SAP S4 move supply chain
- 1. PUBLIC Sim King Liang Digital Supply Chain Solution Advisor Move to an Intelligent Supply Chain with S/4 HANA
- 2. 2PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ The Intelligent Enterprise The foundation of a Digital Supply Chain Intelligent Technologies Intelligent Suite Digital PlatformAI Machine Learning Analytics IoT Data Management Cloud Platform Network & Spend Management People Engagement Digital Core Digital Supply Chain Customer Experience The Intelligent Enterprise features 3 key components: Intelligent Suite Digital Platform Intelligent Technologies 1 2 3 7
- 3. 3PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ The world is changing PREDICT MAINTENANCE 1Trillion will be saved in 2022 for consumers & business by IOT, for instance Predicting Hardware Maintenance 5 IoT 54% Last years growth in Mobile Data Traffic1 1 https://www.ericsson.com/assets/local/mobility- report/documents/2018/ericsson-mobility-report-june-2018.pdf DIGITAL TRANSFORMATION 40% of Digital Transformation initiatives will use AI services by 2019 4 MACHINE LEARNING 66% of analytics processes will no longer simply discover what happened and why, but prescribe what should be done 3 50% Of Manufacturing Supply Chains Will Have Benefited from Digital Transformation by 2019, with the Remainder Held Back by Outdated Business Models or Functional Structures 1 DIGITAL SUPPLY CHAINS 3_https://www.ventanaresearch.com/digitaltechnology?utm_source=hs_email&utm_medium =email&utm_content=60916286&_hsenc=p2ANqtz-86lhkaCQ8Mze3slTB0g- 84d8SFt9granKEPTUZ2RLwo1dNaBgIRBFw3psoqybqHBCkssgg41ncxIR4D0_UNlJHahYY VQ&_hsmi=60916286 5 https://www.gartner.com/doc/3471568?refval=&pcp=mpe Gartner: Top Strategic Predictions for 2017 and Beyond 3 https://www.idc.com/getdoc.jsp?containerId=prUS43095417 IDC 2017 4 https://www.forbes.com/sites/sap/2017/10/31/idc-2018- predictions-if-youre-not-in-the-cloud-youre-isolated-from- innovation/#3f47c0e25713 50% ARTIFICAL INTELLIGENCE cognitive and AI solutions spending predicted annual growth rate (CAGR 2016-2021)2
- 4. 4PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA: The Intelligent ERP MRP live & MRP Cockpit Realtime & Prediction* Multilevel Variant Configuration & Simul.* Cash App New Customer Mgmt., Service Core Option Legal Content Mgmt. Report & Repair Malfunction ML & PredictionNEW ProcessNEW in S/4HANANew Insights Integration SAP Cloud Platform Key Industry function embedded inside (e.g. Automotive, Consumer, Retail*, Mill…) AIN DDMRP* Prod Engineering & Ops Det. Scheduling PPDS Commercial Projects Recipe Management Project & Portfolio Mgmt. Proposed Accruals* Closing Cockpit Compliance Framework Group Reporting* Multi-Channel Interaction Center Maintenance Overview* Asset Mgmt. for resource scheduling Co-Pilot as Digital Assistant GDPR Tools Re-architecture & improved functions (e.g. Chemicals, A&D, Oil Gas, Utilities*…) Details &restrictions… SAP C/4HANA *New/major update 1809 Capacity Planning* Quotation with Product Bundles* Geographical Framework GR/IR Monitor* Digital Content Process.* Responsibility Mgmt.* ManufacturingSupply Chain R&D Finance Service CrossAsset Mgmt. Industries Quality Overview DMI IPD Procurement Central Procurement* Procurement Overview Pred. Contract cons. Cash discount at risk* Propose mat. group, contracts & cat items* Embedded TM Pred. Stock in Transit* Embedded EWM Advanced ATP Realtime Inventory IBP Customer 360˚ One Single Invoice International Trade Predictive Q2Order* Sales Force Support* Delivery Performance* Sales SAP C/4HANA
- 5. 5PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA …will run your business different than before On any Device, use role based cockpits with digital assistant Embedded analytics for simulation, prediction & insight-to-action Machine learning for automated processing & decision support IMMEDIATE INTELLIGENTINTUITIVE 2 31
- 6. 6PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Sales ML: Create sales order from unstructured data (2020) Sales Order Fulfillment Cockpit aATP: alter. Plant** Price planning (2020) and optimization (2021) *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. Customer 360 view aATP: determine alter. plant** BRIM: Subscription. Order Mgmt.** BILLING & INVOICING ACCOUNT & CONTACT MGMT. Business Capabilities: Business Areas: SALES FORCE SUPPORT1 ACTIVITY MGMT. ORDER AND CONTRACT MANAGEMENT SALES MASTER DATA MGMT. SALES ORDER MGMT. & PROCESSING CLAIMS, RETURNS & REFUND MGMT. SALES MONITORING & ANALYTICS OPPORTUNIT Y MGMT. SALES & SOLUTION BILLING PRICE MGMT SALES REBATES MGMT QUOTATION MGMT SALES CONTRACT & QUOTATION MGMT SALES LEAD & OPPORTUNITY MGMT. NLP skills for sales document*** Manual invoice / Cash sale (2019) Cash application for contract accounting (2020) Q2O Prediction One Single InvoiceSales Force Support Create sales order Fiori App (2020) Delivery delay predictionQuotation to order conv. rate predictionSales Force Support1 1 via SAP S/4HANA for Customer Management add-on Add. Sales KPIs, e.g. lost quotation value (2019)
- 7. 7PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Sales *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. BILLING & INVOICING ACCOUNT & CONTACT MGMT. Business Capabilities: Business Areas: SALES FORCE SUPPORT1 ACTIVITY MGMT. ORDER AND CONTRACT MANAGEMENT SALES MASTER DATA MGMT. SALES ORDER MGMT. & PROCESSING CLAIMS, RETURNS & REFUND MGMT. SALES MONITORING & ANALYTICS OPPORTUNIT Y MGMT. SALES & SOLUTION BILLING PRICE MGMT SALES REBATES MGMT QUOTATION MGMT SALES CONTRACT & QUOTATION MGMT SALES LEAD & OPPORTUNITY MGMT. 1 via SAP S/4HANA for Customer Management add-on JONES Sales Manager How am I performing for my KPI? Am I delivering fast enough? Let me inform my customer service!
- 8. 8PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Sales *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. BILLING & INVOICING ACCOUNT & CONTACT MGMT. Business Capabilities: Business Areas: SALES FORCE SUPPORT1 ACTIVITY MGMT. ORDER AND CONTRACT MANAGEMENT SALES MASTER DATA MGMT. SALES ORDER MGMT. & PROCESSING CLAIMS, RETURNS & REFUND MGMT. SALES MONITORING & ANALYTICS OPPORTUNIT Y MGMT. SALES & SOLUTION BILLING PRICE MGMT SALES REBATES MGMT QUOTATION MGMT SALES CONTRACT & QUOTATION MGMT SALES LEAD & OPPORTUNITY MGMT. 1 via SAP S/4HANA for Customer Management add-on What should I take note today? Rachel Customer Service Rep
- 9. 9PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ *Additional license - **Additional installation and license – C(Partially) Compatibility scope • To fulfill a customer’s demand to the requested delivery time is essential. • Sales clerk wants to identify critical order fulfillment issues, their root reasons and proactively prevent such issues. Order Entry Outbound delivery Order Clarification Incompletions Credit block Delivery block Payment block Unconfirmed quantity Pre-delivery activities • Purchasing • Manufacturing • Ship from stock Shipping Will the outbound delivery be delayed? What to do to prevent the delay? Predicted Delivery Delay Fiori App allows Sales Manager & Internal Sales Representative to proactively Monitor how likely a sales order item will be delayed Take appropriate actions to avoid the delay The focus in SAP S/4HANA 1809 is to determine the deviation between committed delivery schedule (ATP) and actual delivery creation date ORDER AND CONTRACT MANAGEMENT Predicted Delivery Delay Machine Learning SALES ORDER & PROCESS MGMT
- 10. 10PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ e.g. Business Partner replaces ERP SD customer/ vendor master Ordering party: V-03 Invoice recipient: V-04 Payer(sales): V-05 Consignee: V-06 One time customer: V-07 Payer(centrally): V-08 Ordering party: V-09 Carrier: V-11 Create sales prospect: V+21 Create competitor: V+22 Business partner sales activities: V+23 Sales Data: VD01;VD02;VD03;VD05;VD06 Sales Company Code Data: FD01;FD02;FD03;FD05;FD06;FD08 Sales Central Maintenance: XD01;XD02;XD03;XD05;XD06;XD07 Sales Contact person: VAP1, VAP2, VAP3 Purchasing Data: MK01, MK02, MK03, MK05, MK06, MK12, MK18, MK19 Purchasing Company Code Data: FK01, FK02, FK03, FK05, FK06, FK08 Purchasing Central Maintenance: XK01, XK02, XK03, XK05, XK06, XK07 Purchasing Contact person: MAP1, MAP2, MAP3 SAP ERP: Numerous Customer/ Vendor Master Edits Business Partner • A central entry point provides the single source of truth • Web-based UI enables ease of navigation and intuitive operations • Consolidation of transactions eliminates operational redundancy • Maximized data sharing leads to streamlined data consolidation • Increased flexibility enables easy maintenance and improved productivity • Allows for 360 views Architecture IV: Simplification: Data to achieve 360° Views and help scale *Additional license - **Additional installation and license – C(Partially) Compatibility scope (S) Complete list of Simplifications see here. Customer 360°
- 11. 13PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Embedded TM** Inventory Turnover/ Dead Stock AnalysisRealtime Inventory w/ high throughput Embedded EWM** ML Prediction of Stock in Transit aATP/ML: Smart material substitution (2020f) SAP S/4HANA Supply Chain New aATP** aATP: alt. BOP & det. Best Plant** EWM: New Fioris & Unplanned Returns** EWM: Material flow systems with robotic integrations (2019) IBP*** Integration with ATT Pharma TM: Scenario builder & mixed Pallet building**EWM: sync Del. No & real-time check** Business Capabilities: Business Areas: WAREHOUSE MANAGEMENT SHIPPING INVENTORY ANALYTICS AND CONTROL AVAILABLE TO PROMISE GOODS MOVEMENT INVENTORY WAREHOUSING SHIPPING AND TRANSPORTATION RETURNABLE PACKAGING LOGISTICS ORDER PROMISING TRANS- PORTATION MGMT Fiori UX for Kanban (2019) ML: Prediction of dead stock / slow moving (2019)TM: Overview pages shipping (2019) & receiving (2020)EWM: Optimization capabilities (2019) TM: Migration tools (2019) Movement Analysis Predictive SiT aATP: Product Allocation TM Scenario Builder *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. Decentral S/4HANA EWM*** aATP: partial confirmations in multiple plants (2020) Overview page inventory analyst (2019)
- 12. 14PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Supply Chain Business Capabilities: Business Areas: WAREHOUSE MANAGEMENT SHIPPING INVENTORY ANALYTICS AND CONTROL AVAILABLE TO PROMISE GOODS MOVEMENT INVENTORY WAREHOUSING SHIPPING AND TRANSPORTATION RETURNABLE PACKAGING LOGISTICS ORDER PROMISING TRANS- PORTATION MGMT *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. Analyze inventory turnover Track the material flow in real-time Transfer stock cross plants in 3 clicks
- 13. 15PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Experience Transformation in Inventory Management: DEMO / VIDEO Measure SAP ERP with SAP GUI with SAP Fiori Improvement Factor Duration 8.10 min 3.58 min 2.1 x Clicks 135 64 2.1 x Number of Apps 10 7 1.4 x Fields Filled 18 8 2.3 x Analyze inventory turnover Track the material flow in real- time, with insight-2-action Transfer stock cross plants in 3 clicks Documentation: S/4HANA Inventory Management FIORI App Library Inventory Management with SAP S/4HANA: What You See…
- 14. 16PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Simpler Data Model: Inventory Management Example A real-world example of how SAP S/4HANA is different than ECC 6.x On the fly aggregation MATDOC Material Document Master data without Stock aggregates MARC MARD Aggregates MSTQ MSTE MSTB MSSQ MSSA MSPR MSLB MSKU MSKA MKOL MCHB MSTQH MSTEH MSTBH MSSQH MSSAH MSPRH MSLBH MSKUH MSKAH MKOLH MCHBH History Document MARDH MARCH MKPF MSEG Inventory movements Material Master Master data with Stock aggregates MARC MARD MARCH MARDH Master data Transactional data 26 aggregate tables Traditional disk-based ERP In-memory ERP
- 15. 17PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Business Innovation Material Document: Data Model / Columns 3/3 MATDOC comprises 289 columns » 32 columns from MKPF (Material Document header table) » 204 columns from MSEG (Material Document item table) » 53 additional columns for fast Calculations / Analytics ▫ Warehouse stock grouping fields e.g. stock categories (special stock, unrestricted, …) ▫ Additional units and key figures e.g. stock quantities stored with sign for fast on-the-fly aggregation ▫ Two sets of stock identifying fields (source and target) Transfer postings ▫ Periods and time information e.g. year-month combination for comparison of stock time series ▫ Data footprint: 25% .. 38% of total table size
- 16. 18PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Stock in Transit: How does it work Creation of stock transport order Creation of Delivery Picking / packing in warehouse Goods Issue Goods Receipt Delivery Date INVENTORY When will my Stock Transport be delivered? Machine Learning
- 17. 19PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA: The Intelligent ERP MRP live & MRP Cockpit Realtime & Prediction* Multilevel Variant Configuration & Simul.* Cash App New Customer Mgmt., Service Core Option Legal Content Mgmt. Report & Repair Malfunction ML & PredictionNEW ProcessNEW in S/4HANANew Insights Integration SAP Cloud Platform Key Industry function embedded inside (e.g. Automotive, Consumer, Retail*, Mill…) AIN DDMRP* Prod Engineering & Ops Det. Scheduling PPDS Commercial Projects Recipe Management Project & Portfolio Mgmt. Proposed Accruals* Closing Cockpit Compliance Framework Group Reporting* Multi-Channel Interaction Center Maintenance Overview* Asset Mgmt. for resource scheduling Co-Pilot as Digital Assistant GDPR Tools Re-architecture & improved functions (e.g. Chemicals, A&D, Oil Gas, Utilities*…) Details &restrictions… SAP C/4HANA *New/major update 1809 Capacity Planning* Quotation with Product Bundles* Geographical Framework GR/IR Monitor* Digital Content Process.* Responsibility Mgmt.* ManufacturingSupply Chain R&D Finance Service CrossAsset Mgmt. Industries Quality Overview DMI IPD Procurement Central Procurement* Procurement Overview Pred. Contract cons. Cash discount at risk* Propose mat. group, contracts & cat items* Embedded TM Pred. Stock in Transit* Embedded EWM Advanced ATP Realtime Inventory IBP Customer 360˚ One Single Invoice International Trade Predictive Q2Order* Sales Force Support* Delivery Performance* Sales SAP C/4HANA
- 18. 20PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The Intelligent Enterprise The foundation of a Digital Supply Chain Intelligent Technologies Intelligent Suite Digital PlatformAI Machine Learning Analytics IoT Data Management Cloud Platform Network & Spend Management People Engagement Digital Core Digital Supply Chain Customer Experience The Intelligent Enterprise features 3 key components: Intelligent Suite Digital Platform Intelligent Technologies 1 2 3 7
- 19. 21PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Internet of Things Machine Learning Analytics Big Data Blockchain Transportation Management Warehouse Management Balance customer service and delivery costs through efficient digital logistics and order fulfillment Warehouse Management • Optimize freight, shipping, and warehouse operations Transportation Management • Reduce costs and improve service, speed, efficiency, and sustainability Logistics Networks • Aligning distribution and fulfillment processes and collaborating with logistics participants Digital Logistics powered by SAP Leonardo - Deliver Digital Logistics • Leonardo IoT Bridge • Logistics Network Hub • Vehicle Insights Video
- 20. 22PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Inventory, Warehouse & Transportation in S/4HANA BASIC INVENTORY, WAREHOUSING, AND TRANSPORTATION Embedded Analytics for Inventory Management • Inventory turnover analysis • Realtime stock insights into history & flow Embedded Warehouse Management • As new deployment option for customers, small & midsize & production warehouses to provide a flexible deployment options to run all kinds of warehouses within a single system Increased Data Throughput for high volume postings • Realtime reporting on primary data • Up to 800 x reporting speed • Up to 30x posting throughput 1 Embedded Transportation Management Solution • Basic shipping with embedded TM on harmonized master data and customizing, replacing LE-TRA • Manual Planning and Optimization & real-time embedded analytics via CDS
- 21. 23PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Sourcing and Procurement Central Procurement**Self Service Procurement*** ML Predictive Contract Consumption*** Transform Manual Procurement into Automation with Prediction & ML (2020) Service Procurement with *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. SUPPLIER EVALUATION REALTIME REPORTING & MONITORING INVOICE COLLABORATION INVOICE MANAGEMENT Business Capabilities: SELF SERVICE REQUISITIONING SOURCING & CONTRACT MANAGEMENT PURCHASE ORDER COLLABORATION REQUIREMENTS PROCESSING PURCHASING REBATE MGMT SOURCE ASSIGNMENT PURCHASE CONTRACT MANAGEMENT INVOICE PROCESSING & COLLABORATION CLASSIFICATION, SEGMENTATION & SUPP. EVALUATION SPEND VISIBILITY, REALTIME REPORTING & MONITORING SUPPLIER MGMT. AND PROCUREMENT ANALYTICS Business Areas: OPERATIONAL PROCUREMENT SERVICES PURCHASING & RECORDING, PURCH. REBATE MGMT PURCHASE ORDER PROCESSING & COLLABORATION ML Propose New Catalog Items (Free-Text)*** ML Material Group Proposal*** ML GR/IR Reconciliation*** Guided Buying Materials without Contracts ML Materials without Contracts*** Guided Buying with ARIBA*** Smart Contracting with Legal Contract Integration (2019) ML Supplier Delivery Prediction (2019) Manage PO items Include social media platforms and sentiment analysis (2020)
- 22. 24PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Sourcing and Procurement *This is the current state of planning and may be changed by SAP at any time without notice - **Additional license - ***Additional installation and license. SUPPLIER EVALUATION REALTIME REPORTING & MONITORING INVOICE COLLABORATION INVOICE MANAGEMENT Business Capabilities: SELF SERVICE REQUISITIONING SOURCING & CONTRACT MANAGEMENT PURCHASE ORDER COLLABORATION REQUIREMENTS PROCESSING PURCHASING REBATE MGMT SOURCE ASSIGNMENT PURCHASE CONTRACT MANAGEMENT INVOICE PROCESSING & COLLABORATION CLASSIFICATION, SEGMENTATION & SUPP. EVALUATION SPEND VISIBILITY, REALTIME REPORTING & MONITORING SUPPLIER MGMT. AND PROCUREMENT ANALYTICS Business Areas: OPERATIONAL PROCUREMENT SERVICES PURCHASING & RECORDING, PURCH. REBATE MGMT PURCHASE ORDER PROCESSING & COLLABORATION What is my current spend and trend for my entire organization? John Procurement Manager What is the performance of my suppliers for those with the highest spend? Rose Supplier Manager
- 23. 25PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Propose Material Group for Free-Text Items AUGMENTED DECISION- MAKING FOR PURCHASING** AUGMENTED DECISION- MAKING FOR PURCHASING** • Choosing a correct material group is critical when creating a free-text item to be compliant with a corporate purchasing policy • You often end up putting up sticky notes next to the PC monitor for the most frequently used material groups Purchase Requisition Approval Purchase Order You can let the system propose a material group appropriate for the free-text item you are creating based on the historical data within your organization – No more sticky notes. Which material group do I need to use for this free-text item? Is there a guideline that the system can propose to follow the corporate purchasing policy? Machine Learning *Additional license - **Additional installation and license – C(Partially) Compatibility scope
- 24. 26PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA …will run your business different than before On any Device, use role based cockpits with digital assistant Embedded analytics for simulation, prediction & insight-to-action Machine learning for automated processing & decision support IMMEDIATE INTELLIGENTINTUITIVE 2 31
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