Session Agenda
Introductions
itelligence/Johnsonville Overview
Session Purpose
Selection Process
What was the selection process?
Why did we make the decision we did?
What did we learn?
Business Problems, Key Project Objectives and Anticipated Business
Benefits
Scope
Best Practices and Solution Overview
Closing
8 years SAP experience
SAP GTS Senior Consultant
Full time SAP consulting with itelligence in February, 2011
BA in information Systems -Accounting - University of Cincinnati– 2007
Experience in SAP Best practices in procure-to-pay, quality management, warehouse management, and
global trade services.
Industry process experience includes:
Consumer Packaged Goods, Retail-apparel and footwear, FDA regulations, Aerospace and Defense.
Import and Export functions
Compliance with license, license exceptions and denied party screening
Automated electronic filing with Saggitta and US.
Clients
Cintas (Retail- apparel and footwear)
Mead Johnson Nutrition (Consumer Packaged Goods)
Align Aersopace (Aerospace and Defense)
Johnsonville Sausage, LLC (USDA regulated-consumer packaged goods)
Thought Leadership
Winter 2014 byline, ”Looking Ahead,” in Supply Chain World magazine
April, 2014 SAP MFG Forum Chicago- “Johnsonville Sausage Finds the Right Export Package”
June, 2014 ASUG/Sapphire- “How Mead Johnson Nutrition Enhanced Its Supply Chain Automation to Streamline Imports and Exports for One Global View”
Years SAP = 8, Years Business = 8, Years Consulting = 3 Elisha Herrmann
14 years experience
6 Years of SAP Order to Cash and Web Development experience with Kohler Company
Experience rolling out applications in China and North America
5 Years of Order to Cash at Johnsonville
Fully lifecycle rollout in the US and France
3 Years as an IT Business Partner (current role) with Johnsonville
Experienced IT Program Lead for Finance and Supply Chain
Solution and Strategy Development for Finance and Supply Chain
Coach / Manage Functional IT Analysts
Experience in SAP Best practices around Order to Cash and Finance
Education
BA, Computer Science - Lakeland College - 2001
MBA, Finance - University of Wisconsin Whitewater - 2010
MCPM - University of Wisconsin Madison - 2011
Thought Leadership
February 2013 – High Radius / Credit Research Foundation – “Johnsonville’s Case for utilizing Receivables Management and High Radius Cloud Accelerators”
April, 2014 SAP MFG Forum Chicago- “Johnsonville Sausage Finds the Right Export Package”
June, 2014 ASUG/Sapphire- “From Soup to Nuts, Building the Case and Installing SAP Receivables Management to Streamline
Johnsonville Sausage’s Accounts Receivables”
SAP Protein Council
Jason Beyersdorf
4/25/2014 © itelligence 5
Customers Our Goal: Long-term Cooperation
Partnership Together, we achieve more
Competence Solutions for the Future
Global Global Capabilities and Local Presence
is unique
itelligence
Portfolio Industry-Specific SAP Innovation Thought Leadership
6
itelligence | What to remember
We have been around 1989:Founded in Bielefeld, Germany
2007:We are an NTT DATA/NTT Communications Company
Strong talent pool More than 3,400 employees worldwide
Proven More than 5,000 customers worldwide in 43 countries
9.7 / 10.0 customer satisfaction rating
We meet all SAP needs Global Certified SAP partner for all service offerings:
Consulting Services, Hosting, AMS, Reseller
History of Innovation HANA, BI, BPC, Advanced Supply Chain, GRC, Mobility
North America
Chicago (IL), Cincinnati (OH), Irvine (CA), Atlanta (GA)
Montreal & Toronto (Canada)
Germany
Bautzen, Berlin, Bielefeld, Cologne, Dortmund,
Dresden, Frankfurt, Hamburg, Munich, Stuttgart, Walldorf
Western Europe
Aarhus / Horsens, Barcelona, Berne, Brussels,
Eindhoven, Glasgow, London, Lyon, Oslo, Paris,
Vienna, Zurich
Eastern Europe
Bratislava, Brno, Budapest, Katowice, Kiew,
Moscow, Poznan, Prague, Warszawa
Asia
Cyberjaya (Malaysia), Hong Kong (China), Shanghai (China), Shenzhen (China)
itelligence locations itelligence projects
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NTT SAP Headcount By Region
US 700
Europe 2000
APAC 1500
South America 6000 (Partner network)
Japan 800
Global | Global Locations and Deployments
Remains a private, family owned company since inception in 1945
Employs approximately 1,400 members
Has 6 Manufacturing Facilities in the United Sates and Sales Offices in France, Mexico, Canada, Japan
Has products available in approximately 43 stadiums and arenas
Is available in all 50 states and about 30 countries outside the United States
Johnsonville Today...
3 out of 4 brats sold in the U.S. are Johnsonville
1 out of 3 Italian sausages sold in the U.S. are Johnsonville
1 out of 5 fresh breakfast links are Johnsonville
Leading brand in U.S. in U.S.
Bratwurst
Smoked-cooked sausage links
Fresh breakfast links and patties
Italian sausage
Brand Strength
SAP ECC 6.0
MM/WM – Materials/Warehouse Management
FI/CO – Financials/Controlling
PP/PI – Production Planning / Process Industries
SD – Sales and Distribution
QM – Quality Management – HACCP
HR/PR – HR and Payroll
Portal and cFolders
DMS – Document Management
BW & Business Objects
APO DP/SNP and VMI (Demand Planning, Supply Network Planning)
CRM – IT Service Desk
PLM – Specification Database
BP – Business Planning
Success Factors – Learning and E-Recruiting
PM – Plant Maintenance
RM – Receivables Management
PPDS – Production Planning Detailed Scheduling
Open Text
Afaria for Device Management
TPM – Trade Promotion Management
Current Environment
BW on HANA
DSiM – Demand Signal Management
BOBJ – Lumira, Explorer, Predictive Analytics, Analysis, Design Studio
GTS – Global Trade Solutions
BPC – Business Planning and Consolidations
Fiori
Enterprise Workspaces
Personas
In Process
Presentation Objectives
Review Project Objectives and Business Drivers
Provide Overview of Solution Selection Process and Criteria
Provide Lessons Learned on our Journey
Discuss the Project Scope and Future Deliverables
Review Best Practices for SAP Global Trade Solution
Business Drivers
Support Significant Growth in Export Business With No Increase in
FTE’s
Manual Paper Based Process is Inefficient and Error Prone
Off Site Long Term Storage for Paper Records – Compliance Packets
Manual Processes Can Result in Missing or Incomplete Documents
Containers Have Been Held Up At The Border / Difficulty Clearing Due to Paperwork
Compliance Issues
Inability to Integrate With Freight Forwarders and Government Certified Solutions
Opportunity to Re-Engineer our Export Business Processes
Project Objectives
Maintain current headcount while support a rapidly growing portion of the business.
• Supporting Rapid Growth
• Document Automation
• Increased Accuracy and Productivity
• Electronic Connectivity (i.e. freight forwarders, government)
• Reduce Compliance Risk
• Metrics/Reporting capabilities
• Reduction in documentation storage fees – bring in-house with OpenText
• Support Foreign Production, Warehousing (Scalable, certified solution we can take to other countries)
• Transition from Tactical to strategic positions (Ex. Coord)
• Drive towards a long term end to end no touch solution for our export team
Anticipated Business Benefits
At Go Live
Get away from the tactical daily work
Focus on strategic projects, supply chain alignment with our customers and vendors
Automated forms coming out of GTS and ECC
Simplified USDA meat certificate printing process
Laser printer
Information pulling from ECC
Eliminate having to double check forms – trust the data
Integration with our freight forwarders
OpenText Integration
Support future growth
Grow our members by educating on our export processes and system solution
Improved processes by challenging current state.
Anticipated Business Benefits Cont.
Future (Long Term)
Standardized Metric Reporting from BOBJ
Series B, Order Fill, Costs for Transportation, Order Stages to End
Destination (container visibility), International Volume, Methods of
Shipping, Status of Shipments and Audit Reports
Document collaboration with our international sales members and
freight forwards using OpenText
Automation of the USDA process
AES filing
Further data automation via EDI with our external partners
Selection Criteria
SAP First Applications Strategy
Select an SAP Solution if Core Functionality Requirements are Met at a Competitive Cost to Alternatives
Leverage Our Investment in Infrastructure and Human Capital
Simplify Our Overall Application Landscape – Minimize Integration and Support Costs
Total Cost of Ownership
Evaluate Total Cost over 5 Year Time Horizon
Selection Process
Began researching solutions in 2011.
Initial Assessment and Proposal for GTS Was Not Accepted From an
ROI Perspective
Utilized Gartner Resources to Identify Alternative Solutions – both
Cloud and On-Premise Solutions.
Two Cloud Based Solutions Were Identified As Suitable Alternatives to
GTS
Selected Primary Alternative Solution from Original 2
Detailed Design (Blueprint) and Proposal Developed for
Implementation of Alternative Solution
Ultimately Chose to Go With SAP GTS after Comparing Functionality
and Long Term TCO
Why Did We Choose SAP GTS?
Fit With IT Application Strategy/Landscape
Integration with ECM Strategy and Solution
Full Integration with ECC and TM
Integration with Business Objects Reporting and Analytics
Best Fit to Johnsonville Requirements
The Total Cost of Ownership for the GTS solution was much lower than
the cloud providers
Cloud Pricing Models Based on Document Types and Volume Not Competitive As
Volume and Document Counts Increased
High fees for follow on builds of documents and processes versus the one time up front
consulting fee’s for the SAP GTS implementation
Can Be Maintained and Enhanced Using Existing Internal Resources
Cloud Providers Charged Additional Annual Service Fees for Each Interface
Increaseing Costs As We Integrate to Additional 3rd Parties and Internal Systems
Lessons Learned Do your homework and understand TCO if you are looking at a cloud solution.
The costs are buried in the integration and expansion.
Utilize 3rd Party Experts to understand who the key players are in the space
(customer base, length of service, investment back in the product, etc.)
Important to Understand Integration Requirements – these drive scope and
cost
Make sure the product is scalable for long term growth
Understand Limitations of Cloud Solutions in terms of flexibility and extensibility.
Learn about the products and make sure they can handle all of the core
requirements (assessment and system demos). We take a “prove to us that you
can do it” approach.
If you have reporting needs, make sure it fits within your reporting strategy.
This is a document heavy solution, make sure that it fits within your ECM
strategy.
Project Scope
House Product Classification: Schedule B codes and HTS codes (1 for each item)
Automate HTS codes update from third party data providers
Ability to store weights in different units of measure in GTS Product Master
Generate standard export documentation (SLI, Commercial Invoice, etc.)
Ability to customize and create new export forms (meat inspection certificate as an example)
Delivery (F8 Proforma) Integration between ECC and GTS.
EDI transmission with our brokers to pull in information and pass information.
ECC form automation
OpenText document integration and retention policies
BW integration and BOBJ reporting.
Best Practices
Reduce Manually Driven Processes EDI Output
Automatic form Generation
Aligning multiple party actions Export Specialists
Production
US Governing Bodies
Transportation Management
“One View” of all supply chain related activity Supply Chain Activity
Product Classification
Data Analytics to focus on KPI’s Supply Chain Finance
Transportation Management
Deploying Commercially Driven Technology Integrates in to Core ERP
Integrates to data, analytics and mobility
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Solution Overview
Scope Best Practice GTS
Master Data
Transactional
Processes
GTS Service
Metrics
Audit/Document
Storage
Integration with
ECC ECC Plug In
Customs Declaration
is a collector for all
export related activity.
Aligning multiple party
actions
OpenText document
integration and
retention policies
Delivery (F8 Proforma)
Integration between
ECC and GTS
Deploying
Commercially Driven
Technology
BW integration and
BOBJ reporting.
Data Analytics to focus
on KPI’s GTS Info Cube
integrated with ECC
House Product Classification:
Schedule B codes and HTS
codes (1 for each item) from
third party providers
.
One View of All Supply
Chain Related Data
.
Central repository for
master data to update
via worklist
.
Generate standard
export documentation
(GTS/ECC)
Ability to customize and
create new export forms
EDI transmission with
our brokers
.
One View of All Supply
Chain Related Data
Reduce Manually Driven
Processes
.
US Customs certified
AES filing and related
documents such as SLI,
COO and Commercial
Invoice. GTS was built
will a standard platform
and interface to allow for
customer specific
scenarios.
.