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In-Store Merchandise and Inventory Management SAP Best Practices for Retail

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Page 1: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

In-Store Merchandise and Inventory

Management

SAP Best Practices for Retail

Page 2: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 2

Purpose, Benefits, and Key Process Steps

Purpose

These components of the SAPECC Retail System are used in the store. Together with the

central SAPECC, they form a complete retailing system.

Procurement, goods movement and sales postings make up the mass business of a store.

With In-Store Merchandise and Inventory Management, these postings can be executed by

employees directly in the store.

Benefits

Low running costs and hardware requirements

Use of standard technologies

Intuitive, easy-to-use user interface

Business processes designed for store needs

Integration into central merchandising & accounting system

Page 3: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 3

Purpose, Benefits, and Key Process Steps

Key Process Steps

Purchasing

Store to store stock transfer

Physical inventory count

Goods movements

Goods receipt

Inventory Lookup

Page 4: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 4

Required SAP Applications and Company Roles

Required SAP Applications

SAP Enhancement Package 7 for SAP ERP 6.0

Company Roles

Retail Store Manager

Retail Warehouse Manager

Retail Buyer (Invoice Verification)

Page 5: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 5

Process Flow DiagramIn-store Merchandise and Inventory Management

Change delivery

Reta

il S

tore

Ma

na

ge

r

Create Delivery for store order

Reta

il W

are

ho

use

M

an

ag

er

Post goods issue

Post goods issue

External Purchase order

Return purchase order

Store order (direct)

Create store order

(stock transfer)

Store order & vendor

determined by system

Stock transfer purchase order

Post goods return

Page 6: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 6

Process Flow DiagramIn-store Merchandise and Inventory Management

Create goods receipt without

reference documents

Stock transfer

Reta

il S

tore

Ma

na

ge

r

With reference (Article

document)

Create goods receipt with reference

documents

Entering count

With reference (PO)

Misc. goods movement

Create return delivery without reference doc.

Create goods receipt for

delivery

Create goods receipt for PO

Create document in in-store

merchandise & inventory

management

Initial entry of inventory data

Editing differences

Difference values - purchasing

Sales order

Page 7: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 7

In-Store Merchandise and Inventory management -

Landscape

IDES Smart Retailer Inc.

at night:

article and price

EAN

Sales data

cashier statistics

converter

MIM

vendor

POS Server

purchasing activities

inventory management

customer order

management

promotion

Page 8: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 8

Purchasing process of the store

Store

Vendor

Head Office

DC

Purchase

requisition,

purchase

or delivery

delivery delivery

picking

goods issue

invoice

Order data

Page 9: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 9

Replenishment in MIM

SAP Retail Store

Head Office

Store

Planning by visual

inspection

Purchase requisition

Quantity Quantity

proposal

Stock Open

receipts

Material

10,00 10,000 0,000 100,000 R100013

9,000 9,000 0,000 90,000 R100014

8,00 8,000 0,000 0,000 R100015

Replenishment run

Page 10: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 10

Goods receipt in MIM

delivery delivery

picking

goods issue

invoice

Store

Vendor Head Office

DC

Page 11: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 11

Goods movements in the store

movement

normal

stock

promotion

stock

stock store 1 stock store 2

xxx xxx

Store Head Office

Other Store

Page 12: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 12

Inventory in MIM

counting articles

physical inventory

count

scanner

inventory count

inventory book inventory

xxx

inventory result

=

?

Store Head Office

xxx

Page 13: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 13

Sales process

delivery

sales order order

Store Head Office Vendor

DC

Page 14: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 14

Promotion information

Price calculation

volume-rebatearrangements

conditions

order processing

goods issue

inventory management

goods receipt

order

requirements planning

POS incoming outgoing

promotion

free-goods discount

assortments

catalog processing

additional

coupons

bonus buy

Business Information

Warehouseexternal systems

Page 15: In-Store Merchandise and Inventory Managementsapidp/...With In-Store Merchandise and Inventory Management, these postings can be executed by employees directly in the store. Benefits

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 15

© 2014 SAP SE or an SAP affiliate company. All rights reserved.

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and SAP SE or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP SE or

SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and

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