Supply Chain Management Blogs by SAP
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Doug_DeLuca
Product and Topic Expert
Product and Topic Expert
328

Previously, we explored how #SAP Business Network Global Track and Trace simplifies and empowers supply chain logistics management by enabling a single connection hub for a network of partners, including shippers, carriers, freight forwarders, logistics services providers, and shipment tracking data aggregators.  This is a key benefit of SAP’s solution over other endeavors to gain logistics visibility through multiple different integrations and swivel-chair processes across individual system providers and portals, apart from core ERP and business processes. 

In this post, we delve into the second differentiator described here – handling disparate data sources. 

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Reason #2: Handling disparate data sources

This core capability addresses a common pain point for manufacturers and distributers along a global supply chain: the challenge of integrating data from various sources.

Manufacturers and distributers operating along a global supply chain often seek updates from different carriers, freight forwarders, and suppliers, each using separate transportation management systems to track and report on shipment progress. The lack of system data and process standardization among the partners in a supply chain can lead to:

  • Fragmented data within and across organizations
  • Inefficient processes to track shipments in sync with order fulfillment
  • Unreliable estimated times of arrival for inbound PO or outbound sales order deliveries
  • Insufficient information to plan or replan around a risk or realized disruption

Problematic shipment tracking challenges supply chain logistics operations, making any process to track shipments accurately and act on informed decisions very difficult. Trying to reconcile data from multiple sources can be time-consuming, error-prone, and ultimately hinder operational efficiency.  This reduces the value able to be provided by supply chain logistics operations, and increases risk of disruption to inventory management, production schedules, and customer fulfillment and satisfaction. 

SAP's solution tackles this challenge by standardizing and harmonizing incoming process tracking data regardless of the source. This essential solution can provide a unified and consistent view of your entire logistics and fulfillment processes.  Manufacturers can gain not just better visibility, but a deeper, clearer understanding of their supply chain's performance for both inbound and outbound deliveries. By harmonizing data from disparate sources, SAP Business Network Global Track and Trace empowers manufacturers to make data-driven decisions with confidence.

For example, a manufacturer might receive updates from an ocean carrier in one format, while their trucking company uses a completely different system, and their own ERP uses a different data set further still. In this example, how would a manufacturer or distributer keep their shipment and delivery processes in sync with their PO and sales order fulfillment management processes? Without a unified solution, reconciling these updates could require extensive manual effort or costly custom solutions, and even introduce errors putting production and brand reputation at risk. With SAP's solution, shipment tracking, and order fulfillment data is harmonized, providing a single, reliable source of truth for shipment tracking, reliable ETAs, and order management. 

The ability to handle disparate data sources is an essential component of process management, and more so when the process being managed envelopes shipments and fulfillment. Inherent in logistics visibility is network collaboration – essentially, digitized process cooperation among an ecosystem of logistics partners. By providing a unified view of supply chain logistics and fulfillment, SAP Business Network Global Track and Trace empowers global manufacturers to optimize their operations, strengthen their supply chain, and gain valuable insights into their logistics performance. In our next post, we'll explore how this solution goes beyond mere tracking to analyze the impact of disruptions on the business, including customer orders.

 

Read more about how SAP customer Corona harnessed their supply chain logistics ecosystem for operational excellence and customer satisfaction. 

Next up, reason #3: Analyze Impacts.   Check back here for the upcoming link or subscribe to SAP Business Network for Logistics on SAP Community