Case Study: SAP Business Transformation

Key Challenges

• Replace aging IT systems to expedite global manufacturing and supply chain management
• Provide clear window into financial, customer relationship management, and supply chain operations
• Enable real-time communication with global suppliers
• Improve forecasting by providing better financial data
• Streamline AR processes
• Reduce backlog and increase customer satisfaction

Why SAP Was Selected

• Only vendor with a comprehensive solution
• Built-in, extensive best practices
• Globally scalable application platform
• Trusted implementation partner with extensive expertise
• Ease of integration with SAP® and non-SAP systems
• Limited need for customization

Implementation Best Practices

• Executive leadership and strong governance
• Commitment to adopt SAP best practices
• Program alignment to critical business objectives
• Rapid collaborative decision making
• Focus on employee training

Low Total Cost of Ownership

• Single global instance of SAP software
• Rapid global deployment within 12 months
• Centralized management of global IT operations
• Rapid growth without comparable IT cost increase
• Minimal IT team supporting deployment (5 people)
• Less need for custom work with expanded functionality

Financial and Strategic Benefits

• Ability to respond to market conditions more flexibly and quickly
• Greater visibility of demand changes
• Ability to manage up to 50% variance in supply forecast
• Wider and more diverse customer base (e-commerce)
• Real-time analyses and reporting
• Ability to track individual customer purchases
• Increased availability of financial, supply chain, and customer data
• Higher fulfillment rates

Tumi Improves Global Operations with SAP® Business Suite

Tumi Inc. distributes its luxury brand of travel, business, and lifestyle accessories through multiple channels around the globe. When seeking to replace its homegrown IT solution with one that could keep up with its plans for expansion, Tumi began a search for a quality, state-of-the-art software solution. The company needed a clear window into its financial, customer relationship management (CRM), and supply chain operations to improve forecasting, inventory control, and customer service. It also wanted to move into e-commerce, expand its sales, warehousing, and distribution operations globally, and improve its ability to manage importation of goods from overseas. Tumi selected the SAP® Business Suite family of business applications to reach its goals.

Seamless Implementation

Tumi implemented the SAP ERP and SAP CRM applications and the SAP NetWeaver® platform, including the SAP NetWeaver Business Intelligence component and the knowledge management functionality found in the SAP NetWeaver Portal component. The implementation was completed without a hitch, thanks to a cooperative team environment, Tumi's adherence to a carefully blueprinted and executed implementation plan, and the company's commitment to leverage best business practices – even if that meant changing its ways. A substantial amount of reengineering took place, including creating companywide standards, replacing disparate business processes, and streamlining a multitude of protocols.

Single View, Broad Perspective

With the SAP software, Tumi gained a single view across its supply chain and its retail and consumer customer relationships, enabling the company to improve planning, forecasting, and logistics; shorten product-to-market cycle time; and improve gross margin performance. Tumi managers can now easily access and analyze information and share data globally. A desktop dashboard lets them conduct detailed and up-to-date profitability analyses based on real-time data.

Improved Access to Data – Improved Manufacturing

Currently running one instance of SAP ERP, Tumi manages its global manufacturing operations as if all the plants were in its backyard. Tumi is able to optimize its manufacturing operations by closely managing raw-material suppliers. It is also able to provide its manufacturers and retail customers with accurate information on stock levels and changes in the marketplace. This means, for example, that Tumi manufacturers can adjust manufacturing operations accordingly, enabling them to save time and money. Overall, Tumi has improved the accuracy of its warehouse management processes – enabling it to gain greater inventory control, significantly reducing stock levels and increasing inventory turns.

Closing the Loop for Customers

To improve customer service, Tumi has linked its retailers to its SAP CRM application, giving them instant access to information regarding pricing and product availability. The company also uses the CRM software to track individual consumer purchases. This helps Tumi follow market trends and respond to customers' changing needs.

Future Plans

With the SAP software as a base, Tumi is planning on enhancing its relationships with all its suppliers by launching a number of business-to-business strategies. Significant business expansion plans are in the works as well – supporting more diverse product lines and further geographical expansion. Thanks to standardized processes and a common IT platform, Tumi now has the capability – and flexibility – for continued growth and success.

Reference:http://www.thehackettgroup.com

Regards,

Team Delphi

Operational Benefits

A Turn Around Through Digital Marketing

This is a business case of Ford:

Consider Ford’s 2009 Fiesta Movement campaign, used to prepare for the car’s reintroduction in the U.S. It required joint efforts among marketing, communications, and the C-suite. Ford decided to lend 100 Fiestas for six months to recipients who would use social media to discuss their experiences with the cars in an authentic, direct way. It held an online contest to select candidates, carefully choosing drivers with large social media followings. To further reduce uncertainty, it required them to regularly produce content on themed “missions” (for example, volunteerism) and designed a schedule for postings. Within six months the drivers had posted more than 60,000 items, which garnered millions of clicks, including more than 4.3 million YouTube views. The $5 million campaign created a prelaunch brand awareness rate of 37% among Millennials, generated 50,000 sales leads to new customers, and prompted 35,000 test-drives—a level of results that might be expected from a traditional campaign costing tens of millions of dollars.

Reference: hbr.org

For more, you can always discuss with Mr. Brijesh Kumar Pandey

Regards,
Team Delphi

How Digital Marketing Helps

Nowadays everyone wants to know about Digital Marketing. It is the way where you can promote your brand or business by getting other people to do the talking for you. It involves the connecting people through sending content such as emails, comments, blogs, social networking posts, tweets and so on. The benefits of Digital Marketing are usually underestimated by most of us, who have not seen its true potential to grow in the network. 
If you are on the hunt for cohesive and non-traditional marketing strategies then there are advantages of going digital like it has potential to reach mass amounts of people in less time, welcomes interaction from your audience, it provides additional branding and promotion for your company or product, most of all it is not expensive. And through Social Media you can easily measure success of your business. 

Regards,
Rashmi Chauhan
Alumni DSDM 

Case Study: British Airways benefited by Digital Marketing

Objectives

Bigmouthmedia’s search account for British Airways has pushed the boundaries of campaign integration while synchronising the airline’s online strategy with its promotions and sales processes. The net result has been to break new ground in terms of what can be achieved with a leading edge digital marketing strategy.

After a successful track record of multi-channel campaigns, bigmouthmedia and British Airways partnered again to launch an ambitious search campaign aimed at:

• Creating content-rich landing pages that would rank well organically for key destinations and provide a high quality score for paid search
• Reducing PPC spend for expensive “flights to ” keywords
• Ensuring PPC was used tactically to drive incremental sales volume

Our Solution

1. Aggressive Landing Page Strategy

Bigmouthmedia focused on content development with the creation of new landing pages packed with destination-specific information. The pages were attractive, unique, rich in keywords and valuable to both visitors and search engines. In addition to being fundamentally sound from an SEO perspective, the pages provided a clear path to sale in an attempt to increase the conversion rate for the competitive generic keywords which would be driving the traffic to the new pages.

The resulting 400% increase in rankings for “flights to” keywords meant that paid search spend was reduced substantially for the generic keywords which were now ranking well. This enabled campaign budgets to be focussed on more cost effective longer tail terms and other destinations where BA had less of a search presence.

2. Implementation of a Unique Bid Management System

The improved rankings in SEO coupled with the clients’ need to build business information such as seat availability into their online strategy led to the creation of a PPC bid management model that split all BA's routes into three tiers to ensure budget was spent as eectively as possible. The tier model was essentially used as a system to prioritize routes which had low SEO rankings and high seat availability. This ensured that PPC was driving incremental sales and not cannibalizing other channels where sales would have been captured regardless.

According to this innovative model, if a route is identified as likely to sell out regardless of PPC activity, it is automatically placed in the low priority Tier 3 section for PPC – which means adverts will appear in a low position within the search results.

A finely-tuned tier model has many advantages as it:

• Ensures there is a correct budget balance between PPC and SEO investment
• Minimises cannibalisation between channels
• Helps design PPC campaigns that are a lot more tactical and strategic
• Focuses on incremental sales, not traffic
• Maximises the return on investment of online marketing spend

3. Enhanced Focus on Reporting and Analytics

Despite the numerous advances in online marketing, there still are very few companies correctly embracing reporting and analytics. In most cases duplication across channels abounds, and few companies truly understand that to ensure the success of an online marketing campaign it is necessary to take a holistic view covering all channels.

In this respect, the British Airways campaign stays well ahead of the pack with an integrated tracking system that carefully compares each of the online channels and runs advanced exposure to conversion reports to identify all the user touch points before a conversion is made. This has enabled crucial analysis that has highlighted the relationship between search marketing and other online channels such as affiliates and display advertising.

Results

• 31% reduction in paid search CPA over the last 12 months
• 11% increase in PPC ROI over this period
• 87% reduction in PPC spend on “flights to ” keywords
• 18% increase in paid search conversion rates over the same period
• 400% increase in number one ranking positions for “flights to ” keywords
• Top 3 rankings for terms such as “flights to New York” and “flights to London”
• 3% increase in overall traffic share for British Airways

Note: All results are December 2008 to February 2010.

Reference : http://www.bigmouthmedia.com

Regards,

Delphi School of Digital Marketing