Integrating OTM With SAP

Transcription

1 Oracle SIG August 11 th 2014 Integrating OTM With SAP Architect Specialist: Akta Srivastava Lead Architect Specialist: Alok Chandra Sr. Supply Chain Expertise Manager: Laura Wilkinson Freight Global Business Process Specialist: David Pavlik 1

2 Agenda Project Background OTM/SAP Background High Level Architecture for Carrier Selection and Freight Payment Design Approach Rate Management Utility Lessons Learned Questions 2

3 Project Background Dow is migrating from the SAP R/2 System to SAP ECC 6.0 OTM implementation became a part of the NEA project in 2013 OTM for Carrier Selection and Freight Payment implementation: Europe on May 1 st, 2014 North America on August 5 th,

4 OTM/SAP Background Dow s core ERP system is SAP ECC, including modules: Sales Order processing Purchase Order processing Standard SAP Route and Route Determination SAP Freight Rating (Latin and Pacific regions only) OTM provides the following advantages: Ability to calculate freight based on Load meter (amount of truck/trailer length used) Ability to allow for minimum and maximum prices in case of percentage surcharges Ability to settle shipment cost & post freight invoices at the condition level Ability to perform freight simulations, which provide all applicable freight components for a given scenario Integrating OTM with SAP ECC enables DOW to leverage the best of both systems. 4

5 High Level Architecture Carrier Selection SAP Real-Time PI Connectivity OTM Sales Order Line Item STO Purchase Order Line Item Delivery Ship-From Location Ship-To Location Shipping Condition Transportation Group Material(s) Material Freight Group(s) Weight Volume Delivery Date Carrier(s) Transport Mode/ShippingType Transportation Lead Time Transit Time (including Calendar) Rail Route ID Rail Contract Rail Itinerary Rule 11 Route Rate Inquiry (Routing) Rate Offering Rate Records Rate Service 5

6 High Level Architecture Freight Payment SAP IDoc processing via PI OTM Shipment Shipment Cost Document Invoice Ship-From Location Ship-To Location Shipping Type Carrier Equipment Material(s) Material Freight Group(s) Weight Volume Ship Date ActualShipment XML PlannedShipment XML Accrual Amount - Cost Details by Base/Accessorial Charges Billing XML SAW Shipment Rate Inquiry (Rating) Rate Offering Rate Records Invoice 6

7 OTM Rate Structure Carrier Selection and Transit RATE OFFERING - Represents Overall Carrier Selection/Transit Contract by Mode (Shipping Condition/Shipping Type). Specifies ROUTING Rate Group ID. RATE RECORD - Determines Carrier Selection, Transportation Arrange Time and Rail Details (if applicable) by Geographical Hierarchy, Material Freight Group, and/or Weight. RATE SERVICE - Determines Transit Time (with Calendar) by Geographic Hierarchy. 7

8 OTM Rate Structure Shipment as Work (SAW) RATE OFFERING - Represents Overall rate offering by Mode (Shipping Condition/Shipping Type) and Carrier. Specifies RATING Rate Group ID. RATE RECORD - Determines rating by Carrier, Shipping Type, Geographical Hierarchy, Material Freight Group, and/or Weight/Volume. 8

9 SAP Activities Carrier Selection and Transit Call to OTM Triggered by Company Code Using Custom Table Carrier Selection/Transit Exclusions by Shipping Condition Using Custom Table 9

10 SAP Activities Carrier Selection and Transit Transport Mode for OTM Rate Inquiry Determined by Shipping Condition/Transportation Group/Region. Limited Carrier Selection and Transit Records for Collect Orders Recommended Using SAP Customer Pickup Routes. This can also be setup in OTM. 10

11 SAP Activities Carrier Selection and Transit Sales Order/STO/Delivery Updated with Following Information: Route Text Transit Time Transportation Lead Time Shipping Type 510-Rail Contract 511-Rail Itinerary 512-Rail Route ID 999-TMS Support Information Carrier Partner Functions SP, YA, YB, YC, YD, YE, YF 11

12 OTM Activities Carrier Selection and Transit OTM Attempts to Rate Order/Delivery Through Special ROUTING Records. Carrier Selection/Transit Time Rates Segregated From Actual Carrier Rates Using Rate Group ID (ROUTING vs. RATING) 12

13 OTM Geographic Hierarchy United States and France Examples Shown Below. Low Rank Number (2) Indicates Most Specific. Carrier Selection Records Can Be Loaded Using Various Address Components. 13

14 OTM Rate Offering - Carrier Selection and Transit Sample Rate Offering for Rail (Shipping Condition 07/Shipping Type 04) 14

15 OTM Rate Record - Carrier Selection and Transit Sample Rate Record for Rail (Shipping Condition 07/Shipping Type 04) 15

16 OTM Rate Record - Carrier Selection and Transit Sample Rate Record for Rail (Shipping Condition 07/Shipping Type 04) 16

17 OTM Rate Record - Carrier Selection and Transit Sample Rate Record for Rail (Shipping Condition 07/Shipping Type 04) 17

18 OTM Rate Service - Carrier Selection and Transit Sample Rate Service for Rail (Shipping Condition 07/Shipping Type 04) 18

19 SAP/OTM Carrier Selection Interface Real-time Rate Inquiry Through PI Key SAP Fields Mapped to OTM RIQ XML Interface Can Be Simulated Using OTM Rate Inquiry 19

20 Why Rate Management Utility is Needed 1. DOW has thousands of products shipping to various customers using several different modes of transportation 2. Logistics Purchasing negotiates contracts and rates based upon the mode of transportation 3. The business was only able to query large blocks of raw data in a standard Oracle format 4. The business cannot use the data downloaded from Oracle as rate formats are specific 5. Download/querying in OTM during production hours could potentially impact performance, as Dow has millions of records 6. Need to execute the shipment simulations on mass level rather than individually 20

21 What is Rate Management Utility? Several Rate & Carrier Selection Templates were strategically developed and deployed to the DOW business. The Business Dream These templates can be used to upload and download data in the OTM system. Users will only need to fill out one front page, rather then several load files to upload rates in the system. In the reverse, Users will be able to download rates in the same format back from OTM using our Rate Management Utility tool. Sourcing now has more flexibility with freight rates and carrier 21

22 Additional Rate Management Utility Tool Benefits The Rate Management Tool has been used to migrate large data for Go-Live. Approximately 2.1 million records were loaded in less than 10 hours. The Rate Management Tool has been used to ensure that Selection are available in OTM The Rate Management was used before migration to ensure success These Exercises have allowed us to be ready to run the business on Day One! 22

23 Sneak Peek of Rate Management Utility Tool 1. Upload 2. Download 3. Rate Inquiry All the functions utilize the.csv format for the output file. We prefer to get the file back in.txt format. 23

24 Example of front page template 24

25 Rate Management Utility as a reporting tool We are also using Rate Management Utility as a reporting tool. We built in the capability to create custom reports. 25

26 SAP/OTM Integration Challenges Calls to OTM Rate Inquiry for Carrier Selection Captured in Transmission Manager only as a shell. No physical document number is recorded in system. Transmission has a status of PROCESSED or ERROR but it is difficult to trace it back to SAP. Need to perform Backward/Forward Scheduling in OTM (Deliver By versus Available By) to keep in sync with SAP Available to Promise Scheduling Multiple domain and integration user setups are needed to match various SAP ECC clients (Development, Product Test, Staging, Performance Test, Emergency Fix, Production) Error reading during Rate and Carrier selection upload 26

27 Q& A 27