SAP Transportation Management Implementation for a Large Retailer

The LeverX team of experts helped a retail company implement SAP TM, thereby automating transport processes and significantly improving the company's key performance indicators.

leverx group

The LeverX team of experts helped a retail company implement SAP TM, thereby automating transport processes and significantly improving the company's key performance indicators.

Customer

The customer is a retail chain and a leading food retailer.

CHALLENGE

The project was aimed at improving logistics operations through the implementation of a digital solution for logistics and transportation management.

SOLUTION

SAP S/4HANA Embedded TM is a solution that allows you to complete all the logistics tasks and automate manual operations. We chose this solution as a tool to improve the customer's KPI.

High-Priority Tasks

The customer identified the following important tasks for improving logistics processes:

Increasing the level of transport services;
Reducing transportation costs;
Implementing a unified transportation management system instead of fragmented reporting and operation services.

Business Goals

To ensure that all key performance indicators are met and goods are delivered to stores on time, which increases the profit of the enterprise, the customer needed a software solution that would allow achieving the following business goals:

Reduce transport downtime by eliminating manual operations and fully automating processes;
Optimize staff by automating processes, thereby reducing the time to perform daily operations;
Eliminate errors associated with the choice of carrier and route;
Minimize non-production activities by integrating the solution with customer and partner systems.

Solution’s Description

Leverx Group works with companies and organizations to address the complex challenges of today's business world. Each of our partners is an experienced, innovative, and proven leader in their respective fields.

SAP Transportation Management (SAP TM) Implementation

It automates the main logistics processes of the company:

Planning of transportation needs (number of trips for a certain period of time);
Transportation planning (appointment of responsible persons, route selection, prioritization of deliveries, taking into account the shelflife of the goods, etc.)

Integration with the Collaboration Portal

The integration helps with:

Interaction with domestic carriers;
Interaction with external carriers and support for the full cycle of hired transport management;
Contracting and quick bidding for ordering additional vehicles and realization of unscheduled transportation.

KEY PROJECT DIRECTIONS

Directions included in the SAP TM implementation project:

SAP Collaboration Portal

Interaction between customers and carriers, contracting and bidding, quick bidding (SPOT) in case of unscheduled shipments.

Planning and optimization of trunk delivery

Trunk delivery is the transportation of goods over long distances (to distribution centers or between distribution centers). Trunk delivery also includes the provision of transportation services.

Transportation and transportation control

The SAP Event Management solution is used to monitor process steps (events).

Dropshipping optimization and planning

Direct delivery is the transportation of goods from the distribution center to the final destinations of the routes. This is one of the most complex scenarios in SAP TM. We integrate SAP TM with a third-party service to ensure that all road restrictions are taken into account and optimize route planning, we integrate SAP TM with a third-party service.

More than 70 LeverX specialists are involved in the project to implement SAP TM into the customer's business processes. Among them were SAP consultants, SAP developers, functional and technical architects, heads of functional groups.

LeverX experts were responsible for the following project tasks:

Implementation of SAP TM and all settings and improvements in the system;
Integration of SAP TM with other SAP solutions and third-party systems;
User training.

Technology Stack We Used

Mobile

Android (Kotlin)
iOS (Swift)

Mobile

Android (Kotlin)
iOS (Swift)

Mobile

Android (Kotlin)
iOS (Swift)

Mobile

Android (Kotlin)
iOS (Swift)

Mobile

Android (Kotlin)
iOS (Swift)

Mobile

Android (Kotlin)
iOS (Swift)

Document Management

Document Release
Material Master Release and Extension
Sales Order Release
Manufacturing Instruction Release

Request Management

Procurement Request
Tooling Change Request
Shop Floor Issue Request
Customer Issue Request
Plant Maintenance Work Request
Request for Quote

The implementation of the SAP TM solution for automating transport processes has significantly improved the company's key performance indicators and resulted in: