Subject: SAP-SCM (Supply Chain Management)
In an increasingly complex global supply chain, Supply Chain Visibility and Tracking have become essential capabilities for businesses to remain agile, proactive, and competitive. Within the SAP Supply Chain Management (SAP-SCM) framework, these functions are vital for monitoring the movement of goods, anticipating disruptions, and improving customer service.
SAP offers integrated tools and technologies that enable real-time tracking and end-to-end visibility across the supply chain, empowering organizations to make informed decisions and respond swiftly to changes in demand, supply, or logistics.
Supply Chain Visibility (SCV) refers to the ability to track and monitor all components, processes, and events across the supply chain—from raw material sourcing to final delivery. It provides real-time access to information related to:
In SAP-SCM, visibility is achieved through the seamless integration of various modules and digital technologies such as IoT (Internet of Things), cloud computing, and analytics.
Tracking involves monitoring the movement of goods and materials through the supply chain. It enables businesses to trace products at each stage—whether in production, in transit, or at the warehouse. This is essential for:
In SAP, tracking is facilitated through tools like SAP Event Management (SAP EM) and SAP Transportation Management (SAP TM).
| SAP Tool | Functionality |
|---|---|
| SAP Event Management (SAP EM) | Tracks key supply chain events and alerts users to deviations from the plan |
| SAP Transportation Management (SAP TM) | Offers real-time tracking of shipments, carrier performance, and freight cost management |
| SAP Integrated Business Planning (IBP) | Provides end-to-end visibility for demand, supply, and inventory planning |
| SAP Leonardo IoT | Connects physical assets and sensors to SAP systems for real-time data collection and analytics |
| SAP Business Network | Enhances collaboration and visibility between trading partners |
These tools are integrated to provide a comprehensive view of the supply chain and support proactive decision-making.
A company using SAP EM can track a shipment from its departure at a manufacturing facility to delivery at a customer site. If a delay or deviation occurs, alerts are triggered automatically. The system recommends corrective actions, such as rerouting the shipment or expediting alternative deliveries.
Supply Chain Visibility and Tracking are no longer optional—they are strategic necessities. SAP-SCM equips organizations with advanced tools to monitor, manage, and optimize supply chain activities in real time. By leveraging SAP's capabilities, businesses can achieve transparency, improve responsiveness, and gain a competitive edge in the dynamic world of supply chain management.