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The Salling Group eCommerce Story A 2 year plan? How about doing it in 6 months? Westernacher Solution Architect Salling Group CIO Tom Rune Bjørnstad Alan Jensen SBN Conference 29/10/2020
The Salling Group eCommerce Story
A 2 year plan? How about doing it in 6 months?Westernacher Solution Architect
Salling Group CIO
Tom Rune Bjørnstad
Alan Jensen
SBN Conference 29/10/2020
Salling GroupA brief Introduction
We are Denmark’s largest retailer with a strong portfolio of both brick & mortar and online formats
Brick & mortar Online business Convenience
RestaurantsOnline groceries
& meal boxes
Digital
services
Non-food
E-commerce
Department
& toys stores
Discount, super-
& hypermarkets
3
In Denmark we operate more than 600 physical stores across the Bilka, føtex and Netto chains
4
Format
DNA
Sales area
(sqm)
# Stores
Type DiscounterSupermarketHypermarket
102 stores 19 stores +500 stores
Netto offers customers high-quality
everyday products at low prices
Bilka wants to be the preferred shopping
universe – in hypermarkets and online
føtex is known for its broad range and
high quality
BRICK & MORTAR
Market
position
Largest discount format in Denmark
with strong position in CPH
Only hypermarket and in competition with
both food, non-food, and online players
Leading supermarket chain with
competitive advantage on prices
5.000 15.60010.200
Min MaxAvg.
200 4.2002.200
Min MaxAvg.
200 1650680
Min MaxAvg.
Netto operates internationally with more than 1200 discount stores in three markets
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COUNTRY NO. OF STORES MARKET POSITION
Market leader in a very mature
market with high store density +500 stores in all
parts of Denmark
Across all markets our Netto stores build on the same format DNA and concept principles
Strong regional player in a
mature and competitive market
Growing player in a high
growth discount market
+340 stores in
North-East Germany
+380 stores in
West-Central Poland
Since 1981
Since 1995
Since 1990
BRICK & MORTAR
6< >© 2020 Westernacher Consulting GmbH
How Salling IT delivers on strategic business shifts driven by market disruption
Deliver Innovation and Value Fast, ….very Fast!
Home Delivery is on our
strategic roadmap in the
coming 2 years…
January 2020
Customer Home
Home delivery
Please get this up and
running on SAP in
6 months!...
April 2020
Customer Home
Home delivery
7< >© 2020 Westernacher Consulting GmbH
In six months?!? Covering EWM, TM, EM, Driver App, integrated with ECC and Web?
Please set up SAP Supply Chain Execution for eCommerce Groceries
We started from a pre-developed and practice proven SAP based supply chain execution solution
with some add-ons and specific templates for eCommerce Groceries and adjusted this to our needs.
SAP EWMSAP
ECCSAP TM
Westernacher Driver App
SAP EM
Customer
Home
Transportation
Execution
Replenishment Dark Store
Inbound
Web Shop
Integration
Dark Store
Outbound
Order
Management
Transportation
Planning
Customer
Proof of Delivery,
Track & Trace
Picking
8< >© 2020 Westernacher Consulting GmbH
In six months?!? Covering EWM, TM, EM, Driver App, integrated with ECC and Web?
The main functionalities needed to support the end to end process are:
Order
Management
Warehouse
Operations
Transportation
planning Home Delivery Integration
Customer
Home
Transportation
Execution
Replenishment Dark Store
Inbound
Web Shop
Integration
Dark Store
Outbound
Order
Management
Transportation
Planning
Customer
Proof of Delivery,
Track & Trace
Picking
9< >© 2020 Westernacher Consulting GmbH
eCommerce Main Functions of our SAP Supply Chain Execution
Salling Group
Order
Management
Warehouse
Operations
Transportation
planning
Home Delivery
Integration
• SAP ERP Integration Deliver-based Transportation
Requirement (SD- / Customer Order)
• Web order received in EWM as Direct Outbound Delivery from WEB front end
• High flexibility in handling order changes from the customer
• Delivery is replicated to SAP TM having
• requested delivery dates
• line item information
• ship-from / ship-to location
10< >© 2020 Westernacher Consulting GmbH
eCommerce Main Functions of our SAP Supply Chain Execution
Salling Group
Order
Management
Warehouse
Operations
Transportation
planning
Home Delivery
Integration
• Delivery documents created from WEB front end as delivery
demands
• Wave Creation from Transportation Unit (TU)
• Custom built RF dialogs for flexible Putaway Process
• Pick by Voice
• Customer grouping for optimized pick paths
• Order-based replenishment with prioritization logic to fulfill peak
hour demand
• Shipping Cockpit used for Planning and Execution:
• Staging Area Planning and Wave Creation
• Door Assignment
• Status Monitoring
11< >© 2020 Westernacher Consulting GmbH
eCommerce Main Functions of our SAP Supply Chain Execution
Salling Group
Order
Management
Warehouse
Operations
Transportation
planning
Home Delivery
Integration
• Manual & automated planning
• Transportation Optimization (Vehicle Scheduling and Routing)
• GIS-services are used to calculate distance and duration
• Customer time slot is used by planning (relevant dates selected)
• After transport planning TM will send to EWM:
▪ Send Load Appointment as Transport Unit to EWM
(i.e. Load Sequence, Leave Yard Time)
• Delivery Time Slots
• Delivery time slots and capacity is shared from TM to Web front end
12< >© 2020 Westernacher Consulting GmbH
eCommerce Main Functions of our SAP Supply Chain Execution
Salling Group
Order
Management
Warehouse
Operations
Transportation
planning
Home Delivery
Integration
• SAP Event Management and Fiori-based Driver App used
for Home Delivery execution
• Driver App:
• Driver communication & management
• Real-time navigation
• Milestone updates
• Fast and secure system-guided unloading
• Exception management
• SAP Event Management:
• Enhanced POD interface to update to back-end systems, reporting actuals
delivered
• Push notifications to customer through SMS gateway service
13< >© 2020 Westernacher Consulting GmbH
eCommerce Main Functions of our SAP Supply Chain Execution
Salling Group
Order
Management
Warehouse
Operations
Transportation
planning
Home Delivery
Integration
• Standard integration used across the SAP systems.
Some custom integration with WEB front end from EWM and TM.
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Thank youAlan Jensen
CIO
Tom Rune
Bjørnstad
SAP Solution Architect
+47 984 52 981
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