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Customer Snapshot: Overview

150,000+ IT products sold

One of the world’s largest wholesale IT distributors, Tech Data Corporation needed to streamline warehouse processes and operations. So they implemented warehouse management functionality within the SAP ERP application. Results: double-digit productivity gains – and more than 20% reduction in logistics-related operating costs.

Tech Data Corporation

US$26.5 billion (2011)

Number of Employees

Wholesale Distribution

Clearwater, Florida, USA

Customer Website

Line of Business
Finance, Human Resources, Supply Chain

SAP Solutions
SAP Business Suite, SAP Business Warehouse, SAP ERP

Within just a couple of months of going live with the warehouse management software from SAP, we started seeing impressive benefits, including reduced costs and improved productivity in our warehouses.

Customer Snapshot: History

125,000 Customers in Over 100 Countries

Customer Snapshot: Business Model

Enabling Better Business

Tech Data provides a range of products, logistics capabilities and value-added services that enable more than 125,000 technology makers and resellers to deploy powerful, cost-effective IT solutions in over 100 countries. The company’s products, services, programs and e-business tools help resellers operate their businesses more efficiently.

Customer Snapshot: Success Strategy

Becoming a Strategic Partner

The company has evolved from a "pick, pack, and ship" operation into an "integrated supply chain specialist" model. Technology manufacturers and resellers rely on Tech Data as a strategic go-to-market partner focused on a three-part strategy:


29 logistic centers receiving, packing and shipping millions of dollars of tech products each day. 


Remix product and customer portfolios in market segments through organic growth and acquisitions.


Tools and programs for flexibility and strength to navigate through changing market conditions.

The Challenge

Battling Costs and Inefficiencies

The company’s North American enterprise resource planning (ERP) system – customized to support warehouse management – was expensive to maintain. It also lacked the agility Tech Data needed. As a result, warehouse employees relied on manual processes to accomplish their tasks, with insufficient support from the ERP system.

Enter SAP

Tech be Nimble

Tech Data recognized the need to improve warehouse operations in the U.S. Having rolled out SAP business enterprise software in 17 countries in Europe, the company recognized the advantages of standardizing on a single platform, so they chose the warehouse management functionality in SAP ERP.

A number of factors made it advantageous to be on one platform: total cost of ownership, worldwide efficiencies, and streamlined customer support. Plus, if vendors ever want to purchase from us globally in the future, we will already have the right processes in place. With a single platform, we’ll be able to serve them consistently out of every warehouse.

Better Business: Benefits

Immediate Results

After the warehouse management software was implemented across the eight logistics centers and 1,000 associates, Tech Data got quick results:

- 20% reduction in logistics-related operating costs
- Double-digit gains in productivity for picking, packing, and put away functions
- Significant enhancement in data analysis
With enhanced inventory control, we have far more granular tracking inside the warehouse, which is tremendously valuable in satisfying our service-level agreements.

Better Business: Run Simple

More Solutions

Since the initial installation of the warehouse management functionality in SAP ERP, Tech Data has deployed additional SAP software to support business planning and consolidation and human capital management and pricing.

With SAP software, we can proactively expand our offerings and continue to meet customer requirements cost-effectively.

Journey Ahead

More Ways to Grow

As a large, globally distributed company, and as an SAP customer who already has a large portfolio of SAPs products, Tech Data will continue to explore new ways of using the business solution to improve communication and collaboration across their subsidiaries.

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