud ERP, SAP Ariba, SAP Fieldglass and SAP Transportation Management to reduce disputes, track emissions and navigate activity with AI assistance. 

From Q4 2025, users can search and access supplier data directly from ERP to lower activation costs and illuminate new vendors.

Logistics intelligence that protects availability

SAP Logistics Management is a cloud-native tool for multi-tier distribution networks, linking large distribution centres with smaller warehouses to keep stock aligned and deliveries fast. 

Integrated with SAP Cloud ERP Private and SAP Business Network for Logistics, it centralises inventory, shipments and partner coordination with AI to remove silos. 

Widely available from Q1 2026, it is alreadybeing implemented by Doehler.

Dr Michael Merget, COO at Doehler Group, says: “SAP Logistics Management is set to deliver lean process automation and accelerated transformation for most of our more than 50 production sites, sampling operations and technical warehouses.

Dr Michael Merget, COO at Doehler Group

"We see its powerful, integrated AI capabilities not as an add-on, but as the core intelligence that will define the future of our logistics."

Michael’s perspective signals how AI will become the operating core, not an overlay.

With AI-led orchestration, unified planning and networked data, procurement can move from reactive firefighting to proactive value creation.

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Executives

  • Muhammad Alam

    Member of the Executive Board of SAP SE, SAP Product & Engineering