Learn, Practice, and Improve with SAP C_ARSOR_2404 Practice Test Questions

Explanation:

In a Bill of Materials (BOM) sourcing event, the Quotable part type is the specific setting that controls whether a line item (material) is enabled for supplier bidding.
Setting a part as "Quotable" means suppliers can see it and submit a price for that specific material.
Setting a part as "Non-Quotable" means suppliers cannot submit a bid for it (though it may still be visible for informational context, depending on other settings).
This allows the buyer to create a BOM where suppliers only bid on the materials they can supply, while other components (e.g., internally supplied parts or items with fixed contracts) are excluded from bidding.

Why Other Options Are Incorrect

A. Material part types:
This is a generic category or classification (e.g., "Finished Good," "Component," "Raw Material"), not a permission setting for bidding.

B. Active part types:
This controls whether a part is included in the BOM's total cost calculation, not whether suppliers can bid on it. An inactive part is excluded from cost roll-ups.

C. Visible part types:
This controls only whether the supplier can see the part line in the BOM. A part can be visible (for context) but non-quotable, meaning the supplier sees it but cannot price it.

Reference
SAP Ariba Sourcing Help documentation on "Working with Bill of Materials (BOM)" and "Configuring Part Attributes for Sourcing." The Quotable flag is explicitly defined as the setting that determines if a line item is available for supplier quotation.

Explanation:

A Simple RFx (Request for Quotation) in SAP Ariba Sourcing is designed for straightforward, price-focused sourcing events with limited complexity compared to a Full RFx.

A. Cost terms: ✅
Supported. Simple RFx allows the inclusion of cost-related terms and pricing elements (e.g., unit prices, fixed costs, simple formulas) to capture the total cost of ownership basics.

C. Time periods: ✅
Supported. You can define delivery schedules, validity periods, and other time-based attributes for line items, which are essential for most quotations.

❌ Why Other Options Are Incorrect

B. Translations:
❌Not supported. Multi-language translation of event content is an advanced feature available in Full RFx, not in the simplified version. Simple RFx operates in a single language.

D. Alternative bidding:
❌ Not supported. Allowing suppliers to propose alternate items or specifications is a complex bidding feature reserved for Full RFx. Simple RFx requires suppliers to bid strictly on the specified items.

Reference
SAP Ariba Sourcing Help on "Choosing Between Simple and Full RFx". The comparison table explicitly notes that Translations and Alternative Bids are only available in Full RFx, while Cost Terms and Time Periods are supported in both.

Explanation:

The Simplified Excel Import allows project owners to quickly upload structured event content from an Excel file into a sourcing event. However, it supports only certain content types:

A. Sections → Correct✅
You can create event sections (organizational groupings) directly from Excel. This helps structure the event content efficiently.

C. Line items → Correct✅
Line items (the goods or services being sourced) can be created via Excel import. This is one of the main uses of the feature, especially for events with many items.

B. Requirements → Incorrect❌
Requirements are not supported in simplified Excel import. They must be added manually within the event.

D. Questions → Incorrect❌
Questions (like RFI/RFP questionnaire items) are not supported in simplified Excel import. They are managed separately.

📚 Reference:
SAP Ariba Sourcing – Event Creation and Simplified Excel Import (SAP Help Portal):
Supported content types: Sections and Line Items.
Unsupported: Requirements and Questions.

Explanation:

The Item 360 view in SAP Ariba Sourcing (part of the broader Ariba solution integration) is a comprehensive dashboard providing a holistic view of a specific material or service item. The Activities section is designed to show transactional and process history related to the item.

A. PIR Activity: ✅ Yes. Displays history related to Purchase Information Requests (PIRs), which are internal requisitioning actions.

C. Supplier Activity:
✅ Yes. Shows interactions with suppliers for this item, such as quotes submitted, communications, or performance events.

D. Sourcing Activity:
✅ Yes. The core of the view—lists all sourcing events (RFx, auctions) where this item has been quoted or negotiated.

Why Other Options Are Incorrect

B. BOM Roll-Up:
❌ No. This is a cost calculation and structural detail related to Bill of Materials, not an "activity." It would be displayed in a different section of the Item 360 view (e.g., under "Composition" or "Cost Analysis"), not under the transactional Activities log.

E. Contract Information:
❌ No. Contract details (like contract numbers, dates, terms) are master data or output results, not recorded activities. This information appears in a separate "Contracts" or "Agreements" section within the Item 360 view.

Reference
SAP Ariba Sourcing and Buying Help documentation on "Using the Item 360 View". The Activities section is explicitly described as showing a timeline of sourcing, supplier, and internal requisitioning (PIR) events for the item.

Explanation:
Direct Spend Sourcing in SAP Ariba involves sourcing for complex, structured materials often with Bill of Materials (BOMs), typically in manufacturing or production environments. It requires specific roles to handle material master data and BOM structures.

B. Materials User:
✅ Required. This group provides the fundamental permissions to access and view material master data within the sourcing application, which is essential for selecting and sourcing direct materials.

C. Materials Manager:
✅ Required. This group has elevated permissions to create, edit, and manage material master records and their attributes. This is critical for setting up and maintaining the accurate item data needed for direct spend events and BOMs.

Why Other Options Are Incorrect
A. Materials Viewer:
❌ Not required. This group typically has read-only access to materials. While a Viewer can see data, they lack the edit/create permissions necessary to actively set up and execute direct sourcing projects, making this role insufficient for core functionality.

D. BOM Administrator:
❌ Not required. While crucial for maintaining BOM structures and hierarchies in the backend, this is a specialized administrative/configuration role. The primary business users who run direct spend sourcing events are the Materials Users and Managers. The BOM Admin supports the setup but is not a standard user group for executing sourcing.

Reference
SAP Ariba Sourcing Direct Materials Guide or Help documentation on "Roles and Permissions for Direct Spend Sourcing." The Materials User and Materials Manager groups are specified as the primary business roles for working with direct materials and BOMs within the sourcing process.

Explanation:

An Index-based auction is specifically designed for commodities with volatile market prices (e.g., metals, grains, chemicals, energy). In this format:
A published market index (e.g., LME Aluminum price, NYMEX crude oil) serves as the dynamic baseline.
Suppliers bid discounts or premiums relative to that index (e.g., "Index – $0.10/lb").
The final price fluctuates with the index over the life of the contract, protecting both buyer and supplier from market volatility.
This perfectly matches the scenario of a commodity product with frequent price fluctuations where bidding is based on discounts relative to a baseline.

Why Other Options Are Incorrect

B. Total cost auction:
This focuses on aggregating multiple cost components (unit price, freight, tariffs) into a single award metric. It does not inherently link bids to a dynamic external market index.

C. Reverse auction with bid transformation:
This uses formulas to normalize bids (e.g., converting all bids to a standard unit). While useful for comparing disparate bids, it does not automatically tie the pricing outcome to a fluctuating commodity index.

D. Traffic light auction:
This is a negotiation feedback mechanism (using colors to show bid competitiveness), not a specific pricing model. It does not establish an index-linked bidding structure.

Reference
SAP Ariba Sourcing documentation on "Auction Types" specifies Index-based auctions as the solution for commodity sourcing with market-linked pricing. The design ensures bids remain relevant as the underlying market index changes.

Explanation:

Bill of Materials (BOMs) can be imported into SAP Ariba Sourcing through both system-integrated and manual file-based methods.

A. Via SAP Ariba Cloud Integration Gateway (CIG):
This is the primary, automated integration method for importing complex BOM data (including multi-level structures, components, and quantities) from an SAP ERP or S/4HANA system. CIG handles the secure, scheduled replication of BOM master data.

D. Via a manual CSV import:
A direct file upload option exists within the Ariba Sourcing UI. Users can prepare a CSV file with the required BOM structure and component data and import it manually to create or update a BOM for a sourcing project.

Why Other Options Are Incorrect

B. Via cXML:
❌ Incorrect. cXML (commerce XML) is a protocol used for transactional messaging between systems, such as transmitting purchase orders, invoices, or catalogs. It is not a standard method for importing master data structures like BOMs into Ariba Sourcing.

C. Via simple Excel import:
❌ Incorrect. While Excel can be used to create line items or requirements, the "simple Excel import" feature is designed for basic event content. It does not support the hierarchical structure and component relationships required for a true BOM import. The correct manual method for BOMs is the dedicated CSV import (D).

Reference
SAP Ariba Sourcing Help on "Importing Bill of Materials (BOMs)". The documentation specifies CSV file import as the manual method and integration via SAP Cloud Integration Gateway as the system-to-system method for BOM data transfer.