SAP Roadmap Approach

8/6/2019 SAP Roadmap Approach

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SAP Roadmap Approach

SUG MENAMarch 09


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Introduction

DUBAL Background & Vision

Overview of our SAP Journey

Roadmap Objectives

Definition & Execution

IT Dept Balanced

Scorecard Take Aways

Agenda


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Dubai Aluminium is undergoing a

transformation...The DUBAL of 2009

One of the largest single site aluminiumsmelters in the world

One million metric tons per year

Products: Extrusion billet (59%),

Foundry Alloys (34%), High PurityAluminium (7%)

Revenues >2 Billion USD

Clients - Gulf, Europe, North Americaand Far East

4,152 employees 33 nationalities

One integrated information systemplatform (SAP)


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. . . guided by a compelling vision

The Vision for 2010 -2015

Global presence

Among the top 5 aluminium producerswith capacity of 2,500k metric tonsaluminium

Multiple production sites (e.g.) EMAL

Upstream (Alumina) investment

In-House world class smelting technology

Safe & Clean environment

Lowest cost metal producer

Ramp-Up workforce

Aim for common IT platform (SAP)


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Sept 06 June 07 July 07 Dec 07 Jan 08 July 08 Aug 08...

Wave 1Big Bang Core Modules (8)

Wave 1Stabilisation (Focus - SD, FI, PP,

Payroll)

Wave 2Staggered Go-Lives Adhoc Modules (8)

Roadmap Definition(All Modules)

RoadmapExecution

Wave 1Onsite

Support

Increased Volume of Users

Shamal

Team

Refined Onsite & Offshore Support Resource Model

DU

BAL

SAP

Team


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Sales & Distributions (SD)

Production Planning (PP)

Financials & Controlling (FI/CO)

Materials Management (MM)

Plant Maintenance (PM)

Human Capital & Payroll (HC)

Project Systems (PS)

Business Warehouse (BW): Standard Business Content

Project Shamal - Scope Wave 1 (9 mths)


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Project Shamal - Scope Wave 2 A series of staggered Go-Live dates ending July 08:

Treasury

HR Personnel Cost Planning (PCP)

Employee Self-service & Manager Self-Service (ESS/MSS)

Environment, Health & Safety (EH&S)Advanced Planning & Optimization (APO)

Business Warehouse (BW): Customised Cubes

Quality Management (QM)

Inventory Management (Outbound Logistics)

Most Recently.

DMS, Shipment Costing, LSO


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Alan

Murphy

Ian Stubbs(FI Lead)

Ross Clow(CO Lead)

Satya(PM & DMS Lead)

Iman Al Omrani(Portals Mgr )

Corne Pieterse(SD Lead)

Patrick Dalton(SAP Project Mgr)

Ahmed Almusawi

(BPA)

Deshpande

(BPA

SD/APO(DP))

Yasin

(BPA)

APO/PP

Team LeadMylswamy

Balkikrishna Das

(Team Lead)

Vashali

(Systems Analyst)

Riham(Systems Analyst)

Ahmad Hassan

(EnterpriseSystems Mgr)

Ahmad

Mohammad(BPA)

FI

SD + APO/PP

PM

SAP Technical

SAP Portals + Non-

SAP Apps

Gary Drew

(Shipment CostingProj Mgr)

Sathiya(Soltius)

Kamran

(BPA)

CO + HR + EHS

Ravi - ABAP(Sotius)

Seshadri Lakkajo(Tech Lead)

Lakshmi - ABAP(Soltius)

Amin

(BI Analyst)

Moza

(BI Analyst)

Manoj - Workflow(Soltius)

Shynu

(BPA)

Chris Kreuger(MM/QM Lead)

MM/QM

Muna Sultan(Grad Trainee)

APO/PP + SD +One-Arch

ABAP, BW, XI,Workflow

CO + HR + EHS

FI

DELOITTE AMS / One-Arch

Portals

MM/QM

Naveen

(BW)

Onsite/Offshore Team


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Introduction



Roadmap Objectives


IT Dept Balanced


Agenda


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ObjectivesStrategy & Functionality

Align SAP team activities with each businessarea vision

Address wish-list inherited fromImplementation project & put into a structuredplan

separate tactical helpdesk calls from mini-projects

Stimulate innovation via SAP Product Roadmap

Integration of roadmaps will ensure ongoingharmonization of business processes across allareas


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Objectives - Measurement

Identify Business Benefits wherever possiblelink initiatives to area KPIs

Help understand

IT & Business resource requirementsCAPEX requirements (Budget 2009)

IT Dept Balanced scorecard - to helpdemonstrate our value as a business partner


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Introduction



Roadmap Objectives


IT Dept Balanced


Agenda


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Four Key Stages

Stage 1: Get Buy-InStage 2: Consolidate & Plan

Stage 3: Measure the Value-AddStage 4: Execute & Track


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Capture all issues Incorporate KPMG Helpdesk Vs. Project

Stage 1: Get Buy-In

Confirm Stabilisation per Area Capture Strategic Objectives

Key Deliverables: Helpdesk Log, Initiative Log

Executive sponsorship Business Case for every initiative by the Business Users

Slowly -but-surely approach - Address pain points first

Set Expectation: A StrategyBest Strategy is a Flexible

Strategyallow for a periodical review


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Internallyintegrate

Roadmaps

Stage 2: Consolidate & Plan

Plan IT & Business ResourceUtilisation (Under Commit &Over Deliver)

Identify CAPEX if needed

Key Deliverables: Gantt Chart for GM Approval

Includes both Functional & Technical Streams (Security, Basis, Portals, BI, DMS)


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Work with Finance

to measure benefits

Stage 3: Measure the Value-Add

Map to Area KPIs

Identify Benefits Upfront

Key Deliverables:

1. A Benefits Baseline (ideally quantifiable gains)2. New Roadmap Dimensions (e.g.) can prioritiseon internal capabilities + highest cost savings


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ExamplePotential Benefits for AP

Automation projectDo Nothing

2008Phase 1

End 2009Phase 2

End 2010No. of Invoices Processed

p.a.

42,000 42,000 42,000

Annual Savings - 2009 &

2010 based on a predictedheadcount reduction

30% 44%

Annual Recurring Savings -

2011

51%

Savings in Office Space AED 530k

Headcount Reduction % 36% 57%

Cost per Invoice

AED / USD AED 91 / USD25

AED 64 / USD 17 AED 45 / USD 12

Net Cash Outflow in 2008 AED 762k -

Payback No. of months 8 months

Internal Rate of Return (IRR) 178%


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Regular Reviewwith GMs

Roll-Up via IT DeptBalanced

Scorecard

Stage 4: Execute & Track

Execute Projects as usual Track Milestones + Benefits

Key Deliverables: Live Solution, Tracked Benefits,IT Dept Balanced Scorecard


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Introduction



Roadmap Objectives


IT Dept Balanced


Agenda


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Definition Green (>80%), Execution Green (>90%), Project Green (>95%)

Presented to IT Mgt Team at Monthly Scorecard Meetings


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Introduction



Roadmap Objectives


IT Dept Balanced


Agenda


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Take Aways Business process pain must be addressed first

Area Roadmaps will evolve at different speedsTop-Down + Bottom-Up interviewsAllow flexibility for change of Area strategic direction

Include softer activitiesRefresher training, User Manuals, ProcessSimplification

Involve Finance Dept to rubberstamp any

quantifiable benefits (map to KPIs) Track Roadmap definition & execution (e.g.) viaIT Dept Balanced Scorecard

Plan resources utilisation carefully to Under

commit & Over deliver


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Thank You

SAP Roadmap Approach

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