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SAP S/4 Hana: Intelligence In Digital supply Chain

sap s/4 hana in logistic industry

Every logistic and warehouse management  organization aspires to design, develop and deliver the product to the customers at the right time and right price. This involves a series of events that are to be orchestrated and followed by multiple iterations over and over to gain the expected results.

In order to obtain the desired results, it is a requisite to have intelligently coordinated functioning solutions.SAP having numerous sap s/4 Hana in warehouse management through the digital supply chain available which helps the organization to build the supply chain digitally.

This blog post helps a broad understanding of the requirement for niche sap solution depending upon the requirements by evaluating the needs and deliver the apt sap s/4 Hana solution for warehouse management organization based on their requirements in wholesale distribution

The three important processeses in product-based enterprises are:

  1.   Research and Development.
  2. Planning and manufacture
  3. Transport and deliver

functions in product based sap authorized company

1)  Research and development (R&d) 

This is a very important phase of the whole process where developing particular end products by analyzing the requirements, managing high specifications, formulating the perfect solution for wholse sale distribution industry and further carrying information digitally in supply chain central systems.

All these processes are handled by sap recipe development and it streamlines the formulations, real-time simulations, determines the equipment requirements and other R&D related needs.

Collaboration with suppliers and customers in real-time is requisite for R&D.Sap s/4 Hana cloud for intelligent product design provides the platform to collaboration between suppliers and customers for such needs which channelize the data, documents, bill material and also have a workflow to monetize data or the document movements.

Visualization of the product is an important aspect of designing a product. There is a drastic difference between visualizing a materialistic product and an end product in a sap solution. 

The simplified following (created by sap ) flow chart demonstrates the product life engineering and sap 3d visual enterprise help in aggregated visualization.

product life cycle ina product based company

Cost management for product developments and customized customer-specific engineer products is vital for wholesale distribution organization. It’s quite common enterprises always tend to keep the cost of the product to the minimum, initially on the development stage, to know about the cost drivers and stimulate the cost for various components that influence product cost. Sap product lifecycle costing is an explanation that can handle these requirements.

Predominantly in the manufacturing industry and processing industry, there might be an intervention of legal regulations. Some of these require awareness at the time of product development and some of the product is manufactured. These require reliable auditable data captured while manufacturing period. Sap s/4 Hana for product compliance is a solution that handles these needs.

Research and development of a product is a huge process sometimes running into many years. It is complex when there are multiple products developed simultaneously. In some enterprises there may be the provision of innovation of new products, there should be provision for evaluation of collecting ideas, documenting and ultimately transforming into end products, Thereafter:

The process of launching ideas as projects.

  • Providing skilled resources
  • Budget allocation
  • Cost allocation
  • Ensuring communication with suppliers and third party company
  • Ensure work after consent
  • Bring the new product into the market.

2) Planning and manufacture for optimized supply chain

Providing the product at the right time, price and place in terms of customer requirements need for a well-oiled Digital supply chain. It involves the following:

Providing the product at the right time, cost and position of customer requirements. it requires a well-managed digital supply chain. It entails the following

  • Developing precise statistical forecasts for the demand
  • Ensuring a better level of inventory to reach the needs of customer demands and requirements.
  • Pre-planned optimal business plan to assure revenue growth and market share.
  • Automate manufacturing processes efficiently for resource management manufacturing products of good quality.
  • Having insights into the manufacturing data insights to assure lower operational costs of manufacturing and production over plants.

Sap integrated business planning helps in handling the planning related requirements. Its sales and operations planning requirements. The cross-departmental planning in warehouse house management functionality and its sales and operations help in balancing inventory, profitability and customer service levels. 

Optimization of inventory functionality provides optimized inventory levels which help streamlined production ensuring meeting the results. The forecasting and demand management function provides forecasting in every aspect of forecasting based on sensing statistical forecasting abilities.

Sap manufacturing execution helps in the digitalization of the manufacturing process. it integrates the business systems in a cost-efficient and efficient manner. Based on IoT (Internet of things) 4.0 technologies it enhances the visibility of operation with real-time data and information. With the help of real-time data, it enables to initialization and rectifying and solve the quality and productivity issues rapidly. 

Sap manufacturing insights help in gathering data based on IOT .which is integrated with a sap cloud platform to provide wholesome analytics across all manufacturing operations. It is a key performance indicator and also helps in creating customer-specific KPI’s which plays a vital role in planning, execution, maintenance, and quality.

3) Transport and Delivery for optimized yard logistics

Transportation and delivery of goods to the customer poses its own challenges to every organization. It varies from organization to organization depending on the type of products, customers, demand, geographies, transportation modes, and distribution network. The following three key areas are relevant in this context:

The Transportation and delivery of the components have their own challenges for each and every organization. The challenges are for individual enterprises are different predominantly depending on the type of products, customer, demand, a network of distribution. The following are the key area

  • Managing the overall transport operation of units in the yard
  • Coordinating the manufacturer’s end products in the warehouse and shipping them effectively.

Sap yard logistics solutions act as an intermediate between the distribution and transportation operations and the warehouse. It has the ability to streamline the planning, execution, and settlement of the tasks in yards with holistic integration with the back end process. With the assistance of IoT and data captured by it. It’s simple to adapt yard processes for individual modes of transportation means and yards. It utilizes workforce and assets. It can be integrated with sap extended warehouse and transportation management.

SAP extended warehouse management handles operations that are held within the warehouse. It officiates the opting-out of the perfect item in warehouse racks, product packaging, staging of the packages to the respective loading areas and authorizing the loading operations. It automates the warehouse by integrating the material handling equipment and devices collection devices. It can also function for product returning requests and authorize.

SAP Transportation management function helps in bulk transportation, fleet, and logistics management and to have real-time visibility into domestic, as well as global transportation across all modes of transportation. It includes all the modes of planning which are manual or map-based plans, automated planning, and dynamic re-planning options. It can track and authorize driver resources. It can automate the process and can officiate the freight documents and truck info. It is capable of integration with SAP order management.



It is important to have automated and techno geek digitally authorised supply chain from R&D to management to delivery to customer, to run and organization and beat the competition. SAP has provided a very intelligent solution which can be vital for the connected and automating efficiently. With SAP S/4 Hana in wholesale distribution can turn the enterprise into intelligent enterprise.

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