Trade Promotion Management in CRM 2007 - Integration is Key to Create Superior Customer Value
As discussed in the last blog (can be accessed here timo.wagenblatt/blog) SAP CRM 2007 provides all capabilities needed to ensure a consistent process from planning to committing to executing to validating and settling. Every single step is seamlessly integrated from a process point of view but also from a system integration point of view.
This time, let's focus on the integration aspect in more detail and have a look how this relates to the topic of deductions that was in the spot light last time.
SAP CRM is well known for its integration capabilities as SAP has the only Business Suite that is build by evolution. The integration with ERP (master data, campaign determination, pricing procedure, condition records, rebate agreements, etc.) has already made its records in the industry.
The evolution of SAP CRM is obvious just looking at the list of new integration topics to support the processes and practices labelled as Trade Promotion Management, including Trade Funds Management and Trade Claims Management:
Trade Promotion Management (TPM)
- Trade promotion purchasing integration for MM:
Transfer CRM purchasing request out of trade promotion planning to ERP purchase requisition and plan the purchasing costs for trade activities directly in CRM including process integration in Trade Funds Management
- Transfer CRM target group / product segment to ERP SD, for pricing execution purposes
- Allow Campaign Determination for Multiple Promotions
- Transfer Lean Promotion Master object from CRM to ERP
- Tiered Growth Rates / Scales for Trade Spend Conditions
Trade Funds Management (TFM)
- Upload actual sales volumes from ERP SD
- Upload discount amounts from ERP SD
- Transfer accruals to ERP FI and CO
Trade Claims Management (TCM)
- Transfer ERP dispute case to CRM claim submission document
- Transfer CRM claims settlement to ERP FI (AR or AP) and CO-PA / PCA
- Synchronization of deduction claim settlement from CRM to ERP dispute management (FSCM)
- Transfer of CRM pre-payments to ERP dispute management (FSCM)
As discussed last time a deduction is any situation where the channel retailer or distributor has reduced the brand owner's invoice amount, because of a charge taken against trade promotion, marketing or other activity. The deduction results in a residual (open) item. If the open item cannot get resolved or if the channel retailer or distributor sends information that he is not going to pay the residual item a dispute case will be created and the trade related ones are cleared in CRM. Dispute cases can combine multiple open items, but there are legal requirements that in some countries there need to be a 1:1 relationship.
And that's how this looks like in CRM 2007; starting point of the demo is after the transfer of the dispute case from ERP to CRM for validation:
That's the power of integration, process-wise and system-wise - which alway has to come together! To watch the video in full screen mode click here.SAP CRM has made significant investments in developing a comprehensive integrated SAP® Trade Promotion Management (TPM) solution. With the integrated back-end processes, the TPM solution provides accurate accounting of all trade and financial results, visibility into demand planning, and allowing users to optimally manage all customer activities. With CRM2007 the SAP Trade Promotion Management Solution is the most comprehensive, integrated TPM solution in the market place. Using SAP Service Marketplace Quick Link /RKT-CRM or http://www.sap.com/solutions/business-suite/crm/CRM_2007_features.epx you can get more solution-related information.
