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Produced by Wellesley Information Services, LLC, publisher of SAPinsider. © 2014 Wellesley Information Services. All rights reserved. Building a business case for SAP HANA and S/4HANA John Appleby Bluefin Solutions Inc. Sponsored Educational Session

Building the Business Case for SAP HANA

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Page 1: Building the Business Case for SAP HANA

Produced by Wellesley Information Services, LLC, publisher of SAPinsider. © 2014 Wellesley

Information Services. All rights reserved.

Building a business case for SAP HANA and S/4HANA

John ApplebyBluefin Solutions Inc.

Sponsored Educational Session

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In This Session

• You will…• Gain insight into the value derived from migrating 50TB of SAP

ECC on SAP HANA and find out how to:• Develop a compelling business case across any SAP HANA

solution• Successfully architect a 100TB SAP HANA environment for SAP

ECC, SAP CRM, SAP BW and SAP APO• Solve the retail analytics conundrum and leverage SAP HANA as a

platform to revolutionize pricing• Achieve SAP BW on SAP HANA migrations quickly with little risk

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What We’ll Cover

• The Digital Transformation• The SAP HANA Platform• Building the Business Case for SAP HANA• Rapid Migration of BW on SAP HANA Systems• Wrap-up

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Digital Transformation

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What We’ll Cover

• The Digital Transformation• The SAP HANA Platform• Building the Business Case for SAP HANA• Rapid Migration of BW on SAP HANA Systems• Wrap-up

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SAP HANA in-memory platform

Transact | Analyze | Deliver

Processing EngineSpatial l Events Stream | Planning | Calculation | Predictive | Graph

Application Services Application Server | UI Integration Services | Web Server

Database ServicesTransactions | Analytics | Partitioning

Compression | Availability | Encryption | Virtualization

Integration ServicesMobile | XaaS | High-volume Replication | Real-time Replication | Hadoop

Rules | Text Mining | Search | Application Function Libraries

Industry | LoB | Consumer | Analytics | Social | Cloud | Mobile

Developers Data Scientists Business Users ConsumersExecutives

Source: SAP

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What We’ll Cover

• The Digital Transformation• The SAP HANA Platform• Building the Business Case for SAP HANA• Rapid Migration of BW on SAP HANA Systems• Wrap-up

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The HANA business case paradox

4000 SAP HANA customers 1500 BW on SAP HANA customers

BW on SAP HANA the #1 deployment option 60% of SAP HANA installed-based

customers deployed BW

#1 problem cited by customers in buying BW on SAP HANA Building the business case

Biggest benefit cited bycustomers buying BW on SAP HANA Cost reduction!

8Source: ASUG survey June 2014

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Typical BW on SAP HANA deployment

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• 6TB any DB Page Compressed

• BW modules Finance Logistics HR Sales

• 43k employees 2k BW users

• $14bn revenue

TCO: $6.1m over 3 years

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IT spending in 2014/2015

10Source: http://www.gartner.com/technology/metrics/

IT spending as a percentage of revenue, by industry

Source: IT Key Metrics Data 2014, Gartner Benchmark Analytics

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Components of a business case

11Tip: try to move benefits from Observable Measurable Quantifiable Financial

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Quantifying benefits

12Remember: try to move benefits from Observable Measurable Quantifiable Financial

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Business benefits matrix

Doing new things Doing things better Stop doing things

Financial

• Reduction in annual maintenance costs of hardware and infrastructure

• One time reduction in stock

• Increase total shopping cart size and value

• Reduced overtime due to less integration pressures

• DBA Tasks

Quantifiable

• Reduced project costs

• Reduction in SLA misses for data availability

Measurable

• Increased adoption

• Shorter development time due to simplification of the architecture

• Simplification of the solution stack as BWA Blades removed

Observable

• Mix non-SAP and SAP data into one data model in real-time

• Ability to navigate from company level to document level in one report

• 30x Improved average query time leads to faster and better decision making and support

13

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What We’ll Cover

• The Digital Transformation• The SAP HANA Platform• Building the Business Case for SAP HANA• Rapid Migration of BW on SAP HANA Systems• Wrap-up

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Rapid Migrations

• Business Case is predicted on using a new asset Hardware Depreciates on balance sheet Software and Hardware carry support cost Benefits cannot be realized until asset is live Hardware/Software cannot be capitalized until go-live

• And Yet… Many organizations buy SAP HANA and delay implementing

• … Leading to… Reduced value of stated business case Stagnation Reduced Adoption

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Challenges of a Rapid Migration

• Release Management Process Other projects

• Change Management Process Governance Test Management

• Dependencies Other Projects Upgrade / Unicode Conversion / 3.x Authorizations etc.

• Skills Gaps New Versions New Software/Hardware

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How to Accelerate Adoption?

• Consider a PoC / Pilot• A well-run PoC:

Increases Confidence Validates Sizing Confirms Project Approach Gains Project Momentum

• Accelerates Adoption!

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How to do a Rapid Migration?

• Gain Executive Sponsor Should be one for every SAP HANA Project Use Exec Sponsor for business communications

• Consider Working Outside a Major Release Releases constrain technical migration projects

• Increase Technical Project Scope Upgrade, Migration, Unicode-Conversion etc. Test Management is the most time-consuming Larger technical project scope goes live faster

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How to do a Rapid Migration? (cont)

• Create 3 plan levels High Level (Week/System) ~ 20 lines Mid Level (Day/Activity) ~100 lines Detailed (Technical) ~ 500 lines

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How to do a Rapid Migration? (cont)

• Align All Stakeholders into one War Room Network, Infrastructure, Basis, Application, Project

• Focus on Test Management early Automate where possible Focus on high-priority functional areas

• Use Modern Tooling DMO can do Upgrade/Migration/Unicode Conversion Uses in-memory PIPE Leaves App Servers in Place

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What We’ll Cover

• The Digital Transformation• The SAP HANA Platform• Building the Business Case for SAP HANA• Rapid Migration of BW on SAP HANA Systems• Wrap-up

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Where to Find More Information

• http://bluefinsolutions.com/Blogs/John-Appleby/

• http://scn.sap.com/people/applebyj/content

• https://blogs.saphana.com/author/john-appleby/

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7 Key Points to Take Home

• HANA is now mainstream, stable and extremely powerful• Take a structured approach to the business case• Consider a Pilot/PoC to accelerate the program• Plan to go live quickly and successfully• Invest in training and development• Spend time on program communications strategy• Good Luck!

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Your Turn!

How to contact me:John Appleby

[email protected]@applebyj

Please remember to complete your session evaluation

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Disclaimer

SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. Wellesley Information Services is neither owned nor controlled by SAP SE.