1 2 3 Previous Next

SAP Event Management

41 Posts

The healthcare, life sciences and pharmaceutical sectors face a lot of challenges in their manufacturing, operations and supply chain management processes. The US Food and Drugs Administration insist that companies implement track and trace systems to improve the security of prescription drugs to customers. Counterfeit drugs are major problem and accounted for $75 billion in revenue in 2010 according to the National Association of Boards of Pharmacy.  Implementing electronic track and trace for prescription drugs with serialization will reduce the counterfeit products over a period of time.

 

Serialization or Unique identification helps us to identify who manufactured the product, which wholesaler has sold to retailers or hospitals and to which customer it has been prescribed.  The implementation of serialization and track and trace provides the ability to track and trace the lifecycle of the drugs in the system end-to-end.  The US Food and Drugs Administration sets some standards to ensure safe manufacturing and distribution of prescription drugs. The US Food and Drug Administration requires an e-pedigree electronic document which documents the full history of particular or entire batches that are manufactured and then prescribed to patients.  The e-pedigree helps to prevent the prescription drug from being misbranded, sold after expiry, counterfeited, diverted, stolen and/or contaminated. All manufacturers, wholesalers, repackagers, OEM’s and pharmacies must comply with the e-pedigree requirements and submit prescription drug information, source and destination, how and when it was prescribed to a customer, to the e-pedigree system.

 

How does a track and trace system improve security?

 

A track and trace system improves security by:

  • Knowing the life cycle of the prescription drug, from where it is manufactured, who is repackaging it, who is distributing, when it is prescribed and when it is sold
  • Meeting accurate regulatory and compliance requirement questions such as “What, Where, When and Who”
  • Locating prescription drug batches and precisely where they are distributed
  • Enabling the option to recall a particular batch or entire batches which are reported as having a product/batch failure or having not met standards
  • Identify if the prescribed drug is counterfeit, stolen, contaminated etc.
  • Know about the multi-container packaging item level details

 

How does track and trace work?

 

Track and trace works in the following ways:

 

  1. Generate and apply unique serialization number for manufactured drugs.
  2. Capture unique serialization number and store in centralized database (distributed or non-distributed).
  3. Update serialization data in EPCIS centralized database.
  4. Wholesalers, Repackagers and Pharmacies can have the ability to validate the serialization when they perform transactions.
  5. Each time a transaction for serialized drugs is carried out, the transaction drug history is updated in the e-pedigree system.

 

What is EPCIS (Electronic Product Code Information Services?

EPCIS is a GS1 standard that enables companies to capture, update and share information about the products end-to-end in the supply chain life cycle.

Serialization and Track and Trace 1.jpg

The following links provide details of different manufacturers of track and trace and serialization software

 

Why implement SAP track and trace solution?

The following are strong reasons for implementing the SAP track and trace solution:

 

  • Mapped to EPC Global compliance and standards
  • Captures uniquely identified objects EPC, IUID, etc.
  • Seamless integration with other SAP and non-SAP systems
  • Track and Trace end-to-end lifecycle of supply chain management
  • Enables prescribed drugs tracking and authentication at serialized level, item level, batch level and GTIN level
  • Track and trace carton box, pallet and container level
  • Enables tracking of historical and multi-level hierarchy data of prescribed drugs
  • Identify batch failures, recall and notify relevant drug stock holders to return back to wholesalers or manufactures
  • Seamless integration with SAP Event Management to monitor, and provide alert and notification services

 

You can watch as Youtube video on following link Why Serialization and Track & Trace are important in today’s Healthcare, Lifesciences, and Pharmaceutical sectors?

 

Chat/connect with me to know how to implement Serialization and Track & Trace for your clients effectively and efficiently.

Evolution of Quality Management

 

Today we will discuss quality management. This is not a new evolution; it has existed since 1924, when Walter A Stewart created a structured statistical method for production quality control and his methods became the foundation of quality control today. Later, Dr. W. Edwards-Deming applied new statistical methods using Stewart’s ideas that he mastered and finalized and which became well known to the quality management world.

 

The single word: “quality” has changed the economy of countries over periods of time. Post World War II, the Japanese economy was in very bad shape. Their determination towards achieving “Quality” helped to improve their reputation and the economy over a few decades. Dr. W. Edwards-Deming taught the Japanese fourteen principles. These principles are now the foundation of Japanese success in quality. If you ask anyone in the world, they will make the stereotype that “Japan” means “Quality”. Due to the high level of quality, Japanese products take a big piece of revenue from around the world, especially in the car market.


My personal experience with Japanese - I had the opportunity to work with a Japanese team for one of our esteemed clients on SAP Quality Management implementation project. I was amazed about their knowledge and 100% expectation on the quality side of system details, documentation, business processes, process flows, testing and their hierarchical way of working.


Quality Standards

 

Today, quality becomes an inevitable requirement for all products, so a quality standard has become an integral part of all companies. There are many quality standards like ISO, Six Sigma, Kaizen, QFD, TQM, Toyota Production system etc. that exist to help companies maintain quality compliance. People today are more concerned about health and safety issues, and the quality standard companies help to protect the people, processes and technology. Using and consuming poor quality products results in deep pocket experiences or sometimes worse, can result in fatalities.

 

Enterprise Resource Planning System

 

Quality management is an integral part of one of the modules in enterprise resource planning (ERP) systems. If the client is in the business of manufacturing, then there is no other option but to implement a quality management module. The ERP system provides quality planning, quality assurance, quality control and quality improvement in their manufacturing or business processes. Some companies use a quality management module to capture exceptions in their processes such as incorrect order submission, incorrect claims, missing shipments, downgraded products, missing SLA, monitoring team notifications etc. So quality management can be considered a versatile system and it can be adapted and used in many areas.

 

SAP Quality Management

 

SAP ERP delivers its own quality management module to integrate and run QM functions across product life cycle and supply chain. Quality management has 20 elements integrated into the SAP ERP system adhering to the ISO 9000 quality standard, so you can use QM alone or conjunction with following modules SD, MM, PM, PP, PS, CO and HR.

 

The main scope of Quality Management in SAP ERP:


  • Quality Engineering
  • Quality Assurance and Control
  • Quality Improvement
  • Audit Management

Quality Management Components in SAP ERP

 

  • Quality Planning
  • Quality Inspection
  • Quality Control
  • Quality Certificates
  • Quality Notifications


Though it has many functions and required components, the real time visibility and proactive approach model are not implemented yet in SAP Quality Management.


Real time visibility and proactive approach using SAP Event Management for SAP Quality Management


Using SAP EM for SAP QM, it is possible to implement visibility and a proactive approach such as the following examples:

 

  • Trigger alert via Email, SMS or Fax, when Inspection lot is created
  • Trigger alert via Email, SMS or Fax, when quality notification is created
  • Trigger alert via Email, SMS or Fax for partial /full usage decision is made
  • Send an automatic alert to inspection team, when product samples are arrived at quality labs
  • Send an automatic alert to the 3PL warehouse team to move stock into restricted use, when stock is moved into blocked stock
  • Report to the relevant team if the usage decision is not taking place by specified time
  • Alert the relevant team when specific product groups have been made auto usage decision
  • Alert the quality team when high end products are sitting more days in quality/blocked stocks
  • Trigger a workflow, when an inspection lot created for specific customer material samples greater than 10%
  • Automatically move a particular batch or all the batches, when a usage decision fails
  • Trigger an email to the quality inspection team, when a specific inspection type is created
  • Cancel all purchase orders of a vendor, when a customer returns a product more times than a threshold and alert the purchasing and sales team
  • Notify relevant partners to approve or reject when quality notifications are overdue
  • Alert quality labs when certain DEFECTS are found in products
  • Report failures accurately due to customers mishandling, quality of vendors, internal production problems, particular ingredients or products causing an issue and perform analytical reporting through SAP BI.

 

SAP Event Management delivers standard business process types for SAP Quality Management

 

The following standard business process types are delivered through SAP EM for SAP QM:

 

  • EPL_INSPLOT – Quality Inspection Lot
  • EPL_NOTIF – Quality Notification

 

Chat/connect with me how to implement SAP Event Management on SAP Quality Management for exceptions, continuous improvement, submit COA documents, sample failures, recall management, track and trace in shop floor, GS1 GLN location identification shop floor/quality inspection area, track and trace serialized products (hierarchy and using GTIN), track and trace lot/batch (using GS1 GTIN), track and trace multi-packing (mixed packing, overpacking, partial packing (using GS1 SSCC), inspection characteristic routing, engineering change etc.

Welcome. Recently, I have come across a couple of queries posted on forums and have been involved in various discussions about Container Tracking. I was fortunate enough to have the opportunity to work with a great team on implementing a new SAP Event Management “Container Shipment Tracking” system end-to-end during a particular project engagement. We normally read whitepapers and have discussions about ships, trucks and rail tracking scenarios, however the tracking of cargo containers seems to be a different challenge altogether. If you ask a shipping container company or global logistics providers or 4PL or 3PL, they advise that: “Container tracking is complex and inevitable in today’s global supply chain intermodal scenario”. Before we get into much detail on this topic, I would like to give you some insight on “How containerisation has emerged and how in today’s world, cargo movements heavily depend on containerization?”

 

Container Evolution

 

In the earlier days of shipping, wooden boxes, wooden drums, barrels, sacks and so on were used to transport cargo. Transportation of goods was a major challenge due to the non-standard requirements for specific handling of various pieces of equipment, increased loading and unloading time, complex transportation etc. In 1955, Malcom Mclean realised the major challenges in handling cargo from one place to another, and took this as an opportunity to develop a new type of cargo box. He started to work with engineer Keith Tantlinger on a solution to handle the cargo more efficiently and securely. Keith came up with an idea to move cargo in a box-type container, and Malcom then developed this idea further and later his design became globally accepted as the standardized container we are familiar with today. Although we see many different versions and models of these containers, the two geniuses were responsible for ensuring that cargo could be moved safely and securely across the world in box-type containers.

 

Containerization changed Transportation and Port facilities

 

Nowadays, you can see that ports, rails, trucks and ships have been designed largely according to the specification of cargo box-type containers. Cargo ships are primarily suited to stacking containers and offer facilities to load and unload containers. Railway cars cater for single and double container stacking. Container trucks are designed to hold single and double containers, and ports usually have their own container terminal facility with modern handling equipment to load and unload the containers.  Most ports have built-in container terminal facilities to handle cargo containers enabling the loading or offloading to or from ships, trains and trucks, efficiently and effectively.

 

"Did you know that one double stack container railcar could replace 300 trucks?"

 

The port of Shanghai is in the first place in the world to handle 33.62 million TEUs (Twenty-foot equivalent units) of cargo and the port of Singapore sits in second place, handling 32.63 million TEUs of cargo in 2013 as per Forbes Top 10 World Container Ports. Singapore is like a hub and the majority of cargos handled in this port are transhipment containers that are further stacked and then shipped to other Asian and western countries. The handling and tracking of these containers presents a major challenge to the port-based container terminal facilities. There are separate sets of processes executed in the major ports across the world to avoid inconsistencies during loading and unloading onto ships, trucks and railways.

 

"Did you know that every year approximately 500 million containers move across the globe?"

 

The BBC Box Project

 

Under normal circumstances, you would never see the same container twice when loading the goods for a shipment, and it’s highly feasible to assume that we may never see the same container in our lifetime. Let’s consider how a container moves around the world. Our immediate thought goes to the “BBC Box Project” – started because someone had a similar thought to us and created this project to track and trace a container. In 2008, the BBC started this project with the plan to track a container for more than a year. This intermodal container tracking project lasted crossed 50000 miles, where the box tracking started in Southampton, UK and finally ended at the same place having been shipped around the world.  An interesting factor here is that the same driver Lee Harfield loaded and unloaded the container in the port of Southampton. You can view the entire route map that the BBC box container traveled.

 

"Did you know that a container might travel more than 12 countries in a year?"

 

Container Tracking Challenges

 

Tracking containers presents a huge challenge for container shipping companies, logistic providers, ports, trucks and warehouses. The following items can be considered standard questions, challenges and issues that might be presented when trying to track the container.

 

  • Is the container a Full Container Load (FCL) or Less Container Load (LCL)?
  • Is the container being used correctly according to the contents?
  • Is the container requested to be dry or refrigerated?
  • Has the wrong container been sent to the warehouse?
  • Has an empty container been requested for repositioning following a full container being shipped?
  • Is a container sitting in the port or warehouse more than the requested or accepted date?
  • Is a reefer container (refrigerated - temperature controlled) requiring any special attention especially relating to overall temperature?
  • Are containers lost in sea due to natural causes or have they been stolen?
  • Have any containers loaded onto a vessel met with an accident?
  • Has the container loaded onto a truck met with an accident or been affected natural causes?
  • Has the container seal been broken during transit or transhipments?
  • Is the container Gate-In early or has it arrived late at port?
  • Is container still at the port without having been loaded onto a booked vessel?
  • Does the container contain any hazardous materials?
  • Does the container meet the standard of Environmental Protection policy – for example does it require fumigation?
  • Has the container been checked in and/or checked out on the requested date by the clients?
  • Have unloaded containers been requested for pickup or reloaded onto other consignments?
  • Is there a container shortage in a specific country, port, place, warehouse etc.?
  • Has a loaned container been returned or extended on agreed time?
  • Has container damage notification been sent to the logistic providers or container shipping company?
  • Have any port authorities requested container examining or scanning?
  • Is the container missing the bill of lading?
  • And so on…

 

All of the above challenges and scenarios can be addressed by the SAP Event Management Track and Trace solution.

 

How SAP Event Management can help with container tracking?

 

The following are benefits of how SAP Event Management can help with container tracking:

 

  • The SAP Event Management track and trace solution enables tracking of returnable items end to end
  • The ability to track and trace container number, container booking reference (CBR), seal number, bill of lading, carrier name, order number etc.
  • Provides a single portal view for all reported, expected, unreported, overdue and unexpected container tracking events
  • The ability to search and track a vessel, voyage, latest location, last reported container event etc.
  • Trigger an alert to the relevant team when a container is lost or damaged
  • Track the container route position with SAP Visual Business Geo-Map Integration
  • Publish dashboard granular details or a detailed view about containers through SAP Business Intelligence
  • Report events from Non-SAP systems where carriers, freight forwarders or shippers use different systems
  • Seamless container ocean booking events, including loading, vessel departure, vessel arrival, unloading and container cancellation
  • RFID-enable the container tracking process
  • Manage the loading and unloading of returnable transport items
  • Track and trace a container ID is one of the parameters in the delivery process in SAP Event Management
  • Track and trace a container ID as a separate tracking id in SAP Event Management
  • Track and trace containers as a separate tracking scenario in SAP Event Management
  • Container ID and SCAC code validation on reported events
  • Customer-specific or port-specific container seal number validation on reported events
  • Temperature controlled containers can have custom validation and trigger alerts to relevant teams in the event of unexpected events
  • Vessel and voyage mismatch validation on reported events for loaded containers and trigger an alert to the relevant team
  • Track and trace Less Container Load (LCL) and scenarios such as consolidation of orders

I have written an article on ERPGenie.COM on this topic - Read the full article here. Here is a short excerpt from the article:

 

"Most organizations deal with the shipment of goods in to and out of their premises. With the increasing demand for a better customer experience it is a challenge to provide a high level of customer service when parts of your supply chain fall somewhat out of your “sphere of influence”. Sure, through contractual obligations, you can try and force your suppliers and carriers to behave in a certain way but as the old saying goes “stuff happens!”. If the supply chain breaks down outside of your 4 walls, are you aware of it? Do you have enough time between when you find out about the issue and the time needed to correct it? Do these issues in the supply chain cause disruption and potentially lead to lost customers and sales? The key to remedying this issue was discussed back in the 1990’s and was termed Supply Chain Event Management – Give me the ability to monitor the events occurring THROUGHOUT my supply chain as and when they occur – Let me measure these events against what I had expected to occur and if it differs in any way let me know so that I can take proactive measures to correct it.SAP was a part of the “think tank” that came up with the term “Supply Chain Event Management” and created the product SAP Event Management to provide us with this functionality. It went in to General Availability in 2004 so has been around rather a long time… In this article I want to describe how SAP Event Management forms the back-bone of your Track and Trace requirements and specifically focus on the outbound logistics scenario."

...

" - TRACK refers to providing me the status of my goods that I am tracking at this point in time – It allows me to answers such questions as: Who has my goods now? Where are my goods? What status are my goods in? When will my goods arrive? Is the person currently in possession of my goods allowed to be in possession of them?

- TRACE refers to providing me with the historical view of my goods in terms of where they have been, who has handled them, what statuses they have gone through and so forth – It allows me to answer such questions as: Where were my goods manufactured? Who has handled these products to date? Have my goods ever gone in to an “exception” status? Were are the people that worked with my goods authorized and allowed to do so? "

 

Read the full article here.

Allow me to introduce you to air freight and how SAP Event Management can help in the scenario where air freight is used as a shipping method.

 

Air freight returns large revenues and is second only to water-based shipping. In 2010, net revenues of 67 billion US dollars were expected in air cargo and the airlines themselves were expected to carry 51.6 million tonnes of cargo in 2013. Cargo is an important revenue source for many airline companies. Cargo amounts to 13% of the total air traffic revenue globally. Some passenger airlines carry cargo in the lower hold below the passenger deck, and others are dedicated cargo airlines. In many intermodal and multimodal transportation scenarios, the goods are shipped in trucks, then in ships and then in trucks again to reach the destination country. Some niche products, such as those with a short shelf life, high value products, urgent deliveries etc. are shipped via air cargo to reach their destination within a day or two.

 

The routes flown are typically handled by single or multiple airlines to reach the destination airport. After customs clearance, the goods are transported by truck for delivery to the customer. Air cargo presents many challenges, and includes multiple stages and hubs, different loading requirements, different customs requirements in international airports, multiple handling costs, customs duties and the arranging of third party transportation after customs clearance in the destination country.

 

 

What is Unit Load Devices (ULD)?

 

Goods in air cargo are loaded and carried on various pallets and in containers known as Unit Load Devices (ULD). These Unit Load Devices are specially designed for air cargo to enable safe and simple methods to store, load, transport, and unload the goods. ULD specifications feature different sizes based on the attributes and characteristics of goods that they will hold. If goods are sent weighing 100 kg, the ULD does not only hold the goods of one customer, but also carries other goods. Until the air cargo company updated the data on their website, goods tracking does not show details such as goods stuck in customs clearance, lying in the first or a hub terminal, reached the destination airport and so on. Therefore there is a reliance on both the air cargo company, and accurate data.

 

 

Baggage Reclaim scenario

 

You may have unfortunately experienced the familiar scenario of your personal baggage going missing. When you contact the airlines, they would have told you that they are trying to track the baggage and hopefully the result of their tracking is that you receive the bag after 5 or10 or 20 days. But sometimes it is possible that you never receive the baggage. In this case, the airlines say that they are unable to trace your baggage and you receive financial recompense for the lost baggage. These scenarios happen quite often with airline cargo due to the lack of track and trace availability of personal baggage or goods. The sender of goods has to rely on purely on the freight forwarder or a third party update with a tracking number or airway bill number.

 

 

Stages/Milestones in Air Cargo

 

The below are the stages through which goods pass through in air cargo.

 

  1. Air carrier booking request
  2. Air carrier booking confirmation or rejection
  3. Air carrier booking cancellation
  4. Air carrier booking reschedule request
  5. Collection from shipper
  6. Receipt at forwarding warehouse
  7. Print air waybill (AWB)
  8. Air cargo gate-In (Airline warehouse)
  9. Air cargo custom declaration submitted
  10. Air cargo custom declaration accepted
  11. Air cargo custom declaration rejected or resubmitted
  12. Air cargo shipped on board
  13. Air cargo departed departure airport
  14. Arrival at the 1st airport
  15. Departure from 1st airport
  16. Arrival at destination airport
  17. Arrival at destination airline warehouse
  18. Notification to freight forwarder
  19. Freight forwarder submit customs document
  20. Dispatch to freight forwarder or 3rd party warehouse
  21. Deliver to customer (Proof of delivery, or POD)

 

Wow! These many events occur in air cargo when we send goods to a customer. If anything unexpected happens in-between these events, the customer may never know what has happened to a particular air waybill until they request the information from freight forwarder or 3rd party logistics. When proactive shipment monitoring has not been enabled it can lead to deadlines being missed, costly fines and customer dissatisfaction due to the goods not being delivered on scheduled or guaranteed dates.

 

 

SAP Event Management

 

SAP Event Management solves most of these issues we have discussed. It can automatically monitor planned routes, dates and milestones.

 

Upon completion of each milestone, the reported event updates in the system when the freight forwarder, carrier, shipper or consignee sends the data to SAP Event Management. Any unexpected delays or processes overdue can trigger an alert, email or SMS to the relevant team to address the issue immediately.

 

Customs declarations can also be submitted on time to track-and-trace the events that are happening on time, and if there are any deviations, then it is possible to trigger an alert to the customs documentation team to take immediate action in order to bring the shipment back on schedule.

 

If second or third stage milestone flights have been cancelled due to bad weather conditions then SAP Event Management will alert the shipping teams to secure new cargo space on the next available flight.

 

Here are some other high-level examples of what is possible with SAP Event Management:

 

  • Adjusting subsequent milestones when there is an unexpected event or delay on reported events
  • Track and trace the end-to-end route through SAP Visual Business Geo Map Integration for a shipment.
  • Extract the causes of delays and unexpected issues data in SAP Business Intelligence and publish it to key stakeholders
  • Monitor shipment performance and report frequent causes of delays in air cargo
  • Proactively manage exceptions and alert each milestone to the relevant teams

For many years now, I have been trying to spread the word on just how valuable SAP Event Management, as a tool, is to a company. Since 2006, when I personally discovered SAP EM, I have yet to find a reason why an organization should not have SAP EM in their "toolkit" of available solutions. Every Enterprise Architect worth their salt should know what functionality SAP EM provides and how the solution fits in to the SAP landscape. Following up on that, every SAP EM consultant needs to truly understand the design aspects behind each choice of functionality to be used. As a "tool" to provide exception management and visibility to your business process there is always 5 ways to achieve the desired outcome. Factoring in existing knowledge, usability, education, supportability, change management, user requirements allows for challenging design sessions. Just yesterday, Perrine asked a question on the SCN SAP EM forum around a certain topic (see here) that led our thoughts down one path when in fact the solution was available in a completely different space. Our solution architects and engineers need to know how all things fit together in order to make this SAP EM engine roll

 

A couple of weeks back I gave a talk on the Perfect Purchase Order, at the SAP Insider SCM Las Vegas conference. We went over our 1 1/2 hour limit because folks were so engaged in the topic. I can't say that I've enjoyed a talk more than that one. I absolutely love it when folks engage in the session, as that is when everyone learns the most.

SCM 2015 Prague.jpg

I now have the opportunity to do the same talk at the SAP Insider SCM 2015 Prague conference to be held June 1st - 3rd. In addition I will also be talking on another one of my favorite topics... SAP EM. This time I'll be talking around the integration of SAP EM with SAP Global Trade Services. There isn't much documented about how these 2 integrate and there is even less understanding of where it should integrate... I'll do my best to shed some light and see if we can make sense out of it all. You will find out there are a few surprises with what is delivered standard with SAP EM and then you will also  be presented with the possibilities of what a SAP EM enabled SAP GTS process can bring to the table.

 

SAP Insider hosts this conference and frankly they do a pretty awesome job in providing a resource rich experience for the attendees. As a speaker I am pleased to be able to offer you a discount to attend the conference and I certainly hope that you are able to attend and come and 0984235019.jpglisten to my talks and meet with me afterwards. I'll have a couple of my books on SAP EM in my bag so don't be afraid to ask me for a copy - I would be happy to provide you with a copy in person.

 

To claim the discount you just need to use this registration link: Register Here that takes you to the speaker partner page.

 

SCM 2015 Prague 2.jpg

Our topic of discussion today is that computers and communication are inevitable today. We almost can’t imagine a life without these now. Simple things such as talking with our loved ones living in other parts of the world have been made simpler through the use of computers and other communication technologies.

 

 

We need to remember our great inventors and inventions that helped the world become connected 24/7 through the use of feasible communications, such as Samuel Morse’s code, Thomas Edison’s phonograph, Charles Steinmetz’s understanding of the electric current, and Alexander Graham Bell’s telephone. Imagine that only a couple of centuries ago, carrier pigeons and human transported messages were used as vehicles to send and receive communications.

 

The supply chain has also evolved through electronic data interchange (EDI) via the merging of computing and the telephone and wireless communication. New modern technologies are appearing in the world every day. With the evolution of the Internet, the possibilities for supply chains grew beyond our imagination as we now have the capability to connect manufacturers and customers in seconds.

 

Today, the supply chain has moved to yet another level of communication and tracking of their goods with RFID technology (Radio Frequency Identification). RFID systems can physically track and trace goods at manufacturing sites and event trace items after tagging such as materials, components, cartons, bags, pallets and containers.

 

 

(Reference: Chain Reaction – Robert A. Malone)

 

Advancement of RFID technology

 

With the advancement of RFID technology we have opened up a whole new set of possibilities for new benefits such as:

 

  • Track and trace what is physically inside shipping containers
  • Send customs relevant data to enable simple correlation with the customs declaration documents
  • Advanced information to 3PL to speed up the transportation process of despatch to another destination via road or rail
  • Track the physical location of where the vehicle is on the road
  • Send data to the warehouse team about the materials, receiving date, docking times, proceeding through gates, customer details, picking station, etc.

 

Today, SAP has integrated RFID technology with SAP Event Management to track and trace components in certain end-to-end business processes. The below RFID-enabled scenarios have delivered within SAP Event Management:

  1. RFID-enabled outbound delivery process
  2. RFID-enabled Returnable Transport Items (RTI)
  3. RFID-enabled outbound and inbound delivery process

 

Benefits of using SAP Event Management with RFID technology

To conclude, by implementing SAP Event Management with RFID technology we can see new capabilities and options for tracking, such as:

 

  • Tracking empty crates, pallets, containers, etc.
  • Commission and decommission of RFID tags
  • Track and trace processes such as picking, put away, packing and post-goods issue (PGI) of outbound and inbound deliveries
  • Track and trace end-to-end returns
  • Track and trace goods movements accurately in warehouses
  • Automatic status updates based on RFID tag locations
  • Tracking of damaged containers and their movement into restricted stock
  • Track goods with Geo-Map Integration
  • Effective integration with SAP Auto-ID Infrastructure

Today we are going to discuss how to understand the context of SAP Event Management Solution.

 

Let’s start with an introduction to give some background. When meeting with key stakeholders or architects to discuss suggestions and solutions, we always tend to give facts and figures prior to delivering a SAP Event Management solution to clients. We always evaluate the solution to determine overall issues first, instead of trying to identify small process gaps or areas for optimization in the existing process. However, when we have a closer look at the small process issues and optimization potential, fixing the small process issues leads to a larger positive impact on the overall performance of supply chain management.

 

Let me give you an example of one scenario and allow you to visualize it to realize the positive differences you can make within your client business processes.

 

Routes Optimization

 

Take the example of single truck and route efficiency. Some routes might only be 100 miles long, but take more than 6 hours to reach the destination port. However, another truck might 150 miles and only take 2.5 hours to reach the destination port. Why do some trucks take more than 6 hours to travel a 100 miles journey? The route mapping from the warehouse to the destination reports that more hours are required for particular routes of just 100 miles and yet some of these routes take the trucks even more hours at certain seasonal times, or during times of traffic congestion.

The context of this example is to show that dynamic route calculation will help us to calculate the best route depending on traffic and weather conditions. The tracking of performance on a single truck or single route and then processed for efficiency can result in a positive impact on the supply chain management overall process.

 

When you ask this question to the trucking associations, you may get an answer that the 100 miles route contains many hills and perhaps three mountain terrains that must be crossed before the destination port can be reached. However, another route might have a smooth road and no significant obstacles, which results in a lower travel time even if the distance is 150 miles. Integrating this dynamic route calculation and understanding the seasonal changes for one particular event, perhaps seems challenging. But we always look at the big picture when designing a solution in supply chain management. Imagine that a client is shipping 50 containers in a particular vessel to meet the customer’s delivery. In this instance, shipping the product via different routes to reach the departure port would be quite a challenge. If some trucks arrived late at the port then the shipping vessel cannot wait for the missing containers. In this case the ideal situation would be that the container is left at the port and those containers are rescheduled to be loaded onto the next shipping vessel. The end result is that the customer requested delivery date could not be met, which then leads to additional costs for storage at the port, demurrage charges etc.

 

If most of the containers end up being left at port then how would this impact the port itself? The port would not be expecting so many additional containers, which then affects the overall port operation due to the delayed delivery of the containers in the first place. The ports have stringent rules that they cannot hold containers for more than two or three days before the departure of vessel. If the container is a “reefer” (refrigerated storage) then the cost might be double or triple to store the products securely, due to the additional requirements of electricity, air conditioning, mechanics, electricians to check regular temperatures and so on. These uncoordinated multitier supply chain processes and lack of supply chain process visibility results in problems that can be addressed by SAP Event Management. Dynamic route calculation can easily be addressed in SAP Business Rules Framework Plus, and any unexpected events can be reported in SAP Event Management that would then create an alert in SAP Universal Worklist and/or creation of a task in SAP Customer Relationship Management. This could then be combined with additional alerts being sent to the relevant team via SAP Event Management when for example the reefer container temperatures go down below thresholds etc.

 

GEO-Map Integration

 

4PL and 3PL transportation companies are heading towards overall implementation of satellite Geo-Map integration for vehicle tracking and real time traffic updates to truck drivers. Eliminating waste and overage in the transportation process can save trillions of units of fuel across the globe. However, these may appear as small process optimizations and not necessarily seen as a big impact to the overall process. Disorganized or unreported events lead to high transportation costs. We may see the worst traffic in big cities all over the world, even though the trucks drive routes that are reported as having low traffic, or perhaps they drive during off-peak hours. However most of the time the trucks are stuck in traffic and this then causes delays to transportation of goods to the destination. Unpredictable delays and costs of time spent in traffic accounts for 40 to 70 hours per year per driver and it would cost around $500 to $700 per year in lost time and wasted fuel. According to the Texas Transportation Institute, 2.88 billion gallons of fuel were wasted in 2012 in the US and the equivalent billions of dollars of wasted money in fuel could purchase one of the Fortune Top 100 companies every year!

 

SAP Event Management and SAP Visual Business GEO-Map Integration

 

SAP Visual Business Geo Integration with SAP Event Management brings a new milestone to the end-to-end shipment process. The integration makes it possible to track reported events (including the location of all stops made along a route), displayed visually on a geographical map, get the latest update of the shipment route, locate the container, or view the end-to-end route of the overall shipment.

 

In today’s world, the modern advancements in technology bring best practices and real-time visibility to supply chain management. The small process optimizations might seem very simple but actually have a great advantage and will return a larger positive impact in the long run.

 

Draw on existing knowledge and experience when arriving at a solution for clients and be prepared to think facts and figures to see what real differences we can make to their processes that will ultimately save them both time and money.

This article provides an overview of how the SAP Event Management product can help the discrete processing industry.

 

If you don’t know what this is, allow me to explain. Discrete industry products are closely integrated with our everyday life. Cars, furniture and electronics are classic examples. We need a car to commute from one place to another, furniture for our home, televisions for entertainment and smartphones for multiple applications in addition to communicating verbally. Discrete manufacturing may have a high volume, such as when making nuts and bolts – resulting in output ranging in the millions – or with low complexity or low volume of manufacturing such as when building aeroplanes or trains – with numbers ranging less than one thousand per year – but with high complexity. Discrete manufacturing includes types identified as make-to-stock, make-to-order, and assemble-to-order.

 

 

What is discrete manufacturing?

 

Discrete manufacturing is often characterized by the production of individual or separate units. Units can be produced in low volume with very high complexity or in high volumes with low complexity. Low volume and high complexity production results in the need for an extremely flexible manufacturing system that can improve quality and time-to-market speed whilst at the same time, cutting costs wherever possible or necessary. High volume and low complexity production results in high premiums on inventory controls, higher lead times and either reducing or limiting costs and waste of materials.

 

Source: Wikipedia

 

Example of high complexity Aeroplane Discrete Manufacturing process

 

Companies operating fleet of aircraft give specific technical specifications according to their country, travel route and requirements. A high-tech design team would review and produce the architectural and structural design and flow of the entire build and manufacturing process. Then they receive a sign-off from the airline company. To meet the customer demand and deliver on time, the aeroplane manufacturing company plans the assembly of the aircraft components and the necessary resources at their individual assembly lines. The production sites have to plan well in advance to receive these components and allocate resources on time so that manufacture can begin. Each manufacturing site might assemble a specific section such as the fuselage, cabin furnishing, nose, wings, tail etc. Once complete, major aircraft sections are then transported by truck or sea to another production site for final assembly and testing. The final assembly lines perform specific tasks such as joining fuselage together, adding the two wings, engine pylons, and fit the landing gear in the aircraft prior to the execution of systems and quality testing. Full cross-functional alignment is mandatory at each stage and excellent teamwork and management is required in each of the production assembly lines. The final operations such as engine installation, fuel and pressurisation tests, painting, engine run-up and flight-testing are then followed by aircraft acceptance and delivery.


Source: How is an aircraft built?

Did you know?

 

“Millions of components are required to make one airplane in the assembly line. If one tiny nut or bolt is not included in the production assembly line then it would halt the entire overall production.”

 

Discrete manufacturing process issues

 

Consider the following:

 

  • How can we tightly integrate each and every process of discrete manufacturing?
  • How is it possible to transport these millions of components, on time, to different production assembly lines?
  • How can we provide visibility of production assembly lines?
  • How would we proactively identify components that may have a low inventory?
  • How must we ensure that the aircraft sections pass the quality testing in each and every stage?
  • How can we notify systems testing failures to the multiple relevant teams?
  • How do we advise the inventory team about components that have not been RFID tagged?

 

These questions are just a few that when satisfied, are able to make the process more effective and notify the correct team well in advance. However, these integrations sometimes look more complex in nature due to the integration of multiple software components in an Enterprise Resource Planning system in order to achieve the result that the client expects. The discrete industry process involved with building aircraft is highly complex in nature because it requires zero tolerance in most of the processes and systems. This zero tolerance approach is not only specific to the manufacture of aircraft, it also applies to cars, smartphones, home electronics etc.

How does SAP Event Management help with discrete manufacturing?

 

The following items are examples of where SAP Event Management plays a key role in assisting with the discrete manufacturing process:

 

  • Monitoring shop floor production processes for make-to-stock, make-to-engineer and make-to-order scenarios, reducing exception errors by up to 30%
  • Monitor the end-to-end procurement visibility process including procure-to-pay, and reduce the cycle time by up to 30%, exception errors by up to 30% and ensure that the required inventory is maintained to save the cost of goods and services by up to 30%
  • Monitor the end-to-end order fulfillment process including order-to-cash and decrease the delivery lead-time by up to 30%, increase customer satisfaction by up to 30% and delivery before or on time. If any exceptions errors occur then ensure that an alert is sent to customers and the relevant teams well in advance
  • Monitor the end-to-end domestic and international road and sea shipment process. Track and trace the shipments that have departed, and raise an alert for exception errors before or on time so that they can be addressed.
  • Monitor the end-to-end RFID-enabled Returnable Transport Items (RTI) process and ensure integration with the SAP Auto-ID Infrastructure (SAP AII) product. Raise an alert for exception errors or trigger subsequent processes for commissioning RFID tags, decommissioning RFID tags, loading, unloading, goods issues, returns etc.
  • Monitor the end-to-end RFID outbound and inbound delivery process. Raise an alert for exception errors or trigger subsequent processes such as picking, packing, loading, goods receipt, goods issues etc.
  • Monitor the physical location of delivery trucks, vessels or containers using Visual Business Geo-Map integration

 

Conclusion

 

In conclusion, SAP Event Management helps you to:

 

  • Monitor the end-to-end discrete manufacturing process
  • Immediately notify exception errors during the process
  • Make decisions to adjust the discrete manufacturing process according to exceptions that may have occurred
  • Analyze the overall performance of the end-to-end discrete manufacturing process
  • Enhance and optimize the discrete manufacturing process based on historical performance

The food and beverage industry is by far the largest business in the world. Packaged food sales in the USA alone for the year 2011 amounted to $332 billion US dollars according to the New Zealand Trade & Enterprise government website that reports such statistics. Major food and beverage manufacturers such as Coca Cola, Pepsi, Nestle, Unilever, Fonterra, Danone, Kellogg’s, Tyson Foods, Arla Foods and Millers run their businesses on SAP software application systems.

 

 

Food processing - A Crucial and Complex process

 

Food processing and manufacturing is crucial but also highly complex in nature. Unlike a car or a computer, it is not possible to disassemble food and put back its components into their original states. Each food and beverage requires a separate set of processes, methods and techniques. Some processes feature straightforward manufacturing steps, whilst others have multiple phases to manufacture a single product. No matter how simple or complex, it is ultimately still a manufacturing process. If a single process fails, then sometimes the entire production is affected and can result in expensive losses. The real time visibility of plant operations and multiple levels included on the ‘Bill of Materials’ is another complex element of the food and beverage industry. These complex business scenarios may easily be monitored through SAP Event Management integrated with SAP Enterprise Resource Planning systems. The entire end-to-end production process can be monitored through SAP Event Management Production Malfunction Processing providing visibility into the different or key phases, for example; receipt of goods or failures of plant machines. You can see each of the production statuses from commencement of the process until the final products are received at the warehouse – all in SAP Event Management – and this also has the capability to highlight any unexpected events that occurred in the production process either when they happened, or if less serious, after the fact, for further investigation.

 

 

 

 

 

Food Regulatory Compliance

 

Another important point to consider is that in the USA, the food regulations are different in every state. It is of vital importance to ensure therefore that food standards are met without compromise according to the location of production. Even though the US Food and Drug Administration have a wide range of standards and rules that apply, automated systems help to maintain and adhere to these standards, prior to final preparation and shipping of the product. The integration of SAP Global Trade Services with SAP Event Management enabled precise and real-time visibility into the status of compliance and ensures that custom regulatory rules and requirements are met. The system allows events related to custom declarations for import and export to be tracked directly in SAP Event Management. If any event is unreported or unexpected, it becomes an exception, and SAP Event Management will trigger an alert and communicate to the export and import documentation team ensuring that they address the issue and remain compliant. Alerts can be delivered via a number of methods and commonly include email, SMS, fax or B2B notifications.

 

 

 

Food Distribution and Supply Chain Management

 

Another important factor in the food and beverage industry is that manufactured products must be stored and delivered to customers on or before a specific date that can also be impacted by demand. Food products have a shorter shelf life compared to car or computer products. Therefore, this requires more attention in the Supply Chain Management process. Products are manufactured on a scheduled date and are then stored securely in a warehouse. The real challenge arises in shipping the products across different international borders and at the same time meeting the customer demand on the requested date.

Shipping the product also has different options; from port to warehouse by truck, or from port to destination country by shipping vessel, sometimes including multiple stops along the route, and then delivered from the destination country port direct to the customer. Layers of logistics, for example lead logistics providers and consultants (known as 4PL) and logistics service providers (known as 3PL) play a major role in the ‘track and trace’ location services of the shipped product to the customer. We have to rely on 4PL and 3PL providing both regular and accurate information and updates to determine if the products have reached the customer on time. If there is no visibility into the location of the shipped product, we end up taking a reactive approach rather than a proactive approach when either unreported or unexpected scenarios happen to a shipment.

 

The SAP software products including SAP Transportation Management, SAP Event Management, SAP Customer Relationship Management, SAP Enterprise Resource Planning, and SAP Universal Worklist Configuration are able to provide true visibility into food distribution and supply chain management whilst closing any gaps in the entire process, and handling unreported or unexpected scenarios that may arise at any time during a shipment.

 

 

Why is SAP Event Management truly the king of track and trace?

 

There are a number of reasons that SAP Event Management excels:

 

  • Flexible event tracking for customer orders, from manufacturing to delivery.
  • Integrated SAP Event Management details in SAP Enterprise Resource Planning including sales order and delivery details
  • Integrated SAP Event Management details in SAP Transportation Management
  • Integrated SAP Global Trade Services Customs Management for export and import declarations
  • Event notification via web interface, mobile & technical devices such as RFID and hand-held scanners
  • Rules-based follow-up activity and alert triggering
  • Unexpected event alerting and communication via email, SMS, fax and B2B
  • SAP Business Warehouse Integration for advanced analytics and reporting

In everyday life we experience rules in our lives, for example; stop the car at the red traffic light signal, drop the children at school at 8AM, pay the credit card bill on or before the due date, etc. Violation of certain rules can lead to costly fines, interest payments, or worse. Similarly, every company has several thousands of business rules in various formats depending on their business process and model. For example; Customer A receives material A at the price of $2000 US dollars and their delivery time will be 1 week if the order quantity is >= 100 units. Customer B receives material B at the price of $3000 US dollars and their delivery time will be 2 weeks if the order quantity is >= 90 units. Customer C receives material C and their delivery time will be 3 weeks if the order quantity is >=80 units. The business rule violations in companies leads to fines for breaching service level agreements and thresholds, potential cancellation of orders etc. But in certain circumstances, violation of business rules can lead to losing customers permanently. These types of complex business rules can be easily handled through SAP Business Rule Framework Plus functionality.

 

What is SAP Business Rule Framework Plus (SAP BRF+)?

 

SAP Business Rule Framework Plus (BRF+) is a component of the SAP Netweaver platform and provides a comprehensive application programming interface (API) and user interface (UI) provided through SAP Web Dynpro ABAP technology. It allows us to define, edit and process business rules effectively. It provides functionality to model business rules in an intuitive way and to reuse these rules across different applications.

The image below provide a logical overview of a typical SAP Business Rule Framework Plus environment.

Image Source: SAP AG

Business Rule Workflow

 

 

The image below demonstrates the logical flow of steps involved in developing a business process rule:

 

Image Source: SAP AG

 

The logical steps can be described as follows:

 

  1. Create an application.
  2. Create a function.
  • Create and assign Context Data Object
  • Create and assign a Result Data Object
  • Assign Top Expression to the function

    3. Create and assign Ruleset(s).

    4. Create and assign Rules.

  • Create and assign Expressions
  • Create and assign Actions

    5. Activate the objects

    6. Simulate the function

    7. Integrate the SAP BRF+ function with SAP Event Management Function

Examples of scenarios where we can use SAP BRF+ in SAP Event Management

 

There are a number of areas where SAP Business Rules Framework Plus can be combined with SAP Event Management. Examples of this include but are not limited to:

 

  • Validation of sales orders, delivery and shipment data prior to triggering any expected and unexpected events.
  • Matching suitable sales organizations, customer groups, customers, material groups, materials and locations before triggering actual events.
  • Calculation of shipment delivery lead time based on different sales organizations, customer groups, customers, material groups, materials, locations and storage temperature.
  • Import and export customs declaration lead times subject to countries and any cross-border restrictions.
  • Customer specific estimated time of arrival (ETA) tolerances featuring deviations, for example; ±7 days.
  • Customer and material-specific estimated time of arrival (ETA) tolerances featuring deviations, for example; ±5 days.
  • Material specific estimate time of arrival (ETA) tolerances featuring deviations, for example; ±3 days.

How to include SAP BRF+ functions in SAP Event Management interface reflecting relevant or expected event scenarios from SAP Enterprise Central Component, SAP Transportation Management and/or SAP Global Trade Services?

 

The following logical steps outline the process required are as follows:

 

1. Create a custom function module for Expected Event Extractors or create SAP Event Management Relevance Functions (application object types) or SAP Event Management Relevance Functions (Event Types) Functional Module.

  • Include SAP Business Rules Framework Plus Application, Function ID and Function Name in the custom functional module.
  • Build the input parameters and statically call SAP BRF+ in the custom functional module.

 

2. Assign the custom functional module to the following:

  • Expected Event Extractors
  • Define Application Object Types
  • Define Event Types

 

Let me take you through a detailed scenario in a steel manufacturing company, where SAP BRF+ can be used within a complex business process.

 

 

Source: World Steel Org

 

The client has 100 material groups in their company. Each material group contains 1500 products. Each product has 3 to 5 variants, including length, height and width. Some customer specifications and requirements are different from the standard variant configurations.

 

In calculating the number of elements, we can see the following potential problem:

 

100 material groups x 1500 products = 150,000 products

150,000 products x 3 product variants = 450,000 approximate product options

450,000 product options x customer custom requirements = Exponential numbers

 

When a shipment is created to fulfill an order, business rules determine the subsequent expected events in SAP Event Management, for example; loading begin, loading end, proof of pickup and departure.

Business Rules

 

In the case of our steel manufacturing business, the following business rules have been defined:

 

  1. The loading begin event should happen for X, Y and Z material group within 1 week.
  2. The loading begin event should happen for A, B and C material group within 2 weeks.
  3. The loading begin event should happen for D, E and F material group within 3 weeks.
  4. The above rules do not apply for specific materials M, N and O and in this case, the loading begin event should occur within 5 days and trigger an email notification to the respective customer service representative.
  5. When customers G, H and I are placing an order, a high priority email notification alert to the customer Account Manager should be triggered and the loading begin event should occur within 3 days.

SAP BRF+ Decision Table

 

The following decision table can be used to easily see the business rules that should be applied to customers, material groups and materials based on the time of the loading begin event and whether an email alert should be triggered.

 

 

 

The above rules are easily accommodated in SAP BRF+ through the implementation of embedded functionality entitled Rules and Rulesets, Rule Flows, Decision Tables, Decision Trees, Formulas and Scorecards. It should be noted that this is not limited and SAP BRF+ can also accommodate more complex business rules as well.

 

 

 

Benefits of using SAP BRF+ in SAP Event Management

 

The following benefits are seen when using SAP BRF+ in SAP Event Management:

 

  • Complex business rules can be handled easily through the use of expressions, including functionality such as the Decision Table, Decision Tree, Formula and ABAP function calls.
  • It’s possible to trigger actions such as send email notifications, write a log entry and execute a workflow task from SAP BRF+ for unreported and unexpected events, if required.
  • Custom expressions and actions can be created to handle highly complex business rules for SAP Event Management.
  • A bulk activity user interface has been provided to allow user to simply perform multiple operations against a number of objects at the same time.
  • There is no hard coding required for business rules.
  • It is possible to edit the business rules without very much technical knowledge and activate the business rule again once the changes have been applied.
  • New event handlers for expected events are automatically determined based on modified business rules.
  • It’s possible to maintain business rules catering for expected and unexpected events through Microsoft Excel.

 

 

Performance considerations using SAP BRF+ in SAP Enterprise Resource Planning, SAP Transport Management and SAP Event Management

 

 

Most of the time when formulating a solution for customers, the business rule validation process occurs on the SAP Netweaver platform, but we perhaps do not consider system performance. With hundreds or thousands of business rules defined in SAP Event Management, even just a single second delay in certain business process event scenarios could incur the company a large expense.

 

Performance measurements are mostly dependent on hardware, memory, network and any other processes that are running on the system. SAP BRF+ rules are executed by calling a function via the Application Programming Interface (API). When calling a function, the appropriate class name and the class is loaded into the ABAP memory. The loading of this class takes less than 100KB and overall doesn’t have a large impact on the total memory usage. It’s better to design the environment with scalability in mind, ensuring that enough memory, CPU and system resources are provisioned, mitigating any potential performance impact once the SAP BRF+ and SAP Event Management system is fully up and running at peak usage.

 

 

Conclusion

 

 

Integrating SAP BRF+ into SAP Event Management brings many advantages in terms of defining complex business rules. However, whilst there is no standard SAP BRF+ function defined in SAP Event Management, a customized solution and integration can provide many benefits to the business.

We are probably all aware of hearing or reading the news and publications about how global trade has developed over the last fifty years. Portugal started the eastern trade in the 15th century and they slowly established a sea faring route to sell or exchange the products. The Portuguese had traveled through many countries and took many years to sell or exchange their products. Slowly, this form of trading in the current century has formed many billion-dollar companies selling their own unique products. Global trade is inevitable and every international trade organization would like to have a footprint in all of the countries, but countries have their own import and export models, rules and regulations to protect their people, land, resources and economy. In most situations, these implement restrictions on what, how, where and when trade can be performed.

 

If we look closely at global supply chain management, the global trade export and import processes are an integral part of it. We could not split global trade if a company is selling their products beyond their country boundaries or territories. If a company imports or exports their products, then they have to abide with the import and export laws and regulations of their own country in addition to the country that they are importing from or exporting to.

 

In today’s world, the biggest threats are nuclear, epidemic, and global terrorism. Countries are setting more stringent rules and regulations than two or three decades ago. The import and export of food products will have different rules and regulations than for example vehicle import and export. Pharmaceutical import and export rules and regulations are again different from food product import and export. A company has to declare to the export and import customs departments exactly what their goods or services are, or contain, prior to departure via country import or export.

 

SAP Global Trade Services provides one instance that may solve all the different countries import and export declaration issues during the global supply chain management transactions.

 

SAP Global Trade Services major components

 

 

              

 

 

The SAP Global Trade Services major components can be described as:

 

  • Compliance Management
  • Customs Management
  • Risk Management
  • Electronic Compliance Reporting (ECR)

 

Customs management in SAP GTS

 

The Customs Management component will assist you in generating the required export and import documentation for customs authorities. The trade documentation is required to accompany the products, or to be sent in advance in electronic form or as physical documents prior to the export or import occurring. Every country has their own automated application systems, for example in the USA there is the Automated Export System, in Germany the ATLAS system, and in New Zealand the TSW system. All these systems help trading companies to submit their import and export clearances electronically.

 

 

SAP Event Management comes with a predefined set of expected and unexpected events for SAP Global Trade Services import and export customs declaration integration


The image below provides an overview of the high level integration between a SAP Global Trade Services system and a SAP Event Management system:

 

          

 

Export and Import declaration documents

 

The declaration documents required for export and import can include:

 

  • Customs documents
  • Customs shipments
  • Presentation documents
  • Predeclarations
  • Inbound delivery documents etc

 

Customs export declaration: SAP Event Management expected and unexpected Events

 

The image below provides a diagrammatic overview of the customs export declaration process as processed within a SAP Global Trade Services system and a SAP Event Management system:

 

          

 

Customs import declaration: SAP Event Management expected and unexpected Events

 

The image below provides a diagrammatic overview of the customs import declaration process as processed within a SAP Global Trade Services system and a SAP Event Management system:

 

          

 

Two SAP Event Management BADI implementations for SAP GTS customs export and import declarations

 

The following are two examples of calls to SAP Event Management for implementing SAP Global Trade Services customs import and export declarations:/SAPSLL/EM_CUS_DOC_EXP - Call SAP Event Management for customs export declarations/SAPSLL/EM_CUS_DOC_IM - Call SAP Event Management for customs import declarations

Benefits of using SAP GTS Customs Management integration with SAP Event Management

 

The following benefits can be gained by integrating SAP Global Trade Services Customs Management with SAP Event Management:

 

  • Receive high visibility on customs operations and import and export customs documents
  • Trigger a proactive alert if the import and export customs documentation are not sent on time
  • Create manual or automated customs documentation before time
  • Avoid costly fines and demurrage charges
  • Submit electronic customs clearance with European, US, Asian, New Zealand and Australian customs authorities in a timely manner
  • Track and trace shipments and custom declaration requirements at departure or destination ports
  • Receive customs declaration status on shipments
  • Raise an alert when customs authorities do not provide clearance of the shipments within a specific time

Conclusion

 

Enabling SAP Event Management with SAP Global Trade Services provides high visibility of customs import and export declaration documents and provides preventive action enabling submission of manual or electronic documents without any delay.

This topic discusses the Unknown truth of SAP ERP, SAP Event Management and SAP Customer Relationship Management Trio Combination.

 

Before going into the topic let's see 'How Supply Chain Management is important in today’s end to end business process?'.

 

Supply chain is everywhere from running your home, in health services, hotel, retail, Wholesale, oil and gas company.

 

Some of you may remember an incident which took place during 2005 Katrina Hurricane disaster in New Orleans. Wal-mart, the world’s largest retailer shipped 2500 containers of disaster relief products quickly and efficiently to the devastated region in the first two and a half weeks. In fact they beat the federal emergency management agency and red cross on proven efficient supply chain. Walmart is considered to be the master of supply chain management and their efficient work during a natural disaster shows that Walmart is truly a master of supply chain management (Source: Total Supply Chain Management By Ron Basu, J. Nevan Wright).

 

Not only for Walmart, but, Supply Chain Management acts as a crucial part for many clients across the globe. Procuring and delivering to customers has become quite a challenge in each and every step in end to end business process cycle.

 

To understand the supply chain management in detail, I will take you through a scenario...

 

When we buy 12 cans of cola in a cardboard case from super market, the only thing we notice is the refreshing drink inside the can. But the end to end process involved, from manufacturing the cola till delivery to supermarket is lengthy process.

 

Bauxite ore is mined in Australia and then transferred in Trucks to nearby mill to produce powdery Alumina. Bulk Alumina is then transferred from mill to port in Truck and from there to the destination country in Ship. The molten aluminum is cast into ingots and shipped by boats or trucks to Philadelphia, US. The ingot goes into several processes to make coils. Thin coils are then shipped by truck to Can maker’s warehouse in Illinois State, US. Cans are manufactured and shipped to bottlers warehouse in pallets by truck. The cola company fill the cans and ships to supermarket by truck and cola finally reaches you.

Now we understand there are several sub-processes involved to make cola in can and deliver to supermarket. The key here is effective supply chain management which brings the products on time to port to reach destination country or to reach warehouse, to manufacture on planned time, to ship to warehouse and deliver to super market.

Now, let’s move on to understand how the trio of SAP ERP, SAP EM and SAP CRM will bring effective supply chain management.

 

When a supermarket orders 1000 cans of Cola, SAP ERP system raises sales order to process the order. All monitoring from order creation till receiving the payment is done by SAP EM system. SAP EM also captures expected and unexpected events. If any unexpected or unreported event occurs then SAP EM triggers a task in SAP CRM via ERMS and assigns it to relevant team for further processing.

 

The Sales Order is converted into production order for manufacturing. If there is any issue with production order then an unexpected event triggers to SAP EM and SAP EM will create a task in SAP CRM and assign it to production planner via ERMS to look at it. If there is no response, the issue will be escalated to the next level.

 

On successful completion of production, the purchasing team raises a PO to vendor to supply 1000 cans. When there is any delivery delay, short of qty, delivery time adjustment, SAP EM will trigger a task in CRM and assign it to customer service team via ERMS to notify customer about these changes.

 

Similarly if there is any shipment delay due to nature cause or cross border customs issues then SAP EM will trigger a task in CRM and assign it to shipment team or destination country customer service team.

 

 

 

 

In all of these scenarios, the issues have been addressed and resolved on time due to effective integration of SAP CRM with SAP EM and ERP. This proactive approach makes the business model transparent and deliver product on time without any delay. In case there is a delay, the customer would be happy if they are notified well in advance.

 

Everyone knows SAP ERP and SAP Event Management integration in today’s supply chain management, but integrating SAP Customer Relationship Management with SAP ERP and SAP EM are unusual but it gives a lot of benefit.

 

Some advantages as as follows:

 

  • Proactive customer service
  • Assign a task to relevant team
  • High visibility
  • Leverage to action immediately within SLA
  • Fill the gaps and tighten the integration of supply chain management
  • Mitigate the risk of losing customers
  • Monitor and evaluate your customer service

 

As of now, SAP Event Management has not been integrated with SAP Customer Relationship Management in Standard SAP. However, the customized solution gives you 100% transparent visibility on Sales and proactive service approach.

SAP has integrated SAP Fiori with SAP Event Management 9.2.  This is another major milestone in SAP Event Management and this tool is going to attract more customers who would like to view KPI’s with graphical visualization in real time through SAP Smart Business cockpits.  However, SAP hasn’t published the guide on “Available Features and Integration options” as of now in SAP OSS note 2093429 - Create an own Fiori app for Event Management 9.2

 

 

Release of SAP Fiori application with SAP Event Management 9.2, we can create our own FIORI application and make a new user experience (UX) across all devices (computers, smartphones, tablets etc.) to clients.

 

 

This is a good news but “What is SAP Fiori?”



SAP Fiori is the new user experience (UX) for SAP software. It applies modern design principles for a completely reimagined user experience. SAP Fiori UX represents a personalized, responsive and simple user experience across devices and deployment options.

 

 

Current SAP Fiori products for SAP Business Suite:

 

 

SAP Fiori for Request Approvals

SAP Fiori for SAP ERP

SAP Fiori for SAP CRM

SAP Fiori for SAP SRM

SAP Fiori for SAP SCM

SAP Fiori for SNC

SAP Fiori for MDG

And so on....

 

 

SAP FIORI product information link and check this brief video introduction of it.

 

 

I will update the features in this same article once SAP has officially released the information.

This Note is a few months old now but can't see it mentioned here at SCN...

Good info on TM/EM connectivity.

 

 

 

Symptom

Some settings described in the documents do not comply with the current release.

 

Solution

Change History and Updates for the document - please implement the changes as described.

SAP TM 9.1 SP00 and higher with SAP Event Management 9.0 SP04 and higher - latest release v4.21 June 2014 (see attached PDF).

Guides for previous releases are available from Solution Manager.

Actions

Filter Blog

By author: By date:
By tag: