German software maker SAP AG is preparing to launch an updated version of its supply chain management suite in June. The new version of its mySAP Supply Chain Management suite will come with more industry-specific capabilities that link and support service and product chains and demand-driven fulfillment networks.
The key addition in the release will be the inclusion of an after sales market module to facilitate service parts management.
Tools will be provided to differentiate and manage both slow and fast moving parts, which helps companies to better synchronize and optimize inventory movements between different centers.
The after-sales market extends traditional product-focused supply chains to synchronize with services and provides companies with new revenue opportunities. According to AMR Research companies can cut service-parts inventories by up to 30% and raise service levels by 95% as a result of supply chain automation and management software.
SAP says both environments can now be stitched together through its NetWeaver platform.
The software will also tighten up links with ERP platforms, including non-SAP systems for replenishment planning and forecasting and provides collaboration and supplier managed inventory support for retailers.
This will be the fifth major release of the mySAP SCM suite. SAP says it has been working on the release for two years.
Following recent acquisitions, SAP now competes more directly with Oracle in the services-led supply chain space. Oracle has its own enterprise asset management and field service applications which are focused on optimizing service contracts.
Overall SAP has over 13,600 mySAP SCM customers worldwide.