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Supply Chain Council Presentation For Indianapolis 2 March 2012
Creating A High Performance Operational Environment To Realise Measurable Performance Every Angle Logi Pharma 2012 04 25
1. Creating
a High Performance Operational Environment
to realise Measurable Performance
April 25, 2012 – LogiPharma Genève
Jacques Adriaansen – Consulting Director Every Angle
j.adriaansen@everyangle.com
2. Strategic take aways (from the information angle)
● Be conscious about the difference between Corporate Performance
Management (top-down/bottom up, what Finance needs) and
Operational Performance Management (east-west/west east, what SC needs)
● Operational Performance Management (as part of SCM) is the key to the
company’s strategic success
● If execution doesn’t execute in line with the strategy, then your strategy is void
help you to distinguish yourselves from the competition
● Bring the ‘question and immediate answer’-power to the business users
● The outside world is changing so fast that the traditional ‘user request – information
manager – IT solution’- approach has become inadequate
● Free up the scarce IT capacity to focus on the relevant strategic solutions
help you to distinguish yourselves from the competition
2
3. Practical take aways (from the information angle)
● Please realize that your IT department has a really hard time to provide
you with end to end supply chain information, with frequently changing
information needs
● The traditional BI systems and approaches fail to deliver this insight
● And that’s why you have Excel and Access woods to answer the ‘ad hoc’ questions
● Try to figure out how much time and money is spent on building and
maintaining these Excel woods (self-made Operational BI
● Install a “Closed Loop Performance Management Framework”
● The ‘execution people’ must know what to do to avoid ‘red’ or ‘orange’ gauges at the
KPI dashboard
● High level aggregated SC view, combined with the relevant low level operational
details
3
4. Contents
1● About Closed Loop Performance Management
2 Dynamically changing information needs... the bottlenecks
3● It is possible in an SAP ERP environment
4● About Every Angle
4
5. Our vision on Closed Loop Performance Management
Time & Top management
Strategic KPIs
0 Define KPIs
budget and targets
Management 1 Measure and
Operational KPIs compare with targets
Process experts 2 Analyse results and detect
Closed performance bottlenecks
Loop
Define improvement actions
Details, Execution 3 Execute, Improve and
facilitate actual action
ad hoc, on the floor
variance
Different IT for
different purposes
5
6. Performance Management Information
Top management Display layer Reporting & Analytics
Strategic KPIs
BI / BW
Operational management
Operational KPI
Performance
Control
Management
Process
experts
Analysis
Operational Performance Management
Execution
Detect and Act ERP
6
7. Performance Management – Corporate and Operational
Classic / Corporate PM
Vertical, Control oriented
Financial, strategic
Stabile KPIs
Operational PM
Horizontal, process oriented
High detail and diversity
Multi dimensional
High change level
7
8. Every Angle OPM for Supply Chain (eg Pharmaceutical)
In Operational Performance Management it is about the details
and inter-order relationships…
SITE 1200 - Dresden SITE 1000 - Hamburg
Dissatisfied customers?
Supplier problem
Raw materials Leaflet
… Box Flask
PO WO TO WO SO
Raw materials Active ingredient Packaging Sales order
End-to-End Supply Chain Analysis
on millions of detailed order lines
8
9. Performance Management – Operational… in practice
Classic / Corporate PM
Vertical, Control oriented
Financial, strategic
Stabile KPIs
Self-made Operational PM
Reliability and Security?
Dependency on persons?
Maintainability?
Scalability?
SE16 SE16 SE16 ABAP SE16 ABAP SE16 ABAP SE16
Costs?
9
10. Contents
1● About Closed Loop Performance Management
2● Dynamically changing information needs... the bottlenecks
3● It is possible in an SAP ERP environment
4● About Every Angle
10
11. Major IT roadblocks for Performance Management
It’s hard to get information
out of data (fast & correct)
Process data structures Proposed functional solution Interfunctional
are inherently complex specifications can be wrong co-operation is hard
Expert brains
war zone
“Ashby’s law of Few people have an in-depth Managers BI experts seldom
Requisite Variety” also cross-functional insight in cannot understand
applies to ERP ERP/process mechanics specify business needs
Data Model Process Model Co-operation
Complexity Complexity roadblocks
A succesful end-user application has to beat these roadblocks and must be extremely fast
11
12. Contents
1● About Closed Loop Performance Management
2● Dynamically changing information needs... the bottlenecks
3● It is possible in an SAP ERP environment
4● About Every Angle
12
13. A consistent platform for business analytics in SAP ERP…
Top management
Display layer Reporting & Analytics
Strategic KPIs
BI / BW
Operational management
Operational KPI
Performance
Control Operational KPI
Management
Measurement
Standard
content
Business Process
Process Analysis Ad hoc
experts analysis
Improvement
Analysis
Action lists
Execution
Detect and Act ERP
13
14.
15. What would you prefer to improve your performance?
an unstructured, risky an easy-to-end-use,
Excel-wood out-of-the-box solution
Classic / Corporate PM
Vertical, Control oriented
Financial, strategic
Stabile KPIs
Operational PM or
Horizontal,
process oriented
High detail and
diversity
Multi dimensional
Extremely volatile
15
16. Contents
1● About Closed Loop Performance Management
2 Dynamically changing information needs... the bottlenecks
3● It is possible in an SAP ERP environment
4● About Every Angle
16
17. Quick Introduction of EveryAngle Software Solutions
● International software company with HQ in NL
● 14 years of experience in BI
● Thoughtleader in „in Memory“ technology
● Specialized on Business Performance Management
based on SAP ERP
● SAP certified since 2001
● Mature product, used by more than 50 SAP
customers in more than 30 countries globally
● Further expansion to USA, Latin America,
and APA
● GARTNER :
„Cool Vendor 2011“ in the SAP Ecosystem
17
18. What is Every Angle About?
Every Angle is about Business Analytics on SAP-databases
● Out of the box SAP add-on, live within 48 hours (plug & play)
● Based on SAP-ERP-data as a source
● Using master data, transactional data as well as customizing settings of the SAP system
● Object oriented “In Memory” technology for very quick analyses
● Prime focus is to enable business analytics
● Enables the business user
Pre and Post Implementation Uses
● Process Performance Management
● Data cleansing / Data governance
● Project support (e.g. Go-Live Support)
Results
● Quick ROI by :
Compliance , Data quality , Service level , working capital
18
20. Benefits using Every Angle
• Increase the operational Performance of your
company through an incredible transparency
• Improvement of compliance, since the analysis comes
directly from company data within SAP and not from Excel
• Reduced TCO by increasing the data quality of master data
as well as transactional data in ERP
• Quick ROI by fast implementation (48h) as well as
existing content based on Best Practice
• Supports decisions of the enterprise on all levels
• Increase acceptance and SAP user satisfation
• SAP partner solution, secures your investment in SAP
• Reliable standard solution which is already implemented
at more that 50 global customers
20
21. Every Angle harmonizes your day-to-day Business Analytics jungle
How it probably is now How it can be
Every Angle – Business Analytics made easy for SAP
Business benefit
‘Get in control’ of your information and improve your business results.
“I want an agile system that works for me (data collection & interpretation), and that supports me to take
decisions that improve our business performance”
IT Benefit
‘Get in control’ of your IT landscape and save costs.
“I want a stable, easy to manage operational reporting system, that fits in my IT landscape and saves us time
and money”
21
22. Every Angle gets you in control ...
Management Process Execution
experts
Improve
Measure Analyse Actions Get your answer – 3 sec
Alternatives EA-client SAP-ZEA03
Customer Predefined Ask any new question – 3 min
Specific Standard
Angles Angles
Every Angle automatically extracts SAP data and
transforms it into business content which is available
easily and superfast for business users through
an EA-client GUI, through ZEA03 and through alternative
publishing modes
Install and train users – 3 days
ERP-dB
22
23.
24. The proof is in the pudding...
Improve
CS
levels
Reduce
Remove
Working
Capital bottlenecks
How it can work...
an example
Prevent
problems
...
before they
Active use occur
of classifi-
cation info
24
25. Enterprise Performance Management
Corporate Performance Mgt Operational Performance Mgt
Plan and Execute Observe and Respond
● Budget performance ● Process performance
● Actuals versus Budget ● Process goal fulfilment
● Analysis of Variances=>Actions ● Root Cause Analysis =>Actions
● Characteristics of report content ● Characteristics of report content
● Results of closed processes ● Interdependencies of open processes
● Functional domain (one module) ● P2P, O2C, End to End process (cross module)
● Aggregated – Static ● Details – Ad hoc – Dynamic/Agile – Visibility
● Technology ● Technology
● Datawarehouses ● Definitely in memory...
● Business Intelligence ● Business Analytics