Solution in Detail Supply Chain Management Transportation Management
Solution in Detail Supply Chain Management Transportation Management
Solution in Detail Supply Chain Management Transportation Management
Executive Summary
Solution Overview
Contact Us
Transportation Management
Executive Summary
Solution Overview
Contact Us
22%
Lower transportation
spend (% of revenue) when
transportation is integrated
with enterprise planning
functions, trading partners,
and key carriers
Source: SAP Performance
Benchmarking
2 / 30
Executive Summary
Solution Overview
Contact Us
Integrated Transportation
Better Services, Lower Cost
SAP Innovations
Businesses need tools to manage transportation
holistically. Only a comprehensive management
process supporting the complete order lifecycle
provides the ability to plan, consolidate, and
optimize all shipments inbound, outbound,
domestic, and international while considering
real-world constraints and costs. A transportation solution integrated with other business
processes enables collaboration and visibility
into every aspect of your business.
The SAP Transportation Management (SAP TM)
application provides flexible support for strategic
purchasing and selling of freight capacity, ship-
3 / 30
Executive Summary
Solution Overview
Contact Us
SAP TM helps companies gain control over transportation. They can improve
compliance and flexibility, streamline processes, and decrease transportation
costs while maximizing available resources.
A centralized order management process enables users to make faster, betterinformed decisions, while meeting customer demand, raising customer service
levels, and enhancing supplier and stakeholder collaboration. And with improved
performance comes lower operating costs.
Fine-tune sales order planning
12%
4 / 30
Executive Summary
Solution Overview
Contact Us
SAP Innovations
Managing Complexity
Integrated Transportation
SAP TM provides state-of-the-art tools and interfaces for easy communication with
related logistics and other applications, functions, and users. It offers simplified
access, visualization of transportation objects, support for industry and companyspecific variations, and highly scalable and flexible deployment options.
Analytics solutions from SAP enable transparency and provide transportation-related key
performance indicators and strategic freight
management data to cover every aspect of
the transportation process. Users can monitor
5 / 30
Executive Summary
Solution Overview
Contact Us
Freight Planning
Freight Tendering
Freight Settlement
Why SAP?
6 / 30
Executive Summary
Solution Overview
Contact Us
Transportation
Capacity and
Demand
Management
Sales
Freight Planning
Finance
Transportation
Requirements
Management
Freight Planning
and Optimization
Freight Tendering
Freight Order
Forwarding and
Settlement
Delivery
Commitment
Order Capture
AP and AR
Processes
Freight Tendering
Carrier
Selection and
Commitment
PO
Management
Procurement
Freight Settlement
Outbound
Delivery
Creation
Distribution
Why SAP?
Transportation
Capacity
Creation
Supplier and
Customer
Invoice
Processing
Carrier
Tendering
ASN and
Inbound Delivery
Creation
Inbound
Transportation
Planning and
Optimization
Outbound
Transportation
Planning and
Optimization
Logistics
Carrier
Selection
Transportation management
systems help companies balance efficiency and effectiveness to achieve better-thanaverage delivery performance
with lower-than-average
spending on transportation.
Freight
Settlement
Risk and
Compliance
Cross-Dept.
Supply Chain
Management
7 / 30
Executive Summary
Solution Overview
Contact Us
26%
Fewer transportation FTEs
(per million of spend) when
booking requests are created
and transmitted electronically
to carriers
8 / 30
Executive Summary
Solution Overview
Contact Us
56%
Of companies transmit
bookings to carriers
electronically
Source: SAP Performance
Benchmarking
9 / 30
Executive Summary
Solution Overview
Contact Us
74%
Fewer shipments impacted
by capacity (in %) for the
top 25% of performers, when
compared to average
performers
Source: SAP Performance
Benchmarking
10 / 30
Executive Summary
Solution Overview
Capacity and Demand
Capabilities
Benefits
SAP Innovations
63%
Higher annual spend rebid
when standardized, documented, and automated
processes are used to
develop, transmit, and
score RFPs
Source: SAP Performance
Benchmarking
Solution Overview
Contact Us
Insert
image #
here
11 / 30
Executive Summary
Solution Overview
Contact Us
14%
Fewer outbound shipments
expedited for shipments
dynamically replanned during
order changes based on realtime integration with a sales
order system
The software also supports change management in real time based on business rules to
help ensure a closed-loop communication
cycle. Centralization of transportation requirements management reduces redundant tasks,
enabling companies to focus on value-added
activities.
12 / 30
Executive Summary
Solution Overview
Contact Us
32%
Lower average trailer turn time
when a system generates
event-based alerts based on
stored shipment milestones
and lead times
Source: SAP Performance
Benchmarking
13 / 30
Executive Summary
Solution Overview
Transportation Requirements
Capabilities
Benefits
SAP Innovations
26%
Fewer outbound shipments
expedited when freight
management is leveraged
for scale and complemented
by local execution capability
Solution Overview
Contact Us
14 / 30
Executive Summary
Solution Overview
Transportation Requirements
Capabilities
Benefits
Solution Overview
Insert
image #
here
SAP Innovations
46%
More shipments delivered per
load planner when summarylevel graphic reports can be
aggregated into role-based
portals for business users
Source: SAP Performance
Benchmarking
Contact Us
15 / 30
Executive Summary
Solution Overview
Contact Us
31%
Shorter outbound shipment
cycle time when shipment
plans are automatically optimized for freight consolidation
opportunities, mode, and carrier
16 / 30
Executive Summary
Solution Overview
Contact Us
22%
Fewer transportation FTEs
(per million of spend) when
shipment plans are automatically optimized for freight,
mode, and carrier selection
Source: SAP Performance
Benchmarking
17 / 30
Executive Summary
Solution Overview
Contact Us
SAP Innovations
19%
Lower transportation spend
where high opportunity lanes
are continually analyzed using
a common framework supported by analytic infrastructure
Source: SAP Performance
Benchmarking
18 / 30
Executive Summary
Solution Overview
Contact Us
Benefits
SAP Innovations
31%
Shorter transportation
planning cycle time when
there is a single, virtual
repository of clean transportation transactional data
Source: SAP Performance
Benchmarking
19 / 30
Executive Summary
Solution Overview
Contact Us
SAP Innovations
40%
Fewer transportation FTEs
per million of spend when
tender responses are
received electronically and
automatically scored on
configurable criteria
20 / 30
Executive Summary
Solution Overview
Contact Us
95%
21 / 30
Executive Summary
Solution Overview
Freight Tendering
Capabilities
Benefits
SAP Innovations
12%
Shorter outbound shipment
cycle time when tender
responses are received
electronically and scored
automatically based on
configurable criteria
Solution Overview
Contact Us
22 / 30
Executive Summary
Solution Overview
Contact Us
Benefits
SAP Innovations
16%
Higher rate reduction realized
when there is the ability to
segment data and generate
carrier-specific reports
in the portal. They can add free text and attachments in RFQs, quote prices in different
currencies, and set price limits.
Analytics solutions from SAP enable transparency and allow users to access relevant
analytics data, such as carrier performance to
support the carrier tendering process.
23 / 30
Executive Summary
Solution Overview
Contact Us
40%
Lower transportation charge
management spend when a
system electronically stores
complex, multidimensional
carrier rate structures and
associated accessorial
charges
You can integrate this functionality with financials software for freight auditing, carrier payment, customer invoicing, and cost distribution.
This level of integration enables more accurate
costing and more timely settlements, reducing
freight costs and improving service levels.
Executive Summary
Solution Overview
Contact Us
13%
Fewer freight invoices with
erroneous charges (%) when
costs are automatically calculated and transmitted to financial systems for matching
Source: SAP Performance
Benchmarking
25 / 30
Executive Summary
Solution Overview
Contact Us
Benefits
SAP Innovations
56%
Of companies do not accept
updates of carrier charges
electronically
Source: SAP Performance
Benchmarking
26 / 30
Executive Summary
Solution Overview
Contact Us
SAP Innovations
32%
Lower transportation charge
management spend when a
settlement system calculates
shipping charges for a
customer based on order
attributes and the customer
freight agreement
Executive Summary
Solution Overview
Contact Us
Why SAP?
Solution Overview
Capacity and Demand
SAP TM leverages technology innovations to help you optimize and integrate your
transportation management processes, empowering you to enhance your
transportation management operations.
Transportation Requirements
Freight Planning
Freight Tendering
Use an integrated solution that supports end-to-end business processes: Integrate business
processes across your entire enterprise and extended transportation network, using various
options, such as the SAP ERP application, SAP Business Suite applications, SAP Global Trade
Services application, or SAP Environment, Health, and Safety Management (SAP EHS
Management) application.
Freight Settlement
Reduce costs and improve efficiency: Use best-in-class transportation management to provide
executable transportation plans that are cost efficient and compliant with customer requirements.
Why SAP?
Leverage key innovations: Harness the power of database, technology, and analytics solutions
from SAP to handle large volumes of transportation and logistics data for state-of-the-art analysis
and data-intensive planning to achieve faster processing and better-informed decisions.
Executive Summary
Solution Overview
Contact Us
Go Live in Weeks
Heres the fastest way to run your business better: our rapid-deployment solutions. In one
package, you get everything you need to be up and running quickly including preconfigured
software and implementation services in just weeks. With a defined scope and predictable
costs, there are no surprises.
Visit sap.com/solutions/rds >>
29 / 30
Solution in Detail
Supply Chain Management
Executive Summary
Solution Overview
Contact Us
www.sap.com/scm
http://scn.sap.com/community/scm/transportation-management
www.twitter.com/sap
http://www.linkedin.com/groups/sap-transportation-management
http://www.linkedin.com/groups?gid=2373657&trk=group-name
www.facebook.com/sap
http://www.sap.com/lines-of-business/scm/transportation-management-overview/index.epx
www.sap.com/solutionexplorer