In-Memory Technologies and Applications S4HANA Ringvorlesung

Copyright © 2015 Accenture All rights reserved.

In-Memory Technologies and Applications S4HANA

Ringvorlesung Frankfurt, May 21, 2015 Prof. Dr. Alexander Zeier Global Managing Director In-Memory Solutions (incl. SAP HANA) CTO PSG (Analytics, Database & Technology, Big Data, Mobility)


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owner and unlimited beneficiary of any and all material.

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Confidentiality Notice

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In-Memory Technology of S4HANA Allows Combining Transactional and Analytical Applications in Real Time (April 2006: HANA)

Data-centric architecture: In-Memory database serves as Single Source of Truth for Enterprise data •  Architecture based on distinct pillars

– Multi-Core computing – In-Memory – Column and Row Store

•  Enables informed management decisions

based on up-to-the-moment data through real-time combination of – Transactional applications – Analytical applications

Enterprise Performance In-Memory Circle (EPIC)*

Execute

Analyze

Predict

+ + + + +

* Plattner, Hasso; Zeier, Alexander: In-Memory Data Management. Technology and Applications. 2nd edn. Springer-Verlag Berlin (2012)

3

Copyright © 2015 Accenture All rights reserved. 4 4

S4HANA Is the Successor of R/3-ERP after 23 Years

Evolution – next Generation

R/2

1979

R/3

1992 2004 2015

Mainframe

Client/Server

In-Memory ERP

S-Innovations

Mobility

One Platform

TCO Reduction


4th Generation of SAP Systems Called “S4HANA” - Announced Feb 3rd, 2015

•  Real real-time - No more batch processes •  Open Platform - Big Data ready •  Fiori - Improved user front-end based on HTML5 for

any device •  Smarter and HANA-enabled business processes •  Actionable Information •  Predict, recommend, simulate •  Consolidation on One Platform - TCO Reduction •  S-Innovations as add-ons •  Non-disruptive •  On-premise, in the cloud •  Default offering for new customers •  HANA is fastest growing SAP product ever

Deg

ree

of s

impl

ifica

tion

SAP Suite on HANA

today 2025 2016 2014 2013 …

s-innovations

10 800 >2000 customers

SAP Business Suite 4 on HANA

Simple Finance

Simple Logistics

S-Innovation

SAP Suite on anyDB •  Mainstream maintenance until 2025

Source of Picture: SAP

5


S4HANA Roadmap SAP has announced a roadmap for S4HANA: •  Simple Finance (sFIN) 1.0 ramp-up Feb 2014, 2.0 ramp-up Mar 2015 •  Simple Logistics (sLOG) will be launched in Q3 2015 in private cloud •  With ECC6 EHP8 (Q4 2015) Simple Logistics will be available on-premise •  Innovations will be shipped quarter by quarter, with the objective of Cloud First •  Releases for on-premise are planned once a year

Q4 2015 Q3 2015 Q2 2015 Q1 2015

S-Innovations Public Cloud

S-Innovations Private Managed Cloud

S-Innovations on-Premise (ECC6 EHP8)

FKOMs Jan 7-22

CeBIT Mar 2-5

SAPPHIRE May 5-7

TechEd Tbd

Simple Logistics

Simple Professional Services

Launch S-Innovations on-Premise

ECC6 EHP8 incl. sFIN & sLOG

Release “sFin 2.0” & Announcement ECC6 EHP8

6


SAP Enterprise Architect Summit November 21st-22nd, 2013, Hamburg, Germany

7

This Agenda shows: In-Memory/HANA, our Vision from 2006, is now reality and in productive use since 2013!


Enterprise Workloads are Read-Mostly and Often Process Ranges of Data

8

Plattner, Hasso; Zeier, Alexander: In-Memory Data Management. Technology and Applications. 2nd edn. Springer-Verlag Berlin (2012)

Workload

Look up Table scan Range select

Insert Update Delete

0 %

10 %

20 %

30 %

40 %

50 %

60 %

70 %

80 %

90 %

100 % OLTP OLAP

write

read

83% 94%

Copyright © 2015 Accenture All rights reserved. 9

Advances in Hardware •  Multi-Core Architecture

(8 x 10core X86 Intel CPU per server, 8 x 18core in 2015 Haswell CPU, available by 12 HANA vendors 2014)

•  Parallel scaling across blades •  One blade ~$50.000 =

1 Enterprise Class Server

•  64bit address space 4/6TB in current servers Up to 24TB in 2014 on each server with Ivy-Bridge (Intel latest CPUs)

•  100GB/s data throughput •  Dramatic decline in price/

performance

Combination of Hardware and Software Innovations

+

A

Row and Column Store

Compression Partitioning No Aggregate Tables

SQL interface on columns & rows

On-the-fly extensibility

+ + +

Advances in Software SQL



HANA & Column Store are Best Suited for Enterprise Queries

Accessing Enterprise Data in OLTP Systems is also mainly via OLAP-Style Queries

Column Store

SELECT SUM (Order Value) FROM Sales Orders WHERE Document Date > 2009-01-20 (OLAP-style query)

Doc Num Doc Date So l d - T o V alue

St a t u s Sa l e s O rg

SELECT * FROM Sales Orders WHERE Document Number = ‘95779216’ (OLTP-style query)

Row Store

Row 4

Row 3

Row 2

Row 1

Row 4

Row 3

Row 2

Row 1 Doc

Num Doc Date So l d - T o V alue St a t u s Sa l e s O rg

• Enterprise applications perform set processing (items for an order, orders for a customer)

• Bring application logic closer to the storage layer using Business Function Libraries (BFL) in HANA

Combined column and row store

+

Plattner, Hasso, Zeier, Alexander: In-Memory Data Management. Technology and Applications. 2nd edn. Springer-Verlag Berlin (2012), p. 101


Overview: Elements of In-Memory / SAP HANA

On-the-fly extensibility + + +

Combined column and row store

+

Lightweight Compression

Multi-core/ parallelization

No aggregate tables

Dynamic multi-threading within nodes

Insert only for time travel +

+ + +

Bulk load

Discovery Service

Read Event Repositories

Verification Services

SAP HANA

● ●

P A

up to 8.000 read event notifications

per second

up to 2.000 requests

per second

Partitioning

Object to relational mapping Text Retrieval and

EXploration T

Minimal projections

Active/passive data store PA

Analytics on historical data t

SQL interface on columns & rows

SQL

Any attribute as index

Group Key Reduction of layers

X X

Single and multi-tenancy

Price/performance of memory



Example: Financials – Dunning Run

Materialized View

Reporting Cubes

Indices

General Ledger Items Sales Ledger Items

Accounts Payable Items Tax Ledger Items

Accounts Receivable Items Fixed Asset Items

Material Ledger Items Cash Ledger Items

Dunning Payments

Base Tables

Change History

Materialized Aggregates

General Ledger Sales Ledger

Accounts Payable Tax Ledger

Accounts Receivable Fixed Asset

Material Ledger Cash Ledger

Accounting Document Header

Accounting Document Items

Changes

12


Only base tables, algorithms, and some indices

13

Indices Base Tables

Accounting Document Header

Accounting Document Items

Simplified Financials as Target


•  Dunning run determines all open and due invoices •  Customer defined queries on 250M records •  Current system: 20 min •  New logic: 1.5 sec − In-Memory column store − Parallelized stored procedures − Simplified financials

Result: Dunning Run in 1.5 Seconds

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Simple Finance (sFIN) as First S-Innovation on S4HANA TCO Savings in Finance Reduction of Time-to-Close

•  Further harmonization of financials and controlling •  Simplified and reduced reconciliation effort Reduction of Time-to-Report •  Agile reporting – Highest granularity with zero latency •  Full extensibility and scalability

Integrated Business Planning •  No separate planning systems necessary like BW-IP •  End-to-end simulation e.g. from sales to P&L

Central Finance •  Reporting backbone for concern-wide harmonization

Universal Journal (sFIN 2.0) •  Single Source of Truth by architecture –

reconciled by design •  One line item table with full detail for all components

Line item level integration

Direct Integration to FI & CO data on HANA from Excel

Cockpits for process execution and monitoring

Ramp-up Mar 2015

Logical Document

FI CO

CO-PA

15


SAP Accounting Powered by SAP HANA

Simple Finance – Simplification Pioneer of S4HANA SAP ERP FI/CO

Every financial application has its proprietary: •  document ledger – header

and line item table(s) •  totals table(s) •  allocation/posting engine

•  Totals tables in FI and CO-OM removed

•  Requests for aggregated data are directed to line item tables

Universal Journal: •  One line item table for all applications

– single Source of Truth for financial and management accounting; no totals tables

•  Single master data object for GL accounts – no Cost Elements anymore

•  Single allocation engine

CO-OM COBK

COEP

COSS

COSP

Classic GL BKPF

BSEG

GLT0

CO-PA CE1*

CE3*

FI-AA ANEK

ANEP

BKPF

ACDOCA

Classic GL BKPF

BSEG

GLT0

CO-PA CE1*

CE3*

FI-AA ANEK

ANEP

NewGL

FAGLFLEXA

FAGLFLEXT

BKPF

NewGL BKPF

FAGLFLEXA

FAGLFLEXT

CO-OM COBK

COEP

COSS

COSP

Simple Finance 1.0 Simple Finance 2.0

16


1,000x Faster: Many (Dunning, Aging, …) 10,000x Faster: Essar Group, SAP IT, Cornell, Charmer Sunbelt 100,000x Faster: NongFu Spring, YodoBashi, MKI 1mio x Faster Ferrero (COPA Reporting) Or 24+ Hours to 3.8s: Food and Beverage / Distribution - Logistics 15+ Hours To 4.8s: Project Management / Services, Profitability, Performance 30 Days to 28s: Manufacturing – Order to Cash 3 Days to 2s: Retail / Insurance – Incentives

SAP Business Suite on HANA since May 15, 2013 general available, and SAP S4HANA the official successor available since Feb. 3, 2015 – NOW!

First Results of Customers Using SAP HANA


This book is the culmination of six years worth of in-memory research and development

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PART I – An Inflection Point for Enterprise Applications

• Overview of our vision of how in-memory technology will change enterprise applications

PART II – A Single Source of Truth through In-Memory

• Technical foundations of in-memory data management

• In-depth description of how we intend to realize our vision

PART III – How In-Memory Changes the Game

• Resulting implications on the development and capabilities of enterprise applications

è  Book launched at Cebit 2011, SAP Product HANA is general available since June 2011.

è  New extented Book Edition “In-Memory Data Management -Technology and Applications ” focusing on Application Development available since Summer 2012.

è  Chinese Edition „The genuine memory data management“, published by Tsinghua University Press 2012.

All Findings are Summarized in the Book “In-Memory Data Management”


In-Memory/HANA Book Launch on Cebit 2011 with Vice-President of the European Commission Neelie Kroes

SAP/HPI won the German Innovation Award 2012 for In-Memory/SAP HANA “…This book presents an excellent

overview of the issues and challenges related to in-memory data, and is highly recommended for anyone wishing to learn about this important area.“

Prof. Hector Garcia-Molina (Stanford University and

Member of Oracle Board of Directors)

The book ‘‘In-Memory Data Management—Technology and Applications’’ by Hasso Plattner and Alexander Zeier describes a revolutionary database technology and many implementation examples for business intelligence and operations…

Prof. David Simchi-Levi (Massachusetts Institute of Technology)


Accenture & HANA Fast Facts: •  200 HANA projects completed and

450 ongoing / discussion •  2,500+ HANA trained resources •  HANA as platform of choice for

10 new Business Services •  First HANA Business Application for CMO:

Marketing Performance Solution (MPS)

Offerings include: •  Analytics on HANA •  ERP on HANA •  CRM on HANA •  HANA Agile Lifecycle Optimization •  Business Services on HANA (e.g. MPS)

HANA@Accenture

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NEW YORK and WALLDORF, Germany; Mar. 10, 2014 – Accenture (NYSE: ACN) and SAP AG (NYSE: SAP) today announced the creation of a new business group focused on rapidly accelerating the time it takes to jointly develop and deliver new industry-specific solutions based on cloud and other digital technologies. The Accenture and SAP Business Solutions Group brings together the companies’ respective co-innovation, joint solution development and go-to-market teams in an effort to focus on significantly increasing time to value for clients globally. The Accenture and SAP Business Solutions Group helps facilitate a combination of Accenture’s intellectual property and industry expertise with innovative solutions that are powered by the SAP HANA® Cloud Platform to more rapidly enable customers to harness the benefits of digital technologies including cloud, analytics and enterprise mobility. (…)

Accenture and SAP to Launch New Business Solutions Group to Accelerate Time to Value for Client- and Industry-Specific

Cloud-Based Solutions

March 10, 2014

Accenture and SAP to Launch New Business Solutions Group to Accelerate Time to Value for Client- and Industry-Specific Cloud-Based Solutions

“Accenture is SAP’s #1 partner in HANA overall” (Marty Mrugal – SAP)


Accenture Extensive Skills and Assets – Founded on Partnership with SAP

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•  50+ HANA client credentials

•  200+ HANA projects with our first HANA implementation over 3 years ago

•  450+ HANA projects in discussion, 25+ Suite on HANA projects in discussion

•  2,500+ professionals trained in HANA

•  200+ HANA use cases identified for business functions and industries

•  Accenture HANA implementation tools and accelerators e.g. Business Value Insights for HANA (Business Case Calculation, ROI)

•  Global HANA Center of Excellence in Kronberg −  Proof-of-concept and pilot projects −  Define and execute road maps

•  17 Accenture Innovation Centers for SAP showcase HANA capabilities in industry “day-in-the-life” scenarios, technology demos

•  HANA Solution Factory in our India Delivery Center •  Accenture Advanced Enterprise Solution (AAES) on

HANA: −  fully configured industry-specific SAP solution with

best practices, templates, assets, test scripts and tools −  5 industry solutions on HANA (e.g. AAES Metal) −  20 tested end-to-end scenarios

•  Accenture and SAP Business Solutions Group


New partnership to facilitate execution and speed-to-market of new solutions for customers

Accenture and SAP Business Solutions Group (ASBSG) Drives Differentiated Value to Customers

Accenture

Customer

SAP

ASBSG

•  Dedicated joint team to develop industry specific solutions •  Customer requirements feed into SAP’s product development roadmap •  Access to the highest levels of Accenture and SAP leadership •  Co-investment on customer priorities Focus on •  HANA, Big Data, analytics, cloud, mobile, etc… •  End-to-end and pre-integrated solutions •  Rapid time-to-market

•  Charter clients aid in shaping the solutions they need (e.g. Marketing Performance Solution and Upstream Operations Management, Omni-Channel Rapid Commerce)

22


Accenture Innovation Center for SAP HANA & Ecosystem (AICS) in Frankfurt/Kronberg, Germany

SAP Technology Innovation Hubs

•  17 Innovation Centers globally – Kronberg HANA Lab led by Prof. Dr. Alexander Zeier

•  14 HANA powered Industry “Day in the Life” scenarios •  First SI with HANA production customer reference Accenture is a Leader in the Gartner Magic Quadrant for:

•  SAP Application Management Service Providers, Worldwide, 2013

•  SAP Implementation Service Providers, Worldwide, 2013


Accenture Innovation Center for SAP HANA & Ecosystem Works with Clients to Deliver Value in Several Ways

Value Discovery Workshops HANA Proof-of-Concepts and Pilots Client specific workshops with a focus on SAP HANA & Ecosystem to identify added value for business and IT organizations

Test drive HANA to validate the value proposition with a limited investment, leveraging Accenture’s infrastructure

Jump start your implementation leveraging our pre-defined use cases, assets and infrastructure

Make use of our solutioning offerings and leverage our SMEs in the Accenture Innovation Center for SAP HANA & Ecosystem

•  Innovation Workshops • Design Thinking • Strategy Roadmaps

•  Proof-of-Concepts •  Proof-of-Value Studies •  Pilots

•  The global HANA CoE •  SME Network •  HANA Performance

Reviews

•  HANA Solution Factory in Indian Delivery Center

•  Solutions as a Service for HANA (SaaSH)

Delivery Excellence Global HANA Center of Excellence (CoE)

•  Industry Use Cases •  Day in the Life Scenarios •  Technology Demos

•  Use Cases •  Reuse of Assets •  SME Support •  Standardized

Methodology

•  Capability Building •  Solution Architect Reviews •  Comparative

Technology Evaluation

•  Providing Infrastructure •  SME Support •  HANA Performance

Reviews

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Analyze

Design

Build

Run

Proposed HANA roles1)

HANA Value Architect

(HANA VA) HANA Solution Architect (HANA SA) HANA Technical Architect

(HANA TA)

HANA Data Engineer/ Architect

HANA System/DB Admin

HANA Consultant

HANA High Performance Developer (HANA HPD)

1) Alignment to key project phases is indicative only

-  Business Case -  HANA IT Strategy/ Roadmap -  Enable new business process

-  TGP Solution Architect + Deep HANA skills

-  Solution Planning

-  Technical HANA architecture / landscape

-  IT Landscape transformation -  Integration

-  Deep understanding HANA technology combined with functional / business knowledge

-  Skills in HANA Applications

-  Design, Implement and test native applications on SAP HANA

-  Design and implementation of HANA projects/apps for maximum performance

-  Deep technical understanding (Business Library Functions in C++)

-  HANA specific data modeling skills (incl. SQL, SQL Script)

-  Design database architecture

-  HANA System installation and setup

-  Operate, monitor and maintain the HANA environment

Data Scientist HANA Developer

Specific Roles Needed to Deliver SAP HANA Projects


End-to-End Offering

Accenture’s Expertise in Business Transformation

26

Strategy and Business Process Consulting For functional analysis, organizational process changes, and design work

To drive HANA opportunities at a strategic level

Functional Technology Delivery Units & Industry Groups Many HANA applications (e.g. Fraud) or use cases (e.g. CRM, ERP) are functional domain or even industry specific

Capabilities to drive HANA opportunities at functional domains and industries

Technology Consulting and Infrastructure Outsourcing Involvement We see an increasing demand for hosting and infrastructure services. Many topics, especially roadmaps, are technical architecture driven

Capabilities for solution architecture and delivery

One HANA organizational unit across all areas


SAP HANA – Open Real-Time Data Platform for Enterprise Applications

In-Memory Systems – Now The Route to a HANA Strategy

Real-time Reporting and Analytics

Real-time Planning and Execution

User driven experience

SAP UI HTML 5 Mobile SAP BI4

SAP Business Suite SAP Netweaver

ERP CRM SCM SRM PLM

SAP HANA In-Memory Real-Time Data Platform SAP HANA

+ +

+ + +

New

App

licat

ions

SA

P B

usin

ess

War

ehou

se

Bus

ines

s In

telli

genc

e

New

Ana

lytic

al

App

licat

ions

Design Thinking

OLTP + OLAP + streaming data + unstructured data (text, video, speech) 27


Example: Receivables Management

NEW Style of Working With Suite on HANA

28

RFDOPR10 Customer Open Item Analysis by Balance of Overdue Items

RFDOPR20 Customer Payment History RFDEPL00

List of Customer Line Items

RFDOPO10 List of Customer Open Items

RFDOFW00 Open Items - Customer Due Date Forecast

FBL5N Customer line item display

? Closed

loop alert driven

process


Currently 508 Fiori Apps with focus on mobile access are available in total for SAP HANA

Fiori App Types and Delivery Packages (70% based on HANA)

Transactional Analytical Factsheets Smart Business

Task-based access Access tasks to create, change, approve processes with guided navigation

Insights Get a visual overview of a complex topic for monitoring or tracking purposes

Search and explore View essential information about an object with contextual navigation between related objects

Insight to action cockpit Analyze and evaluate strategic or operational KPIs in real time and trigger the right action

SAP HANA

SAP HANA

SAP HANA

SAP HANA

anyDB

29


HANA as Real-Time Platform for BigData & Analytics Predictive Analysis Library •  Contains universal predictive algorithms

(currently 30 algorithms) •  Support clustering, classification, association,

time series functions and ABC analysis Business Function Library •  Contains pre-built parameter-driven functions

with complex and performance-critical algorithms that fit a wide array of business needs

•  Currently ca. 60 functions (e.g. Year-to-Date Difference,Net Present Value, Discounted Cash Flow)

SAS HPA integration on the Platform •  The SAS embedded process scores models

“in place” on data and enables selected algorithms to run on data in HANA

•  SAS High Performance Analytics (HPA) provides the scale-out needed to run intense math workloads in-memory

R integration −  R as open source statistical programming language provides over 3,500 add-on packages

(more than SAS+SPSS+Statistica) along with the ability to write your own functions −  R code can be embedded and processed as part of the overall query execution plan in the SAP HANA Database −  Communication / data exchange between HANA and R server via high performance parallelized connection

SAP HANA Platform Predictive Analysis

Library (PAL) Business Function

Library (BFL)

SAP ERP HADOOP SAP IQ, SAP ESP, SAP ASE

Third-Party data source

SAP Data Services

Location data

Machine data

Time-series data

Transaction data

Unstructured data

Real-time data

SAS HPA Full-text search

Text Analysis

Rules Engine

Spatial Processing

Client Tools

SAP Predictive Analysis, SAP InfiniteInsight, SAP Lumira, SAP HANA Studio – application function modeler (AFM)

SAP Industry and LoB Applications

Demand signal management, fraud management, audience discovery and targeting, over 20 other apps

RDS

Predictive analytics rapid-deployment solutions

Partner Tools and Solutions

SAS, Rogue Wave (IMSL) Over 30 partners

30

R


The SAP Codebase is Optimized to Take Advantage of HANA Business Function Libraries for Acceleration For data-intensive applications, ~90% of runtime is spent on transferring data between the database and application server

è  Large data volume transferred

è  Processing only on Application Server

è  Optimized processing directly on HANA Platform with BFLs

è  Minimal data transfer (results only)

DB / Platform

Applications

anyDB

Custom Applications

ERP BW CRM

Application Server

Illustrative Custom Applications

ERP

BW CRM

HANA Business Function Libraries (BFLs)

HANA-based Apps


Accenture SAP HANA Credentials – Overview Client Industry Solution Benefits achieved Products Suite on HANA – Proof of Concept

DMO Migration of Productive near client system to SAP HANA within the AICS to evaluate technical feasibility and to measure the performance improvements by custom code optimization (10 weeks)

•  Performance improvement for optimized code by 96% •  Performance improvements for used functionalities out of the box up to 99,9

% (based on EHP 7 Upgrade) •  Implementation of Real time reporting using SAP HANA live (Incl. LUMIRA

standard reports) •  Definition of Technical Architecture Concept for To-Be solution •  Evaluation of migration and Upgrade approach based on client system

Aerospace HANA Custom App, HBA Data model for production orders and operational KPI dashboard created. Reconciliation reports for Finance

•  Faster and more accurate production order reports •  More then 100% improvement in cycle time for financial data reconciliation •  Month end closing acceleration

Foodstuff & Agricultural services

SAP BW on HANA 5+ TB data model consisting of 200 Data Store Objects and 150 Cube objects, 250 reports (7 months)

•  ETL run time cut by 50% •  Up to 22x improvement in report execution •  Up to 100x improvement in report execution •  10x compression rate in overall storage

Fragrances

SAP BW on HANA With 35 reports for Sales, Controlling, PA, CCA, Stocks & AR (8 weeks)

•  Up to 400x improvement in report execution •  60x improvement in query navigation execution •  10x average compression rate

Telecom- munications

Financial month end close @ HANA Implementation of full financial data flows to support the month end close process (4 months)

•  Financial month end close 1 day earlier than previously achievable •  1000x improvement in data processing from standard BW ETL to HANA

studio model. •  30x improvement in reporting performance

Telecom- munications

SAP BW on HANA Implementation of a model supporting highly complex calculated metrics (7 months)

•  Highly complex in-depth analysis on 1.5 B records on finger tips which was not possible earlier.

•  10x improvement in data transfer times from the existing ETL •  5:1 improvement in data compression


Please feel free to contact me: Prof. Dr. Alexander Zeier Email: [email protected] In-Memory/HANA Blog at MIT: http://zeier.mit.edu

Thank You for Your Attention

Titel Alexander

Prof. Dr. Alexander Zeier Global Managing Director In-Memory Solutions Director Accenture Innovation Center for SAP

Accenture GmbH Campus Kronberg 1 D – 61476 Kronberg [email protected]

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Documents

In-Memory Technologies and Applications S4HANA Ringvorlesung