SAP SPM


What is SPM?

Service parts management (SPM) is a cross-component solution to support and manage the extended service parts network. It consists of two business areas: service parts planning and service parts execution. Organizations often deal with a high number of stock-keeping units (SKUs) for aftermarket service that can come from multiple locations. Lifecycle management is important due to the large volume of SKUs and warranty agreements; surplus and obsolescence issues are common. SPM covers the entire range of service parts management activities, planning, execution, fulfillment, collaboration, and analytics.

What is SPM?

Service parts management (SPM) is a cross-component solution to support and manage the extended service parts network. It consists of two business areas: service parts planning and service parts execution. Organizations often deal with a high number of stock-keeping units (SKUs) for aftermarket service that can come from multiple locations. Lifecycle management is important due to the large volume of SKUs and warranty agreements; surplus and obsolescence issues are common. SPM covers the entire range of service parts management activities, planning, execution, fulfillment, collaboration, and analytics.

Key Capabilities of SAP Service Parts Management (SAP SPM) are:

  • Architecture and Communication: Communication methods to transfer data through the SAP landscape
  • Extended Inbound Delivery Processing: Exchange of advanced shipping notice (ASN) IDOCs, SAP Extended Warehouse Management (SAP EWM), or third-party orders to ensure accuracy
  • Contract Packager Inbound: A contracted third-party service provider supporting the inbound processes
  • Third-Party Order Processing: Support for direct shipping from the vendor to a customer
  • Outbound Processing: Support for transmission of data between originating systems
  • Transfer and Inventory Management: Transfers of stock from connected systems to the SAP EWM
  • Complaints and Returns: Returns management for unused or damaged parts from customers
  • Quality Management: Ability to perform quality inspections
  • Transportation Cross-Docking: Consolidation of deliveries from different warehouses into one shipment
  • Foreign Trade: For a bonded warehouse, letter of credit, or creating an intrastate declaration
  • Business Package for External Users: Collaboration with ability to perform functions in a SAP NetWeaver portal

SAP now offers SAP Service Parts Management ES Bundle. This extends the capabilities of the existing platform with a seamless business network for external service parts inventory planning and optimization application. Prior solutions for this were only available through custom integration efforts.

5 SPM Benefits are:

  1. Enhanced customer service
  2. Visibility to see where the need is and where the parts are going
  3. Ability to keep inventory low and to reduce carrying costs
  4. Improved coordination and collaboration control of the network
  5. Standardized processes

Vendor partners that can help with service part management are: Accenture, Capgemini, and Westernacher Consulting.

Key Resources for SAPinsiders:

  • Consignment Process in Enterprise Asset Management Reduces Spare Parts Inventory. Gain insights on how to execute vendor consignment to reduce the inventory of spare parts.
  • Squeezing Inventory into an Extract Value in an OEM Service Parts Environment. Learn how Barloworld Equipment in Southern Africa utilizes SAP Advanced Planning and Optimization to manage a massive amount of SKUs and plants.
  • Track Multiple Manufacturer Part Numbers Effectively Using Manufacturer Part Number Management. Read about tips and tricks to set up manufacturer part numbers (MPNs) to manage multiple vendor part numbers effectively.

519 results

  1. Use the SAP Configuration Validator Tool to Diagnose Issues with SAP Access Control Configuration

    Published: 07/December/2012

    Reading time: 5 mins

    Learn how to configure and use the Configuration Validator tool for SAP Access Control 5.3 to diagnose issues with your company’s configuration or provide quick information to speed up the SAP support process. Key Concept The SAP Access Control Configuration Validator (ACCV) tool provides a summarized report of your current SAP Access Control configuration. It...…

  2. How to Migrate Your Current SAP BusinessObjects Access Control Deployment to Version 10.0

    Published: 09/August/2011

    Reading time: 16 mins

    Version 10.0 of SAP BusinessObjects Access Control comes with a revised platform and runs on an SAP NetWeaver application server ABAP. If you want to upgrade your current implementation of SAP BusinessObjects Access Control you’ll need to migrate your data using export and import tools provided with the software. Learn how to plan a migration...…

  3. Balancing supply and demand

    How to Setup Demand Planning in SAP Advanced Planning and Optimization

    Published: 21/May/2020

    Reading time: 21 mins

    SAP Advanced Planning and Optimization, demand planning allows a business to perform forecasting of their materials while considering all the factors that affect the demand. Demand planning is periodic and contains multi-step processes such as data gathering, statistical analysis, reviewing market intelligence reports, and performing adjustments against budgeted forecast to drive material requirements planning. SAP…

  4. SAP Announces Strong Q1 and Cloud ERP Private

    SAP Announces Strong Q1 and Cloud ERP Private Launch

    Published: 24/April/2025

    Reading time: 4 mins

    SAP reported strong first-quarter 2025 financials with a 28% increase in cloud backlog to €18.2 billion and a 27% rise in cloud revenue to nearly €5 billion, although total revenue grew modestly by 12% to €9 billion.

  5. mySAP CRM Analytics Harnesses SAP NetWeaver BI Analytical Capabilities

    Published: 01/February/2007

    Reading time: 25 mins

    mySAP CRM Analytics, a group of tools offered with mySAP CRM and SAP NetWeaver BI, can help you optimize your company’s customer data. Learn about the mySAP CRM extraction mechanism and delivered analysis tools you can use with your data. Then, explore the standard tool sets available, including customer analytics, product analytics, sales and service...…

  6. What is SAP Cloud ALM?

    Reading time: 3 mins

    SAP Cloud ALM is a free, cloud-based Application Lifecycle Management tool designed for organizations with specific SAP support contracts, offering seamless integration with SAP cloud solutions, simplifying project management and modernization efforts while supporting the transition to the Clean Core strategy.

  7. SAP Completes Strong Q2, Eyes APJ Expansion with Alibaba Partnership

    SAP Completes Strong Q2, Eyes APJ Expansion with Alibaba Partnership

    Published: 24/July/2025

    Reading time: 6 mins

    SAP reported strong Q2 2025 earnings with cloud revenue up 24% to €5.1 billion, bolstered by a strategic partnership with Alibaba to enhance growth in the Asia-Pacific region and the impact of AI on revenue, while completing a major restructuring that involved 10,000 employees.

  8. From Complexity to Intelligence: Scaling Enterprise AI with SAP Business AI, SAP Databricks, and DXC Technology

    Published: 14/March/2025

    Reading time: 6 mins

    This article discusses how DXC Technology leverages over 30 years of partnership with SAP to help enterprises effectively implement and scale AI solutions, such as SAP Business AI and SAP Databricks, overcoming challenges like data silos and governance issues to drive significant business transformation.

  9. Introduction to Responsive Design in SAPUI5 and SAP Fiori

    Published: 09/June/2014

    Reading time: 21 mins

    Ameya Pimpalgaonkar shows how to design responsive SAPUI5 or SAP Fiori applications. SAP Fiori uses the SAPUI5 framework and therefore all responsive design techniques used in SAPUI5 can also be used while developing custom SAP Fiori applications. Key Concept Responsive Design is an approach that enables you to develop Web sites or applications independent of...…

  10. SAP Sovereign Cloud

    SAP Fortifies Australian Digital Sovereignty With Expanded Services

    Reading time: 3 mins

    SAP has expanded its Sovereign Cloud capabilities in Australia and New Zealand to enhance data security for government and regulated industries, introducing an on-site solution that allows agencies to host managed cloud infrastructure in their own facilities and emphasizes control, compliance, and security.