Enabling Business Transformation forEngineering, Construction & Operations
© 2011 SAP AG. All rights reserved. 2ConfidentialAgenda•Overview of SAP’s position in the EC&O Market•SAP EC&O Solution Ro...
Industry Business Scenarios Select CustomersProject ManagementProject Budgeting & Cost ControlEquipment ManagementProject ...
SAP R&D Investment ImpactEngineering Construction & Operations Enterprise Services forProject System Building Informatio...
Commercial Project ManagementEngineering Constructions & Operations
© 2011 SAP AG. All rights reserved. 6ConfidentialCommercial Project Management -Processes addressed by new solutionsEnd-to...
Mobility for Construction
© 2011 SAP AG. All rights reserved. 8ConfidentialMobilizing the Entire EnterpriseMobility coverage for EC&OSales Engineer ...
© 2011 SAP AG. All rights reserved. 9ConfidentialPlanned Innovations Future DirectionApps todaySAP Mobile Road Map for EC&...
© 2011 SAP AG. All rights reserved. 10ConfidentialMobile ProjectManagement App
SAP Building Information ModelingVisual Enterprise
Enterprise Asset Management
© 2011 SAP AG. All rights reserved. 13ConfidentialSAP Solutions for LoB Enterprise Asset ManagementKey Improvements with I...
© 2011 SAP AG. All rights reserved. 14ConfidentialKey Improvements with Innovations 2011New User Interface for the “Mainte...
© 2011 SAP AG. All rights reserved. 15ConfidentialKey Improvements with Innovations 2011Maintenance Worker – Job ListFeatu...
© 2011 SAP AG. All rights reserved. 16ConfidentialKey Improvements with Innovations 2011Maintenance Worker – Job CardLifel...
© 2011 SAP AG. All rights reserved. 17ConfidentialSolution Enhancements Key BenefitsOptimized Asset Operations and Mainten...
© 2011 SAP AG. All rights reserved. 18ConfidentialVisualization in Service and Support (EAM)• Maintenance and repair proce...
© 2011 SAP AG. All rights reserved. 19ConfidentialVisualization in Service and Support (EAM)
HANA Innovations
© 2011 SAP AG. All rights reserved. 21ConfidentialStrategic InnovationsHANA – In Memory processing for Project Systems and...
© 2011 SAP AG. All rights reserved. 22ConfidentialFinanceanalyzes project variancedata to anticipate andminimize potential...
© 2011 SAP AG. All rights reserved. 23ConfidentialAnd everyone benefits from a happy IT department.And your IT department ...
© 2011 SAP AG. All rights reserved. 24ConfidentialUse Case: Invoice and Payment Management inConstruction Projects - Cross...
© 2011 SAP AG. All rights reserved. 25ConfidentialUse Case: Construction material specification coordination andverificati...
© 2011 SAP AG. All rights reserved. 26ConfidentialAnalyze projectvariance data toanticipate and minimizepotential cost ove...
Customer Innovation
© SAP 2008 / Page 28Driving Innovation with Our CustomersIndustry Advisory Council for Constructionincludes: Bouygues Eu...
© 2011 SAP AG. All rights reserved. 29ConfidentialSubcontractor Management – Process Overview (EHP5E)SubcontractDown Payme...
SAP and SuccessFactorsBetter TogetherSAP and SuccessFactors – Better Together
© 2011 SAP AG. All rights reserved. 31ConfidentialProduct Direction across cloud & on-premiseSAP andSuccessFactors arecomb...
© 2011 SAP AG. All rights reserved. 32ConfidentialProduct Direction – Workforce Planning & AnalyticsWorkforce Analytics: C...
© 2011 SAP AG. All rights reserved. 33ConfidentialSAP is Committed to Listening to YouGet an early insight into SAP produc...
© 2011 SAP AG. All rights reserved. 34ConfidentialFinal Thoughts on Why To Choose SAP Solutions andPartnershipTop Solution...
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Enabling Business Transformation for EC&O

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  • SAP Employee Productivity AppsHuman Resourceso SAP Employee Lookup mobile app: search and view employee profiles (Demo)o SAP Leave Request mobile app: create, modify, delete requests; view vacation days available (Demo)o SAP Time Capture mobile app: create, modify, delete time entries; view missing time entries (Demo)o SAP HR Approvals mobile app: notification of work items; view calendar; approve/reject requests (Demo)Financeo SAP Travel Receipt Capture mobile app: create travel expense entries; capture receipt photos; record voice notes (Demo)o SAP Travel Report mobile app: view credit card charges, create travel expense reports (lDemo)o SAP Travel Expense Approval mobile app: receive expense approval notifications; review report details; approve or reject workflows (Demo)o SAP Payment Approvals mobile app: push urgent tasks to the treasurer; protect from financial loss(Demo)Saleso SAP Sales Order Notification mobile app: receive notifications on sales orders; search and view orders (Demo)o SAP Material Availability mobile app: search materials; view details, availability and pricing for customers (Demo)o SAP Customer and Contacts mobile app: access customer and contact information; display on map; view recent orders (coming soon)o SAP Customer Financial Factsheet mobile app: search for customers and show customer details (Demo)o SAP Order Status mobile app: from credit check to invoicing (Demo)Mobile Config PrototypesSAP – IPC Offline prototype on Android PhonePartner EasternGraphics: Native iOS app prototype for iPhone, iPad – Catalog selection, configuration, visualization, basket, hand over to quote/orderPartner ConfigAir: Native app prototypes using Internet Sales data – catalog, configuration against IPC in backend, basket, create quote – on iPhone, iPad, Android tabletPartner itelligence: Shop and configuration app prototype for iPad, and Android, using IPC configurationCustomer Steelcase: iPad app “Turnstore” in appstore – find, select furniture graphically, select color/fabric options, design room and place furniture, hand over product to web shop
  • Detailed description of each AppsPartner Details (name etc, if applicable).Hyperlinks to more information, demos, parter sites, ecohub.
  • SAP Environment, Health, and Safety Management (SAP EHS Management) SAP BusinessObjects governance, risk, and compliance (GRC) solutions
  • All information on slide.
  • [Talk track:]In-memory enables construction companies to improve the bottom line by capturing opportunities & managing costs.Enables Finance to analyze project variance data to anticipate and minimize potential cost overruns with:Detailed visibility into project margin variance and unapproved changesUnderstanding of dynamics between outstanding revenue and average project marginEnables Operations to link construction operations and financials for performance analytics with:Immediate access to engineer-procure-construct processes to facilitate purchasing and materials managementInsight to drive cash management and cash flow capabilities to manage capital requirementsEnables Business Development to Streamlines design to build effective processes and gain better business development performance and pipeline visibility with:Instant examination of dataAccelerated estimation and budgeting for external stakeholders
  • [Talk track:]In addition to the considerable benefits available to enterprise business consumers, in-memory computing also gives the IT organization the opportunity to enable transformational value for the enterprise with no business disruption while lowering overall IT costs. How?In-memory computing empowers business users with self-service, real-time internal, customer, and consumer analytics, eliminating the “shadow IT” organization that’s traditionally responsible for report definition, development, publishing, maintenance, and performance tuning.Next, in-memory computing easily enables IT organizations to combine analytical data and business process transactions in real time, and is available for immediate deployment against existing solution landscapes, as well as any number of internal and external data sources.And, finally, in-memory computing also enables IT organizations to consolidate and even eliminate servers and other storage, backup, and maintenance processes, providing the opportunity to optimize the company’s global technology landscape to reduce IT infrastructure and labor costs.
  • [Talk track:]With in-memory computing from SAP, construction companies can:Quickly analyze project variance data to anticipate and minimize potential costoverruns resulting in improvement in bottom line by maintaining healthy project margins and reducing project margin varianceRapidly link construction operations and financials for timely performance analytics resulting in better project cash position and liquidity with accelerated processing and cost of changes to project scope determinedStreamline the design to build processes and gain better business development performance and pipeline visibility resulting in captured opportunities by identifying subtle changes in labor and equipment productivity to accurately deploy and maintain optimal use
  • Transcript of "Enabling Business Transformation for EC&O"

    1. 1. Enabling Business Transformation forEngineering, Construction & Operations
    2. 2. © 2011 SAP AG. All rights reserved. 2ConfidentialAgenda•Overview of SAP’s position in the EC&O Market•SAP EC&O Solution Roadmap•Commercial Project Management•EC&O Mobile Solutions•Project Visualization with 3D Building Information Modeling•Enterprise Asset management•HANA•Customer Innovation
    3. 3. Industry Business Scenarios Select CustomersProject ManagementProject Budgeting & Cost ControlEquipment ManagementProject Procurement & SubcontractorManagementReporting and AnalyticsFinancial ManagementSAP Industry Experience
    4. 4. SAP R&D Investment ImpactEngineering Construction & Operations Enterprise Services forProject System Building InformationModeling– integration VE Asset Data Hub –integration to NRX Project Budgetingenhancements Project Planning andForecasting Application Localization ofSubcontractRetain age (US) Subcontract RetainageEnhancement Joint Venture Accounting Multi-Resource Scheduling Project PortfolioManagement ALC Enhancements –Payroll – Cost ControlIntegration Sourcing Collaboration forEngineered Goods Integration to Primavera byPipeline Software Interactive Formsby Adobe1996 2000 Enhanced Expediting/Progress Tracking forMaterials Open PS Interface to MSProject HomebuildingEC&OIndustryVerticalEstablished2007 2011Recent investments (available today) include: Enhanced subcontract management - for progressbilling, payments, and retention Mobile Applications for Construction – Daily WorkPlanning and Progress, Mobile Analytics SAP Enterprise Project Connection – Packagedintegration to Primavera project schedulingapplication Integration of CAD information to projectestimating, budgeting, execution and procurement(includes Building Information Modeling solutionVisual Enterprise) Rapid Deployment Solution for ConstructionAnalytics Integration to Estimation Platform with Hard DollarEquipment & ToolsManagement2015 MobileApplicationsforConstruction BusinessAnalyticsPackage HANA EnabledProjectSystems ProjectManagementCockpit* 1.7 Billion spenton R&D each yearinto the coresolution!
    5. 5. Commercial Project ManagementEngineering Constructions & Operations
    6. 6. © 2011 SAP AG. All rights reserved. 6ConfidentialCommercial Project Management -Processes addressed by new solutionsEnd-to-End scenario Commercial Project ManagementProcessGroups Selling Planning ExecutionControl &Monitoringrelated SupportScenariosProcessesPipeline & ForecastingProject Initiation &StructuringTime, Expense &Quality RecordingProject Dashboards &SheetsResourceManagementBusiness Development Project SchedulingProject Cost, Revenue& Quantity Forecastingand ProgressProject ReportingDocumentManagementBid & ProposalProject Cost, Revenue& Quantity PlanningProject RiskManagementEmbedded Analytics Project ProcurementContract & EngagementSetup3rd Party IntegrationProject Issue andChange ManagementProject CashManagementProject CollaborationProject Accounting andBillingEarned Value Analysis /WIPQuality ManagementProcess covered largely bynew functionalityProcess enhanced by newfunctionalityPLANNED INNOVATIONCo-Developedwith ourcustomersandPartners
    7. 7. Mobility for Construction
    8. 8. © 2011 SAP AG. All rights reserved. 8ConfidentialMobilizing the Entire EnterpriseMobility coverage for EC&OSales Engineer & Procure Construct Operate & Maintain CorporateSite MaterialsManagement - AkaaraSAP ERP Quality Issuemobile appMobile Purchase OrderSAP EAM Work Ordermobile app - ERPSAP Field Servicemobile app - CRMSAP CRM Mobile SalesMobile sales analytics –BOBJ Explorer &Exploration viewsProject StatusAkaaraMobile EquipmentManagementMobile Time Entry forProjectsMobile Progress Entry forProjectsQuality & SafetyAkaaraMobile Project SystemTPCSAP Employee HRProductivity mobile appsSAP Employee FinanceProductivity mobile appsSAP GRC AccessApproverSAP GRC Policy SurveySAP Mobile ApplicationProposed MobileApplication – SAP orPartnerPartner MobileApplicationLegendSAP Mobile WorkflowSAP Business ObjectsMobile appsSAP Mobile SafetyDaily Work PlanningMobile BAS
    9. 9. © 2011 SAP AG. All rights reserved. 9ConfidentialPlanned Innovations Future DirectionApps todaySAP Mobile Road Map for EC&OSAP EAM Work Order v1.0 SAP Field Service SAP Employee HRProductivity mobile apps SAP Employee FinanceProductivity mobile apps SAP GRC AccessApprover SAP GRC Policy Survey Mobile Sales Analytics SAP CRM Sales 1.0 SAP Mobile Workflow Quality & Safety * Mobile Project System **Partner Apps SAP CRM Sales 2.0SAP ERP Quality Issue SAP EAM Work Order v2.0 SAP Mobile Safety SAP Business Objects MobileApps. Mobile Time Entry Mobile Progress Entry ** Mobile Purchase Order ** Mobile EquipmentManagement ** Site Materials Management ** Project Status **Subject to change. **Partner project Subject to change. ***Possible partner project.
    10. 10. © 2011 SAP AG. All rights reserved. 10ConfidentialMobile ProjectManagement App
    11. 11. SAP Building Information ModelingVisual Enterprise
    12. 12. Enterprise Asset Management
    13. 13. © 2011 SAP AG. All rights reserved. 13ConfidentialSAP Solutions for LoB Enterprise Asset ManagementKey Improvements with Innovations 2012SOLUTION TODAYKey Needs Innovation Highlight ReleaseCapital Projectsand PortfolioManagementPrioritize investments andbalance resourcesCreate projects directly fromportfolio managementHave portfolio items aligned withthe work breakdown structureSAP Portfolioand ProjectManagement 5.0LinearAssetsManage linear assetsas continuous assets withdynamic segmentationManage costs on task levelwhile keeping theaggregated total for anentire work orderSupport of linear assets(e.g. roads, pipelines)Support of operation accountassignment (monitoring cost onoperations level)SAP enhancementpackage 5 forSAP ERPUserExperienceSimplify maintenanceexecution processes on theshop floorEnhanced user experience formaintenance techniciansSAP enhancementpackage 5 forSAP ERPOperationalRiskManagementEnsure compliance througheffective and acceptedprocedures and systemsmanaging operational risks Holistic incident management Improved user experience Decision support with packagedanalyticsSAP EHSManagement 1.0SAP enhancementpackage 5 for SAP ERPSAP BusinessObjectsGRC solutions 3.0
    14. 14. © 2011 SAP AG. All rights reserved. 14ConfidentialKey Improvements with Innovations 2011New User Interface for the “Maintenance Worker”EAM Launch PadJob CardInformation CenterConfirmation List withAssigned Jobs to UserEnterprise SearchJob List with Jobs
    15. 15. © 2011 SAP AG. All rights reserved. 15ConfidentialKey Improvements with Innovations 2011Maintenance Worker – Job ListFeatures of the Job List:Basic job information,e.g. urgency, technical object numberDetailed job informationJob card for each jobJob assignment to individuals and workcentersAccess to additional information such asreference technical object
    16. 16. © 2011 SAP AG. All rights reserved. 16ConfidentialKey Improvements with Innovations 2011Maintenance Worker – Job CardLifelike job card displayand printout withembedded documentslike drawings, poweredby SAP InteractiveForms software byAdobe
    17. 17. © 2011 SAP AG. All rights reserved. 17ConfidentialSolution Enhancements Key BenefitsOptimized Asset Operations and MaintenanceIntegrated geospatial visualizationGeospatial display of critical assets, includinglinearMap interactivity with assets such as accessingwork orders and other technical objectsAsset information that spans both ERP andgeospatial information systems (GIS)PLANNED INNOVATIONSComplete access to GIS information for usewithin EAMAllow users to select visualization technologyAsset information can be displayedgeographically
    18. 18. © 2011 SAP AG. All rights reserved. 18ConfidentialVisualization in Service and Support (EAM)• Maintenance and repair procedures• Technical publication authoring and publishing• Visual learning and trainingWorkflows• Enabling 3D animated, step by step proceduralinstructions• 3D model driven document authoring & standardscompliance• Using visual information for search and queryMethods• Accelerated time to repair, minimized asset downtime• Proper procedure execution, improved technicianproductivity• Significant reduction in document authoring andpublishing costsValue
    19. 19. © 2011 SAP AG. All rights reserved. 19ConfidentialVisualization in Service and Support (EAM)
    20. 20. HANA Innovations
    21. 21. © 2011 SAP AG. All rights reserved. 21ConfidentialStrategic InnovationsHANA – In Memory processing for Project Systems and AnalyticsSRM/SLM – Supplier relationship/lifecycle managementAriba – Procurement on demandSuccess Factors – HR on demand
    22. 22. © 2011 SAP AG. All rights reserved. 22ConfidentialFinanceanalyzes project variancedata to anticipate andminimize potential costoverrunsIn-memory enables construction companies to improvethe bottom line by capturing opportunities & managingproject costs - HANABusiness DevelopmentStreamlines design to buildeffective processes and gainbetter business developmentperformance and pipelinevisibilityOperationslinks constructionoperations and financialsfor performance analytics• Detailed visibility intoproject margin varianceand unapprovedchanges• Understanding ofdynamics betweenoutstanding revenueand average projectmargin• Instant examination ofdata• Accelerated estimationand budgeting forexternal stakeholders• Immediate access toengineer-procure-construct processes tofacilitate purchasing andmaterials management• Insight to drive cashmanagement and cashflow capabilities tomanage capitalrequirements
    23. 23. © 2011 SAP AG. All rights reserved. 23ConfidentialAnd everyone benefits from a happy IT department.And your IT department will thank you - HANAEmpowered employees use self-servicesLess botherEmployees can define and publish their own reports, leaving IT to focus ontheir main tasksNo “shadow IT”Analytical and business process data combinedOne real-time viewStart now by adding SAP HANA to your existing environmentReady to deployConsolidate equipment, backup, and maintenanceSimplifyLower IT infrastructure and personnel costs by changing the way things aredoneOptimizeWhy? For not disrupting business and for lowering IT cost
    24. 24. © 2011 SAP AG. All rights reserved. 24ConfidentialUse Case: Invoice and Payment Management inConstruction Projects - CrossgateBusiness Pain and ValueTarget Market and Revenue PotentialTechnology Challenges Construction process involves multiple parties (Owner, GeneralContractor, Subcontractor, Consultant, etc) with financialrelationship tied to a certain piece of work. Each entity requires similar information to receive/makepayment. Today this is a very manual process performed in multiplesystems. Dynamic collaboration of these activities benefits all parties,providing risk mitigation for payer and quicker receipt ofpayment for payee. Engineering and Construction Companies, FacilityOwners, Project Owners, and Developers 1800+ worldwide EC&O customers, plus SAP clients withCapital Expenditure Budgets (Banks, Retail Organizations, etc.) North America focused market: 100+ immediate opportunitiesGeneralContractorSubcontractorArchitectOwner /Developer Disparate accounting/information systems exchanging paymentand invoice information. Release of payment predicated on multiple steps/processesbeing complete. EX: Release of payment from General Contractor toSubcontractor is only done when payment from Ownerto General Contractor has been completed AND properdocumentation from Subcontractor to GeneralContractor is accounted for.Progress of project
    25. 25. © 2011 SAP AG. All rights reserved. 25ConfidentialUse Case: Construction material specification coordination andverification (submittal processing) - CrossgateBusiness Pain and ValueTarget Market and Revenue PotentialTechnology Challenges Construction process involves multiple parties(Owner, Architect, GeneralContractor, Subcontractor, Consultant, etc) responsible forcoordinating complex material requirements for projects Specification information is passed from the design team to theconstruction team where they prepare submittals to confirm theirunderstanding of the requirements for review by the designers. Today this process is performed using different systemssometimes on a project by project basis. This causesinefficiency, and often dual entry. Enabling all parties to use their preferred system and coordinatingdata transfer would greatly increase efficiency. Architecture, Engineering and Construction Companies, FacilityOwners, Project Owners, and Developers 1800+ worldwide EC&O customers, plus SAP clients with CapitalExpenditure Budgets (Banks, Retail Organizations, etc.) North America focused market: 1000+ immediate opportunities Requires passing of documents as well as data , includingdrawing, photos, etc.ConsultantsSubcontractorArchitect Owner /DeveloperGeneralContractorMaterialSupplierSubcontractorSpecificationdistributionMaterialSubmissionSubmittalVerification
    26. 26. © 2011 SAP AG. All rights reserved. 26ConfidentialAnalyze projectvariance data toanticipate and minimizepotential cost overrunsLink constructionoperations andfinancials forperformance analyticsStreamline design to buildprocesses and gain betterbusiness developmentperformance and pipelinevisibilityHarness the power of in-memory computing forconstruction companies - HANAImprovement in bottomline by maintaininghealthy project marginsand reducing projectmargin varianceBetter project cashposition and liquidity withaccelerated processingand cost of changes toproject scope determinedCapture opportunity byidentifying subtle changes inlabor and equipmentproductivity to accuratelydeploy and maintain optimaluseResult Result Result
    27. 27. Customer Innovation
    28. 28. © SAP 2008 / Page 28Driving Innovation with Our CustomersIndustry Advisory Council for Constructionincludes: Bouygues Eurovia Royal BAM Group Kiewit Hindustan Construction Company Transfield Al Fanar Ensul Meci Alstom Turner Construction Company Hochtief United GroupBusiness Process Expert Community SAP Developer NetworkEC&O Global Industry AdvisoryCouncilCommunities of innovationCommunitiesCustomer-based communities share best practices and set standards for the future
    29. 29. © 2011 SAP AG. All rights reserved. 29ConfidentialSubcontractor Management – Process Overview (EHP5E)SubcontractDown Payment orPaymentPartial InvoiceDown paymentFinal InvoiceFinal PaymentDown payment RequestClearing of Retentions./. Retentions Postings Seletion of required posting type Automatic deduction of defaultretentions and additional costwith the option to manuallychange Payments with FI standardtransactions or payment run Payments are autommaticallyassigned to the contractCorrections./. Additional Cost./. Guarantee RetentionContract Specifies link to Project andAcounts to be used Default retentions Default additional cost Verifications (e.g. Certificatesand validity)
    30. 30. SAP and SuccessFactorsBetter TogetherSAP and SuccessFactors – Better Together
    31. 31. © 2011 SAP AG. All rights reserved. 31ConfidentialProduct Direction across cloud & on-premiseSAP andSuccessFactors arecombiningSuccessFactorsBusiness Execution(BizX) suite with SAPofferings to provide themost comprehensiveand innovative HCMsolutions to themarket, benefittingexisting and prospectivecustomers.TalentManagementCore HRHCM Planning& AnalyticsOn-Premise/CloudIntegration
    32. 32. © 2011 SAP AG. All rights reserved. 32ConfidentialProduct Direction – Workforce Planning & AnalyticsWorkforce Analytics: Combination ofbest-in-class solutions• SAP HANA platform and solutionsfrom SAP Business Objects portfolio• Rich HCM content and benchmarkingdata from SuccessFactorsWorkforce Planning• SuccessFactors Workforce Planningis go-forward solution• Business Objects Strategic WorkforcePlanning: developmentwill be stopped
    33. 33. © 2011 SAP AG. All rights reserved. 33ConfidentialSAP is Committed to Listening to YouGet an early insight into SAP product plansInfluence the product developmentClosely collaborate in a structured approachduring the full development cycle at SAPNetwork with peers around one topic•-> Example: Building Information Modeling•-> Example :CPMSecurely exchange information in a clearlegal framework for customers and SAP
    34. 34. © 2011 SAP AG. All rights reserved. 34ConfidentialFinal Thoughts on Why To Choose SAP Solutions andPartnershipTop Solutions Sold to NON SAP ERPCustomers•Business Planning & Consolidation(BPC)•Business Intelligence•Business Objects – Reporting &Analytics•Sybase and Afaria for Mobility•CRM – Business Development•HCM and SSF - HR
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