SAP Fashion Management 1.

5
Online Knowledge Transfer Workshop
April 21, 2015

SAP Fashion Management

overview & outlook

Overall SAP Fashion Management scope

and outlook

Retail specific functionality

Retail & Wholesale functionality
Manufacturing

# limitations apply

Master Data

Article
Master

Segmentation

Customer
Master

Vendor
Master

Site
Master

Listing,
Assortment
& Layout

Merchandising
Sales
(O2C)

Sales
Order

Planning

OAPC

Procurement
(P2P)

Value
Added
Services #

ATP, ReScheduling

Covered in Release 2.0

Seasons &
Collections #

Pricing

Allocation
Run

Size Conversion*

Retail
Promotions

Shipping

Retail
In-Store
Markdowns MIM

Billing

POS
Outbound

Covered in Release 2.0

PIR

Size
Distribution*

MRP

Seasonal
Procurement

Replenishment / VMI

Purchase
Requisition

Purchase
Order

Planned
Order*

Manufacturing*

Merchandise
Distribution

Inventory Management
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Retail
Allocation

Partner Enablement

Production
Order*

Invoice
Verification

ASN

Markers
Production
Lots*

Goods
Receipt

Valuation/
Product
Costing*

Order
Information
System*

Inventory
Mgmt.

Warehouse
Mgmt

SAP Fashion Management process overview

By Retail / Wholesale
Retail

B2C
orders

Wholesale

Store
replenishment
Assortment
planning
Demand
planning
Wholesales
planning

Store
operations

Retail
allocation
Supply
planning
(MRP)

Procurement

DC
Inventory

Invoice
verification

Early
customer
ordering

ATP
Resched
uling

Order
allocation

Inseason
ordering

Logistics
fulfillment

Billing

Inseason
ordering

Organizational Structures / Master data / VAS / Seasons / Segmentation

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Key functionalities:
ARun

SAP Fashion Management Order Allocation Run

Overview
Requirements

Stock

Wholesale
Warehouse stock
MRP
relevant

Online
Batch
Simulation

Retail

Allocation

Future stock

Optional
Prioritization
rules
Manual changes

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E-Commerce

SAP Fashion Management Order Allocation Run

Overview What can be Allocated
Stock

Requirements

Warehouse stock

Sales documents

Store

With batch management

Without batch
management

Vendor

STO

PO

Stock

SO

Sales orders
Fashion quantity
contracts

Customer

DC 1

Future stock

Purchase orders
Shipping Notifications
(Production orders
Release 2)

STO

Purchase documents

Stock transport
orders

DC 2
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SAP Fashion Management Order Allocation Run

Allocation Process Overview
If allocation is activated in the article master site view any sales order or stock
transport order needs to be allocated before a delivery can be created.

Order
Entry

Selection

Grouping

Sorting

Allocation

Release

ATP

Order Save

Allocation

Delivery

Invoice

Allocation
Workbench
Immediate
Allocation

Allocation results can be changed with the allocation workbench

Rush sales orders can be allocated immediately
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SAP Fashion Management Order Allocation Run

Overview of ARUN Transaction Result Screen

The result screen typically shows: SAP Fashion Management offers three
Allocations Statuses which are determined
Selected requirements
during the release check:
Confirmed order quantity and
F the requested fulfillment rate is met, the
allocated quantity
delivery can be created.
Allocated stock / PO with
H the requested fulfillment rate is met but a
details
manual release to F is necessary before
Allocation status
deliveries can be created.
SAP Fashion Management
R the requested fulfillment rate is not met but
information like season and
the available quantities are still allocated.
segmentation
Contracts and future stock is always allocated
Exception messages
in R regardless of the fulfillment rate.
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SAP Fashion Management Order Allocation Run

Process Overview
Every ARun Type executes a set of rules. This is an overview what these rules are
used for:
Selection
Rules for stock
selection
Batch stock
Storage location
stock
Stock segments
like unrestricted,
quality inspection,..

Grouping
Temporary
grouping during
runtime
According to
various fields used
in sales orders and
stock transport
orders

Future stock:
purchase orders
and inbound
deliveries

Sorting
Sorting of
requirements
According to
various fields used
in sales orders and
stock transport
orders

Sorting of stock
According to fields
used in stock and
purchase orders

Allocation
Allocation logic

Release
Release Rule

FIFO following
the requirement
sorting

Percentage driven
checks on allocated
quantities

Spread stock
distribution in group

Different levels in
order (item, itemgroups, header,)

Allocation rule
Dynamic sorting for
future stock
allocation

Flexible release
rule determination

Filter options
Season
Credit
Cancel date
violation

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SAP Fashion Management Order Allocation Run

Overview Allocation Workbench

Allocate
Release
Block
de-allocate
Display / Change
NEW

Release Check

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System Demo

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Key functionalities:
Segmentation

Segmentation
Elements of Segmentation

Segmentation Structure:
segments used, i.e. quality, channel, country of origin etc.
Also defines possible values for each segment

Segmentation
Elements

Segmentation Strategy:
defines how segments are handled in different situations,
i.e. MRP supply proposal, ARun handling of sales orders,
planned independent requirement consumption

Segmentation Scope:
Defines relevancy of segmentation for both requirement
and stock segments or only requirement only

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Segmentation
Examples

Channel/Market

Logical
Segmentation*
Sub-Channel/Region

Segmentation

Quality

Physical
Segmentation*

Country of Origin

Customer specific

* The system does not distinguish between physical and logical segmentation

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Segmentation
Overview

Definition of
characteristics
for segmentation
and values

Definition of
segmentation
strategies

Stock Segmentation
Purchase
Sales Orders
Requisitions

Purchase
Sales Orders
Orders

Assign to article
master

Requirement Segmentation
Stock
Sales Orders
Transfer
Orders *

Sales
Sales Orders
Documents

Planned
Sales Orders
Independent
Requirements

Warehouse Stock
*Stock transfer from segmented location to segmented location STO can carry requirement and stock segment
Stock transfer from segmented location to not segmented location STO can only carry requirement segment
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Stock
Sales Orders
Transfer
Orders

Sales
Sales Orders
Documents

Planned
Sales Orders
Independent
Requirements

Requirement Segmentation

Segmentation
strategies
Stock Segmentation

Purchase
Sales Orders
Requisitions

Purchase
Sales Orders
Orders

Stock
Sales Orders
Transfer
Orders

Warehouse Stock

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Segmentation
Define Characteristic ( Part 1)
Transaction CT04
Basic data:

The characteristic must be

assigned to characteristic group:
SGT_SAP-C Segmentation
Characteristic

Only characteristic with data type

CHAR are supported

Values:

The possible values are assigned

to the characteristic

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Segmentation
Define Characteristic ( Part 2)
Additional data:
Relevance for some applications can be
defined for segmentation characteristics.

BOM
ROU
WM1
WM2

Component Selection by Segment

Routing Selection by Segment
Warehouse segmentation data
Storage type segmentation data

NEW
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Segmentation
Definition of Segmentation Strategies of Structure (2)
Enter allowed segmentation values.
If you use stock protection: enter the priority sequence of
segment combinations and activate stock protection.
Specify how the requirement segments use the stock segments
during the material requirements planning run, allocation run and
ATP (if the entry below is not maintained)
Specify how the requirement segments are assigned to the
stock segments during the availability check.
You can define common stock pools.
Define the assignment of stock segments to requirements
segments between two sites (plants).
The assignment in this table is used when the dependent
requirement is generated.
Define the stock segment to be proposed for a specific
requirement when the system creates new proposals
Define the requirement segments of the PIRs and the
requirements segments of customer requirement that consumes
the requirement segments of the PIRs
Displays the consolidated mapping rules the system generates
when you save the following transactions:
Requirement/stock allocation
Stock transfer
Requirement to stock conversion
Planned independent requirements consumption
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Segmentation
Segment Combinations
Segmentation structure with 2
segments:

Segment Value
A1

Country:

A, B, C

A2

Quality:

1, 2

B1
B2
C1
C2

Stock
protectionrelevant

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All combinations are allowed.

It could also make sense that e.g.
country C can not have a second
quality because it is never sold
there C2 would not be set up in
this case

21

Segmentation
Requirement / Stock Allocation
Req Seg.

CoNo

Stock Seg.

A1

A1

A2

A2

A2

A1

B2

B1

*1

*1

*2

*2

*2

*1

Quality 1 requirements have

to be covered with first
quality stock. Quality 2
requirements (e.g. for outlet)
can be fulfilled with second
quality as well
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Segmentation
Material Segmentation in Manufacturing Processes

NEW

SAP Fashion Management will support manufacturing of structured articles in

release 2.0.
The standard functionality of segmentation however has already been further rolled
out to support manufacturing of segmented materials.
The supported functionalities include:

Material bill of material (BOM)

Routing

Planned orders

Production orders

Order progress report

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Segmentation
Summary of prerequisites
Prerequisites for usage of segmentation within purchasing processes

You have activated the business function Material Segmentation Across Logistics
(LOG_SEGMENTATION)

You have created the characteristics for segmentation using transaction CT04

You have defined segmentation structures in Customizing for Logistics

General Segmentation Define Segmentation Structures

You have defined segmentation strategies in Customizing for Logistics General

Segmentation Define Segmentation Strategies

You have created articles and assigned a segmentation strategy in the article
master (transaction MM41)

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Stock Protection
Options without segmentation
Assume three business channels and each channel has
planned figures for the next season
Retail

200

Wholesale

300

E-Commerce 100

E-Commerce PO
Wholesale
PO
300

Retail DC

Retail
300 PO
200

Wholesale DC
E-Comm. DC

Stock can be purchased individually and received into different DCs, storage
locations or batches.
This ensures tight stock protection per channel
Stock overview can be difficult
Making stock available for another channel requires stock bookings and may
involve some logistics
These shortcomings can be overcome with Fashion Management stock protection
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Stock Protection
In SAP Fashion Management
The idea:
protect stock for channels
keep common stock without physical separation.
How it works:
Use segmentation to define the channels
Record demand per channel with planned independent requirements
(PIRs)
Availability check (ATP) and allocation run (ARun) consider the
unconsumed PIRs and confirm / allocate only those quantities which
are allowed per channel (in sales orders and stock transport orders)
Channel

Segment

(PIR) qty.

Prio

Retail

200

Wholesale

300

E-Commerce E

100

ATP considers PIRs and thus logically

segments the stock.
ATP could confirm for
retail demand: maximum 600
wholesale demand: maximum 400
e-commerce demand: maximum 100

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Stock Protection
Consumption Examples
Channel

Segment

(PIR) qty.

Prio

Retail

200

Wholesale

300

E-Commerce E

100

Example 1
SO W

STO R

SO E

200

500

50

200 confirmed
0 open

400 confirmed
100 open

200 W

200 R + 100 W + 100 E

0 confirmed
50 open

Example 2

Note: standard Fashion Management logic is

sorting the segments according to the defined
priority, higher priorities can consume quantities
from lower priority segments.
With help of a BAdI it is possible to restrict each
segment to only consume from the same
segment.
Note: no batch management is required if stock
is only logically segmented. This is called
Scope 2
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STO R

SO W

SO E

500

200

50

500 confirmed
0 open

100 confirmed
100 open

200 R + 300 W

100 E

0 confirmed
50 open

Example 3
SO E

SO W

STO R

50

400

500

50 confirmed
0 open

350 confirmed
50 open

200 confirmed
300 open

50 E

300 W + 50 E

200 R
27

System Demo

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Key functionalities:
VAS

SAP Fashion Management Value Added Services

General information about VAS
VAS are specific services attached to goods before they are delivered
Can be charged to customer
Can be created as information only or
as single articles without
segmentation or seasonality

Special handling
e.g. putting shirts on
hangers

Determined or added manually in

sales and purchase order
Ticketing / labelling
e.g. with size-labels or
retail-price tickets

Has its own price

Considered in ATP and ARun
Determined with standard condition
technique

Special packing

Generic article or structured article

levels are not supported for VAS
items

e.g. packing on customer request or for

damageable articles
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SAP Fashion Management Value Added Services

Summary
Customizing

Master Data

Maintain service types

Maintain sub-service types
Set up determination logic
Set up customer group
Set up charge code

Create condition records

NEW

Maintain prices
Create VAS articles*

Enable sales documents: header, item

Enable outbound delivery
Maintain copy control
Enable purchase orders
Set up ARun VAS correlation
Enable customers, vendors
* Created as of type VKHM (existing retail article type) with article type ID 5
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SAP Fashion Management Value Added Services

Charge Codes
NEW
Charge codes link VAS to pricing.
If a customer has to pay for the additional service this can be managed as follows:

Define charge codes in customizing

Assign a charge code in the VAS condition record

Create a price condition type for charge codes or use the default types:
F4AC: To calculate an absolute surcharge or discount
F4AB: To calculate a percentage-based surcharge or discount
Include this price condition in the pricing procedure
IMG Logistics General SAP Fashion
Management Value Added Services
Define Charge Code

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SAP Fashion Management Value Added Services

Creating VAS Condition Records
Value Added Services condition records can be created in three ways

VAS condition maintenance specific to article is used if the VAS is used for both
sales orders and purchase orders.
Transaction: FSH_VASA. Condition type: 01MG
VAS condition maintenance for sales orders is used if the VAS is only for sales
orders.
Transaction: FSH_VAS_SD. Condition type: 03SD
VAS condition maintenance for purchasing documents is used if the VAS is used
only for purchase orders.
Transaction: FSH_VAS_MM. Condition type: 02MM
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SAP Fashion Management Value Added Services

Viewing VAS in Sales Documents
Using transaction VA02 or VA03
choose an item then
Goto Value Added Service
VAS Data in Document

Using transaction
VA02 or VA03 choose
an item then
Goto Value Added
Service VAS Detail
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SAP Fashion Management Value Added Services

Manual Creation of VAS in Sales Documents
Using transaction
VA01 or VA02
choose an item then
Goto Value Added
Service VAS Detail
VAS services and VAS sub-services have to be created upfront so that they can
be used inside the purchase order. The Manual Indicator is set by the system to
indicate VAS has been entered manually (not determined).

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System Demo

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