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Week 1: Supply Chain Setup

Unit 1: Introduction to SAP Business ByDesign

Introduction to SAP Business ByDesign Meet SAP Business ByDesign – An end-to-end cloud suite for your growing business

Human Resources

Financials

▪ Turn growth potential into real results ▪ Connect core functions and people to timetested best practices ▪ Get the foundation to scale and compete without the complexity and cost

CRM

Supplier

Integrated Cloud Suite

▪ Grow your business your way

Supply Chain

Project Management

+ Solution Extensions © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

2

Introduction to SAP Business ByDesign SAP Business ByDesign is the platform that growing businesses trust

Suite in a Box

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Insightful

Built for Growth

Continuous Innovation

3

Introduction to SAP Business ByDesign SAP Business ByDesign – Flexibility to adapt and extend

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

4

Introduction to SAP Business ByDesign SAP Business ByDesign – In over 120 countries SAP Delivered Countries

Examples of Partner and Customer Localizations

SAP Tax Basic

Australia

France

Denmark

Austria

Germany

Switzerland

Belgium

Netherlands

Italy

Canada

New Zealand

India

China

South Africa

Spain

Japan Mexico

▪ ▪ ▪ ▪

More than 90 countries Basic tax codes Tax number validation Generic tax return

Albania

Ecuador

Oman

Algeria

El Salvador

Panama

Bahrain

Guatemala

Peru

Belarus

Guinea

Poland

UK

Bosnia

Honduras

Qatar

U.S.

Bulgaria

Kazakhstan

Romania

Chile

Kuwait

Serbia

Columbia

Lebanon

Slovenia

Costa Rica

Montenegro

Sweden

Croatia

Morocco

Ukraine

Egypt

Thailand

Algeria

Norway

Sweden

Egypt

Finland

Lithuania

Morocco

Latvia

Estonia

Kuwait

Greece

Hong Kong

Romania

UAE

Thailand

Malaysia*

Singapore*

SAP Pre-localized Enhances Tax Basic by: ▪ ▪ ▪ ▪ ▪

Default country scoping Additional tax codes Withholding tax (if applicable) Customer-facing forms Country specifics (if applicable)

Czech Rep

On Roadmap Plan* © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

5

Introduction to SAP Business ByDesign Supply chain management with SAP Business ByDesign

Shipping

Receiving

6

1

2

Inter /Intra Company

Production

3

5

Customer

3

Manufacturer

Supplier

4 3PL

Pure Picking

Rack/High Rack

External Supply Chain

Internal Supply Chain Goods & Financials Value Chain © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

6

Introduction to SAP Business ByDesign Supply chain management with SAP Business ByDesign – Part of the modeled business process platform

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

7

Thank you. Contact information: [email protected]

© 2017 SAP SE or an SAP affiliate company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices.

Week 1: Supply Chain Setup

Unit 2: Solution Overview

Solution Overview An end-to-end cloud suite for your growing business

Human Resources

Financials

▪ Turn growth potential into real results ▪ Connect core functions and people to timetested best practices ▪ Get the foundation to scale and compete without the complexity and cost

CRM

Supplier

Integrated Cloud Suite

▪ Grow your business your way

Supply Chain

Project Management

+ Solution Extensions © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

2

Solution Overview Supply chain management business scenarios Main Scenarios:

Additional Scenarios:

▪ Order-to-Cash ▪ Make-to-Stock ▪ Procure-to-Pay

▪ ▪ ▪ ▪

Demand Planning Materials in Projects Physical Inventory Management …

Order-to-Cash Handling an Incoming Customer Inquiry

Creating Sales Quotes

Creating Sales Contract

Marketing-toOpportunity

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Creating Sales Orders

Creating Down Payment RequestCustomer

Initiating Outbound Delivery

Processing Receivable and Payments

Processing Outbound Delivery

Processing Inspections

Creating Customer Invoices

Processing Receivable and Payments

Customer Returns 3

Solution Overview Functional scope

Sales

Supply Chain Design

Service

Supply Planning and Control

Warehouse Management

Demand Planning

Inventory Valuation and Product Costing

Production

Project Management

Finance

Purchasing

Quality Assurance SCM only

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

4

Solution Overview Connecting business scenarios with functions

Procure-to-Pay

Planning Supply

Initiating Purchasing

Supply Planning and Control

Processing Purchase Requests

Processing Requests for Quotations

Processing Purchase Orders

Purchasing

Processing Inbound Delivery Notifications

Processing Inbound Deliveries

Warehouse Management

Processing Supplier Invoices

Purchasing

Processing Receivables and Payments Finance

Quality Assurance Processing Inspections

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

5

Solution Overview System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

6

Solution Overview Solution principles Consider the Complete Supply Chain:

Work Efficiently:

▪ Demand and supply transparency across all locations ▪ Multi-level supply chain from supplier to customer ▪ Out-of-the-box intercompany processes

▪ Automated work distribution and uniform task execution ▪ Process automation via mass data runs ▪ Exception-based planning and execution monitoring

Integrate the Value Chain:

Leverage the Ecosystem:

▪ Cost transparency (planned and actuals) ▪ Up-to-date inventory valuation ▪ Tight process integration to Financials

▪ Out-of-the-box integration to other supply chain parties (e.g. shipping service providers, 3PL) ▪ Multiple interfaces to other solutions (e.g. E-Shop, CAD) ▪ Built-in and side-by-side solution adaptation capabilities

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

7

Solution Overview Summary ▪ Business scenarios overview ▪ Functional scope overview ▪ How to change solution scope ▪ Solution principles

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

8

Thank you. Contact information: [email protected]

© 2017 SAP SE or an SAP affiliate company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices.

Week 1: Supply Chain Setup

Unit 3: Modeling the Company

Modeling the Company Supply chain entities – Company and business residence

Business Residences of Company Almika Business Residence of Company Innovat Headquarters Warehouse Production Sales

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

2

Modeling the Company Organizational management overview Holding

Organizational unit definitions: ▪ Company ▪ Business residence ( site)

Company

Company

Almika

Innovat

Organizational unit functions: ▪ Reflect what org unit does

Business Residence

(…)

▪ Integrate an org unit into a business process Sales Org / Sales Unit

Business Residence / Sales Org

Business Residence Organization Function

Sales Unit

Definition Function & Definition

Unified Organizational Structure © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

3

Modeling the Company System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

4

Modeling the Company Materials, services, assets

Tangible ‘things’ Supply Chain Materials

Finished goods

Intangible ‘things’ Other Materials

Service

Office material

Fixed Assets Intermediate / component

Inspections

Consulting

Equipment

Fixed Asset Raw material

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Notebooks

Software

5

Modeling the Company Tangible ‘things’

Supply Chain Materials:

Fixed assets:

▪ Inventory managed (warehouse)

▪ Managed in fixed asset inventory

▪ Value based on quantity in stock

▪ Value reduced over time (depreciation)

Office supply, consumables: ▪ Non-inventory managed ▪ Directly expensed (costs) © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

6

Modeling the Company Tangible ‘things’

Supply Chain Materials: ▪ Inventory managed (warehouse) ▪ Value based on quantity in stock

Fixed assets: ▪ Managed in fixed asset inventory ▪ Value reduced over time (depreciation)

Office supply, consumables: ▪ Non-inventory managed ▪ Directly expensed (costs)

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

7

Modeling the Company System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

8

Modeling the Company Summary ▪ Org unit definitions and functions ▪ Materials, services, and fixed assets ▪ Material master data ▪ Grouping of materials for different purposes

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

9

Thank you. Contact information: [email protected]

© 2017 SAP SE or an SAP affiliate company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices.

Week 1: Supply Chain Setup

Unit 4: The External Supply Chain

The External Supply Chain Business partners in the supply chain

Externally Managed (3PL) Business Residences of Company Almika Business Residence of Company Innovat Headquarters Warehouse Production Sales

Freight Forwarder

Customer

Supplier

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

2

The External Supply Chain Business partners in SAP Business ByDesign Business Partners

Business Partner Roles

Account Service Agent Person

Contact (…)

Supplier Roles Supplier

Organization

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Account

Freight Forwarder

Supplier (…)

Warehouse Provider Bidder

3

The External Supply Chain Business partners and company

Both companies modeled in same tenant

Company Almika

Company modeled outside same tenant

Company Innovat

Business Partner: Supplier

Account

Supplier

Account

Supplier

Account

Partner Company

Sell / Buy (Intercompany)

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

4

The External Supply Chain System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

5

The External Supply Chain Distribution network and ship-from determination

Business Residences of Company Almika

C

Shipment of Goods

A

Headquarters Warehouse Production

B

Sales Customer

Supplier

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

6

The External Supply Chain Transport zones and lanes

∑ Countries, regions, postal codes

Transport Zone

∑ Individual customers

2 days

1

Transport lane from site to transport zone  Shipment of goods to customers

3. Allowed products? 2

4. Product masters per site?

Use case 1

5. Priority?

1 day

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Transport lane between two sites  intracompany stock transfer

Use case 2 7

The External Supply Chain System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

8

The External Supply Chain Summary ▪ Business partner types and role concept ▪ Relationship between company and business partner ▪ Partner company concept ▪ Distribution network using transport zones and lanes

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

9

Thank you. Contact information: [email protected]

© 2017 SAP SE or an SAP affiliate company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices.

Week 1: Supply Chain Setup

Unit 5: The Internal Supply Chain

The Internal Supply Chain 1 2 3

Material movements within a site

4 5 6

Shipping

Unload & Check Put Away Replenish Remove Pick Load

Production

Receiving

1

6 2

3

5

3

Pure Picking

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

4 Rack/High Rack

2

The Internal Supply Chain From simple to sophisticated modeling ▪ ▪ ▪ ▪ ▪

Process Automation Efficiency Human Errors Transparency Effort

Shipping

Receiving

Production

1

6 2

3

5

Warehouse

Production

3

Pure Picking

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Location Layout & Logistics Model

4 Rack/High Rack

3

The Internal Supply Chain

Site

Location layout – Overview

Storage Location

= Production Equipment = Logistics Area (LOA) = Inventory-Managed LOA

Layout

Warehouse

Goods Receipt

Goods Issue

Aisle 1

Production

Aisle 2

Prod. Area 1

Bin 1.1

Bin 2.1

Bin 1.2

Bin 2.2

Bin 1.3

Bin 2.3

Supply

Supply

Output Drill Press

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Prod. Area 2

Assembly Machine

4

The Internal Supply Chain System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

5

The Internal Supply Chain Modeling of logistics processes 1. Example: ‘Ship goods to customer’ Logistics Model: Site P1100, Type Standard Shipping

Logistics Model: Site P1100, Type Replenish Replenish

Load

Pick

Layout Storage

2. Example: ‘Bring components to production supply area’

Layout Shipping Staging

Storage

Replenishment Rules

Logistics Use © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

= Logistics Area 6

The Internal Supply Chain Source and destination LOA determination rules

Use case ‘One-step shipping’:

Logistics Model

Site

Material Flow Rules (MFR)

Layout

Pick

LOA

MFR LOA

Storage

LOA

Use MFR on site

LOA Use case ‘Replenishment’:

LOA

Logistics Model

LOA

Replenish LOA Storage

Replenishment Rules

Use MFR of lowest possible LOA © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

LOA

MFR

(…) 7

The Internal Supply Chain System demo

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

8

The Internal Supply Chain Summary ▪ Location definitions ▪ Location layout ▪ Logistics model and interaction with location layout ▪ Material flow rules

© 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

9

Thank you. Contact information: [email protected]

© 2017 SAP SE or an SAP affiliate company. All rights reserved. No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices.