Trade Promotion Management with SAP: CRM 2007 makes the

difference (#2)
Timo Wagenblatt
Business Card
Coman!: SAP AG
Posted on Mar. 31, 2008 082! AM in Business Pro"ess #$%ert,
Consumer Produ"ts, C&M, 'i(e S"ien"es
Trade Promotion Management in CRM 2007 " #ntegration is $e! to Create S%erior
C%stomer &a'%e

As dis"ussed in t)e last blog *"an be a""essed )ere )tt%s++,,,.sdn.sa%."om+ir-+sdn+,eblogs.
blog/+%ub+u+2011200313 SAP C&M 2001 %ro4ides all "a%abilities needed to ensure a "onsistent
%ro"ess (rom %lanning to "ommitting to e$e"uting to 4alidating and settling. #4er5 single ste% is
seamlessl5 integrated (rom a %ro"ess %oint o( 4ie, but also (rom a s5stem integration %oint o(
4ie,.
T)is time, let6s (o"us on t)e integration as%e"t in more detail and )a4e a loo7 )o, t)is relates to
t)e to%i" o( dedu"tions t)at ,as in t)e s%ot lig)t last time.
SAP C&M is ,ell 7no,n (or its integration "a%abilities as SAP )as t)e onl5 Business Suite t)at
is build b5 e4olution. T)e integration ,it) #&P *master data, "am%aign determination, %ri"ing
%ro"edure, "ondition re"ords, rebate agreements, et".3 )as alread5 made its re"ords in t)e
industr5.
T)e e4olution o( SAP C&M is ob4ious -ust loo7ing at t)e list o( ne, integration to%i"s to su%%ort
t)e %ro"esses and %ra"ti"es labelled as Trade Promotion Management, in"luding Trade 8unds
Management and Trade Claims Management

Trade Promotion Management (TPM3
Trade %romotion %ur")asing integration (or MM
Trans(er C&M %ur")asing re9uest out o( trade %romotion %lanning to #&P %ur")ase
re9uisition and %lan t)e %ur")asing "osts (or trade a"ti4ities dire"tl5 in C&M in"luding
%ro"ess integration in Trade 8unds Management
Trans(er C&M target grou% + %rodu"t segment to #&P S:, (or %ri"ing e$e"ution %ur%oses
Allo, Cam%aign :etermination (or Multi%le Promotions
Trans(er 'ean Promotion Master ob-e"t (rom C&M to #&P
Tiered Gro,t) &ates + S"ales (or Trade S%end Conditions

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Trade (%nds Management (T(M)
;%load a"tual sales 4olumes (rom #&P S:
;%load dis"ount amounts (rom #&P S:
Trans(er a""ruals to #&P 8< and C=

Trade C'aims Management (TCM)
Trans(er #&P dis%ute "ase to C&M "laim submission do"ument
Trans(er C&M "laims settlement to #&P 8< *A& or AP3 and C=>PA + PCA
S5n")roni?ation o( dedu"tion "laim settlement (rom C&M to #&P dis%ute management
*8SCM3
Trans(er o( C&M %re>%a5ments to #&P dis%ute management *8SCM3

As dis"ussed last time a dedu"tion is an5 situation ,)ere t)e ")annel retailer or distributor )as
redu"ed t)e brand o,ner6s in4oi"e amount, be"ause o( a ")arge ta7en against trade %romotion,
mar7eting or ot)er a"ti4it5. T)e dedu"tion results in a residual *o%en3 item. <( t)e o%en item
"annot get resol4ed or i( t)e ")annel retailer or distributor sends in(ormation t)at )e is not going
to %a5 t)e residual item a dis%ute "ase ,ill be "reated and t)e trade related ones are "leared in
C&M. :is%ute "ases "an "ombine multi%le o%en items, but t)ere are legal re9uirements t)at in
some "ountries t)ere need to be a 11 relations)i%.
And t)at6s )o, t)is loo7s li7e in C&M 2001@ starting %oint o( t)e demo is a(ter t)e trans(er o( t)e
dis%ute "ase (rom #&P to C&M (or 4alidation
T)at6s t)e %o,er o( integration, %ro"ess>,ise and s5stem>,ise > ,)i") al,a5 )as to "ome
toget)erA To ,at") t)e 4ideo in (ull s"reen mode "li"7 )ere.
SAP C&M )as made signi(i"ant in4estments in de4elo%ing a "om%re)ensi4e integrated SAPB
Trade Promotion Management *TPM3 solution. Wit) t)e integrated ba"7>end %ro"esses, t)e
TPM solution %ro4ides a""urate a""ounting o( all trade and (inan"ial results, 4isibilit5 into
demand %lanning, and allo,ing users to o%timall5 manage all "ustomer a"ti4ities. Wit)
C&M2001 t)e SAP Trade Promotion Management Solution is t)e most "om%re)ensi4e,
integrated TPM solution in t)e mar7et %la"e.
;sing SAP Ser4i"e Mar7et%la"e Cui"7 'in7 +&DT>C&M or
)tt%++,,,.sa%."om+solutions+business>suite+"rm+C&ME2001E(eatures.e%$ 5ou "an get more
solution>related in(ormation.
Timo Wagenblatt is Director Product Management; CRM Consumer Products
Add to del.i"io.us F :igg F &eddit
Trade Promotion Management with SAP CRM 2007 " what)s !o%r feed*ack+
Comment on this we*'og
S)o,ing messages 1 t)roug) 2 o( 2.
Titles =nl5 Main To%i"s =ldest 8irst
Ge, 8eatures in TPM
2008>02>01 10282! &o5 =li%)ant Business Card H&e%l5I
TPM in 2001 "ertainl5 )as added some (eatures t)at ,ill )el% businesses better manage
t)is %art o( t)eir business. Jour "omment in t)e earlier entr5 about some businesses Knot
at allK doing t)e 4alidations on dedu"tion settlement )ig)lig)ts t)at mu") im%ro4ement
"an be made in t)ese %ro"esses.
=ne area t)at < ,ould li7e to see 5ou dis"uss is t)e ma$imum 9uantit5 (or a %romotion
(eature. <( an organi?ation isn6t managing t)eir dedu"tion "osts, < (eel it is li7el5 t)e5 are
not ,at")ing t)eir total "osts as ,ell. T)is (eature seems li7e a great ,a5 to im%lement a
Ksto%>lossK rule to ma7e sure a %arti"ular %romotion does not "onsume t)e entire budget.
&egards,
&o5
o Ge, 8eatures in TPM
2008>02>01 121101 Timo Wagenblatt Business Card H&e%l5I
Lello &o5,
T)an7s (or 5our "ommentsA T)at6s a good start and a"tuall5 t)at6s ,)at < reall5
,ant to a")ie4e ,it) m5 blogs > dis"ussions, ")ats, t)oug)ts about and around
TPM.
To 5our %oint about t)e 6sto%>loss6 > t)ere are a"tuall5 t,o %ro"esses t)at su%%ort
t)e "ontrol o( (und usages.
> (or o((>in4oi"e trade s%ends ,)ere t)e dis"ount is dire"tl5 a%%lied to t)e order,
,e introdu"ed an o((>in4oi"e "a% t)at limits t)e "onsum%tion 4ia sales orders. T)e
=< "a% "an be set during %romotion %lanning. T)er(ore 5ou "an %rote"t 5oursel(
(rom big o4ers%ends.
> ,e also )a4e t)e "a%abilities o( (unds a4ailabilit5 ")e"7s. Jou "an %lan (unds (or
ea") %romotion+trade s%end and during settlement 5ou "an limit t)e s%end to
eit)er t)e a4ailable budget or to 5our trade %romotion "ommitment. All ")e"7s
"on(igurable to meet all 4ariations o( "onsum%tion ")e"7s during settlement and
(or %lanning as ,ell.
&egards,
Timo
Ge, 8eatures in TPM
2008>10>02 003018 Sriram <5er Business Card H&e%l5I
Lello Timo,
&e(er TPM 2001, < ,ould li7e to 7no, t)e (eatures %ro4ided under "laims
%ro"essing, s%e"i(i"all5 (or SAP CPG.
> :oes TPM 2001 "laims module "al"ulate t)e "laims automati"all5 based
on %re>de(ined rules.
> W)at are t)e %re>re9uisites in C&M and #CC *some broad (un"tional
as%e"ts3
A%%re"iate i( 5ou "an %ro4ide 5our t)oug)ts or guide me as a%%ro%riate.
&egards,
Sriram.
Ge, 8eatures in TPM
2008>10>0! 021!3M Timo Wagenblatt Business Card H&e%l5I
Lello Sriram,
&e > :oes TPM 2001 "laims module "al"ulate t)e "laims
automati"all5 based on %re>de(ined rules.
<6m not 100N sure ,)at 5ou are e$a"tl5 re(ering to, but t)ere is
multi%le ,a5s to "al"ulate t)e %lanned e$enditure o( trade
%romotions de%ending on t)e ")osen deal. < ,ould re"ommend to
)a4e a loo7 at t)e ram% u% material to get additional in(ormation
using SAP Ser4i"e Mar7et%la"e Cui"7 'in7 +&DT>C&M or
)tt%++,,,.sa%."om+solutions+business>
suite+"rm+C&ME2001E(eatures.e%$ 5ou "an get more solution>
related in(ormation.
&e > W)at are t)e %re>re9uisites in C&M and #CC *some broad
(un"tional as%e"ts3
Prere9uisites (or "laims management or %rere9uisites (or TPM.
8un"tional>,ise or release le4el > ,ise.
Sorr5 (or not )a4ing t)e ans,er dire"tl5, but < ,ould need some
more details so < "an address 5our 9uestion better.
T)an7s,
Timo