Wholesale Distribution

The wholesale industry acts as an important link in the global supply chain and is responsible for distributing most products among business partners around the world. By definition, a wholesaler buys products in bulk from a manufacturer or supplier and sells them to customers at wholesale prices. Customers are often commercial facilities, traders, or retail stores. Wholesalers maintain strong relationships both upstream and downstream in the supply chain. Upstream, retailers maintain relationships with their suppliers. Suppliers are often manufacturers of products that are stocked and distributed by wholesalers. Distributors typically buy goods in bulk from manufacturers and suppliers, disassemble large quantities of goods, store them in distribution centers, and finally at wholesale prices for various companies, contractors, hospitals, restaurants, retailers.

SAP and Partner Technologies for Wholesale

SAP and partner technology solutions allow wholesale vendors to pursue new sales sources, find efficiency opportunities and build differentiating capabilities through digital transformation. These technical solutions are available in the following areas:

The wholesale industry acts as an important link in the global supply chain and is responsible for distributing most products among business partners around the world. By definition, a wholesaler buys products in bulk from a manufacturer or supplier and sells them to customers at wholesale prices. Customers are often commercial facilities, traders, or retail stores. Wholesalers maintain strong relationships both upstream and downstream in the supply chain. Upstream, retailers maintain relationships with their suppliers. Suppliers are often manufacturers of products that are stocked and distributed by wholesalers. Distributors typically buy goods in bulk from manufacturers and suppliers, disassemble large quantities of goods, store them in distribution centers, and finally at wholesale prices for various companies, contractors, hospitals, restaurants, retailers.

SAP and Partner Technologies for Wholesale

SAP and partner technology solutions allow wholesale vendors to pursue new sales sources, find efficiency opportunities and build differentiating capabilities through digital transformation. These technical solutions are available in the following areas:

  • Procurement solutions help in areas like buy buying and delivering services, goods procurement, cost recovery, procurement analytics, source and contract, supplier management etc.
  • Supply chain planning solutions in wholesale distribution helps distributors with demand management and insights, response and supply planning, sales, inventory and operations planning
  • Supply chain execution solutions assist in areas like order promising, logistics network track and trace, transportation management, warehouse and yard management
  • Sales and marketing solutions help wholesalers perform commerce personalization, manage customer rebates and incentives better, build omnichannel commerce management capabilities and sales force automation.
  • Service solutions help in areas like buy & deliver services, field services management, subscription management, customer experience management etc.

Key Considerations for SAP Organizations

  • Building competitive differentiators with SAP S/4HANA– View this webinar on-demand to learn how successful Wholesaler Distributors are using SAP S/4HANA and RISE to address challenges facing the industry and differentiate themselves from the competition.
  • Transforming business operations with private cloudLearn how when GraceKennedy Limited needed to upgrade its infrastructure to support its international expansion and increase its performance and reliability, it turned to the private cloud. The results have delivered significant value to the business and freed its IT personnel to work on higher-level tasks that provide greater impact.

McKesson Ensures Business Continuity While Accelerating Innovation –

This article highlights how McKesson, a healthcare wholesale distribution company transformed its business operations leveraging SAP technologies.

533 results

  1. How to Manage a Distribution Plan in a Supply Chain Model in SAP APO When Supply Exceeds Demand

    Published: 08/May/2017

    Reading time: 20 mins

    Learn the process flow and understand the various strategies you can use to carry out deployment of supply elements (receipts) in SAP Advanced Planning and Optimization (SAP APO) when the total supply is greater than the available demand. Key Concept Deployment basically determines which distribution requirements can be met by the supply (receipt elements). Deployment…...…

  2. Synchronize Multiple System Projects with Customizing Distribution and Customizing Scout

    Published: 16/December/2009

    Reading time: 11 mins

    Manager Learn how to use the SAP Solution Manager Customizing Scout and Customizing Distribution functions to synchronize global configuration settings in a system landscape consisting of SAP ERP Central Component, SAP Supply Chain Management, and SAP NetWeaver Business Warehouse. The synchronization of configurations across a system landscape makes system maintenance easier and more efficient. Key…...…

  3. Manage Large Contracts with Ease Using Lean Distribution

    Published: 25/January/2013

    Reading time: 5 mins

    Discover how you can improve the performance of large contracts in which revenue is distributed across rights dimensions using lean distribution. SAP introduced lean distribution to allow your system to store the revenue distribution line items in the set IPM_REVDIST instead of using the billing plan functionality to store distribution information. Key Concept With the…...…

  4. Enable a Tax-Efficient Supply Chain in SAP ERP

    Published: 08/November/2010

    Reading time: 14 mins

    With increased focus on international markets, companies running SAP are continually looking to better manage the flow of goods in a tax-efficient way to help grow their business and improve their bottom lines. Find out some best practices and financial considerations when distributing goods in international markets. Key Concept To reduce costs when distributing goods…...…

  5. Yes, You Can Use Top-Down Distribution with Account-Based CO-PA

    Published: 27/May/2015

    Reading time: 9 mins

    Discover how to use the top-down distribution functionality in account-based profitability analysis (CO-PA) so that you can review reports on a more granular level — for example by customer, product, sales region, and so on. This is particularly useful where the original posting cannot be made at that level of detail. With this functionality, you…...…

  6. Use Top-Down Distribution in CO-PA to Report Overhead Costs at Lower-Level Characteristics

    Published: 15/June/2010

    Reading time: 11 mins

    Discover top-down distribution functionality and execution in day-to-day operations with two business examples. The first explains the allocation of expenses from cost centers to material groups through profitability analysis (CO-PA) assessment, with material group being a higher-level characteristic. The second explains how to distribute these expenses, posted through CO-PA assessments, from material group to material…...…

  7. Implement ATP and Stock Transfer Flows for Virtual Distribution Plants in SAP ECC 6.0

    Published: 13/April/2012

    Reading time: 15 mins

    By Amir Ashfaq Hussain, Infosys Technologies, Limited In business scenarios in which virtual plants are created within SAP ERP systems for administrative purposes, managing available-to-promise (ATP) checks and stock transfers presents challenges. SAP provides two options that address plant-to-plant transfer issues in virtual plants. Based on North American or European business scenarios, these lessons learned…...…

  8. How to Use the SAP General Ledger Functionality to Post Employee Liabilities in Different Ways

    Published: 08/August/2013

    Reading time: 17 mins

    Learn how to use the three options in the SAP General Ledger in FI in SAP ERP HCM to post employees’ liabilities to finance. See step-by-step instructions on using the IMG to configure this new feature without having to write complex schemas. Key Concept Payroll liabilities are deductions, such as taxes, payments to 401(k) accounts,…...…

  9. Generating a Lightning Fast Upgrade: How Powell Electronics Moved from SAP R/3 4.7 to SAP ERP 6.0 in Just 11 Weeks

    Published: 23/March/2011

    Reading time: 13 mins

    ManagementAs a smaller enterprise in a big SAP world, Powell Electronics created an upgrade plan from SAP R/3 4.7 to SAP ERP 6.0 in much the same way it sells its electronic connectors, switches, and sensors: in small components that are independently valuable, and when combined, assemble to become part of a solution worth far…...…

  10. Manage a Distribution Plan in a Supply Chain Model in SAP APO When Demand Exceeds Supply

    Published: 24/May/2017

    Reading time: 9 mins

    Learn the process flow and understand the various strategies you can use to deploy supply elements (receipts) in SAP Advanced Planning and Optimization (SAP APO) when the total demand is greater than the available supply. Key Concept Deployment determines which distribution requirements can be met by the supply (receipt elements). Deployment strategies to be used…...…