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SAP Customer Business Plan – (SAP Trade Management 4.0)

Introduction

SAP Customer Business Plan (CBP) is a part of SAP Trade Management solution provided by SAP for Consumer Packed Goods (CPG) Industries. It is a robust solution that is well integrated with SAP BW and S/4 HANA system.

In my previous blog, I have explained the functionality of Responsibility area and now in this blog, I am explaining the features of CBP, creation of CBP, buyer’s setup and creation of Planning Product Hierarchy (PPH). The below explanation will be helpful in understanding the Process of CBP. This blog is based on CBP classical data model.

SAP Customer Business Planning is designed to close the current gaps in sales processes within the consumer products industry by enabling Key account managers to plan and discuss in the same language as their retailers’ buyers. It helps KAMs to understand the KPIs of their retailers and to identify a mutually beneficial account plan including the best promotions.

Here is below some of the feature of Customer Business Plan:

  • Structured target setting process
  • Volume planning with building blocks
  • Draft promotion planning
  • Customer P&L analysis
  • What-if scenario planning
  • Business-friendly, easy-to-use graphical tool to plan and track annual business with trading partners
  • Support for rolling forecasts
  • Planning of promoted and non-promoted P&L

Creating a Plan

Before going to create a Plan, I will suggest you to check my previous blog on Responsibility area

Login with KAM role in TPM system and choose Customer planning work center. You will see the Responsibility area assigned to your user id. Click on the RA drop down and choose create plan.

Fig. TPM Screen shot

Fig. TPM Screen shot

Fig. TPM Screen shot

On the popup screen select the year to create the plan.

Once you save the plan, system creates an entry as scenario in connected BW system in standard DSO /JBPB/SCEN by using standard master query assigned IN Responsibility area.

Fig. BW Screen shot

Buyers Setup and Internal Target

Setting up buyers is an optional step in CBP. A buyers is a person in customer’s organization who is responsible for buying products in a certain category. Manufacturers define buyers for the customer’s organization with whom they negotiate terms such a volumes, margin and discounts in CBP.

To create a buyer, click on ‘+’ icon and enter the First Name and other details. You can also create internal target by creating target.

Fig. TPM Screen shot

Saving a Buyer creates a BP in CRM system as Contact Person (BUP001) role. It is stored in BUT000 table and you can see it in BP transaction.

Fig. TPM Screen shot

Creating and activating PPH

Planning product hierarchy helps manufacturers to speak in same language as retailers. Key account manager’s creates PPH based on retailer’s view of Product category. This hierarchy may or may not be same as S/4 HANA product hierarchy.  You can combine various categories and products from your ERP pricing hierarchy into a product hierarchy that matches your buyer’s. This can help you present your plan more effectively to your buyer.

Navigate to PPH view, click on ‘+’ icon, provide hierarchy name, choose hierarchy level and click on Create button.

Drag and drop the hierarchy from donut placed on bottom right corner of screen. Create hierarchy as per buyers or retailers view. You can assign the buyers by just clicking on person symbol on hierarchy level (screen shot). Save the PPH and activate it.

Fig. TPM Screen shot

Once you activate the PPH, system create the hierarchy in connected BW system in selected TU (Trading Unit) and CU (Customer Unit).

Fig. TPM Screen shot

Fig. BW Screen shot

Learning

After reading this blog, you should’ve have a good understanding of CBP plan set up and data flow to BW system. This should help you in deciding how you should set up the effective PPH and CBP to leverage the buyers understanding and utmost outcomes.

SAP Note

2877439 – Planning Product Hierarchy popup issue in latest version of Chrome browser.

2826520 – Text and other elements are partially hidden.

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