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Benefits and Insights

Why use SAP Supply Chain Planning?

Key differentiators & advantages of SAP Supply Chain Planning

  • Improve Communication: SAP SCM opens up communication between businesses within different sections of the supply chain. This can help maintain demand management and organize key supply chain processes. 
  • Increased Data Visibility: Gain a bird’s eye view of the entire supply chain and harvest valuable data from everyday processes. More visibility into how each portion of a supply chain functions allows for informed planning and decision making from managers. 
  • Boost Customer Satisfaction: Increased visibility into warehousing and transportation gives customers the ability to find out when, where and how their product is being shipped. This can help boost trust with multiple customers as they can keep track of their shipments with up-to-date information. 
  • Accurate Forecasting: SAP SCM uses state of the art AI and analytics to provide clients a way to accurately forecast product demand. Improved planning practices in avoiding stock shortages and can help reduce inventory. 
  • Better Inventory Management: Keep track of your stored products and optimize stock locations with SAP SCM’s inventory management tools. Retrieve goods quickly and accurately to have them ready for shipment as fast as possible. 
  • Reduce Costs: SAP SCM provides a suite of tools that focus on improving the production quality of goods while also cutting down on production issues. Cutting down on problems reduces the number of resources spent on recovery and producing faulty product. 

Industry Expertise

SAP SCM has been utilized in a number of different industries. Some of these include healthcare, automotive, defense, fashion, banking and aerospace.

Key Features

  • Cloud Deployment: SAP SCM is available as an on-premise or cloud-based solution. Leveraging the cloud comes with a number of beneficial features including easy backup, document storage and constant updates that do not require downtime. The cloud promotes easy communication with quick document and information sharing for team members and stakeholders. 
  • Predictive Analytics: SAP SCM includes Integrated Business Planning functionalities that leverage AI and sophisticated analysis to keep supply chains one step ahead of the ever-changing market. Predictive functions keep supply chains on top of demand while meeting profitability goals. 
  • Multiple SCM Modules: This platform provides a number of modules focused on optimizing a supply chain. Some of these modules include SAP Extended Warehouse Management, Advanced Planning and Optimization, SAP Transportation Management, SAP Supply Network Collaboration and more. 
  • Lifecycle Management: SAP SCM covers all key processes in a supply chain. Execute along an entire supply chain with networking, planning, coordination and execution features. This solution provides access to vital information about all supply chain activities and allows users to apply it to every portion of a product lifecycle. 
  • Transportation Management: This platform includes a number of transportation management modules to streamline the shipping process. Using SAP’s R/3 system, transfers purchase orders, returns and created deliveries to the Advanced Planning and Optimization module. Schedule deliveries and drivers with SAP scheduling tools to keep shipments running on time. 


Limitations

Some of the product limitations include:
  •  UI isn’t very intuitive or user-friendly 
  •  Many functions have a steep learning curve 
  •  Does not support multi-language functionality 
  •  Does not provide access to a mobile website 
  •  Not suitable for small to medium-sized organizations 


SAP SCM Suite Support

mail_outlineEmail: Technicians are available 24/7 to answer support questions emailed in through the Customer Interaction Center.
phonePhone: A 30-minute support call with an expert can be scheduled via SAP’s Support website. These calls normally take care of low to medium priority issues. Clients can also call the Customer Interaction Center at any time.
schoolTraining: Interested clients can gain further product knowledge in a variety of ways. OpenSAP provides free online training, and the SAP Learning Hub contains volumes of knowledge to look through. Clients interested in receiving certification can do so through SAP Global Certification. Interested parties can peruse the SAP Education and Course Directory for learning opportunities that fit their schedule.
local_offerTickets: High to very high priority issues can submit incident tickets through the SAP ONE Support Launchpad. An SAP Support engineer will work with the client closely to resolve the issue.

Cost of Ownership for SAP SCM

License/Subscription Cost
  • Subscription-based pricing model: per user, per month, billed annually for both types of deployment.
  • Price and functionality depend on category — self-service or enterprise
  • Cost varies depending on pricing tier and any add-on functionalities
  • Maintenance Cost
  • Cost is included in subscription fee for both types of deployment
  • Comprehensive maintenance and support services are offered
  • Maintenance and support services are available for licensed products
  • Access to SAP Support Infrastructure is provided through SAP support
  • SAP Support provides upgrades, 24/7 support, backup, recovery, and mobile access — all of which are included in the subscription fee
  • An additional fee is required for a dedicated server
  • Annual maintenance fee is charged as a percentage of the software’s contract value
  • SAP offers an SAP Support Portal for reporting incidents, requesting keys, downloading software, searching product documentation and access to SAP knowledge base and SAP notes
  • Installation/Implementation Cost
  • On-premise: Cost is included in the subscription fee
  • Cloud-based: None
  • Customization Cost
  • Cost depends on custom functionality and extra modules to be added for both types of deployment
  • Data Migration Cost/Change Management/Upfront Switching Cost
  • Cost depends on the amount of data that is migrated from legacy systems, availability of migration tools, data profiling, and data cleansing for both deployments.
  • Recurring/Renewal Costs
  • Cost is equivalent to the sum of monthly subscription fees, additional licenses, type of purchased plan, add-on costs, maintenance and training costs for both deployments
  • Pricing for Supply Chain Management Software