SAP-based supply chain management

The changeover to SAP S/4HANA is mandatory, but not a sure-fire success. The decision whether to take the greenfield or brownfield approach is a fundamental strategic question with enormous financial, structural and personnel implications.

It is also linked to the anxious question of whether the right decision has been made and when the first successes will become apparent. Should there be no "low hanging fruits"? Are "quick wins" out of the question?

We at GIB have been dealing with this question for a long time and can answer you today: Yes, they do!

The biggest benefit is transparency, we simply make the operational processes much more transparent and thus know what the result is behind the core processes.

This makes much more sense than simply running a process without knowing what the result is or should be.

The data? It comes directly from the SAP Core! So you ALWAYS work with the correct, up-to-date database and this applies to every process step, every department, at any (real) time.

Long-standing GIB customers are aware of the advantages and have long been convinced that a switch to SAP S/4HANA absolutely has to be made with the GIB intralogistics solution. 

Is there also something new? An incentive that brings quick benefits in the SAP S/4HANA system? That too!

Five striking logistics indicators show the quality of your supply chain in the areas of Demand Planning, Inventory Management, Procurement, Manufacturingand Sales & Distribution.

These "indicators" are based on a sophisticated system of key figures that are fed exclusively from the SAP Data Core.

For example, the overall equipment effectiveness (OEE), production backlogs or material availability are used to evaluate the supply chain process quality.

All the necessary figures, data and facts for evaluating the process sections can be found in your SAP Core.

These process indicators are condensed into an SCX indicator, which, like all other parameters, reflects the quality of your supply chain in percentage.

Now not only the internal areas can measure themselves against each other, but the logic also works across plants or companies.

Whether in series production, process manufacturing, automotive, special machine construction or trade the underlying KPIs are always the same. So sales planners, production planners or inventory and demand planners quickly get talking about a small index.

So the quick and yet sustainable benefit exists in the SAP S/4 conversion.

The SCX indicator shows at a glance whether your supply chain functions across all process stages of your intralogistics.

The second level illuminates the sub-steps and shows simply and clearly which planning phase optimisation potential is hidden.

In the third level, sophisticated key figures allow conclusions to be drawn about the specific problem.

Examples are high capital commitment due to too large safety stocks, too much inventory due to poor batch sizes in production or faulty material requirements planning due to imprecise demand planning. In this way, you can make individual plants in the company comparable or measure yourself against other companies. Perhaps you will also ask at the next supply chain meeting: "What does our SCX indicator look like?"