SBN conference SAP S/4HANA for companies with complex logistics and PLM processes

Transcription

1 SBN conference SAP S/4HANA for companies with complex logistics and PLM processes Oslo, Oct 24 th, 2017 Mats Bjerkaas, Head of Supply Chain Operational Excellence, Aker Solutions Gaute Kilen, Sr Business Advisor, Cognizant 2017 Aker Solutions

2 Global Presence Aker Solutions is based in more than 20 countries and 50 locations in Europe, Africa, the Americas, Asia Pacific and Middle East Aker Solutions Innkjøpskonferansen Slide 2

3 Organizational Set-Up Reflects Our Business Workflow Customer Management Front End Products Projects Services Early client engagement Project execution Life-of-field services 2017 Aker Solutions Innkjøpskonferansen Slide 3

4 Digitalization Reinventing Internal Processes & Customer Value We will leverage data and intelligent technology to reinvent our internal processes and customer value proposition Technology Data acquisition and sensors Industrial Internet Document handling Data management Software tools & simulation Digitalisation of customer value proposition Customer experience Customer offering Improve end to end customer experience Enhance offering within existing and through new business models Mobile Solutions Augmented & Virtual Reality Big Data & Analytics Artificial Intelligence Advanced Robotics & Additive Manufacturing Digitalisation of internal processes Functional excellence Step change in internal efficiency to enable functional excellence Expand digital capabilities in-house and through partnerships Informed and early decision making Business agility Cost reduction Value optimization Quality improvement 2017 Aker Solutions October 11, 2017 Slide 4

5 Background for business case SAP S/4HANA supports AKSO digitalization agenda, gives AKSO a competitive advantage, delivers clear financial benefits, and all new development will only be released on S/4HANA. AKSO ERP Focus Areas Standardize Utilize functionality within SAP Improve user experience ERP focus areas Scope Scope Assess benefits, costs and risks implementing SAP S/4HANA for AKSO Benefits considered in these processes: Supply Chain, Quality Management, PLM & DMS, Finance, Manufacturing Cognizant Oil and Gas has invested NOK Internal 2017 Aker Solutions October 30, 2017 Slide 5

6 SAP in Aker Solutions: Where we are today, and our internal recommendation AS-IS TO-BE Competitive Advantage SAP ERP HANA db upgrade S/4 Finance data migration Analytics & UX Predictive & Digital Inspection Master Data Governance Success- Factors Completed by AKSO Partly completed by AKSO SAP S/4HANA Suggested next steps for AKSO Reactive Proactive Predictive Digital Maturity Internal 2017 Aker Solutions October 30, 2017 Slide 6

7 Value Drivers for S/4 HANA R/3 Rewritten on HANA Completely FIORI Software Deployment Options Transaction and Analytics Combined Cloud On Premise Managed Accelerate the adoption of SAP HANA for Simplicity, Speed, Agility and Simplified Data Models Alignment to Overall SAP Roadmap Deploy fresh, delightful, and easy to use multi-channel apps on top of business suite and be ready with HANA-optimized FIORI apps Design/Create new FIORI designed applications based on the SAPUI5 SDK and SAP UI/UX design Align with the best deployment option based on Business Location, Line and Size of Business. Evaluate Business benefits before proceeding ahead. Look out at multi tenancy Adopt the best Deployment Options Considering OPEX/CAPEX Consider Rationalization on Analytics and Reporting Look at areas to minimize non value adding process like data loads. Evaluate Real time Analytics and Reporting on S/4 HANA Internal 2017 Aker Solutions October 30, 2017 Slide 7

8 S/4 HANA Motivation - Surveys Implementation approach 49% system conversion 24% process migration step-by-step 24% greenfield implementation 44% start with SFIN, only some with SCM Show-stopper today 75% uncertanties about costs and effort 50% high amount of customer code Future Mode of Operation 72% On-premise data center 30% Cloud or hybrid (mostly larger enterprises) Internal 2017 Aker Solutions October 30, 2017 Slide 8

9 S/4HANA enables proactive and predictive approach AS-IS TO-BE Mats Bjerkaas Reactive Personalized Proactive Predictive User Interface Internal 2017 Aker Solutions October 30, 2017 Slide 9

10 Quantitative benefits summary general view Hours saved on efficiency gains SAP users will save time working in the system due to improved user interface, less training required, less time spent searching for information, faster response, better data quality, increased user satisfaction Reduced stock Possible to procure from a global excess stock to eliminate costs of double procuring Better overview and transparency in stock Other cost savings Warehouse time savings with the possibility to track goods by serial number. Meaning that use of batch numbers can be removed Save annual inventory cost by removing 3 rd party application Hours saved in the billing process due to automation Reduced cost and time ordering BI development work Hours saved on reporting Less time spent reporting regular reports can be integrated into user overview page presenting real-time data and analytics enabling a more proactive management of opportunities and issues Internal 2017 Aker Solutions October 30, 2017 Slide 10

11 SAP S/4HANA Database & Table Structures Prepare your data structures for new real-time requirements, big data and high throughput Sales Order Delivery Billing Document Status Info Conditions Document Flow MBEW EBEW Document Header Item incl. Indices incl. Status Status VBAK LIKP VBRK VBUK Aggregates Used Hybrid: for Master Data with only Valuated Stock Sales PRCD_ ELEMENTS (new) KONV VBFA (simplified) VBFA VBAP KIPS LIPS VBRP VBUP VAKPA VLKPA VRKPA Index for Rebates VBOX Material Values Valuation in MM or Valuation in ML History MBEWH EBEWH ML Valuation CKMLCR CKMLPP VAPMA LKPMA VRPMA On the fly aggregation and compatibility views for indices and obsolete tables MATDOC MKPF COBK ANEK MLHD* MATDOC_ EXTRACT MSEG Finance Document Totals Indices Header Item GL, AR, AP BKPF BSEG GLT0 KNC1 KNC3 BSIS BSAS New GL CO AA ML SAP Business Suite ACDOCA FAGLF LEXA* FAAT_DOC_IT COEP FAAT_YODA ANEP FAAT_PLAN _VALUES MLIT* ANEA Material Quantities Material Document Inventory movements MSSA MSTE LFC1 FAGLF LEXT* COSS ANLC MLCD* Aggregates Stock Aggregates MSSL MSTQ LFC3 COSP ANLP MLCR* MSSQ MSTB Hybrid: Master Used for Data Master with Data Stock only Aggregates BSID FAGL BSIS BSIM* MSSAH MSTEH MARCH BSAD FAGL BSAS CKMI1* History MSTBH MSTQH MARDH BSIK BSAK MSSQH MKOLH QBEW QBEWH MCHB MARC MARD MSKU MSLBH MCHBH MSKUH OBEW OBEWH MSKA MKOL MSPR MSLB MSKAH MSPRH Internal 2017 Aker Solutions October 30, 2017 Slide 11

12 Results of simplification Reduced ¾ of objects from application layer in S/4 HANA compared to ERP. S/4 HANA is simplified data model. Reduced data foot print with highly compressed data and less tables. See below Data foot print reduction with S/4 HANA. Internal 2017 Aker Solutions

13 SAP S/4HANA 1610: Digital Core it needs preparation! Very important preparation: Read SAP Simplification list (1709): Close to 900 pages interesting reading. 1.1 Purpose of the Document The purpose of this document is to support customers in converting their system from SAP ERP 6.x or SAP Simple Finance, to SAP S/4HANA. Note: The Simplification List for SAP S/4HANA is edition/release dependent. In this collection we focus on SAP S/4HANA For future SAP S/4HANA releases, a new list will be made available. Internal 2017 Aker Solutions October 30, 2017 Slide 13

14 SAP S/4HANA 1610: Digital Core it needs preparation! Internal 2017 Aker Solutions October 30, 2017 Slide 14

15 Risk elements to consider Risk Mitigation 1 Delay in decision, SAP ERP out of maintenance Extend maintenance and target install before Unknown scope and cost of implementation Perform detailed blueprint phase 3 Benefits rely on certain prerequisites e.g. master data clean up + ECTR Map and coordinate with functional road-maps, secure funding 4 SAP S/4HANA solution maturity 5 Governance & ownership Implementation to start when improved product maturity and more reference cases exist (2018) Secure Mngt approval, establish cross-functional SteerCo and allocate full time PM + project resources 6 Potential disruption to business operationally and financially Detailed implementation and communication plan aligned with core processes as an output of the blueprint phase Internal 2017 Aker Solutions October 30, 2017 Slide 15

16 SAP S/4HANA 1610: Digital Core Internal 2017 Aker Solutions October 30, 2017 Slide 16

17 2017 Aker Solutions Slide 30 October

18 Copyright and Disclaimer Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in Aker Solutions and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without express prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction. Disclaimer This Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Aker Solutions ASA and Aker Solutions ASA s (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as expects, believes, estimates or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Aker Solutions businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Presentation. Although Aker Solutions ASA believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation. Aker Solutions ASA is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Aker Solutions ASA nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use. Aker Solutions consists of many legally independent entities, constituting their own separate identities. Aker Solutions is used as the common brand or trade mark for most of these entities. In this presentation we may sometimes use Aker Solutions, we or us when we refer to Aker Solutions companies in general or where no useful purpose is served by identifying any particular Aker Solutions company Aker Solutions October 30, 2017 Slide 18