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Plan-driven Procurement SAP Best Practices for Retail
Plan-driven Procurement
SAP Best Practices for Retail
© 2011 SAP AG. All rights reserved. 2
Purpose, Benefits, and Key Process Steps
Purpose With Operational Assortment Planning and Control (OAPC), articles and quantities will be
specified for ordering, both for delivery to the stores and put away quantities for the distribution center.
Benefits Permanent matching with the target values from the assortment plan The result of the whole planning process is the purchasing list
with articles to be ordered
Key Process Steps Determination of the product mix for the different store cluster Determination of the store allocation; initial buy, flow through, put away Quantity planning and prepack definition at color and sizes
(one or two) level
© 2011 SAP AG. All rights reserved. 3
Required SAP Applications and Company Roles
Required SAP Applications SAP SAP enhancement package 5 for SAP ERP 6.0
Company Roles Retail Seasonal Purchaser Retail Assortment Planner
© 2011 SAP AG. All rights reserved. 4
Process Flow DiagramPlan-driven Procurement
Re
tail
Se
aso
na
l Bu
yer
Release Report Execution
Synchronize between PO and allocation table
OAPC – Create Purchasing List
Release Purchasing List
item
Add new order list item
Create Grouped Purchase Order
Document
Allocation table listSubsequent Processing
Eve
nt
Generate the allocation table
(based on detailed assortment planning
Ungrouping an item in a grouped
purchase order document
Create Purchase Order Document
OTB-Monitoring OTB-ProcurementCreate Purchase
Order: positiv OTB-Check
Create Purchase Order: negativ OTB-Check
OTB-Procurement
Ret
ail
Mas
terd
ata
S
peci
alis
t
Special Release -Accepting
MAP
Display Master Data for Planned Articles for the
fashion process
Show Logistic Status
(Optional)
© 2011 SAP AG. All rights reserved. 5
Process Flow DiagramPlan-driven Procurement
OAPC
Ret
ail
Sea
sona
l B
uyer Display
TransportationTimes
Ret
ail
Ass
ortm
ent
EC
C
Pla
nner
Create a general assortment
Display Transportation
Chain
Create a layout module version and assigning a fixture
Assign articles to layout module
verison procedure
Assign assortment users to the
assortment (layout module)
Release the layout module version
Eve
nt Layout
Workbench Purchasing
© 2011 SAP AG. All rights reserved. 6
Overview
Scenario – Seasonal Procurement
This scenario is made up of several building blocks containing the preconfiguration required for the Seasonal Procurement scenario. Building blocks can help you to implement the solution and put into production quickly.
To illustrate the scenario presented in this overview document, the business view, the interaction view, and the component view, provide three different perspectives on the business scenario.
Business View
The business view shows the business partners participating in the Seasonal Procurement scenario, the entire scope of the business processes, and the benefits for the parties involved.
Component View
The component view shows the processes and technical components that are involved in the Seasonal Procurement scenario.
© 2011 SAP AG. All rights reserved. 7
Operational Assortment Planning and Control (OAPC)
Features (1/2)
Determination of the product mix for the different store cluster
Permanent matching with the target values from the assortment
plan
Determination of the store allocation
Initial Buy/Flow Through
Put away
Quantity planning and prepack definition at color and sizes (one or two) level
The result of the whole planning process is the purchasing list with articles to be ordered
© 2011 SAP AG. All rights reserved. 8
Operational Assortment Planning and Control (OAPC)
Features (2/2)
Target values are shown and aligned (e.g. sales volume)
Usage of planned articles (article shells), existing articles, pricat
Include colors, plan colors
Up to 3 characteristics can be used (e.g. size, length, width)
Usage of quota-scales
Scheduling
Rough calculation of prices
Transfer of planned data to the purchasing processes
Monitoring of the follow up processes
© 2011 SAP AG. All rights reserved. 9
Operational Assortment Planning and Control - Process
masterdata allocation Purchase order management
BW
planning of the articles that should be available in the stores
planning of article shells
planning of the quantities
quantity details at color/size level (prepacks)prepack-assignment
detailled planning of articles
Rep
orts
OAPC
targets from merchandise plan capacity planR
ep
ort
s
strategic assortment planning
pre-agedprocesses
ERP
© 2011 SAP AG. All rights reserved. 10
Seasonal Procurement
Features
Efficient and user-friendly workplace for a purchaser with a widespread work area
Integration with planning process
Fast data entry for further line items and the possibility, to order new article without complex article creation
Integration of contract processes
Calculation of timelines for individual articles
Control of conditions, messages, additionals, order dates …
The operative purchasing processes is linked to the planned budgets (OTB buckets) coming out of the merchandise planning
© 2011 SAP AG. All rights reserved. 11
Seasonal Procurement: Purchase Order Handling
Order monitoring LogisticAllocation
Planned purchasing list items
Order Manager (Workbench)ERP
Generation Order ListUpdate
Order ListGrouped
order documentPurchase order
OTB CHECK
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OTB-Check
Features
Budget planning on different key figures
Budget control in season
Special Release
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ERP
OTB Procurement (Workbench)
Workflowto supervisors
Deadline change
Quantity change
Purchase orders with insufficient OTB
Price change
PurchaseOrder change
Special Release
OTB Check NOT successful!
OTB: Overview of OTB Procurement
© 2011 SAP AG. All rights reserved. 14
Purchase Order Monitoring (Scheduling)
Features
Tracking and tracing from order date and move time
Follow up activity (deadline shift, reminder, cancellation)
Means of transport change within active merchandise control
Order monitoring until goods receipt
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Purchase Order Monitoring (Scheduling)
ERP
Supplier performancetracking
OrganisationVendor compliance
Order Monitoring (Workbench)
Purchase OrderScheduling
Monitoring of scheduling
target/actual comparison (documents)
Acting view
Reaction of schedule variance
(Status)
Date shift Reminder Cancellation threat Cancellation
Reacting view
© 2011 SAP AG. All rights reserved. 16
Allocation
Features
Based on operational assortment planning and procurement, the goods can be allocated per color and size on a quantity basis to the stores
Initial buy allocation based e.g. on historical sales data
Assignment to the follow-on logistics processes like delivery creation, goods issue etc.
Allocation is used at head office for planning, controlling and monitoring site (stores, DC) supplies.
Allocation can be used to: Allocate articles to sites for the first time; Allocate promotional merchandise; Allocate stock; Allocate imported merchandise that has been procured
centrally.
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Integration of Allocation, Purchase Order Generation and Operational Planning
Order Processing Order List
Grouped Order Document
OTB Check
Purchase Order creation /maintenance
Operational Assortment Planning and Control
Purchasing List
Preliminary Planning processes
Status update Status update
Line Items of Purchasing List
Generation of AT on basis of PO´s with reference
to Purchasing List
Allocation Table
Allocation
Monitoring of Procurement dates
Scheduling
forw
ards
backwa
rds
Synchronization
© 2011 SAP AG. All rights reserved. 18
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