Strategic Goal

To establish a centralized data source, optimize sales operations, and improve pricing accuracy to maximize profitability and increase the percentage of won deals.

Challenges

The company faced several key challenges that impacted its sales performance and efficiency:

  • Fragmented Data Management: Sales teams had to switch between multiple product and price catalogs, systems, and spreadsheets, causing inefficiencies and errors.
  • Manual Sales Processes: Lack of automation resulted in time-consuming administrative work, delaying quotations and approvals.
  • Pricing Accuracy Issues: The company required a system to automatically calculate final product prices based on production costs, packaging, and freight expenses.
  • Slow Response Time & Quotation Errors: Inefficiencies in sales operations led to delays in responding to customer requests and increased the risk of quoting errors.
  • Profitability & Conversion Challenges: The company aimed to improve profitability margins, maximize opportunities, and increase the percentage of successful deals.
  • Multi-Currency & Unit Conversions: The sales system needed to support transactions in multiple currencies and units of measure with automatic system conversions.
  • Lack of Analytics & Sales Insights: The absence of detailed analytics on quotes, proposals, and win/loss trends made it difficult to optimize sales strategies and monitor sales performance.
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Solution

To address these challenges, the company implemented SAP Sales Cloud and SAP CPQ, integrating them with its ERP system to create a smooth and intelligent sales process:

  • SAP Sales Cloud: Used to manage customer relationships and centralize the quotation process across teams and regions.
  • SAP Configure Price Quote: Enabled advanced configuration, dynamic pricing, and quoting based on real-time business logic.
  • ERP Integration: Connected SAP CPQ with the ERP system to access real-time production costs, transportation rates, and packaging data.
  • Centralized Quotation System: SAP Sales Cloud and CPQ were synchronized to provide a single source of data, eliminating the need to manage multiple spreadsheets.

 

 

 

 

 

Results

The implementation of SAP Sales Cloud and CPQ led to measurable improvements in sales efficiency, pricing accuracy, and overall profitability:

  • Optimized Sales Process: Sales teams experienced a more efficient workflow with an automated, data-driven approach to pricing and quoting.
  • Improved Pricing Accuracy: Integration with ERP ensured that final prices reflected real-time costs, reducing the risk of pricing errors.
  • Faster Quotation Turnaround: Automation significantly reduced response times, allowing sales teams to generate and deliver proposals more quickly.
  • Higher Win Rates & Profit Margins: More competitive and accurate pricing helped increase the percentage of successful deals and overall profitability.
  • Enhanced Sales Insights: Advanced analytics provided detailed reports on sales performance, quote success rates, and customer behavior trends.
  • Global Business Enablement: The ability to handle multiple currencies and units of measure enabled the company to expand its market reach and serve international customers more efficiently.