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21st Century ERP
IT in the New World

February 17, 2010




Dan Wilhelms
President – Symmetry
Download the presentation recording with audio from the
           Symmetry Knowledge Center

         www.sym-corp.com/kn...
About Symmetry
  Symmetry delivers flexible, high quality solutions that help reduce the
  total cost of ownership and ena...
Introducing




              Dan Wilhelms
              President
              Symmetry Corporation
Agenda
  Challenges for IT in the 21st Century
  Yesterday’s Alternatives
  Today’s Opportunities
  A Call for Change –The...
Challenges for IT in the 21st Century
   IT no longer the darling business sector
      30 year love affair with IT ended ...
Challenges for IT in the 21st Century (con’t)
   Internal IT organizations are stressed
      Year 2000, 2002 and 2009 rec...
Changing Face of Internal SAP Staffing
  Original SAP implementation teams dispersed
     Moved back to business units
   ...
Challenges for IT in the 21st Century (con’t)
   IT integrators have ill-served the rapidly changing needs
   of their cli...
Challenges for IT in the 21st Century (con’t)
   IT integrators have ill-served the rapidly changing needs
   of their Cli...
Challenges for IT in the 21st Century (con’t)
   IT hosting vendors have been no better
     Defensive, SLA based service
...
Yesterday’s Alternatives
  Traditional options for SAP Support
      Internal support
          Limited head count
       ...
Yesterday’s Alternatives
   Traditional options for SAP support
      Offshore support
          Hourly rate is half of th...
SAP Customers Faced with a Dilemma
  Staffing an internal world-class SAP technical support
  organization is not feasible...
SAP Customers Faced with a Dilemma
  Out-sourcing or out-tasking to traditional IT vendors is
  not feasible
     Not cost...
Today’s Opportunities
  21st century connectivity
     Ubiquitous high speed, private wide area networking
     Costs plum...
Today’s Opportunities
  Complete abstraction of location and data access
     Software as a Service (SaaS or Cloud Computi...
A Call for Change
  The Manifesto for a 21st Century ERP service


 Support Quality = Access and Communication
        + A...
Access and Communication
  One-call access to a dedicated support team
    Dedicated resources know you and your systems
 ...
Access and Communication
  Backed by a deep & broad Community of Knowledge
    No single person can possess the deep techn...
Attitude
   Costs manageable and affordable for the client
      Leveraging client’s own resources and capabilities
      ...
Attitude
   Mostly fixed price fee structures
   Avoiding the blame game
      When a problem is solved in a timely manner...
Technical Skills
   “It takes a village” to run SAP
      No one person can possibly know all aspects of SAP
      Require...
A Business Approach to Managing SAP systems
  Personal, proactive management
     Dedicated day to day support specialists...
A Business Approach to Managing SAP systems
  Ad hoc advice
     E.g. “Our CFO talked about profitability analysis today. ...
The Hosting Option
  A true, 21st century SAP support services provider will also offer
  hosting
     Extend the partners...
Recipe for Winning ERP in the 21st Century
  Leverage 21st Century technology
     Reduce on-going IT infrastructure costs...
Recipe for Winning ERP in the 21st Century
  Achieve an optimal mix of internal and external support
     Internal, “serve...
Download the presentation recording with audio from the
           Symmetry Knowledge Center

         www.sym-corp.com/kn...
Dan Wilhelms
Email: dwilhelms@sym-corp.com
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21st Century ERP

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Join Dan Wilhelms, president of Symmetry Corporation, as he discusses a new business model for managing your outsourced SAP support.
Whether you have turned to outsourcing to augment in-house staffing or to take full control of your SAP environment, you have probably run up against the limitations of traditional support models.

There has always been a trade-off between access to support in a crisis, cost, and service quality.

•Domestic consultants on short term contracts are exorbitantly expensive, and still face challenges when it comes to knowledge gaps and accessibility. SAP is complicated and one person can’t be expected to know everything or be available 24 hours a day, 365 days of the year.•Time zone differences, call center queues, and the lack of knowledge transfer between new consultants as your support ticket "follows the sun" have earned off-shoring a reputation (whether deserved or not) of being the cheap and nasty alternative.
Communications and SAP related technologies have changed since these models were developed. Your budget has changed. So why haven’t your SAP support options changed?

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Transcript of "21st Century ERP"

  1. 1. 21st Century ERP IT in the New World February 17, 2010 Dan Wilhelms President – Symmetry
  2. 2. Download the presentation recording with audio from the Symmetry Knowledge Center www.sym-corp.com/knowledge-center
  3. 3. About Symmetry Symmetry delivers flexible, high quality solutions that help reduce the total cost of ownership and enable high-performing, secure, stable SAP environments Established in 1996 Based in Milwaukee, WI. Implementation Support 100% focus on SAP technology We provide lifecycle support for: Upgrades & SAP Certified Any SAP application Project s Hosting Any platform combination Symmetry offers an alternative to traditional support services: Quality Basis SAP Security Affordability Administration Accessibility
  4. 4. Introducing Dan Wilhelms President Symmetry Corporation
  5. 5. Agenda Challenges for IT in the 21st Century Yesterday’s Alternatives Today’s Opportunities A Call for Change –The Manifesto for 21st Century ERP service A New Definition of Quality Access and Communication Attitude Technical Skills A Business Approach to Managing SAP systems The Hosting Option Recipe for Winning ERP in the 21st Century
  6. 6. Challenges for IT in the 21st Century IT no longer the darling business sector 30 year love affair with IT ended badly Miracle initiatives became expensive boon doggles Y2K “Dot bomb era” Cost of maintaining existing applications exorbitant IT losing its strategic seat in the boardroom IT increasingly viewed as a cost center instead of the engine of competitive advantage Reduction in CIO positions IT moved under CFO as “administrative”
  7. 7. Challenges for IT in the 21st Century (con’t) Internal IT organizations are stressed Year 2000, 2002 and 2009 recessions saw IT staffing pared to a minimum Surviving IT staff Overwhelmed, under trained, under appreciated “Don’t come to management for money” Maintenance and upgrades deferred New initiatives scrutinized like never before No resources for driving innovation Distrust, animosity between IT and business units “My management told me to ‘just keep the lights on’ and we’ll start talking about projects next year”
  8. 8. Changing Face of Internal SAP Staffing Original SAP implementation teams dispersed Moved back to business units Moved on Original integrator gone - with pleasure “2nd generation” phenomena New to SAP – discovery that SAP isn’t just another app on the net Didn’t live through the original implementation Fighting the competency gap every day No preparation for the world of nuance and application specific knowledge needed for SAP “Our long time Basis admin retired. We’re trying to cross train our networking guy into SAP, but there’s a lot to learn”
  9. 9. Challenges for IT in the 21st Century (con’t) IT integrators have ill-served the rapidly changing needs of their clients Clinging to traditional full-time, on-site time & materials consulting Resume and a rate Market flooded by contractors competing mostly on price Lack of accountability – caveat emptor Fraud of empowerment
  10. 10. Challenges for IT in the 21st Century (con’t) IT integrators have ill-served the rapidly changing needs of their Clients SAP integrator solutions in reality a cobbled up mix of: Brokered-in, lowest bidder independent contractors Project Managers more focused on margins than results Untenable mixes of on-site and off-shore resourcing Unrealistic timeframes and deliverables Liberal overage charges – project overruns “Our integrator had a Basis consultant on-site for 6 months. Our systems were a mess and there were constant communications issues. We couldn’t wait for them to leave”
  11. 11. Challenges for IT in the 21st Century (con’t) IT hosting vendors have been no better Defensive, SLA based service Focus on minimal performance objectives Reactive, trouble-ticket based service “We’ll fix it after its broken” Endless nickel & dime incremental charges You pay for escalations Impersonal, luck of the draw support A new stranger every 8 hours in far flung call centers Death by change control Inflexible, single speed responsiveness - slow
  12. 12. Yesterday’s Alternatives Traditional options for SAP Support Internal support Limited head count Limited breadth of knowledge Human limitations – turn-over, sick leave, vacations, etc Fighting the competency gap every day Domestic integrators On-going operational support a sideline, at best Original consultants moved on Support provided “When I get back to my hotel” No business model for effective internal escalation Expensive, hourly rate based “If it’s not a full time, 6 month, on-site consulting engagement, my integrator doesn’t want to talk to me”
  13. 13. Yesterday’s Alternatives Traditional options for SAP support Offshore support Hourly rate is half of the equation Language, time zone and continuity of care issues Hosting vendors Non-SAP centric – “We’ll support any app!” Shared infrastructure means compromised service Pricing models out of date with modern technology “My management sees ½ the hourly rate, but I see the job taking at least twice as long with twice the hassle. Where’s the win?”
  14. 14. SAP Customers Faced with a Dilemma Staffing an internal world-class SAP technical support organization is not feasible Especially for SME’s, expecting 24 x 7 coverage from a lone, 8 x 5 SAP administrator is not viable Burn-out Competition for employment Lack of expertise in best practices for SAP administration Developing broad, deep internal expertise on all facets for SAP Management bandwidth for overseeing arcane SAP technical operations Competence, time commitment, hassle factor SAP technical (Basis) administrators too often high maintenance, prima donnas
  15. 15. SAP Customers Faced with a Dilemma Out-sourcing or out-tasking to traditional IT vendors is not feasible Not cost effective Support from far flung strangers problematic at best Lack of continuity in a crisis Endless incremental charges “We were down. Our users were up in arms. And every few hours I had to re-explain our issue and re-establish connectivity to yet another stranger”
  16. 16. Today’s Opportunities 21st century connectivity Ubiquitous high speed, private wide area networking Costs plummeting Server and infrastructure technology better, faster, cheaper SAP servers half the the cost twice the performance of just 3 years ago Redundancy and embedded fail-over baked-in Everything moving to common browser interface Apps on demand Access anywhere, no longer tied to the desktop PC
  17. 17. Today’s Opportunities Complete abstraction of location and data access Software as a Service (SaaS or Cloud Computing) Seamless access to remote support Fractional ownership of a world-class team Reduces the need for travel 24x7 proactive monitoring services
  18. 18. A Call for Change The Manifesto for a 21st Century ERP service Support Quality = Access and Communication + Attitude + Technical Expertise
  19. 19. Access and Communication One-call access to a dedicated support team Dedicated resources know you and your systems Day to day personal interaction No walls – direct access to dedicated resources via cell phone and home phone number Support becomes personal US Based Common time zones Language Cultural context
  20. 20. Access and Communication Backed by a deep & broad Community of Knowledge No single person can possess the deep technical knowledge required to solve every issue Ideal arrangement has the primary support specialist linked to a larger group of full-time SAP experts Tightly knit support teams Business model to support fluid, seamless escalations Day to day intimacy with instant access to experts in the broad range of SAP technology 24x7 coverage gets personal Instant person-to-person, 24x7 access to dedicated support Allows for continuity of care – constant, consistent contact with the dedicated team saves time and money No random assignment of support calls
  21. 21. Attitude Costs manageable and affordable for the client Leveraging client’s own resources and capabilities Contracts allow for flexibility, a spirit of give and take Every support call should not be a cost/benefit dilemma Instantaneous access to deep expertise Optimal leveraging of all resources available Avoid the “you do it or we do it” mentality Escalation to senior resources included in flat monthly fees Partnership that creates a win-win situation Mutual focus on optimally running systems, not roles or responsibilities Client and service provider agree on: Objectives, deliverables, schedule and terms
  22. 22. Attitude Mostly fixed price fee structures Avoiding the blame game When a problem is solved in a timely manner, at no incremental cost, there is very little left to argue about Spirit of give and take to mutual satisfaction Client receives good value for the cost Vendor makes a fair profit Knowledge and understanding of your systems and business grow over time
  23. 23. Technical Skills “It takes a village” to run SAP No one person can possibly know all aspects of SAP Requires a coordinated team with complimentary and over lapping specialties The support organization must have experienced consultants on staff and available Collective knowledge of every aspect of SAP functionality and operations In-depth knowledge of SAP applications and their business use is an absolute necessity Must keep up with the constant changes and updates to the technology
  24. 24. A Business Approach to Managing SAP systems Personal, proactive management Dedicated day to day support specialists Daily health check assessments supported by comprehensive automated monitoring Dedicated Client Manager overseeing operations Direct dial to primary support – individual cell phone, home phone numbers Integral access to a world-class SAP technical support organization Organizational and contractual model to enable rapid escalation to specialized expertise Managed repository of best practices and lessons learned Clear focus on SAP, not “we support anything” Large dedicated team with specialized expertise in nearly all aspects of SAP technical operations
  25. 25. A Business Approach to Managing SAP systems Ad hoc advice E.g. “Our CFO talked about profitability analysis today. What’s it take to implement SAP’s Business Intelligence application?” Access to Client Managers who oversee several SAP projects – broad perspective Become a trusted advisor on strategic directions Strategic insight Knowledge gained from large client base actively managed and shared for benefit of all clients. Cost of discovery mitigated – Best practices and lessons learned by one benefits all – business processes in place to insure dissemination Productized service offerings – don’t have to reinvent the wheel
  26. 26. The Hosting Option A true, 21st century SAP support services provider will also offer hosting Extend the partnership to the entire technology stack Providing a complete, seamless solution and accountability True understanding Because the provider understands the art and science of managing SAP environments Delivers a level of excellence that comes with a singular focus Outstanding service and security Offers a safe location Redundancy Resources and approaches to provide the client with the best configuration Availability and cost to meeting specific needs
  27. 27. Recipe for Winning ERP in the 21st Century Leverage 21st Century technology Reduce on-going IT infrastructure costs Increase systems performance Reduce cost per transaction IT support costs Partner with 21st Century ERP service providers Easy to do business with Pragmatic, flexible, “there when you need it” support Cost effective “no surprises” fee structures Win-win fixed pricing Exceed client expectations Not merely live up to SLA Synergistic, not adversarial relationship Growing knowledge and understanding of your systems and business Shared focus on achieving the results
  28. 28. Recipe for Winning ERP in the 21st Century Achieve an optimal mix of internal and external support Internal, “serve the business” customer facing support Deep out-sourced expertise in back end SAP technical operations Convert more IT budget dollars from keeping the lights on to supporting more business innovation
  29. 29. Download the presentation recording with audio from the Symmetry Knowledge Center www.sym-corp.com/knowledge-center
  30. 30. Dan Wilhelms Email: dwilhelms@sym-corp.com
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