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DESCRIPTION
TRANSCRIPT
© 2011 SAP AG. All rights reserved. 1
SAP Customers are Producing….
Of sport shoesworldwide
86%Of chocolateworldwide
70%Of branded jeans
worldwide
50%
Cars per day
77.000Tons of cheese
9 Mio.Of beer production
worldwide
72%
...and all of this has to be transported & stored
SAP Transportation Management
Run Better with SAP
© 2011 SAP AG. All rights reserved. 3
SAP Customers Invest in Transportation & Warehousing for…
Increased efficiency & productivity
Greater visibility& decision support
Better service levels
Reduced costs
Process automation and scaleability
Compliance and sustainability
© 2011 SAP AG. All rights reserved. 4
Automation – drives value
© 2011 SAP AG. All rights reserved. 5
SAP Transportation and Logistics Mission and Strategy
The World's Best Supply Chain Execution Solution
The Thought Leader in Supply Chain ConvergenceMission
Supply Chain
ExecutionLeadership
© 2011 SAP AG. All rights reserved. 6
Strong SAP TM Momentum and Success
Over 50 new customers in 2011- Across all regions- In all transportation-relevant industries
Over 20 ongoing implementation projects
Productive use of SAP TM in multiple industriesand sites around the globe- Consumer Products, Chemicals, High Tech, Wholesale Distribution,
Logistics Service Providers,…
Strong and growing SAP and Partner Service Portfolio
© 2011 SAP AG. All rights reserved. 7
Automated Routing
Automating DecisionsScenario overview
Shipper Plant (Chicago,USA)
Customer (Bellevue, USA)
Sales Order – Automated Routing and Tendering
Size – for example, Truckload, Parcel
Service – UPS, next day air, 3 day ground
Priority – Rush orders
© 2011 SAP AG. All rights reserved. 8
SAP TM ‘Go Button’ example – Decide Shipment based on Order Information
Shipper (SAP ERP)
Create Sales Order
Freight Invoice & Freight Invoice
Verification
Receive and Respond to Tender
Carrier Processes
Shipper (SAP TM)
Create Transportation. Request (OTR)
Create Freight Order
Calculate Transportation
Charges
Transportation Execution
(Docs/Tracking)
Carrier
© 2011 SAP AG. All rights reserved. 9
Improve logistics efficiency, readiness, and agility
Reduce overall logistics costs
Achieve superior customer satisfaction levels by delivering the perfect order
Three strategies to running better for you with SAP Transportation Management (SAP TM)
© 2011 SAP AG. All rights reserved. 10
Analytics and Reporting
Overview SAP Transportation Management Solution Coverage
Event Management
Import/Export, Dangerous Goods and Compliance
Document and Output Management
Integration and Connectivity
TransportationCharge Clerk
Transportation Planner
TransportationDispatcher
Specialist(i.e., Tendering)
OrderManagement
SAP ERP integration: Order-to-Cash, Procure-to-Pay
Freight Orders Forwarding Orders Freight Bookings
Freight Settlement
Freight Agreement Management
Charge and Tariff Mgmt.
SAP ERP integration: Forwarding and Freight Order Settlement
Freight Execution and Monitoring
Logistics Execution Transportation Status
Visibility and Monitoring
Freight Planning and Tendering
Manual and Automatic Planning and Dispatching
Resource and Carrier Selection
Order Tendering Ocean Booking
SAP Transportation Management
© 2011 SAP AG. All rights reserved. 11
Orders drive your Transportation.
Customer Orders
Stock Transit Orders
Purchase Orders
Returns
What about order changes?
What about last minute rush orders?
What about customer delivery requests?
What about legal requirements?
© 2011 SAP AG. All rights reserved. 12
Sales Order is synchronized with SAP TM Organization has one view of the customer order.
© 2011 SAP AG. All rights reserved. 13
Transportation Execution Opportunities – Routing Where you have the cost savings
Consignee 1
Combining more expensive Less-than-Truckload (LTL) into less expensive Truckload multi-stop. Or TL to Intermodal.
C2 C3
C4
Pushing higher transportation costs closer to the delivery location through with Pool points.
Cross-dockC6
C8
C5
Managing multi-modal shipments through various transfer points such as Ports and Borders while considering total costs
C9
Inbound
Port, USPort, Germany
Supplier 1
S2
S3
S4
Plant / DC
OutboundControlling vendor inbound freight and taking advantage of consolidation.
International
C7
Local courier services may be less expensive than next day overnight
Consolidation of freight from multiple vendors into one container for international inbound shipping
© 2011 SAP AG. All rights reserved. 14
Transportation CockpitOne stop shop – Streamlining your processes
Orders
Shipment DetailsEquipment& Schedules
Shipments
Order Processing
(ERP)
Orders in TM Freight Planning
Shipment Creation
Tendering Execution
Example Process: Transportation Planning
© 2011 SAP AG. All rights reserved. 15
Freight Planning DetailsTransportation optimization planning
OrdersBuilding strategies:- Freight
consolidation / split- Maximum transportation
quantities- Compatibility
ShipmentsPlanning constraints:
- Requested delivery date/times- Driver operating hours- Time windows- Trip & un/loading durations- Transport schedules- Vehicle availability & capacities - Incompatibilities- Handling resources - Costs (load, penalty)…
Vehicle Resources/SchedulesVariants:
- Truck, rail, ocean, air- Truckload - Less-than-truck-load
Map Integration – Graphical routing
ShipmentsCarrier selection options:
- Cost, priority, lane- Business share
Example Process: Transportation Planning
Example UI: Transportation Planning Cockpit
Order Processing
(ERP)
Orders in TM Freight Planning
Shipment Creation
Tendering Execution
© 2011 SAP AG. All rights reserved. 16
SAP TM Transportation CockpitHighly Flexible Role and User-Specific User Interface
Power User (Transportation Manager) layoutwith rich UI content and functionality
Simplified Transportation Clerk layout with simplified 2 frame layout
Demo
© 2011 SAP AG. All rights reserved. 19
Analytics & Reporting
SAP Transportation Management
OrderManagement
Freight Planning &Tendering
Freight Execution &Monitoring
Freight Settlement
Event Management
Import / Export, Dangerous Goods & Compliance
Document & Output Management
Integration & Connectivity
TransportationCharge Clerk
Transportation Planner
TransportationDispatcher
Specialist(i.e.Tendering)
© 2011 SAP AG. All rights reserved. 20
SAP TM Basic Processes – Order Based Shipper scenario example
Shipper (SAP ERP)
Create Sales Order
Create Deliveries(to WM / eWM)
Freight Invoice & Freight Invoice
Verification
Receive and Respond to Tender
Carrier Processes
Shipper (SAP TM)
Create Transportation
Request
Create Freight Order from order(s)
Calculate Transportation
Charges
Plan order(s)
Transportation Execution
Create order(s)
Carrier
Create Shipment(Post Goods Issue)
© 2011 SAP AG. All rights reserved. 21
Measuring and Monitoring key logistics’ milestones Enable real-time event response to empower exception management
Execution status integrated in theTM planning cockpit
Event notification& tracking via SAP Event Mgmt.
Integrated Event Management
Freight Execution Tracking
Event Notification & Reporting
© 2011 SAP AG. All rights reserved. 22
Event Monitoring
© 2011 SAP AG. All rights reserved. 23
Transportation AnalyticsComprehensive, Flexible Reporting Capabilities
Transportation Dashboard
Ad hoc Reporting on Mobile Devices
Embedded Contextual Analytics
Role and User-Specific Worklists
© 2011 SAP AG. All rights reserved. 24
3PLs
SAP II
Content Engine
Item
Location
Party
BPP
Supplier
CustomersERP
SAP II covers all B2B relevant SAP processes
SAP II connects to all B2B relevant business partners
OCEAN Portal
Carriers
SAP ProcessIntegration
SAP Information Interchange Out-of-the-Box Network for all B2B Demands
TM
EM
© 2011 SAP AG. All rights reserved. 25
SAP Mobile Scenarios for Transportation ManagementSAP mobile solutions for keeping your Carriers and Customers informed
SAP Transport Tendering SAP Transport Tracker
© 2011 SAP AG. All rights reserved. 26
SAP Transportation Management ScenariosPredefined, Best Practice Transportation Scenarios with SAP TM
Scenario Overview– Integrated, end-to-end transportation scenarios– Predefined, best practice processes & configuration
Scenarios Covered– Domestic Inbound Transportation– International Inbound Logistics– Outsourced Transportation– Domestic Outbound Transportation– International Outbound Transportation
Scenario Deliverables (in Solution Manager)– Scenario Description– Scenario Configuration Guides
(incl. Scenario Master Data)
Benefits Reduced implementation time, effort and cost Efficient, lower cost operations
© 2011 SAP AG. All rights reserved. 27
SAP Rapid Deployment Solutions…Packaging now becomes part of the SAP DNA…
SOFTWARE
PRECONFIG-
URATION
ENABLEMENT
CONTENT
PREDEFINED
SERVICE
SAP RAPID DEPLOYMENT SOLUTION
Complete solution, ready-to-run
Fixed scope, fixed cost, 100% transparent
For new customers, but also fits with existing landscape, ready to expand in modular steps
Fast time to value
Low software : services ratio
RDS Solutions for SAP TM 8.0 SAP Transportation Management rapid-deployment solution for domestic transportation planning SAP Transportation Management rapid-deployment solution for domestic freight tendering
© 2011 SAP AG. All rights reserved. 28
Top Executive Strategies to Control Transportation Cost
Now, more than ever, Best-in-Class
companies are embracing the
people, processes and technologies
that drive superior results which are
needed to address global cost
challenges and service requirements
to meet corporate objectives.”
“
Source: Bob Heaney, Integrated Transportation in a Capacity Constrained Global Market, Aberdeen Group, August 2011
It’s not all about Optimization…………
© 2011 SAP AG. All rights reserved. 29
Integrated SAP Applications & ProcessesNative integration for synchronized planning & execution
ERP Billing & InvoicingCustomer freight invoicing Carrier/supplier freight settlement
ERP & EWM Logistics ExecutionDelivery & shipment execution,
ERP Sales Order SchedulingDelivery date & ATP Scheduling
ERP Order IntegrationTM transportation planning
ERP DG ManagementDangerous goods data
SAP Event mgmtEvent notification & monitoring
SAP Global Trade Services Customs procedure & approval processing, Sanction Party List & Embargo Checks
SAP Transportation Management
© 2011 SAP AG. All rights reserved. 31
Top Analysts in logistics validate the depth, vision and functionality of SAP TM
© SAP 2008 / 31
“This is a major supply chain management announcement for SAP and SAP manufacturing, retail and distribution customers.”
“TM 8.0 is now a viable transportation management offering that covers the core transportation functionality of planning, execution, settlement, track-and-trace and performance management.”
Dwight Klappich, AMR Gartner, in interview to American Shipper, 06/22/2011
“SAP has invested a lot of time and money enhancing the solution and addressing the shortcomings of previous versions. Cargill, for example, is in the early stages of implementing TM 8.0 across its 75 business units for truckload, less-than-truckload, and rail,”
Adrian Gonzalez, “Logistics Viewpoints’, 06/24/2011
Steve Banker, “Transportation Management Systems: Worldwide Outlook 2011-2016” report by ARC, May 2012
“TM 8.0 is a holistic transportation solution that covers end-to-end business scenarios such as domestic and international inbound and outbound shipments.”
SAP is #1 in the overall TMS market *
SAP is #1 in the TMS software category
SAP is #1 in the Transportation Planning and Execution segment
© 2011 SAP AG. All rights reserved. 32
Innovation Areas 2011 - 2015 for Transportation Mgmt.Solid, continuous investment in SAP Transportation Management
Industry-specific transportation management processes
Supply Chain Execution Platform HANA-powered applications & platform Parcel management Track & trace Fleet management & tracking Hub handling Door appointment scheduling Contract, opportunity & service mgmt. Mobile applications TCO / TCI (Rapid Deployment Solutions) …..
© 2011 SAP AG. All rights reserved. 36
SAP Supply Chain Execution CommunityLearn more about our solutions: Join the Community
Access Linked-In Group:
– SAP Transportation Management SAP Community Network (SCN)
– A Collaboration Workspace in SCN– Simple registration via
https://cw.sdn.sap.com/cw/community/sce– A dedicated Supply Chain Execution
Community for SAP Transportation Mgmt.,Extended Warehouse Mgmt., & Event Mgmt.
Goal Network Building & Collaboration Knowledge Sharing Enablement
Coverage Community Interation
– Discussion, Q&A, Feedback Information Sharing
– News– Marketing assets– Implementation documents & guides – Events & Education
© 2011 SAP AG. All rights reserved. 37
Key Points to Take Home
›Transportation and Logistics is a major investment area for SAP
›Strong industry focus ensures delivery of best-in-class solutions with industry-specific capabilities.
›SAP is working in close collaboration with customers throughout the entire development life cycle
›The SAP Transportation and Logistics development roadmap provides a solid path for supply chain execution network coverage and convergence
›Usability, TCO and packaged services are major T&L focus areas to leverage the full value potential of our solutions
›Brings Value to you and your organization!
Thank you.
© 2011 SAP AG. All rights reserved. 39
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