SAP S/4 HANA: Everything you need to know for a successful implementation

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S/4 HANA in a nutshellCarsten HilkerSolution Manager, SAP Labs

SAP S4/HANA, SAP’s next big thing

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SAP S/4HANA, the great simplifier of enterprise software

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SAP S/4HANA, reimagines businesses for the digital economy

Only SAP offers the complete platform for a growth oriented digital futureThrough organic innovations and strategic acquisitions, SAP has the best solution portfolio and expertise required to enable your digital strategy. SAP is the preferred choice to turn your digital vision into reality.

…interconnecting all aspects of the value chain

Digitize beyond the core, embrace the digital economy

S/4HANA MigrationChris KernaghanPrincipal Consultant, Bluefin Solutions

What is SAP S/4HANA?

• The next version of SAP Business Suite

• New code base Only supported with the SAP HANA DB

• S/4HANA themes Renewed interface with Fiori UX Simplified structure with SAP HANA

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Deployment options

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Public Cloud

Shared HANA multi-tenant DB

No customisations

HANA Cloud Platform

Extensions

Quarterly Release Schedule

100% Managed by SAP

Automatic Updates

Subscription pricing

Managed Cloud

Managed HANA DB and network

HANA Cloud Platform

Extensions

Limited ABAP Customization

100% Managed by SAP

Scheduled Updates

Subscription pricing

On-Premises

On-Premises or Hosted

Full ABAP Customization

available

Yearly Release Schedule

Managed by Customer/Partner

Update schedule defined by customer

Migration methods

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New customer

Customer Suite with non-HANA

DB

Customer using Suite on HANA

New customer

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Cloud Deployment

Using RDS packages customer can be up and running in days

Deploy new hardware

Customer Suite on non-HANA DB

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Cloud Deployment

Transfer data to the Cloud

Upgrade, migrate database to HANA on new hardware

Customer using Suite on HANA

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Cloud Deployment

Transfer data to the Cloud

Upgrade and deploy innovations

Defining the technical scope

• S/4 migration is very difficult to package as a pure technical upgrade due to the differences in the capability of the platform Code changes are essential Reduction in data volumes should be performed Return to standard and removal of customisations is recommended New capabilities New user interface

• Are any of the existing systems going to need to be upgraded – or can they be decommissioned

• Does S/4 require any new systems to be implemented to provide additional functionality

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Pre-migration activities

• Housekeeping Basis Tables – change documents, logs etc… Transport and upgrade logs IDOCs

• Sizing Run the Sizing reports for ECC and BW Identify large tables – consider archiving or Data tiering Create action plan and execute

• Architecture Server specifications HA/DR Non-Functional requirements

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Migration Stages

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Initial Planning

Sandbox Migration

Second Round Plannning Remediation

DevelopmentMigration

Remediation and

Optimizations

QAS Migration

Transport build for UAT

testing

UAT testing Mock Cut over

Final Production OaT testing

Production Cut Over

Production Sized/Quality Data set

No plan survives engagement with the enemy

Remediate in Sandbox ASAP

Consistency is critical

Optimisefor HANA

Production like kitClustering etc…

SUM – Upgrade only

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Upgrade and migration – SUM DMO Step 1

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Upgrade and migration – SUM DMO Step 2

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Upgrade and Migration – SUM DMO Step 3

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Upgrade and migration – SUM DMO Step 4

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Upgrade and migration – SUM DMO Step 5

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Upgrade and migration – SUM DMO Step 6

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Migration tools – return to standard

• Return to standard confers many benefits Faster upgrades Reduction in time spent managing complexity Reduced effort in support

• Make sure you are on the latest latest SP! http://scn.sap.com/community/abap/custom-code-management

• Custom Code Management Tools (CCMT) Custom Code Management Cockpit (CDMC) Usage & Procedure Logging (UPL) CloneFinder

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Migration tools - testing

• Test Management is critical Technical not just functional – HANA is a radically different platform Some customers have a mature strategy

• Revise your test management strategy Test automation Test coverage Test prioritization

• Reduce your time to complete testing How long does it take to complete regression test?

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User Interface changes

Fiori and SAP UI5 are now the primary user interaction/interfaces for S/4

• Reduced requirement for SAP Gui Reduction in amount of desktop software

• Browser based interfaces Browser compatibility issues and frequent updates

• Mobile accessibility Planning needed for external access

• SAP HCP connectivity for extending applications

• Use of design standards for consistent look and feel

• User experience is of increasing importance

• Testing just became about a million times easier!

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Sum-up: Indicators of success

The biggest indicators of success in an upgrade/migration project are:

• Simplicity

• Repeatability

• Consistency

• Documentation

• Team work

• Planning

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What is Central Finance and why I should use it?

Carsten HilkerSolution Manager, SAP Labs

What is central finance and its relationship to Simple Finance, S/4 HANA

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S4/HANA Finance brings together the latest Finance innovations and simplifications in one market leading solution set based on SAP HANA for our customers. S4/HANA Finance is Simple Finance (rebranded in Q4/2015)Central Finance allows for non-disruptive adoption, particularly in heterogeneous system landscapes

Central Finance (formerly Central Journal)

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Dedicated S/4 HANA Finance system (SAP HANA, SAP ERP, S/4HANA Finance) connected to one or more ERP (SAP or non-SAP ERP) systems for single source transaction recording, reporting, and planning / consolidation

Central Finance (formerly Central Journal)

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Dedicated Simple Finance system (SAP HANA, SAP ERP, S/4HANA Finance) for consolidated entity reporting, and central process execution. Catalyst for innovation roll-out to source systems, foundation for M&A onboarding

Key use cases to help identify the use of Central Finance

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Limits of the system to explain what can and cannot be done in Central Finance

How Central Finance is different from a BW, BI or Hyperion environment

Limits of the system to explain what can and cannot be done in Central Finance

Shared Services and Central FinanceThe SAP Shared Services Framework today successfully supports Shared Services operations globallyCentral Finance provides the ability* to have “one face to the customer” and “one face to the organization” by bringing data together enterprise wide and unify diverse integration technologies required for optimized central process execution

SAP: Central Finance as platform and playbook for shared services

Planning in SAP BPC for S/4HANANick Carter EPM Consultant, Bluefin Solutions

Key areas of Planning in S/4HANA

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Real-timeAnalytics with

SAP HANA

SAP BPC’s powerful modelling capability

Pre-built starter

planning models

SAP Predictive Analytics

increases plan accuracy

Simplified landscape

reduces TCO

AccelerateROI

SAP BPC for S/4HANA

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Add transparency to planning

cycle

No data redundancy of

Actuals

Out of the box data

retraction functionality

to ECC

Powerful scripting to

allow complex calculations

Version management to plan for the best and worst

case

Sharing of data and

master data with ECC = Real time planning

Workflow No duplication Push to ECC

Driver-based planning Scenario analysis ECC Integration

Real-time planning and reporting

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Master Data structures

Actuals + Journals

Disaggregationlogic

Faster planning and

analysisReduced TCO

Pre-built Planning Models

• Starter content to replace ECC Planning functionality

• SAP BO Analysis for Office

• Models, Workbooks, Planning Logic, Queries

• Planning functions such as disaggregation's, BPC to ECC copy and more included

• Customisable

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Pre-built Planning Models

SAP BPC for S/4HANA Starter content includes:

• Cost Centre Planning

• Internal Order Planning

• Project Planning

• Profit Centre Planning

• Cost of Sales Planning

• P&L Planning

• Market Segment Planning

• Balance Sheet Planning

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Recap

• Simplification of planning process

• Reduced implementation costs through starter kit

• Predictive capability of SAP HANA easier to utilise

• Increase accuracy whilst reducing effort required

• Improve usability and user experience

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SAP S/4HANA FinanceMark ChalfenDirector, Public Sector and Services, Bluefin Solutions

SAP S/4HANA Finance

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Financial planning and

analysis

Treasury and financial risk management

Accounting and financial close

Collaborative finance

operations

Enterprise risk and compliance

management

Data consistency across solutions

Insight-to-action with seamless access

On-the-fly modelling of what-if scenarios

Alignment

Agility

PredictabilityBenefits

SAP S/4HANA building blocks

• Single source of truth (Universal Journal)

• Re-vamped user experience

• Streamlining of month-end

• Line-item based flexibility

All of the benefits without the loss of functional scope

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Revamped user experience

51Comprehensive view on key figures Insight Action

Business cockpits

Tables vs Compatibility views approach

Removal of redundancy

Streamlining month-end

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Continuous intercompany reconciliation

Reduction in number of batch jobs

Higher data quality

s

Period close

Period close

Soft-close on demand

Within the period

Within the period

Period-end close

Period-end close

Trad

ition

al c

lose

SAP

S/4H

ANA

Fina

nce

Line item-based flexibility

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Current reporting abilities

Static and complex

No drill down ability

Complex Data Model

Real time reporting with drill down to line items

SAP S/4HANA Finance

Building a business case for SAP S/4HANAMark ChalfenDirector, Public Sector and Services, Bluefin Solutions

Approach

Engage key business users

Business

Non-cooperation Reduced ROI Missed synergies

IT

Building the business case for S/4 HANA

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Hardware

LicencesSupport

SoftwareData

reconciliation

Month-end tasks reduction

Ease of use

Reports preparation

IT cost savings Business process efficiencies

Cost savings for IT

Reduction in hardware costs Database size reduction at least 5:1 Removal of a planning landscape

Reduction in support costs Fewer systems to support HANA databases more reliable

Migrate away from non-SAP systems Few systems to support Simplified user experience

Better use of licenses Reduction in non-SAP license costs

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Cost savings for the Business

Reduction in month-end tasks Increased speed Soft close tasks at anytime

Increased reporting flexibility Simplified data model Real-time data Single source of truth ‘What if?’ reporting

Reduction in manual effort Intuitive Fiori apps Task based 25-40% key stroke reduction

Elimination of reconciliation effort Removal of reconciliation between Finance and Controlling

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Quantifiable business benefits

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Source: SAP, 2015

Business process efficiencies

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Latest thinking

The SAP® Business Suite 4 SAP HANA® (SAP S/4HANA) FAQ – ReadBy John Appleby

SAP BPC for S/4HANA - what does it mean for your Planning teams? – ReadBy Nick Carter

SAP Universal Journal - how can you maximise the benefit – ReadBy Mark Chalfen

Moving your applications to the Cloud: 11 tips – Read By Chris Kernaghan

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Thank you!

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