Case Study: HDFC ERGO General Insurance Company achieves 15–20% sourcing savings and efficient supplier negotiations with SAP Ariba Sourcing

HDFC ERGO Realizing Savings and Efficient Supplier Negotiations with SAP Ariba Sourcing

HDFC ERGO, a major Indian insurer offering health, motor, home, travel and commercial coverage, needed to centralize and automate its sourcing to boost efficiency, visibility, validation and transparency across direct and indirect categories as it scaled. The company sought a sourcing platform that would standardize supplier negotiations, improve record-keeping, and drive cost savings.

HDFC ERGO implemented SAP Ariba Sourcing to run online supplier negotiations and forward/reverse auctions, centralize RFPs, and onboard suppliers. The program onboarded more than 100 new suppliers, executed about 1,200 auction transactions, and delivered 15–20% strategic sourcing savings while improving fairness, documentation, and overall supplier management.

HDFC ERGO General Insurance Company

Anil Mendonca

Senior Manager of Cost Management