Leveraging the power of SAP POD for High-Tech/Software companies. Arun Trivedi, PwC
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1 Leveraging the power of SAP POD for High-Tech/Software companies Arun Trivedi, PwC
2 LEARNING POINTS Reduce audit/compliance risk by using out of the box SAP POD (Proof of Delivery) functionality Increase ROI on existing SAP investment - Simple to implement yet powerful tool to record proof of fulfillment before initiating customer communications or downstream processing Increase cash flow, customer satisfaction and operational efficiency with SAP POD with minimal disruption to business
3 AGENDA Context The Show me the proof Dilemma Solving the puzzle Benefits of SAP POD (Proof of Delivery) Changes to SAP Application System Demo Contacts
4 CONTEXT Software/High tech companies with a broad product portfolio across software, hardware and services struggle to ensure the delivery/fulfillment is complete before downstream processes (such as revenue recognition or invoicing) can be initiated. The SAP POD (Proof of Delivery) is an out of the box functionality mostly applied by core manufacturing / shipping companies. This presentation presents how software/high tech companies can leverage the same functionality. The SAP POD functionality ensures that the fulfillment is indeed complete before downstream processes (revenue recognition, invoicing) are triggered. At the same time, this can also become the trigger to initiate confirmations to customers about product fulfillment/activations. The functionality is simple to implement yet powerful and provides peace of mind to IT, supply chain and finance functions. The presentation will educate participants on where POD fits in the overall business process, the business benefits and what changes in their existing SAP system.
5 THE SHOW ME THE PROOF DILEMMA Audit Risk Automation Governance Complexity Confirmation Compliance
6 SOLVING THE PUZZLE Lead & Opportunities Quotes & Contracts Order Fulfillment Billing & Revenue Recognition Collection
7 SOLVING THE PUZZLE Lead & Opportunities Quotes & Contracts Order Fulfillment Billing & Revenue Recognition Collection Fulfillment W/H (Co owned) Provisioning System 1 Order Provisioning System 2 Proof of Delivery (POD) Billing & Rev Rec Collection Fulfillment W/H (Vendor managed) 3 rd Party Hosting
8 BENEFITS OF SAP POD Increased cash flow by reducing errors in invoicing, reduce billing disputes Increased operational efficiency by reduction of manual transactions and human errors Reduced risk to compliance/audit requirements the proof of fulfillment resides in the ERP system Improve customer satisfaction by good finance processes Significant business benefits for IT, Supply Chain, Finance and overall enterprise by providing increased visibility of proof of fulfillment Out of the box functionality low to less disruptive to business processes Increased ROI on existing SAP investment
9 CHANGES TO SAP APPLICATION SAP POD is out of the box functionality Implementation is low to medium Business and IT disruption Change impact: Customer master updates & configurations related to Delivery processing An additional transaction for SCM groups training requirements Training requirements for Invoicing teams Need to build automated interfaces between ECC and fulfillment systems or 3 rd party systems for automation (outbound for configuration and license key/serial number & inbound for confirmation) Changes to Invoice process invoicing only possible once the POD is confirmed
10 SYSTEM DEMO
11 KEY LEARNINGS SAP POD (proof of delivery) is a simple yet powerful to use functionality that ensures proof of delivery is recorded for every line item before proceeding to next steps Implementation causes low to medium disruption to Business and IT
12 COPYRIGHT 2013 PricewaterhouseCoopers LLP, a Delaware limited liability partnership. All rights reserved. PwC refers to the United States member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see for further details. This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors.
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14 THANK YOU FOR PARTICIPATING Please provide feedback on this session by completing a short survey via the event mobile application. SESSION CODE: 0205 For ongoing education on this area of focus, visit
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