Master Data Management in SAP APO | Part 2

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866.P4D.INFO | Plan4Demand.com | Info@plan4demand.com …

866.P4D.INFO | Plan4Demand.com | Info@plan4demand.com
Master Data is critical to successful advanced planning and optimization. Having a master data management strategy is just a start. HOW it gets to a point where it is ready for analytics is where most of the work needs to be done.
APO Expert, Jerry Sanderson, for Part 2 as he lays out the foundation for successful Master Data Management and highlights practical tips to weed through the big data jungle and grow for long-term success.
We’ll provide insights into:
5. Data Latency – Why Transactional data timing is important
6. Master Data Source – Where master data should be pulled from
7. Planning Data Storage – Where scrubbed master / transactional planning data be stored
8. Data Maintenance – How Users can maintain, simply
9. Data Ownership – Who should own the process

Check out this webinar on-demand at http://www.plan4demand.com/Video-Webinar-SAP-APO-Master-Data-Management-Tips

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  • 1. June 12th, 2013 plan4demandMaster Data Leadership Exchangepresents:The web event will begin momentarilywith your host:
  • 2. Proven SAP Partner More than 500 successful SCPengagements in the past decade. We’re known for driving measurableresults in tools that are adopted acrossour client organizations. Our experts have a minimum of 10 yearssupply chain experience. Our SAP team is deep in both technologyand supply chain planning expertise; havemanaged multiple implementations; havea functional specialty.“Plan4Demand has consistently putin extra effort to ensure our Griffinplant consolidation and demandplanning projects were successful.”-Scott Strickland, VP Information SystemsBlack & Decker
  • 3. • While Master Data may seem like a jungle to besuccessful you need to think of it as a garden instead• Easier to manage• Tamed and pruned• Tended to3a*Plan4Demand is in no way an advocate of deforestation
  • 4. 1. Unit of Measure (UOM) - Why UOM needs to be defined, understood, andcommon across your data2. Data Definitions - What information & assumptions are used to createMaster and Transactional data?3. Data Scrubbing – When should data scrubbing and cleansing be done?4. Data Validation & Tools – How do you get business users involved with dataquality validation and how do you provide data exception tools to assist?5. Data Latency – Why is Transactional data timing important?6. Master Data Source – Where should master data should be pulled from?7. Planning Data Storage – Where should scrubbed master / transactionalplanning data be stored?8. Data Maintenance – How can Users maintain?9. Data Ownership – Who should own the process?4
  • 5. Transactional data timing must be consistent across data streamsand honor any sequence dependenciesAPO planning solutions are sensitive to transactional data load timing. Whenkey transactional data is loaded after nightly or weekend planning runs, theAPO Planning results are no longer accurate, resulting in Data Latency issues. If the overnight APO net requirements planning run is executed before the new salesorders are loaded into APO, the plan does not consider the lasted demand resultingin as much as 24 hour demand latency issue Any time transactional data loads are limited to daily or weekly increments, theAPO solution is subjected to potential data latency issues When the APO Planning solution is complex with lots of information flowing in andout of the system from outside systems, information timing and coordination becomescritical to maintain plan synchronization5
  • 6. The best defense against potential transactional Data Latency issues is todesign multiple legacy data updates to APO.This limits the APO solution exposure to data latency. However, the ultimategoal is to have real time data updates between SAP-ECC and APO The best defense against data latency issues is to secure APO transactional data inreal time via the CIF (Core Interface) from SAP ECC Make sure to review key job run times, schedule start times and actual completiontimes to ensure the design is feasible for collecting update information andcompleting planning runs accordingly Finally, establish contingency plans for getting data back in sync when needed6
  • 7.  APO-DP requires timely updates ofcausal data, future and historic salesorders before the statistical forecastmodels are run APO-SNP requires timely updates tothe master supply planning data toensure the appropriate planningrules are applied to the supply plan APO-SNP requires timely inventoryupdates to ensure the Supply andDistribution Plans are providing theright signals to the business7To keep your APO Data Garden healthy andstrong enough to serve your Planning needs,timely watering and feeding is required
  • 8. 1. Unit of Measure (UOM) - Why UOM needs to be defined, understood, andcommon across your data2. Data Definitions - What information & assumptions are used to createMaster and Transactional data?3. Data Scrubbing – When should data scrubbing and cleansing be done?4. Data Validation & Tools – How do you get business users involved with dataquality validation and how do you provide data exception tools to assist?5. Data Latency – Why is Transactional data timing important?6. Master Data Source – Where should master data should be pulled from?7. Planning Data Storage – Where should scrubbed master / transactionalplanning data be stored?8. Data Maintenance – How can Users maintain?9. Data Ownership – Who should own the process?8
  • 9. Do you feel your APO Master Datais pulling from the correct Source?Answer on your screenA. YesB. NoC. Maybe?9
  • 10. Which of the following Sources isAPO Input Data pulled from?(This includes Transactional & Master)Answer on your screen – Select all that ApplyA. SAP-ECCB. Non-ECC, Legacy, Other ERPC. Custom Tables in SAP-ECCD. Custom Tables in SAP-APOE. No Clue!10
  • 11. Pull master data from the data mapping source to ensure clean dataToo many times during an APO solution review we find that master /transactional data is not mapped to the primary data source. It is discoveredthat the APO solution is pulling data from a secondary data source.11 When master / transactional data is pulled fromareas other than the primary data source (wheredata was originally created or initially stored) theAPO solution is at risk of having their datacompromised at any time These issues usually arise post go-live whensecondary data modifications are made with outrealizing the APO solution is also pulling this datafor Planning
  • 12. Always map APO master and transactional data inputsto original source data where existingThis will ensure the APO solution remains robust and data risks are minimized Use APO standard data mapping structures to protect your data source and APOPlan integrity Map all master and transactional data to the standard ECC data fields When custom or modified master / transactional data is required to support theAPO solution, create a dedicated source location for APO use only The objective is to create a APO protected source location that is not shared with any otherfunctional applications12
  • 13. If custom APO input data is required,try to incorporate the data using thedesigned ECC / APO interface structure Utilize custom Z-tables in ECC as needed Continue to maintain APO master data in ECC Utilizes CIF for APO-SNP Utilizes BI interfaces for APO-DPKeys To Success Designing a robust architecture is key for gettingthe most out our your solution The solution is robust enough to support the growthof your business13APO-DP works best when APO input data is mapped totarget SAP-ECC data fields and design interfaces are used
  • 14. 1. Unit of Measure (UOM) - Why UOM needs to be defined, understood, andcommon across your data2. Data Definitions - What information & assumptions are used to createMaster and Transactional data?3. Data Scrubbing – When should data scrubbing and cleansing be done?4. Data Validation & Tools – How do you get business users involved with dataquality validation and how do you provide data exception tools to assist?5. Data Latency – Why is Transactional data timing important?6. Master Data Source – Where should master data should be pulled from?7. Planning Data Storage – Where should scrubbed master / transactionalplanning data be stored?8. Data Maintenance – How can Users maintain?9. Data Ownership – Who should own the process?14
  • 15. Keep raw master / transactional data storage separatefrom scrubbed master / transactional planning dataWhen APO Planning data is not stored in a separate location for the soleuse of APO, the data runs the risk of being modified, corrupted, or deletedby non planning users. APO planning master and transactional data is pulled from multiple business areaslike sales, marketing, finance, manufacturing, procurement, etc. All parts of the business have ongoing process improvement and system changeactivities taking place, resulting in system data and data processing changes The APO planning team is not always aware or consulted to investigate the APOsolution impact when changes are made15
  • 16. When defining the APO Architecture Solution Strategythere are two key types of APO master / transactional data Common Data shared across APO and ECC Should be mapped from the defined ECC data fields If APO requires manipulation or customization of this data then this data should be stagedto maintain the changes required by APO Custom (stand alone) Data used only by APO Planning not found in ECC Often critical to the quality of the APO Demand and Supply Plans and must be stored in asecure location to minimize the risk to the Plan Once the input data has been transformed and stored, only net change new transactionaldata must be transformed16
  • 17. APO-DP works best with adedicated data staging area where datacleansing and modifications can be storedonce changes have been madeData cleansing and modifications can bestored once changes have been made Outlier Corrections Re-alignments Historical Forecasts Etc.Now that you have taken the timeto build a dedicated “Data” gardento support APO, protect the gardenfrom outside influences17
  • 18. 1. Unit of Measure (UOM) - Why UOM needs to be defined, understood, andcommon across your data2. Data Definitions - What information & assumptions are used to createMaster and Transactional data?3. Data Scrubbing – When should data scrubbing and cleansing be done?4. Data Validation & Tools – How do you get business users involved with dataquality validation and how do you provide data exception tools to assist?5. Data Latency – Why is Transactional data timing important?6. Master Data Source – Where should master data should be pulled from?7. Planning Data Storage – Where should scrubbed master / transactionalplanning data be stored?8. Data Maintenance – How can Users maintain ?9. Data Ownership – Who should own the process?18
  • 19. What is your biggest Pain Point when itcomes to APO Master Data Maintenance?Answer on your screenA. Inaccuracy – Pulling from right source, but thedata is not maintained properlyB. Configuration – pulling from the wrong sourceC. Accessibility/Authority Level – I know what thedata should look like but cannot change itmyselfD. Training – Feels like the wrong people/teamassigned to maintain due to lack businessknowledge or proper trainingE. None - Our Master Data Maintenance is easyand flawless!19
  • 20. Must be simplistic and easy for users to maintainWhen APO data maintenance is overly complex, difficult to maintain, orrequires frequent user updates, the data is seldom correct and results inpoor APO Plans. When designing an APO solution dependent on multiple and complex APO inputdata fields that require diligent maintenance, the overall APO solution is doom tofail The APO architecture becomes overly complex and too sensitive to provide accurateplans When a good balance between data maintenance and usability is not maintained,the planning results will degrade and planners will spend more time manuallyoverriding their APO Planning results20
  • 21. When designing the APO Planning solution, constantly challenge the design,especially data maintenance inputs.Always ask the question, “How much data maintenance is required for eachdata field and determine what scenarios will drive data maintenance activities.” During the data mapping and requirements definition phase, identify datamaintenance activities and quantify maintenance time estimates Keep reviewing the data maintenance effort throughout the testing phases, especiallyduring UAT and Day in the Life (Parallel) Testing Finally, make sure to review the data value add, to ensure the required datamaintenance is driving significant business benefit21
  • 22. 1. Unit of Measure (UOM) - Why UOM needs to be defined, understood, andcommon across your data2. Data Definitions - What information & assumptions are used to createMaster and Transactional data?3. Data Scrubbing – When should data scrubbing and cleansing be done?4. Data Validation & Tools – How do you get business users involved with dataquality validation and how do you provide data exception tools to assist?5. Data Latency – Why is Transactional data timing important?6. Master Data Source – Where should master data should be pulled from?7. Planning Data Storage – Where should scrubbed master / transactionalplanning data be stored?8. Data Maintenance – How can Users maintain ?9. Data Ownership – Who should own the process?22
  • 23. Who “owns” the APO Master Data Managementresponsibility within your Organization?Answer on your screen – Select all that ApplyA. APO (SNP/DP) PlannersB. MDM SpecialistsC. IT DepartmentD. Center of Excellence TeamE. Executive Team23
  • 24. Assign to the primary users of the planning dataWhen APO data maintenance is owned by areas other than theresponsible Planning team, conflicts of interest will arise aroundtimely maintenance updates. When the APO DP forecast run is dependent on a custom masterdata field maintained by a separate functional area, the accuracy ofthe final forecast becomes dependent on custom master data updates Because of the criticality of APO input data, only the planning teamresponsible for the quality of the APO Plan will be focused onensuring data is updated timely24
  • 25. Assign APO input data ownership to the teamresponsible for the quality of the APO PlanThe responsible APO Planning team will make sure the data is accurate andupdated prior to their planning runs. When determining which APO Planning team should be responsible for input dataownership, determine which team has the most to lose if the APO Plan is incorrect To pass a final forecast from APO Demand Planning to Supply Network Planning, the forecastmust be disaggregated to a distribution center level for APO-SNP to generate a MasterProduction Schedule and Distribution Requirements Plan Demand Planners are focused on generating an accurate customer final forecast and SupplyNetwork Planners are focused on supplying products to distribution centers Disaggregating the final forecast at the distribution center level is most critical for the APO-SNPPlanners in order to generate the best supply plan possible Therefore, assign bill of distribution master data ownership to the APO-SNP team, because datais more critical to the quality of the SNP Plan, even though the actual disaggregation occurs inthe APO-DP application25
  • 26. 26a*Plan4Demand is in no way an advocate of deforestationTransform the Jungle into a Garden
  • 27. 1. Unit of Measure (UOM): UOM needs to be defined, understood, and common across yourdata2. Data Definition: Understand what information and assumptions are used to create masterand transactional data3. Data Scrubbing: Allow plenty of time for data scrubbing and cleansing4. Data Validation: Get business users involved with data quality validation5. Data Validation Tools: Provide data exception tools to assist business users with data qualityvalidation6. Data Latency: Transactional data timing must be consistent across data streams and honorany sequence dependencies7. Master Data Source: Pull master data from the data mapping source to ensure clean data8. Planning Data Storage: Keep raw master/transactional data storage separate fromscrubbed master/transactional planning data9. Data Maintenance: Must be simplistic and easy for users to maintain10. Data Ownership: Assign to the primary users of the planning data27
  • 28. If you use SAP to Plan… Think
  • 29. SAP, R/3, mySAP, mySAP.com, SAP NetWeaver®, Duet®,PartnerEdge, and other SAP products and servicesmentioned herein as well as their respective logos aretrademarks or registered trademarks of SAP AG inGermany and in several other countries all over theworld. All other product and service names mentionedare the trademarks of their respective companies.Plan4Demand is neither owned nor controlled by SAP.Page 29
  • 30. For Additional Information or a PDF CopyContact:Jaime Reints412.733.5011jaime.reints@plan4demand.com