SAP STAR Realize Greater SAP Potential & Demystify your Future Roadmap

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1 SAP STAR Realize Greater SAP Potential & Demystify your Future Roadmap Prepared by: Windie N Wilson/ SAP CoE ESC and Dr. Heiko Hecht/ IBIS NA President Oct 2016

2 Agenda Introductions Pitfalls & Diversions How does SAP help you avoid risk? What Comes First? Value Discovery with SAP STAR Demo Process Next Steps Easily & Quickly Identify True System & Process Health Quantify Your ROI & Define Your Valid Roadmap Improve Trusted Relationship with SAP & Your Service Partners 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 2

3 Introductions Windie Wilson Solutions Advisor ESC CoE, NA Areas of Expertise Extended Supply Chain Business Process Assessment & Realignment Program/Project Management Dr. Heiko Hecht President IBIS America LLC Areas of Expertise Reverse Business Engineering Finance, BW SAP Solution Manager 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 3

4 Pitfalls & Diversions Just to name a few! Too may Change Orders No accurate strategy Poor organizational change management Lack of clarity of impact to business Lack of clarity of impact to IT Unknowns of system configuration impact Poor Blueprint As-is/ to-be documentation Scope Creep Budget overflow Lack of clarity of Scope between SI and you Project delays and lack of on-time delivery Poor Perception by Business and C-level mgmt. Business Adoptions roadblocks Data Quality issues 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 4

5 How Does SAP Help You Avoid Risk? 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 5

6 SAP Programs, Assessment & Accelerators Benefits Overview Benefit! Transparency! Proven ROI Accurate Baseline True Roadmap Grows Relationships Faster Contract Completion Clearer/ Quicker SOWs! Pre Blueprinting Description Reveals and improves knowledge of process and system usage where documentation and expertise may have been lost or forgotten. Traceability of conclusions. Visibility of the unknown Decreases inaccuracies and time impact of manual discovery by at least 40%. Answers the CXO request to Prove ROI, Sets clear expectations for POC Fact based baseline - not assumptions, Tracks/Measures Roadmap Success of reaching ROI, TCO and Health Goals, Reduced impact of to business users time Develops traceable, achievable and accurate roadmap, Increases understanding of best path(s) to health. Baseline for you to track success, Transparency of why SAP and Partners are guiding you towards your specific roadmap, Builds trust in recommendations from SAP and Partners Develops trust in SAP and Partners based on confirmation they understanding your true need Increased confidence in ROI and user adoption of new solutions. CXO level messaging is built for you to prove need for funded projects. Scope is already and clearly defined. Decreases risk of Change orders due to unknown factors Pre defines RFP, Clearly defined project scope, limited unknowns, WRICEF list is identified, Decreases risk of unknowns/change orders, Defined Deliverables, decreases error in estimations and licensing needs Decreases Risk, Sets accurate expectations, Speeds up project planning & delivery, defines clearer scope, sync s with Solution Manager, Decreases time to final blueprint SAP AG or an SAP affiliate company. All rights reserved. Confidential 6

7 SAP Support Top 8 SAP Programs, Assessments, Accelerators and Tools STAR provides acceleration Product Task/activity type: functional technical and functional technical 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 7

8 Programs & Assessments IVE Industry Value Engineering TCO Total Cost of Operations VA Value Assurance DTE Digital Transformation Engagement Provides the VLM Cycle: Accelerate the Pace of Performance Benchmark performance Clarify initiatives with defined success metrics communicated through a robust business case Ensure that executives are accountable for outcomes Drive project prioritization based on value throughout the implementation Design processes for value Build management visibility into the project design Institutionalize VM capabilities across the portfolio Foster performance-based thinking; make success visible Enable management visibility & discipline Proactive investment of SAP resources to assess cost/value of: User Adoption Servers Server Maintenance Consulting Internal IT Resources On-staff DBA Hybrid Cost SaaS Cost On Premise Initial License Annual Maintenance Database License Database Maintenance Performance Security Provides a structured four-phase approach: Executive Alignment: Set the direction and expected engagement outcome. Value Discovery: Develop business case, solution roadmap, individual migration and integration plan and execution framework. Validation and Executive Readiness: Support customer internal decision and funding process to finalize commercial discussion. Value Delivery: Ensure program delivery is on time, on budget, on value Proactive investment of SAP resources (e.g., dedicated VAT, 3 18 months, up to 3 years for select SCP accounts) Create 3 5 year roadmap to drive customer s digital business transformation Digital Growth: Enable transformation/ Design thinking workshops/ Focus on white space use cases/ Unique solutions/ Strong collaboration Digital Core: Creating a new solution/ Support future business models/ Re-think end-to-end business processes Assessment of current vs. the future state 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 8

9 What Comes First? 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 10

10 S/4 HANA Application Structure S/4 HANA SUITES SAP and Partner Solutions that are deployed alongside S/4 HANA, with standard integrations. These include on-premise and cloud solutions. PRODUCTS Separately priced S4 branded components optimized for HANA that will be deliverable embedded within the S4 landscape (Some of these products may also be available outside of S4) Digital Core is your S/4 HANA enterprise management which contains the basic functions of ERP, formerly ECC, but simplified and re-engineered to work natively on HANA. This is licensed on a user basis S4 HANA products - are separately licensed products that are also built natively on HANA, with data integration directly through the HANA layer, but are optional add-ons that are LOB specific S4 HANA suites - are stand alone products deployed side by side and integrated with S4 via traditional integration Enterprise Management DIGITAL CORE Simplified ERP processes built natively on HANA with streamlined data structures and enhanced user experience, delivered as part of S4 user-based license; Key Capabilities Real-time mission-critical business processes across your entire enterprise, One single source of live information Personalized user experience with instant insight on any device Benefits Faster business outcomes with reduced operational cost thanks to a simpler IT Increased competitiveness with integrated, fast, and flexible business processes Higher employee productivity with focus on value-added tasks 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 11

11 SAP S/4HANA and Extended Suite Products Suite SAP S/4HANA FINANCE Accounting and financial close Treasury & financial risk management Receivables management Integrated business planning SAP S/4HANA HUMAN RESOURCES SAP S/4HANA SOURCING & SAP S/4HANA MANUFACTURING SAP S/4HANA SUPPLY CHAIN PROCUREMENT SAP Advanced Planning & Optimization Automated & Agile Manufacturing Customer and Supplier Collaboration Manufacturing Integration and Transportation Management Intelligence Extended Warehouse Management Core human resources and payroll Manufacturing Execution System Supply Chain Event Management Talent management Supplier Collaboration Quality Issue Management Global Batch Traceability Time and attendance management Business Network Integrated Business Planning Human capital analytics Supply Chain Control Tower Products Accounting & financial close Treasury & financial risk management Receivables management Extended Warehouse Management Advanced ATP Production Planning Accounting and Closing Operations Accounting Cost management and profitability analysis Time and Attendance Management SAP Success Factors Employee Central connectivity Supplier information and master data Operational procurement Invoice and payables management Operational sourcing and contract management Production Orchestration and Execution Quality management and compliance Production Planning / MRP Inventory and basic warehouse management Digital Core Enterprise Management Order and contract management Service management Service master data management Service parts management Service agreement management Maintenance Management Product development and project control Production Engineering Products Sales planning and performance management Billing and revenue innovation management Environment, health, and safety Product safety and stewardship Suite SAP S/4HANA SALES Cloud for Sales SAP S/4HANA SERVICE Cloud for Service SAP S/4HANA MAREKTING AND COMMERCE Cloud for Marketing SAP S/4HANA ASSET MANAGEMENT Mobile Service Predictive Maintenance Asset Networks SAP S/4HANA RESEARCH & DEVELOPMENT Collaborative Product Development Product safety and stewardship Product Network INDUSTRIES 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 12

12 Value Discovery with SAP STAR

13 Continuous Improvement is Necessary You buy a car for $20k you spend $200 every year for inspection, oil change and general maintenance. A <10% investment for SAP STAR to keep your SAP systems running effectively and efficiently makes sense! SAP STAR will provide you with opportunities to improve/reduce TCO, waste and project risks SAP AG or an SAP affiliate company. All rights reserved. Confidential 14

14 SAP STAR (Solution Transformation via Assessment & Realignment) What is it? STAR is a proven tools based methodology that combines technical system & business process based analysis to create an As Is and To Be snapshot of a your ERP, SRM, CRM, BW & Extended SCM systems. This tools and processes provide quantifiable data to identify opportunities of improvement. Why is it valuable? Results from a comprehensive SAP system scan report will provide quantifiable data around system customization, process and customer scenarios, performance and KPI issues, etc. to support strategic discussions around future IT and Business Roadmaps. The role based workshops improve IT and Business Groups understanding of opportunities for system and process improvement. Quantifies value of proposed improvements and pre-defines scope of future roadmaps. How does it help my company? Quantifiable data provides fact-based discussion on current state of system, usage and opportunities for improvement. Combined technical analysis with role based process analysis identifies business process areas that can be improved. Workshops help develop scope for future Business and IT roadmaps and will also speeds up blueprint phase for delivery partner/sap Quantifiable data helps define ROI and need for improvement 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 15

15 SAP STAR IBIS Outputs (RBE Plus ERP System Analysis) Deliverables Technical System Analysis Usage, Dialog, I/O, etc. As-Is definition of detailed business process including custom code and non-sap systems Strategic KPI scoring for each business process To-Be opportunities per process area Benchmarking 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 16

16 SAP STAR IBIS Outputs (SAP HANA Innovation Analysis) Bottleneck Map Interactive analysis of big data and concentrated usage HANA Cloud Business Case View Simulation of bottlenecks and details on adjustable parameters Data Extraction SAP HANA Scenarios, End-to-End Processes Assessment of relevance and impact, including custom programs Customer SAP ERP System Clean Up List of largest tables, assigned archiving objects and last archiving run 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 17

17 SAP STAR IBIS Outputs (RBE Plus BW Analysis for HANA) Deliverables Usage information, key figures, top lists Serves as data source for: Clean-up potential Identify priority Identify Potential objects for return to ERP on HANA 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 18

18 Demo

19 Process and Next Steps

20 How Does it Impact Me? Impact Very low impact to business time CXO/VP level meeting to review IBIS Scan Output and align on target process areas for workshops Light prerequisites to build workshops with appropriate internal resources ~ 2-3 days worth of workshops per each business area (e.g. Forecast2Stock or Order2Cash) o Workshops need to have process area experts and up and downstream process experts as attendees CXO/VP level meeting to review deliverables and roadmap No system impact scan will not affect the current system and runs in the background No Security impact Scan does not effect system security Extremely low cost for a very high value Prerequisites At least 3 months of stored data in Transaction ST03N. Readiness to run the IBIS ABAP program on the Production System Instructions will be provided as will support from IBIS 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 21

21 SAP STAR Roles & Responsibilities X = Responsible O = Optional A = As Needed Responsibility/Role AE IVE CoE SAP Services or Partner IBIS Customer Identify Target Systems that would benefit from SAP STAR X X X A Identify customer prerequisites are met X A X Write single SOW for STAR with IBIS X X Manage project plan for STAR project X Connect ABAP program to production system X X Finalize IBIS output from system scan and complete analysis/reports X Assess IBIS output reports for broken/focus process areas O X X X A Work with customer to select workshop focus/process and appropriate business user group attendees O X X X X Conduct Workshop/ Attend Workshop O X X X O X Assess workshop findings/results with IBIS output reports and create Value Assessment, ROI, CBR, Roadmap with options/cost of best path forward (Partner & AE need to be aligned on path forward for one clear message). Create CXO final set of deliverables. X X X X O Set meeting to review final recommendations X X X Present final recommendations X X X X X X 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 22

22 SAP STAR Process Week 0 Week 1-4 Week 5 Week 6 Week 7 Identify Target Systems Production Systems that are 6+ years old or Mulit-System Landscape for convergence. Should have history tracking bucket of at least 3 months Run RBE+ System Scan and Analyze Reports System Scan will identify all activity, transaction use, customization, user role, etc. Assess output to identify areas of opportunity. Conduct As-Is/To-Be Process Driven Workshops Based on Scan results, conduct workshops for process areas where greatest issues are found. Align To-Be with SAP Apps. Create Cost-Benefit-Risk Analysis (CBR) Quantifiable output based on Scan, Workshops and Opportunities for improvement. Create Roadmap for Success Align with CXO initiatives and CBR and create a Quick Wins, Short Term and Long Term Roadmap Timeframe: Scan to completed results is a 4 weeks (1 day to set up). Overall onsite time is 2-3 days for concurrent workshops SAP AG or an SAP affiliate company. All rights reserved. Confidential 23

23 SAP STAR Deliverables System Scan Report (IBIS) IBIS Analysis Output (IBIS) ERP System and Process Based Analysis S/4 HANA Analysis with FIORI App Analysis BW Analysis As-Is Assessment per business process area where workshops were conducted (SAP VAT) To-Be Assessment per business process area where workshops were conducted (SAP VAT) Cost-Risk-Benefit Analysis/ ROI Calculation (SAP VAT) Opportunity Roadmap (SAP VAT) Pre-blueprint Scope documents based on workshop output (IBIS) 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 24

24 SAP STAR Customer References RBE Plus analysis available in Europe since ,000+ RBE Plus projects worldwide Available in the US since 2004 Key clients that have used RBE Plus 2014 SAP AG or an SAP affiliate company. All rights reserved. Confidential 25

25 Contact information: Thank you Windie N Wilson Solution Advisor Extended Supply Chain SAP North America Center of Excellence M W windie.wilson@sap.com Heiko Hecht IBIS President W hhecht@ibisamerica.com

26 APPENDIX

27 Digital Transformation Engagement Process Executive Alignment Track Business Track SAP EXECUTIVE ACCOUNT MANAGEMENT Executive Alignment Meeting Discuss Customer s strategy and share SAP s evolution, vision and technology advancements Request engagement = = INNOVATION OFFICE QUALIFICATION TEAM ACCOUNT MANAGMENT Engagement Qualification Confirm Customer's scope, objectives & willingness to commitment resources Classify engagement type & assign SAP resources Primary Actor(s) Creative Cycles of Design Thinking/ Solution Design/Prototyping BUSINESS ARCHITECT ENTERPRISE ARCHITECT ACCOUNT MANAGEMENT Mobilization / Kickoff Session Identify priority areas, agree on engagement approach and mobilize resources for execution Run the STAR evaluation on the customer s system Logical insertion point for the STAR process BUSINESS ARCHITECT ACCOUNT MANAGEMENT Business Model Workshop Understand enterprise goals, strategies, and challenges for process / function in scope Review and confirm relevance of work completed to date Prioritize key opportunities based on potential business value & change readiness IT Track Business Platform Architecture Analyze current-state architecture / IT environment Identify critical deployment / migration challenges, constraints, and implications ENTERPRISE ARCHITECT ACCOUNT MANAGEMENT BUSINESS ARCHITECT ACCOUNT MANAGEMENT Value Stream Breakouts Conduct end-to-end process assessments to identify key constraints / gaps / needs Share benchmark KPIs & process best practices Develop high level benefit estimates and prepare initial business case Combined Track Roadmap Development Map appropriate solutions to business requirements Create high-level roadmap Develop potential options & specific recommendations ENTERPRISE ARCHITECT BUSINESS ARCHITECT ACCOUNT MANAGEMENT Validation & Report Out Validate findings and refine recommendations to meet Customer's desired outcomes Present findings to the Executive sponsors and key process owners Agree on next steps to start realizing value from agreed upon roadmap ACCOUNT MANAGEMENT BUSINESS ARCHITECT ENTERPRISE ARCHITECT 2016 SAP SE. All rights reserved. 29

28 How Does This Help Me? What does it do? Who wants/needs this? SAP STAR Celonis smartshift Provides complete end-to-end transparency of current ECC System usage, customization, end user impact, sap process impact, by scanning system Current ECC customers Project Stage At Beginning of Project Stage When S/4 has been selected and want to create a baseline benchmark and identify other opportunities for improvement Prior to implementation to create benchmark and open up transparency of system/impact to project pitfalls Multi-system Convergence Project How does it help me as a Customer? What is the typical Process Cycle? How does this help me? Accelerates DTE and VA programs and IVE content/data pull. Give ACCELERATED ROI for end-to-end SAP opportunities. Can be done independent of DTE/VA/IVE This process takes 7 weeks from start to finish. At the end of the 7 weeks you will have and end to end 2 year roadmap for S/4, ESC and Ariba (future: SuccessFactors) Answers the question Why and What is my ROI for implementing SAP? Builds full roadmap for up and downstream application needs. Provides Business Process focused data mining across SAP and Non-SAP systems. Provides visibility for opportunity for improvement and ROI for using SAP better or SAP Net New Current ECC Customers Net New Customers At Beginning of Project Stage where specific process areas are of concern When S/4 has been selected and want to create a baseline benchmark for Business process improvement Pre and Post implementation to continue to identify business process improvement areas Builds ROI for current and Net New value for using SAP in detailed process areas. Can be done independent of DTE/VA/IVE Varies based on number of business processes being assessed. Process Cycle ranges from 5 months to 1 year. Answers the question Why and What is my ROI for implementing SAP in detailed business process areas. Is a PRODUCT that you will own and can use for continuous process improvement. Provides detailed analysis of custom code for remediation and transition to S/4 HANA Current ECC Customers When S/4 has been selected and want to create a baseline benchmark for custom code impact to S/4 HANA Journey Prior to implementation to create transparency of custom code impact to project pitfalls Creates better understanding of your current custom code impact to their S/4 HANA journey. Can be done independent of DTE/VA/IVE Varies based on project size and number of objects being analyzed. Creates transparency of detailed custom code impact to S/4 HANA journey SAP SE. All rights reserved. 30

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