Optimising supply chains using SAPs integrated SCM business suite


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An overview of how the different components of SAP's SCM (Supply Chain Management) software can be applied to real world challenges to create the opportunities for cost savings and efficiency gains.

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  • well its informative . i want 2 know about working of such software's in fashion retail industry especially in Indian scenario , where the beginners can not afford such technology at high price.
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  • Business card and marketing material on seats before the presentation starts:Seminar Objectives (2 mins)Introduction to Rocket Consulting (4 mins)Supply Chain Challenges (3 mins)SAP SCM (Supply Chain management) (4 mins)What is SAP SCM?Technology &amp; LandscapeEWM (Enhanced Warehouse Management) (4 mins)TM (Transportation Management) (4 mins)SNC (Supply Network Collaboration) (4 mins)EM (Event Management) (2 mins)Auto-ID infrastructure (1 mins)Solutions to real world challenges -Example Company (4 mins)
  • Optimising supply chains using SAPs integrated SCM business suite An overview of how the different components of SAP&amp;apos;s SCM (Supply Chain Management) software can be applied to create the opportunities for cost savings and efficiency gains. The seminar will provide an insight into how the components of SAP’s SCM supply chain products can be used to drive efficiency, improve communication, increase availability of information and remove cost from a wide range of supply chain activities.  The following components will be discussed. EWM (Enhanced Warehouse Management)TM (Transportation Management)SNC (supply Network Collaboration)EM (Event management)Auto-ID infrastructure
  • Seminar ObjectivesOptimising Supply Chains using SAPs integrated SCM Stress the – focus on supply chain execution rather than planning
  • Consider how long been going for? 10 yearsNumber of employees? 20Projects/life cycles 5 - 10 a yearMethodologyRocket packs etc
  • Picking one or two solution areas with examples, such as voice and plaisio/tm/conveyorHow this supported by own methodology (inception through benefit realisation and beyond)Full life cycle projects or discreet improvements in existing supply chain
  • Political instability (Kenya, Nigeria, Iran Venezuela, Thailand, UK, etc....) affecting strategic sourcing decisions
  • product rectification and modification with raw materials, WIP and finished goods stock
  • technology components into a single platform, enabling organizations to reduce IT complexity and obtain more business value from their IT investments.And it provides the best way to integrate all systems running SAP or non-SAP software
  • EM Event Management sits across all areas
  • help you focus on the core processes and functions that can increase your company&amp;apos;s ability to compete, strengthen your relationships with partners, and help your company become closely oriented to the markets and customers you serveOutbound processing:Improving Customer Service Better service levels  Reduce late orders Lowering Working Capital Fewer returns, more efficient process  Lower cost procured goods and services Reducing Operating Costs &amp; Increasing Efficiency Reduce order processing costs Increasing Revenue Improve order fill rate Driver and asset managementAsset Management and driver management is becoming increasable important. Asset Management will enable the customer to maximize the profits by utilization the capacity restrictions of the assets, having a global visibility in the system their different assets are hence also enabling track and trace for container movements. Driver management allow to maintain the driver qualification and checks for sufficient driver qualification during the manual assignment of drivers to assets.
  • Purpose of Slide:-Outline how SCM-EWM is linked with other systems.Key Points to Make:EWM can either be connected to an SAP ERP or non-SAP ERP system. An Enterprise Resource Planning (ERP) system is used to capture sales, purchasing and planning data (among other things).An ERP system also captures customer, vendor and product master information.Some tasks of an ERP can be done better as a separate solution:Customer Relationship Management (CRM)Supplier Relationship Management (SRM)Master Data Management (MDM)Extended Warehouse Management (EWM)Additional -N/A
  • Purpose of Slide:-Introduce EWM as a warehouse management system.Key Points to Make:EWM allows you to automate the management of your stocks and goods.All of your logistics process can be executed by EWM in a planned and efficient manner.Additional - There are two products available from SAP called EWM. The differentiator is ERP or SCM EWM. SCM EWM is the new version.
  • Wave Management @ Delivery Item LevelVast flexibility and planning capabilities
  • Slotting automatically determines a storage concept for a product Find and optimise bin for material Physical criteria to find appropriate bin typeResult -&amp;gt; Space optimisation Demand criteria to find appropriate bin sectionResult -&amp;gt; Time optimisation Rule based Rearrangement of material in bins Result -&amp;gt; Closing the optimizing loopSlotting provides the basis for Rearrangement (carrying out the results of the slotting run)It is also possible to simulate the slotting run
  • Facilitating the management and distribution of work via queues Enabling the execution of work by resources in a radio frequency (RF) and non-RF environmentOptimizing the selection of warehouse orders for resources requesting workEnabling effective monitoring and controlling of resourcesControlled Distribution of Work via QueuesThe assignment of resources to queues enables focused management and distribution of work in the warehouseWarehouse Order Execution in RF and Non-RF EnvironmentsResources can execute work via RF and non-RF transactionsManual and Automatic Assignment of Warehouse Orders to ResourcesWarehouse orders (WOs) can either be manually assigned to a resource by a warehouse manager, or automatically assigned by the systemoptimised Warehouse Order SelectionResources that require system-guided work are offered the most appropriate WOs. Here a number of factors are taken into consideration, for example, the mode, latest start date (LSD), execution priorities, assigned queues, qualification of resource type, and WO status
  • Steps can be:Fixed valueDynamicUse Conditions to determine when each is usedCan group up to shift reportFor effective management of the labour supply chain, it is necessary to: Get the right person to the right place at the right time Track people throughout the day and measure performance on individual tasks Measure the quality and safety for each employee’s performance Provide alerts when performance falls below expectations Calculate costs and incentives for employees Simulate impacts to labour as a result of changes to the process flow or inventory Highlight the cost and efficiency of individual employees, facilities, teams, and the enterprise
  • 1st para – ERP originally designed based on shipper’s requirements, TM based on LSP2nd para – can be used as standalone – often better
  • FM Receive, update, and confirm transportation requestsPredefine a specific route through the transportation network with dynamic route determinationPlanning and dispatching Optimise, create, and manage planning processes using best-in-class optimisation,Dynamic routing and scheduling, and continuous move optimisation Use denied-party and embargo lists to ensure compliance for cross-border shipments Transportation chargesRating, billing, and settlement Evaluate, calculate, and distribute transportation charges for the ordering party and the supplying partyEnable financial transactions for customer billing and for supplier invoicingTE – Linked into EM
  • The TM Optimiser performs multiple functions.It controls the grouping of freight units (product or product combinations) to offer the optimal loading plan to make the most efficient use of the truck or trailer or container volume.It considers the available transport resources from vehicle to driver and considers incompatibilities where certain product types cannot be shipped together or on certain vehicle typesIt calculates the most efficient drop sequence for multi leg multi drop tours taking into account any transhipment stops for change of driver and or change of trailer / tractor unitIt can select or propose for selection multiple TSP service providers ranking each based on criteria, ie lowest cost or partnership agreementsIt can consider previous planning decisions in the optimisation process.
  • Users can define optimiser profiles tailored to different scenarios in the supply chain process.For example the optimiser may be run in certain circumstances to make decisions based on lowest cost results but alternatively can make proposals for transportation service provider selection based on partner agreements , quota of usage arrangements etcThe optimiser can be run in real time dialogue for users or can be run as part of a background planning batch process.The optimiser graphical user interface provides easy understanding of the automatic decision making process
  • Linked into event management
  • Integrated with other SCM products (TM, SNC etc)
  • Improved operational efficiency –automated processesgain visibility and intelligence through automated data discovery, finer granularity of data, and automated processing of events. more efficient due to reduced paperwork and access data more efficiently, including from partners, with better security controls. Higher customer satisfaction –improve the accuracy and speed of their shipping, receiving, and handling operations, leads to higher customer satisfaction. Improved supply chain management, enterprise asset management, and product tracking and authentication –better efficiency and visibility throughout the entire supply chain and ensure that the supply chain is safe and secure. improve tracking and tracing, maintenance, and utilization of all assets, resulting in reduced downtime and higher availability of all equipment as well as reduced asset inventories. Lower costs and higher return on investment – SAP solution has low TCO and low risk because leverage their existing skill sets, infrastructure, system landscapes, and enterprise software. scalable solutions that are viable for the long term, which reduces project costs and training costs and leads to higher ROI. Competitive advantage – can serve customers more efficiently, collaborate with partners more effectively, and position themselves as leading-edge organizations, ready for future growth
  • Process begins before project startsUtilise own and customer experienceNew release/new functionality R&amp;DProof of concept through protoFill any gaps through RPsDemonstrate and sign off ready for implementationAll combine to prove the appropriateness of the solution
  • Howdens – Cost reduction on transportation optimisation, mission critical system gapKNDL – Integrated supplier network for drinks distribution, WM integrated into third party managementHallmark – EWM, consolidation of business process to drive efficiency and reduction of dependency of workforce knowledge.
  • Optimising supply chains using SAPs integrated SCM business suite

    1. 1. Optimising Supply Chains -Using APs Integrated SCM business suite<br />Our mission is to help you<br />To work in partnership with our clients, radically improving their operational excellence, business process throughput and resource efficiency.<br />To enable business success by delivering powerful supply chain and warehouse management solutions that incorporate SAP, technology and best practice.<br />Presenter: Mat Eames<br />Date: Feb 2010<br />Copyright © Rocket Consulting Limited 2010.<br />All Trademarks are hereby acknowledged.<br /> <br />This document contains information that is proprietary to Rocket Consulting<br />and must not be disclosed in whole or in part to any third party.<br />
    2. 2. Agenda<br /><ul><li>Seminar Objectives
    3. 3. Introduction to Rocket Consulting
    4. 4. Supply Chain Challenges
    5. 5. SAP Supply Chain management (SCM)
    6. 6. What is SAP SCM?
    7. 7. Enhanced Warehouse Management (EWM)
    8. 8. Transportation Management (TM)
    9. 9. Supply Network Collaboration (SNC)
    10. 10. Event Management (EM)
    11. 11. Auto-ID infrastructure
    12. 12. Conclusion
    13. 13. Solutions to real world challenges – The Rocket Approach</li></li></ul><li>Seminar Objectives<br />Optimising Supply Chains using SAP’s integrated Supply Chain Management (SCM) business suite<br />
    14. 14. Seminar Objectives<br />An overview of how the different components of SAP&apos;s Supply Chain Management (SCM) software can:<br /><ul><li>Apply to real world challenges
    15. 15. Create opportunities for cost savings and efficiency gains</li></ul> <br />The seminar will provide an insight into how the components of SAP’s SCM supply chain products can:<br /><ul><li>Drive efficiency
    16. 16. Improve communication
    17. 17. Increase availability of information
    18. 18. Remove cost from a wide range of supply chain activities</li></ul> <br />
    19. 19. Introduction to<br />Rocket Consulting<br />&quot;Rocket has helped transform our operation, introducing efficient material flows and effective working practices that have allowed us to significantly increase throughput, improve stock and picking accuracy, and further improve on customer service.&quot;Andy Lilley, Chanel Operations Director<br />
    20. 20. Rocket Consulting<br />YOUR MISSION IN OUR CONTROL / ORBIT AND BEYOND ... <br /><ul><li>Rocket Consulting is a specialist SAP consultancy, and official SAP partner
    21. 21. Dedicated to helping businesses meet the increasing demands of today’s supply chains and warehouse operations
    22. 22. Delivering optimised and adaptive supply chain solutions through extensive and deep knowledge of SAP’s software, complementary technology, best practice process design and our own specially designed SAP add-ons called Rocket Packs
    23. 23. Used by major companies across the globe, Rocket is highly regarded for its professionalism, knowledge and expertise. With a proven track record of successfully delivering practical and effective results</li></li></ul><li>Rocket’s core SAP capabilities<br />Methodology<br />Rocket Packs<br />Innovation and R&D<br />
    24. 24. What are today’s Supply Chain Challenges?<br />
    25. 25. Supply Chain Challenges<br />The last decade has witnessed:<br />Globalisation<br /><ul><li>Increased competitiveness from multinational and highly specialised companies
    26. 26. A significant increase in globalisation across all industry segments due to global competition
    27. 27. Sourcing and manufacturing have migrated to the Far East resulting in extended supply networks
    28. 28. Geographically dispersed partners to bring products and services to market
    29. 29. Unrelenting pressure on costs and quality
    30. 30. Long and costly supply pipelines
    31. 31. Shrinking capital availability driving lean manufacturing and supply operations
    32. 32. Difficulties with communication, mutual language compatibility, time zones, seasons and holiday calendars add complexity and potential for supply chain failure</li></li></ul><li>Supply Chain Challenges<br />The last decade has witnessed:<br />Trade Environment<br /><ul><li>Political instability is affecting strategic sourcing decisions
    33. 33. Tariffs and unpredictable currency fluctuations creating constant review of sourcing decisions
    34. 34. Changes in legislation and significant world agreements (CFC’s, Fair Trade, CO2 emissions, Tariff areas, Trade blocks e.g. NAFTA, EFTA, EU..etc)
    35. 35. Volatile fuel, energy and transportation costs
    36. 36. Pandemics (SARS, Swine flu, BSE, Foot and Mouth, Blue tongue, etc.) impacting on willingness to travel, training, supervision, inspection and concerns with food products
    37. 37. Guaranteeing minimum standards (Baby milk, human rights, chemical additives and compliance)</li></li></ul><li>Supply Chain Challenges<br />The last decade has witnessed:<br />Innovation Cycle and Time to Market<br /><ul><li>Demand for innovative and fashion products have driven down innovation cycles and time to market
    38. 38. Extended supply chains compromise the ability to react to market changes and customer requirements (product lead time cycles etc), </li></ul>Technology <br /><ul><li>Increasing use of technology and automation (reduced flexibility, higher training costs)
    39. 39. High cost of intercompany communication as strong and compulsory supplier involvement in Original Equipment Manufacturer (OEM) product development becomes necessary
    40. 40. Need for effective integration of design of transactional systems to remain competitive
    41. 41. Ever increasing influence of Web enabled technologies as cost, reach and availability extends
    42. 42. Consolidation of disparate legacy systems to drive down total cost of ownership and improve system integration</li></li></ul><li>Supply Chain Challenges<br />Customers<br /><ul><li>More demanding (and less tolerant) customers who insist on higher levels of responsiveness, collaboration and visibility
    43. 43. Customer require suppliers and contract manufacturers to be integrated into the supply chain with improved and more cost effective products
    44. 44. Customers are armed with detailed information about the real cost of manufacture and value of products which is reducing customer loyalty</li></li></ul><li>Supply Chain Challenges - summary<br />Remove cost, improve delivery performance and better manage exceptions - Need to transform existing linear, sequential supply chain into a responsive supply network <br /><ul><li>Reduce costs while improving quality and customer service throughout the supply chain - Integrate the design, sourcing, supply, stocking and delivery with the full supply network</li></ul>Reduce time to market, eliminate costly errors and false starts -Promoting closer collaboration, planning, execution, and coordination throughout the supply network<br />
    45. 45. Supply Chain Challenges - summary<br />Improve the probability of successful business expansion - Addressing separate specific business challenges with their own timelines and without costly system upgrades<br />World class product, process and supply chain performance - Develop processes which are customer-centric, demand-driven, enabling knowledge sharing between partners<br />Reduce system cost and increase system integration – Adopt a functionally rich common system platform which meets flexible business process requirements without costly support models<br />
    46. 46. Introduction to SAP SCM 7.0 -<br />Supply Chain Management<br />
    47. 47. SAP Supply Chain Management (SCM)<br />What is SAP SCM?<br /><ul><li> The SAP Supply Chain Management (SAP SCM) application automates business processes across and beyond enterprise-wide operations.
    48. 48. Delivers large range of new and improved functionality
    49. 49. Supports end-to-end processes that address the unique business demands of more than 25 industries.
    50. 50. It enables:
    51. 51. Improved user productivity
    52. 52. Faster and more cost-effectively business process change
    53. 53. The leveraging of existing IT investments</li></li></ul><li>SAP Supply Chain Management (SCM)<br />What is SAP SCM?<br />SAP SCM is a product set that:<br /><ul><li>Is part of the SAP Business Suite which is integrated with the SAP Enterprise Resource Planning (ERP) system
    54. 54. Is a complete supply chain management application that:
    55. 55. Helps link systems for tighter integration of planning and execution
    56. 56. Quickly incorporates partner solutions for greater efficiencies
    57. 57. Enables the collaboration, planning, execution, and coordination of an organisation’s entire supply network
    58. 58. Can be deployed in all industry sectors to address specific business challenges without costly upgrades.
    59. 59. SAP SCM utilises SAP NetWeaver® technology which unifies all technology components onto one platform</li></li></ul><li>SAP SCM (Supply Chain Management)<br />The main products that make up the SAP SCM suite are:<br /><ul><li> Planning -
    60. 60. APO (Advanced Planning Optimisation)
    61. 61. F&R (Forecast and Replenishment for retail)
    62. 62. Collaboration -
    63. 63. SNC (Supply Network Collaboration)
    64. 64. Execution -
    65. 65. EWM (Enhanced Warehouse Management)
    66. 66. TM (Transportation Management)
    67. 67. Auto ID (RFID and sensor integration)
    68. 68. GTS(Global Trade Services)
    69. 69. Coordination-
    70. 70. EM (Event Manager)</li></li></ul><li>SAP SCM (Supply Chain Management) - Solution Map<br />
    71. 71. SCM OverviewHow do SCM products reside in an SAP system landscape?<br />
    72. 72. SAP SCM (Supply Chain Management) – next steps<br />Functional overview of a few of the SAP SCM components:<br /><ul><li>Extended Warehouse Management (EWM)
    73. 73. Transportation Management (TM)
    74. 74. Supply Network Collaboration (SNC)
    75. 75. Event Management (EM)
    76. 76. SAP Auto-ID</li></li></ul><li>Introduction to EWM 7.0 -<br />Extended Warehouse Management<br />
    77. 77. EWM Overview<br />What is AP Extended Warehouse Management (EWM)?<br /><ul><li>EWM is the latest Warehouse Management System (WMS) software product from SAP and is an entirely new solution built from the ground up based on SAP’s extensive experience in Warehouse Management solutions
    78. 78. Aimed at challenging best of breed products
    79. 79. EWM offers flexible, automated support for processing various goods movements and for managing stocks inside the warehouse
    80. 80. The system supports planned and efficient processing of all logistics processes in your warehouse</li></li></ul><li>EWM Overview<br />The below functions are included in EWM and these facilitate business processes with high levels of complexity and detail:<br /><ul><li>Inbound
    81. 81. Slotting
    82. 82. ASN Validation & Correction
    83. 83. Internal Routing (Simple and Complex)
    84. 84. Returns / Reverse Logistics
    85. 85. Internal
    86. 86. Resource and Labour Management
    87. 87. Yard Management
    88. 88. Foreign Trade / Bonded Warehouse
    89. 89. Warehouse Analytics
    90. 90. Outbound
    91. 91. Wave Planning & Management
    92. 92. Warehouse Orders
    93. 93. Kitting (to Stock & Order)
    94. 94. Cross Docking</li></li></ul><li>EWM Overview – Slotting<br /><ul><li> Finding the best location in the warehouse based on product demand (fast changing) and product dimensions.
    95. 95. Slotting automatically determines a storage concept for a product
    96. 96. Can automatically update product master
    97. 97. Links into the rearrangement process</li></li></ul><li>EWM Overview – Wave Planning & Management<br /><ul><li> Wave Planning based on flexible conditions
    98. 98. Now runs at item level inside deliveries and according to flexible criteria
    99. 99. Wave Creation
    100. 100. Control amount of work released to the warehouse floor at a specific time
    101. 101. Automatic, Immediate or Manual release
    102. 102. Full or Partial delivery may belong to a wave
    103. 103. Grouping by route, pick area(s), packing lanes...</li></li></ul><li>EWM Overview – Resource Management<br />Resource management is concerned with the handling of resources in the warehouse to enable the effective monitoring and controlling of resources. <br /><ul><li> Maximises the efficiency of warehouse processes by:
    104. 104. Facilitating the management and distribution of work via queues
    105. 105. Both RF and non RF
    106. 106. Optimising the selection of warehouse orders for resources requesting work
    107. 107. Resource Controlling and Monitoring allows managers to:)
    108. 108. Analyse resource workload
    109. 109. Monitor work order execution by resources
    110. 110. Send messages to resources
    111. 111. Provides visibility of stock on resources in the warehouse</li></li></ul><li>EWM Overview – Labour Management<br /><ul><li> Labour Management is used to better manage the time and productivity of warehouse workers. It consists of the ability to plan, measure, view, and simulate labour activities.
    112. 112. EWM Labour Management facilitates the management of time and productivity of warehouse workers through:)
    113. 113. Measurement and KPI’s
    114. 114. Planning and Simulation
    115. 115. Visualisation</li></ul>Collect pallet<br />Pick <br />stock<br />Wrap pallet<br />Drop <br />off<br />Detailed Productivity KPIs<br />A<br />B<br />Picking task<br />
    116. 116. EWM Overview – Warehouse Analytics<br /><ul><li>Warehouse Monitor
    117. 117. Central tool for keeping warehouse managers constantly up-to date as to the current situation in the warehouse and to enable them to initiate appropriate responses accordingly
    118. 118. Graphical Warehouse Layout Tool
    119. 119. Graphical Layout of the warehouse storage per level that can also show conveyors, resources and stock levels
    120. 120. Warehouse Cockpit
    121. 121. Intended for Supervisor and Warehouse Manager
    122. 122. Monitors team performance
    123. 123. Monitors the performance of areas or the whole warehouse
    124. 124. At-a-glance view of several key figures enables you to quickly react to critical situations</li></li></ul><li>EWM Overview - Benefits<br />SAP SCM EWM is designed to provide the following benefits:<br /><ul><li> Maximise the space utilisation of the warehouse
    125. 125. Maximise resource utilisation to best meet the operational requirements
    126. 126. Efficient and reactive labour management tools
    127. 127. Standard KPIs and measurement tools to drive productivity gains
    128. 128. RFID Enablement standard in EWM
    129. 129. Scalability & Flexibility
    130. 130. Ability to handle a variety of supply chain business processes
    131. 131. Entitled Party to Dispose
    132. 132. Designed for 3rd Party Warehouse Operations where stock ownership must be managed and executed separately
    133. 133. Strategic fit with own technologies; SAP and non-SAP</li></li></ul><li>Introduction to <br />SAP TM 7.0 -<br />Transportation Management<br />
    134. 134. SCM Transportation Management<br /> Transportation Management is the latest transportation offering from SAP <br />The TM application enhances the ERP Transportation solution, providing new functionality to:<br /><ul><li>Improve the planning, scheduling and dispatching of transportation orders
    135. 135. Improve collaboration with logistics service providers
    136. 136. Better manage freight costing and settlement processes</li></ul>It can also:<br /><ul><li>Automate and optimise transportation decision making
    137. 137. Deliver real-time event notifications for underlying processes</li></li></ul><li>SCM Transportation Management - overview<br /><ul><li> Freight Management:
    138. 138. All activities related to the transportation request, taking and updating of these requests
    139. 139. Transportation Dispatching (Planning):
    140. 140. All activities before the start of the actual movement of the goods
    141. 141. Transportation Execution:
    142. 142. All activities during and after the actual movement including the printing of documents necessary for the transport and also track & trace
    143. 143. Transportation Charges:
    144. 144. All activities related to transportation charge calculation, billing and settlement</li></li></ul><li>SCM Transportation Management - overview<br />
    145. 145. Core Transportation Management Processes <br />Example functionality.....<br /><ul><li>Collaborative Transportation Planning
    146. 146. Intelligent Route Scheduling
    147. 147. Optimised Load Building and Resource Scheduling
    148. 148. Transport Documentation
    149. 149. Event Management
    150. 150. Returns and Reverse Logistics
    151. 151. Modelling and bench marking of carriers
    152. 152. Tariff Management and Invoicing
    153. 153. Financial Consolidation and Reporting options
    154. 154. Efficiency and Profitability Analysis</li></li></ul><li>TM Overview – Optimisation<br />Finding the most cost effective and resource efficient solution to transportation activities within a supply chain network.<br /><ul><li>Optimisation automatically determines the most logical grouping of freight units to support loading activities
    155. 155. Considers resource constraints and incompatibilities
    156. 156. Determines the optimal drop sequence in the network
    157. 157. Proposes a transportation service provider based on cost efficiency or partnership criteria
    158. 158. Considers historical planning data to propose the best solution </li></li></ul><li>TM<br />TM Overview – Optimisation<br /><ul><li>Multiple optimiser profiles support differing requirements in Transportation Planning scenarios:
    159. 159. Optimise on least cost decisions
    160. 160. Optimise on strategic transportation service provider selection
    161. 161. Optimise on realistic resource usage
    162. 162. Optimise on long or short term planning horizons
    163. 163. Optimiser results can provide proposals for transport managers to choose execution decisions or to automate execution for follow on activities
    164. 164. Optimisation can be run in real time by the user or as a background batch process
    165. 165. Graphical display of optimiser cost decisions enhances the decision making process for the transportation planner </li></li></ul><li>What Are Benefits of implementing a Transportation Management Solution?<br /><ul><li> Collaboration with range of suppliers reduces delivery lead times
    166. 166. Enhanced TSP /carrier selection to get best price
    167. 167. Optimised automatic decision making reduces manual workload
    168. 168. Superior resource utilisation
    169. 169. Effective resource management
    170. 170. Higher visibility of the transportation supply chain
    171. 171. Tools and the ability to better react to supply chain changes
    172. 172. Comprehensive charge management and freight invoicing
    173. 173. Collaborative track and trace functionality</li></li></ul><li>Introduction to <br />SAP SNC 7.0 – <br />Supply Network Collaboration<br />
    174. 174. Supply Network Collaboration (SNC)<br /> Supply Network Collaboration (SNC) is a component of SAP SCM, based on the Web Portal concept it provides:<br /><ul><li> Suppliers – Access to supply chain information and tools to synchronise supply with demand, acknowledge purchase Orders, create Advanced Shipping Notifications (ASNs), receive Proof of delivery (POD) and post invoices
    175. 175. Customers – Capabilities for integrated replenishment and vendor managed inventory (VMI)
    176. 176. Contract manufacturers – Seamless access to supply chain information by extending visibility and collaborative processes to their manufacturing processes</li></li></ul><li>Supply Network Collaboration (SNC) - Overview:<br />The supplier/customer accesses the SNC using a web browser and the “Supplier” or “Customer” does not require an electronic data interchange (EDI) infrastructure to integrate into the users supply network.<br />Can be deployed as a standalone application or it can be integrated with SAP or non-SAP back-end solutions on either the customer or supplier side<br />Can be operated in a hosted environment for all business partners involved in the inventory collaboration process<br /> SNC supports the following business processes:<br /><ul><li>Responsive Demand Planning
    177. 177. Responsive and Dynamic Replenishment Planning
    178. 178. Purchase Order Processing
    179. 179. Supplier Managed Inventory with Replenishment Order Processing
    180. 180. Delivery Control Monitor
    181. 181. Invoice & Self-Billing Processing</li></li></ul><li>Supply Network Collaboration (SNC) - Purchase Order Processes <br /><ul><li> Purchase order details are published on the SNC Portal
    182. 182. Purchasing information published using the portal is secure
    183. 183. Purchase order details are checked and confirmed by the supplier with a browser
    184. 184. Information is presented in the suppliers language using Supplier part numbers
    185. 185. Supplier is alerted by email that the purchase order has been published
    186. 186. Subcontracting and 3rd party works order processes are supported
    187. 187. Supplier confirms details such as delivery date and quantities
    188. 188. Changes to the purchase order can also be sent for approval
    189. 189. Supplier creates advanced shipping notification (ASN) using the portal
    190. 190. ASNs can be packed
    191. 191. The supplier can use EDI or a spreadsheet interface into the </li></ul>SNC portal to improve efficiency and accuracy<br />
    192. 192. Supply Network Collaboration (SNC) - Purchase Order Processes <br /><ul><li> Supplier is informed when the products are receipted
    193. 193. Proof or delivery (POD) documentation is issued allowing the supplier to see quantity or quality differences
    194. 194. The supplier can post invoices on the portal using a web browser
    195. 195. Purchase Order and ASN relevant invoices can be created by the supplier
    196. 196. Goods receipt (GR) and non GR relevant processes supported
    197. 197. Approval and rejection invoice statuses give the customer control
    198. 198. Self billing processes are supported
    199. 199. Monitoring Purchase Order process
    200. 200. Both parties can monitor the purchasing process and add notes
    201. 201. Alerts and emails can be used
    202. 202. Inventory can be updated and monitored by the supplier</li></li></ul><li>Supply Network Collaboration (SNC) - Benefits<br />The SNC solution helps address the supply chain challenges of quicker, accurate communication and tighter integration with business partners.<br />The benefits of integration are:<br /><ul><li> Manual labour for supplier and customer communication reduced
    203. 203. Errors in supplier and customer communication can be eliminated
    204. 204. Communication cycles are shortened
    205. 205. Low cost but highly effective integrated processes develop
    206. 206. A consequential reduction in stock levels
    207. 207. Reduced effort and cost expediting
    208. 208. Supplier managed inventory (SMI) reduces planning effort
    209. 209. Exception based management can be implemented
    210. 210. Reduced supplier call volumes
    211. 211. Highly integrated SMI scenarios can be offered to customers
    212. 212. Improved efficiency for inbound receipting </li></li></ul><li>Introduction to <br />SAP EM 7.0 -<br />Event Management<br />
    213. 213. SAP Event management<br />Provides monitoring capability to any process<br /><ul><li>Enables actual to planned comparisons
    214. 214. Allows management by exception
    215. 215. Provides data for performance reporting outside SAP</li></ul>Visibility for process<br /><ul><li>Who is doing what and when
    216. 216. Location details where is the event being performed
    217. 217. Measurements weights, volumes or temperatures
    218. 218. Tracks status changes to business process</li></ul>Visibility of assets<br /><ul><li>Inventory
    219. 219. Supply chain Assets</li></ul>Is an application to manage and monitor events within and between organisations<br />
    220. 220. SAP Event Management - Overview<br />Monitor and Track<br />SAP Event Management:<br />Monitors and tracks actual events against relevant expected milestones within a process<br />Processes could include but are not limited to:<br /><ul><li>Tendering of a load
    221. 221. Goods issue of a pallet
    222. 222. Departure of a truck
    223. 223. Receipt of the goods at the customer’s location
    224. 224. Movement of transportation vehicles or containers</li></li></ul><li>SAP Event Management - Overview<br />Notify<br />Event Management can notify a predefined set of users or partners and supply them with information needed to resolve the situation either locally, or collaboratively, with several partners. <br /> SAP Event Management can provide: <br /><ul><li>Exception management
    225. 225. Personalised views of events
    226. 226. Appropriate viewing rights
    227. 227. Manual and automatic exception resolution</li></li></ul><li>SAP Event Management - Overview<br />Adjust<br />Late shipment; If a Shipment departs late and is too late to reach the scheduled ocean carrier - SAP Event Management can suggest air transport or waiting for the next ship – and offers evaluations of the options proposed.<br />Business event resolution enables individuals to act on significant events (alerts) and take corrective measures in the right work context for example:<br />
    228. 228. SAP Event Management - Overview<br />Analyse<br />the KPI “perfect order fulfilment” measures whether a customer received the exact quantity of the product ordered, on the date (and time, if necessary) when it was requested<br />To provide high-integrity metrics, a delivery event would be used to capture the exact time and date of delivery at each customers location<br />SAP Event Management captures and stores specific event context and time-specific data. This can feed summarised statistical information to the Business Information component automatically updating KPI’s, for example:<br />
    229. 229. SAP Event Management Benefits<br /><ul><li>Enables actual to planned comparisons
    230. 230. Allows management by exception
    231. 231. Improved customer service through ‘alert’ notification and automated resolution
    232. 232. Provides data for performance reporting and KPI’s external to SAP
    233. 233. Reduces response time to supply chain problems
    234. 234. Uses the Netweaver technical infrastructure
    235. 235. Directly linked into other SCM components</li></li></ul><li>Introduction to <br />SAP Auto-ID 7.0 -<br />RFID and sensor integration<br />
    236. 236. SAP Auto-ID<br />SAP solutions for Auto-ID & item serialisation enable the use of RFID or sensors to automate business processes. <br />They provide accurate real time information about items as they move through the supply chain.<br />In summary:<br />Automatically integrates identification technologies (barcodes, RFID, etc) with existing SAP ERP software systems<br />Convert raw reader data into business transactions and set up a rule-based mechanism to handle its tasks<br />Use preconfigured processes for outbound processing, inbound processing and returnable transport item management<br />
    237. 237. SAP Auto-ID - overview<br /><ul><li>SAP Auto-ID Infrastructure – Integrates RF (Radio Frequency) technology with systems and facilitates the automation of RFID enabled transactions and processes
    238. 238. SAP Auto-ID Enterprise – connected to SAP Object Event Repository (OER) is designed to collect data, manage queries and monitor process centrally across multiple SAP Auto-ID infrastructures
    239. 239. SAP Event Management - Tracks and queries events across the supply chain to improve visibility in logistical business processes </li></li></ul><li>SAP Auto-ID - overview<br />Key Features:<br />Mapping and rules processing – <br /><ul><li>Map messages arriving from devices on the plant or warehouse floor to determine what event has occurred and what sequence of activities to execute</li></ul>Activities that match business requirements – <br /><ul><li>Perform specific actions such as validations, updates, and communications; modify existing activities or create new ones to match needs</li></ul>Routing engine – <br /><ul><li>Map interpreted data to the relevant business objects inside SAP and non-SAP applications to facilitate automation of business processes</li></ul>Pre-packaged, configurable support for business processes – <br /><ul><li>Deploy preconfigured processes or configure the software to meet specific requirements</li></li></ul><li>Benefits of SAP Auto-ID<br />By optimising warehouse processes using sensors or RFID <br />technology the following benefits can be realised:<br />Improved operational efficiency <br /><ul><li>Through automated data discovery and automated event processing</li></ul>Reduced error handling<br /><ul><li>Through automated scanning and data capture</li></ul>Higher customer satisfaction<br /><ul><li>Resulting from more accuracy and speed in shipping, receiving, and handling operations</li></ul>Improved supply chain management <br /><ul><li>Through better efficiency and visibility throughout the entire supply chain</li></ul>Lower costs and higher ROI<br /><ul><li>With scalable solutions that are viable for the long term</li></li></ul><li>SAP SCM 7.0 - Conclusion<br />
    240. 240. Summary<br />This seminar has provided an overview of how some of the different components of SAP&apos;s SCM (Supply Chain Management) software can:<br /><ul><li>Achieve world class customer service – by implementing a suite of leading edge components providing superior supply chain logistics and operational performance
    241. 241. Create opportunities for cost savings and efficiency gains– by providing KPI’s and management information to exploit the enhanced communication, processes and functionality
    242. 242. Improve exception management (with consequential reduction in non-conformance)– by providing tools to manage, monitor and communicate exceptions
    243. 243. Reduce errors in supplier and customer communication – by tightened integration between business partners resulting from the use of Web portals and open communication technologies</li></ul>“Real world challenges can be addressed by providing a responsive real-time supply network” <br />
    244. 244. Supply Chain Challenges - Conclusion<br />The benefits offered by implementing the SAP SCM solution to meet the supply chain challenges are:<br />Superior supply chain logistics and operational performance <br />Tighter integration between business partners<br />Enhanced supply chain functionality<br />Responsive real-time supply network<br />Event and exception management capability<br />Single web enabled technology platform <br />These improvements and solutions to the supply chain challenges can be realised by exploiting the functionality of the latest SCM software<br />
    245. 245. The Rocket Innovation Approach<br />Supply Chain challenges<br />initiatives & Opportunities<br />Assessment<br />Experience<br />Partners<br />R&D<br />Prototyping<br />Rocket Packs<br />Demo Systems<br />
    246. 246. Our Relevant Experience<br />
    247. 247. To take off with Rocket by contacting us launch@rocket-consulting.comto discuss how these improvements and solutions to the supply chain challenges can be realised by exploiting the functionality of the latest SCM software<br />
    248. 248. www.rocket-consulting.com <br />Copyright © Rocket Consulting Limited 2010.<br />All Trademarks are hereby acknowledged.<br /> <br />This document contains information that is proprietary to Rocket Consulting<br />and must not be disclosed in whole or in part to any third party.<br />