Hoffmann Group USA: Enabling greater success for industrial manufacturers through an innovative distribution network
Explore Hoffmann Group USA’s journey with SAP
As a subsidiary of the Hoffmann Group, an international distributor, Hoffmann Group USA supplies its trade partners with high-quality industrial tools and equipment. The company is expanding its digital business and chose SAP Business Network to provide its customers with an online buying experience that was innovative and easier to use.
| Industry | Region | Company Size |
| Wholesale distribution | Knoxville, Tennessee | 33 employees |
General Manager, Hoffmann Group USA
Improving efficiency to provide buyers with a better online experience
As a leading provider of high-quality industrial tools and equipment, Hoffmann Group USA is committed to delivering innovative solutions and exceptional customer service. The company is a subsidiary of its German parent, the Hoffmann Group, an international distributor founded in 1919 with 50 locations and more than 135,000 customers around the world.
Hoffmann Group USA serves nearly 200 trade partners in a wide array of industries, including machining, manufacturing, and more. The distributor prides itself on being more than just a supplier—it works as a partner that makes its buyers’ lives easier.
With significant year-over-year growth, Hoffmann needed to find a distributor network solution that would improve its business process efficiency while better accommodating the specific needs of its industrial manufacturing buyers in the United States. “We believed that by facilitating compliant transactions on a robust network solution, we could drive more orders and renewals from current customers simply because it would be easier for them to do business with us,” says Eric Turner, general manager of Hoffmann Group USA. “We wanted a solution that simplified and sped up our procurement process and made buyer onboarding simpler and more user friendly.”
To achieve these goals, Hoffmann was looking for a way to automate invoice submission, payment reconciliation, and status tracking through a network solution that improves efficiency and eliminates the potential for errors. The distributor also wanted a solution that integrated with its existing ERP solution and other SAP solutions it had already implemented.
General Manager, Hoffmann Group USA
Meeting buyer expectations with a customer-centric approach
When Hoffmann Group USA wanted to improve it procurement processes, the distributor knew SAP Business Network—specifically SAP Business Network for Suppliers—was the right choice. “We feel that SAP software aligns with our mission of pioneering simplicity by offering a digital experience that makes it easier for our customers to acquire what they need,” says Turner.
The distributor chose SAP Business Network because of its ability to connect with its back-end systems while building greater connectivity and collaboration with customers. The network also helps Hoffmann create an efficient way to integrate with SAP solutions and customize customer processes with features such as the PunchOut feature from SAP for the distributor’s e-catalog.
Hoffmann adopted SAP Business Network in a methodical manner, with the staff using tutorials within the solution to educate themselves on the features they knew customers expected and would appreciate. Also, the simple-to-understand user interface of SAP Business Network makes it intuitive for any team member to support customer requests and provide a positive customer experience. “The ease of use makes SAP Business Network truly best in class compared to other systems,” notes Turner. “The quick and easy access for technical help allows us to efficiently receive support, and it has proven to be incredibly valuable for our team.”
General Manager, Hoffmann Group USA
Doing more, in less time, while fostering growth and expansion
With the help of SAP Business Network, Hoffmann Group USA has been able to achieve consistent growth in its digital business over the past few years. The distributor now has the ability to more easily add customers and integrate them into the company’s supply chain using SAP Business Network.
Hoffmann can accept EDI orders, place EDI orders, and support the connection to SAP Business Network and other solutions. In addition, the connection between customer locations and multiple ship-to locations helps facilitate efficient reporting and expedite sales execution. The supplier details and selections in terms, part-number creation, and purchase info records make the sourcing side structured and smooth.
“Our relationship with the SAP account team has allowed us to expand our capabilities within SAP Business Network and its varying features to better support our customers’ unique needs,” says Turner. “SAP Business Network supports our initiatives by allowing us to achieve significant productivity results. With our automated order processing, it is much easier to maintain our catalogs and manage intake, collaboration, change-order routing, and tracking. We gained sales efficiencies per headcount, allowing us to do more business with the same number of people.”
The distributor’s relationship with its buyers has flourished as well. “Our customers love our personal connection with them,” notes Turner. “We can respond promptly to our customers in a format they prefer, thanks in part to SAP Business Network’s integration with our ERP solution.” Onboarding is a good example, as the distributor now has a user-friendly interface for its buyers that efficiently integrates customer information with Hoffmann’s back-end SAP solutions.
General Manager, Hoffmann Group USA
Planning for tomorrow with an adaptable, future-ready business network
From the perspective of Hoffmann Group USA, SAP Business Network supports the company’s long-term vision and goals by providing an integrated no-touch system that significantly enhances its business operations. It allows the company to offer a more-efficient and easier experience for customers and is adaptable for the future.
“We expect continued growth with multiple new customer additions, as our digital business will be a significant focus of ours in the foreseeable future,” says Turner. “We believe SAP Business Network can grow with us and provide us with the innovation we need as our company expands.”
In addition to its growth plans with SAP Business Network, the distributor is also planning on moving its ERP environment to SAP S/4 HANA and SAP Business Technology Platform.
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Hoffmann Group USA (Website)