Overview of S/4HANA 1909 and latest innovations 2nd ...

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Overview of S/4HANA 1909 and latest innovations 2 nd December 2019 13:30-14:15

Transcript of Overview of S/4HANA 1909 and latest innovations 2nd ...

Overview of S/4HANA 1909 and latest innovations

2nd December 2019 – 13:30-14:15

2PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀR This is the current state of planning and may be changed by SAP at any time without notice

Legal Disclaimer

The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the

permission of SAP. This presentation is not subject to your license agreement or any other service or subscription

agreement with SAP. SAP has no obligation to pursue any course of business outlined in this document or any

related presentation, or to develop or release any functionality mentioned therein. This document, or any related

presentation and SAP's strategy and possible future developments, products and or platforms directions and

functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The

information in this document is not a commitment, promise or legal obligation to deliver any material, code or

functionality. This document is provided without a warranty of any kind, either express or implied, including but not

limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This

document is for informational purposes and may not be incorporated into a contract. SAP assumes no

responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful

misconduct or gross negligence.

All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ

materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking

statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

3© 2018 SAP SE or an SAP affiliate company. All rights reserved.

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

4© 2018 SAP SE or an SAP affiliate company. All rights reserved.

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

5PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Be the experience company powered by the intelligent enterprise

XData

OData

Employee

Database &

Data Management

Customer

ExperienceManufacturing &

Supply Chain

People

Engagement

Network &

Spend

Management

Digital Core

SAP Cloud Platform

SAP Analytics Cloud

SAP C/4HANA

SAP Leonardo

SAP HANA

SAP S/4HANA

IBP DMC

AIN

IPD

Platform & Technology

Brand Product

Customer

AnalyticsIntelligent

Technologies

Application

Development & Integration

Intelligent Suite

6© 2018 SAP SE or an SAP affiliate company. All rights reserved.

How SAP S/4HANA will change the way you run your business…

360° Cockpits and Analytical Views

for comprehensive and customizable insights

Embedded Analytics

for simulation, prediction and insight-to-action

Role-based applications

for user/task-related optimization

Digital Assistant and Mobile UX

for device-independent use

Machine Learning for

automation and decision support

SAP S/4HANA

Procurement Overview Monitor Purchase Order Items Manage Production Orders Manage Material Coverage

Monitor GR/IR Account Reconciliation Monitor Materials Without Contracts

7© 2018 SAP SE or an SAP affiliate company. All rights reserved.

Artificial Intelligence Technologies: SAP Approach

Chatbots to interface and hand-

over to execution bot

Multiple bot workflows for

execution (attended + unattended)

Automate standard processes via

recorded transaction to execute

repetitive & time consuming tasks

automatically going forward. Use SAP

Cloud Platform for cross system

automation.

Self-learning bots and applications

with dynamic adaptability

Learn from customer specific history and

exceptions to predict, support steps, automate

or optimize business user decisions.

Embedded ML / PAI for simple cases like trending or

forecasting and low CPU/ RAM/ data demand

Side-by-side ML / Deep Learning for Resource-intensive

cases like image or language processing or Neural

networks with high CPU / RAM / data demand

Interact Execute Optimize

Intelligent RPA Machine Learning (ML)

8© 2018 SAP SE or an SAP affiliate company. All rights reserved.

SAP S/4HANA customer momentum is strongas of October 2019

SAP S/4HANA Customers

12,000+Live Customers1st thousand in 2 years 7 months

2nd thousand in 10 months

3rd thousand in 9 months

3,700+Deployment Projects

6,700+

Reduction in days sales

outstanding

48%

Shorter delivery lead

time

30%

Increase in operational

efficiency

60%

Faster report generation

80%

Faster material requirements

planning

95%Visibility of inventory across

all locations

100%

Examples of SAP S/4HANA benefits

these customers have reported:

INTERNAL© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ 9ǀ

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

10PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀR This is the current state of planning and may be changed by SAP at any time without notice

11PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

ONE physical shipment

Industry 01 Industry 02 LoB A

from Automotive

Integrated Product and Process Engineering

Packaging Logistics

Executing Inbound Deliveries

Just-in-Time, Just-in-Sequence

Automotive-specific Kanban features

Production Backflush for Discrete Industries

Self-Billing and Evaluated Receipt Settlement

Scheduling Agreement Processing (enhancements)

Vehicle Management System, Vehicle Search

Long Material Number

from E&C, Aerospace & Defense, Mill

Equipment Tools Management

Bill of Services

MRO Maintenance, Repair & Overhaul

Order Combination for Production and Process Orders (Mill)

from Utilities

Asset Operations and Maintenance

Meter Logistics and Operations Services

Intelligent Meter Reading Processing

Bill to Cash for Energy Prosumers

Credit and Collection Management

from Professional Services

Commercial Project Management

from Consumer Products

Catch Weight Management (incl. conversion)

SAP Agricultural Contract Management

from Retail & Fashion / Wholesale

Master Data Management for Merchandising

Omnichannel Merchandise and Assortment Planning

Pricing and Promotions

Merchandise Procurement

Demand and Supply Planning

Inventory Management and Order Response

Store Commerce

from Oil & Gas

Hydrocarbon Product Management

Trader’s and Scheduler’s Workbench (TSW)

Joint Venture Accounting

Retail Fuel Network Operations

Secondary Distribution Management

from Banking

Average Daily Balances

Amount Field Length Extension in the General Ledger

Multi-Currency Processes and Accounting

Error Correction and Suspense Accounting

from Media

Product Master Hierarchy

SAP S/4HANA 1909 – “Industry to Core”

ERP

Ind

ustr

y A

dd

-on

3

Lo

B A

dd

-on

Z

Ind

ustr

y A

dd

-on

1

Ind

ustr

y A

dd

-on

2

Lo

B A

dd

-on

A

12PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

Enterprise Management

SAP S/4HANA – Suite 1909

Suite LoB

Solutions**

S/4HANA

LoB Solutions*

S/4HANA

LoB Solutions*

Suite LoB

Solutions**

Sales & Marketing Finance Manufacturing Supply Chain

Sourcing & Procurement Human ResourcesR&D / EngineeringService Asset Management

• Core HR and time recording• Operational procurement

• Sourcing and contract management

• Supplier management

• Procurement analytics

• Invoice management

• Service master data and agreement

management

• Service operations and processes

• Service parts management

• Maintenance management • Enterprise portfolio and project

management

• Product engineering

• Central procurement• Asset operations and maintenance

• Environment, health, and safety

• Extended Enterprise portfolio and

project management

• Product lifecycle management

• Product compliance

• Core human resources and payroll

• Talent management

• Time and attendance management

• Human capital analytics

• Supplier collaboration

• Business network

• Guided end-user buying

• External workforce management

• Digital operations for R&D

• Requirement management (IPD)

• SAP Geographical Enablement

Framework

• SAP Intelligent Asset ManagementSAP C/4HANA

• SAP CRM

• SAP Service Cloud

• Order and contract management

• Sales force support

• Accounting and financial close

• Financial operations

• Cost management & profitability analysis

• Enterprise risk and compliance

• Inventory

• Warehousing

• Shipping and transportation

• Order promising

• Production planning

• Production operations

• Quality management

• Manufacturing insights

• Production Engineering

• Sales performance management • Advanced accounting & financial close

• Advanced financial operations

• Treasury management

• Commodity management

• Subscription billing and revenue management

• Real Estate Management

• Advanced warehousing

• Advanced transportation

• Advanced order promising

• Extended production planning and

scheduling

• Production Engineering and

Operations

• Governance, risk, and compliance

• SAP Multi-Bank Connectivity

• SAP digital payments add-on

• SAP Cash Application

• Financial planning & analysis

• Integrated business planning

• Global batch traceability

• Extended warehouse management

• Transportation management

• Responsive manufacturing (ME, MII,

QIM, VE)

• Production operations (MII, QIM)

• Digital operations for manufacturing

• SAP digital payments add-on

• SAP CRM

SAP C/4HANA

• SAP Sales Cloud

• SAP Commerce Cloud

• SAP Marketing Cloud

SalesSAP S/4HANA 1909 Delta Highlights

14PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

SAP S/4HANA Sales: delta scope summary

Sales Force Support Order and Contract Management Subscription Billing And Revenue Mgmt.*

• Has become part of SAP S/4HANA shipment, no

separate add-on installation required.

• Data migration object for Activity

• Standard API for Lead, Opportunity, Activity and for

partner solution Groupware Integrator

• New and updated Fiori Apps

• Predicted delivery delay extended by predicting delay

for goods issue KPI

• Set delivery block for those sales order item, which

requires down payment

• Enable custom field for billing due list, allowing

customer own converging criteria

• Out-of-the-box workflow for Sales Quotation, Sales

Order and Credit Memo Request, including approval

status

• Sales KPIs integrated in SAP Analytics Cloud

• OData API for sales order, scheduling agreement and

condition records

• Simplify integration with external system with SOAP API

for bulk replication for sales area data

• Support PayPal as payment method in a sales order

generated in external system (requiring SAP digital

payment add-on)

• Allow consumption items (CITs) to be passed directly

from convergent mediation into convergent invoicing

• Include debited and credited payment items from

contract accounts receivable and payable (FI-CA) in

your communication with banks, via the bank

connectivity hub

• Enable account split across all components incl.

master data and process adaption to support

massive subscription contracts

• Localization of invoices for Peru, Chile and Brazil

• IFRS compliant impairments and value adjustments

• New and enhanced Fiori Apps

• Subscription Order Management

(1) Enable configurable product using

Advanced Variant Configuration

(2) Enable Allowance for customers

(3) Fiori App – Allowance Definition Group

(4) Include subscription items in Solution

Quotation and Business Solution Portfolio

(5) Enable Master Agreement (B2B)

Analyze Dunning VolumeSales Quotations AnalysisSales Lead

1909

Supply ChainSAP S/4HANA 1909 Delta Highlights

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* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

SAP S/4HANA Supply Chain: delta scope summary

Inventory Warehousing Shipping And Transportation

Advanced Order Promising* Advanced Warehousing* Advanced Transportation*

• NEW stockroom mgmt. solution

• Warehouse Kanban supply into production

• Fiori apps for pack, pick & putaway

• EWM-QM integration w/o inspection rules

• NEW CDS views for warehouse orders & tasks, and

outbound delivery orders

• Enhancement to stock consolidation

• Change documents for control

cycle in warehouse mgmt.

• Change documents for fixed

storage bin assignments

• Analyze delivery performance - shipped as planned

• CDS views for delivery management

• Read access logging for CDS views

• Safety data sheet checks

• Dangerous goods checks in delivery processing

• Billing the freight cost in TM to a customer in SD

• Integration of MM scheduling agreements with TM

• Distribution equipment (Route Train)

• Distribution of packing instructions as packaging

specifications

• Enhanced Authorization checks

• Decentral EWM:− Integration to lower ERP release, and with SAP ME/MII

− Warehouse billing

− Migration guides & tools for

scenario 'SAP EWM to

decentralized EWM

• Creation of Package Units Based on Package

Building

• Delivery creation and split for package units with

multiple assignments

• Utilization and Outer Volume

• Normalized Quantities and Capacities

• Cloud Collaboration into Logistic Business Network

• NEW Overview page:

Freight Order Execution

• Calculate a feasible confirmation by considering

multiple product allocation objects

• Product allocation based on capacities with allocation

check after the product availability check

• Re-evaluation of alternative plants in BOP

• Additional determination of “best” plant in ABC with

new tie-breaker logic

• Next gen. Just-in-time (JIT) supply to production

• Output management for inventory

• Inventory analysis overview & additional KPI

analysis

• Dead stock analysis

Dead Stock Analysis Delivery Performance

Manage Product Allocation SequencePackaging Specification Freight Order Execution

1909

Pack Warehouse Stock

ManufacturingSAP S/4HANA 1909 Delta Highlights

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* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

SAP S/4HANA Manufacturing: delta scope summary

Production Planning Production Operations Quality Management

Complex ManufacturingExtended Production Planning &

Scheduling*

• Simplified Warehouse Kanban supply into

production

• Asynchronous Posting of confirmations after

work has been performed in any orders. Record

activities asynchronously by submitting completed

work after the fact and at once for several activities.

• With the new ML scenario to manage defects, the

quality technician can effectively record defects with

high data quality due to the system proposes the

best matching defect codes automatically based

on the entered description text using a predictive

analytics model.

• DDMRP: supporting new use cases like New Product

Introduction (NPI) or Phase-Out. PMRP for time

dependent buffers

• New Predictive MRP: New Mid/Long term demand

scenario simulation for capacity, production,

purchasing and internal material flow in production

plants on detailed level

• Simple and fast infinite MRP run for planning

scenarios based on demand versions for

finished goods with simplified MRP logic

exploding complete Bill of Materials and

‘Bill of Operations’, considering

simplified effectivity

• Material substitution during Production

• Enhanced Order change management

• Use reference templates for operations &

activities

• Specify predefine rework routings

• Add unplanned materials during production

• New Monitor Work Center Schedules app, to

visualize workcenter schedules.

• New Schedule Production app to manually shift

orders to buckets or schedule sequence.

• New Apps to Maintain PIR, manage & convert

Planned Orders and for MRP Situation Handling

Manage Production OrderSchedule Production Record Defect

Routing Comparison MRP simulation

1909

Sourcing & ProcurementSAP S/4HANA 1909 Delta Highlights

20PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

SAP S/4HANA Sourcing & Procurement: delta scope summary

Operational Procurement Procurement Analytics

Central Procurement* Augmented Decision-making For Purchasing**SAP Intelligent Robotic Process Automation

Integration With SAP S/4HANA**

Embedded analytics

• Analyze purchase order item changes, RFQs

SAP Analytics Cloud

• SAP S/4HANA Service spend in SAP Analytics

Cloud**

• Augmenting procurement capabilities with machine

learning – Intelligent Insights for Procurement **

• Supplier Delivery Prediction

• Image-Based Ordering

• Intelligent Approval

• Purchase Order Confirmations (48K)

• Simple Purchase Requisition Creation

from Excel (48M)

• Central sourcing (central RFQs)

• Central approval of back-end purchase requisitions

• Mass processing of central purchase contracts

• Situation management – overdue purchase orders

in connected systems*

• Situation management – consumption and

expiration of central contracts*

Fiori apps improvements

• Shop on behalf of some on your team for self-

service procurement

• Public sector – account assignments to stock items

– purchase requisitions and purchase orders

• Subcontracting network view in Monitor

Subcontracting Order

Service Procurement via SAP Fieldglass**

• Improvements in service procurement integration

with SAP Fieldglass solutions**

1909

Image-Based Ordering

Proactive situation alerts

Manage Purchase Requisitions Centrally

FinanceSAP S/4HANA 1909 Delta Highlights

22PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

* Additional License -** Additional Installation and license – c(Partially) Compatibility Scope

SAP S/4HANA Finance: delta scope summary

Accounting & Financial Close Cost Mgmt. & Profitability Analysis

Financial Planning & Analysis**Treasury and Risk Mgmt.* Advanced Accounting & Financial Close*

One Allocation: for Cost center allocation

actual/plan, Profit Center allocation actual/plan, GL

allocation actual/plan

New “Where used lists” Available for Cost Centers,

Statistical Key Figures, Activity Types, Profit Centers

Group Reporting:

• Advanced Intercompany Reconciliation

• Matrix consolidation along hierarchies

• Cross fiscal year reporting

Cash Management:

• Cash pooling with multiple layers

• Cash manager–triggered trade request

Payments:

• Advanced payment factory capabilities

• Bank connectivity supporting contract accounting

processes

Treasury:

• Enhanced reporting capabilities

• Expanded coverage of legislations in foreign

currency hedge management and accounting for

US-GAAP

T- Account Display:

• Document flow and journal entries

Extended revenue accounting and reporting

• additional value-add scenarios, optimized integration

with the universal journal, related to revenue

accounting (IFRS 9)

T-Account View Cost Center Allocation: Network View

Display Reconciliation Status

SAP Cloud Platform Integration:

• Group Reporting data collection

• SAP Cloud Platform for treasury /headquarter scenario

• ML for Ticket Categorization e.g. in shared service

SAP Analytics Cloud integration:

• Liquidity planning with SAP Analytics Cloud

SAP S/4HANA Cloud Integration:

• Financial Closing Cockpit for Advanced Financial

Closing

• ML GRIR Reconciliation: with new notifications & flexible

situation handling

New Blackline Integration scenarios with SAP S/4HANA

Subscription Billing and Revenue Mgmt.*

• Subscription order management

• Streamlined process of acquisition of

consumption items (CITs) from mediation to

convergent invoicing.

• Reduced time to revenue associated with

processing bank payment items in a

centralized payment management

• Reduced complexity with improved support for

massive subscription contracts for enterprise

customers

1909

23PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP S/4HANA cross topics: delta scope Responsibility Management

RESPONSIBILITY

MANAGEMENT

Functionality, which helps to determine the responsible contacts within the organization for various contexts to address tasks and

activities along the working structure and dimensions of the respective lines of business (LoB).

Define responsibilities in terms of teams consisting of team members with assigned functions and refer to these structures in

frameworks like workflows and situation handling.

Responsibility Mgmt.

• Use the teams search model to search across team names and descriptions

• Find and replace team members, while keeping team structure and defined functions stable

• View team hierarchies and how responsibility definitions are inherited.

• Change teams and sub teams as required and track changes made to a team definition

• Check if a Business Partner has the correct authorization to act within its responsibility definition

Manage Teams and Responsibilities Manage Team Hierarchies Team

1909

24PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release, inc Demo

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

25PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Approach

Assess and

PlanMove

Optimise and

Innovate

Value Discovery via BSR

and Discovery workshop

Check impacted processes

and custom code with

Readiness Check

Understand SAP solution

landscape 2025 picture with

Transformation Navigator

Deeper understanding of

custom code impact via

Custom Code Tools

Choose Approach and

Destination

New Implementation

Model Company & CAL

Conversion

Pre-work including Business

Partner, Finance reconciliation

and Archiving

Technical Conversion using

off shore factory (SAP

Qualified).

Custom Code deletion and Fix

Move to Cloud

Variations on above

Minimum business impact

on day 1. Continue with

GUI for majority of users

Change to Fiori and new

processes only where

immediately required (e.g.

Sales Rebates)

Roll out new innovations

including Fiori at own pace

Use Enable Now user help

and training tool

26PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

When to use?

▪ To answer the customers’ question: “Why move to SAP S/4HANA?”

▪ Get buy-in from business executives for SAP S/4HANA

What are the benefits?

▪ Know where to start your journey

▪ Build a strong case for SAP S/4HANA

How to?

▪ Extract data and submit your request: www.s4hana.com

▪ Review the report with you business stakeholders, identify most valuable

business scenarios

▪ Take advantage of the offer free of charge (for customers with a maintenance contract with SAP)

Value of S/4HANA

SAP Business Scenario Recommendations (next generation)

27PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Storyline example for the head of manufacturing

“Understand how to achieve your business goals with SAP innovations.”

How SAP helps

(SAP S/4HANA,

SAP Leonardo technologies)and what’s different?

Optimize manufacturing processBusiness goal

“What does my CEO

want me to achieve?”

Value drivers“What should we

improve?”

Accelerate

manufacturing cycle times

Reduce

total manufacturing costs

Deep dive

into performance“Where are issues

in today’s processes?”

• Average lead time of production order release to

confirmation

• # production orders not finished on time

Impacting cycle time

Deep dive into

usage“How are we

working today?”

• % production orders automatically created

• # planned orders not converted into production

• % production orders automatically released

Impacting manufacturing costs

Process view and process performance indicators(from customer’s SAP ERP software data with industry benchmarks)

Capabilities What peers are using What you use today

Materials requirement planning

Demand-driven replenishment New

Usage view(from customer’s SAP ERP software data with industry benchmarks)

1

2

3

4

5

Constraint-based

production planningTransitioning from infinite to finite

planning and instantly identifying

production bottlenecks »

Production executionAutomating production processes

and eliminating time-consuming,

paper-based tracking systems »

© 2019 SAP SE or an SAP affiliate company. All rights reserved. PUBLIC 28

Next Generation SAP Business Scenario Recommendations

Sample Inc. | System: PRD

Consumer Products Industry

NEXT

NEXT

STEPS

EXECUTIVE

SUMMARYOVERVIEW SALES

SOURCING AND

PROCUREMENT

SUPPLY

CHAINFINANCE MANUFACTURING

Production order

confirmation

Value Drivers:

Production order

delivery

Accelerate

Manufacturing

Cycle Times

Build an intelligent

enterprise with

recommended

SAP S/4HANA

business scenarios.

Production order

releaseProduction planning

Production order

creation

Manufacturing: Your Current Process Performance in SAP ERP System “PRD”

How SAP helps:

Material Requirements Planning »

Demand Driven Replenishment »

Constraint Based Production Planning »

Production Control »

Production Execution »

MANUFACTURING

All innovation

recommendations »

FINDINGS INTRODUCTION

Reduce Total

Manufacturing

Costs

DETAILSOVERVIEW

RECOMMENDATIONS

Overdue prod. orders

assigned to sales »

39

Lead time: Prod. order

release to delivery »

5 days

Failed component

consumptions during prod.

order confirmation »

3.714

Lead time: Prod. order

release to confirmation »

3 days

4 days

79%

Production orders

automatically created »

71%

Planned but not converted

in time »

61.615

Production orders

automatically released »

Lead time: Prod. order

creation to release »

For a high-level manufacturing process, operational performance indicators are displayed.

These are real customer data, coming out of this customers’ SAP ERP system.

© 2019 SAP SE or an SAP affiliate company. All rights reserved. PUBLIC 29

Next Generation SAP Business Scenario Recommendations

Sample Inc. | System: PRD

Consumer Products Industry

NEXT

NEXT

STEPS

EXECUTIVE

SUMMARYOVERVIEW SALES

SOURCING AND

PROCUREMENT

SUPPLY

CHAINFINANCE MANUFACTURING

Production order

confirmation

Value Drivers:

Production order

delivery

Accelerate

Manufacturing

Cycle Times

Build an intelligent

enterprise with

recommended

SAP S/4HANA

business scenarios.

Production order

releaseProduction planning

Production order

creation

Manufacturing: Your Current Process Performance in SAP ERP System “PRD”

How SAP helps:

Material Requirements Planning »

Demand Driven Replenishment »

Constraint Based Production Planning »

Production Control »

Production Execution »

MANUFACTURING

All innovation

recommendations »

FINDINGS INTRODUCTION

Reduce Total

Manufacturing

Costs

DETAILSOVERVIEW

RECOMMENDATIONS

Overdue prod. orders

assigned to sales »

39

Lead time: Prod. order

release to delivery »

5 days

Failed component

consumptions during prod.

order confirmation »

3.714

Lead time: Prod. order

release to confirmation »

3 days

4 days

79%

Production orders

automatically created »

71%

Planned but not converted

in time »

61.615

Production orders

automatically released »

Lead time: Prod. order

creation to release »

More than 61.000 production orders have been planned for, but are overdue for production. The planned delivery

date of these orders is already in the past, but the orders have still not been handed over to the factories.

In the factories, only 71% of all production orders are automatically created out of the production planning

process. Almost a third of all orders is created manually, without a previous system-based planning.

© 2019 SAP SE or an SAP affiliate company. All rights reserved. PUBLIC 30

Next Generation SAP Business Scenario Recommendations

Sample Inc. | System: PRD

Consumer Products Industry

NEXT

NEXT

STEPS

EXECUTIVE

SUMMARYOVERVIEW SALES

SOURCING AND

PROCUREMENT

SUPPLY

CHAINFINANCE MANUFACTURING

Findings and BenchmarkWhat we measured

61.615 documentsPlanned but not converted in time

bottom 25% top 25%

2.51963.189 105

61.615 documentsYour Company

Consumer Products Industry Benchmark:

Absolute number of planned orders not

converted into production orders, although the

planned delivery date is already in the past.

Learn more » Top 5 Plants:

Aging distribution:

DetailsWhat we measured

Low trust on system-based planning data

Production without production planning or outside of

SAP-system

Poor housekeeping: Non-deleted documents from

inactive plants and/materials

ImplicationUnderstand the problem

Inaccurate supply chain and replenishment

Low production control (e.g. risk of double production)

Higher workload for manual planning and production

order entry

Possible Root Causes:

Possible Business Impact:

Back to Overview »

MANUFACTURING

RECOMMENDATIONSFINDINGS INTRODUCTION

Planned but not converted in time

Benchmark

OVERVIEW DETAILS 8/8

The number is quite high, also compared to industry peers.

This customer is in the lowest performing 25% in the consumer product industry.

0-3

months old

3-6

months old

6-12

months old

1-3

years old

3+

years old

17.252 15.404 9.858 7.394 11.707

28% 25% 16% 12% 19%

Plant Documents Percentage

Plant Germany IV 34.504 56%

Plant Italy 6.778 11%

Plant USA 6.162 10%

Plant France 4.929 8%

Plant Germany I 3.081 5%

31PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Readiness Check for SAP S/4HANA

Custom Code & Custom Dev

• Custom Code must be analyzed with respect to

SAP S/4HANA compliance, based on the SAP

simplification database

• SAP Readiness Check provides BOM of

affected objects as well as SAP Custom

Development Projects (CDP‘s)

• An in-depth custom code management activities

to follow during project execution

Simplification items

• Simplification Items represent application or architecture

changes in comparison to ERP

• They are grouped by business priority (e.g. Core

Finance) and industry, respectively

AddOn’s & Business Functions

• SAP AddOn’s and Business Functions as well as 3rd

party AddOn’s have to be checked for their

compatibility with SAP S/4HANA

• SAP software is listed and rated

• 3rd party software is listed only

S/4HANA Sizing

• To prepare for SAP S/4HANA, a system sizing is

the baseline regarding the future target size

• SAP Readiness Check summarizes the technical

sizing result so customers can discuss internally

with SAP or partners the future target system size

Recommended Fiori Apps

• Fiori apps recommended based on the

transaction usage history in the evaluated

system

Transactions

• Evaluate use of SAP GUI transactions replaced

or deprecated in SAP S/4HANA

Available for all customers free of charge,

Customers can initiate their ERP system analysis,

covering the most important aspects of an SAP S/4HANA

system conversion.

Minimum source release is SAP ERP 6.0 EHP 0, any

database

▪ Business Warehouse Extractors check to show whether the SAP BW extractors in the customers’ ERP system

can still be used (SAP Note 2500202)

▪ Data Volume Management check to show the size of the archiving potential based on the top 30 database tables.

32PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

▪ In-depth analysis of simplification items & work

break-down by project phase

▪ Interactive SAP S/4HANA sizing simulation

▪ Improved SAP Fiori recommendations -

grouping by Fiori roles, highlighting the

„Lighthouse“ SAP Fiori Apps

▪ Business process discovery – top relevant

Process Performance Indicators (automation,

transactional backlog, throughput, process

failures); also used by SAP NextGen BSR

▪ Interface analysis replaces a tedious manual

analysis of all IDOC interfaces in a system.

…AND MORE!

SAP S/4HANA Readiness Check | Version 2.0 highlights

Check out version 2.0

<<

33PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Automatic custom code adaptation with

Quick Fixes

▪ 1809: ORDER BY, MATNR

▪ 1809 FPS2: BSEG, VBTYP, VBFA,

VBUP/VBUK, KONV

Custom Code | Automated custom code adaptation with Quick Fixes

30% unused code in an average system – delete it upon conversion

Expect 60% automation rate with Quick Fixes

Remaining manual adaptation

1000

280

420

300

0

200

400

600

800

1000

1200

Total findings Requiredadaptation

<<

34PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Custom Code Migration Fiori App

▪ Consumes runtime code usage statistics from ABAP Call Monitor

▪ Prepares a deletion transport

▪ Provides analytics for remaining required custom code adjustments

Step 1. Keep collecting the data with UPL or activate ABAP Call

Monitor with aggregation today.

Step 2. Use the new Custom Code Migration Fiori app once your

sandbox is converted to SAP S/4HANA.

In an average SAP ERP system, 30-60% of custom code is never used. Deleting it can significant reduce the effort for code adaptation. Deletion is now part of the conversion with Software Update Manager.

Custom Code | Integrated removal of unused custom code

SAP ERP

DEV

System copy

SAP S/4HANA

SANDBOX

Custom code

migration app

SAP S/4HANA

DEV

SAP ERP

QAS

SAP ERP

PRD

Usage

StatisticsDeletion

transport

<<

35PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Recent innovations

▪ Masterdata consistency check report - check customer & vendor data prior to conversion, understand the

data quality issues

– Functional checks on Tax Code, Postal Code, Email, Bank Data, Tax Jurisdiction Code, Address data,

Trasportation Zone etc.

– OSS Note 2743494*

Planned Innovations

▪ Supressing checks on individual data fields

▪ “CVI Cockpit” - a guided procedure for BP implementation + notes wizard

Business Partner | Helping to prepare your customer / vendor data for

conversion

*) Manual implementation for now. Yes, we’re working on it.

<<

36PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Choose the destination that's right for you

Business Process Standardized, core ERP Flexible, ext. ERP Customizable, ext. ERP

Innovation Lifecycle Quarterly Semi-annual Annual, customer-led

TCO Lowest Lower Higher

System Governance SAP-led Customer-influenced Customer-led

IT Infrastructure SAP, public SAP, dedicated Customer-managed

Customization Within Standards Within standards Open to modifications

Extension PaaS, SCP PaaS, SCP Open, SCP

System Delivery New implementation New implementation New or ECC conversion

SAP S/4HANA Cloud SAP S/4HANA Cloud, single-tenant edition

SAP S/4HANA*

*Private cloud managed by SAP & On-premise managed by cloud providers or customers

37PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release, inc Demo

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

38PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

39PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

What is Embrace

Specifically, project “Embrace” on Microsoft Azure will provide customers with:

•A simplified move from on-premise editions of SAP ERP to SAP S/4HANA for customers

with integrated product and industry solutions. Industry market bundles will create a road map

to the cloud for customers in focused industries, with a singular reference architecture and

path to streamline implementation.

•Collaborative support model for simplified resolution. In response to customer feedback,

a combined support model for Azure and SAP Cloud Platform will help ease migration and

improve communication.

•Jointly developed market journeys to support customer needs. Designed in collaboration

with SAP, Microsoft and system integrator partners will provide road maps to the digital

enterprise with recommended solutions and reference architectures for customers. These offer

a harmonized approach by industry for products, services and practices across Microsoft, SAP

and system integrators.

40PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

41PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

42PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

43© 2018 SAP SE or an SAP affiliate company. All rights reserved.

• Current S/4HANA Market Situation

• Highlights of the new S/4HANA OP 1909 release, inc Demo

• Move to S/4HANA latest Approach

• What is SAP and Microsoft Embrace ?

• Q&A

© 2019 SAP SE or an SAP affiliate company. All rights reserved. 44Customer

SAP Community

SAP S/4HANA, cloud edition trial

SAP S/4HANA Roadmap SAP Best Practices Explorer

SAP S/4HANA, on-premise edition trialDiscover SAP S/4HANA Explore the User Experience

Learn more: SAP Learning Hub

Try it yourself

Where to go for more information

© 2019 SAP SE or an SAP affiliate company. All rights reserved. 45Customer

Thank you

Paul Smith

SAP UK

[email protected]

+447808575317