With the many factors impacting supply and demand in a consumer driven supply chain network, creating accurate forecasts is extremely challenging. Consumers expect consistent access to products across multiple devices, and retailers are in a constant battle to edge out their competitors and meet that shopper demand.
Companies that lead in the retail industry are those that successfully balance customer demand with budgeting forecasts that avoid unnecessary inventory overstock. To be successful in the retail industry, managers must use the right tools to proactively meet customer needs and increase profitability.
Supply chain change management can be challenging for retail businesses for several reasons: The market is volatile, customers are besieged by outside influences, and competitors are improving through technological advancements. Successful executives need to implement a cohesive demand planning strategy to overcome these challenges and positively impact business performance.
Demand planning is the perfect complement to the retail supply chain strategy, and it will become increasingly important as the unpredictability of the retail environment continues to grow. For demand planning to be an efficient and successful strategy, retail business executives first need to recognize the value it creates. The earlier that retailers receive accurate market information, the better they can align their business plans with the demands of the market. When demand planning strategies are integrated with the supply chain management workflow, retailers can improve forecast accuracy, decrease overstock, and increase the number of customers who, in turn, promote their business.
Demand planning requires close collaboration with retail suppliers and customers. Consumers use a variety of mobile devices to engage with retailers, and they expect a positive response to their requests and orders. So it is critical for retailers to optimize their supply chain management in order to satisfy current and potential customers.
SAP has over 40 years of experience in helping retailers better understand customer needs and improve retail operations. With innovative tools, SAP gives retailers the ability to connect and analyze data from several social media sources and prepares them to interact with customers on their preferred devices.
VisionTree partners with clients to help them digitally enhance their processes by offering SAP-driven transformation services. To optimize supply chain management, SAP creates a global, end-to-end visibility of the entire retail network, ultimately allowing business managers to better predict financial impacts and make changes as needed. By using data analytics and granular reporting, retailers can be more flexible and responsive to changes, adapting in ways that manage supply chain demands and improve distribution workflow. Retailers also have access to smart alerts that allow them to identify potential supply chain issues, giving the opportunity to correct course earlier and save untold dollars in the process.
VisionTree partners with SAP HANA to offer transformation services that are designed to simplify the processes of migrating an existing SAP business suite to SAP HANA. To ease the transition of migrating to SAP, VisionTree offers SAP HANA Migration. This service provides a dedicated VisionTree consultant to guide retail clients through every phase of the restructure process, including evaluating the current interface, preparing for changes, migration, and SAP management. The VisionTree consultant will support the retail client through all phases of the migration to validate factory and SAP specifications.
Retailers with interest in SAP HANA solutions have the option to restructure from their current ecosystem, convert from an existing SAP business suite, or create a custom solutions for SAP HANA cloud. VisionTree SAP HANA experts specialize in consulting services that provide retailers with a personalized road map for their digital transformation.
Whether you are new to SAP or converting an existing SAP business suite, VisionTree’s SAP HANA experts are available on demand to help you from beginning to end. In addition, VisionTree offers ongoing support through SAP training services that are available for client staff.
SAP DEMAND MANAGEMENT
SAP integrated business planning for supply management helps retailers make complex business decisions by breaking down key information for better analysis. SAP Demand Management offers different price strategies to achieve target goals, including:
- Regular Price Optimization – This allows users to determine the best combination of regular pricing to suit their goals and match customer demand.
- Markdown Optimization – This option generates reports with markdown analytics that help users determine when and how to make changes.
- Promotion Optimization – This provides recommendations of historical price data, which helps users determine how they should make changes as related to products, promotional offers, forecast units, and future promotions.
Users can also run scenarios that simulate how changes in the aforementioned areas will impact the supply chain ecosystem. After simulations are complete, users have the option to create, modify, and delete promotion events, areas, and scenarios.
Additionally objective of this study to drive Planning and Budgeting Driven Organization compare to reviewing the data post financial year and drive decision making more predictive in nature compare to reactive to increase better efficiency of available organizational resources.
SAP DEMAND SIGNAL MANAGEMENT
Retailers that need comprehensive support for process monitoring and control of high-volume data can optimize their supply chain management capabilities with SAP Demand Signal Management software. By combining SAP HANA’s modern, powerful analytics with SAP Demand Signal Management, users gain robust, current data, including:
- External downstream data from retail POS
- Market research data from provider partners
- Company internal data - including ERP master data
Users can also enhance SAP Demand Signal management features by adding the Feature 4 Package, which includes the following add-ons:
- Integration with SAP Integrated Business Planning
- BI Content for Demand Data Foundation
- Apps for SAP Demand Signal Management
- Roles for SAP Demand Signal Management
- Customizing for SAP Demand Signal Management
SAP is an industry leader that retailers turn to in order to restructure their supply chain management processes, leading to enhanced customer experiences and increased profits.
VisionTree is an industry leader that helps businesses restructure processes to achieve maximum efficiency.
When retail leaders partner with VisionTree to integrate demand planning strategies with SAP, supply chain management becomes more streamlined, more efficient, and more productive—ultimately driving customer satisfaction and profitability.
**Similar solutions are available for the Consumer Product and Wholesales Distribution Industry.
- Consumer Goods
- Wholesale Distribution
- Health Care
- Financial Service
- Oil & Gas
- Industrial Machinery & Component
- Professional Service