SAP SCM - Features,

Functions, Modules List

 SAP Supply Chain Management (SCM) Overview
 SAP FICO Course Training
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 Features of SAP SCM Module
 Business Drivers
 Key Features
 Functions of SAP SCM Module
 1. Collaboration
 2. Planning
 3. Coordination
 4. Execution
 List of SAP SCM modules
 Advanced Planning and Optimization (SAP APO)
 Forecasting and Replenishment (SAP F&R)
 Event Management (SAP EM)
 Supply Network Collaboration (SAP SNC)
 Extended Warehouse Management (SAP EWM)
 Difference between SAP SCM and SAP Materials Management (MM)
 SAP MM Flows
 1. Material ow
 2. Information ow
 3. Financial ow
 Key Differences
 Bene ts of SAP SCM Module
 Learning SAP SCM Module
 Henry Harvin SAP SCM course
 Key Bene ts of SAP SCM course
 Henry Harvin Value Additions
 SAP SCM Module Course Fees
 Training Locations
 What are the bene ts of this course to you?
 Additional SAP courses from Henry Harvin
 Summary
 Recommended Reads

SAP SCM - Features, Functions, Modules List

 F  requently Asked Questions (FAQ)
 Recommended Programs
 Recommended videos for you
SAP SCM module is one of the key modules of SAP ERP (Enterprise Resource Planning)
software. SCM stands for Supply Chain Management (SCM). SCM is the management of the
flow of goods or services required for the delivery of a product to its end customer. The flow
begins from the sourcing of raw materials till the final product is delivered. This module
integrates the supply chain operations with the organization’s business processes. The
organization plans the requirement of raw materials and capacity that is needed to deliver the
customer’s product requirements by using the SAP SCM module.

There is an increasing demand for SAP SCM professionals who are able to implement this
module. You can learn about the fundamentals of this module from many training courses offered
by reputed organizations like Henry Harvin, SAP Training, and others. SAP SCM training
provides a large number of career opportunities to many aspirants looking for an exciting future in
this area.

Let’s explore this important SAP SCM module in detail to understand its functions, features, and
benefits to an organization. Also, read about one of the top SAP SCM course offered by Henry
Harvin Education.

SAP Supply Chain Management (SCM) Overview

SAP SCM module is an SAP-integrated supply chain software to increase the agility of businesses
so that they can respond quickly to changing market demands. The important processes in a
supply chain are:

Sourcing of materials and their procurement

Planning of supply chain
Transporting of required materials
Storage and distribution
Services (in case of after-sales service, repair, upgrades, etc.)

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SAP SCM - Features, Functions, Modules List

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Using the above processes, an organization is able to manage demand forecasting, supplier
management, production planning, logistics, and distribution. In some cases, it also enables the
repair or return of defective products.

SAP SCM module is able to implement all the above-mentioned processes. It enables
organizations to plan and execute the movement of raw materials and goods within the supply
chain networks. SAP SCM greatly improves the overall efficiency of the supply chain logistics of
the organization. It also assists in enforcing contract compliance by automating workflow
processes. These workflows can include external suppliers also and hence create an integrated
view in a distributed environment.

Features of SAP SCM Module

SAP Supply Chain Management (SCM) module is one of the top applications from SAP. It
enables organizations to stay resilient and productive by optimizing their supply chains. The
module also ensures that the organizations are agile by enabling them to change their supply chain
processes dynamically.

Business Drivers
As described by SAP on their SCM page, the business drivers for the SAP SCM module are:

Design sustainable and recyclable products by creating an end-to-end system of connected

systems, people and processes
Manufacture with minimal waste and impact to environment
Run fast and efficient logistics and supply chain processes
Improve asset performance and reliability to operate in a energy-efficient manner

Key Features
The key features of the SAP Supply Chain Management (SAP SCM) module are:

SAP SCM - Features, Functions, Modules List

 Integrate supply chain processes to improve business agility, streamline logistics, reduce
costs, eliminate wastage and improve overall efficiency
Connect suppliers, manufacturers, partners and customers reliably with real-time
information flow
Accelerate and optimize the procure-to-pay process in an end-to-end manner
Manage forecasting and demand planning effectively
Implement supply chain execution decisions in real-time to minimize delays thereby
reducing losses
Enforce contract compliance for the supplier-side requirements
Reduce transportation costs and manage incentives and rebates
Improve overall efficiency of delivering products to customers by reducing costs and quality
issues

Functions of SAP SCM Module

SAP SCM module consists of the following 4 functions. These functions help achieve supply
chain process optimization. It is this optimization that results in reducing business costs and
improving overall customer satisfaction. These four main functions are:

1. Collaboration
SAP SCM module enables collaboration between suppliers, manufacturers and customers in real-
time. This helps to align the supply/demand parameters and also optimize inventory. The
collaboration ensures that customers are well-informed of the entire process and hence are able to
plan their deliveries. This results in overall customer satisfaction.

2. Planning
Due to the implementation of SAP SCM module, there will be a vast amount of data available in
the system related to supply chain processes. This data is utilized to prepare operational plans
within the system. This will help in improving the raw material flow and efficiency of resource
procurement as well as its usage. The planning can be done as per business decisions at various
levels like strategic, tactical, or operational.

3. Coordination

SAP SCM - Features, Functions, Modules List

There are many stakeholders in a supply chain process. It is essential to coordinate the flow of
data between the different business units represented by these stakeholders. SAP Event
Management (SAP EM) achieves coordination within the SAP SCM module. Events are
generated due to the execution of business processes across the organization. These events are
available to all business units. The events provide metrics and reporting data across the supply
chain network.

4. Execution
Supply chain execution focuses on the day-to-day operations as per the supply chain planning. It
deals with activities such as inventory tracking, order capture, order execution, and scheduling
delivery. If there are any issues during execution like a change in order demand or an issue in the
chain, the plan may be modified in this function.

List of SAP SCM modules

The SAP Supply Chain Management ( SAP SCM module) consists of many sub-modules that
provide all the functionality described above. The main modules are:

1. Advanced Planning and Optimization (SAP APO)

2. Forecasting & Replenishment (SAP F&R)
3. Event Management (SAP EM)
4. Supply Network Collaboration (SAP SNC)
5. Extended Warehouse Management (SAP EWM)

Advanced Planning and Optimization (SAP APO)

SAP APO offers fully integrated solutions for the planning and execution of supply chain
management. It lies at the core of the supply chain link. It includes planning and optimization
functions for different business processes such as Demand Planning, Supply Demand Balancing,
detailed scheduling in Production Planning, and Transportation management.

This component consists of the following sub-components:

SAP SCM - Features, Functions, Modules List

 1. Demand Planning – Generate forecast and market research for products
2. Supply Network Planning – Create plans for procurement, production, distribution and
replenishment
3. Production Planning and Detailed Scheduling – Plan in detail for manufacturing
4. Global Availability – Replenish and deliver on time
5. Transportation planning and Vehicle scheduling – Plan and schedule transportation routes

Forecasting and Replenishment (SAP F&R)

This component enables planning and executing strategies for optimizing inventories with the
supply chain. This will result in lower overall inventory levels and therefore associated costs.

This component provides the following capabilities:

1. Demand forecast – Enables causal-based forecast

2. Replenishment calculation – Identify replenishment levels and plan for synchronizing stores
and distribution centers
3. Inventory optimization – Manage inventory considering supplier restrictions, safety stock
etc.
4. Order Proposal management – Consolidate orders, review and release.
5. Business analytics – Generate reports on Forecasting quality, inventory evolution and out-of-
stock reports

Event Management (SAP EM)

SAP Event Management component enables information exchange between supply chain
stakeholders in the form of events. The events are generated during planning and execution
activities. Different business units can monitor these events and analyze them against their plans.
Monitoring of the events and generation of alerts based on event processing allows business units
to react quickly in case of issues. Thus Event Management (EM) component provides visibility of
the entire supply chain process to its constituents.

SAP EM module enables you to:

SAP SCM - Features, Functions, Modules List

 Monitor and evaluate business processes by checking for events that occurred or did not
occur. For e.g. Goods issued event, Product manufactured event, or missing event for
Product delivered, etc.
Check for events to notify stakeholders or take corrective actions. For e.g. notify the
supplier and business process owner on delay of raw material delivery. Also trigger a new
process for handling the delay.

Supply Network Collaboration (SAP SNC)

This component is used for collaborating with suppliers on a shared platform. It allows sharing of
information related to the demand, inventory, capacity, and other parameters. Supply Network
Collaboration is based on the principle that real benefits of supply chain management are realized
only when there is integration between the participating enterprises.

Supply Network Collaboration (SNC) includes a large number of workflows that assist in
improving collaboration. Some examples of these workflows are:

Demand forecast for replenishment planning

Advanced Shipping Notifications (ASN’s)
Purchase Orders / Replenishment Orders
Scheduling agreements
Work Orders to track progress of production

Extended Warehouse Management (SAP EWM)

The Extended Warehouse Management component provides solutions to move goods between
warehouses efficiently. This helps in effective inventory control and management. The system
supports automated and scheduled processing for such movement of goods. The primary functions
of this component are:

Orchestrate movement of goods

Manage warehouse storage intelligently
Automate warehouse management processes
End-to-end process optimization

SAP SCM - Features, Functions, Modules List

Di erence between SAP SCM and SAP Materials
Management (MM)
SAP ERP suite consists of another module called SAP MM (Materials Management) that seems
to have similar functions in areas of logistics and managing goods in a supply chain. It is
therefore important to understand the difference between SAP MM and SAP SCM modules.

SAP MM Flows
SAP MM is a core function that drives logistics and corresponding supply chain operations.
Primarily it deals with processes around the acquisition, movement, and storage of goods. SAP
MM consists of 3 basic flows:

1. Material ow
Material flow relates to the movement of materials or goods from the supplier to the manufacturer
and finally to the customer. Return of goods from customers is also considered as material flow.

2. Information ow
Information flow relates to the transmitting of orders and updating of the status of deliveries and
returns. It enables real-time updating of these statuses. Thus it can provide a real-time view of the
information to suppliers and customers.

3. Financial ow
Financial flow enables the management of financial documents related to material movement. It
results in the appropriate credit and debit entries of the material value as it moves between
different entities and business units.

Key Di erences
From the above description, it can be seen that SAP MM is different from SAP SCM. SAP SCM
is the “master” or top-level process and SAP MM is a core sub-component. It manages the end-
to-end supply chain processes including forecasting, planning, collaboration, and logistics. On the
other hand, SAP MM handles the logistics functions in an overall SAP SCM system.

SAP SCM - Features, Functions, Modules List

Learn more about SAP MM module by taking the Henry Harvin SAP MM course.

Bene ts of SAP SCM Module

SAP Supply Chain Management (SCM) implementation is beneficial for business organizations to
improve their process efficiency and customer satisfaction. Some important benefits of using SAP
SCM module are:

1. Ability to forecast and meet demands of customers

2. Improved supply chain visibility to suppliers, manufacturers, vendors, and customers
3. Optimized inventory management and logistics
4. Reduced quality issues and less wastage
5. Increased compliance across the supplier network

Learning SAP SCM Module

SAP SCM module is an important application for businesses that want to optimize their supply
chain processes. Businesses can reduce costs, minimize wastage and production cycle times. In
order to fully utilize the features and benefits of SAP SCM, organizations prefer to hire
candidates who have the right knowledge and skillsets.

Hence if you intend to become a sought-after SAP SCM professional, it is important to get
effectively trained in SAP SCM module. There are many training institutes that offer SAP SCM
module training. The blog here lists Henry Harvin Education’s SAP SCM course as the best
value-added course available.

However, please keep in mind that enrolling in SAP SCM training course alone will not guarantee
you a job. The course helps you to understand the concepts and builds expertise in this area. You
will also need to participate in internships and have practical experience in projects. Certification
will greatly increase your chances of recruitment.

Henry Harvin SAP SCM course

SAP SCM - Features, Functions, Modules List

Henry Harvin’s SAP SCM course is one of the top courses for training in SAP SCM module. This
training is designed by industry experts to help candidates master the important concepts and tools
in SAP SCM. The course material is prepared using the latest knowledge and practices used in the
industry. Henry Harvin is affiliated with top organizations like the American Association of EFL,
UKAF, Project Management Institute (PMI) among others.

The trainers at Henry Harvin Education for the SAP SCM course are highly experienced industry
experts holding 15+ years of working experience. These domain experts have already delivered
more than 350 lectures on the SAP SCM module. They have also conducted 100+ keynote
sessions for SAP SCM course.

Key Bene ts of SAP SCM course

Following are some of the key benefits of the Henry Harvin SAP SCM module training course:

SAP SCM - Features, Functions, Modules List

 1. Gain complete knowledge of SAP SCM modules like Business Forecasting, Product
Planning and Demand Planning.
2. Learn how Supply Chain processes can be effectively managed in organization
3. Participate in projects in SAP SCM module
4. Avail of internship opportunities to gain practical experience
5. Receive Live Online training of 32 Hours worth of interactive sessions
6. Attend unlimited batches with different instructors for next one year
7. Get assistance from industry experts for scheduling and clearing the certificate requirements
of SAP Exams
8. Access E-Learning material, bootcamps and hackathons
9. Receive support 24 x 7 and unlimited sessions with ERP Academy trainers
10. Enhance your resume with assistance from experts and improve chances of getting short-
listed

Henry Harvin Value Additions

In addition to all the benefits mentioned above, you will also be entitled to the following value
additions:

Automatic Gold membership for 1 year that will get you all E-Learnings, course material,
and case studies access
Training module with 32 hours of learning, 50 hours of E-Learning material access, and
additional sessions of 24 hours to refresh topics
Hiring opportunities with international brands like Google, Amazon, JP Morgan and other
top brands in industry
Henry Harvin’s SAP SCM module course certificate trusted by industry leaders like IBM,
HP, Accenture and others
Internship options with Henry Harvin and partner firms
Complimentary learning modules for Resume writing and Interview skills

SAP SCM Module Course Fees

The fees for the SAP SCM course for Self-Paced learning are INR 26550 /-

SAP SCM - Features, Functions, Modules List

The Live Online Classroom course (preferred) fees are INR 29500 /-. Here you get everything
that is provided in the Self-Paced Learning course in addition to benefits like a flexible schedule,
1-year Gold membership, and weekly boot camp sessions. You can opt for the option to pay these
fees as installments (EMI). For more information on fees, check the course page here.

Training Locations
Henry Harvin SAP SCM course is available in many cities across India. Below are a few
important cities where you can opt for this course:

Mumbai
Pune
Bangalore
Chennai
Delhi
Gurgaon
Kolkata
The course is also available online in addition to above locations. Multiple batches are available
for this course. Get more details about the locations for this course here

What are the bene ts of this course to you?

You will have a rewarding career if you take the SAP SCM course. Check out the following
reasons how this will benefit you:

1. Earn the certification from Henry Harvin, a Government of India recognized and award-
winning institute
2. Get SAP Exam assistance for registration and clearing certificate requirement
3. Become eligible for thousands of best remuneration jobs in the SAP domain
4. Distinguish your profile from your colleagues to get that extra edge and get promoted in
your existing job.
5. Get started on other SAP modules and become a top-notch SAP Professional

Additional SAP courses from Henry Harvin

SAP SCM - Features, Functions, Modules List

In addition to the SAP SCM course, Henry Harvin also provides the following specialized SAP
courses:

1. Financial Analysis and Controlling – SAP FICO course

2. Material Management – SAP MM course
3. Production Planning – SAP PP course
4. Customer Relationship Management – SAP CRM course
5. Business Warehouse – SAP BW course
These additional courses will help you to gain competency in the related SAP modules. This can
help you in your quest to become SAP Professional. Hence, you will see why Henry Harvin’s
course is one of the best SAP SCM Module course.

Summary
In today’s competitive business environment, businesses always need to improve their supply
chain process efficiency to reduce costs and increase profitability. In addition to this, customer
satisfaction with delivery and replenishment has become very important. This is due to the
tremendous reach of social media where a single dissatisfied post can be amplified and cause loss
to the business brand value.

SAP SCM module helps to transform the supply chain processes of the business into an
automated and effective system. It has become an important asset in any organization. This is
reflected in the large demand for SAP SCM professionals with lucrative remunerations.

Get trained in this module by taking the SAP SCM course and embark on an exciting journey
towards becoming a certified SAP professional!

Recommended Reads
10 Best SAP Training Institutes in India
Top 15 SAP FICO Courses in Hyderabad with SAP Jobs for Freshers
Top 35 SAP FICO Interview Questions and Answers
15 Best SAP HR Courses In India
Best 10 SAP Training Institutes in Delhi

SAP SCM - Features, Functions, Modules List

Frequently Asked Questions (FAQ)
Q1. What is SAP SCM?

Ans.SAP SCM (Supply Chain Management) module is one of the key modules of SAP ERP
(Enterprise Resource Planning) software. By using the SAP SCM module, the organization can
plan the requirement of raw materials and capacity that is needed to deliver the customer’s
product requirements in an efficient way.

Q2. What are the key features of SAP SCM module?

Ans.The key features of the SAP SCM module are:

1. Integrate supply chain processes to improve business agility, streamline logistics, reduce costs,
eliminate wastage and improve overall efficiency
2. Connect suppliers, manufacturers, partners, and customers reliably with real-time information
flow

Q3. How do organizations benefit from using SAP SCM?

Ans.SAP SCM module implementation benefits an organization to optimize its supply chain
processes and increase agility. The important benefits are:
1. Ability to forecast and meet the demands of customers
2. Improved supply chain visibility to suppliers, manufacturers, vendors, and customers
3. Reduced quality issues and less wastage
4. Increased compliance across the supplier network

Q4. How can I learn SAP SCM module?

Ans.There are many training institutes that offer SAP SCM module training. However, it was
found that Henry Harvin Education offers the best value-added SAP SCM course. Henry Harvin’s
SAP SCM course is one of the top courses for training in SAP SCM module.

Q5. What are the career prospects after learning SAP SCM?

SAP SCM - Features, Functions, Modules List

Ans.SAP SCM module is an important application for businesses that want to optimize their
supply chain processes and improve overall efficiency. Hence there is high demand for SAP SCM
professionals. This is also reflected in the high remunerations offered by organizations for these
professionals. You can benefit from these opportunities in terms of a new job or promotion in
your existing job.

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SAP SCM - Features, Functions, Modules List