SAP

1. SCM Software:
SAP
Moses, Ali, John

2. AGENDA
- Introduction
- Modules
- SAP SCP
- Cloud Computing
- Target Market
- Competitive Advantage
- Market Analysis
- The FUTURE of SCM
- Questions

3. SCM Software Solutions
 The Essence of SCM Software in Supply Chain
Operations
 Maintain Low Production Costs
 Quickly Adapt to Customer needs
 Make end-to-end chain of supply economical
- Business Software Solutions (2015)

4. SAP
 SAP has actually stood for two separate things.
 The original acronym at the company's founding was
"System Analysis and Program Development,“
 Which was later changed to “Systems,
Applications and Products.”
by Mark Aspillera – June 3, 2013

5. SAP at a glance: Company information
 SAP is the world leader in enterprise applications in terms of software and software-related service revenue.
 Based on market capitalization, we are the world’s third largest independent software manufacturer.
 Headquarters: Walldorf, Germany
 Founded: April 1, 1972
 More than 282,000 customers in 190 countries
 74,406 employees worldwide – and locations in more than 130 countries (12/31/2014)
 120 nationalities worldwide
 nearly 80 nationalities at headquarters
 A 42-year history of innovation and growth as a true industry leader
 Annual revenue (IFRS) of € 17.56 billion
 Listed under the symbol "SAP" on stock exchanges, including the Frankfurt Exchange and NYSE

6. Key SCM Features in SAP
- Supply Chain Planning
- SaaS Solution (Cloud Computing)
- On Premise Solution
- Inventory Management
- Order and Billing Management
- Logistics and Transportation
- Warehouse Management
- Real Time Supply Chain Visibility
- Supplier Collaboration

7. Modules in SAP

8. CO Controlling
SD Sales and
Distribution
MM Material
Management
Production
Planning
QM Quality
Management
PS Project
Systems
PM Plant
Maintenance
HR Human
Resources
Financial Accounting
Product Costing
Sales order
Processing and
Monitoring Purchasing
Production
Planning
Incoming
Inspection
Project
Planning
Maintenance
Planning
Organizational
Management General Ledgers
Periodic Allocations Shipping
Inventory
Management
Production
Order
Processing
Process
Inspection
Project
Monitoring
Breakdown
Maintenance
Personnel
Administration Accounts Payable
Profitability Analysis Bill/Invoice Generation
Inventory
Valuation
Demand
Management
Final / Delivery
Inspection Project Costing
Preventive
Maintenance fdsa Accounts Receivable
Cost Center Accounting Credit Management
Vendor Evaluation
and Rating
Materials
Requirement
Planning
Quality Reports /
Certificates
Milestone
Based Billing
Predictive
Planning
Manamgement
Personnel Cost
Bank and Cash
Management
Profit Center
Accounting Bill of Material
Invoice
Varification
Shop Floor
Control
Quality
Notifications
Handling of
WBS Elements
Planning
Budgets
Budgeting and
Monitoring
Pricing and Discounts
Statutory
Requirements
Capacity
Requirements
Planning
Payroll Benefits
Compensation Withholding Tax
Statutory
Requirements
Information
System
Management
Personnel Asset Accounting
Development
Training and
Event
Management Funds Management
Travel
Management Treasury Management
SAP R/3 Major Modules
Source : Developed by Group 1 Members, SCM, Spring Semester 2015

9. SCM Modules
Source : Wang, W. (2012). Supply chain management systems benefits: the expectation-confirmation theory perspective.

10. Supply Chain Planning
With SAP SCM, Organizations can model their existing supply chain structures and
set goals.
Wang, W. (2012). Supply chain management systems benefits: the expectation-confirmation theory perspective.

11. Supply Chain Planning
SCP includes seven key functional capabilities that are
able to support and integrate processes of:
- Sales and operations planning (S&OP)
- Demand planning
- Inventory planning
- Replenishment planning
- Order processing
- Production planning
- Manufacturing scheduling

12. SCM CLOUD COMPUTING
Why ?
REASONS :
 Reduction of costs
 Universal access
 Continuous Up to date software
 Flexibility in the choice of applications.
Yes SAP uses cloud computing….

13. TARGET MARKET
SAP target Market includes :
- Oil and Gas
- Manufacturing
- Pharmaceutical
- Mining
- Wholesale and Distribution
- Retail
- Entertainment e.g Sports

14. Sizes of Industries
 Small Scale companies
 Medium Scale companies
 Large Corporations
 Transnational

15. Competitive Advantage
* Out of 20 major SCM software, only four other
companies offer SCM, WMS, MES/WMP and TMS.

16. Market Competition
http://www.mmh.com/article/top_20_supply_chain_management_software_suppliers_2014

17. http://www.forbes.com/sites/greatspeculations/2014/09/18/sap-cloud-sales-should-benefit-from-growing-saas-erp-and-scm-offerings/

18. Opportunities through Cloud Computing offering and
Business Analytics
• Major acquisition, Interms of Business analytics and Cloud computing
• Ariba and Fieldglass
• Ariba is a cloud-based procurement company that helps
businesses cut costs and grow sales through better collaboration
with trading partners
• Fieldglass is a vendor management
system operator that provides temporary workforce requirements to
businesses.
http://www.forbes.com/sites/greatspeculations/2014/09/18/sap-cloud-sales-should-benefit-from-growing-saas-erp-and-scm-offerings/

19. http://clearwaterinternational.com/wp-content/uploads/2014/07/Global-SCM-Software-Market-Report.pdf

20. SWOT
Strength
Internal External
Strength :
• The bundled offering combines CRM, ERP,
HCM, PLM and SCM software packages in the
Business Suite and provides businesses with
an all-in-one package to capture and analyze
data points from various departments
powered by the in-memory HANA platform.
• Bundled Offerings Boost Customer Adoption
• Customer Services and Powerful APO engine
for Supply chain planning.
• SAP reported having more than 1,200
customers on Business Suite powered by SAP
HANA with large customer wins such as eBay,
Siemens, Bosch, Carlsberg and Giorgio
Armani.
Opportunities:
• Cloud computing would allow SAP to
break into the small scale markets in the
nearest future
• Lots of professional users
Weakness:
• Each customer has a much larger and complex
IT footprint than a suite of products tailored
to a specific industry
• Without the ERP solution, SAP SCM becomes
a less likely candidate
Threats :
• Uncertainties regarding SAP HANA adoption.
http://www.forbes.com/sites/greatspeculations/2014/07/15/sap-q214-preview-cloud-revenues-and-operating-margins-in-focus/

21. FUTURE
 This new strategy, centered on supporting more global,
complex and volatile supply chains, merges cloud, in-
memory computing, mobile, scale, speed, multi-
enterprise networks, and new integrated planning and
execution paradigms

22. REFERENCES
 Business Software . (2015, January). SCM Software Solutions . Retrieved March 5, 2015, from Business Software: http://www.business-
software.com/search/?q=SAP
 Business Software Solutions . (2015, January). What does SAP Mean? Retrieved March 5, 2015, from Business Software:
http://www.business-software.com/question/what-does-sap-mean/
 Clearwater International. (2014, December). Global Supply Chain Management Software report. Retrieved March 3, 2015, from Clearwater
International report: http://clearwaterinternational.com/wp-content/uploads/2014/07/Global-SCM-Software-Market-Report.pdf
 E-Science City. (2014, March). Why Use Cloud? Retrieved March 7, 2015, from Cloud Lounge: http://www.cloud-lounge.org/why-use-
clouds.html
 Forbes Inc. (2014, September 8). SAP Cloud Sales Should Benefit From Growing SaaS ERP And SCM Offerings.
Retrieved March 9, 2015, from Forbes: Investing: http://www.forbes.com/sites/greatspeculations/2014/09/18/sap-cloud-sales-
should-benefit-from-growing-saas-erp-and-scm-offerings/
 Gartner Incorporated. (2015, January). SAP's New SCM Strategy Puts Hana in the Spotlight. Retrieved March 2, 2015, from Gartner:
https://www.gartner.com/doc/2701717/saps-new-scm-strategy-puts
 Good Logo Inc. (2011, October). SAP. Retrieved March 9, 2015, from Good Logo: http://goodlogo.com/extended.info/sap-logo-2789
 Kumar, A. (2014). About SAP Modules. Retrieved March 4, 2015, from SAP Online Tutorials : http://www.saponlinetutorials.com/about-sap-
modules-sap-modules-list-overview/
 Payne, T. (2014). What is Demand Driven. In G. Reports, My Purchasing Centre (p. March). Chicago,
http://www.mypurchasingcenter.com/files/1214/0312/0554/newlevelsofprecisionvisibility_11459667.pdf: Blue Ridge.
 SAP. (2010). Our Compnay. Retrieved March 3, 2015, from SAP Corporate : http://www.sap.com/corporate-en/about/our-
company/index.html
 Wang, W. (2012). Supply chain management systems benefits. In W. Wang, The expectation-confirmation theory perspective.

23. QUESTIONS ?

24. THANK YOU