Today SAP for Consumer Packaged Goods industry solution is the most developed, proved and wide implemented tool for enterprise management.
Consumer packaged goods manufacturers have to cooperate closely with a complex, networked ecosystem of business partners including raw material suppliers, professional services companies, logistics and stock management companies, retail chains and consumers.
Main challenges based on lessons learned from years of developing and implementing ERP solutions for consumer products manufacturers include:
- shorter product life cycle – demand fluctuations;
- influence increase of retail chains and wholesale companies;
- manufacturers price wars;
- international companies aggressive marketing;
- fast accumulated depreciation, continuous upgrade necessity;
- M&A, active market players changes
Companies influenced by market forces have to continuously adapt their business models and set new strategic goals. Among key management initiatives there are such tasks as continuous cost reducing, business visibility increasing, sales channels development. Successful progress in these directions allows to increase company value: because in consumer goods manufacturing, company value is linked to employees performance and not to natural resources or budgets.
SAP solution for consumer goods manufacturers covers all types of management activities: from company strategy development and portfolio planning to manufacturing processes at the workshop level.
Holistic approach implemented in SAP solution provides processes integration and data consistency and maximizes company’s IT efficiency. Implementation plan for a particular enterprise can be developed in consideration with first-priority management tasks and most actual issues solved by company’s IT department involvement.
- Business planning and analysis
- Product development and product launch
- Sales and commodity circulation planning with involvement of distributors and retailers
- Manufacturing and material demand planning
- Procurement management
- Manufacturing processes control
- Marketing and customer loyalty management
- Sales channels and products distribution management
- Financial management and accounting
- Human capital management
- Industry specifics consideration
Successful business development – the logical outcome of SAP for Consumer Packaged Goods solution implementation. The comprehensive solution helps to optimise overall banking business processes by providing niche solutions for specific processes of the individual departments. Competitive advantages of the company which effectively uses SAP solution can be gained by key particular departments as well as the company in a whole with end-to-end processes streamlining and arranging in all functional company departments.
SAP solution forms unified information space of the company which covers all departments including remote departments. Such kind of space allows to unify corporate management procedures, operations management and business development opportunities.