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Integrated Business Planning for the Life Science Industry

Changing business environment increases pressure on companies


Life Sciences companies need to drive real-time insight, operational excellence, and sustainable product and process innovation to secure profitable growth.



   Increasing              Regulatory&                  Rising              Greater Risk              Economic
Technology               Competition                                             Volatility


Growing business while satisfying patient demand is a tough challenge:


  • Rising costs and shrinking margins Global sourcing and continuous downward pressure on inventories and costs from generics

  • Low demand signal accuracy impairs service levels Low demand forecast accuracy leads to stock-outs despite high levels of inventory

  • Serving secure products to patients in more markets Growing product and network complexity leading to increased demand volatility and supply risk



Low Customer Service Despite Huge Inventory Levels
Incorporate the complexities of how supply chains are operated


Timely, profitable response to patient & customer demand
Anticipating and managing uncertainties is key to SC success

Critical Success Factors for Effective Planning & Execution
Life Sciences enterprises need to be agile, better aligned to meet challenges of today & future



SAP Integrated Business Planning (IBP) solution concept
Continuous, integrated, and iterative planning, monitoring, and response

Business Process : Balance demand with supply to attain profitability goals

Simplified Experience, Unified Empowerment for easier & faster Planning


SAP helps transform SC planning process with HANA


Tight Integration with SAP back end


  • Fast development and deployment through agile methodologies

  • Standard integrations to ERP

  • Flexible choice where to execute business processes

  • Deep industry capabilities to maximize value delivery now

  • HANA & IBP enable evolution to next generation real time supply chain platform


Summary: SAP Integrated Business Planning


Why SAP?

With innovative software from SAP, high tech companies can not only efficiently manage volatile and dynamic business but also innovate faster and run simpler


Why do companies trust SAP?

Proven track record of innovation

For high tech companies, the ability to innovate is critical to respond rapidly to evolving trends in today’s connected marketplace. SAP HANA provides the perfect innovation platform for the future


The best and most extensive solution portfolio committed to the future

SAP solution breadth is second to none, as is our commitment to bring industry specific innovative solutions into the market in a comprehensive and transparent manner.

“We remain focused on the success of our customers- they are heart of our ambitions. The passion of SAP employees has brought amazing momentum… our best-ever financial results… are testament to our strategic direction, our customer orientation and our world class employees.” Bill McDermott, CEO, SAP


Key Differentiators of SAP IBP for the Life Science Industry

  • Financial, Unit and rapid “What If” Scenario Planning

  • Shelf Life Planning

  • New Product Introduction Planning

  • Seasonal Scenarios

  • Market level Demand Planning / Forecast Collaboration

  • Complex supply chain analysis:

    • Finished Goods to Intermediates to Raw Materials

    • Multi-stage

    • Handles all Demand and Supply Complexities

  • Demand Variability Analytics (Seasons, Frequent, Intermittent)

  • Network Visualization

  • Assess profitability by customer, channel and product

  • Cross Functional Collaboration through SAP JAM

  • Inventory and Demand Driver analysis

  • Handle large scale scenarios with HANA


Additional Materials

Customer Stories:


Learn More


Key Contacts: Paralkar, Mandar

Getting Started: What is SAP Integrated Business Planning?

Explore Further on the Buying SAP IBP Frequently Asked Questions

Get More Details on SAP IBP Applications with the IBP Online Documentation