Large enterprises that are spread across multiple geographies, have hundreds of stores and tend to have complex retail operations. Not only do they need a robust ERP to support their financial and other business processes, but the Enterprise also needs a fairly comprehensive and agile retail management system so that updates to their retail policies – be it a simple price change – are communicated across the retail environment in time and with ease.
Large retail enterprises have a challenge: On one hand, they have to manage business complexities; and on the other hand they want their retail application to be extremely intuitive, easy to use and configurable – all from one central location.
iVend Retail with SAP ERP (also called SAP ECC 6.0) steps up to address this challenge while allowing tremendous flexibility with the power of SAP ERP – thereby making the retail operations extremely agile and responsive to constant changes.
iVend Retail integrates with SAP ERP running IS Retail (Industry Solution Retail). The entire landscape is designed to utilise best practices built in the IS Retail for Head Office processes and extend them via iVend Retail to the entire retail environment.
iVend Retail is configured with SAP ERP at the central location – typically the Head Office. The entire retail operations are connected to iVend Enterprise – the central Head Office component of iVend Retail. The stores connect to iVend Enterprise over an Internet connection and the application is designed so that even if the Internet connectivity between the store and the Head Office breaks, the stores can carry on transacting without a hitch. All thanks to the selective replication of data across all stores, which is carried out by iVend Enterprise.
The retail data that is collected and collated at the Head Office is then integrated into SAP ERP in one of two ways:
With SAP PI Server connecting directly into SAP ERP
With SAP PI server connecting directly into SAP ERP along with SAP BI / POS DM
The decision to use either of the approaches depends on the nature of the retail business and on the retailer’s ERP environment. This is a decision, which is normally taken during the business blueprinting stage.
Below are the Outbound and Inbound transactions from the SAP ERP system.
OUTBOUND DATA – from SAP ISR to iVend Retail
|Countries and States||Employees|
|Currency and Exchange Rates||Tax Codes|
|Product Groups & Discounts||Brand|
|Articles, Assemblies, Kit, Gift Certificates||Alternate Items|
|Pricing and tax||Customer Groups & Customers|
|Quantity Discounts||Shipment Types|
|Purchase Order – Raised in SAP – Receive on iVend|
|Stock & Inventory Movements (STOs to store and inventory movements done within SAP)|