What Is SAP SCM?
According to CIO.com, Supply Chain Management (SCM) is defined the combination of art and science that goes into improving the way a company finds the raw components it needs to make a product or service and deliver it to customers. The following components of SAP SCM are designed to support supply chain processes throughout a company and its supply chain network.
SAP Advanced Planning and Optimization (SAP APO)
SAP APO is comprised of a slate of functions that provides the foundation for an end-to-end supply chain management solution, and supports the planning and execution of the supply chain process. The categories include: Demand Planning, Supply Network Planning, Multi-level Supply and Demand Matching, Production Planning and Detailed Scheduling, Transportation Management, and Global Available-to-Promise.
SAP Forecasting and Replenishment (SAP F&R)
To be successful, retailers must have an accurate way to forecast the ebb and flow of customer service levels and understand the rate at which they need to replenish merchandise. SAP F&R optimizes the internal logistics of retail companies by improving the replenishment processes.
SAP Event Management (SAP EM)
In today’s business climate, a company must be able to track the movement of goods and query the process status of the movement of goods in real time. SAP EM enables the coordination and planning of activities within the business, and with partners, by exchanging information across systems.
Supply Network Collaboration (SNC) – formerly SAP ICH
When a company has a consistent, 360 degree view of its supply information – to manufacturers, suppliers and customers – a healthy supply chain is in place. SAP SNC optimizes collaboration with suppliers and customers by providing a common platform for the efficient controlling and monitoring of the replenishment process for products.
SAP Extended Warehouse Management (SAP EWM)
Infallible supply chain execution becomes possible when high-performing warehouse operations are linked to overall supply chain strategy and coordination. SAP EWM offers flexible, automated support for processing the various movements of goods and for managing stocks in a warehouse complex. The system supports the scheduled and efficient processing of all logistics processes within a warehouse.
Building A Competitive Edge With SAP SCM
In today’s economic climate, organizations are under enormous pressure to reduce costs while improving customer service and responsiveness. When a company decides to use SAP Supply Chain Management (SAP SCM), it makes a decision to enable collaboration, planning, execution, and coordination of its entire supply network. The result is an adaptable supply chain, in which processes have been engineered to thrive in an ever-changing competitive environment.
SAP SCM is part of the SAP Business Suite, which gives organizations the ability to perform essential business processes with modular software that is designed to work with both SAP and non-SAP software. Organizations, and even departments, in any industry can deploy SAP Business Suite to address specific business challenges on their own timelines and without costly upgrades.
SAP SCM can help transform a linear supply chain into an intelligent, real-time supply network – in which communities of customer-centric, demand-driven companies share knowledge, adapt to changing market conditions, and proactively respond to shorter, less predictable life cycles. SAP SCM provides extensive functionality that allows for responsive supply networks and integrates seamlessly with both SAP and non-SAP software. The application:
• Delivers planning and execution functions that are integrated by design
• Supports best practices and provides preconfigured software for enabling collaborative business, accelerating implementation, and reducing costs
• Is recognized by key industry analysts as the market-leading SCM application