S/4HANA as the first stepto the Intelligent Enterprise
Bobby VetterSenior Vice President - GPO GTM ERP Core
Sept. 20th 2018
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S/4HANA Business Status - Start the Journey to the Intelligent Enterprise
Fastest adopting product in SAP’s history
2000+ live customer on premise
100+ live customers cloud
~ 100 Go-lives
per month
26
industries
4000+ projects in flight
92
countries
36
countries
460+ customers
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The Digital Era is evolving into The Intelligence Era
ENABLING TECHNOLOGIES
CUSTOMER VALUE CREATION
• Mobile & Smartphone
ubiquity
• Cloud Computing
• Social Networks
• Big Data
Cloud, Mobile & Big Data2000s - 2010s
Digital
Transformation
• Widespread PC adoption
• Broadband Internet
• ERP and business process
technologies
Client Server & Internet1990s - 2000s
Business
Process
Automation
Mainframe & PCs1960s – 1980s
• Transistors & silicon
revolution
• Large scale Mainframe
Computing adoption
• Emergence of PC’s
• Plant floor automation
Industrial
Automation
• Machine learning (ML) and
artificial intelligence (AI)
• Internet of things (IoT) and
distributed computing
• Blockchain
Intelligent Technologies2010s - 2020s
Intelligent
Enterprise
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Hype Cycle for emerging Technologies, Source: Gartner , 2018
Speech recognition accuracy today
(better than human rate 94.1% )
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Intelligent enterprises elevate employees to focus on higher-value tasks
97%Image recognition accuracy today
(better than human rate 95% )
Of companies see ML as
critical for Competitive
Advantage!
94%
60%Of human tasks will be
automated by 2025
95.1%Speech recognition accuracy today
(better than human rate 94.1% )
Source: SAP CSG analysis, McKinsey Quarterly Report July 2016,
Google PR, Microsoft PR, SAP Market Model
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SAP Strategy – Deliver the Intelligent Enterprise
THE INTELLIGENT ENTERPRISE
features 3 KEY COMPONENTS:
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Cloud Native Architecture
Open APIs / Open Platform
Applied Intelligence
Integration “out of the box”
Next-gen data
management
Best In
Class Cloud
Integration Open SAP
Breakthrough
Innovation
SAP Strategy - Guiding Principles & SAP Technology Strategy
Business Data
Ownership
Customer
Experience
Consumer Grade UX
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Intelligent Suite: Deliver intelligence across value chains
Out-of-the-box integration leveraging SAP
Cloud Platform, the SAP Analytics Cloud
solution, and a common data foundation with
SAP HANA and SAP Data Hub
Best-in-class UX with
consistent experience
across the entire portfolio
Easy to extend, allowing
customers and partners to
customize solutions quickly
Intelligence embedded
in the applications making
the workflows smarter
Modular, making
it easy to consume and
cost-effective to operate.
Digital Core
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On PremiseCloud
SAP S/4HANASAP S/4HANA & S/4HANA Cloud’s code line,
simplified data model, and modern user
experience are consistent across both
environments.
Considerations for selecting
the right SAP S/4HANA solution:
• Business functionality
• Regulatory, industry, and regional requirements
• Individualization options
• IT Strategy
• Innovation cycles
• Adoption/upgrade efforts
• TCO
• Commercial models
Code Line
Data Model
User Experience
ONE
S/4HANA - You have complete choice
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S/4HANA - Choose Deployment Model
SAP S/4HANA CloudSAP S/4HANA Cloud, single-tenant edition SAP S/4HANA
Business Process Standardized, core ERP Flexible, ext. ERP Customizable, ext. ERP
Innovation Lifecycle Quarterly Semi-annual Annual, customer-led
TCO Lowest Lower Higher
System governance SAP-led Customer-influenced Customer-led
IT infrastructure SAP, public SAP, dedicated Customer-managed
Customization Within Standards Within Standards Open to Modifications
Extension PaaS, SCP PaaS, SCP Open, SCP
System delivery New implementation New implementation New or ECC conversion
2
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Re-imagined business models
Products + Services -> as subscriptions
Additive manufacturing
Lot size of one
IoT/sensor based managements of assets
Re-imagined business processes
Embedded business functions (WM, TM, MDG, ATP,..)
New MRP, dynamic inventory, constrained based planning
Intelligence through machine learning applications
Industry solutions in the core
Insight to action
New UX – Fiori – Any Device
In the moment, embedded analytics
Self-service, multi-dimensional reporting
Simplifications
Streamlined data models & landscape simplification
Better performance and scalability
Flexible deployment options
S/4HANA On Premise - 1809 is 5th release – mainstream adoption status
Watch Video
4
3
2
1
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Join the S/4 HANA Movement - Adoption Starter – Scope & Packages
Key answers to
Why? Business view
Innovation Case
Efficiency Case
Innovations
New Capabilities
Value Driver & Aspiration
Benefit Case
Baseline + Potential
Effort Estimate
What? Technical view
Target Products
Target Instances
Target Architecture
Product Recommendation
Consolidation Opportunities
How? Transformation viewSequence &
Approach
Transitions and Approach
Start Point / Migration Path
Conversion vs. Greenfield
Readiness to start
Relevant Accelerators
Next Level Services to plan for
Packages (Tools/Services applied)
Foundation
(mandatory)
1. Scoping Digital
Core
2. Transformation
Navigator
3. Innovation
Scenario
Check
Business
4. Opportunity
Check
5. Quick Value
Assessment
6. Effort Estimate
Transformation
7. Readiness Check
8. Conversion vs.
Greenfield
9. Start Point /
Migration Path
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Join the S/4HANA Movement - Adoption Starter – Elevator Pitch
The typical customer questions*.. ..mapped to tools and checklists.. ..in a fix sequence..
..with efficient delivery model**.. ..to create a pre-defined output.. ..for a customer decision proposal
9IN T E R N A L© 2 0 1 8 S A P S E o r a n S A P a f f i l ia te c o m p a n y . A l l r ig h ts r e s e r v e d . ǀ
Foundation (m
andato
ry)
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
n Scoping Digital Core
n Transformation Navigator**
n Innovation Scenario Check
Busin
ess n Opportunity Check
n Quick Value Assessment
n Effort Estimate
Tra
nsfo
rmation
n Readiness Check
n Conversion vs. Greenfield
n Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
EGI=Expert-Guided Implementation* SAP Participation in Pilot-Phase, tbd after Pilot
** Includes Innovation Check
Scoping Analysis / DiscoveryAlignment/
ConsolidationPreparation
Foundation (m
andato
ry)
S/4HANA Adoption Starter – 90-day schedule
Busin
ess
Tra
nsfo
rmation
2 m onths 2 w eeks2 w eeks
Transform ation D esign v 1.0 agreed
Scope D efined
D raft T ransform ation D esign
Process Explained
D ata C ollection
R eadiness C heck R eview
R eview
R eview
1. Scoping Digital Core
2. Transformation Navigator
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
1. Scoping Digital Core
2. Transformation Navigator**
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
10IN T E R N A L© 2 0 1 8 S A P S E o r a n S A P a f f i l ia te c o m p a n y . A l l r ig h ts r e s e r v e d . ǀ
Foundation (m
andato
ry)
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
n Scoping Digital Core
n Transformation Navigator**
n Innovation Scenario Check
Busin
ess n Opportunity Check
n Quick Value Assessment
n Effort Estimate
Tra
nsfo
rmation
n Readiness Check
n Conversion vs. Greenfield
n Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
Customer only, SAP support on demand
1:n interaction between SAP and customer
1:1 interaction between SAP and customerEGI=Expert-Guided Implementation
* SAP Participation in Pilot-Phase, tbd after Pilot
** Includes Innovation Check
Scoping Analysis / DiscoveryAlignment/
ConsolidationPreparation
Foundation (m
andato
ry)
S/4HANA Adoption Starter – 90-day schedule
Busin
ess
Tra
nsfo
rmation
2 m onths 2 w eeks2 w eeks
*
Transform ation D esign v 1.0 agreed
Scope D efined
D raft T ransform ation D esign
Process Explained
Innovation Check
N avigator R eviewQ&A Q&A
O pportunity C heck R esults
D ata C ollection
R eadiness C heck R eview
EG I 1-3
R eview
R eview
Q&A Q&A
Q&A Q&A
1. Scoping Digital Core
2. Transformation Navigator
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
1. Scoping Digital Core
2. Transformation Navigator**
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
7IN T E R N A L© 2 0 1 8 S A P S E o r a n S A P a f f i l ia te c o m p a n y . A l l r ig h ts r e s e r v e d . ǀ
Foundation (m
andato
ry)
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
n Scoping Digital Core
n Transformation Navigator**
n Innovation Scenario Check
Busin
ess n Opportunity Check
n Quick Value Assessment
n Effort Estimate
Tra
nsfo
rmation
n Readiness Check
n Conversion vs. Greenfield
n Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
Scoping Analysis / DiscoveryAlignment/
ConsolidationPreparation
Customer only, SAP support on demand
1:n interaction between SAP and customer
1:1 interaction between SAP and customerEGI=Expert-Guided Implementation
* SAP Participation in Pilot-Phase, tbd after Pilot
** Includes Innovation Check
Foundation (m
andato
ry)
S/4HANA Adoption Starter – 90-day schedule
Busin
ess
Tra
nsfo
rmation
*
Transform ation D esign v 1.0 agreed
Scope D efined
D raft Transform ation D esign
Process Explained
Q&A Q&A
EG I 1-3
Q&A Q&A
Q&A
1. Scoping Digital Core
2. Transformation Navigator
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n Prework (Solman, Plugin, S-User, Role identification, Data Collection)
n Kickoff Meeting, Process Explanation
n Scoping
1. Scoping Digital Core
2. Transformation Navigator**
3. Innovation Scenario Check
4. Opportunity Check
5. Quick Value Assessment
6. Effort Estimate
7. Readiness Check
8. Conversion vs. Greenfield
9. Start Point / Migration Path
n End of Analysis
n Synthesis Workshop
n Plan 1.0 available
H alf T im e check point
2 m onths 3 w eeks1 w eek
1 2 3
4 5 6
* derived from catalyst customers, signed off by DSAG ** hence can be offered for free under enterprise support contract
1:1, 1:N, customer only
separation of tour guide
and content expert role
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S/4HANA Cloud - Evolving at cloud speed
18 23 25 29 33 33 36 38
17081705 17111702Release
Intelligence API operationsScope items
(business functions)Countries
1808
Upcoming*
244273 329
13071530
34
9
1805
364
25
1880
132
2206
158
1742
3000
390
68
1811
521682
5
4 quarterly innovativereleases per year
Finance-centricadministrative ERP built to deliver value to all customers
Strong 2-tier ERP capabilities
Selected industry-specific functionality
Unmatched international support (38 countries and 23 languages by end of 2018)
*This is the current state of planning and may be changed by SAP at any time without notice.
1802
40
432
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S/4HANA Cloud - some 1808 Release Highlights
Processing long lists of open purchase
requisitions, operational purchasers can
easily create RFXs from the possible
bundles suggested by a Machine Learning
algorithm. This significantly automates the
RFx process by also reducing exception
and errors to improve efficiency and cost,
leading the way to a intelligent no-touch full
automation world.
ProcurementPropose Creation of RFQ
ManufacturingDynamic Buffer Level
Adjustments for Transfer
Materials Utilizing Machine Learning capabilities, the
buffer level proposal for materials with source
of supply type “transfer” can be calculated
accurately. This results in a better estimate of
stock transfer lead time, thereby better sizing
of the buffer, which ultimately results in better
service levels and potentially also lower
bound capital in form of inventory.
FinancialsSmart Alerts for Profit &
Loss Analysis
Smart Alerts aims to autonomously detect
unusual business situations in revenue and
cost accounts. Smart Alerts will pro-actively
inform the group controller of potential
issues and propose explanations for
unusual business situations by analyzing
the revenue and cost data. Using smart
alerts, unusual business situation can be
identified earlier, enabling more time to take
appropriate measures.
Sales manager can now gain reliable
insight into expected sales volume based
on Machine Learning and Predictive
Analytics.
Based on the improved sales forecast, the
accuracy in requirements planning can be
enhanced as well.
SalesSales Performance Prediction
*This is the current state of planning and may be changed by SAP at any time without notice.
Thank you.
Contact information:
Bobby Vetter
SVP Global Partner Organization
GB Solution Portfolio Management ERP Core Solutions
+41 58 871-6121
Twitter: BobbyVetterSAP
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