Benefits of SAP Simple Logistics | SAP S/4HANA Simple Logistics Overview

Over the past few quarters, the market has seen huge increases in the number of S/4HANA implementations globally, whether they are for the S/4HANA general suite, or more specifically SAP Simple Finance or S/4HANA Finance. But what’s going on with S/4HANA Enterprise Management, also known as Simple Logistics? Are we seeing any movement there?

In the same way that SAP S/4HANA Finance is the next step for SAP FI/CO systems, S/4HANA Enterprise Management is the next phase for the ECC6.0 traditional logistics modules, for example SD, MM, PP etc. Rather than being module-focused, Enterprise Management is process-focused, looking instead at Order to Cash, Procure to Pay, Plan to Produce and Request to Service. The system runs on a HANA database, allowing for much faster insights, as all the data is coming from a single source of truth. As with the whole S/4HANA suite, it runs across all devices using SAP Fiori, (Learn SAP FIORI from SAP Trainings Online) so the user experience is dramatically improved and mobility is increased.

SAP Trainings Online provides Based on the Simplification Item custom code, check analysis can be executed. In SAP S/4 HANA, there is a change in relationship between Bills of Material, Routings, and Production Version. You can combine Bills of Material and routing into one entity and hence it streamlines their vision process. In SAP ERP Business Suite, product master material number field length is 18, which has been increased to 40 characters. Know more concepts related to simple logistics from SAP Simple Logistics Training

Similarly to S/4HANA Finance (which first started being a buzzword around Q2 2015), it will take a bit of time before everyone decides that they need to move their existing systems to SAP S/4HANA Enterprise Management. Options need to be assessed, customers need to be convinced that it is the best option for them and it is worth the cost of the project. As with Simple Finance, we are expecting to see that in the months after the product is released, there will be a significant increase in the number of ongoing projects and customers carrying out these implementations. With SAP S/4HANA Enterprise Management already being 3 or 4 months old, it’s only a matter of time before we start seeing projects popping up left, right and centre.

Benefits of SAP S/4HANA Simple Logistics business suite

HANA-Live Analytic, processing powers of HANA, the innovations based on New-Data Models supported by easy-to-use FIORI applications expect to bring following benefits in the Logistics area. (This is indicative list and the benefits-list would be revised based on the actual release of each-innovation). 

Thru sales analytics and SMART sales fulfillment cockpit, SAP S/4HANA offers better visibility and control over sales order fulfillment (Learn SAP SD for complete concepts). It will help business to closely monitor the KPI and take requires corrective actions well in time. it supports managing the issues, blocks and un completed orders (sales, delivery & billing transactions) and processing them in real time. It thus ensures business to fulfill the commitment to their clients in required time and frequency. Faster and quick MRP runs with interactive simulations ability will be especially useful in retail and trading scenarios. Reduction in the locking issues and cutting down the post processing time and thus leading to faster and hassle free material valuation process. Business that uses standard pricing will benefit from this innovation.

New data model will result into faster inventory closing, event based reactions and real time high volume backflush. 

With new analytics apps that help measure and monitor procurement KPIs will result in increased efficiency in the P2P proceses. In addition native integration with business network systems like Ariba networks will ensure a smoother integration for PO order and procurement process. With new SAP HANA (know what is new with HANA from SAP HANA training) based comprehensive and advanced ATP (ATTP) algorithm and optimized back order processing would increase business fficiency in sales order processing. organizations with single instance of ERP and not want to invest in a full fledge APO, however want advantage of richer functionality would benefit from AATP. business with high volume and frequent changes in sales orders would benefit from optimized and back order processing. 

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