Business Process Management in Retail

Transcription

1 Business Process Management in Retail Dieter Becker Business Development Field Services Trade Hub - Global Dr. Dieter Scheerer Industry Solution Management Trading Industries SAP AG January, 13 th 2011

2 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 3. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 2

3 Challenge - Innovating in Complex Business Networks Critical Component Raw Material Vendors Sourcing Agent Factory/ Sourcing ecommerce Retail Company 3PL Freight Consolidator Consumer Products Retail Store Consumers 3PL/4PL Domestic Shipping Distribution Center Distribution Center Brand Wholesalers Consumer Direct Retail Customers SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 3

4 When to use SAP NetWeaver BPM? To extend and complement best practices We need to adjust this process! We can either buy standard or build custom software IT Business Standard software Custom software SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 4

5 Business Process Layer Made Simple Consider the following process steps regarding typical retailing activities: Order Receive Pay Order Receive Pay Services Order Receive Pay Auction Order Pay Receive Classic Retailing Receive Pay Catalogue Retailing Pay Receive Present Receive Reusable business processes steps allow the same 3 steps, assembled differently to support 5 different business models SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 5

6 Business Suite and SAP NetWeaver BPM Leverage Industry Best Practices And Define Your Own SAP NetWeaver BPM (delivered with SAP NetWeaver CE) Create own practices with SAP NetWeaver BPM Examples People-centric processes Paper and approval-intensive processes Processes spanning across multiple systems Processes interacting with external parties SOA-enabled SAP Business Suite SAP NetWeaver Enhancement Packages 3 rd party Leverage best practices with service-enabled SAP Business Suite SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 6

7 SAP NetWeaver Business Process Management Embedded in SAP NetWeaver Composition Environment SAP NetWeaver Business Process Management Process Composer Process Desk Process Server SAP / Page SAP NetWeaver 7 Business Process Management in Retail, Page 7 Comprehensive process management Unifying human and system automation processing steps Business Process is more than just service orchestration Composition of event-driven processes Seamless combination of service, event and human task Enterprise services consumption Tightly integrated with SAP NetWeaver Business Rules Management Benefits of an integrated composition environment Model-driven development Integrated toolset Out-of-the-box ESR integration Lifecycle management

8 SAP Business Suite Service Enablement Exposed as Enterprise Services Duet Mobile Forms Widgets Portal Voice RSS Embedded Project Muse Dashboard RFID SAP GUI SAP ERP SAP CRM SAP SRM Business Process Management Composite Applications Business object BO BO SAP NetWeaver Home Grown/ ISV SAP Demand Managem. SAP ERP Biz partner SAP MAP SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 8

9 Retail Relevant Service Enablement: 1340 Enterprise Services Because of multiple assignments of an Enterprise Service, totals per Business Scenario Group can be smaller than the sum of the Scenario Group level. Same is true for the overall total SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 9

10 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 4. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 10

11 Inefficient replenishment demands planning Is costly and time-consuming How much Ketchup should I order? Boston sales outlet Store Manager Retail Headquarters Chicago HQ Buyer New York sales outlet Store Manager Inefficient Process Miami sales outlet Store Manager SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 11

12 Determining replenishment demands Sample process description Process Supervisor Initiates necessary corrective actions Boston sales outlet Store Manager Adjusts suggested replenishment quantities Process Start Chicago HQ Buyer New York sales outlet Store Manager Chicago HQ Buyer Process End Estimates sales outlet demand & verifies with store managers Adjusts suggested replenishment quantities Finalizes orders: optimizes quantities & triggers logistic execution Miami sales outlet Store Manager Adjusts suggested replenishment quantities Timer automatically tracks task deadlines & sends reminders SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 12

13 Determining replenishment demands Business Process Model SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 13

14 Determining replenishment demands No need to re-invent, simply extend! Sales Outlets SAP NetWeaver BPM (process extension) Boston sales outlet Store Manager New York sales outlet Store Manager Adjust suggested replenishment quantities Miami sales outlet Store Manager Estimates sales outlet demand & verifies with store managers Finalizes orders: optimizes quantities & triggers logistic execution Chicago HQ Buyer SAP for Retail (standard core process) Retail Headquarters SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 14

15 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 3. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 15

16 Inefficient handling of claims Resulting in dissatisfied customers What is the status of my broken TV? Boston sales outlet Store Manager Customer Inefficient Process Logistics service provider Manufacturer SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 16

17 Streamlining handling of claims Sample process description Customer Sales Outlet Logistics service provider Manufacturer Process Start Makes claim (via store) Verifies claim (receipt, initial product check) Agrees to maximum potential cost for repair Confirms pick-up of returned product Confirms receipt of product Creates claim Repairs, replaces or refunds product Process End Receives repaired/replaced product or refund Forwards product to manufacturer Confirms pick-up of repaired/replaced product! All process participants can check the status of the claim at any time SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 17

18 Streamlining handling of claims No need to re-invent, simply re-use! SAP NetWeaver BPM (process extension) Process controlled by the Sales Outlet Customer Sales Outlet Logistics service provider Manufacturer Logistics service provider Customer Makes claim via store Creates claim and forwards to manufacturer Confirms pick-up of returned product Repairs/replaces or refunds product Confirms pick-up of repaired/replaced product Receives repaired/replaced product or refund Get Sales Order Get Supplier Create Quality Notif. Read Claim Status Get Customer Update Quality Notif. Retailer SAP CRM & SAP for Retail (re-use standard core functionality) SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 18

19 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 3. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 19

20 Inaccurate product master data Is a major issue for Retailers and Suppliers Do you want to stock our new Drill? Supplier Account Manager Please update your master data records for our Ketchup! Supplier Account Manager Retailer Category Manager Retailer Retailer Master Data Team Member Do you want to stock our new Mobile? Inefficient Process Supplier Account Manager SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 20

21 Streamlining product master data maintenance No need to re-invent, seamlessly extend! SAP NetWeaver BPM (process extension controlled by the Retail Headquarters) Supplier Account Managers Retailer Category Manager Retailer Master Data Team Member Select and transmit products to offer to the retailer Select and approve products for assortment Augment product master data Read and send product master data Create and enrich product master data Update product master data Update product master data SAP for Consumer Products (standard core process) SAP for Retail (standard core process) Supplier Retail Headquarters SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 21

22 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 3. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 22

23 Real-World Scenarios From SAP Customers EDEKA Minden Proactive and event based analytics of potential upcoming problems in the supply chain. Role based reporting and follow ups. Large German Online and Mail Order Retailer Cross company interaction for new product introduction and vendor related master data maintenance. Large World Wide Shoe Retailer Interactive Article Lifecycle Process across SAP and non-sap solutions. Large European Grocery Cooperative Article Request and Maintenance Process across various company entities. SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 23

24 Agenda 1. Why take a BPM approach in retail? 2. Sample of collaborative retail processes where BPM can be applied 2.1 Determining replenishment demands by retailers & sales outlets 2.2 Handling of claims by sales outlets & manufacturers 2.3 Collaborative product master data maintenance by suppliers & retailers 2.4 Real-world scenarios from SAP customers 3. Summary SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 24

25 Your process looks slightly different? Simply adjust the process according to your needs With SAP NetWeaver BPM you can But our process is a little bit different! change the process model Line of Business user I would like to use a different UI? create and assign new UIs End user What if we need to change a business rule? allow business users to take control of rules Process owner How does it integrate with our other solutions integrate applications via web services Process expert SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 25

26 Thank you! SAP 2009 / Page 26 Dr. Dieter Scheerer Solution Management ISM Trading Industries dieter.scheerer@sap.com Dieter Becker Business Development Manager Field Services Trade Hub - Global dieter.becker@sap.com SAP 2011 / SAP NetWeaver Business Process Management in Retail, Page 26

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