9 - demand signal management 3

7/21/2019 9 - Demand Signal Management 3

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September 9 –11, 2013

Anaheim, California

Demand Signal Management

Ted Combs



2

SAP’s Demand Signal Management – Purpose

Review ‘Demand Driven’ status in CP

Introduce new and valuable DSiM solution for CP

Explain Business Objects relevance for the solution

Identify opportunities going forward



Consumer Products Strive to be Demand-Driven

Social Media

Syndicated Research

Retailer POS

Web and Mobile Channel

IRI



Customer Data

Brand Performance

C o m p e t i t o r s

Promotions

S p e e d

Hot Trends

Multi Channel

M a r k e t S h a

r e

S h o p p er

B eh av i o ur

Distribution Centers

Consumer Insights

Product Proliferation E m a i l s

T

w e e t s Planning

Social Media

Mobile

I n s t an t M e s s a g e

s

Challenge #1 Data is Exploding



Challenge #2 Information Latency and Lack of Granularity

New Approach

Direct access to

Consumer Demand

Wholesale

Level

Retail

Level

ConsumerLevel

Distribution Network

Finished Goods

Manufacturer

Existing Approach

Multiple Layers to

Consumer Demand

Multiple layersleads to latency

in data

Multiple

aggregationsleads to loss of

granularity

SAP Demand

Signal

Management,powered by SAP

HANA



SAP Demand

Signal

Management,

powered by SAP

HANA

Challenge #3 Lack of Cross-Functional Process Synchronization

New Approach

Single Source of latest information to

synchronize processes

Existing Approach

Disconnects due to lack of

up to date information

Supply

Chain

Sales Marketing

Supply

Chain

Sales Marketing

RIGHT- Product

- Quantity

- Place

- Time

- Price



Benefits of SAP Demand Signal Management

Capture Actual Demand

Signals

Quickly Spot Market

Trends and Deviations

Respond Faster to

Demand Fluctuations

Access massive amounts of

up-to-date POS data alongside Market research data

and combine with social

sentiment indicators

Drill down into massive

amounts of granular demandand market data to develop

market insights and

understand consumer trends

Ensure integration with core

business and supply chainprocesses and accelerate end-

to-end downstream processes

Capture

Analyze

Respond



Capture actual demand signals

Wholesale

Level

Retail

Level

ConsumerLevel


YOU


ConsumerLevel

YOU

D e m a n d S i g n a l M a n a g e m e n t p o w e r e d b y S A P H A N A

Syndicated Social Media Point of Sale

Data

Capture

Analyze

Respond

Collect, cleanse and harmonize real time POS retailer data

and integrate them with, syndicated market researchdata, internal data and combine social sentiment data



Quickly spot Market Trends and Deviations Capture

Analyze

Respond



Respond faster to demand fluctuations Capture

Analyze

Respond

Streamline downstream fulfillment process

with improved demand visibility

Optimize inventory levels with more

accurate forecasting and planning

Reduce lost sales with more precise

identification of out-of-stock situations

Improve customer service levels with a

deeper understanding of your customer’s

behavior



Use Scenarios for Demand Signal Management

Promotion

Effectiveness

Track promotion participation and

compliance and track price variationper store

Market Share

Analysis

Monitor market share changes

and identify root causes fordeclines in sales

Forecast

Accuracy

Monitor demand and market data

and analyze historic sales andpromotions to increase forecastaccuracy

Out of Stock

Reduction

Reduce lost sales by monitoringinventory levels and quicklyspotting stores with out of stock

Product

Launch

Success

Track store sales, price andpromotions for new productlaunches and ensure stockavailability

Sales Analysis

& Planning

Analyze demand data and

benchmark store sales toidentify critical issues andprioritize sales visits



SAP Demand Signal Management Architecture

SAP Demand Signal Management

Data Upload, Quality

Validation, Harmonization

& Enrichment

Data

Sources

Data

Consumption

Data

Collection &

Transformation

Core S P H N Repository

Retailer

1 …

Retailer

n

Market Research Institutes

(Nielsen, IRI, GfK,..)

Distributor/

Wholesaler

SAP

Business Suite

Integration

to the

SAP Business Suite

(e.g. ERP, SCM, TPO)

Market Research Data(Syndicated data)

Point-of-Sales

Data

Internal

Data…

Analytics

Market Share, Sales Performance,

Promotion Insight, New Product Launch,

On-Shelf Availability, Out-of-Stock

Mobile

Marketing Director

Key Account

Manager

Social

Media



DSiM Analytics

ABAP Web-Dynpro(Standard UI)

BusinessObjectsDashboards (Customers)

Mobile(HTML 5 Prototype)

BusinessObjectsAnalysis (Excel)

Access of data via SAP BW Queries



Promotion Analysis- Planned vs Sell-Through

BaselineSell-In

PlannedSell-In

TPM

Data ActualSell-Out

DSiM

Data

Combined DSiM

and TPM Data



SAP DSiM – using Business Objects Dashboards

Insight on market share changes and

sales impact by brand



SAP DSiM – using Business Objects Dashboards

Sales figures in

detail per brand



Analyze: Example – Product Launch as a BOBJ Dashboard



Analyze: Example – Social Media Combined with POS

Glade

Glade

Febreze

Clorox



Embedded Analytics Delivered with SAP DSiM

Area Relevant Insights Business Value

Promotions • Planned vs. actual sales with cross-navigation to SAP

TPM in the relevant context• Out-of-stock/shelf

• Retailer compliance to promotions

Higher promotion profitability and better

positioned during retailer negotiations

Product Launch • Sales success

• Out-of-stock/shelf

• Product listing by retailer/store

Improved product launch via faster issue

resolution resulting in higher sales

On-Shelf Availability &

Analysis

• Current and general out-of-shelf trends, rates,

duration• Lost sales and effect on promotions

• Best/Worst performing retailers/stores

Higher consumer satisfaction and brand loyalty

via quick resolution of related issues

Out-of-Stock Analysis • Current and general out-of-stock trends, rates,

duration

• Inventory at Retailer store/DC

• Out-of-stock during promotions

Higher service levels and sales due to fewer

out-of-stock situations

Stock Analysis • Up-to-date inventory data and trends at Retailerstore/DC

Improved sales volumes by ensuringappropriate inventory levels at Retailer

Sales Analysis • Up-to-date Plan vs. Actual sales

• Product listing issues

• Best/Worst Brands/Products/Retailers/ Stores

Increased budget compliance and sales via

faster detection and resolution of issues



Extend with BusinessObjects and SAP Predictive Analytics

BI Tool Target User Benefits

ExplorerManagement

Business Users

Business Analysts

• Intuitive information search with exploration

and guided summarization of data• Simple and fast self-service BI

• Personalized Exploration Views on Mobile

DashboardsManagement

Business Users

• Drag and drop, interactive & personalized

analytics

• Easy interaction with data for decision

makers

Design StudioManagement

Business Users

• Render multi-dimensional visualization onmobile, desktop or web applications

• Publish dashboards for easy consumption

anywhere

Analysis for

OfficeBusiness Analysts

• Empower analysts to perform advanced

analysis in a familiar Microsoft environment

Predictive

Analytics

Data Analysts

Business Users

• Powerful data mining and predictive

capabilities and algorithms

• Uncover trends and patterns to help

anticipate business changes



Key DSiM Points to Take Home

Delivers powerful capabilities tomanage and analyze massivevolumes of demand data

Is relevant for multiple LOBs likeMarketing, Sales and Supply Chain

Management

Provides pre-defined analytics

leveraging BOBJ that can be

extended and enhanced

SAP is looking for volunteers4

3

2

1



Thank you for participating.

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mobile application.

SESSION CODE: 1608

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9 - demand signal management 3

Documents

market data

market trends

improved demand visibility

internal data

social sentiment data

consumer trends

market insights

data multiple aggregations