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SAP Transportation Management rapid-deployment

solution for domestic freight tendering


Delivery Overview

October 2011

INTE
RNA
L
We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 2


We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 3


Preconfigured software and services enabling
rapid deployment

SAP BRINGS TOGETHER SOFTWARE AND SERVICES IN A NEW OFFERING THAT


GIVES YOU ESSENTIAL FUNCTIONALITY QUICKLY AND AFFORDABLY

Preconfigured software to
eliminate the guesswork
Rapid delivery in as little as 11
weeks, using SAP consulting
. An affordable, flexibly priced
solution
Limited scope to jump start
A clear path to your full
transportation management
vision
© 2011 SAP AG. All rights reserved. 4
Immediate Value From Pre-configured Content
You Get What You Need to Run Your Business ‘Out-of-the-box’

Value Adding Quick and Lean Cost-effective


Powerful solution for Clearly defined scope Attractive fixed-price
domestic freight tendering services
delivered ‘out-of-the-box’ Includes pre-configuration
based on leading SAP TM content and knowledge Reduced resource
transfer to key users requirements from
Start fast, with what’s most Business and IT
important, and expand later Fast-track implementation
methodology
Seamless integration to
existing sales and logistics Enables you to go live in
process in SAP ERP 11 weeks

© 2011 SAP AG. All rights reserved. 5


We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 6


Your Agenda

Does this sound familiar to you?


 I need to reduce my transportation expenses
while improving the customer satisfaction
 I am not in full control of the carrier selection
process
 Carrier collaboration for shipment and load
tendering is a lengthy process
 Tendering results contradict strategic or tactical
company goals
 I am facing ongoing cost for using 3rd party
tendering platforms

© 2011 SAP AG. All rights reserved. 7


How We Support Your Agenda

This is how we address your business pain


points
 Quick and easy collaboration with carriers
 Carrier collaboration/tendering follows predefined
rules and can be adapted flexibly
 Onboarding of new carriers as „plug&play“ using
SAP Information Interchange by CrossGate

© 2011 SAP AG. All rights reserved. 8


Vision of an Integrated Transportation Platform
SAP TM is the Answer
An Enterprise-Wide Strategic Platform for All Transportation Needs

Holistically manage all your company’s inbound and outbound domestic and international freight needs

Tendering Brokering

Carriers Freight
My Company Forwarders
Suppliers

Inbound Outbound
Freight TM
TM Freight Customers

 Transportation Management is a complete, multi-mode,


transportation management solution, built on a future-proof platform
 SAP TM focuses on end-to-end business scenarios such as
Domestic and International Inbound and Outbound logistics.
 Enables cross-enterprise collaboration with customers, suppliers
and business partners
 SAP TM is highly usable, has a solid architecture, and can manage
multiple transportation process variations.
© 2011 SAP AG. All rights reserved. 9
Bright Prospects
What You Can Achieve

 Efficiency and speed in tendering


process

 Real-time transparency of tendering


status

 Reduced cost for outsourced


transportation services

© 2011 SAP AG. All rights reserved. 10


We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 11


What‘s in SAP Transportation Management rapid-
deployment solution for domestic freight tendering
The rapid-deployment solution extends ERP based transportation execution with superior carrier collaboration for
shipment and load tendering including electronic connectivity to carriers.

Business Processes
oTM: managing transportation requirements
oTendering freight for outbound processes: communicate shipments to carriers
oReceive from carriers: quotation, confirmation, rejection, charge information
oAward and commission freight orders to carriers
oManaging ERP deliveries and shipments

Target Market for the RDS


oManufacturing industries, especially CPG & Chemical, or other packaged good shippers.
oCompanies dealing with LTL/FTL opportunities or combining orders to reduce transportation
cost.
oPotential customer geography: global

© 2011 SAP AG. All rights reserved. 12


Tendering Types and Process Modes

Tendering Types
Peer-to-Peer Tendering – Response Required
Peer-to-Peer Tendering – No Response Required
Broadcast Tendering – Best Offer
Broadcast Tendering – First Acceptable Offer

Peer-to-Peer Broadcast
Tendering Process Modes Tendering Tendering
Freight RFQ Based, Award Automatically (sequential) (simultaneous)
Freight RFQ Based, Award Manually
RFQ 1 RFQ 2
Direct Tendering, Send Freight Order Directly RFQ 1

Carrier 1 Carrier 1 Carrier 2


RFQ 2 RFQ 3

Carrier 2 Carrier 3
RFQ 3

Carrier 3 RFQ = Request for Quotation

© 2011 SAP AG. All rights reserved. 13


Tendering Options as part of RDS Scope

Direct 1 Broadcast 2 Multiple Step 3


Tendering Tendering Tendering

© 2011 SAP AG. All rights reserved. 14


Freight Tendering Process Overview
RDS Scope Details

OTR/ DTR ERP Shipment TM Planning

Freight Order

Carrier Pre-definition

yes no

Peer-to-Peer Tendering Means of Transport


Direct Tendering
Carrier from Order FTL LTL
Response required

Broadcast Tendering Destination Region


Carrier from
Network
Best offer West East
Award manually

Peer-to-Peer Tendering Peer-to-Peer Tendering


Carrier from Network Carrier from Network
Response required Response required
Award manually Award manually

Broadcast Tendering Broadcast Tendering


Fixed Carriers Fixed Carriers
Best price Best price
Award automatically Award automatically

© 2011 SAP AG. All rights reserved. 15


Overall Architecture
incl. SAP Information Interchange (SAP II) by Crossgate

Carrier
SAP
ERP
Carrier
BPP
Content
Carriers
SAP Engine

TM Item
Party

Location
3PL
SAP II
SAP PI
Ocean
Portal

3PL

SAP Information Interchange (SAP II) serving as the B2B repository & integration
platform towards business partners. SAP II enables the “out of the box”
connectivity between SAP TM and the various business partners (here: carriers)
including enterprise services, format mapping and end-to-end process visibility.

© 2011 SAP AG. All rights reserved. 16


Key Deliverables

What does SAP deliver? What do you have to do?

 Installation check
 Initial scoping workshop to understand  Provide the IT infrastructure (server)
and cover your requirements  Install the SAP TM 8.0, SAP PI, and SAP
 Project documents: Work Breakdown Information Interchange by CrossGate
Structure including a project schedule, application on the development and
Test Scripts and Scoping Questionnaire production environments
 Activation and Unit Test of chosen  Provide fixed contact people in the
packages for the “SAP TM rapid- business and IT departments
deployment solution for domestic freight  Conduct end-user training & change
tendering“ in the development system
management
 Out of the box connectivity for up to five  Performance and integration testing
business partners (carriers) via SAP II
 Data migration and cleansing
 Knowledge transfer to key users on
configured SAP TM rapid-deployment  Transport to production
solution system
 Support for going live
© 2011 SAP AG. All rights reserved. 17
We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 18


Product Demonstration

© 2011 SAP AG. All rights reserved. 19


We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 20


Project Plan and Timelines

1 2 3 4

Steps

Start Deploy Run

Project Management Implementation End-user Training

Kick off workshop


Customer Testing
Performance Testing
Business Process
Management

Technical Solution Key User Workshop Project Sign-off


Management &Support

Data management

Transport

SAP involvement Customer involvement

© 2011 SAP AG. All rights reserved. 21


Successfully Deploy in as Little as 11 Weeks

1 Start 2 Deploy 3 Run

Expectations

 Project management  Implementation User-acceptance testing


 Kick-off workshop participation  Testing Onsite and remote support
 Preparing technical infrastructure  Key User Training

Results

 Mutually-approved  Superior
support to ensure
scope  Successful rollout and adoption
document smooth functioning
 Configuration documentation
 Working SAP TM solution

© 2011 SAP AG. All rights reserved. 22


Pre-defined Services for Rapid Deployment solutions

Your path to Go-Live — fast, efficiently and at predictable cost


Fixed-price Implementation Services
Pre-defined Project Methodology
Ready-to-use Accelerators

© 2011 SAP AG. All rights reserved. 23


Implementation Methodology

Start Deploy Run

Kickoff Workshop
Installation Guide

Rapid-deployment Project Schedule

Deliverables:
Readiness Check

Check Lists Support Portal

Access to the implementation methodology materials:


http://service.sap.com/solutionpackages
© 2011 SAP AG. All rights reserved. 24
Project Team: SAP

SAP Project Manager


Serves as a central contact person, from project initiation to
going live and support
On the SAP side, responsible for functional project
management, coordination, support and coaching of the
customer’s project manager, and so on

Core Project Team


Solution consultant / solution architect
Particularly responsible for monitoring process
configuration, know-how transfer, and so on
SAP TM/SAP PI/SAP II application / technology
consultant
Responsible for implementation of the agreed upon
scope for the SAP TM rapid-deployment solution

© 2011 SAP AG. All rights reserved. 25


Project Team: Customer

Leading Project Manager


Serves as a central contact person, from project initiation to
going live and support
On your side: responsible for functional and commercial
project management, coordination, overall project
controlling, preparation of steering committees, and so on

Core Project Team


Basis staff
Especially responsible for the installation and
administration of the development and productive
system landscapes
Functional department staff / key user
Responsible for workshops, questions from SAP,
end-user training, and possibly as a power user for
simple configurations

Specialized Staff (Optional)


Responsible for further specialized areas such as
customization and configuration
© 2011 SAP AG. All rights reserved. 26
We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 27


System Landscape Requirements

The following components are mandatory for SAP TM rapid-deployment solution for
domestic freight tendering:

Prepared system landscape with suitable servers


Installed SAP TM 8.0 system with SPS02
Installed SAP ERP (ECC 6.0) with EHP5, SPS 05 (LE-TRA being customized)
Installed SAP PI 7.01 or 7.11
Installed SAP Information Interchange by CrossGate

© 2011 SAP AG. All rights reserved. 28


We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 29


SAP TM Use Cases

 Company: Consumer packaging, for beverage,  Company: serves small builder's routine
personal care, healthcare, food kitchen and joinery requirements (UK)
 Implementation: SAP TM 6.0 (‘Route Guide  Implementation: SAP TM 7.0 Planning &
Compliance’) Scheduling
 Scope: Order based Planning and complete  Scope: Load Building, automation of ERP
automation of the tendering process delivery and shipment creation
(subcontracting)

 Company: Chemicals, specializing in  Company: producer and marketer of food,


silicone-based materials (USA) agricultural, financial and industrial products
 Implementation: SAP TM 7.0 (ca. 50 sites and services (USA)
with 300 shipping points to go live)  Implementation: SAP TM 7.0 with broad
 Scope: Transportation charge management scope
with extensive charge calculation, invoice  Scope: Truck, Rail in first phase, ocean
creation and verification shipping and intermodal in second phase

 Company: FSL, operating as a logistics  Company: Distribution of fast moving


service provider (Italy) consumer goods (Saudi Arabia)
 Implementation: SAP TM 7.0  Implementation: SAP TM 8.0
 Scope: Core processes of an LSP (Logistic  Scope: Shuttle Services, FTL, LTL (small
Service Provider) order sizes with single pick-ups)
 Processes: Forwarding order creation,
freight unit creation, planning & dispatching,
subcontracting, transportation charge
management, and invoicing
© 2011 SAP AG. All rights reserved. 30
We Are Here to Discuss

1. What is the Rapid Deployment Solution


2. Benefits and Value Proposition
3. Scope & Deliverables
4. Product Demo
5. Project Approach and Planning
6. Pre-requisites
7. Customer References
8. Key Takeaways

© 2011 SAP AG. All rights reserved. 31


Key Takeaways

FAST TO DEPLOY AND EASIER TO CONSUME

1
Rapid-deployment – Preconfigured software that delivers essential domestic
transportation planning processes in as little as 11 weeks.
Reduced complexity – A world class transportation management solution from a
single vendor, with superior global support, means fewer worries for you

COMPETITIVELY PRICED
Flexible pricing – In synch with the SAP pricelist, a TM licence fee only for the

2 required functionality is needed (ie. TM baseline plus TM tendering)


Predictable costs – Low, predetermined fees and clearly outlined deliverables
mean no hidden fees or ˝gotchas˝ for the delivered solution

BUILDING FOR SUCCESS


Foundation for growth – start small, prove the value of this solution, and then

3 grow on your schedule to the full SAP TM solution, if needed.


And by that: Holistically manage all your company’s inbound and outbound
domestic and international transportation needs.

© 2011 SAP AG. All rights reserved. 32


Further information….

 www.service.sap.com/solutionpackages

 www.sap.com/rds

© 2011 SAP AG. All rights reserved. 33


Thank You!

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