Strategic Goal

to simplify and automate the pricing and proposal generation process, improving pricing accuracy and reducing the administrative burden for sales teams by deploying SAP CPQ.

Challenges

The company faced several challenges in its sales and pricing processes:

  • Numerous proposal templates for different regions and partners were difficult to maintain and keep up to date, creating confusion and increasing administrative workload.

  • The elaborate pricing process, with many variables, was inaccurate due to the lack of automation in calculations.

  • Large volumes of price lists across regions, currencies, and partner segments were hard to manage and maintain in Excel.

  • Approval processes depended on multiple quote parameters, slowing down quote turnaround times and creating inefficiencies.

  • Unstructured sales data limited visibility and hindered effective analysis and forecasting.

Solution

To address these challenges, the company implemented SAP Configure Price Quote, integrating it into the existing IT landscape to modernise its pricing and quoting process:

  • SAP CPQ: Standardised and automated quote creation using a rule-based engine. Product catalogues and price lists were dynamically filtered based on customer segment, region, and quote parameters.

  • Master Data Integration: SAP CPQ was integrated with the company’s master systems to ensure that pricing data was always up to date, reducing the administrative burden of maintaining multiple pricelists and templates across geographies.

  • Automated Quote-to-Cash Integration: The implementation included integration with CMS and DocuSign for smooth document management and approval, improving speed and reducing errors in the process.

  • Support for Evolving Go-To-Market Models: The CPQ setup supported the company’s future-oriented sales strategies, including subscriptions and packaged solution offerings such as S/4HANA Value Assurance, ensuring a scalable and future-ready sales architecture.

Results

The implementation of SAP CPQ led to significant improvements across several areas of the sales process:

  • Improved Pricing Accuracy: Automated catalog filtering and real-time pricing updates ensured accuracy and reduced the risk of errors.

  • Faster Proposal Turnaround: Sales teams could generate proposals more quickly, with relevant templates and pricing data readily available.

  • Improved Control Over Pricing: Customizable approval workflows helped maintain control over pricing and costs.

  • Improved Approval Process: Automated routing and embedded authority levels reduced delays and improved compliance.

  • Enhanced Data Visibility: The structured approach to pricing and proposal data facilitated better decision-making and insights for the company’s sales teams.

  • Increased Operational Efficiency: The integration of SAP CPQ with CMS and DocuSign enabled faster and more efficient document management and approval processes.