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Identifying Key Capabilities of SAP Solutions for the Wholesale Distribution Industry

<div id="content"><p tabindex="0">In this video, you will look at the business capabilities of SAP for the Wholesale Distribution industry in more detail.</p><div class="note"><div class="noteTitle"><span class="noteIcon"><img title="Note" src="/icons/note.svg"></span><span class="noteTitleText">Note</span></div><div class="noteBody">SAP employees and official SAP Partners can download <a target="_blank" href="https://dam.sap.com/mac/u/a/m9PZxJe?rc=10&amp;doi=SAP1081582">the slide deck</a>.</div></div><div class="kalturaVideoLessonWrapper"><div aria-label="" class="kalturaVideoLessonContainer" data-testid="video" id="1_t0ani70m"></div></div><div class="parentsection"><div class="section"><div tabindex="0"><h3>Summary</h3></div><ul style="list-style-type:disc"><li tabindex="0"><strong>Cloud Solutions:</strong> Comprehensive capabilities across supply chain, procurement, sales, and services</li><li tabindex="0"><strong>Business Transformation:</strong> Helps distributors move from product-centric to service-oriented models</li><li tabindex="0"><strong>Key Capabilities:</strong> Advanced planning, inventory management, pricing optimization, and logistics automation</li><li tabindex="0"><strong>Strategic Benefits:</strong> Improved efficiency, scalability, and real-time business insights</li><li tabindex="0"><strong>Competitive Advantage:</strong> Standardized best practices and technology-driven approach to industry challenges</li></ul></div></div></div>

Key SAP Solutions

<div id="content"><p tabindex="0">You can find more learning assets on the <a target="_blank" href="https://learning.sap.com/browse/industries">Industry Learning Pages on learning.sap.com</a>.</p><p tabindex="0">SAP employees and official SAP Partners can access the following additional resources:</p><ul style="list-style-type:disc"><li tabindex="0"><a target="_blank" href="https://dam.sap.com/mac/app/p/pdf/asset/preview/m9PZxJe?ltr=a&amp;rc=68&amp;doi=SAP1081582">GROW with SAP for Wholesale Distribution – L0 presentation</a></li><li tabindex="0"><a target="_blank" href="https://dam.sap.com/mac/app/p/pdf/asset/preview/1EaAPz5?ltr=a&amp;rc=68&amp;doi=SAP813169">RISE with SAP for Wholesale Distribution – Accelerating digitalization</a></li><li tabindex="0"><a target="_blank" href="https://content-discovery.int.sap/explore?mediaTypeIds=IVJ&amp;categoryItemIds=industry_26748694445508693237053">Industry value journeys on Content Discovery</a></li></ul></div>

Related Resources

Introducing the Wholesale Distribution Industry

IWD010_020201.mp4

SAP for wholesale distribution provides industry -focused cloud capabilities across the business, including supply chain planning, procurement, supply chain execution, marketing and sales, and services and solutions. These capabilities support key processes across the business, like pricing, rebates, and incentive programs, all while providing a personalized user experience. Companies can leverage modular cloud capabilities to extend traditional business process with new capabilities, for example, for providing optimized pricing on a customer basis. As wholesale distributors grow, cloud solutions can scale at the company's pace. They accelerate new business models to transform from a product -centric business to one focused on services and solutions, and processes are streamlined to engage employees and attract new talent. Let's look closer at these business capabilities. Supply chain planning is the first step in the wholesale distribution process chain. This is the first step in the wholesale distribution process chain. involves creating a plan based on demand, supply chain volatility, cost, and business goals to support this process. We offer some key capabilities. First, distributors can create accurate demand plans by understanding customer needs. Using sales, inventory, and operations planning, they can anticipate and manage changing demand, inventory, supply risk, and potential market opportunities. Distributors can optimize inventory to ensure optimal service levels accounting for both regional and seasonal demands and companies can create and maintain supply plans that align with changing business goals. By leveraging these capabilities, they can improve trade margin and profitability, reduce days in inventory, and reduce overall supply chain planning costs. The demo linked on this slide gives an overview of SAP S/4HANA for advanced ATP and shows how it helps make the supply chain more resilient. Procurement in Wholesale Distribution is about sourcing goods and services, managing risk, and protecting profitability. We have several capabilities that support this process. First, distributors can improve operational procurement through greater efficiency and better managing global purchasing spend. They can also use real-time procurement analytics to assess supplier risk, mitigate supply chain volatility, and understand if sales will be impacted by delays. Because of the small margins in this industry, Managing, cost recovery and rebates is critical. Capabilities in this area help capture data for supplier rebates and chargebacks so distributors can efficiently handle claims and disputes. Distributors can also use standardized API through the cloud platform, BTP, to integrate with suppliers on orders, invoices, rebates, and claims. By leveraging these capabilities, distributors can improve supplier and partner compliance, improve customer satisfaction and reduce revenue loss due to stockouts. The demo linked on this slide is an overview of SAP predictive MRP. This functionality helps identify potential capacity issues as early as possible based on a simplified requirement plan using a material requirement algorithm. Next is supply chain execution. Once goods arrive at the warehouse, they must be efficiently stored and then picked, packed, and shipped on time to customers. Warehouse management capabilities automate inbound and outbound processes, storage, and inventory management for more efficiency. They can improve asset utilization, increase logistics throughput, and help to fill orders accurately and on time. Order promising helps commit to orders in real time, meeting all business rules, and satisfying customers. Companies can manage quota on products with limited availability, support inventory, reservations and efficiently manage substitutions on both materials and sources for fulfillment. These capabilities can improve on-time delivery, improve product traceability, and reduce warehouse management cost. For example, our customer Amper has leveraged our warehouse-related capabilities to reduce the paperwork required, digitalizing a large number of processes. This featured demo discusses how SAP S/4HANA Cloud Streamlines logistics planning and execution by by reacting to demand signals, planning effectively, and ensuring on-time deliveries. Marketing and sales includes the management of critical areas like pricing and promotions and supports the Salesforce to engage with customers in more meaningful ways. Customer rebates and incentives are important in this industry. Our solutions help manage the customer rebate lifecycle and support incentive program management and administration to increase customer loyalty and share of wallet. Omitional Commerce Management helps provide a unified view across channels on a single platform. This also allows for the seamless integration of more sophisticated processes like price optimization where cloud solution partners provide the necessary information for all channels. Quote, to cash capabilities, support collaboration on customer needs to enable great buying experiences. By leveraging these capabilities, distributors can optimize marketing cost, increase efficiency of the sales force, and reduce days sales outstanding. This feature demo shows how companies can gain real-time visibility of financial transactions and gather insight on a more detailed level to improve customer experience. Wholesale distributors offer services and solutions that add value to the products they sell and allow them to build stronger relationships with their customers. Field service management capabilities support every aspect from scheduling to mobile apps. For example, a field service workforce might manage machines on-site at their customer, including maintenance, software updates, and installing new machines, and while at the customer's site, they can stay connected via the cloud platform using apps on mobile devices. Capabilities for customer experience management support companies across the entire customer engagement cycle. A solution-oriented distributor requires the ability to combine products, services, and subscription to properly serve their customers. So if a distributor installs medical equipment in a doctor's office, They can also offer maintenance by subscription, or a high -tech software reseller can offer packages for work-from-home solutions, combining perpetual licenses with computer laptops. Value-added services capabilities help distributors manage Kidding and subcontracting to offer high-quality, high-value services around the products they sell. This might include pre -cutting and pressure testing a hose for a specific customer. By leveraging these capabilities, distributors can improve customer satisfaction, improve first call resolution rates and increase service revenue. Product returns are an important service for every distributor's business. This demo discusses how SAPS slash 4HANA can help process return authorizations originating from the initial sale in real time, while providing complete visibility throughout the company. Our customer, Nuroth International, was able to quickly integrate their point of sale system with the SAPS slash 4 Hana Cloud but can to drive adoption across their 250 locations SAP for wholesale distribution and or specifically S/4HANA Cloud supports our customers as they respond to industry trends and challenges. Cloud solutions help companies grow, but they also enhance current business practices and provide standardized interfaces to collaborate with business partners. Preconfigured industry best practices allow customers to quickly realize value and allows employees to focus on the differentiating business elements while automating standard processes. And real-time insights make it possible for employees to quickly respond to customers with the right information. As companies adopt new business models and grow, they can rely on a business platform that supports their current and future needs. To help customers experience the benefits of SAP S/4HANA Cloud, public edition, we offer a free trial. It provides an easy way to experience solution highlights across a broad range of processes with complementary content. So to sum up, what is SAP for wholesale? We know what it takes to be successful in this market and have therefore encapsulated the industry knowledge and processes in our end-to -end wholesale value chain. With the industry best practices in our S/4HANA Public Cloud, we bring the end-to-end process to life so that all our customers can run a successful business. I hope you have found this helpful and thank you for watching.