SAP Supply Network Collaboration (SNC)

The Challenges of Todays Complex Global Supply Networks

Complex and dysfunctional logistics network

Lack of visibility across the services supply network

Inflated transportation costs Increased inventory & warehousing costs Rising risk throughout the supply network Declining customer service

Inability to quickly and efficiently react to customer requirements Parts planning, warehousing and fulfillment not aligned Inaccurate parts inventory

Outsourced Manufacturers Packaging Suppliers

Distribution Centers

Customers Customers

Manufacturers

Retailers

Customers Retailers

Slow Manufacturing Response

Customers Raw Material Suppliers Distributors

Inability to synchronize supply to demand

Missed customer request dates Lots not moving correctly through production Unnecessary supply chain costs

Collaboration with SAP SNC

Integrated Value Chains

Share Data and Information

Reduced Inventory Levels

SAP SNC enables a 360 view of the Supply Network

Collaboration and Visualization Layer for External Partners

Safely extends internal processes by exposing enterprise resource planning data such as purchase orders, forecasts and inventory to enable business partner collaboration

Enabler of New Business Processes

Provides visibility into supply, demand, and inventory across tiers and partners, including responsive replenishment, work order collaboration with contract manufacturers, and supply network inventory

Multimode Communication Layer for External Partners

Reach external business partners of all levels of sophistication via message-based communication, file sharing, e-mail attachments, and Web user interface

SAP SNC Collaboration Interaction Models

Customer Web Portal

Supplier

SNC 7.0

File Transfer
Excel

B2B Integration

B2B Server

Web Portal The SNC web portal allows suppliers to collaborate in a shared business process by
keying information into the SNC web pages. Tends to be used for low transaction volumes.

File Transfer File upload and download capabilities allow collaboration by entering data into
Excel (CSV). Spreadsheets are emailed to the supplier, who enters data and emails it back to the customer. Alternatively, data can be downloaded and uploaded via the SNC web screens. The data is both processed in both SNC and ERP. Suppliers with limited Internet connectivity prefer this option.

B2B Integration Business-to-Business (B2B) integration with SNC enables collaboration by

electronically exchanging messages via XML or EDI. The data is processed in both SNC and ERP, which allows for exception handling and alerting. Best suited for high transaction volumes.

SAP SNC Key Collaboration Capabilities

Customer Collaboration Responsive Replenishment Min/Max VMI Demand Collaboration

My Company
Supplier Collaboration PO Process Release Process CMP (Subcon PO) Process Kanban Process Work Order Process SMI Process SNI Process DCM (Reorder) Process DR (Forecast) Process Manufacturing Collaboration

Supplier Planning Collaboration Process Overview

MIN/MAX Replenishment VMI Process