Fast Moving Consumer Goods (FMCG) Companies face constant pressures to stay lean and profitable, which is why it is key for manufacturers to stay ahead of constant changes. Shrinkages in product development and replenishment lifecycles, shifts in buying patterns, and tightening profit margins are challenges that FMCG Companies face today, making it imperative for them to have visibility across the business value chain. Additionally, the industry also requires strong marketing, promotion and account management capabilities to manage strategic retail partners and develop digital platform capabilities.
Thus FMCG companies look for solutions that empower them to truly put consumers at the centre of their business strategy: Utilizing consumer demand trends to produce the right products in the right quantities and efficiently supplying them through the right distribution channels; Leveraging consumer insights to meet unfulfilled needs, uncover new product delivery mechanisms and strike non-traditional channel partnerships.
Benefits offered by SAP for
the FMCG Industry
- Gives visibility across the supply chain: From Sourcing & Procurement, Production and Inventory Control to Customer Demand Management, Sales & Distribution and Cashflow Management.
- Manages Inventory in multiple units of measure and enables seamless processing of units in terms of quantity conversions and pricing.
- Manages customer mix and product portfolios to provide options for supply chain cost optimization and profit margin maximization.
- Streamlines product lifecycle management from R&D, to sourcing, production, supply and disposal in a coordinated, and well-planned manner.
- Manages simple to complex customer pricing structures based on product characteristics, customer categorization, accounts, and distributor channels.
- Streamlines Direct, Indirect (Brokers), and B2B and B2C sales processes on a single platform.
- Real-time reporting and analytics enables a quicker assessment of yield and profitability and enables better decision-making capabilities.