BPM for SAP Presentation for Ottawa - Vf2

8/17/2019 BPM for SAP Presentation for Ottawa - Vf2

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© 2013 IBM Corporation

IBM BPM for SAPEnhancing the value of your SAP investment with BPM

David Keyes

BPM Sales Executive, North America

20 February 2013


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Governments face common challenges when improvingprocesses

Processes reside inside applicationsProcesses are rigid and costly to change IT changes needed lag far

behind with passage of time, changes may no longer be relevant

Processes span multiple applications Any changes have implications across all applications inefficient andineffective processes remain long after the need for change has beenrecognized

Undocumented manual processesNo automation exists to enable on-the-fly process changesNo automation exists to trigger processes based onevents or patterns

Ad-hoc processesMost systems are not equipped to capture ad-hoc workMost ad-hoc processes often not tracked or monitoredCosts remain hidden and ad-hoc processes remain ad-hoc

BPM Addresses These Challenges to Provide Integrated End-to-End Solutions


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Process is a priority for Clients

Data September 2010 Information Week 500 Survey

Process isPriority!

Process Improvement is the #1 Priorityfor CIOs - 5 years in a row

Gartner, Inc, “Leading in Times ofTransition: The 2010 CIO Agenda”

Get better business intelligence to more employees, faster

Introduce new IT-led products or services for our customers

Make business process more efficient

Lower IT or business costs

Improve Web operations or customer experience

Improve customer service

Engage customers in new ways

56%

40%

36%

34%

26%

24%

36%

56%

40%

36%

34%

26%

24%

36%


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Typical process problems

1. Unstructured Tasks andCommunication (ex Paper oremail)

2. Inefficient Working EnvironmentSpans Systems

3. Inconsistent Prioritization

4. Incomplete or Inaccurate Data

Flow Between Systems5. Lack of Control Over System

and Business Events(Exceptions)

6. Poor Visibility Into ProcessPerformance

7. Inconsistent or inefficientexecution of business rules

SAP processes are typically ‘informal’, due to documentation-centric implementations. ABAP customization is oftenused to help manage and optimize SAP processes.

ExecutiveManagement

Customer Service

InvoiceReconciliationTeams

Financeand Ops

AccountAdministration

11

22

33

55

44

66


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IBM BPM Overview

ExecutiveManagement

Customer Service

Risk ManagementTeams

Financeand Ops


PROCESS

RULES

PEOPLE

SYSTEMS

ExecutiveManagement

Customer Service

Risk ManagementTeams

Financeand Ops


PROCESS

RULES

PEOPLE

SYSTEMS

The picture IS your SAP process…

BPM provides innovative tooling to capture , understand, document, collaborate, and optimize ANYbusiness process causing the most pain, or needing the most visibility

BPM projects do not require disruptive multi-year investments

IBM BPM allows you to create process models that execute the process while capturing processmetrics and key business data for improved visibility and control


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IBM BPM – An innovative solution to a complex problemEmbrace complexity, adapt quickly and exceed expectations


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In this presentation, you will learn how IBM BPM enhances yourSAP investment

Benefit SAP Only SAP with IBM BPM

Improve alignment of strategies and operations

Improve productivity

Improve insight

Reduce costs through increased flexibility

Support changing industry requirements

Optimize IT spending

Reduce risk

Improve financial management and corporate governance

Gain higher ROI faster Provide immediate access to enterprise information

Give employees new ways to access enterprise information


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Most SAP implementations have issues today

Rigid ProcessesOver BudgetLate Deployments

Poor Operational Visibility ROI Targets Not Met


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SAP Process Management Challenges

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Most SAPimplementationdocumentationis static and doesnot reflect theprocesses actuallybeing used

Most SAP processes relyon human compliancewith processdocumentation …

…muchcustomizationis often required

…making itdifficult to

migrate tofuture releases


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A simple SAP process today

A high level process blueprint is defined in PowerPoint, Visio,

SAP Solution Manager or a modeling tool, includingtransactions:

VD03 - Display customer master VD03 - Display customer master

VA01 - Create sales order;VA01 - Create sales order;

CK51N - Create Order BOM Cost EstimateCK51N - Create Order BOM Cost Estimate

VOK0 - Maintain Pricing;VOK0 - Maintain Pricing;

IW21 - Create notificationIW21 - Create notification

The implementation then relies on users to read, properlyunderstand and comply with documentationby entering the proper sequence of transaction codes in SAP.


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With this approach, how can you?...

Quickly know the status of key processes?

Ensure that the process you designedis the process that is being executed?

Get real-time visibility into where workloador other bottlenecks are causing businessissues?

Effectively reroute work to less experiencedworkers to reduce bottlenecks?

Know which process changes are mostlikely to help improve businessperformance?

Quickly rollout SAP process changes?

Quickly integrate new process workers intoyour business?

Many SAP customersattempt to address theseissues with customization.


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SAP provides services that should help

…but no easy way to implement

public String search(){try {// Retrieve an instance of the configuration portEmployeeBasicDataByEmployeeQueryResponseIn port = service.getEmployeeBasicDataByEmployeeQueryResponse_InSoapBinding();

// specify username and password issued for you via SDN// to authenticate to the backend as follows javax.xml.ws.BindingProvider bp =(javax.xml.ws.BindingProvider) port;Map context = bp.getRequestContext();context.put("javax.xml.ws.security.auth.username", "username");context.put("javax.xml.ws.security.auth.password", "password");// Construct the input to be applied to the service callEmployeeID employeeID = new EmployeeID();employeeID.setValue(this.employeeID);EmployeeBasicDataSelectionByEmployee employeeByEmployee =new EmployeeBasicDataSelectionByEmployee();employeeByEmployee.setEmployeeID(employeeID);EmployeeBasicDataByEmployeeQueryMessage input =new EmployeeBasicDataByEmployeeQueryMessage();input.setEmployeeBasicDataSelectionByEmployee(employeeByEmployee);// Invoke the business methods

EmployeeBasicDataByEmployeeResponseMessage output = port.employeeBasicDataByEmployeeQueryResponseIn(input);Employee employee = output.getEmployee();//Get the responsethis.employeeName = employee.getCommon().getName ().getGivenName();this.employeeLastname =employee.getCommon().getName().getFamilyName();this.employeeBirthday = employee.getCommon(). getBirthDate();this.employeeMaritalStatus =employee.getCommon().getMaritalStatusName().getValue();return "ok";} catch (Exception e) {//Clean the object and return an error this.employeeID = "";this.employeeName = "";this.employeeLastname = "";this.employeeBirthday= null;this.employeeMaritalStatus = "";return "error";}


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IBM offers a comprehensive solution to common SAP processchallenges

Challenge IBM Solution

Opaque SAP processes make process analysisand improvement difficult

Iterative, playback-based modeling facilitatestransparent process definition

Rigid SAP processes increase time to value Directly execute SAP process models for flexible processes and rapid process change cycles

End-to-end processes are difficult to model,simulate and manage

Easily orchestrate heterogeneous processes forsimple end-to-end control

SAP Enterprise Services are difficult to use andincomplete

Easily consume and deploy SAP EnterpriseServices at the business level

Limited SAP process and real-time visibility causesrisk to KPIs and SLAs

Actively monitor and manage SAP andheterogeneous processes in real time

Low utilization of inline operational decisionmanagement limits productivity

Improve process throughput, consistency andresponsiveness with active inline decisionmanagement


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With IBM BPM 8.0

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The picture IS your SAP process…

All in one tool – analysis through execution through improvement

Analyze. Define. Execute. Monitor. Improve.


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IBM BPM for SAP capabilities

Process Blueprinting

Process Integrationand Orchestration

Process Automation

Process Discoveryand Monitoring

Decision Automation

I n cr

e a s

i n g I n

t e gr

a t i on

Guided Workflow

Use an iterative, experiential-based approach to acceleratetraditional SAP blueprinting

Mine SAP business events to discover actual processes andact in real time to business challenges

Interactively guide end users through SAP screens toimprove productivity, visibility and consistency

Optimize process steps to improve cycle time, manageabilityand visibility of key processes

Dramatically reduce the cycle time of high volume processesby reducing/removing human interaction

Automate complex decision making to reduce bottlenecksand improve business outcomes


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IBM BPM 8.0 integrates seamlessly with SAP

FIFinancialAccounting

COControlling

PSProjectSystem

WFWorkflowIS

IndustrySolutions

HRHumanResources

MMMaterialsMgmt.

SDSales &Distribution

PPProductionPlanning

QMQualityMgmt. PM

PlantMaintenance

SMServiceMgmt.

ECEnterpriseControlling

AAAssetAccounting

SAPApplications

Upload processes toSolution Manager

Download processesfrom Solution Manager

Orchestrate SAPServices

Retrieve EnterpriseService Definitions

Monitor SAP

Business Events


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IBM Business Monitor for SAP Process Discovery

View SAP transactions as processes – withoutprocess orchestration!

Easily create ‘shadow process’ views of SAP BusinessEvents by associating milestones with changes inbusiness state

Completely non-intrusive to SAP – simply turn on theSAP Business Events needed

Automatically create a process view of any SAPBusiness Event(s) to:

• Understand the actual SAP processes being used inproduction

• Prepare for process innovation

• Detect business challenges as they happen

• Fix issues before they become problems

All without disrupting your SAPenvironment! (and no custom

coding)


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Use ‘live’ process execution to design and test SAP business processes, then implement yourSAP process inside the same tool!

Playback-based iterative SAP process blueprinting

Model Processes

Playback Process

Invoke Screens

Monitor Results

Simulate andRefine

Deploy!

SAP SolutionManager

Design, build and refine processes for execution in a singleintegrated tool set. Optionally store process definitions in SAP

Solution Manager Repository.Iteratively invoke or design screens as part of the processdefinition exercise

Playback modeled processes at any time to directly see, feel andtouch the real process

Empirically understand how the process can meet KPIs and SLAs

Simulate changes without changing the current model

Promote the new or changed process into production


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© 2013 IBM Corporation19

IBM BPM Drives Faster and Better Blueprinting for Your SAPImplementation

‘Live’ playback during all phases of process

design and rollout

Reduce blueprinting time and costs

Deliver agile SAP business processes thatare easy to change

Create market-differentiating SAP processes

Position your SAP implementation for processorchestration and continuous processimprovement Business users can

directly drive the SAPblueprinting process.


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IBM BPM can deliver guided workflow for SAP

Invoke the correct SAP transaction sequence for each process instance, while gainingreal time insight into business performance issues and opportunities

VD03 - Displaycustomer

master

VD03 - Displaycustomer

master

VA01 - Createsalesorder

VA01 - Createsalesorder

CK51N - Create Order

BOM CostEstimate

CK51N - Create Order

BOM CostEstimate

VOK0 - MaintainPricing

VOK0 - MaintainPricing

IW21 - Create

notification

IW21 - Create

notification

Selectcustomer

Selectcustomer

New pricingRequired?

SAP Process Flowin IBM BPM V8

Transactions(Native SAP Screens) Automatically

Invoked in SAP

Yes

No


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Workflow in the Traditional SAP Implementation

Process designers create SAP documentation (paper, Word, HTML, etc.)

Users are trained in how to use the SAP process documents

Some users comply with the process as designed, others create their own

Training time for new users is often lengthy

Difficult to move users from task to task, even in the same department

Little to no visibility of backlogs, bottlenecks, poor throughput and other process issues

VD03 - Display customer master VD03 - Display customer master

VA01 - Create sales order;VA01 - Create sales order;

CK51N - Create Order BOM Cost EstimateCK51N - Create Order BOM Cost Estimate

VOK0 - Maintain Pricing;VOK0 - Maintain Pricing;

IW21 - Create notificationIW21 - Create notification


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IBM BPM Guided Workflow Improves SAP Value

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Documented processes become orchestrated processes

Improve SAP process:• Visibility• Manageability• Reliability• Consistency• Auditability

• Performance

Detect bottlenecks

Reroute process instances with capacity overload

Escalate problem processes

Initiate and track exception processes

Begin continuous process improvement

Business blueprintingTraining

Production execution


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Use IBM BPM 8.0 to orchestrate SAP

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Guided Workflow Management for SAP

BAPIs

Process Orchestration

and/or Automationwith BAPIs

Process Orchestrationand/or Automation

with SAP Enterprise Services

Express, Standard or Advanced (BPMN) Advanced Only

(BPEL)

Advanced Only(BPEL)


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Easily Encapsulate and Bind SAP Enterprise Services

Encapsulated with SCA

Bound per technicalenvironment standards

Ready for drag and drop intothe Process Designer

Create Sales Order (synchronous inbound serviceoperation (A2X))

Create SalesOrder

…

IBM BPM simplifies usage of SAP Enterprise Services sothat they can easily be used by process designers withknowing the complex technical details

of the SAP service itself.

Create Sales Order IBM BPM SAPIntegration Module


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Drag and Drop SAP Enterprise Services Into the ProcessModel

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Allows process designers with no technical knowledge of SAP Enterprise Services to usethem in process diagrams

Simplifies all process interactions with the SAP environmentStreamlines process design

Eliminates complex coding for SAP interfaces

Create Sales Order IBM BPM SAP

Integration Module

Create Sales Order IBM BPM SAP

Integration Module


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Simplify Complex SAP Transaction Flows with Simpler UserInteractions and Process Flexibility

Replace complex flows of multiple SAP transactionswith highly efficient single screens

Simplify work content

Reduce process cycle times and errors

Improve business performance

Create Sales Order IBM BPM SAP IntegrationModule

Select Customer IBM BPM SAP Integration Module

Retrieve CustomerMaster DataIBM BPM SAP Integration Module

Create Order BOMCost EstimateIBM BPM SAP IntegrationModule

Create NotificationIBM BPM SAP IntegrationModule

Replace…. …..With

Single OptimizedOrder Entry Screen


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Orchestrate and automate complex E2E processes

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1. Order is receivedfrom the web site

3. Credit check andapproval arecompleted

5. Requiredcomponents aredetermined,ordered,allocated andreceived

4. Customer orderis written andconfirmed forproduction

6. Production orderis completed andwarehoused

7. Customer orderis approved forshipment

8. Customer orderis picked fromwarehouse andscheduled forshipping

2. Customer recordsare updated withorder requestinformation

9. Customer order isinvoiced

End-to-End Process Choreography

Retrieve CustomerMaster Data

IBM BPM SAPIntegration Module

Create SalesOrder


Create Order BOMCost Estimate


Create NotificationIBM BPM SAP

Integration Module

IBM BPM Order to Ship End-To-End Process


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Value Summary of IBM BPM for SAP

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Quickly:

Know the flow and status of key processes

• Rollout SAP process changes

• Integrate new process workers into your business

Ensure that the process you designed is the process that is being executed

Detect and resolve bottlenecks

• Effectively reroute work to less experienced workers to reduce bottlenecks

• Automatically escalate problem process instances

• Modify queued and running processes on the fly to respond to changing business

conditions

Apply the correct amount of process integration and automation

Know which process changes are most likely to help improve business

performance

Improve the quality, visibility and agility of your SAP processes in order to deliver anexceptional customer experience, reducecosts and optimize business performance.

Business Performance

AgilityFlexibility

Visibility

Variability

Manageability

Audit ability

Consistency


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Small sample of IBM BPM SAP customers

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Large US Toy Company Improves SAP Supply Chain Processes to ReduceCosts

BPM SolutionGathers the bill-of-lading information from freight

forwarders and corresponding invoice data fromSAP at the right time

• Automatically prepares and routes alldocumentation required

• Automates the reconciliation process required for allUS Customs requirements, updating SAP at eachmilestone

IBM BPM reduced dependency on phone calls, e-mails and paper faxes, while standardizingcommunication between employees and vendors with increased process visibility

Challenge:

Increase responsiveness with customers andcollaboration with suppliers while utilizing previousinvestments in core enterprise applications

Benefits :Increased productivity by 250 percent withoutadditional resources being put into play

Reduced cycle times by 80 percent , from 12 daysto only two

Improved overall business efficiency


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IBM BPM for SAPOne Continuous Process, One Integrated Tool Set

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The picture IS the process… Analyze. Define. Execute. Monitor. Improve .

Largest Client Base5,000 + BPM ClientsGartner ranks IBM #1 in BPM with24.7% shareIDC ranks IBM #1 with 34.2%market share

Strongest Ecosystem1000+ Business PartnersGlobal Users group

Unparalleled Expertise and InvestmentOver 15 years of industry leadership100’s of assetsBroadest, Deepest solution portfolio & services

Broadest and Most Differentiated Software CapabilitiesSimplicity for fast deployment and full business user participationCentralized governance for repeatability and consistencyVisibility and Control to continuously improve business operationsPower through High Scalability, Integrity & Quality of ServiceMarket Leading process, case, decision and rules capabilitiesBest in class exceptions handling and case management


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Proposed Next Step – BPM Discovery Workshop

A collaborative workshop to:• Determine which areas of business pain and/or opportunity are good fits for BPM

• Identify and prioritize potential BPM pilot projects

• Select and scope a pilot project (90-120 days), assess the fit and value of BPM and/or Decision Management capabilities for this project

What does the IBM team do?• Clarify the process improvement pilot project scope

• Characterize the expected business impact and benefits

• Assess the high-level implementation effort and solution development

• Identify and assess potential risks

• Identify and rank additional projects beyond the pilot project

How does it work?• Delivered onsite through collaborative discovery sessions with process owners and key business and technology stakeholders

• Pre-workshop preparation calls provide orientation on the workshop approach and potential process improvement opportunities as well as set the workshop agenda

• Preparatory time is also spent gathering and reviewing existing customer process documentation

Typically 2-3 days, conducted free of charge


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Documents

BPM for SAP Presentation for Ottawa - Vf2