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BENEFIT-DRIVEN SUPPLY CHAIN STRATEGIES AND SAP

Thought Leadership 01/21/2015

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Defining competitive Supply Chain Strategies is definitely challenged by growing complexities in Supply Networks, legal implications, regulations, and the "need for speed" in doing business with customers' requirements and expectations. At Novigo, we are responding to the need for innovation with our benefit-driven implementation approach, which describes and defines the customer perspective, business and industry expertise, and excellent knowledge about IT- and process infrastructure in a unified, benefit-driven design and change initiative.

We leverage the opportunity to use best-in-class Solutions from SAP in Supply Chain Management, Finance, Procurement, and Order to Invoice in End-to-End Business Process Design and Architecture projects in order to realize dedicated business benefits. This way, we build our implementation and business consulting services completely around defined critical success factors of our customers, to achieve business excellence in Supply Chain Networks, based on a harmonized, often unified, but always simplified logistics approach. Simplified means, in this case, not to ignore vital business needs, but introduce streamlined processes to establish enterprise foundation scenarios and solutions, based on SAP Supply Chain Solutions. Focusing on logistics, we can often leverage our Template Solution "Instant TM", which is based on SAP Transportation Management 9.2, SAP Event Management 9.2, SAP Extended Warehouse Management 9.2. As you can see in a few of our blogs we have references to our customer success stories, e.g. at www.Nibco.com, that innovation projects can be achieved in as less as 19 weeks with SAP TM/SAP EM for example.

But this would only be the response to the infrastructure side of things. The real value is in establishing connected networks with your business partners like customers on the one side, secondly your suppliers, and thirdly your logistics service providers on the other side. Real-time communication is a fundamental element for successful future supply networks.

The second key theme, that needs to be considered is certainly just on the rise, but of growing importance in Logistics and Supply Chain Networks. Labeled as the Internet Of Things, more assets, products help us to operate smarter. Receiving feedback from products, inventory keeping bins, "smart" palettes or tagged consignments are not only passively providing geo-location details, but are actively feeding inventory details, temperature details and learning to operate in preferred boundaries to improve their own status and life cycle conditions, but also locally improve and therefore optimize the overall network. Replenishment triggers or I call it Kanban 2.0, becoming an expert of information in Demand-Driven Networks. So not only real-time communication between business partners but also status and trigger-based information from the physical environment of your network is providing more and more opportunities to be more conscious and real-time on dealing with issues and opportunities in your job. SAP IBP e.g. is offering here dedicated solutions to catch and address the need for innovation right now, in order to be actually able to deal with the upcoming opportunity for innovation.

As complexity grows, that will give you real-time feedback from your operating network, and solutions like SAP PI and SAP EM and the new SAP TM are great tools to provide an integrated platform to position you in the center of your day to day operations, tactical planning, and strategic procurement tasks. In order to successfully translate growing magnitudes of data into real-time information, SAP Hana offers the solution foundation that is required from now on, to operate and process information and make decisions not only at individual transaction levels but with SAP HANA Live, you can leverage information aggregation and analytics to support your business role, no matter if you are focusing on operations or tactical planning, in Logistics, Order to Invoice, Procurement or Finance. User-Centric decision support, in ever-growing data environments in distributed information networks, will be a fundamental need in 2015's Innovation Initiatives in Supply Chains, especially Logistics and Demand drive Supply Networks.

Please take a look at Osman Bayraktar's new article at the SAPInsider Homepage on the SAP Insider Conferences Section for 2015. He is highlighting the central aspects that I touched on above and how we from Novigo address those challenges to improve our customers' supply chain performance.

I would be very happy to receive your feedback and certainly to discuss an opportunity on how we could work with you and help you to realize your business benefits, following your Vision for an Innovative Supply Chain Network. Simple, Connected, and Real-Time.

References: SAP Insider, SAP Transportation Management 9.2, SAP Event Management 9.2, SAP Extended Warehouse Management 9.2, SAP Integrated Business Planning, New SAP TM 9.2, New SAP EM 9.2, SAP EWM 9.2, SAP IBP, Enterprise Transformation, Value Assessment.

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