Superior productivity and customer service through cloud-based messaging in the Supply Chain Execution Space Descartes and SAP partnership sets new Standards

Superior productivity and customer
service through cloud
-
based messaging in
the Supply Chain Execution
Space


Descartes and SAP partnership sets new
Standards



©
2012 SAP AG. All rights reserved.

2

Agenda

1

Supply Chain Execution Challenges
-

Background

2

Why Descartes and SAP Information Interchange (II)?

3

4

How do we jointly do it?
–

Outline and Demo for a LCL
Ocean Shipment

Where do we go from here? Truly Multi
-
Modal with Airfreight

5

Conclusion

©
2012 SAP AG. All rights reserved.

3

1

Background
–

Why do Shippers and LSP need real
-
time
Information?

©
2012 SAP AG. All rights reserved.

4

Background

•
As mentioned Supply Chain Execution was the best entry point for a long
-
term cooperation
–

hence the integration of Descartes GLN

•
Today’s supply chains are interconnected and in many ways the
availability of shipment information is not much less important than the
physical movement of the goods

•
Both on the shipper and LSP side there are systems depending on
execution status information to trigger the next step

•
However, in a highly diversified and a fragmented subcontractor
landscape this information proves hard to come by

•
Speed of onboarding & data exchange with new customers is critical

•
Now there is an option right out of the box for SAP users
–

use the
infrastructure and intelligence of one of the leading business networks for
supply chain execution
–

Descartes’ GLN connected to SAP’s Information
Interchange (II)

©
2012 SAP AG. All rights reserved.

5

Business Challenges & Network Requirements

Business Complexity

©
2012 SAP AG. All rights reserved.

6

2

Why Descartes and SAP Information Interchange (II)?

©
2012 SAP AG. All rights reserved.

7

Descartes and SAP Information Interchange
-

Value
Proposition


•
Why should you spend the time and money to integrate with each
individual business partner if there is a better way?

•
SAP and Descartes provide that through our partnership because SAP
and Descartes customers can now share mission
-
critical information
easily using SAP II technology
–

no need for SAP
users
to change
anything (e.g. Transportation & Event Management)

•
Descartes and SAP II also support feeds from non
-
SAP systems which
will really make the offering attractive for mixed SAP/OEM offerings

•
SAP has the muscle to extend execution and status management to
mobile devices and HANA In
-
Memory
-
Technology to make network
-
relevant system decisions at a blink of on eye and communicate to end
users just as quickly.

©
2012 SAP AG. All rights reserved.

8

3

How do we jointly do it?

©
2012 SAP AG. All rights reserved.

9

Descartes / SAP Partnership
–

How does it work?



Customers
SAP Systems


ERP

PLM

SCM

SRM

CRM

TM

ERP

Descartes

GLN

Ocean

Carrier

Air

Carrier

Truck

Carrier

3PLs, NVOCCs,
Freight
Forwarders, etc.

CHBs, FPAs,
etc.

Our

Partnership

–

Value
for

the

Customer

•
Certified connectivity
between GLN and SAP
SCE
&
Visibility

Solutions

•
Truly inter
-
modal scenarios
are covered like ocean
freight, airfreight, trucking
and rail

•
Integrated, end
-
to
-
end
processing for increased
visibility
and

speed

Supply

Chain
Execution

Processes

•
Use the GLN cloud to
connect to a vast business
network

of

providers of
supply chain execution
support services

Information Interchange

Content
Engine

-

Item

-

Location

-

Party

Business
Partner

Profiles

E
M

EWM

©
2012 SAP AG. All rights reserved.

10

SAPII and GLN
–

What’s under the Hood
? Example TM

Logistic Hub Operator

Transportation Manager


Logistics Hub

Logistics Execution

Receive
confirmed
Order

Via B2B

TM

Business Operations

Planning
Cockpit

Receive

T
O
, Normalize
and Create
Transport Order
for GLN

Logistic Hub

Business Operations

Cargo
Management

SAPII & SAP PI

Receive
TO

at
Hub
via SAPII

Monitor Transport
Order
in
GLN

Normalize
GLN
for
SAPII

Map to
TO

standard and
Send

Confirmed TO
via SAPII to
Transportation
Manager

Confirm
Transport
Order in GLN

Create
Transport
Order

GLN

Process Integration

SAP Managed Services

f
or SAP Information Interchange

COO

©
2012 SAP AG. All rights reserved.

11

3

Demo Outline for Oceanfreight and Demo

©
2012 SAP AG. All rights reserved.

12

Process Coverage
–

What do we cover? The big Picture
–

From Shipper to Consignee

© SAP 2007 / Page
12

©
2012 SAP AG. All rights reserved.

13

What is the Context? Zooming in on the Export Side

Analytics and Reporting

Event Management

Automatic Export/Import File Creation, Dangerous Goods and Trade Compliance


Standard Document and Output Management for all Modes of Transport

Integration and Connectivity

Customer

Service Agent

Transportation
Planner

Document Processing
Agent
(with Transport
Planning Interaction)

Office Management &
Accounting

Capacity
Procurement,
Network
Planning and
Capacity Management

Customer Billing &
Freight Settlement

Freight Execution &

Monitoring

Order Management


Carrier Allocations, Ocean & Air
Consolidation Schedules


Carrier Freight Agreements


Conversion of Schedules into
Bookings, Confirmation with Carrier


Rates and Service Level
Maintenance


Capacity Monitoring


Load Planning


Consolidation Close
-
out & Uplift
Confirmation


Document Validation


Discrepancy
Handling


Trade Compliance Checks and
Data Validation (with GTS)


Customs Export
Clearance &
Electronic Filings (e.g. AMS)


Transportation
Status
Updates &
Monitoring (Event Management)


MOT
-
specific

Documentation


Pre
-
carriage to Gateway



Customer Invoicing


Carrier Cost Settlement


Internal Settlement


Customer Charge and Tariff
Management as per Industry
Standards (IATA, UN, etc.)


SAP ERP integration
-

Forwarding
Order,
Freight
Booking and Freight Order
Settlement from TM


Manual and Automated

Planning and Dispatching using a
Routing Engine


Security for Air &
Ocean


Pick
-
up Order


Pre
-
Booking with Gateway and
Compatibility Check for special
Handling Requirements


Rating Selection and Customer SOP
Assignment


All shipment types per MOT

©
2012 SAP AG. All rights reserved.

14

SAP Terminology
–

A Primer for the Demo

Industry

SAP

Customer Order

Customer Booking

Forwarding Order


Order with

request to transport goods.

Ocean

(Carrier) Booking

Ocean Freight Booking


Shipper or Frieght Forwarder booking
to reserve space/capacity on a vessel
or ocean schedule.

Transportation Order

Freight Order


Shipper or Freight Forwarding ordering
a inland transport with a carrier.

©
2012 SAP AG. All rights reserved.

15

My

Company

Warehouse

Descartes

GLN

Ocean

Carrier

Air

Carrier

Truck

Carrier

3PLs, NVOCCs,
Freight
Forwarders, etc.

CHBs, FPAs,
etc.

Information Interchange

Content
Engine

Item

Location

Party

Business
Partner

Prof iles

•
Send Booking Request

•
Receive Booking
Cancellation

•
Receive FB
Booking
Confirmation

•
Receive Partial Booking
Confirmation

Ocean Freight Booking
–

Business Process and Solutions

My

Company

SAP TM

LCL
Ocean

SAP ERP

©
2012 SAP AG. All rights reserved.

16

DEMO
-

OCEAN LCL

Ocean LCL Demo

©
2012 SAP AG. All rights reserved.

17

4

Where do we go from there
–

Outlook for Airfreight

©
2012 SAP AG. All rights reserved.

18

Process Coverage
–

Airfreight is
expensive
and requires Automation
–

We can do that, too!

© SAP 2007 / Page
18

Export Gateway

Tokyo
-
Narita

Airport of Departure
Tokyo
-
Narita
(NRT)

Airport of
Destination Los
Angeles (LAX)

©
2012 SAP AG. All rights reserved.

19

Example Airfreight: How do we do that?

Message Type

Sample

Formats

Notes

AWB Space

Allocation Request/Answer (e.g.
FFR/FFA)

Cargo
-
IMP,

Cargo
-
XML or
webservice

Carrier

Booking (TM Freight Booking)

Message Type

Sample

Formats

Notes

AWB Data (e.g. FWB)

Cargo
-
IMP,

Cargo
-
XML or
webservice

Needed by carrier for

data integration
–

trigger for automatic status update
messaging

Consolidation List (Manifest

e.g. FHL)

Cargo
-
IMP,

Cargo
-
XML or
webservice


Needed for Carrier and Customs at
Destination

–

includes security
information

Message Type

Sample

Formats

Notes

Freight Status Update Request / Answer

Cargo
-
IMP,

Cargo
-
XML or
webservice


Depends on Execution Status
Management in TM and

defined
milestones in EM

Message Type

Sample

Formats

Notes

Freight Status Updates (e.g. FSU)

Cargo
-
IMP,

Cargo
-
XML or
webservice

Unsolicited, in always

in conjunction with
AWB data

Message Type

Sample

Formats

Notes

Proof

of Delivery (POD)

Cargo
-
IMP,

Cargo
-
XML or
webservice

Via Descartes

partner carriers (GLN)
–

Telematics/mobility integration

©
2012 SAP AG. All rights reserved.

20

5

Conclusion

©
2012 SAP AG. All rights reserved.

21

What did we cover so far?

Supply Chain Execution Challenges
-

Background

Why Descartes and SAP II

How do we jointly do it
–

Outline and Demo for

Ocean LCL Shipment

Where do we go from here? Truly Multi
-
Modal with

Airfreight









©
2012 SAP AG. All rights reserved.

22

Summary

•
Descartes is an SAP Business Partner according to very stringent
Partner Edge Certification

•
Descartes GLN is the leading logistics execution status exchange
solution in the
cloud

•
Like in social networks (e.g. LinkedIn) indirect business partner
information can be processed (connection of a connection)

•
Jointly, we offer integration out
-
of
-
box to SAP Supply Chain Execution
Systems for a huge number of business partners with multiple roles
(ocean & air carriers, truckers, warehouse operators, shippers,
importers, customs authorities, etc.)

•
Information Interchange enables customers to maintain a single,
universal connector to their SAP applications without having to invest in
extensive mapping to support multiple industry standards

©
2012 SAP AG. All rights reserved.

23

Thank you!