Saturday, January 18, 2014


The Business Network for Retail

As like the GANGES or the RIVER GANGA in India connects the country with taking everything along, in an organized manner and cleans the things. Even after that the water of the GANGES is transparent. Similarly SAP has recently launched, a Cloud-based HANA offering, SAP Ganges to connect the retail market in India.

India has one of the biggest small retail (Kirana) markets in the world, this is very inefficiently managed. Small retail business owners in India are often isolated from and negatively impacted by supply chain factors. 
The manufacturers, wholesalers, and distributors may be forced to rely on a delayed information flow and lack the infrastructure to connect and manage data from their own customers, especially when their operations are scattered across the country. That limits the growth potential of the market and they have a risk of not being able to compete for business just in time.
SAP has tried to address this issue in India with SAP GANGES.

SAP Ganges will connect the consumer products companies (CPG-Consumer Packed Goods) with their distributors and retailers and gives them real-time information to improve their supply chain efficiency every day.
It will transform the business with the insights generated form the last-mile-connectivity enabled by SAP Ganges.
This solution uses the cloud platform and is designed to enable FMCG companies to obtain greater visibility into their sales network - who is selling how much of what, etc - and enable better forecasting.
It enables distributors to take orders, track inventory at retail stores and receive payments digitally.
It enables banks to assess credit eligibility of retailers. And it enables retailers to connect to their business network.
Each time the retailer punch the information about items sold, the data goes to a SAP cloud centre running on its Hana (in-memory, big data computing- see my article SAP Hana) platform, which captures and analyzes all data. The FMCG companies can get to know what products are moving and where. FMCG companies can send out promotions (discounts) to retailers through this system, and can even target the small retailers.
At the other end, the retail (kirana) store can quickly understand at the end of the day what its collections have been, what it has sold, and send messages for replenishments.
The solution will be integrated with point of sale (PoS) devices.

This solution will:

§  Improve the supply chain efficiency
§  Measure the effectiveness of marketing & promotion spends
§  Increase the revenue due to increased retailer capital
§  Improve the order fulfilment rate with more immediate and accurate purchase orders


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