Sap Implementation Presentation
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SAP Implementation Presentation
SAP R/3 ImplementationPurpose: There are many steps on the road to a successful enterprise resource planning (ERP) implementation. Key components of the relatively complex (multi-site, multi-country) implementation.
Agenda:1. Business Case 2mins.2. Project Scope 2mins.3. Program Approach 2mins.4. Implementation Methodology 16mins.5. Technical Infrastructure 4mins.6. Q & A 6mins.
SAP Implementation Presentation
The Enterprise Resource Planning Package SAP R/3
FIFIFinancialFinancial
AccountingAccounting
COCOControllingControlling
AMAMFixed AssetsFixed Assets
Mgmt.Mgmt.
PSPSProjectProjectSystemSystem
WFWFWorkflowWorkflow
ISISIndustryIndustrySolutionsSolutions
MMMMMaterialsMaterials
Mgmt.Mgmt.
HRHRHumanHuman
ResourcesResources
SDSDSales &Sales &
DistributionDistribution
PPPPProductionProductionPlanningPlanning
QMQMQualityQuality
Manage-Manage-mentment PMPM
Plant Main-Plant Main-tenancetenance
SAP R/3
Integration• Integrated
processes and data• Application
integration• Technical integration
Business Intelligence• Decision Support• Early Warning• Reporting• Analysis
Real-time Processing
Client/ ServerArchitecture
Flexibility
Worldwide Usage
Open System
SAP Implementation Presentation
Headcount Management How powerful would it be to know how many employees we have, where they are, and what they are qualified to do?
IT Application Support How much money would be saved if we supported centrally a single technology and application based on standard data?
Financial Analysis What strategic analyses could be performed if financial analysts did not spend 70% of their time gathering and transforming the data?
Project Management Imagine integrating project management, financial, and HR processes with the ability to perform project scheduling & capacity planning.
Using common processes and real-time, global information.
SAP Implementation Presentation
Program Approach• Training – Training starts with the education of the
project team in system and project management, and ends with the training of the users
• Project control – Project control should be carried out during the whole project, following the project control cycle. The project team must identify and continually measure deviations from the project schedule
• Risk management – Potential risks must be identified at an early stage, and thoroughly analyzed, and appropriate preventive measures must be initiated to avoid the risk identified.
• Change management – Users may perceive changes either positively or negatively. These change cycles must be actively managed by the respective leader.
SAP Implementation Presentation
Implementation Will Require Major Organizational Change
Technology
Process People
• Realizing the benefits of the major change investment
• Changes in behaviors to be consistent with the new business model
• Fundamentally rethinking how to perform business processes
• Willingness to sacrifice uniqueness for the greater good
• Installing, configuring, and running the software
• Standardizing and centralizing technology
• Data standardization and clean-up
Which component will be the most challenging?
SAP Implementation Presentation
• Implementation strategy: A fundamental decision
must be taken as to the implementation strategy: step-by-step, big bang or roll-out.o Step by step- Modules are implemented
consecutivelyo Big bang- All modules are implemented
simultaneouslyo Roll-out- A model implementation at one site,
which is then rolled out to other siteso Hybrid- A rollout approach implemented as a big
bang or a step-by-step
SAP Implementation Presentation
Project Scope: Functionality
Valuation &
Control
Project Management Processes
Human Resources
Supply Chain Management
• Order to Cash
• Purchase to Pay
• Financial Reporting & Planning
• Project Planning & Scheduling
• Resource & Capacity Planning
• Time & Expense Reporting
• Materials Management
• Personnel Administration
• Compensation & Benefits Admin
• Organizational Development
• Quality Mgmt.
• Mfg. Operations & MAPS
• Forecasting & Planning
• Inventory Planning
SAP Implementation Presentation
Implementation Methodology
6 of 7 StagesA logical grouping of components
15 ComponentsA logical grouping of activities
5 GatesA decision point; determine whether the project has met the local implementation’s stage requirements
Component
SAP Implementation Presentation
Propose Stage
Goals: Using increasing levels of detail, describe the business needs.
Business Impact Analysis
Affiliate Assessment
Conduct ModelOffice
Release ProjectPlan
Project Proposal
BusinessRequirements
Detailed Requirements
Project Plan &Validation Plan
SAP Implementation Presentation
Design Stage
Goals: Translate requirements into a workable design. Plan testing. Prepare the environment for construction activities
TechnicalAssessment
Build Setup DevEnvironment
Prepare for Informal Integration
Testing(IIT)
Design Specification
Development Environment
Test Plan
SAP Implementation Presentation
Construct Stage
Goals: Implement design by coding and/or integrating software. Execute planned testing. Complete supporting materials such as SOPs, user manuals and training materials. Formally turn system over for acceptance testing.
Application Development &
Unit Testing
InformalIntegration
Testing
Training Administration For
Existing &New Users
Completed SOP’s, Training Manuals &
User ManualsCompleted Test
Plan
Source Code
SAP Implementation Presentation
Test Stage
Goals: Complete user acceptance testing and validation reporting.
AcceptanceTesting
ExecuteFormal
IntegrationTesting (FIT)
Validation Reporting
Validation Report
Completed Test Plan
Execute Test Plan
SAP Implementation Presentation
Deploy Stage
Goals: Move a fully functioning system into production. Assess system with Sponsor in post-implementation review.
Cutover
Go-live
Critique & Sponsor
Feedback
Installation Qualification
SAP Implementation Presentation
Support Stage
Goals: Operate the system according to the specified requirements and procedures. Maintain the system using a change control process.
Operations
Maintenance
Functional System
Controlled MaintenanceProcesses
SAP Implementation Presentation
Technology
SAP Implementation Presentation
Technology
Definition: Single Instance Technology- An instance is a single database and hardware environment where the system resides. All programs and data are stored here.
Benefits:• Higher level of global business integration across the
enterpriseo Business functions within sites and across globe are
integrated• Integration facilitates rapid deployment of upgrades,
fixes, or enhanced technology worldwide• More streamlined, yet still a complex infrastructure
SAP Implementation Presentation
Technology
• We have 6 separate SAP environments that are actively used as a part of release cycle or production support
• We run 1 environment (initial installation) that is for Basis prototyping
• We run 12 different SAP applications that run a total of 61 different databases
• Our standard platform configuration is Sun Solaris Unix servers running Oracle databases
• We have a total of 54,746 users in the production SAP system
• The implementation is accessible in 17 countries
SAP Implementation Presentation
The Final Word
Understand the magnitudeAppreciate the complexity
Embrace the challenge
SAP Implementation Presentation
Backup Slides
SAP Implementation Presentation
Business Case: The Drivers
Marketplace• Customer demands
Innovation Customer service
• Intense competition Shorter product life
cycles New competitors
• Changing markets Globalization Advances in
technology• Smaller margins
• Lack of integration• Lack of consistent,
accurate data• Minimal global data• Lack of flexibility• Inefficient use of
resources
SAP Implementation Presentation
• Reduced complexity and cost• Faster decision-making• More flexibility• Increased ability to manage
change
Business Case: The Benefits
SAP Implementation Presentation
GBIP Global LocationsAlbania
Algeria Angola
• Australia• Austria• Argentina
ArubaAzerbaijanBahrainBangladeshBelarusBelizeBelgiumBeninBoliviaBosniaBotswana
• BrazilBulgariaBurkinaFasoCambodia
• Canada• Chile• China• Columbia
Congo• Costa Rica
CroatiaCuracaoCyprus
• Czech Republic
DenmarkDominican RepublicEcuador
• EgyptEl SalvadorEnfield, CTEstoriaEthiopiaFinland
• FranceFresno, CAGabon
• Germany
Ghana • Greece
GuatemalaGuyanaHaitiHonduras
• Hong Kong
• HungaryIceland
• India• Indianapol
is, In• Indonesia
IranIraq
• Ireland
Israel• Ital
yIvory CoastJamaica
• Japan
JordanKazakstanKenya
• Korea
KuwaitKyrgystanLatvia Laos
LebannonLibyaLithuaniaMacauMacedoniaMadagascar
• Malaysia
MalawiMaliMaltaMauritaniaMauritius
• Mexico
Moldova
Pakistan PalestinePanamaParaguay
• Peru• Philipp
ines• Poland• Portug
al• Puerto
RicoQatarUgandaUraguayRomania
• Russia
• United States
Uzbekistan• Venezu
ela• Vietnam
YugoslaviaYemenZaireZambiaZimbabwe
Rwanda Saudi ArabiaSenegal
• Singapore
Slovak RepublicSlovoria
• South Africa
• SpainSri LankaSudanSurinameSwazilandSwedenSwitzerland
Mongolia MoroccoMozambiqueMyanmarNamiviaNepalNetherlandsNew Guinea
• New Zealand
NicaraguaNigerNigeriaNorwayOman
Syria Tadjikistan
• TaiwanTanzinia
• ThailandTogoTrinidad/TobagoTunisia
• TurkeyTurkmenistanUkraineUnited Arab Emirates
• United Kingdom
Project Scope: Global Locations
SAP Implementation Presentation
Program Approach, continued
• Set the standard for large-scale global business process redesign and SAP implementations
• Fundamentally change the way client will conduct businesso Design key business processes
Based on industry, SAP and client best practices
o Impact future organizational structureo Make available the key data people need to
make better decisions• Managed centrally using standard methodologies,
templates, and practices• Focused on quality (GMP, CSQ & Project
Management Discipline)
SAP Implementation Presentation
• The System Engineering Framework (SEF) is a system development and support guide that is aligned with generally accepted project management and software engineering standards
• SEF is aligned with the Project Management Body of Knowledge (PMBOK®) provided by the Project Management Institute (PMI) and International Organization for Standardization (ISO) standards for creating and managing software
Project Methodology
SAP Implementation Presentation
The Challenge of Change
Enterprise optimization increases the emphasis on processes and process integration, reducing the emphasis on functionsCommon business processes will challenge the concepts of initiative and uniqueness that are sometimes a source of local prideNew business processes will lead to different jobs and roles, new competency requirements, and new organization structures
Within an organization everyone will have to change in some way.