5 Game Changers Propelling SAP to the Billion User Mark

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Today, SAP reaches around 500 million users, and less than 20% of new license revenue is derived from the SAP ecosystem. Contrast this with SAP’s 2015 vision of one billion users and an ecosystem that …

Today, SAP reaches around 500 million users, and less than 20% of new license revenue is derived from the SAP ecosystem. Contrast this with SAP’s 2015 vision of one billion users and an ecosystem that generates 40% of new license sales, and you have the recipe for some BHAG: Big, Hairy, Audacious Goals. So how will SAP get there?

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  • 1. S-1SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comToday, SAP reaches around 500 million users, andless than 20% of new license revenue is derivedfrom the SAP ecosystem. Contrast this with SAP’s 2015vision of one billion users and an ecosystem that generates40% of new license sales, and you have the recipe for someBHAG: Big, Hairy, Audacious Goals. So how will SAP get there? SAP’s fastest growing and largest segment today is businessanalytics (see Figure 1 on the next page), and there are nohurdles in sight to alter this trajectory. But ask SAP’s KurtBilafer, who heads up the business analytics ecosystem andchannel, and he’ll tell you that the real cause for excitement isthat business analytics is driving entirely new ways of doingbusiness for customers. He also suggests that the most inter-esting and compelling innovations will come from collaborat-ing with the partner community. He points to examples ofinstantaneous fraud analytics, accelerated clinical trial analysisfor new drugs, and real-time information anywhere, any time— and he asserts that the best is still yet to come. Our interview with Bilafer offered five surprising statisticsabout the industry game changers coming out of the SAPbusiness analytics ecosystem — and how they impact bothcustomers and SAP’s ascent to the billion-user mark. ThisSAPinsider special report begins with excerpts from that con-versation, followed by insights from partners who have beeninstrumental in revolutionizing the business analytics marketspace and ensuring that their joint customers continue toderive significant value from SAP solutions.5Game ChangersPropelling SAP tothe Billion-User MarkKurt J. BilaferGlobal Vice PresidentBusiness Analytics & TechnologyEcosystem & Channel GroupSAPS-5 Deloitte Consulting: Navigating the Ever-Changing World ofBusiness Intelligence and AnalyticsS-8 Ernst & Young: How the CFO of the Future Will Raise anEnterprise’s IntelligenceS-10 Software AG: Intelligently Optimize Your Planning ProcessesS-11 Accenture: Be Gone, Disparate SolutionsS-12 SEEBURGER AG: Large File Transfers:A Loophole in YourData Security StrategyS-13 CSI Netherlands: A One-Stop Shop for Gaining andMaintaining ControlS-14 Oversight Systems: Stop Fraud Before It Happens withReal-Time AnalyticsS-15 Deloitte Consulting: A New Weapon in the LiquidityManagement FightS-16 Column5 Consulting: 5 Best Practices to Get the Most Outof Your EPM ImplementationS-17 Fujitsu: SAP HANA: Unleash the Potential to Ask theRight QuestionsS-18 Infosys: How to Get the Most Out of Your SAP HANA InitiativeS-19 Utopia: 5 Common Data Migration PitfallsS-20 Tieto: Enterprise Mobile Enablement: 4 Expert Considerationsfor Going MobileS-21 Capgemini: Change the Game with Mobile AnalyticsS-22 T-Systems International: Unlock the Full Potential of SaaSS-24 Dolphin: Can You Win the War Against Data Volume Growth?S-25 HP: An Environment “Bursting” with CapacityS-26 Symmetry Corporation: The Changing Face of the CloudDownload this special report at sapinsider.wispubs.comINSIDE THIS SPECIAL REPORT
  • 2. S-2BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comFor the past 30 years, SAP has built solutions in which customers capture and count business transactions. In these systems of record, youcapture who bought what when. Business analytics are a new class of solutions. These are your systems of engagement.1Through theseanalytic capabilities, you can engage with your data to make intelligent decisions.CollaborationData Sources Analytic Capabilities AccessBusinessintelligenceEnterpriseperformancemanagementEnterpriseinformationmanagementGovernance,risk, andcomplianceDatawarehousingAnalyticapplicationsFIGURE 1 u Businessanalytics solutionsfrom SAPAnalytic capabilities Role within SAP’s business analytics portfolioBusiness intelligence (BI) SAP BusinessObjects BI solutions empower teams to achieve remarkable results by providing anyone in the organization with self-serviceaccess to relevant information and by helping business users transform their decision making by providing fact-based, quality informationregardless of where the data resides.Enterprise informationmanagement (EIM)Business users need accurate, up-to-date information to successfully do their jobs. EIM solutions from SAP help companies set clear EIMstrategies for managing structured and unstructured data used in operational applications, data warehouses, BI, and analytics.Data warehousing (DW) DW solutions from SAP provide flexible data foundations to support organizations looking for enterprise-wide data warehouses or moreagile, high-performance data marts. The goal is to lower IT costs and implementation times while enabling analysis of any businessquestions needed by business users across the company.Enterprise performancemanagement (EPM)SAP BusinessObjects EPM solutions close the gap between strategy and execution by cascading corporate goals into department-relevantmetrics, ensuring accountability, enabling reporting and analysis, and streamlining execution of strategy-guided and risk-aware plans.Governance, risk, andcompliance (GRC)SAP BusinessObjects GRC solutions provide continuous monitoring of key risk indicators and compliance effectiveness, businessprocesses, and IT infrastructures that align risks and compliance programs to strategy.Analytic applications SAP BusinessObjects analytic applications tackle a diverse set of industry-specific issues confronted today by professionals in a varietyof disciplines, including finance, sales, risk management, operations, patient care, strategic planning, customer retention, and militaryplanning. Analytic solutions can be deployed in as little as six weeks, work with both SAP and heterogeneous enterprise applications anddata sources, and are co-innovated with customers and partners to leverage proven industry best practices.These applications work as readily on a phone or tablet as they do on a desktop or laptop. SAP is also making them available via the cloud, soif a company wants to share data with a partner that sits outside its firewall, it doesn’t have to send a spreadsheet. Authorized parties can useSAP BusinessObjects BI OnDemand and SAP StreamWork to access and collaborate with data that otherwise would only be reachable insidethe firewall. Bilafer refers to this as the “consumerization of IT.” You can access what you want your way.1 To learn more about the systems of engagement concept, see Stephanie Buscemi’s article on page 30 of this October-December 2011 issue of SAPinsider (sapinsider.wispubs.com).Access methods Use case for business analyticsCloud computing Leverage your SAP investment and extend your insight to customers and business partners immediately, without an IT project. Optionally,securely manage your cloud environment at an enterprise level by managing it as an IT (cloud or hybrid) project.Mobility With the acquisition of Sybase, we now offer a complete enterprise mobility stack: business processes, mobile platform, developmenttools, and mobile applications. Delivering mission-critical capabilities to core mobile users and instant value to occasional users, SAP andSybase offer a wide range of mobile applications and underlying infrastructure — with unmatched integration to SAP systems — forsecure access to business processes anytime, anywhere, and on any device.
  • 3. SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSS-3Reproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comAnew wave of innovation at SAP has foreverchanged the way people will interact with SAPsolutions. Users won’t be tethered to a desk or even alaptop. Managers will review sales and forecast informa-tion from mobile apps. They’ll place and approve cus-tomer orders from the field. They’ll have Google-likesearch capabilities across reams of data, and searchresults will be rendered instantaneously. But mostimportantly, given an unprecedented initiative by SAPto co-innovate with its partners, the very applicationspeople will be using will be revolutionary, solving busi-ness problems in ways that were previously not possible.5 Ways the Business AnalyticsEcosystem Will Change theGame for SAP Users1. Big data. Look at SAP HANA, one of our in-memorysolutions. The real value of SAP HANA isn’t just that youget data findings faster; the value is that you’re solvingbusiness problems that could not even be addressedbefore. One technology partner, Oversight Systems (fea-tured in this special report), is leveraging SAP HANA todeliver real-time fraud analytics. At the point of sale, acredit card can be analyzed for improper usage andapproved or declined in the time it takes to swipe thecard. This requires analysis of huge amounts of data inreal time. With SAP HANA technology and OversightSystems’ decade of fraud analysis expertise, the solutionis now a reality. This is a great demonstration of thepower of “big data” converging with real-time analytics.The combination provides a solution that before seemedeconomically inconceivable. We’re also co-innovating with a partner that workswith life sciences companies to take drug developmentdata through its phase-one trial. Aggregating and analyz-ing this massive volume of data has historically been themost laborious and expensive part of the process. EnterSAP HANA. With the data volumes in SAP HANA, thesecompanies can slice and dice drug trial data any way theylike — by gender, age, or similarities and disparitiesamong patients who have responded well or poorly tothe drug. They can readily evaluate and analyze the datauntil they get the testing nailed down. In this way, a pro-cess that typically takes 18 months is reduced to just sixor seven weeks. Again, this isn’t some far-off future. Wehave life sciences companies that are using this today.These partner-fueled industry game changers are one ofthe ways that we will get to one billion users. 2. Consumerization of IT. Co-innovation with part-ners on the consumer front is another way we will getto one billion users. Imagine empowering average citi-zens to use state-of-the-art business analytic solutionsto review government-provided data sets — like thepublic use of Recovery Act funds, for example. Peoplecould then use these tools to identify and report abuse. Or another use case: Of course, one of the leaders inthe consumerization of IT has been Google. SAP is co-innovating with Google to leverage the familiar GoogleMaps functionality within SAP applications. SAP’smore than 10,000 developers can now incorporateGoogle Maps functionality — a cloud-based third-partytechnology — into our core functionality. And in yet another example, a quick visit to www.experiencesap.com will show you how everyday peo-ple can use SAP business analytics offerings to mineMLB, NFL, NHL, and even USTA player statistics — forfantasy sports analysis, for instance. 3. The fast and the furious. Information on the go— the beloved wherever, whenever mantra — hasbecome the new norm. We are always trying to makethe most effective use of our“down time.”Working withpartners, SAP solutions are fast and furiously all becom-ing accessible from mobile devices and the cloud. AtSAP, we have already partnered with our ecosystem tobring mobile solutions to market that leverage thenative capabilities of a specific device (see sidebar). Andon the cloud front, we already offer SAP Business-Objects Business Intelligence (BI) OnDemand and theSAP + Partners = Mobile Business IntelligenceWhile SAP continues to develop and release new mobile BI solutions, werealize that mobilizing business intelligence is not just about the software— it’s also about developing solutions that take advantage of a device’snative capabilities. To do that successfully, we have worked closely withthe various mobile device makers. For example, SAP has partnered withResearch in Motion (RIM) to allow users of the RIM PlayBook to easily drilldown into executive dashboards from SAP on the PlayBook through afamiliar user interface. SAP has also worked with Apple to optimize ourSAP BusinessObjects Web Intelligence reports for the Apple iOS platform,leveraging the unique native capabilities of Apple mobile devices. Othernew mobile BI solutions for SAP customers include:ƒƒ SAP BusinessObjects Mobile BI (for various devices and operating systems)ƒƒ SAP BusinessObjects Explorer Mobileƒƒ SAP BusinessObjects Exploration Views (a briefing book-style viewof SAP Business Explorer reports, optimized for a specific device oroperating system)
  • 4. S-4BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comcollaboration application SAP StreamWork, two cloud-based solutions that are delivering tremendous value tovirtual teams of customers, partners, and employees, allworking on a common problem. We will see even moreinnovation on the mobility and cloud fronts as cus-tomer demand matures. 4. Content is king. Providing substantive and highlytargeted content — such as regulatory updates, busi-ness KPIs, and industry and line-of-business best prac-tices — is another innovation that hails from thebusiness analytics partner community and is expandingthe adoption of SAP solutions. Content providersaround our GRC solutions are a great example. Forinstance, if you’re a utilities company, the ever-presentFERC and NERC laws are of keen interest to you. Tohelp, we have partners that provide content directlyrelated to these regulations. We also have partnersthat cater to oil and gas companies to identify andquantify risks associated with drilling. And the listgoes on and on. But even general users of an application like SAPCustomer Relationship Management (SAP CRM) ben-efit from partner content. For example, we’re seeing alot of partners build content on common sales and mar-keting reports that a CRM customer might generate,enabling them to better quantify, qualify, and describetheir sales pipeline from a metrics standpoint. And the way that a finance or operations executivelooks at opportunities and risk requires yet anothertype of content, so content is also available for CFOsand supply chain executives. One partner may havethe top 20 key risk indicators in supply chain manage-ment — and it’s not just things like“what’s your inven-tory level,” but more specific information, like “theseare your top 10 parts, and only one manufacturer isproviding all of them.” These examples — of building up our content librar-ies, rules and regulations reporting, and key perfor-mance indicators — represent another wave that canhelp SAP reach the billion-user mark. 5. One-stop shopping. Lastly, all business analyticapplications are within easy reach of any customer. Youwant business analytic applications to be as accessibleas music and apps are from the Apple Store, and theyare. You can find the solutions I’ve been describingthrough SAP EcoHub’s “Business Analytics Market-place” (see Figure 2). We’ll also be launching market-places for mobility and SAP HANA soon. All of this new co-innovation that SAP and our part-ners are bringing to the market isn’t about a simpletechnology upgrade. These are game changers. As SAPcontinues to innovate foundational technologies thatstreamline and reduce your cost of doing business,we’ve doubled down on our commitment to partners.In turn, we’re seeing unprecedented levels of partnerengagement. Look now for partners to be not onlyimplementers and resellers of SAP solutions, but co-innovators from which the most compelling and excit-ing solutions hail. To learn more about SAP’s innovative approach tobusiness analytics, visit our blogs at http://blogs.sap.com/analytics/ and www.the-decisionfactor.com/.You can also follow me on Twitter @bilafer. nFIGURE 2 qSAP’sBusiness AnalyticsMarketplace atSAP EcoHub: http://ecohub.sdn.sap.com/analytics
  • 5. S-5SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comLee A. DittmarPrincipalDeloitte Consulting LLP;National Sales LeaderDeloitte AnalyticsNavigating the Ever-Changing World ofBusiness Intelligence and AnalyticsCompanies all over the world are making analyticsa priority. They’ve realized the growing impor-tance of being able to collect, analyze, and disseminateinformation to the right people within the organiza-tion, in the right place, and at the right time. While this pressing need for business intelligence(BI) is not new, what is happening today with regardsto data, information, analytics, and mobility is nothingshort of revolutionary. There is a convergence of forcesand factors driving the interest in and demand forimproved analytic capabilities. These include an explo-sive growth in data volumes, aggressive regulatoryenvironments, the pervasive search for profitablegrowth opportunities, a multitude of new data sources,including various social media channels, and the needto uncover hidden insights that are critically impor-tant to setting corporate strategies and making betterbusiness decisions.An Increasing Need for AnalyticsThe need for analytic insights and foresight is greaterthan it has ever been. The speed at which decisionsneed to be made is ever-increasing, and, before theycan make these decisions, businesses have to considerthe entire ecosystem in which they exist, includingsocial, economic, environmental, and political cur-rents that might once have been outside of their pur-view. All of these factors put business analytics in thecenter of the action today. Meanwhile, the variety andnumber of data sources have changed greatly, evenjust over the past few years. The old approaches andold tools for collecting and analyzing data just aren’tup to the job anymore. Yet many companies continue to operate with out-dated capabilities that simply cannot provide the nec-essary, basic, timely feedback on their speed, direction,and other critical indicators — they are like airplaneswith outmoded equipment, flying blindly in the sky.For instance, many businesses don’t have insight intotheir operating and financial performance until longafter they close the books and, even then, they oftenhave doubts about the accuracy and usefulness of thishistoric information. A number of them don’t haveinformation about key performance metrics, includinggovernance, risk, and compliance (GRC) parameters,until it is too late for the information to be actionable.The bottom line: The accuracy, timeliness, reliability,and transparency of information and analytic capabili-ties are often not where they should be.Overcoming Barriers in the Shift fromConcept to ActionMany organizations are still in the early stages oftheir journey toward developing fact-based cultures;they’re working to put in place new capabilities thatwill effectively and efficiently turn data into new,insightful information. They are seeking to movefrom concept to action, butneed to first overcome bothreal and perceived barriers. Most business leadersunderstand the inherent valueof using high-quality informa-tion and analytic insights toimprove operations and drivebetter, smarter decisions. Buteven when there is recognitionof this potential, many compa-nies continue to fall short ofachieving the capabilities theywant and need. Some talk agood game, but when you look deep inside their orga-nization, you find business users who still struggle toget the information they need to do their jobs. Other companies spend so much time gatheringdata that they have little time to perform any realanalysis. Lacking the level of information manage-ment automation and the analytics tools they desire,these companies make do with manual processes andfragmented solutions, working outside of the existingenterprise systems. Sure, you’ll find pockets of analyt-ics innovation in some of these ad hoc informationWhile this pressing need forbusiness intelligence is not new,what is happening today withregards to data, information,analytics, and mobility is nothingshort of revolutionary.BusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingMobilityCloudcomputing
  • 6. S-6BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comgathering solutions, but what you mostly see is anarmy of spreadsheets marching inexorably towardthe edge of data overload. So, why is this happening when the benefits ofimproved information management and enhancedanalytics capabilities seem clear? Deloitte has identi-fied a variety of barriers that companies are facingwhen trying to become more proficient with analyt-ics across the enterprise:1. Lack of a compelling business case2. Concerns about the quality of data3. Organizational silos4. Insufficient executive sponsorship5. Acceptance of the current state Overcoming these and any other barriers is essen-tial for a company to be able to shift into action andbuild momentum to achieve the benefits of betterinformation and enhanced analytics. The businesscases can be made — experience shows that the bestanalytics investments are actually self-funding. Con-cerns about data quality, while often justified, are typi-cally addressable andsometimes serve merelyas excuses for not movingforward.Leadership itself is thekey ingredient to movingforward, overcoming theinertia of silos, motivatingthe team, and setting thevision for the future.When leaders are tenta-tive or provide less-than-enthusiastic support,it may be because the justificationsfor moving forward are not specific enough or are mud-dled in jargon or technology-speak. This is an areawhere Deloitte is often called upon to provide assis-tance, helping to develop business cases for analyticsand gain leadership alignment. We’ve found that clarity— on both the potential opportunities of setting upbetter business analytics and the risks of not acting — isessential.The Technology You Need to MeetYour Challenges Head OnThe good news is that once you have overcome thesebarriers, the technology exists to help your businesstake advantage of the growing opportunities andaddress any emerging challenges. For instance,Deloitte is working closely with SAP to develop anddeliver new analytic capabilities and information solu-tions for leading companies and public entities. Thelevel of activity around the entire portfolio of SAP’srange of business analytics offerings is broad. Our cli-ents are investing in new capabilities across the spec-trum, including solutions for:ƒƒ Planningƒƒ Reportingƒƒ Dashboardsƒƒ Visualizationƒƒ Data explorationƒƒ Enterprise BI platformsƒƒ Mobilityƒƒ Advanced analytics Not only does technology exist to meet these busi-ness demands, but it is progressing relatively quickly.Among the key drivers for taking action now are sig-nificant advances in computing power and analyticstools that together enable new capabilities that werenot possible even a short time ago. Many leadingorganizations are realizing that the possibilities arevirtually endless. These new solutions allow compa-nies to tackle the challenges and grab the opportuni-ties of increased data volumes, myriad new sources,an explosion of mobile devices, and the ever increas-ing demand for information at Internet speed. Let’stake a look at two specific examples of such technol-ogy offerings.Advances in Data Analytics: SAP HANASAP’s new high-performance analytic appliance, SAPHANA, is a major development in the changing worldof data management, computing power, and applica-tion performance. SAP HANA leverages an in-mem-ory, columnar data store and massive parallelprocessing that allow for fast response times withextremely large data volumes. The potential value ofSAP HANA is substantial, with early pilots showingthat queries and reports scouring 450 billion recordscould be executed in a few seconds. Deloitte is heavily involved in early SAP HANAproofs of concept, pilots, and strategy development,and we believe that SAP HANA is poised to be aWhen developing a business casefor analytics, we’ve found thatclarity — on both the potentialopportunities of setting up betterbusiness analytics and the risks ofnot acting — is essential.
  • 7. SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSS-7Reproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comkey part of the future-state architecture for SAP cli-ents. The roadmap and plans for SAP HANA willlikely have major implications for most SAP custom-ers in borh the near term and and the long term.Deloitte has been working with SAP HANA at clientsites and in its own innovation centers.Mobile Technology: A Game ChangerBusiness analytics is further developing with the dawnof mobility. Before tablets and new mobile operatingsystems hit the market, applying analytics in a mobileenvironment usually meant finding ways to portspreadsheets to a smartphone.  Now, consumers and business users have becomeaccustomed to exploring information in surprising,remarkably intuitive ways. Visualization is quicklymoving beyond simple, reporting-focused charts andgraphs, becoming multidimensional, interactive, anda lot more flexible. Business users now expect access to the same typesof intuitive mobile applications that they use on theirown wireless devices. They’re clamoring for more met-rics on virtually anything you can imagine measuring— supply chains, products, HR information, you nameit. Soon, mobile access to analytics won’t simply be theopening act. It will be the main event. For business leaders, the heat is on to find ways toget the most long-term business value from mobilitywhile delivering results very quickly. Leading prac-tices in mobile analytics lend themselves to timelyimplementation; successful mobile applicationsfocus on discrete, task-level activities rather thanlong, complex processes. For analytics to succeed in amobile environment, functionality has to be brokeninto these types of granular chunks. That means busi-nesses can and should start small by identifying areasthat can deliver the most value quickly and expand-ing from there. Deloitte Services Can Help Navigatethe Changing World of AnalyticsThe many changes in the world of BI and analyticscan seem daunting, but companies don’t have to takethem on alone. Deloitte can help your company tobetter use analytics in its efforts to drive businessstrategy and performance. Deloitte’s services include a range of approachesand solutions, from looking backward to evaluatewhat happened in the past, to looking forward toscenario planning and predictive modeling. DeloitteAnalytics Services span all functions and domains toaddress a continuum of opportunities in informationmanagement, performance optimization, and analyticinsights (see sidebar above). We also provide skilled staff, deep sector knowledge,and the experience of working with analytics acrossvarious industries and mediums. To help companiesthat are just getting started with their business analyt-ics initiatives or are assessing where and how improvedanalytics can benefit their business, Deloitte offersworkshops and demonstrations, both on-site or in ournew Deloitte Analytics Innovation Center. To learn more about Deloitte’s services, visit us atwww.deloitte.com/deloitteanalytics, http://itunes.apple.com/us/book/crunchy-questions-for-sticky/id442976970?mt=11, or contact us directly at SAP@deloitte.com. nSoon, mobile access to analyticswon’t simply be the opening act.It will be the main event.Deloitte Analytics Services At a GlanceDeloitte Analytics Services span a wide variety of functions and domains,providing services that cover:ƒƒ Advisory Analytics: An advisory analytics engagement deliversfocused services to help clients develop an analytics approach to sup-port a specific business strategy or initiative.ƒƒ Transformational Analytics: In a transformational analytics engage-ment, Deloitte helps clients design and implement an enterprise solu-tion to enable analytics at their organization.ƒƒ Managed Analytics: In a managed analytics engagement, consul-tants provide both outsourced analytics services and a platform foranalytics that draws on Deloitte’s Application Management Servicescapabilities.ƒƒ Subscription Analytics: This is a subscription-based analytics servicein which Deloitte delivers analytical scoring and results to the client ona periodic basis.
  • 8. S-8BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingHow the CFO of the Future WillRaise an Enterprise’s IntelligenceAndrew RusnakPrincipal,AmericasAdvisory EnterpriseIntelligence LeaderErnst & YoungConsider this example: The CFO of a global For-tune 500 company is brought on to regain hiscompany’s pre-crisis valuation following a decrease inthe company’s share value. The biggest strategic deci-sion the CFO must make — in less than two weeks —is whether or not the company should enter into amerger with a competitor. Market analysts firmlybelieve that a deal should be made and have evenpublicly endorsed the merger. However, by carefully examining the real-timeinformation of key performance indicators — includ-ing factors like revenue growth, cash flow, opera-tional efficiency, and cost cuts — and by creating aseries of scenario plans for the future, the CFO is ableto determine that the deal will not make his com-pany stronger. The CFO then makes what outwardlyseems to be a counterintuitive decision: He turns hisback on the merger. This decision later turns out tobe a major one for the company. In the followingyear, the company outperforms projections andindustry peers by more than 8%. So how did this CFO know what others in the mar-ket did not? He analyzed and listened to what hiscompany’s data said, and he made his decision basedon cold, hard facts. This is the CFO of the future. Bygrafting business analytics onto everyday perfor-mance, this CFO works more efficiently and with fargreater strategic insight. He sees the company in itsentirety and analyzes relationships between data inmore ways than were traditionally considered possi-ble. This CFO possesses what Ernst & Young terms“enterprise intelligence” (see sidebar).A Deeper Understanding forKey EmployeesThe potential for enterprise intelligence is here, now.The emergence of “big data” — data sets so large insize that they become difficult to collect and consume— has changed the business landscape. CFOs nowhave access to large volumes of both structured andunstructured data, as well as the technology needed totransform this information into timely, actionablebusiness insight. Enterprise intelligence allows the CFO — and theentire C-suite for that matter — to see the organiza-tion in an entirely new way. It creates a deep connec-tion within all aspects of the company. But the realpayoff comes when the whole company adopts newmanagement skills and new ways of working with dataand technology so that every level of the organizationbecomes smarter. Harnessing analytics tools not only serves to improvethe company’s performance, it also elevates the role ofthe CFO and the entire finance team. Additionally,such tools enable employees at all levels of an organiza-tion to collaborate more efficiently through a stronger,more direct connection with the markets and custom-ers that the organization serves by identifying changesin behavior and amplifying opportunities to betterserve customers. In addition, effective use of analytics helps to“de-layer”the organization and enables more effectivecommunication across the enterprise. Key employees,like the CFO, can then build a deeper understandingof the firm’s key strategies and greatest growth initia-tive, and can work to further them.Do You Possess Enterprise Intelligence?Enterprise intelligence focuses on the innovative application ofanalytic insight, enterprise planning, and leading-class monitoringto accelerate the achievement of business objectives. It’s all aboutintegrating data management and analytic applications, includingbusiness intelligence (BI), information strategy, and enterprise perfor-mance management (EPM) solutions to align a company’s businessobjectives with important performance risk and quality drivers toprovide an encompassing view of the enterprise.
  • 9. SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSS-9Reproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comThe Game-Changing CFOConsider another example: The CFO of a Fortune 50consumer products company embedded analytics-driven decision making into all of his key decisions togenerate greater returns. This CFO was then tasked bya new CEO to create a strategy to move the companyto more standardized, harmonized, and simplified pro-cesses globally and to create a single, integrated plan-ning platform. The CFO defined key strategic drivers,created an executive dashboard, and developed keylinkages to the planning process (see Figure 1). TheCFO then redesigned the planning process by:ƒƒ Moving from monthly to quarterly forecastsƒƒ Separating operational and financial planningƒƒ Using historic data to create plans at the productfamily level that can be pushed across the entire firmƒƒ Implementing sensitivity analysis The improved global system for planning andreporting drove consistency, accuracy, and cost reduc-tions across the entire enterprise. It also led to greaterbusiness insight and business improvement. The newsystem significantly reduced planning cycle time andincreased the organization’s ability to analyze infor-mation and react to change.The Race Is OnWith business analytics, the CFO gains access to aclear view of the enterprise as a whole, giving thatCFO, as well as other key players in the business, anew ability to ask the right questions, get immediateanswers that are based on real-time informationfrom every corner of the company, and consolidatethose insights to make truly game-changing deci-sions. The race is on. This is a market that demandspeak performance, every second of every day. And itis up to the CFO of the future to play a critical role increating that peak performance. For more information about enterprise intelligence,the CFO of the future, and how Ernst & Young canhelp SAP customers get ahead of this trend, visitwww.ey.com. nWhat Can Enterprise Intelligence Do for You?ƒƒ Improve the quality and speed of decision making through robustperformance management applications and analyticsƒƒ Enhance decision making by delivering a consistent and reliable infor-mation management and governance structureƒƒ Enables you to implement tactics and strategies as defined by drivertrees and key strategic metricsƒƒ Enable you to see your business differently, thereby allowing you toimprove business performanceFIGURE 1 t Anexecutive dashboardcan give C-levelmanagers crucial“what-if” insightinto their business,such as the impact ofchanging key driverson net sales, costsof goods sold, andoperating expenses
  • 10. S-10BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingIntelligently Optimize YourPlanning ProcessesSuccess Requires Looking Beyond Just the Technical ConsiderationsJens EchtermeyerVice PresidentSolution Unit BISoftware AGPeter EggertManagerSolution Unit BISoftware AGRobert SchnittSenior ConsultantSolution Unit BISoftware AGCompanies working to improve organizationalalignment by implementing integrated businessplanning have typically relied on business intelligence(BI) tools to support their projects. In the past, how-ever, when companies implemented such BI-supportedplanning processes, the focus was often solely on thetechnical tools that would be involved. Of course, planning out the technical side of things isimportant. But too often companies overlook the busi-ness side of things, neglecting to figure out how thetechnology will support their core business processes.To help close this gap, companies should consider thefollowing steps.First, Identify What Business ProcessesNeed ImprovementOne of the essential factors for a successful planningprocess optimization effort is to focus more heavily onthe business side of the project. Leaving the technicalaspects aside, a deeper look into a company’s businessprocesses can generate valuable information aboutwhich processes really need improvement. Normally, organizational constraints, such as a lackof time and resources, do not allow organizations toconduct regular“lessons learned”workshops to uncovermission-critical process improvements. However, takingthe time to do this will not only ultimately improve acompany’s business processes, but can also help answerthe more technical question of what planning processwithin the company needs to be optimized first.Next, Come Up With a ProcessOptimization RoadmapTo get started with your process optimization road-map, begin by describing and modeling your businessprocess design. Then, you’ll want to link the businessprocesses to key figures in a common repository. Bothof these steps can be easily executed and displayed ina tool like SAP Enterprise Modeling by IDS Scheer;doing so will increase the transparency of your busi-ness processes. By applying this process optimization roadmap toplanning, you’ll have a good understanding of thevarious planning processes within your company andwill be able to link them with key planning figures,such as days in inventory, sales volumes per day/month/year, or earnings before interest, taxes, depreciation,and amortization (EBITDA). After completing thisroadmap, the next step is to actually redesign the plan-ning processes themselves.Finally, Choose the Technology ThatWill Support Your Business ProcessesWith a clear definition of which planning processesneed to be optimized and a roadmap for how this opti-mization should take place, businesses can focus on thetechnical aspects of a planning project implementationand choose a tool or purpose-built application — likeSAP BusinessObjects Planning and Consolidation, forinstance — that will support them. To choose the right technology, each organizationshould compare its business planning processes andresulting requirements with the technical details ofpotential applications. Companies should also considertalking to an experienced consultant to help match theprocesses they are optimizing with the technology bestsuited to support them. For instance, IDS Scheer Consulting, a Software AGbrand, recently finalized a major logistics planningproject with a leading chemical industry customer. Inthis project, we:ƒƒ Enhanced the transparency of planning processesƒƒ Delivered a detailed planning level of dataƒƒ Extended the future planning range As a result, the company saw a significant increase inthe efficiency of the planning process and a consider-able improvement in the accuracy of the planning data. For more information on intelligently optimizingyour planning processes, visit www.softwareag.com. n
  • 11. S-11SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comJames RiceSenior ManagerAccentureBe Gone, Disparate SolutionsHow to Protect Critical Business Information by Integrating SAP BusinessObjectsAccess Control with Identity and Access Management SolutionsToo many organizations, as they work to extend andsafeguard existing business processes and technolo-gies to include their expanding SAP landscape, imple-ment disparate solutions that support one-off, ad hocrequirements. This, in turn, can lead to identity andaccess management (IAM) concerns within the organiza-tion. For example, the business may ask:“Can we track asingle user’s identity and access rights across all enter-prise systems and applications? Can we ensure that auser’s access across applications not only is accurate fortheir job function, but also adheres to compliance andregulatory policies? Can we monitor segregation ofduties (SoD) violations across platforms or applications?” Accenture’s global security practice is answering thesequestions by helping companies combine the functional-ity of SAP Business­Objects Access Control with enter-prise IAM solutions. But to be successful, you’ll need acomprehensive IAM solution that integrates seamlesslywith this SAP solution.5 Components of an IAM SolutionFigure 1 represents a logical architecture for integratingSAP Business­Objects Access Control with IAM functional-ity to achieve comprehensive IAM. The numbered itemsin the figure represent five components:1 Identity manager (IDM) manages theworkflow and approval routing for auto-mated onboarding of employees and third-party users through HR data feeds andself-service requests to add, change, orremove access.2 IDM connectors integrate the IDMsolution with SAP and other enterprise sys-tems by facilitating the communication ofrole information, compliance reporting,and provisioning requests across platforms.3 SAP Business­Objects Access Controlprovides role management,SoD complianceanalysis, and entitlement provisioning toconnected systems.4 Role and compliance manager (RCM) is responsi-ble for periodic reporting and certification for attesta-tion of user access across enterprise applications.5 Access management provides a consistent singlesign-on experience to web-based applications and theportal. Additionally, advanced authentication andfraud protection provides multi-factor authenticationcapabilities and risk-based authorization decisions.Set Your Sights on IAM GoalsIAM and its goals cover a broad scope of challenges thatspan people, processes, and technology capabilities.IAM aims to understand and track identities interactingwith the organization; assign and govern credentials forthose identities; manage entitlements granted toresources in the organization; enforce access controls;and maintain a record of access assignments for auditand compliance. To help address these fundamentals and achieveholistic IAM, organizations can combine SAP Business­Objects Access Control, enterprise IAM technologysolutions, and Accenture’s high-performance securitypractice. For more advice and information, visit www.accenture.com/security. nActiveDirectorySAP InfrastructureEnterpriseInfrastructureEnterpriseApplicationsEnterprise Systems SAP ComponentsEnterprise Identity and Access ManagementAttestationReportingAuthentication and AuthorizationProvisioningManagerIdentityManagerConnectorsIdentity ManagementUser ManagementEngineCentral UserAdministrationUser RepositoryAccessManagementAdvancedAuthentication andFraud ProtectionWeb ServicesABAP/JAVASAP ApplicationsApplication LandscapeWeb GUIReportingSAP ERPSAP ModulesSAP Applications2Access RequestDelegated AdminIdentityManager1Identity RepositorySAP BusinessObjectsAccess Control3Risk Analysisand RemediationCompliant UserProvisioningRole and ComplianceManager5Role-Based Access ControlRole andComplianceManager4HRDirectoryFIGURE 1 q Logicalarchitecture fora comprehensiveIAM solutionthat integratesseamlessly with SAPBusinessObjectsAccess Control tosafeguard businessinformation efficientlyand effectivelywarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationswarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingMobilityCloudcomputing
  • 12. S-12BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comwarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingThe effort to enforce information security policiessometimes stumbles when it comes to file sharing.For smaller files exchanged by email, the problem haslargely been solved with content-aware applications,such as data loss prevention (DLP) software. However,large file transfers have traditionally fallen through thecracks. Files exceeding email attachment limits aretypically transmitted via FTP, an insecure and non-auditable method that is not covered by tools like DLP. This means that large and frequently sensitive datasets — including master data and product item descrip-tions, customer lists, payroll information, and quarterlyfinancial reports — are constantly traveling betweenindividual users both inside and outside of the organi-zation, all without the safeguards that govern smallerfile sizes. This puts organizations at risk of both dataloss and regulatory violations. To close this loophole, companies should use amanaged file transfer (MFT) platform that will auto-mate, protect, monitor, and track the movement ofsmall and large files — whether they are structured orunstructured, automated batch transmissions, system-to-user, or user-to-user files.Encrypt, Track, and Trace withManaged File TransferMFT platforms aid governance efforts related to theSarbanes-Oxley Act, the Health Insurance Portability andAccountability Act (HIPAA),Payment Card Industry (PCI)standards, and more. An MFT solution should include:ƒƒ Encryption and authentication of ad hoc andscheduled file transfers to ensure end-to-end datasecurity and non-repudiationƒƒ Guaranteed file delivery with checkpoint andrestart capabilities, as well as notification oftransmission failuresƒƒ Rules-based routing and workflow that facilitatethe enforcement of corporate and regulatory policiesaround the exchange of sensitive or confidentialinformationRohit KhannaExecutive Vice Presidentof Global Strategy andCorporate DevelopmentSEEBURGER AGLarge File Transfers:A Loophole in Your Data Security StrategyClosing the Compliance Gap for Files That Are Too Big for Emailƒƒ A complete audit trail of all data exchangeactivity including message, file, and transactiontransmissions, as well as the people involved at eachstep of the process SEEBURGER Managed File Transfer (SEE MFT),from SAP business integration partner SEEBURGERAG, provides all of this core functionality, as well asadditional compliance and usability advantages.Compliance Plus ConvenienceSEE MFT seamlessly interfaces with all SAP solutions— from SAP R/3 to SAP NetWeaver and beyond — aswell as email and document management systems,such as Microsoft Outlook, Microsoft SharePoint, andEMC Documentum. With this integration, users retrieving files from doc-ument management repositories will see “SEE MFTtransfer” as a menu option. They can then email SAPfiles or other files of any size through a plug-in thatautomatically routes the file through the SEE MFT sys-tem with no extra steps on the user’s part. To support compliance efforts, SEE MFT alsointegrates with commercial data loss protection solu-tions that screen file content for regulatory policy viola-tions. Also aiding compliance is centralized reportingfor both internal and external file transfers, includinguser activity, system utilization, scheduling, receiptmonitoring, real-time notifications, and routing. From a cost perspective,SEE MFT reduces the TCO forfile exchange by consolidating internal and externaltransfers to one platform and eliminating the adminis-trative expense of managing multiple FTP servers. It alsoeliminates cumbersome FTP processes for end users. In addition, as a module of the SEEBURGERBusiness Integration Suite (BIS), this solution allowsorganizations that already have SEEBURGER BIS todeploy SEE MFT in-house simply by activating theappropriate license key. There is no need for additionalinfrastructure. Visit www.seeburger.com/mft to learn more. nTo ensure that allfiles transmittedthrough file-shareprograms or emailsadhere to yourcompany’s securitypolicies, you need amanaged filetransfer platform.
  • 13. S-13SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comwarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationswarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingMobilityCloudcomputingHenk Peter WindPartnerCSI NetherlandsJan SteenSenior ConsultantCSI NetherlandsA One-Stop Shop for Gaining andMaintaining ControlThe Little-Known Benefits of Integrating Process Controls and Access ControlsMany companies have already implemented or areconsidering implementing the 10.0 releases of SAPBusinessObjects governance, risk, and compliance (GRC)solutions. Thus far, though, most of the focus has been onSAP BusinessObjects Access Control. While this solutioncertainly has many pieces of key functionality, too manycompanies are overlooking SAP BusinessObjects ProcessControl, which not only brings its own set of benefits, butalso offers an array of extra capabilities when integratedand used in conjunction with SAP BusinessObjects AccessControl. CSI conducted a proof-of-concept study on thebenefits and best practices of integrating these two solu-tions. Let’s explore some of the findings.Integrating Access Control andProcess Control FunctionalityWhy is it so beneficial to integrate these two solutions?While the overall business framework of internal controlsis defined in SAP BusinessObjects Process Control (incombination with SAP BusinessObjects Risk Manage-ment), some of the defined controls — those focused onsegregation of duties (SoD) or reducing critical access, forexample — are managed in SAP BusinessObjects AccessControl. Combining these solutions makes your controlactivities more effective. Even if you’re mostly interested in the SoD and criticalaccess functionality,SAP BusinessObjects Process Controlstill brings important benefits.For example,although youcan define mitigating controls for access or SoD violationsin the access control solution, the possibilities for follow-ing up on these controls (in terms of testing their effec-tiveness) are very limited. These follow-up options aremuch stronger in the process control solution. Thus, inte-grating the two solutions facilitates an end-to-end solu-tion for advanced control of access rights. The integration of the access control and process con-trol solutions can be realized at different levels,including:ƒƒ The master data level, which involves the optionalsharing of master data (such as organizations andowners) between several SAP BusinessObjects GRCsolutions. This provides the opportunity to designone common controls environment for the differentsolutions to use.ƒƒ The functional scenarios level, which involves shar-ing functionality either from the access control solu-tion to the process control solution via mitigatingcontrols, or from the process control solution to theaccess control solution via continuous monitoringfeatures.This level might be used during an automatedmonthly check of possible SoD conflicts betweencreating a sales order and changing pricing conditions.Stay in ControlThe 10.0 releases of SAP BusinessObjects Process Controland SAP BusinessObjects Access Control are a one-stopshop to gain and maintain control. Improved and usefulintegration possibilities between the two solutions willhelp your company achieve synergy in its internal controlchain. To learn more, visit www.csi4global.com. nKey Benefits of the 10.0 Releases ofSAP BusinessObjects GRC Solutionsƒƒ SAP BusinessObjects GRC 10.0 solutions use a common technicaland functional platform based on SAP NetWeaver ABAP program-ming. This allows you to better utilize your established experience inABAP development, workflow, and security. The platform alsofacilitates the use of one user interface to make the system easilyaccessible for non-IT users.ƒƒ With SAP BusinessObjects Process Control 10.0, users get a flexibleand user-friendly way of defining and executing controls. One exam-ple of this is the use of exception reporting. Since the process controlsolution can directly access data from the source system, you canmore easily filter data to find the real issues.ƒƒ In SAP BusinessObjects Access Control 10.0, the common installationof all access control components in one environment is a majorbenefit. In previous versions, each component required differentinstallation scripts and unsophisticated linking between components.
  • 14. S-14BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comwarehousingBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingStop Fraud Before It Happens withReal-Time AnalyticsHow Continuous Transaction Monitoring Can Minimize Your Exposure to RiskPatrick TaylorChief Executive OfficerOversight SystemsDefense contractors, Fortune 500 corporations,online gaming sites — every day seems to bringyet another story of a major organization victimized byattackers masquerading as authorized users. It’s as if ithas become child’s play for attackers to access supplychain or financial applications and generate whatappear to be legitimate payments to ghost vendors.Similar abuses are also on the rise. According to a recent Gartner publication, “Nosingle layer of fraud prevention or authentication isenough to keep determined fraudsters out of enterprisesystems. Multiple layers must be employed to defendagainst today’s attacks and those that have yet toappear.”1In short, classic protections against insiderfraud — segregation of duties and employee authoriza-tions, for instance — are no longer enough. There is no100% guarantee that any authorized user is, in fact, anauthorized user, or that any transaction is legitimate. This fundamental shift in thinking and behaviormeans that organizations must now find and fiximproper financial transactions before they are com-plete — instead of weeks or months after the fact. Fail-ure to adjust to this change can easily escalate into a1 Gartner, Inc., “The Five Layers of Fraud Prevention and UsingThem to Beat Malware” by Avivah Litan (April 21, 2011).business-defining crisis, with millions of lost dollarsand massive negative publicity.Continuous Transaction Monitoring:The In-House AnswerReal-time analytics are a key component of stoppingfraudulent transactions. This powerful technology bun-dles industry, regulatory, and in-house business processexpertise into a real-time solution that validates everystep in every transaction. Built-in workflows integratewith ERP back-end systems to alert managers withdetailed information, such as why a transaction issuspect and what to do about it. Underpinning these active analytics is a solution fromOversight Systems called Continuous Transaction Moni-toring (CTM). Companies like Oversight Systems, anSAP-endorsed business partner,use CTM to complementand extend SAP deployments by collecting and analyz-ing essential financial transactions in real time, thenapplying active analytics to detect fraud, identify poten-tial errors, and deliver best-practice guidance for resolv-ing the issues. As a result, CTM helps organizations buildcontinuous monitoring programs that improve businessprocesses over time. The results can be dramatic. Onefederal agency estimates that it saves over $1 billion peryear by using Oversight CTM and real-time analytics. Furthermore, Oversight CTM integrates with SAPBusinessObjects Process Control 10.0, which focuses onmaintaining compliance with regulatory mandates.Learn MoreContinuous monitoring and active analytics deliverrapid time-to-value in terms of finding and fixingimproper transactions. They also generate actionableinsights in previously unseen ways to cut costs and dis-cover hidden opportunities. And these capabilities pavethe way for “real” real-time predictive analysis via in-memory computing in the future (see sidebar). That’s awin in anyone’s book. For more information about CTM with OversightSystems, visit www.oversightsystems.com/sap. nCTM:A Powerful Bridge to In-Memory ComputingA properly designed continuous transaction monitoring (CTM) analyticssolution prepares organizations for “real” real-time analysis. One of SAP’smajor initiatives is to bring in-memory computing to its customers. Thisadvanced technique stores data inside the memory of a high-speed analyticalappliance called SAP HANA, where it can be analyzed 10,000 times fasterthan with traditional analytics engines. As a result, SAP HANA delivers on thepromise of real-time risk management and true dynamic planning. This same combination of CTM and actionable analytics is being used todayto stop fraud. This is a significant step, both technologically and operationally,for making the transition to SAP HANA-powered analytics.
  • 15. S-15SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingMobilityCloudcomputingMarc MertensPartnerDeloitte ConsultingA New Weapon in theLiquidity Management FightImprove Forecasting with the Liquidity Planning Starter Kit from Deloitte and SAPIn today’s economic reality, the importance of liquidityplanning is becoming increasingly clear. Reports aboutthe precarious financial situations of Greece and Portu-gal may not affect the majority of us, but for companieswith branches or major business partners in SouthernEurope,a turbulent market threatens their cash position.And, since obtaining financing from banks or investorsrequires better and more in-depth insight into futurecash position, this has become a real concern.Liquidity Planning: What and Why?Liquidity planning refers to mid-term and long-termplanning of cash availability. It requires a company tomaintain a strong view of risks, future incoming and out-going cash flow, and possible changes in the financialmarkets. This enables better investment planning. Fur-thermore, with an increase in regulations in financialinstitutions, to contract a loan, companies now need tobe able to quickly present detailed cash flow information.Despite these benefits, many enterprises still restrictthemselves to place their money on the short term,likely because they don’t have effective liquidity plan-ning in place to provide them with the longer-term view.Start with the Data in Your ERP SystemFortunately, accurate liquidity planning is not as compli-cated to achieve as it may seem. In fact, most of the dataa company needs is already available in its ERP system,as long as the system is set up in a way that allows you toreport on both current and planned data. So, for exam-ple, when a salesperson enters an order into the SAP sys-tem, the system can estimate when that customer willlikely complete the payment. It tracks the availability ofstocks, the delivery periods of suppliers, productiontimes, and transportation information. After invoicingthe goods or services, the ERP system can, based on sta-tistical information about clients’ payment behavior, cal-culate when you can expect the income. With this data, you are off to a good start. But to planliquidity for the long term, you need to combine thisinformation with data provided by the budget or thebusiness plan. To help, Deloitte, in collaboration withSAP, developed the Liquidity Planning Starter Kit.What Is the Liquidity Planning Starter Kit?The Liquidity Planning Starter Kit is based on informa-tion from a company’s ERP systems — including SAPand non-SAP information — combined with planninginformation from SAP BusinessObjects Planning andConsolidation.1This allows companies to not only inte-grate data from other ERP systems, but also exchangerates and raw materials and energy prices, enabling elab-orate advanced simulations. The starter kit comprisesstandard extraction tools, calculating rules, and pre-defined reports to allow a quick start of the liquidityplanning process. This starter kit:ƒƒ Works with existing ERP systemsƒƒ Integrates with SAP BusinessObjects Planningand Consolidationƒƒ Delivers highly customizable cash calculation rulesƒƒ Uses transactional and forecasted input data todetermine cash forecastsƒƒ Offers extensive data monitoring and review capabilitiesƒƒ Isolates the impact of intercompany cash flows atthe group levelƒƒ Provides flexibility in forecasting dimensions,like legalscope, business lines, profit centers, and currenciesƒƒ Performs simulation and sensitivity analysis at thesource data and calculation rule levelsLearn MoreReducing the error margin in liquidity forecasts is criti-cal, and the Liquidity Planning Starter Kit plays a cru-cial role in that endeavor. To learn more, visit www.deloitte.com/view/en_US/us/Services/consulting/53b0fcc4e959e210VgnVCM3000001c56f00aRCRD.htm orcontact us directly at SAP@deloitte.com. n1 Companies must be using SAP BusinessObjects Planning andConsolidation to benefit from the Liquidity Planning Starter Kit.Reducing the errormargin in liquidityforecasts is critical,and the LiquidityPlanning Starter Kitfrom Deloitte andSAP plays a crucialrole in that endeavor.
  • 16. S-16BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comAnalysts and industry commentators are referringto the SAP BusinessObjects Enterprise Perfor-mance Management (EPM) 10.0 solution as a “gamechanger.” Organizations must resist the temptation tosimply automate existing processes if they wish to max-imize the long-term business value of SAP Business­Objects EPM 10.0, which comes with a host of newcapabilities and connectivity. To uncover the hiddenbenefits of this powerful technology throughout theEPM value cycle (see Figure 1), consider these fiveimplementation planning best practices from Column5.#1: Unite Financial and OperationalPerformanceAlthough financial performance is often the sole focusof an EPM initiative, integrating operational metricswith financial analytics will link resources to outcomesand enable multi-level, enterprise-wide performancealignment to corporate strategy. Clients that focuson financial initiatives alone will miss this value-multiplying opportunity.#2: Integrate Transactional andBI SolutionsERP and BI systems are not just for collecting data;organizations can maximize the value they get fromthese systems by employing the transactional data tomeasure, support, and drive enterprise performanceand strategic decisions. With proper implementation,a single user can view KPI variances within smalltransactional details from a multi-level dashboardthrough a simple series of clicks.#3: Optimize Data ManagementOrganizations must strive to fully automate theextracting, transforming, and loading process andembed consistent, robust business logic to supportseamless and reliable data flow across systems andbusiness units. Thorough planning can enable long-term value, such as efficient performance, overall sta-bility, and lower total cost of ownership.#4: Plan for a Dynamic FutureFactors impacting organizations are changing daily.Business users must be able to account for these driv-ers through “what-if” scenario analysis, along with on-the-fly risk assessment that allows for quick andreliable reactions to the dynamic marketplace.#5: Empower Business Usersto Drive PerformanceGone are the days when an intermediary IT resourcewas available to access and report data. Today’s busi-ness users require an intuitive, self-service interface toperform daily tasks and enable informed decision sup-port. More users will embrace an easy-to-use solution,bringing greater potential for value to be returned tothe business. Conversely, a difficult-to-use system willhave limited users and thus limited value.Learn MoreBy pairing SAP BusinessObjects EPM 10.0 withColumn5’s comprehensive EPM and financial expertise,organizations will be empowered to unlock businessvalue that extends well beyond standard EPM objec-tives. For more information, visit www.epm10.com/insidersperformance. n5 Best Practices to Get the MostOut of Your EPM ImplementationDavid Den BoerChief Executive OfficerColumn5 ConsultingFIGURE 1 u The EPMvalue cycleBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputing
  • 17. S-17SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comAndrea VoigtSenior ProductMarketing Manager,Product Marketing Server,Software, and SolutionsFujitsuSAP HANA: Unleash the Potential toAsk the Right QuestionsExplore the Benefits of SAP HANA Through Fujitsu’s Global Demo CenterSuccess and progress in a business fundamentally relyon asking the right questions, such as: “How willoffering a discount in a selected product segment impactmargins?” or “How will a modification of the productportfolio affect revenue?” Historically, however, manyenterprises have not always asked the relevant questions,simply because they’ve known they would never get theanswer, or at least wouldn’t get it in a timely manner. ITwas not able to support instant access to, and analysis of,massive amounts of data. Thus, the business’s ability toaccess information was limited and decisions often hadto be based on fractional information and best guesses.Finally Get the Answers You NeedFortunately, companies can now put all of this behindthem. SAP HANA software, based on a certified Fujitsuinfrastructure, invites business users at all levels torecall the questions they might have pushed asidebefore because the answers could not be found — andto even think about new questions, the answers towhich would help improve daily operations and strate-gic business decisions. SAP HANA enables a break-through in data analysis and decision making, withinnovative SAP in-memory computing technology thatsignificantly speeds up data analysis and gives users theinformation they need, right at their fingertips. Fujitsu is dedicated to helping enterprises explorethe potential benefits that SAP HANA can offer (seesidebar). For example, the Fujitsu SAP HANA GlobalDemo Center represents a powerful environment,based on Fujitsu PRIMERGY server technology, thatcan be used remotely to get a vivid inside look at thepractical uses and capabilities of SAP HANA. The cen-ter’s live demos — including typical business scenarioslike SAP profitability analysis, sales analysis, and mar-ket basket analysis/association analysis (often used inthe retail industry) — show how SAP HANA helps toanalyze massive amounts of data and provide informa-tion in real time. This pragmatic approach is designedto inspire companies to explore areas in which slowdata access today prevents them from getting resultsfor informed decisions and immediate action.Set Yourself Up for an IndividualSAP HANA Exploration SessionThinking about SAP HANA means thinking about yourdistinct information needs — about the questions andanswers that have the potential to drive your particularbusiness forward. And it’s not always an easy exercise.That’s why Fujitsu’s SAP HANA Global Demo Centersessions are handled as individual appointments.Experts accompany enterprises on their way to detectand implement the most beneficial SAP HANA usagescenarios for their businesses and professionally planthe next steps. The process is supported by the center,as well as by additional consultancy, which includes:ƒƒ Online access to practical usage scenariosƒƒ Evaluation workshopsƒƒ A proof of concept To learn more about the Fujitsu SAP HANA GlobalDemo Center and Fujitsu’s comprehensive offerings forSAP HANA, visit http://ts.fujitsu.com/hana. nFujitsu’s SAP HANA Offeringsat a Glanceƒƒ Optimized infrastructure based on high-endPRIMERGY server technologyƒƒ Remote Global Demo Center for individual explora-tion of your company’s SAP HANA potentialƒƒ Jumpstart services for highly efficient integrationƒƒ Fujitsu SolutionContract, a combination of mainte-nance and support services for the entire SAPHANA infrastructure solutionThinking aboutSAP HANA meansthinking about yourdistinct informationneeds — about thequestions andanswers that havethe potential todrive your particularbusiness forward.MCMCMCBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputing
  • 18. S-18BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputingMobilityCloudcomputingRakhi MakadIndustry Principal, BIInfosysHow to Get the Most Out of YourSAP HANA InitiativeLeverage In-Memory Computing to Empower Your Business StrategyThe introduction of SAP HANA, SAP’s in-memorycomputing appliance, has generated a lot of buzzlately. Every day, Infosys has been addressing questionsfrom our customers, such as, “How will SAP HANA beuseful for my organization?”and“How can we build thebest use case for implementing SAP HANA?” We’ve found that the key to success here is to firstdetermine exactly how an SAP HANA implementationcan support the business strategies and technologiesyou already have in place — and to build a use casebased on your business priorities.Determine Your SAP HANA Use CaseThere are many use cases for implementing SAPHANA (see Figure 1). Companies can use SAP HANA’scapabilities to improve reporting and analytics and tooptimize their business processes. But there’s alsoanother use case that’s often overlooked: new applica-tion implementations. And this use case is actuallyimpressively strong. Applications implemented using SAP HANA can bebuilt for strategic business scenarios that bring yourorganization closer to its goals, allowing you to exploitall of the capabilities of SAP HANA. What this meansis that, when starting with SAP HANA, you shouldalso consider implementing strategic new applicationsthat will bring in the most business value. Doingso will help you to define additional use cases andscenarios that will support your long-term adoptionroadmap and vision for SAP HANA. For example, one of our customers wanted toleverage SAP HANA to improve the performance of itsexisting procurement, inventory, and supply chainreporting functionality. Infosys helped this companybuild a use case and roadmap that accounted for notonly the operational and analytical benefits of SAPHANA, but the strategic benefits as well. This meansthat the use case was able to clearly present the busi-ness value measures for these functions and how theycould be improved using different business levers.Get the Most Out of SAP HANAInfosys’s SAP HANA Center of Excellence (CoE) iscurrently working with several customers to helpthem choose the right SAP HANA use case for themand to define their roadmap to implementation. Wehave over 6,500 data warehousing consultants andover 1,800 consultants who are experts in SAP’s busi-ness intelligence tools and SAP BusinessObjects tech-nologies. Also, we have jointly worked with SAP on anSAP HANA pilot application for real-time simulationof margins for our corporate group. To learn more about how Infosys can help you withyour SAP HANA business case, visit www.infosys.com/sap/pages/index.aspx and www.infosysblogs.com/sap/.Or you can email sap_marketing@infosys.com. nFIGURE 1 u Infosys’smatrix highlights SAPHANA’s capabilitiesand use casesUse case/functionalityReal-timeaccessSpeed/performanceOnlinesimulationExtremeprocessingDatavolumesStrategicrelevanceOperationalreportingl l l OImprovedbusiness processl l OImprovedanalyticsl l O, ANew application l l l l l O, A, SO: Operational; A: Analytical; S: Strategic
  • 19. S-19SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comFrank DravisDirector,Solutions ManagementUtopia5 Common Data Migration PitfallsAnd How Your Company Can Avoid ThemEven if you feel comfortable with your data migrationplan — the chosen platform, your experiencedimplementation team — it might be time to take anotherlook. Historically, many data migration projects havebeen plagued by risks and delayed go-lives, resulting incostly budget overruns. The usual culprit? The data! Afrequently overlooked aspect of ERP deployments is theintegrity of the data that the system delivers. Tradition-ally, many systems integrators (SIs) implementing a newsystem prioritize the project in this order:ƒƒ Application designƒƒ Implementation planningƒƒ Systems integrationƒƒ Change managementƒƒ Data migration Even though data is one of the most important factorsfor business success, it gets the least attention. Often, SIswill defer data loads to the client’s staff, and some mayincorrectly assume data migration is a simple file transferbetween systems.Suffice to say,the effort associated withdata migration is often grossly underestimated.Common Pitfalls and Tips to Avoid ThemIn Utopia’s experience of conducting data migrationprojects worldwide, top problems include the following:1. Poor data quality. Sometimes data defects are known,but new deficiencies are often uncovered after extrac-tion. This is where SAP BusinessObjects Data Servicesand SAP BusinessObjects Information Steward prod-ucts can help, delivering profiling reports that can beused before,during,and after migration.These reportsalso provide crucial inputs to continuous monitoringprograms implemented as part of larger informationgovernance initiatives — which are an important partof any data migration project.2.  Missing data. You’ll be surprised to discover just howmany “mandatory” fields in source systems are blankor nulls. The same SAP solutions we mentioned tohelp you measure poor data quality can also be usedto quantify the scope of missing data.3. Mismatched data. Field overuse is a classic problem.Sometimes two or more different domains of data canbe found in one field that was repurposed after its orig-inal use became obsolete. The cure for this problem isto define the domain rules and have SAP Business-Objects Data Services report the errors so that corre-sponding conversion rules can be created and executed.4. Data is not available in time for go-live. Operationalcommitments are sometimes misaligned with systemimplementation, delaying the entire deployment.Accessing, extracting, and transforming the sourcedata is often the issue here. A key part of the solutionis to use an extract, transform, and load (ETL) toolproven to work for your environment; it acceleratesextract coding and validation rules development.5. Data requirements are not captured. Business anddata transformation rules are not sufficientlyresearched or documented to the breadth or depthnecessary for consolidating multiple systems into onetarget. This is always the hardest part of a migrationproject. Ensure that you have both a commitmentfrom the business users and time in their schedules tohelp you formulate those rules.Think Data FirstBefore you get started with your new system implemen-tation, raise the priority of data migration in the task listand ask your SI how they plan to get it done. Utopia’srecommendation is to always leverage a proven method-ology, such as our Enterprise Data Lifecycle Manage-ment method, to help guide you through the process. At Utopia, we don’t treat data migrations as one-timeevents. We deploy our proven Enterprise Data LifecycleManagement method in every project to address issuesalong the entire data continuum, including creation,movement, management, and archiving. We also lever-age the right tools within the SAP ecosystem to delivermigrations on time and on budget. To learn more, visitwww.UtopiaInc.com/DataMigration.html. nBefore you getstarted with yournew systemimplementation,raise the priority ofdata migration onyour task list.MCMCBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsBusinessanalyticsBI EPMEIM GRCDatawarehousingAnalyticapplicationsMobilityCloudcomputing
  • 20. S-20BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingEnterprise Mobile Enablement:4 Expert Considerations for Going MobileThomas SchenkHead of EnterpriseMobility for SAP SolutionsTietoThere’s a growing push in the business world for enter-prise mobility. But simply deciding to go mobile isn’tenough. You also have to choose the right mobile plat-form and the right mobile approach. For SAP customers,the choice of mobile platform is an easy one. The SybaseUnwired Platform is a smart option that offers a centralfoundation for enterprise mobility. It is also well con-nected to both SAP and non-SAP back ends. As for figur-ing out the right mobile approach, as an SAP ServicesPartner, Tieto has gained valuable experience withmobility projects. Here we share key considerations forbuilding a successful enterprise mobility strategy.#1: Look at the Wider ScopeEven though mobility is a topic driven by technology,you still have to look at the big picture to be successful.You need to consider goals and benefits, defined pro-cesses and user groups, a landscape plan, a realizationplan, a mobile device management solution, a roadmapfor mobile strategy, and any quick wins and ROI calcula-tions. Tieto has developed Co-Innovation Workshopsthat can help the business with each of these.#2: Take Advantage ofImplementation TemplatesSimple applications for process steps (like approvals inworkflows) can be installed quickly, but major processimprovements still need specialized applications. Imple-mentation templates — pre-packaged applications thatcan be customized — help to speed up this process.#3: Align Device Types with Their PurposeBe sure to align the mobile device type with its intendedpurpose and user. For example, decision makers mightneed tablet devices to easily view up-to-date, graphicalinformation (see Figure 1). Sales team members, whoare often on the move, might prefer smartphones.#4: Choose the Right Mobile DeviceManagement Solution for Your NeedsSecurity and maintenance must be covered by propermobile device management; be sure to pick the rightdevice management solution to fit your needs. By usingan off-premise management solution, you’ll gain flexi-bility when deploying applications, switching to newerdevices, and maintaining tight security standards. Onthe other hand, an on-premise solution can be valuablesince it enables you to build knowledge in your com-pany that can help to further drive the mobile strategy.Take ActionSo what are your next steps? From here you should:ƒƒ Compile a list of possible processes that mobile appscan support in your organizationƒƒ Get mobile commitment from line-of-business leadersƒƒ Define service areas and user groups as points of contactƒƒ Engage a trusted advisor Tieto is a full-service mobility provider, offering on-premise and off-premise solutions and application life-cycle management (ALM) support for all parts of themobile environment. Learn more at www.tieto.com/mobilesolutions. nFIGURE 1 q WithTieto’s Mobile MillHub application,decision makers canquickly view keyfigures in logisticsexecution on amobile device
  • 21. S-21SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingMobilityCloudcomputingJustin NorwoodSAP Business AnalyticsGlobal LeaderCapgeminiChange the Game with Mobile AnalyticsAs Mobile Analytics Go Mainstream, Game-Changing Use Cases EmergeThe International Data Corporation (IDC) forecastedthat the worldwide smartphone market wouldgrow 55% per year in 2011, and that smartphone ven-dors would be shipping 982 million units annually bythe end of 2015.1Apple has recently become the largestpublic company in the United States, deriving over 66%of its sales from iPhones and iPads.2And this tidal waveof mobile device adoption is having a profound impacton the business environment. In fact, most of the Fortune 50 enterprises havealready rolled out mobile applications, includingmobile customer relationship management (CRM)solutions at companies such as General Mills, andmobile point-of-sale (POS) solutions at companies likeThe Home Depot.3 Furthermore, these mobile applications are nowviewed as natural extensions of traditional businessapplications. For example, we do not hear people say“mobile email” when referring to the use of email on atablet or smartphone — it is simply referred to as“email.” Similarly, we are quickly moving toward abusiness environment in which people use the term“analytics” rather than “mobile analytics” to refer toconsuming analytics on a mobile device.What Are Early Adopters ofMobile Analytics Doing?Capgemini has had the privilege of working withcompanies that are early adopters of mobile analyticssolutions, including leaders in the retail and consumerproducts sectors. When launching their first mobileanalytics projects, many companies look to simplymobile-enable existing analytics that are delivered toexecutives on their desktops. The benefit of thisapproach lies in extending the reach of analytics towherever decisions are made, rather than confining1 IDC, “Worldwide Quarterly Mobile Phone Tracker,” (June 2011).2 Business Insider, “Chart of the Day: The Evolution Of Apple’sBusiness” (July 2011).3 Appconomy, Inc., “Fortune 50 App List” (2011).valuable information assets to the office.Now,informeddecisions can be made on the go, significantly improv-ing productivity.How Can You Change the Gamewith Mobile Analytics?Capgemini is working with its clients to deployinformation-rich mobile applications — like SAP’smobile solutions, for instance — to employees who areon the edge of their organization, interacting in thefield, face-to-face with customers, suppliers, and opera-tions staff. For example, with information-rich mobileapplications on a tablet device, a field sales representa-tive for a distributor can have more meaningful dis-cussions with customers by demonstrating thecustomer’s purchasing patterns versus the patterns ofother similar customers, thus uncovering additionalsales opportunities. The next generation of mobile applications is lever-aging information from inside and outside of the cor-porate firewall and combining historical corporatesales information with information from external datasources, including location information, social mediadata, demographics, industry statistics, news feeds, andfinancial metrics. For example, the same field salesrepresentative might use SAP’s mobile CRM applica-tion to access information like sales history and ananalysis of available promotions to customer segmen-tation. This enables the representative to cross-sell toeach customer he or she visits. With such an applica-tion, informed decision making can be made in thefield and in real time to expand opportunities, createefficiencies, and improve turnaround times.What Can Mobile Analytics Do for You?Whether you are just starting your first mobile analyt-ics project or are looking to change the game withmobile analytics, Capgemini has the industry and tech-nology expertise to accelerate your initiatives. For moreinformation on Capgemini’s mobile analytics serviceofferings, visit www.us.capgemini.com/MobileBI/. nCapgemini isworking with itsclients to deployinformation-richmobile applications— like SAP’s mobilesolutions — toemployees who areon the edge of theirorganization,interacting in thefield, face-to-facewith customers,suppliers, andoperations staff.Paul NannettiGlobal Service Line LeaderBusiness InformationManagementCapgemini
  • 22. S-22BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingMobilityCloudcomputingUnlock the Full Potential of SaaSWhat to Look for When Evaluating a Software-as-a-Service ProviderUlrich MeisterHead of Systems IntegrationT-Systems InternationalSoftware-as-a-service (SaaS) is one of the hot topicsin enterprise computing today — and for goodreason. The growing interest in SaaS comes largely asa result of the need for the flexibility and lower coststhat it enables. With SaaS, customers use and pay fortheir applications through the Internet (preferablythrough a VPN tunnel), paying for only the resourcesthey actually use (see sidebar below). By utilizing SaaS, enterprises do not need to buy ormaintain their own systems — a great advantage interms of cost. What’s more, businesses benefit frommore flexibility. For example, during a planned mar-keting campaign, any number of customer relation-ship management (CRM) system users can be addedto the environment as needed, without having toincrease computing or storage resources. However, in reality, this approach only deliversbenefits if a SaaS provider can also guarantee smoothoperations with constant updating and optimization ofthe entire information and communications technol-ogy (ICT) infrastructure. So what should users look for when evaluating aSaaS provider? Consider these questions:ƒƒ What happens if any problems arise within systemoperations?ƒƒ What happens when users have urgent questions?ƒƒ What happens when the IT infrastructure needs tobe modified or modernized? Asking potential SaaS partners these questionsallows companies to more easily identify which pro-viders are fully qualified. Providers’ answers will alsomake it clear which firms only offer the technology(and not the expertise) that enables customers todynamically source specific IT functions from theThe Evolution of Cloud ComputingThe enterprise world first took notice of cloud computing as a way of provisioning dynamic comput-ing performance through the use of infrastructure-as-a-service (IaaS). Instead of relying on serverenvironments with high capacities to handle maximum loads, users turned to virtualized platforms.The advantage of this virtualization is the way it enables flexible and automatic provisioning ofapplications and data on demand for any number of systems. Experience has shown that enterprisescan also reduce their information and communications technology (ICT) operating costs by up to30% by using virtualization.*The benefits also include more flexibility to keep pace with changingbusiness requirements, as well as more scalability since the infrastructure can be expanded dynami-cally without interrupting operations. Another element in the evolution of cloud computing is the increasing propagation of thesoftware-as-a-service (SaaS) way of thinking. It is, above all, the constant expansion of SaaS prod-ucts that makes it possible for companies to find a suitable variant of standardized software. Almostall leading software developers have now included SaaS services in their product range. SAP, forinstance, developed the SAP Business ByDesign solution, as well as several other cloud solutions.* Gartner, “The Gartner CIO Agenda” (2011).SaaS only deliverstrue benefits if yourSaaS provider canguarantee smoothoperations withconstant updatingand optimization ofthe entire ICTinfrastructure.
  • 23. SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSS-23Reproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comcloud — and will demonstrate why these providerstend to fall short of the mark. These providers are notavailable to help users with their daily problems, forc-ing customers to look for application managementservice (AMS) providers when they need assistance.Combining Both CompetenciesFor customers that want to get the most out of theirSaaS infrastructure, one option is to look for an ICTprovider that is qualified to deliver both SaaS technol-ogy and AMS. This combination ensures high qualityand availability of the applications sourced from thecloud over the long term, which is crucial to a success-ful SaaS provisioning model. The provisioning modelhere could include everything from application manage-ment to user and ICT infrastructure support. For manycustomers, it would also be beneficial if the AMS pro-vider could take care of managing the constantmodernization and optimization of the customer’sICT environment. T-Systems meets all of these criteria with its Appli-cation Management & Modernization (AMM) solu-tion. With AMM, T-Systems has developed a serviceconcept that broadly aids companies in the develop-ment, installation, operation, maintenance, andsupport of their applications, and that works as adriver for both modernization and innovation. Thissolution also ensures that the customer’s software andinfrastructure landscape always meet the latest tech-nical standards by supporting ongoing development(see Figure 1). AMM also includes process harmonization andsystem consolidation services, both of which resultin additional cost savings. The newly integrated,lean IT platforms help customers multiply the priceadvantages of outsourcing and further reduce thetotal cost of ownership. According to experts, addi-tional savings of up to 20% to 30% of the IT budget arepossible. The reduction of process costs makes an evengreater difference. SAP users, in particular, can benefit from T-Systems’AMM approach. T-Systems has a high degree of exper-tise in working with SAP systems, which is reflected inits SAP certifications, including its status as an SAPGlobal Support Partner, Run SAP ImplementationPartner, and Run SAP Operations Partner. This SAP-specific experience enables T-Systems to integratecustomer processes in a customized, lean SAP systemand to ensure competent upkeep and maintenance ofcustomers’ SAP system landscapes.Learn MoreTo get the most out of your SaaS investment, considerthe benefits of integrating your cloud software compo-nents into an integrated AMM model. For more infor-mation, visit www.t-systems.com. nDynamicservices fordevelopersDynamicservices forcollaborationDynamicservices forbusinessapplicationsDynamicservices forSAP projectsDynamicservices forinfrastructure ApplicationperformancemanagementNetworksProcessingpowerDatabaseMiddlewareBusinessapplicationsAMMCloud Readiness ServicesBusiness ProcessesFIGURE 1 t T-Systems’end-to-end cloudservices
  • 24. S-24BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingMobilityCloudcomputingVishal AwasthiChief Technology OfficerDolphinCan You Win the War AgainstData Volume Growth?Dolphin’s Cloud Solution for Archived Data Can Help You Negotiate a TruceIn today’s dynamic business environment, data is beingcreated faster than companies are willing — or able— to destroy it. What’s more, the appetite for real-timeinformation commands IT to make data accessiblewhenever and wherever it is needed. In practical terms, this means IT departments must bestrategic in how they manage data.Today’s costs of main-taining data from various business systems outpace whatcompanies have traditionally seen from their data anddocument storage requirements. Archiving data anddocuments helps, but IT must manage this expense andbalance the business’s competing demands for transpar-ent data availability and high system performance. It canbe a battle, but customers need not surrender.Respond to Data Volume DemandsCompanies need flexible, dynamic resources to respondto changes in business demand, and the advent of cloud-based infrastructure is a new alternative. You pay foronly what you use, while still maintaining seamlessaccess to archived data and documents (see Figure 1).In addition, adding a cloud storage tier to a company’sstorage strategy creates an entirely new equationfor archived SAP data and documents, providinghigh-performance access for frequently used data, whileshifting seldom-used data to a lower cost and infinitelyelastic cloud service. Plus, storage-as-a-service (STaaS)allows companies to pay for only what is being used.A Perfect Fit with SAP SolutionsDolphin’s Content Archive Service (CAS) for Cloud 2.0interface facilitates cloud-based services as a data anddocument archiving repository for SAP customers; itleverages the SAP NetWeaver server’s built-in securecommunication capabilities to connect to the cloud. Thisapproach allows Dolphin to offer a lean ArchiveLinkserver architecture that requires no additional infra-structure components and fits right into the SAP land-scape as an ABAP add-on. Acting as a direct connection to the cloud, Dolphin’sCAS for Cloud 2.0 offers fast implementation and signifi-cant speed compared to classic file system-based cloudconnection options in which content is streamed throughan intermediate file system that requires local storage.Most importantly, the solution offers byte-based andoffset-based access to archived content. This content iscritical for data and print list archiving, but is not avail-able in file system-based cloud connections. With noadditional on-premise infrastructure requirements, thesolution can be up and running in less than a day. Dolphin’s CAS for Cloud 2.0 is SAP-certified forarchived SAP data and documents as powered by theSAP NetWeaver technology platform; it has alsoachieved“SAP Solution Manager Ready”status.Ensure Performance, Reduce CostsIT may not always win the battle over exponential datavolume growth, but it can take advantage of options tolower the costs of managing it. Cloud-based storage forarchived information is a low-cost alternative to expand-ing in-house infrastructures. Effective, secure, well-managed STaaS makes it possible to align the value ofdata with the cost of storing it, while still providing fastaccess. To learn more, visit www.dolphin-corp.com/information-lifecycle-management/cloud-storage. nOnsite SAParchivingDolphin cloud-based archive(major cloudproviders)5-year total costof ownership:$800,000+5-year total costof ownership:$70,500Software ServicesStorageMaintenanceServicesAdministrationHardwareMaintenanceCloud-baseddata archivinglowers costsFIGURE 1 q Anexample of onecustomer’s dramaticcost savings gainedfrom using Dolphin’sCAS for Cloud 2.0;cost estimates arefor four to six (ormore) terabytesover five years
  • 25. S-25SAPINSIDER SPECIAL REPORT | BUSINESS ANALYTICSReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingChristian VerstraeteChief Technologist — CloudHPAn Environment “Bursting” with CapacityGet the Computing Power You Need for Your Cloud Environment, When You Need ItOne major question often plagues companies con-sidering cloud computing: “Can cloud resourcesreally meet my needs?” The simple answer is: “yes.” But you’ll need to prop-erly manage your internal cloud resources to ensurethat you’re running only the systems and applicationsrequired to meet your business needs — with somejudicial use of cloud “bursting” to add resource supportwhen it’s needed.Take Advantage of “Bursting” CapabilitiesThough the resources of a private cloud infrastructureare usually adequate to meet the needs of a company’sday-to-day business,there are times — during new appli-cation development, mergers and acquisitions, or just amajor application upgrade, for example — when a com-pany needs more resources for a limited time period. That is when the ability to have “bursting” capacitycomes into play. Bursting refers to the capability to pro-vision applications on a pay-per-use basis at the time ofneed. An environment with bursting capabilities can bedesigned and installed within your company’s data cen-ter, or on your behalf within a secure data center, likeone provided by HP Utility Services or via HP’s serviceoffering as an SAP global hosting partner. The use ofsuch a secure service provides a compliant, non-CAPEXoption to cover temporary computing needs — the ulti-mate benefit of public or hosted private clouds. Some companies operating their SAP environmentson a pay-per-use basis have reduced operating costs byup to 30% at drastically lower capital investment costs.To help distribute these savings accordingly, HP devel-oped the SAP Application Performance Standard Meter(SAPS Meter). This unique software measures the exactamount of consumed compute cycles per user. Thisinformation then allows for a cross-charge by depart-ment, business unit, or subsidiary. There’s one key consideration to keep in mind whendealing with bursting capabilities: While bursting pro-vides additional resources, those resources might stillneed to access the main data sources. Therefore, band-width and latency aspects have to be taken into accountwhen deciding where to burst to. In some cases, burst-ing to a publicly or a privately hosted cloud requiresyou to move the data sources as well.The Cloud AwaitsAs the cloud matures, opportunities (like bursting) willcontinue to increase for companies to optimize theirbusiness agility and responsiveness. HP continues todevelop best practices to successfully deploy new tech-nology and run mission-critical environments. Today,HP is a trusted partner as companies make their way tothe cloud. To learn more, visit www.hp.com/cloud andwww.hp.com/go/sap. nMake Your Move to the Cloud asSmooth as PossibleFor companies ready to begin migrating applicationsinto a private cloud environment, it can often be achallenge to figure out the smoothest, least disrup-tive way to make the move. To help companies get off on the right foot, SAPand HP have worked together to map out theworkflows required to install key SAP applications ina cloud environment. The resulting process is capturedin so-called HP Cloud Maps, which are available atwww.hp.com/go/cloudmaps. Companies that use HP’s CloudSystem are able toquickly provision resources and deploy applicationsthrough an orchestrator, which is beneficial becauseit is open to non-HP hardware and multiple operat-ing systems. Moreover, HP’s CloudSystem automatespatch management, reconfiguration, and upgradeprocesses to optimize change management toexactly when and what your business requires.Some companiesoperating their SAPenvironments on apay-per-use basishave reducedoperating costs byup to 30% atdrastically lowercapital investmentcosts.
  • 26. S-26BUSINESS ANALYTICS | SAPINSIDER SPECIAL REPORTReproduced from the Oct n Nov n Dec 2011 issue of SAPinsider with permission from its publisher,WIS Publishing | sapinsider.wispubs.comMobilityCloudcomputingMobilityCloudcomputingMore and more, we’re hearing about the next gen-eration of the cloud, which has been called“cloud2.0.”This term refers not so much to a change in technol-ogy, but rather a change in attitude. It seems strange tobe talking about a fresh vision for a technology that’s stillrelatively new. But with the lessons learned from earlyadopters of a hosted cloud infrastructure (see sidebar),the paradigm of cloud computing has started to shift.Known Kinks in Cloud 1.0Cloud 1.0 promised flexibility, agility, and affordableinfrastructure with the implication that it was an“easy”solution. For organizations running ERP systems,though, cloud 1.0 often meant undertaking a do-it-yourself (DIY) type of project rather than implement-ing a true, enterprise-ready solution. With early rootsin web application hosting, some cloud vendors hadsold disk and CPU as self-service commodities, despitethe fact that they had little previous SAP applicationhosting experience and often failed to fully appreciatethe intricacies of the SAP technical architecture. Early DIY cloud enthusiasts joined vendors ona steep learning curve, attempting to mold theirIT architecture to fit the generic cloud infrastructure.Yet despite the investment in time and resources, theyfound that many of the resulting experimental envi-ronments could not sufficiently support a productionenvironment.The Promise of Cloud 2.0Cloud 2.0 represents a paradigm shift away from thedifficult DIY approach of cloud 1.0 and finally deliverson the promise of an easy-to-implement, enterprise-ready solution. Since cloud 2.0 solutions include both servicesand support, customers can realize savings aboveand beyond just a reduction in capital expenditure.Personnel, for example, can spend less time monitor-ing and maintaining infrastructure and more time onvalue-add projects. For SAP customers, cloud 2.0means taking an SAP-centric approach that estab-lishes SAP-appropriate architectures and back-up anddisaster recovery processes. Rather than forcing orga-nizations to invest in a one-size-fits-all cloud model,enterprise-ready cloud vendors offer platform flexibil-ity and architecture options that meet compliance andsecurity requirements for production environmentsthrough hybrid models — incorporating both publicand private hosted clouds. As an SAP-certified Cloud and Hosting Partner,Symmetry can help you establish a cloud 2.0 roadmapfor your SAP environment. For more information,visit www.sym-corp.com/cloud-2. nFrank PowellChief Operating OfficerSymmetry CorporationThe Changing Face of the CloudWhat Cloud 2.0 Means for EnterprisesEarly Lessons Learned from Cloud 1.0Cloud Technology MattersThe idea that it doesn’t matter what the cloud runs on, as long as it runs, is amarketing myth. Do your due diligence. Whether you are running SAP onIBM i or HP-UX, it’s important to assess the cloud platform and understandexactly how it will impact the cost and complexity of your migration andlicensing. Ask yourself: Are the infrastructure components (your hardwareand networking components, for instance) provided by tier-one vendors? Ifnot, are there any potential impacts on performance and reliability that youshould watch out for?Back-Up and Disaster Recovery Procedures Are CriticalRecent incidents involving well-known cloud providers have highlighted theimportance of appropriate back-up and disaster recovery (DR) procedures inthe cloud, especially for hosted production systems. Never assume that DR isautomatically included in a cloud offering. If the vendor doesn’t have SAPapplication hosting expertise, ensure that the methodology specified forback-up processes meets your organization’s requirements.SAP Expertise Is CrucialArchitecture design, sizing, monitoring, and troubleshooting all require expertsupport; migration also requires an SAP-certified migration consultant. Thedo-it-yourself (DIY) approach burdens the customer with obtaining advancedtechnical competency, unnecessarily adding to project costs and complexity.