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SAP Customer Activity RepositoryOverview for African SAP User GroupInes Wannemacher, Solution Management RetailOctober 1stPUBLIC

Agenda Intelligent Enterprise & Reference Solution Architecture Overview SAP CAR - Components Overview SAP CAR - Consuming applications Overview SAP CAR - Customers Overview SAP CAR - Roadmap 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC2

DisclaimerThe information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP.Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other serviceor subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any relateddocument, or to develop or release any functionality mentioned therein.This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions andfunctionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in thispresentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is providedwithout a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for aparticular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAPassumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intentional or grossnegligence.All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially fromexpectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates,and they should not be relied upon in making purchasing decisions. 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC3

The Forrester WaveTM: Retail Planning Q1, 2020SAP ranked as a Leader"SAP’s patient investment in retail planning is paying off"Evaluated SAP solutions: 20202020 SAPSAP SESE oror anan SAPSAP tsreserved.reserved. ǀ ǀ PUBLICPUBLIC SAP Customer Activity Repository (including UnifiedDemand Forecast) SAP Merchandise Planning SAP Assortment Planning SAP Allocation Management SAP Forecasting and Replenishment SAP Promotion ManagementThe Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of Forrester Research,Inc. The Forrester Wave is a graphical representation of Forrester’s call on a market and is plotted using a detailed spreadsheet withexposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service depicted in the ForresterWave . Information is based on best available resources. Opinions reflect judgment at the time and are subject to change.134

Bye bye infinity loops 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC5

Intelligent EnterpriseBUSINESS NETWORKBUSINESSPROCESSAcross all functionsEXPERIENCE MANAGEMENTAPPLICATIONSINDUSTRY CLOUDINTELLIGENT SUITESUSTAINABILITY MANAGEMENTTECHNOLOGY 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICBUSINESS TECHNOLOGY PLATFORM6

High Level Reference Solution Architecture – (*planned, **vision)Experience: Experience ManagementCustomerEmployeeProductBrandIntelligent Suite: Customer – SAP CXSAP Marketing CloudSAP Commerce Cloud/UpscaleSAP Customer Data CloudIndustry CloudIntelligent Suite: Merchandise & Fashion Management, EnterpriseManagement, Supply Chain, Finance, HR, Supplier NetworksSAP S/4HANA Retail for merchandisemgmt./ for fashion and vertical businessMaster data, assortment, pricing and promotion, MRP,merchandise buying, allocation, inventory management,(advanced available-to-promise, retail store management,sales order mgmt SAP S/4HANA Enterprise ManagementLoB solutionsfor finance, asset management, sales, sourcing &procurement, manufacturing, R&D/engineering, supplychain, service, HR, industry & technology solutions (seehere) Analytics: SAP BW/4HANASAP Sales CloudEco systemSAP Consumer Sales IntelligenceSAP Customer Activity Repositoryapplication bundlePOS Data Transfer and Audit, unified demand forecast, articleavailability and sourcing; SAP Omnichannel promotion pricingSAP Merchandise PlanningSAP Assortment PlanningSAP Promotion ManagementSAP Allocation ManagementSAP Replenishment Planning*SAP Customer Order SourcingSAP Omnichannel Pricing &Promotion ServiceIntelligent Store**SAP AribaSAP Integrated Business PlanningS&OP, Demand, SupplySAP Supply Chain ManagementOmnichannel Order Mgmt. &Fulfillment**SAP Analytics Cloud (Model Company content)Technology: SAP Business Technology PlatformData PlaneFoundational Plane SAP Mobile ConsumerAssistant by GK SAP Dynamic Pricing by GK,cloud edition SAP Omnichannel Point-ofSale by GK, cloud ed. Loyalty by Annex CLD SAP Loss Prevention byFujitsu Predictive Inventory Orchestration**SAP (Forecasting and) Replenishment(Industry content) –SAP Service CloudApplication PlaneAnalytics SAP Omnichannel Point-ofSale by GK SAP S/4HANA foragreement profitability andnegotiation by gicom SAP Master DataGovernance, retail andfashion managementextension by Utopia 7 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC* Road maphttps://roadmaps.sap.com/welcome

SAP CAR (aka SAP Customer Activity Repository) provides A unified view onsales, inventory,and demand 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICAn omnichannelretailingfoundationAn integratedplanning &predictiveplatformAnalytics & canserve analyticalapplications8

SAP Customer Activity Repository applications bundle and environment Real-time hub providing insightabout the business, customers, &inventory A predictive platform for integrated,omnichannel planning process A platform for innovationSAP Customer Activity Repository applications bundleConsumer Sales AllocationPlanningManagement ManagementOmnichannel Promotion PricingS/4HANA(or SAP Merchandising)LocationClusterProductAttributesfor Retail or for Fashionand Vertical r dataTransactional dataLogistic documentsEtc.Inventory Visibility Omnichannel ArticleAvailability and SourcingPromo OfferManagementAnalyse /Adjust ForecastDemand Infl.FactorsUnified Demand ForecastAnalytics CloudBW/4HANACommerce CloudMarketing CloudDemand Data FoundationIntegrated Business PlanningPOS Data Transfer & AuditGK POSReplenishmentPlanning*HANAMultichannel Transaction DataManagement(in-memory db, predictive analytics)(Forecasting and)ReplenishmentSAP Customer Activity Repository 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC* Upcoming innovation, subject to change9

SAP CAR - Components

POS Data Transfer and Audit

POS Data Transfer and AuditFunctional scope contained in CAR is essentially identical to POS Data Management. POS Data Transfer & Audit within CAR does not requireBW/BI Content anymore like POSDM. Prepares data for subsequent processing by performing masterdata checks and eradicating simple errors such as duplicatetransaction numbers or missing transaction numbers Customer and ChannelMaster datacheckharmonization Provides access to transactional data for sales audit ( POSWorkbench) Aggregates transactional dataand transfers it to follow-onsystems, such as SAP Retail, Forecasting and Replenishment, Provides accessdataPOS Transactionsto real-time, non-aggregatedAggregatetransaction Support for Season Determination by Inclusion of retail fashionseason information that integrates with SAP Fashion Management(such as the season year, season, fashion collection, or fashiontheme) 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICCustomerandChannelDerivationTo ERP,CRMTo F&RTo 12

Multi Channel Sales

Multi Channel SalesCalculationViewsCollects a wide variety of data types (such as transaction, inventory,and master data) from multiple sources to provide an overview ofbusiness activities across all channels. Web, POS, and all channel salesCustomer loyalty informationOrder channel vs fulfillment channelNear real time InventoryAnalyze specific customer segmentsand demographicsDrill down from channel to receiptAvailability of POS, sales order, andreturn transactions at one place enables360 view of the customerODATAInterfaceOrderSAPCARMulti Channel Sales Analytics E-comPOST-logMulti channel salesSalesordersSalesOrderSample of Basket Analyses by Day on SAPAnalytics CloudMerchandise Sales Analytics Analyze performance acrossmerchandise categoriesUnderstand Category performanceacross channels and customersegments 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICSample of Fiori Omnichannel Sales andInventory ReportSample of Sales Analyses by Location onSAP Analytics Cloud14

Demand Data Foundation (DDF)

Demand Data Foundation Demand Data Foundation (DDF) is a module in SAP Customer Activity Repository, which includes a reusable data layer thatsupports the planning, analysis, and forecasting required by different business processes. DDF manages master data such as products, locations, product hierarchy, location hierarchy, offers, or prices. DDF acts as a liaison between the consuming applications installed on top of SAP Customer Activity Repository and themodules within the repository that provide the analysis, modeling, and forecasting services like Distribution Curve or LocationCluster. DDF is also a prerequisite for Unified Demand Forecast (UDF). UDF is the module in SAP Customer Activity Repository thatprovides the demand modeling and forecasting services. UDF requires that DDF is installed and fully configured. DDF provides integration with SAP Business Warehouse (SAP BW) to support the inbound of historical sales data for thefollowing data types( Consumption Data, POS Data, Inventory Data, Sales Orders). Additionally, DDF provides the integration to SAP Marketing Cloud to retrieve e.g. Target Groups to be assigned to an Offercreated in SAP PM. 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC16

On Shelf Availability

OSA: Analyze Sales Patterns to Predict Out of Stocks & Potential Lost Sales The OSA algorithm considers the sales of a product at a specific store.This algorithm extracts the sales transactions from POS Data Transferand Audit transaction data. Then, the algorithm analyzes the length ofeach sales interval between two subsequent sales of that product.Typically, long intervals indicate potential on-shelf availability issues. Using the analytical processing of OSA, you can determine past out-ofshelf situations. This information can be used to determine hotspots of out-of-shelfsituations and to determine appropriate measures to improve the onshelf availability in your stores. By continued observation of the KPIsthat can be built on top of the OSA results, you can measure thesuccess of the realized measures. Using the OSA monitoring for operational processes, you can receivereal-time alerts for products that probably have on-shelf availabilityissues. Employees can react to these alerts by either refilling the shelfwith products or triggering other appropriate activities. Additionally, you can use the OSA module together with the UDFmodule to generate intraday demand forecasts for your products 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC18

Unified Demand Forecast (UDF)

The Unified Demand Forecast (UDF) – Automated learning from dataUnified Demand Forecast (UDF) is an advanced statistical forecast using ML algorithms.UDF combines strengths of various forecasting methods to supply predictive information to all Retail applications.This includes SAP Promotion Management for Retail, SAP Assortment Planning for Retail, SAP Allocation Management, SAPForecasting & Replenishment and all future consuming applications on the SAP Customer Activity Repository.SAP HANA gives the appropriate technology base to run ad-hoc simulations with in-memory performance. Calculates the impact of historical factors that influence demandlike promotions, calendar events, seasonality or price elasticity,then uses Bayesian statistics to fill in the gaps of knowledge ofwhat happened in the past. Calculates a forecast per product / location / channel /promotion / day – flexible multichannel data model is introduced,Intraday results possible Supports what-if forecasting capabilities to compare multiplescenarios, or production forecasting capabilities forongoing/analytic access Visualization tools and apps available 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC20

Unified E2E Processes with UDFSide by sideApplications on SAP CARPromotion PlanningAssortment PlanningUDF Offer Modelling Optimal promotion planning Multiple offer types (Pricereduction, coupon, points) Multiple tactics (Shelf tag,newspaper mail-in, TV) Effects by product location What if analysis for impactof promotion type andtactics Consideration of offerinformation from PromotionManagement as well asoffer information from POSData Transfer & Audit 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICSales and inventory analysis In season KPI’s to supportassortment building Analysis of salesperformance: Actual andforecasted sales revenue,margin and units per day,week, month, year Display of current inventoryposition and projection ofinventory coverage basedon the forecasted sales andincoming ordersAllocation ManagementUDF driven allocation plans UDF as input into allocationstrategies, such as bottom-up store demand calculation (forexample, during the season) top-down allocation using forecast KPIs forcalculation the store split promotional push with store capacityoptimization (upcoming Q4/2019) Special handling of genericproducts: Modelling andforecasting on color level andautomatic size distributionbased on analytical size curvesReplenishmentIntegration of UDF with SAPF&R UDF can be used by F&Ras an alternative forecast tocalculate the SAP F&Rreplenishment orderproposals (including safetyamounts) UDF can be used forselected categories(definition by forecastingprofile) Integration Guide see note236717221

Analyze & Adjust Forecast

Analyze ForecastKey features of this Analyze Forecast app are: Visualize the forecasts provided by UDF, which gives greater visibility intofactors that influence demand Get better understanding how the history is explained in relation to DIFs,pre-processing findings (e.g. outliers) and other components Get better understanding how the forecast is calculated based on thedetermined model and in relation to future DIF occurrences Select forecasts by product, location, or direct link access (e.g. other FIORIapp) Display information by channel Share information on analysis results via mail, pdf, 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC23

Decomposition231 itemsArticleTraining based on ublic HolidaysOfferPromotionBaselineBase SaleForecastInternal DIFs (Automatically considered)External DIFs (Entered by the user and automatically considered by UDF) Offertypes from PMRTactics from PMR:SeasonalityDay of week effectPublic HolidaysPrice ReductionsTrendListingClosing Days 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC ConcertsSchool HolidaysWeatherHotel BookingsBeginning of Month EffectStore Construction 24

Adjust ForecastKey features of this Adjust Forecast app are: Cross linked from UDF Analyze Forecast app. Forecast correction on different assignment levels (products, product hierarchynodes, locations, location hierarchy nodes). Relative, additive and absolute corrections. Provide demand plan (final forecast) service for other processes likeReplenishment. Demand plan considers original UDF forecast, forecast corrections andexternal forecast. Forecast corrections are not considered in forecast calculation.There will be no learning effect in forecast calculation! 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC25

Manage Demand Influencing Factors

Manage Demand Influencing FactorsKey features of this Manage Demand Influencing Factors app are: User interface to maintain validity period and assignmentfor User DIFs(e.g. to explain store reconstruction, local event, strikeimpact). Per User DIF automated assignment to location and/orproduct hierarchy nodes or selected locations and/orproducts can be configured. Maintenance forBoolean DIFs only Trigger simulationfor newly added DIF 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC27

Manage Distribution Curves

Apply Dynamic Distribution Curves to Assortment Planning - Buy PlanDistribution Curves Demand Data Foundation (DDF) can calculate distributioncurves for different scenarios. You can use this service and theassociated Configure Distribution Curves SAP Fiori app tocalculate distribution curves for different consuming applicationsand scenarios. The service analyzes historical daily sales datathat spans over all sizes of a particular product in a particularcolor, while considering past and future season information.Total Planned Units 1000 units Derive a distribution curve for yourproducts utilizing predictive analytics Use several parameters to sizeproducts For example in an allocation management scenario you mighthave a pair of jeans that is available in multiple colors andmultiple sizes per color, and that you want to sell in differentlocations.S150 units–Type of rounding (up, down,commercial)–Minimum by size–Maximum stockM250 unitsL400 unitsXL200 unitsPlan allocation size curve and fill-inunit size distributionApply Dynamic Distribution Curve to Allocation Management - Allocation PlanYou want to know for each color how many units you will mostlikely sell in each size, so that you can plan the stock transferorders accordingly. 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC29

Manage Promotional Offers

Manage Promotional Offers FIORI UI Enables a basic offer creation capability as well asenhanced Fiori based Offer creation andmaintenance Basic Offer UI Maintenance capability without therequirement of a PMR License. Includes Offer templates called Term Styles. Thesemake it faster, easier to create basic Offers. If the customer needs financials, vendor funds,versioning, etc. and more sophisticated marketingfunctionality then they need the PMR license.Fiori Offer Maintenance UI- Offer Detail Properties Screen 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC31

Manage Product Attributes

Manage Product AttributesThis transactional app allows planning administrators tocreate, configure, assign, and maintain product attributes fora selected product hierarchy. Generally, attributes help tofurther slice and dice product hierarchy nodes by productattributes, such as fashion-grade or price-bandProduct attributes can support different business scenarioslike: In Assortment Planning to create assortment modules todefine the right assortment per location. For example, you can determine the total planned salesby the attribute “High Fashion” to ensure there is a goodrepresentation of “High Fashion” items in the stores. In Allocation Management, product attributes are used toselect the workload and allocation plan to allocate theproducts. In Distribution Curve Analysis, they can make theproduct groups more specific (e.g. compare only tshirtsof the same fashion grade). 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC1. Create AttributesUse existing master data attributesCreate planning-onlyattributes2. Assign & Define RoleAssign attributes to product hierarchy levelsManage exceptionsDefine attribute’s role in planning:Use to define # of choices offeredPlan KPIs at this levelInformationalDefine whether to plan at style or style/color level3. Mass MaintainAssign attributes to productsMass maintain33

Manage Location Clusters

Intelligent Location ClusteringLocation clusters can be created and managed by grouping locations intoclusters based on common characteristics or attributes.The following can be done: Specify clustering filters, such as locations and products. Specify settings, such as a date range and currency. Specify clustering criteria, that is, which key performance indicators(KPIs) or business measures you want to use as the basis forclustering. Group the locations into clusters based on your criteria. Once you have created the clusters, you can activate those that youwish to use as the basis for follow-on activities, like assortmentplanning, create location hierarchies or allocation planning.Location clusters are used for example: In Assortment Planning for option planning, assortment definition andsales planning In Allocation Management to ease parameter maintenance and forreporting purposes In Distribution Curve configuration for defining where the configurationshall apply 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICCluster AClusteringcriteria:KPIsAttributesExternal dataIntelligentClusteringCluster BPredictiveanalytics:k-meansSlight silhouette35

Inventory Visibility

Real Time Inventory VisibilityStorepersonell(In StoreApps)B2C apps andclick&CollectE-comCurrent Store Stock Current ERP Retail stock - POS Unprocessed Sales - POS UnprocessedGoods Movements – Reservations (optional)SAP OSCheckoutUnprocessedsalesUnprocessedgoods movementsCurrentERP StockUnrestrictedERP StockStock intransitReservations(optional)Inventory valuation at cost and retailGoodsmovements 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLICInventory37

Omnichannel Article Availability &Sourcing

Omnichannel Article AvailabilityCAR is the central hub for article availability information for allchannels Availability requests for DCs, stores and vendors Multiple API’s provided to check article availability in CAR (taking eligible sourcesinto account) Rough stock indicator (traffic lights) in a webshop (out-of-the-box integration withHybris Commerce)ATP information in CAR DC availability is based on ATP calculation in ERP (time-series information), whilestores availability is based on inventory visibility in CAR (current stock information)Temporary reservations Ensure data consistency by using temporary reservation as placeholder until ERPorder is created Increase performance by using temporary reservation as placeholder until next ATPrun for DCsSmart update logic DC availability snapshot update by parallelized ATP run in ERP Retail (full & delta) Store availability update by real/near-time POS & SD sales order & ERP stockupload 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC39

Online Shopping Scenario using Omnichannel Sourcing and AvailabilityFulfillOrderHandoverStoreClick &DCOnline StoreCollectin the storeOption: Stock transfer from DC tostore for click and collectAvailabilitySourcingReservationAvailability and Sourcing 20202020 SAPSAP SESE oror anan SAPSAP tsreserved.reserved. ǀ ǀ PUBLICPUBLICVendorShip4440

Omnichannel Promotion Pricing

Omnichannel Promotion PricingProvide a seamless omnichannel buying experience for end-customer across all sales channelsWhat is it? With the new Omnichannel Promotion Pricing Service, SAP provides a solutionto ensure correct and consistent effective sales prices in all saleschannels along with the ability to introduce new pricing rule types with lowimplementation effort across all sales channels.How? Central price and promotion repository containing the price and promotionalvalues and rules needed for correct sales price calculation in all sales channelsand supporting a defined set of rules (e.g. bonus buy types/ mix’n match,customer specific prices) Promotion Pricing Service provided by SAP that calls into the price andpromotion repository to calculate the effective transactional price for the endcustomerWHAT IS IN FOR YOU? Price and promotion repository and promotion pricing service can be deployedlocally or can be called via web-service (centrally) Increase customer satisfaction and customer loyalty by having consistentprice and promotion information available at all touch points Provide an integration with SAP Commerce Cloud and SAP ERP Sales OrderHighlights Same price calculation logic (coding) in all sales channels One central sales price repository for price calculation purpose 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC Increase revenue by higher customer satisfaction and higher customerloyalty Rapidly implement new marketing initiatives and promotional offer types inall channels Save costs due to low implementation and low test effort for the retailerwhen introducing new pricing/offer rules43

SAP CAR - Consuming applications

SAP Promotion Management

SAP Promotion Management: Solution OverviewSAP Promotion Management for Retail leverages the master data, sales analysis, and predictive algorithms within SAP CAR toenable retailers to collaboratively plan promotions in line with unique customer preferences across channels. Design promotion pricing and offersto in line with customer preferencesand financial objectives Leverage vendor funding to maximizemargins from trade fund proposalthrough collection and settlement Preview promotion presentationacross media types such as print,digital, web, poster, and coupons Create what-if simulations to predictfinancial performance and optimize Integrate approved promotionsthrough POS/channel, advertising,and supply chain 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC46

SAP Merchandise Planning

SAP Merchandise Planning: Solution Overview Plan all channels in one solution: retail, e-commerce, &wholesale Work using a familiar, customizable, Excel-based userexperience Use best-practices templates and/or build tailored workbooksusing a planning toolkit Plan at any level of the merchandise and organizationalhierarchies Plan top-down, bottom-up, or middle-out Create an open-to-buy budget Define alerts and exceptions Lock cells, columns, & rows Utilize “rules of precedence” to control the order & priority ofcalculations Manage multiple plan versions and history through a versioningconcept Access limited to area of responsibility Plan flavors of sales: regular sales, promotion sales, &markdown sales Support multiple currencies & languages 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC48

SAP Assortment Planning

SAP Assortment Planning: Solution Overview Select products to sell, where to sell those products, &how much to buy Plan all channels: retail, digital, & wholesale Cluster locations using attributes, history, & predictiveanalytics Create an assortment strategy before defining anassortment by planning the number of customer choicesby key attributes (“option planning”) Utilize modules to group and plan products together thatare assigned to the same locations. Group products usingany criteria (e.g., collections, climate, demographics,display / space, etc.). Build assortments based on combinations of carry-overproducts & new products Simplify new product planning using placeholder products& reference products Plan sales & purchase quantities Use a simple, customizable, & highly-visual userexperience Manage user access by planning area of responsibility 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC50

SAP Allocation Management

SAP Allocation Management: Solution OverviewSAP Allocation Management manages the distribution of products from distribution centres tostores with special attention to seasonal and short to medium lifecycle products (focus on Fashion) Promotional products (one-timers, multi-timers, focus on Grocery)The solution supports the allocation process by offering following important predefined businessscenarios: Plan-, target, or KPI-driven initial allocation Automatic forecast-driven in-season fill-in In-Season manual push Promotional push with capacity optimization Promotional buy and multiple logistic unitsIt optimizes allocation quantities by automatic rationing in case of limited availability (according toATP), and cross-product optimization capabilities.It gives full transparency into both, upcoming workloads and planned allocations across the marketand down to store and size, as well as allocation analysisIt uses capabilities of Customer Activity Repository, such as Unified Demand Forecast (on single product or product/color level) Size curve analysis (down to store or cluster, for automatic size break-down) Store clustering Real-time inventory (including stock in transit)The solution offers best of breed retail allocation logic and the possibility to run the process in ahighly automated and system-supported way.Typical benefits for the customers are: Higher profit by reducing markdowns, out of stocks and store-to-store movements High automation level freeing up time for business critical tasks Faster processing and inventory turns 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC52

Allocation Management: Business Scenario OptionsPromotional buy(RTC Q2/2020)Workload based onpromotional offers thatare not o

This includes SAP Promotion Management for Retail, SAP Assortment Planning for Retail, SAP Allocation Management, SAP Forecasting & Replenishment and all future consuming applications on the SAP Customer Activity Repository. SAP HANA gives the appropriate technology base to run ad-hoc simulations with in-memory performance.