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Supporting a real-time inventory availability and backorder processing with S/4HANA Fashion

Wed, Jul 27, 2022

In Conversation with-2

Meyyappan Ramanathan, VP Enterprise Applications, discusses how S/4HANA Fashion was utilized to address issues faced by a European Sportswear brand in our brand-new webcast series, Insights from the Field.

The global sportswear brand was operating with an aging back-end IT system, which limited its ability to increase speed-to-market and achieve real-time inventory visibility. To overcome some of the key problems in running real-time inventory checks and confirmation, custom solutions were developed but these solutions were reaching its shelf-life due to the increasing demand for greater visibility, agility, and frictionless operations.  

Picture1-Jun-08-2022-05-20-19-89-AMBusiness Problem

  • Legacy ERP was not capable of providing real-time availability checks and confirmation
  • The customer could not run through the entire order book and reconfirm orders based on priority
  • Legacy system did not have out-of-the-box stock assignment capability

SAP S/4HANA In Action

This sportswear company's supply assignment, order allocation, and inventory planning processes were already under pressure from managing an increasing number of items and locations. It came to a tipping point where it became crucial to respond to changes in the supply chain and balance supply and demand, without incurring any losses.   

With the help of S/4HANA Fashion, the process was completely revamped, enabling real-time inventory visibility and significantly enhancing on-time delivery for fulfillment commitments and real-time order confirmations. 

Furthermore, Advance ATP combined with ‘BOP (Back Order Processing) engine’ was used to run availability checks, reconfirm, and complete all order book requirements. This approach gave them greater visibility into inventory and the ability to prioritize sales orders for the most important customers while improving inventory turnover and orchestrating deliveries in a timely manner.  

They were able to prioritize sales orders for the most crucial clients using this approach, which also improved inventory turnover and coordinated delivery in a timely manner. 

Another area of focus for the company was 'Supply assignment,' which was also carried out in conjunction with advanced ATP. This easily solved the need for out-of-the-box stock assignment, ensuring that supply is distributed to open requirements in sales orders and stock transport orders.

SAP S/4HANA Fashion optimized this sportswear company's order fulfillment process, paving the way for a long lifespan as well as future growth and innovation - all while overcoming their challenges from loss prevention and inventory tracking to omnichannel fulfillment.

Check Out The Latest Series Here 

You can check back to use case 1 and 2  via the link below – so you can uncover more insights from the  SAP S/4HANA implementation that spanned across 95 stores in 26 countries for this leading sportswear brand in Europe.

Stay tuned for the next episode of the use case series!

YT_Thumbnails_RoEPISODE 1 | USE CASE 1  
Supporting a multinational sportswear company's complicated European legal framework spanning 26 countries.
Watch Now

YT_Thumbnails_Ro (1)EPISODE 1 | USE CASE 2  
Using S/4HANA Fashion inventory and tracking to reduce pilferage across retail stores for a leading sportswear brand
Watch Now


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