As SAP transforms its products to serve the intelligent enterprise, organizations must reevaluate their SAP ERP strategy. Even enterprises that might be deterred by the perceived complexity of an S/4HANA migration, find that they must keep their ERP current and agile in order to keep up with business demands.
2. The Latest IT Trends for SAP | Insights and Best Practices
IT Trends in the World of SAP
3 Success Stories by Panaya
3. The Latest IT Trends for SAP | Insights and Best Practices
Operational
Efficiency
Centralize, Harmonize & Standardize
Information Sharing Systems
The Latest IT Trends for SAP | Insights and Best Practices
4. The Latest IT Trends for SAP | Insights and Best Practices
Operational
Standardization
› Share data
› Align processes
› Standardize workflows globally
5. The Latest IT Trends for SAP | Insights and Best Practices
Landscape
Simplification
Out With the Old,
In With the New
The Latest IT Trends for SAP | Insights and Best Practices
6. The Latest IT Trends for SAP | Insights and Best Practices
Transformation
& Modernization
› Release cadence
› Common release practices
› Connected defects & test plans reporting
› Portfolio management prioritization
7. The Latest IT Trends for SAP | Insights and Best Practices
8. The Latest IT Trends for SAP | Insights and Best Practices
S/4HANA®
Migration
Last Train to Real-Time
The Latest IT Trends for SAP | Insights and Best Practices
9. The Latest IT Trends for SAP | Insights and Best Practices
SAP S/4HANA®
Migration
› Improved performance
› New Services (SAP Fiori®)
10. The Latest IT Trends for SAP | Insights and Best Practices
Recap
Scoping, Test
acceleration
Complexity
S/4HANA
Migration
Digitization calls for a single,
fast-responding source of truth
Delivery methodology
& tools modernization
Lack of ALM
methodology & Tools
Landscape
Simplification
Rapid growth
Change
automation
Business process
duplication
Operational
Efficiency
Globalization
SOLUTION
CHALLENGE
TREND
DRIVER
11. The Latest IT Trends for SAP | Insights and Best Practices
Editor's Notes
As SAP transforms its products to serve the intelligent enterprise, organizations must review modern features – primarily SAP S/4HANA - as part of their SAP ERP strategy, whether they are on premises or in the cloud.
Even enterprises that are not yet on the path to S/4HANA, or might be deterred by the perceived complexity of an S/4HANA migration, find that they must keep their ERP current and agile in order to keep up with business demands.
The way to achieve this is through simplification, standardization and modernization projects. Today, I’d like to review 3 specific success stories by Panaya customers that embarked on ambitious ERP transformation projects and analyze the factors that have contributed to their success.
So let’s dive in a bit deeper into three unique success stories in three different industries; the trends that drove them and the factors that made them into a success.
Operational Efficiency
From a faster response time to increased speed to fewer errors, many organizations today realize they must centralize, harmonize and standardize information sharing systems to be able to respond promptly to growing business demands, forecast more accurately, provide better insights and real-time analytics, and improve operational costs.
Global Companies that were previously able to run desperate financial and operational business processes (such as order-to-invoice, for example) locally – are no longer able to do so, if they wish to remain competitive.
Have you noticed, for example how all of the high-street fashion brands now have an online shop shipping directly to your location? For online fashion retail to succeed, return policy must be clear, unified and logistically viable.
In this age, companies must apply the same, harmonized business process to all of their geo-locations. This enables them to reap the benefits of faster response times to growth strategy decisions. It also enables companies to address latent and future risks to their business.
Operational Efficiency projects like enforcing a harmonized ERP template or implementing a company-wide accounting information system have clear advantages:
They increase the integrity and accuracy of operational reporting
They improve management of high business volumes
The results are higher customer satisfaction and staff efficiency.
However, the challenges of implementing such a project in real time and rolling it out, country by country without negatively impacting day-to-day business are also clear.
In a moment, we’ll look at a project by global scientific instruments manufacturer, Bruker. They were able to not only meet project goals but - accelerate SAP business process testing by almost 30% in the process..
Take Bruker for example. With more than 6,000 employees at over 90 locations worldwide, fast growing companies like Bruker need to share data, align processes and standardize workflows globally. Projects like rolling out a harmonized ERP template mean approval process unification across geographically dispersed locations.
However, to successfully deploy in this type of project, rollout of the unified template must be phased - country by country. The Bruker schedule
meant that if one project was delayed; the next country was immediately impacted. This was clearly a Change Delivery challenge.
Effective user acceptance testing (UAT) is a critical success factor in keeping to the implementation schedule. However, Bruker’s homegrown test management solutions had limited to no reporting capabilities, no workflow, and no easy feedback loop for reporting and fixing defects between testers and developers.
However, using Panaya Release Dynamix with features like test evidence automation and actionable real-time dashboards, Bruker was able to – not only meet project goals but - accelerate SAP business process testing by almost 30%.
The networked economy is driving business, while companies are challenged every day to deliver tangible customer results in a more and more integrated end-to-end ecosystem. Global enterprises today are either far into, or somewhere in the process of their digital evolution. The bigger they are , the more legacy applications they must sunset in order to reach modernization and receive SAP’s full support for future innovation.
For example, the SAP® Transformation and Simplification project at GE Lighting has enabled the sunsetting of over 70 legacy business applications, some were 30 years old and still using batch processing on mainframe. GE’s new, highly-automated SAP solution is 50% more efficient in terms of application landscape.
To garner new efficiencies from their upgraded SAP landscape and better manage their growing demand streams with faster and more frequent releases, GE Lighting modernized their SAP delivery processes by standardizing it. We’ll take a closer look at their process in a moment.
GE Lighting is a division of General Electric. Their SAP® Transformation and Simplification project has enabled the sunsetting of over 70 legacy business applications, some were 30 years old and still using batch processing on mainframe. The new, highly-automated SAP solution is 50% more efficient in terms of application landscape.
Recognizing the need to operate both transactional and analytical data processing in real time on a single platform, and as a further step in their digital transformation, a growing number of companies choose to migrate their legacy ERP system to SAP S/4HANA®. SAP estimates that 50,000 companies are likely to implement S/4HANA by 2025.
However, alongside the S/4HANA gold-rush, there’s also an undiminished level of hesitancy. Due to the complexity of an SAP S/4HANA migration, some organizations are taking a wait-and-see approach. A recent ASUG survey revealed that 56% of respondents are planning a move from SAP ERP to S/4HANA, but haven't taken any concrete steps to get there.
There are a number of approaches to the S/4HANA migration. Rudolf Hois, SAP VP and chief product owner for SAP S/4HANA was quoted saying that 50-60% of the S/4HANA install base have already chosen system conversion as their migration route. In fact, to accommodate this route’s growing popularity, the latest version of SAP S/4HANA, 1809 simplifies and improves automation and downtime for system conversion.
For their risk-free success in meeting the initial evaluation calendar milestones for the project, FGC, the Catalan Government Railways has won the Gold Award at the SAP Quality Awards in the Fast Delivery category for its conversion and migration process of its SAP S/4HANA systems. More about their phenomenal success, in a minute.
The last example we will look at today is that of the Catalan Government Railways, FGC.
FGC transports is a vital artery of transportation for 80 million travelers a year. It also provides contracted services in the fields of water, power, transport, and postal services. With 100% of their energy supplied from renewable sources in 2019 and the aim of reaching 50% of solar origin by 2020, FGC aspire to environmental efficiency excellence.
As a further step in their digital transformation, FGC wanted to improve the performance of their services and add new services that depended on unified, quality business processes across digital channels. For that end they needed to migrate their legacy ERP system to SAP S/4HANA® - With minimal risk to their day-to-day business.
Indeed, they looked to Panaya as a way to mitigate the impact of changes derived from this project and therefore were able to save about 50% of the time they were expecting to spend on testing. In fact, almost 90% of the FGC SAP business process are now covered by the Panaya RDx Test Catalog.
FGC was able to complete the migration to SAP S/4HANA and add SAP Fiori® functionalities – all in six months - to provide visibility through mobile devices to financial processes, accounts and public contracts. The update was made in a single step and has not had any impact on day-to-day usage.
For their risk-free success in meeting the initial evaluation calendar milestones for the project (under 6 months), FGC has won the Gold Award at the SAP Quality Awards in the Fast Delivery category for its conversion and migration process of its SAP S/4HANA systems.
To recap, as we saw,
For Bruker it was the challenges of globalization that drove an Operational Efficiency project. Indeed, globalization has spawned business process duplication, which added complexity to the project . Bruker eliminated duplication and standardized their SAP system, using Panaya change automation.
Similarly, for GE Lighting rapid growth was the key driver for a Landscape Simplification project. A lack of ALM methodology & tools proved challenging during the project, which then prompted GE to modernize their delivery system and move to Panaya.
Finally, the race for digitization drove FGC towards an S/4HANA Migration. They overcame complexity by scoping with Panaya RDx Impact analysis.
At this point, I would like to handover to Zinette, Panaya’s VP of Product – Zinette, as you see customers have had great success in their projects this year with the help of Panaya. Using our solution RDx they are able to manage change automation, testing and release management with a simple tool to ensure project success. Can you tell us a bit about the solution?