Demystifying BPC Embedded

Transcription

1 Demystifying BPC Embedded The next evolution of EPM Christopher Kaszelik Bluetree

2 This Presentation Covers: SAP EPM Tool comparison BPC Embedded advantages SAP EPM Roadmap Sharing insights Conclusion

3 EPM (CPM) - Introduction Gartner defines CPM to comprise of the following components Financial consolidation and close management Financial and Management Reporting and disclosures Financial Planning and Forecasting Strategic Planning and Forecasting & Strategic Management Profitability Modelling and optimization In short Corporate Performance Management (CPM) is the process of monitoring performance across the enterprise with the goal of improving business performance. An EPM system integrates and analyses data from many sources. Source: Gartner.com

4 Source: SAP AG SAP Solutions for EPM (current) Strategize and plan SAP Strategy Management 10.1 SAP Business Planning and Consolidation 10.1 SAP BusinessObjects Cloud Analyse and optimize SAP BusinessObjects Cloud SAP Business Planning and Consolidation 10.1 SAP Profitability and Cost Management 10.0 Close and disclose SAP Business Planning and Consolidation 10.1 SAP Financial Consolidation 10.1 SAP Disclosure Management 10.1

5 SAP BPC History 4.3 MS Release 5.1 MS Release 7.0 MS Release 7.0 NW 7.5 MS Release 7.5 NW Release 10 MS Release 10.1 MS Release 10.1 NW Standard 10 NW Release 10.1 NW Embedded Based on IP framework

6 SAP BPC Versions BPC Standard Full feature planning and consolidation tool based on BW and supported on HANA Designed for flexibility and to be administered by the business users Requires its own BW namespace and its own cubes Uses an account model Single key figure Front-end: EPM Add-In Targeted for business users and flexibility

7 SAP BPC Versions BPC Embedded Leverages BW-IP logic, taking advantage of native BW Cubes Offers Planning Application Kit (PAK) BW-IP optimised for HANA Multi key figure model BPC Standard functionality becoming increasingly available and mature Front-end: Analysis for Office Leverages IT centric EDW model with BPC business oriented features

8 Source: blogs.sap.com SAP BPC Versions BPC Optimized BPC Embedded on BW Embedded in S/4HANA Only available with S/4HANA, runs on BW Embedded First purpose is to replace planning functions from FI/CO, which are not present in S/4HANA Finance Pre-delivered BPC templates

9 Source: SAP AG SAP BusinessObjects Cloud (BOC) SAP BOC is a people-centric solution designed to help simplify financial planning and analysis and eliminates the need for different tools Finance and other line of business professionals are envisioned to eliminate the complexity of planning processes and quickly integrate corporate and divisional plans Bidirectional integration with SAP BPC 10.1

10 Choosing the right solution The following key aspects determine the choice of solution: Existing SAP investment & roadmap Integration requirement Scalability requirements Nature of functionality Consolidation vs Planning vs Analytics Complexity of the requirements

11 This Presentation Comprises: SAP EPM Tool comparison BPC Embedded advantages SAP EPM Roadmap Sharing insights Conclusion

12 BPC Embedded architecture Source: SAP AG

13 BPC Embedded Calculation Engine Planning Function Category Preferred utilisation Advantages Disadvantages Standard Planning Functions First option to perform Planning Functions 100% Hana Optimised Easy to Create, Maintain and implement Only a limited number of basic business scenarios can be addressed Formula Extension (FOX) Used when Standard Planning Functions cannot fulfil Business Requirements Most FOX formulas are HANA Optimised Low to Medium Complexity to build Do not Support Hierarchies Subroutines and Functions modules are not yet supported for HANAoptimised Can only read data from same aggregation level

14 BPC Embedded Calculation Engine Planning Function Category Planning Application Kit (PAK) Preferred utilisation Advantages Disadvantages Used when Standard Planning Functions and FOX cannot fulfil Business Requirements 100% Hana Optimised Addresses most of the business scenarios Supports Hierarchies Can read data stored in HANA tables/views Can read data from other aggregation levels Medium to High complexity to build ABAP formulas Due to the fact that ABAP is executed on the Application layer, it should be used as the last option Most flexible engine Supports Hierarchies Can leverage standard ABAP call functions/bapi s and BADI s Not yet HANA-optimized supported High complexity to build

15 Planning Functions BPC Embedded offers a number of standard planning functions such as: Unit Conversion Generating Combinations Formula Copy Delete Delete Invalid Combinations Forecast Reposting Reposting by Characteristic Relationships Revaluation Distribute by reference data Distribution by keys Currency translation

16 Planning Functions via FOX formulas Planning Functions via FOX Formulas are to be utilised for more complex business cases not covered by standard planning functions. E.g. Simple tax calculation They can be used to cover a wider range of business requirements, however they are comparatively more complex than standard planning functions. The logic for FOX is defined in the planning function itself. Most FOX formulas are HANA-optimised. This means that they are executed on the HANA Data Base Layer. This excludes execution of Subroutines and Functions modules which are not yet HANA-optimised supported

17 Planning Functions via PAK The Planning Application Kit (PAK) was delivered with SAP BW on HANA to allow SAP BPC planning functions to run in-memory. As a result the maximum performance is gained due to deeper HANA integration. No data load into the application layer required. In planning functions it is often necessary to use data that does not lie within the aggregation level (e.g. allocation rules or escalation rates). PAK planning function realised via a SQL-Script procedure can easily access this external data stored in database tables

18 Planning Functions via ABAP FOX Script functionality can be enhanced using an ABAP Function Module. The ABAP code for this is complex but offers more flexibility compared to other Planning Function options. ABAP routines are not yet supported for HANA-optimised as they run in the Application Layer. They require more processing time and hence should be used only when the required functionality cannot be achieved by standard planning functions, FOX or PAK.

19 PAK Framework When implementing a SQL-Script planning function, several objects need to be created: Create a ABAP Class Create a Planning Function type Needs to reference the ABAP class Create a Planning Function For the PAK Planning Function type created Create a HANA Store Procedure containing the SQL calculation logic

20 ABAP Class PAK Framework Planning Function Hana Store Procedure Planning Function Type

21 Analysis Office Combines Analysis Plug-In and EPM Add-In in a single installation Two separate ribbons Which Plug-In to use*? BPC 10.X Standard model -> EPM BPC 10.1 Embedded model -> Analysis ** * Refer SAP Note ** In exceptional cases, use of EPM plug-in may be necessary. Refer SAP Note

22 Analysis Plug-In on BPC Embedded Full BW meta data support, performance-optimized Full planning support: new lines, planning functions/sequences Support of work status and business process flow SAP is continuously improving the Analysis Plug-In features to match EPM Add-In functionality Major differences include: Formatting Analysis uses styles for formatting instead of formatting sheet Conditional formatting available in A4O Direct Input/Member recognition Other approach for report design (e.g. design panel, context menu, filter dialog)

23 Business Process Flow in AO 2.4 The BPF can be launched by the end user directly in Analysis Office using HTTP connections. The user can access tasks in the activity workspace Workstatus can now also be configured 23

24 This Presentation Comprises: SAP EPM Tool comparison BPC Embedded advantages SAP EPM Roadmap Sharing insights Conclusion

25 Roadmap for SAP Business Objects EPM solutions Source : SAP EPM Roadmap 2016Q3

26 Vision for EPM Source : SAP EPM Roadmap 2016Q3

27 SAP BPC MS Scope Incremental consolidation Matrix consolidation Controls monitor Advanced business process flow Ability to open Excel reports from workspace Support for mobile app Key Benefits Better performance and productivity to run consolidation when data changes, reducing time to close Easier way to run both legal consolidation and management consolidation by sharing same model and data Exception-based validation with greater control and visibility, enhancing accuracy More powerful and flexible process flow for planning and consolidation activities Greater productivity by allowing business users to group relevant reports together for frequent use under the same business context Broader adoption and increased engagement by leveraging mobile devices Source : SAP EPM Roadmap 2016Q3

28 SAP BPC NW-Standard & Embedded Scope Digital transformation Support for SAP BW/4HANA Dashboard Integration with predictive analytics UX simplification and personalization Transformed user experience New home page UX improvement on business process flow runtime Consolidation Push consolidation engine to SAP HANA Push control logic to SAP HANA Advancement consolidation monitor Advanced journal Key Benefits Support for next-generation SAP BW/4HANA Improved dashboard capability through integration with Lumira and Design Studio More accurate planning with user-friendly predictive capabilities using the predictive analysis library in SAP HANA Continuous improvement of user experience with SAP Fiori UX Fresh new home page design allowing personalization and quick access to frequent used features Optimized My activities user experience to better suit business need Further improvement on consolidation performance by pushing consolidation calculation logic to SAP HANA DB Enhancement control capability and performance by reusing SAP HANA rules framework Flexible consolidation monitor including tasks, work status, controls, and calculations Multiple journal templates, advanced journal settings and validation, journal upload Consolidation of investment, intercompany profit elimination of inventory/asset Source : SAP EPM Roadmap 2016Q3

29 SAP BPC - Embedded Scope Line-of-business flexibility Model planning function in Web client Planning function with business process flow and Web reporting Navigation attribute support Support for SAP BusinessObjects Analysis for Microsoft Office workbook from SAP BusinessObjectsEnterprise Collaboration Advanced comment UX simplification and personalization Query-less reporting Consolidation Real-time consolidation Matrix consolidation Various enhancements Key Benefits Business user enabled to create planning functions/sequences with simplified user experience Powerful planning capability enabled in Web client Full support for navigation attribute in business process flow and data access profile Better integration with business intelligence (BI) platform, support SAP BusinessObjects Analysis for Microsoft Office workbook from SAP BusinessObjects Enterprise in business process flows Full commentary capabilities, enhancing complex planning processes Enable business user to create ad-hoc reports(input forms) without IT involvement Continuous improvement for consolidation with SAP S/4HANA Matrix consolidation capability provided by introducing U.S. elimination rule Better compounding support, flexible hierarchy support in business rule, transport Source : SAP EPM Roadmap 2016Q3

30 SAP BPC NW Optimized for S/4 Scope Enhancements in the area of simulation of cost allocations Activity price and activity consumption planning Workbook redesign Basic sales planning workbook Model extension tool (MET) Integration with SAP Integrated Business Planning for sales and operations Key Benefits Enhanced support for simulating impact of changes on key drivers of allocated costs on receiving administrative and production cost centers. Now, the distribution mechanisms ratio, consumed activity, and fixed amounts can be included in the simulation. Easy to estimate the consumption of and resultant costs of consuming internal services during the planning process Planning workbooks will be redesigned to meet SAP Fiori UX style guides End-user-friendly, simple workbook to record expected sales prices and quantities by material and customer group To reduce setup time, MET automatically generates info objects and many other artifacts needed to get the planning solution running in a shorter time frame, including customer-specific planning dimensions Enhanced data quality and reduced effort in integrating sales and operational planning data into the overall profit-and-loss planning process Source : SAP EPM Roadmap 2016Q3

31 This Presentation Comprises: SAP EPM Tool comparison BPC Embedded advantages SAP EPM Roadmap Sharing insights Conclusion

32 Common Implementation Mistakes Wrong choice of tool Product fit One size fits all mindset Not knowing product limitations Inability to establish clear specifications and business case Lack of detailed design Lack of clear stakeholders and senior support Resource commitments Functional as well as technical Insufficient Training Inadequate Testing Inadequate Staffing of implementation team

33 Big Bang or Phased roll-out? EPM implementations should be considered as a journey and should be deployed in a phased manner to maximise the outcome Generally the business users with traditional IT knowledge (mostly from OLTP background) make transition to these platforms. It is necessary that they work with the tool for sometime to understand strengths and weakness of the product The first phase of the roll-out should be out of the box solution leveraging RDS (Rapid deployment solutions) Once the key business users have familiarized themselves with the tool, the remaining phases should be planned This approach will set up a constructive and collaborative environment for the subsequent solution requirement analysis and design phases

34 This Presentation Comprises: SAP EPM Tool comparison BPC Embedded advantages SAP EPM Roadmap Sharing insights Conclusion

35 5 Leading Insights BPC Embedded wins on integration and performance Planning Application Kit for in-memory calculations deliver huge impact to clients Analysis Office is the only supported front-end tool but needs to catch-up with EPM Add-In Most significant benefits of BPC on S/4HANA BPC & BOC Stronger together

36 Reference to More Comprehensive Information SAP Road Map for EPM Products Q Gartner Magic Quadrant Report for CPM

37 Questions? Christopher Kaszelik