SNC 70 Solution Overview

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snc 70 solution overview

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SAP SNC 7.0 Supply Network CollaborationSAP SNC Solution Overview

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

Positioning: Customer Challenges and Trends Drive Strategy for Supply Chain Collaboration

Globalization and Outsourcing Lack of Visibility Beyond the Four Walls

Poor Customer Service

SAP 2007-2008 /

Positioning: Evolution of Supply Chain NetworksCollaborative Demand and Supply Planning

Streamline Logistics and Fulfillment

Increase Supply Network Visibility & Collaboration

Manage Risk and Ensure Compliance

Increase Real World Awareness

Positioning: SAP SNC - A 360 View On Collaboration

Extend Your Enterprise to Encompass Suppliers, Contract Manufacturers and CustomersSAPs Collaboration Engine: Out-of-the-Box Collaborative Business Processes Innovative: Intuitive, Easy to Learn, and Easy to Use Web-User Interface Utilizes SAP NetWeaver Platform: Open and Real Time Communication Between Your Internal Systems and Customers & SuppliersSuppliers360 Collaboration

My Company

Customers

Contract Mfg

The Enabler: SAP Supply Network Collaboration (SAP SNC 7.0)

Drive your Business Vision and StrategyThe Focus of SAPs Strategic Supply Chain Collaboration Efforts Real-Time Collaboration with Suppliers and Customers Out-of-the-Box Collaborative Business Processes

SAP SNC 7.0User Interaction Web-Based User Interface Business ProcessesSupplier Managed Inventory Purchase Order Process Contract Manufacturing Purchasing Dynamic Replenishment Delivery Control Monitor Work Order Collaboration Responsive Replenishment Kanban Process

Execute your Collaborative Business ProcessesAutomated End-to-End Processes Enable Inventory and Requirements Visibility Improve Data Quality and Accuracy

Release Process Supply Network Inventory Demand Collaboration

Empower your Employees and Network PartnersIntuitive, Easy to Learn, and Easy to Use Multiple Alert and Notification Methods Native Web User Interface SAP 2007-2008 /

Min/Max VMI

Basic ServicesMaster Data Exception Management Data Validation

Powered by SAP NetWeaverXML Message Exchange

Major Industries and their Requirements: SAP SNCCP: Customer Collaboration: Responsive Replenishment, Demand Management and In-Context Analytics Supplier Collaboration: Contract Mfg (batch traceability, quality collaboration) Customer Collaboration: Demand-side process Customer Program management Supplier Collaboration (and Customer Collaboration) Variant Configuration support Supplier Collaboration: Contract Mfg with batch handling Supplier Collaboration: Contract Mfg (with batch, serial number handling) Supplier Collaboration: General

High Tech:

Mill Products:

Chemicals/Pharma:

A&D: IM&C:

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

SAP SNC Customer Collaboration Demand CollaborationSales (Baseline/Promotion) Customers

Forecast (Baseline/Promotion)

DemMy Company

llab and Co

oration

Revised Forecast (Baseline/Promotion)

Demand Forecast Collaboration allows comparison and consensus between consumption data and customer transmitted forecast

SAP SNC Customer Collaboration Responsive ReplenishmentCustomers

My Company

Number Ranges

Promotion Plans

Forecast

Sales

Inventory

Responsive ReplenishmentOrder Forecast Baseline Orders Promotion Orders ASNs

Responsive Replenishment represents the next generation in Demand driven Replenishment

SAP Supply Network Collaboration Customer Collaboration FunctionalitiesCustomers

Min-Max replenishment is a simple stock level based replenishment processMy Company

Number Ranges

Forecast

Min/MaxOrder Forecast

Sales Inventory

Repleni shmentOrders

ASNs

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

Main Features: Supplier Collaboration with SAP SNC: Raw Material/Component SupplyPO Process

Release Process

Kanban Process

SMI Process

My Company

DCM (Reorder Point) Process DR (Forecast) Process

Additional Process Features:Confirmations (Date & Qty Changes by Supplier) on Purchase Orders ASNs (Ship Notifications) On All Processes (Packaging Capability with Bar Code/Label Printing) Invoices (Supplier Creates Invoices via the Web), Includes Regular and ERS Invoices (Self-Billing) Alerts for Exceptions (Includes e-mail notifications) BW Reporting Content for Alerts and Supplier Performance based on Alerts SAP 2007-2008 / Page 14

Main Features: Supplier Collaboration with SAP SNC: Contract Manufacturing SupplyCMP (Subcon PO) Process

Work Order Process

SNI Process

My Company

Additional Process Features:Contract Manufacturing Purchasing (CMP) equals Subcontracting POs in ERP (POs with a BOM)Changes to the components in BOM possible along with approval procedure

Work Order Process offers the most granular functionality for tracking production progress at CMIncludes BOM and Phases (routing) collaboration with approvals/reject procedure Advanced features calculate projected end date and finished goods qty in mid production WO exists only in SNC. It is initiated via a subcon PO or regular PO from SAP ERP

Supply Network Inventory (SNI) is a time-bucketed supply and demand monitoring capabilityOn-hand stock, supply, demand and a calculated future stock per time bucket with min/max limits for monitoring Cross-plant, cross business partner views on supply and demand including aggregation capabilities SAP 2007-2008 / Page 15

Main Features: Supplier Collaboration with SAP SNC: Collaboration methodsSUPPLIERS & CONTRACT MFGSLow Volume Mid Volume Web & File Up/Down Loads Web Browser Only

CUSTOMERWeb Web Browser Browser

SNCSAP NetWeaver

Up/Down Up/Down Load Files Load Files

SAP XI

Backend Systems

High Volume B2B Integrated

Backend Backend System System

Browser XML File Up/Down Load

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

Architecture SNC 7.0SAP SNC as Add-on SNC ServerSAP SNC 7.0 SAP SCM Basis 7.0 SAP NW 7.01

SAP SNC as part of SCM SCM ServerSAP SCM 7.0 Server SCM, EWM, SNC, EMliveCache

SAP SCM Basis 7.0 SAP NW 7.01

Application / Database Server

RDBMS

Application / Database Server

RDBMS

Advantages Less support package implication smaller system and hardware requirements Separation SNC vs. SCM-Planning for a DMZ Risks No supported upgrade path to a full SCM server No full functionality

Advantages It is possible to use other SCM components on the instance Mandatory for some functionalities (i.e. extended planning features) Supported Upgrade from a existing SAP ICH/SNC 5.0 / 4.1

Architecture SNC 7.0

Example: SAP SNC as stand alone SNC for a Supplier Collaboration

SNC Server

ERP Server

Supplier(Webinterface)

SAP SNC 7.0 SAP SCM Basis 7.0 SAP NW 7.01

SAP ERP 6.0

Master data

SAP NW 7.01

Transactional dataSAP NW 7.01 usage type PI

Supplier

Landscape example SNC 7.0

Frontend

SAPGui 7.1 NW Business Client V1.0

Web Browser MS IE, Firefox

MS XP Prof.

MS Vista 32/64

MS Server 2003

SCM Server Windows AIX HP-UX Solaris Linux SuseSAP SCM 7.0 SCM Server

liveCache

Windows AIX HP-UX Solaris Linux Suse

SAP NW 7.01

MS SQLRDBMS

Application / Database Server

DB2 Oracle Max DB

SAP SNC is available for many platforms** For details please refer to the product availability matrix

The availability is limited from the NW platform

Integration Aspects: SAP SNCSNC SUPPLIER COLLABORATIONTransactional Data

ERPCIFMaster Data Transactional Data

SNC CUSTOMER COLLABORATION

Transactional Data

APO - CMDS

PI

PIInternal

APO - DP APO - Dplymt

EMInternal/RFC Internal

SNC cFoldersVia ERP SO UI Internal

APO - gATP APO Alloc.

BW

Extractor Internal/RFC UI

EMExtractor

EP

BW

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

Market Trends and Opportunities SAP SNC

Collaboration and the emergence of the network of business partners are becoming competitive advantages for most companiesKey Trends Our customers tend to focus on core capabilities, like design and marketing, and outsource things like manufacturing, distribution and warehousing Both small, medium and large enterprises are becoming increasingly global, managing both supplier and customer relationship across continents Impact On Business/ Technology Agenda Collaboration becomes keyIncreased need for collaboration with partners Synchronization and data sharing more intense Partner on/off boarding Increased need for real-time and accurate communication of data Technology and standards ever increasing

1

Outsourcing of non-core activities is an ever increasing trend... Globalization is ever increasing, both on the sales of finished goods and sourcing of raw materials... Competition is driving product life cycles to become shorter and shorter...

2

Operate in a 360 global world

3

Innovation and coming up with new products faster, is a clear trend in most manufacturing industries

Product Innovation Becomes key

Shorter life cycles drive the need for better collaboration with partners involved in the process

Impact of Shifting Emphasis Toward Network of Business PartnersConnecting business partners faster, easier and cheaper is a growth industry Software and technology providers have to offer a menu of ways to connect business partners Connectivity and on-boarding methods will likely become standardized over time SAP 2007 / Page 23

Main Features: Example: $2 Billion IM&C Company (from VE study)Reduced manual labor for supplier communication Reduced errors in supplier communication Reduced call volume from suppliers about PO, GR, etc. Quicker communication with suppliers Enabling proactive exception-based management via alerts Reduced inventory levels Reduced expediting Reduced planning efforts via an SMI process$0.9 million (annual) $1.5 million (annual)

Total Savings: $2.5 million one-time savings $2.4 million annual savings$2.5 million (one-time)

SAP SNC (ICH) Reference CustomersCustomer Snapshot:400 + Global Customers 200 + Active Customers Appr.75 Live Customers Appr.25 Reference Customers

SAP SNC Supply Network Collaboration

1. 2. 3. 4. 5. 6.

SAP SNC Fundamentals Customer Collaboration Supplier Collaboration & Contract Manufacturing SAP SNC 7.0 Architecture & Integration SAP SNC Customer & Market situation SAP SNC Roadmap

Roadmap: Functional Growth SAP SNCOutsourced Mfg & Usability Focus

Enhanced Customer Collaboration & Outsourced Mfg

Initial Outsourced Mfg Capabilities Addition of Customer Collaboration

SAP SNC 7.0

SAP SNC 5.1 SAP ICH 5.0

Initial SupplierSide Capabilities

SAP ICH 4.1

SAP ICH 4.02003 2004 2005 2007 2008

Roadmap: SAP SNC (1)SAP SNC 5.1Supplier Collaboration: Work Order Collaboration for Contract Mfg Milestone Tracking & Component Consumption Supply, Demand & Inv Monitoring for Contract Mfg Multiple Business Partner Visibility Invoice and Credit Memo PO Process User Productivity Work List SMI Process Replenishment Automation & Algorithms Customer Collaboration: Min/Max Replenishment ATP, gATP Checks Demand Collaboration Configurable Process Flows

SAP ICH 5.0Supplier Collaboration: Supply, Demand & Inv. Visibility at Contract Mfg. Subcontract POs w/ comp. SAP ICH 4.1 Kanban Replenishment Supplier Collaboration: PO Process Improvements Basic Purchase Order Process SMI Process For Multiple Suppliers Forecast Visibility Collaboration Delivery Control Monitor Reorder Point SMI Process enhanced w/ PO Customer Collaboration: ASN Enhancements (Packing) Responsive Replenishment Enhancements for SAP AFS Release Process Comparison

SAP ICH 4.0Supplier Collaboration:

Supplier-side Collaboration BW Reporting KPIs Processes: Customer Collaboration: SMI Responsive Replenishment Release Process Process New VMI Solution ASN Maintenance Alert Monitor2003 2004 2005 2007

Roadmap: SAP SNC (2)SAP SNC 7.0 Supplier Collaboration: Manufacturer Part Number Extension

File Transfer functionality PO Enhancements Supplier Self-Service User Management & Activity Monitoring Quick View In-Context Dashboard w/ Business KPIs and Drill-Down User Roles by Business Process, incl. Role-Based Menus Displaying of Product Configuration data and Batch Classification data SOA Enablement - Continued Improved Integration with ERP to come with ECC 6.0 (various EHPs) Various Incremental Process Enhancements

2008

Roadmap: SAP SNC (3)SAP SNC 7.0 Outsourced Manufacturing: New stock categories in SAP SNI and new SNI Inventory Overview screen SAP ERP and SAP SNC Integration Enhancements in Outsourced Manufacturing External Processing with WO Batch tracebility in SAP SNC Introduction of Work Order Worklist in SAP SNC

Customer Collaboration:

Decision Support Enhancement of RR Overview Monitor, added key figures

Additional Mass Maintenance of Location Products Added Additional Rounding Logic for Replenishment Orders and TLB Added selection criteria, safety stock calculations and improved promotion handling

2008

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