Severstal: Empowering Teams Worldwide with Real-Time BI Enabled by SAP HANA and SAP MaxAttention

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1 2014 SAP SE or an SAP affiliate company. All rights reserved. Picture Credit Customer Name, City, State/Country. Used with permission. Severstal: Empowering Teams Worldwide with Real-Time BI Enabled by SAP HANA and SAP MaxAttention What does it take to be a leading global steel company today? The very latest information delivered to the front lines of your business. From steelmaking facilities in Dearborn, Michigan, to Russia s northernmost iron ore mine, Severstal JSC teamed up with SAP to successfully deliver real-time business intelligence (BI) and insight across its global operations.

2 Company Severstal JSC Location Cherepovets, Russia Industry Mill products steel production and mining Products and Services Steel production and mining Employees 61,000 Revenue US$13.31 billion Web Site Partners SAP Active Global Support organization, SAP MaxAttention services BUSINESS TRANSFORMATION The company s top objectives Make real-time analysis of huge volumes of data available company-wide Support business process optimization with faster, simpler reporting Reduce IT management complexity, effort, and cost The resolution Partnered with the SAP Active Global Support organization to transition to the SAP HANA platform Tested performance gains using actual data volumes prior to deployment Partnered with SAP MaxAttention services to optimize data availability and management and enable on-schedule deployment The key benefits Real-time reporting and analysis of large data volumes Self-service and mobile business intelligence (BI) to support fast, efficient business processes Simplified, efficient BI infrastructure management Read more The transition to SAP HANA creates new opportunities for transformation across the company, and expertise provided by SAP MaxAttention has helped make that transition successful. Yuriy Shekhovtsov, CIO, Severstal JSC TOP BENEFITS ACHIEVED Up to 100x Faster reporting 35% Average reduction in data upload time 250% Improvement in data compression See more metrics 2 / 6

3 Keeping complex global operations in sync and competitive With 70,000 employees worldwide, Severstal JSC is one of the world s largest steel and mining companies. Safety and sustainability are the most critical priorities for the company. Severstal s people work in some of the most prominent and complex industrial facilities in Russia, Europe, and the United States, as well as several African countries. Keeping these operations safe and competitive long term is why Severstal is executing a company-wide mission to streamline and integrate its worldwide operations. It s a mission that s already delivering significant benefits: improving team coordination, delivering new technology innovations, as well as optimizing different procurement, production, and customer processes. These efforts are on target to contribute US$1.3 billion in profits over five years. To improve process integration, reporting, and analysis, Severstal s mission includes standardizing all its divisions and subsidiaries with enterprise and business intelligence (BI) solutions from SAP. The company s critical daily operations from shipments and production orders to materials planning and pricing analysis required precise, accurate, and timely data on demand. Unfortunately, Severstal s rapidly growing volume of business data made it increasingly difficult to improve the speed and quality of BI needed by these different teams. For example, headquarters needed faster reporting so it could dramatically shorten financial close cycles. We need an upgraded BI infrastructure that supports faster, simpler reporting for optimizing business processes while reducing BI complexity, maintenance effort, and cost. Yuriy Shekhovtsov, CIO, Severstal JSC 3 / 6

4 Taking an innovative new approach for faster, leaner BI With increasing demand by business teams for faster and more robust reporting, Severstal recognized that its current BI infrastructure needed transformation. But getting there required a choice: either increase the hardware and maintenance footprint for the Oracle database that supported its BI or shift the entire BI infrastructure to a fundamentally new technology SAP HANA. Remaining with the Oracle database would have required extensive investments in cost and effort for new IT support and infrastructure upgrades. SAP HANA is designed differently, allowing teams to analyze huge volumes of data in real time while requiring a significantly lower data management and hardware footprint. However, before fully committing to SAP HANA, Severstal tested the new platform for performance, hardware capacity, and stability. The results were convincing with up to 100 times faster data reporting speeds along with faster data upload times and improved data storage compression. Severstal s transition strategy included partnering with the SAP Active Global Support organization. Through SAP MaxAttention, the company teamed up with experts on SAP HANA to help ensure a rapid transition and to maximize business user satisfaction and adoption after implementation. Migration to SAP HANA occurred on schedule with help from SAP MaxAttention. It took four days, and we even completed our quarterly financial close on schedule using the new BI platform. Sergey Dunaev, Head of SAP Delivery Center, Severstal JSC 4 / 6

5 Establishing real-time, targeted BI everywhere SAP HANA has opened up new opportunities for teams across Severstal s global operations. In fact, Severstal business users are much more enthusiastic about company reporting and analytics now that these are powered by SAP HANA. They can rapidly analyze huge volumes of data the second it s created and put it to use to spur innovation and excellence. Teams can review, share, and comment on real-time, business-critical performance indicators and reports, and can collaborate live. With the help of optimization support services from SAP MaxAttention, reporting is consistently accurate and reporting speed has increased exponentially. Real-time enterprise reporting is now available on mobile devices. In addition, faster data processing is speeding up critical business activities like financial close, and improved data compression is controlling data storage and maintenance costs. KEY BENEFITS Up to 100x Faster reporting 35% Average reduction in data upload time 2x 3x Faster data processing speeds 5% Average increase in reporting speed 250% Improvement in data compression 5 / 6

6 Severstal Taking SAP HANA beyond BI Severstal plans additional improvements in the speed, cost-effectiveness, and user experience of the reporting and processes powered by SAP HANA. To help improve reporting performance, the company is upgrading to the latest version of the SAP Business Warehouse (SAP BW) application. Severstal is also looking for more ways to cost-effectively manage Big Data while increasing reporting flexibility and performance in SAP BW. That s why the company is testing the SAP IQ Near-Line Storage and Retention Management rapid-deployment solution (14/09) To further optimize business processes across the company, Severstal is conducting a feasibility study to evaluate migration of SAP Business Suite software to SAP HANA. By combining analytics and SAP Business Suite transactions on a single in-memory platform, Severstal can significantly improve the user experience, speed processes and responsiveness, and simplify IT management. 6 / 6 Picture Credit Customer Name, City, State/Country. Used with permission.

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