Creating your Basic Configuration for Order Management

Objective

After completing this lesson, you will be able to prepare your stock and stock locations in SAP Commerce Cloud.

Introduction to Base Commerce and Core Concepts

The Base Commerce module serves as the essential foundation for any SAP Commerce Cloud implementation. It provides the core data model and services required to manage multi-channel commerce, defining how products are grouped into stores and how those stores interact with physical fulfillment locations. To configure a robust order management system, users such as Jet must understand several key concepts that represent the physical supply chain within the digital platform.

Base Store

The Base Store forms the core foundation of your e-commerce instance in SAP Commerce Cloud that models an online store, even beyond what is required for Order Management.

The Base Store plays a crucial role in order processing by providing the contextual framework for all commerce transactions. When customers check out their cart, the order inherits store-specific configurations that are defined in the Base Store.

The Base Store configuration defines which currencies, payment methods, tax calculations, and pricing rules apply.

It will also define which warehouses and points of service are available, which shipping options and delivery modes can be used, and which sourcing factors apply.

Note

This is very focused on what is immediately relevant to Order Management. Configurations in the Base Store cover a lot more than what we listed here. From selecting a storefront and product catalog to choosing the unit of distance in the store locator, the Base Store manages many core settings in SAP Commerce Cloud.

The Warehouse

In SAP Commerce Cloud, a warehouse represents a physical location where inventory is stored. It’s the primary node for fulfillment. When configuring Order Management, Jet assigns warehouses to base stores to specify where products can be sourced. Each warehouse contains specific inventory data and is linked to logistics processes.

Point of Service (POS)

A point of service (POS) represents a physical location where a customer can interact with your brand, such as a retail store or a pick-up point. While a warehouse is primarily for shipping, a POS can serve dual purposes: acting as a showroom for customers and a localized fulfillment center for "Buy Online, Pick Up In Store" (BOPIS) scenarios, for example.

Stock Level

A stock level is a specific record that defines the quantity of a particular product available at a specific warehouse or point of service. In SAP Commerce Cloud, the inventory system tracks these levels in real time to ensure customers only purchase items that are physically available or scheduled for arrival.

Available to Promise (ATP)

Available to Promise (ATP) is a calculated value representing the quantity of a product that can be reliably promised to a customer. It's derived by subtracting any quantities not available, such as those already committed to open orders, from the current stock level. ATP ensures the system doesn't oversell inventory by providing a buffer that accounts for orders currently in the fulfillment pipeline.

Future Stock

Future stock is a specialized inventory concept used to manage products that aren't currently in the warehouse but are expected to arrive at a documented date.

Instead of showing a "coming soon" or "out of stock" message, future stock allows businesses to provide customers with visibility into upcoming availability. This feature is especially useful for seasonal launches or replenishing popular items. The system tracks the expected delivery date and the quantity arriving from suppliers. While these items can't be shipped immediately, explaining future stock to customers helps manage expectations. It can also support pre-order strategies, as the system knows exactly when the inventory will transition from "expected" to "available."

Note

Future stock is widely used in B2B scenarios in SAP Commerce Cloud.

Summary

  • Configuring Order Management in SAP Commerce Cloud requires clear alignment between the physical infrastructure and its digital representations.
  • Many of the basic configurations for a SAP Commerce Cloud instance are managed in Base Commerce. This also applies to many Order Management configurations.
  • By defining warehouses and points of service, you establish the "where" of fulfillment. By managing stock levels and calculating ATP, you control the "what" and "how many."
  • Finally, incorporating future stock provides a forward-looking view of inventory, ensuring a seamless customer experience even when products are in transit.