1513 Driving Sap Value With It Bus Partnership

Driving Greater Value from SAP through Effective IT & Business Partnership (Session 1513)

Suzanne Passante, VP, IT Integration ServicesDay & Zimmermann, Inc.

[

Real Experience. Real Advantage.

[ How do you drive greater value from SAP?

2

leverage existing software?

get the latest and greatest?

make IT do more?

speed up improvements?


[

3

Engineering,

Construction &

Maintenance

Government ServicesEng., Const. & Maint. Munitions Workforce Solutions

� Engineering and EPC� Fabrication & machining

Markets: Power, process and industrial

� Global logistics� Security & protective

force services

Customers: US DoD, DoS, Army Corp of Eng

� Load/Assemble/Pack � Conventional

munitions production

Customers: US Army

� Temporary staffing� Managed staffing

services

Markets: A&D, Eng., Health Care, IT, Telecom


[ Today’s SAP Technology Landscape

4

� Go-Live in 2000

� 3,000 end users

� 24,000 contract employees

NetWeaver 7.0+

Enterprise Portal

(XSS, Recruiting, Performance Management, Procurement, CRM, SRM, Reports, Custom Apps etc.)

Solution Manager 7.0Solution Manager 7.0 Oracle 11gOracle 11g MySQL 5MySQL 5

ERP

6.0CRM 7.0 ERecruit BW 7.3* BO/BI 4.0

SRM

5.0*

� Centrally controlled IT with decentralized local office support

� 85 IT staff


[ Definitions

5

Partnershipa condition of joint interest and mutual benefit

Demandthe desire for technology in a business context

Valuethat which brings tangible benefit to the business

Supplythe resources needed to meet technology demand


[ The IT Factory

6

Technology Order

Technology Order

Business Value

$$$’s

Solutions Delivery & Operations

Resources


[ Hitting Our Stride after Go-Live: 2002-2006

7

Life is good

SAP is stable

achieved major operating efficiencies

IT easily meeting demand

IT sets the direction & pace

consumers are satisfied


[ Signs of Stormy Weather: 2007-2008

It’s not so simple any more

technology more complex, more systems, more data

feeling the company’s growth

supply not quite meeting demand

mostly incremental improvements

consumers still satisfied

8


[ The Storm Hits: 2009

9

A new economic reality

compressed margins; intense competition

innovation as a strategic thrust

do a lot more with a lot less

lack of alignment in business affects IT delivery

perceptions of SAP value are changing

relationships are strained


[ The Plan: 2010

10

Predictability

“control” demandopportunity pipelineforecast resources

Become strategic

take a longer view maximize technology investmentbe innovative

Alignment

establish prioritiesidentify & measure benefitsincentive goals aligned


[ A New Focus: IT Integration Services

We will be a highly-respected Partner to Day & Zimmermann’s businesses and staff service providers to produce innovativetechnology solutions that generate sustainable value for the enterprise and our customers.

We will achieve this by:

� Managing Opportunities for Technology

� Developing D&Z’s Process Organization

� Effectively Integrating Solutions

� Developing End User Competency

11


[ New IT Organization: Integration Services

12

CIO

CEO

Integration Services

Strategy &Apps Dev

Ops & Technology

PMO

Business Unit

IT Business Partner

Business Unit

Business Unit

Business Unit

IT Business Partner

IT Business Partner

IT Business Partner


[ Who can do this?

13


[ Initial Talent Profile for IT Business Partners

� Existing IT talent

� Avg. 10 years with D&Z; 15 years in IT

� PM, consulting, customer relations experience

� Director level

� High EQ

14

25%

25%30%

10%

10%

Initial Accountabilities

Client Relations

Opportunity Mgmt

Integration

IT Strategy

Process Expertise

� Dotted-line to business president; member of leadership team

� Yearly incentive goals tied to business/IT portfolio


[ Measuring Technology Utilization

� Functionality

� Utilization

� Strategic

� Decision Support

1st

2nd

3rd

4th

15

Tech

no

logy

So

luti

on

Quartile

Not used

Implemented but not optimized

Fully optimized; achieves ongoing benefit

Drives innovation & competitive advantage


[ SAP Technology Utilization: 2010

16

1st

2nd

3rd

4th

Rep

ortin

g

Con

trac

t M

gmt

Invo

icin

g Fo

rmat

ting

Tim

e C

olle

ctio

n &

App

rova

l

Inve

ntor

y M

gmt

& A

sset

Tra

ckin

g

Proj

ect E

xec

Proj

ect C

ontr

ols

Bene

fits A

dmin

istra

tion

Labo

r D

istri

butio

n

Wor

k O

rder

Man

agem

ent

Prev

entiv

e M

aint

enan

ce

Com

pens

atio

n M

gmt

PTM

Tale

nt D

evel

opm

ent &

Tra

inin

g

Wor

kfor

ce M

anag

emen

t

Budg

etin

g &

For

ecas

ting

Trea

sury

Cre

dit

Man

agem

ent

& C

olle

ctio

ns

CATSCross Application

Timesheet SDSales &

Distribution

FICOFinance & Controlling

MMMaterials

Management PMPlant

Management

PSProject Systems

HCMHuman Capital Management

Con

solid

atio

n

Acc

ount

s R

ecei

vabl

e

Acc

ount

s Pa

yabl

e

Gen

eral

Led

ger

Payr

oll

Self-

Serv

ice

Pers

onne

l Adm

inist

ratio

n

Elec

tron

ic B

illin

g, Pr

esen

tmen

t & P

aym

ent

Proc

urem

ent

Quartile


[

17

Business Owners

IT Business Partner

IT Delivery & Operations

Engage

DesignBuild

Go Live!

Technology Life Cycle from the Eyes of an ITBP

AlignOperate

Optimize


[ Opportunity Management as an IT/Business Process

18

Solutions Delivery & Operations

Engage

Approve

Identify technology opportunityDiscover

Qualify Evaluate, prioritize, measure, align

Schedule, create charter, add to portfolio

Engage IT, conceptual design, planning

Value


[ Opening the Floodgates

19


[ Who are we dealing with?

20

process orientation

operational excellence

strategic planning

expertise

KPI’s

goals

org structures

culture

relationships

leadership

technology competence

alignment


[ In the middle …

21


[

22

tangible outcomes

hard and soft benefits

strategic fit

Benefit Leveragabilityexisting technology

core business process

enterprise

infrastructure

expertise

resources

timing

Readinessclear ownership

org structures to execute and sustain benefits

Accountability

Value

Qualifying an Opportunity for Technology


[ Building the Pipeline

23


[ Technology Roadmap

24


[ The ITBP Evolved Over Time

25

40

25

35

30

1010

1510

0

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

At Launch After 24 Months

% o

f T

ime

Sp

ent

Process

IT Strategy

Integration

Opportunity Mgmt

Client Relations

25

� 67%

� 29%

� 38%

� 34%


[ The Results after 24 Months

26

Predictability

“control” demandopportunity pipelineforecast resources

Become strategic

take a longer view maximize technology investmentbe innovative

Alignment

establish prioritiesidentify & measure benefitsincentive goals aligned


[ What’s Next for the ITBP?

27

[

in-depth operations expertise

enterprise technology planning

rigorous benefit measurement

focus on full solution life cycle

manage IT portfolio & budget

rotation to different business


[ Driving greater value from SAPembed IT with business leaders

build the pipeline of technology opportunities

develop relationships with account planning

control demand through IT/business partnership

leverage existing technology

28


[

29

[

� Thank you for participating.

Session Code: 1513

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1513 Driving Sap Value With It Bus Partnership

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