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SAP ´ s Strategy for Enabling Integrated Business Planning

The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission o f SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligations to pursue any course of business outlined in this document or any related presentation, or do develop or release any functionality mentioned therein. This document, or any related presentation and SAP ´ s strategy and future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at anytime for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or impl ied , including but not limited to, the implied warranties of merchantability, fitness for particular purpose, or non ínfringement.This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP ´ s willful misconduct or negligence. All forward looking statements are subject to various risks and uncertainties that could actual result to differ materially form expectations. Readers are cautioned no to place undue reliance on these forward looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

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CUSTOMER Product Management - LoB Digital Supply Chain April 2018 SAP´s Strategy for Enabling Integrated Business Planning
2 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Legal Disclaimer The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligations to pursue any course of business outlined in this document or any related presentation, or do develop or release any functionality mentioned therein. This document, or any related presentation and SAP´s strategy and future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at anytime for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for particular purpose, or non-ínfringement.This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful misconduct or negligence. All forward-looking statements are subject to various risks and uncertainties that could actual result to differ materially form expectations. Readers are cautioned no to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.
3 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Digital Supply Chain Management Strategy Real-Time Business Processes Plan Respond Deliver Design Produce Operate End-to-End Supply Chain Business Processes Real-time Data Machines / Sensors / Devices Business Partners Real-time Collaboration Agility & Speed Flexibility & Scalability
4 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Digital Supply Chain Product Investment Focus End-to-End Supply Chain Business Processes Production Plan./Exec. & Procurement Freight Execution & Tracking Transportation Planning Warehouse Execution Demand, Inventory & Supply Planning Agility & Speed Flexibility & Scalability Real-time Collaboration Business Network Enablement SAP Supplier Network Collaboration SAP Global Track and Trace SAP Logistics Business Network Real-time Data SAP Leonardo Transportation Logistics Warehouse Logistics Integrated Business Planning
5 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Unified Platform & Integrated Processes SAP HANA Sales & Operations Strategic and Tactical Decision Processes Supply Chain Control Tower Exception Handling and Business Network Collaboration Demand Demand Sensing, Statistical Forecasting & Consensus Planning Inventory Multi-Stage Inventory Optimization Response & Supply Allocations & Deployment Planning, Order Rescheduling Unconstrained & Constrained Supply Planning Plan Respond
6 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ New Generation of Supply Chain Planning from SAP State-of-the-Art Architecture based on SAP HANA One Integrated Planning Model Real-time planning and what-if scenario simulation Embedded social collaboration platform SAP JAM Integrated business planning SCP processes Real-time insight, monitoring & alerting Smart algorithms incl. machine learning Simplified User Experience with SAP Fiori and Microsoft Excel Sales & Operations Planning Supply Chain Control Tower Demand Planning Inventory Optimization Response, Deployment & Supply Planning
7 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Unified User Experience Browser-based WebUI • Real-time insight & monitoring • Exception handling / alerts • S&OP Process & Task Management • Model Configuration • Job Scheduling SAP JAM • Embedded social collaboration platform • Exchange ideas • Keep all stakeholders informed about the latest activities • S&OP Task Management IBP Add-In for Microsoft Excel • Real-time insight & monitoring to analyze the data • Advanced planning and data management • Real-time what-if scenario simulations • Master Data Management
8 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ All modules are running on same data model with no need for Data Transformations One Harmonized Data Model Key enabler for more frequent and integrated planning cycles on all levels and across all areas
9 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ New and sophisticated planning algorithms address the changing focus in supply chain planning Inventory Optimization Most-efficient inventory deployment to meet service level targets Demand Sensing Increase forecast accuracy in the short term horizon and plan your demand in daily buckets Fast, priority-based Response Management React to short term changes in demand or supply with adjustments New Planning Algorithms 90% 92% 94% 96% 98% 100% Inventory ($) Customer Service Level (%) Optimal inventory Demand Supply
10 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Fast and scalable version and scenario planning leads to faster decision processes that are based on profound knowledge Real-time what-if scenario planning Real-time scenarios and simulation on entire model Real-Time “What-If” Simulation and Comparison
11 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Innovation Progress 2012 - 2013 2014 - 2016 Functional, Integration, Industry-specific & Security Enhancements Supply Chain Control Tower Inventory Response & Supply Demand Sales & Operations SAP HANA Sales & Operations Planning SAP HANA IBP Unified Platform & Integrated Processes S&OP Cloud-based, Strategic Planning
12 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Future Innovation Focus S&OP Cloud-based, Strategic Planning 2012 - 2013 IBP Unified Platform & Integrated Processes 2014 - 2016 2017 + Supply Chain Control Tower Inventory Response & Supply Demand Sales & Operations SAP HANA Sales & Operations Planning SAP HANA IBP Business Networks, Advanced Planning, Machine Learning, and Smart Extensions Functional, Integration, Industry-specific & Security Enhancements
13 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Exponential Growth Continued in 2017 Testament to a Solid Strategy and Strong Product 0 50 100 150 200 250 300 350 400 2012 2013 2014 2015 2016 2017 Exponential Growth of New Customers with 350+ IBP Customers Worldwide
14 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Future Innovation Focus Details Advanced Planning • Sophisticated Algorithms • Integration • Flexible Modelling & Configuration Business Network Collaboration Machine Learning Usability • Visualization • Process Automation • Exception Handling • Stakeholder Management Cloud Operations • Scaling & Performance • Security • Test Automation • Extensibility SAP Integrated Business Planning SAP HANA This is the current state of planning and may be changed by SAP at any time.
Usability
16 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Usability Today Browser-based WebUI • Consultants • Administrators • Planners and Business Users SAP JAM • Planners and Business Users IBP Add-In for Microsoft Excel • Planners and Business Users
17 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ WebUI for Business Users and Planners Easy Consumption of Data via Dashboards and other SAP Fiori apps • Creating real-time reports, including user-defined charts and dashboards • Visualize the order network, analyze the supply usage or gating factors and perform order confirmations • Visualization capabilities via mobile devices
18 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ • Real-time alerting on critical situations within your planning processes • Smart alerts and actionable analytics to understand the root causes of the exception • Lean, case-based exception handling that drives collaborative actions to ultimately resolve the issue • What-if simulation capabilities supporting robust decision processes WebUI for Business Users and Planners Exception Handling & Case Management
19 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ WebUI for Consultants and Administrators – Define how your system and processes are running every day Housekeeping • Define and schedule application jobs and job chains • Analyze application logs System Setup • Users, roles and authorizations • Planning operators such as statistical forecast models and supply optimizer Model Configuration • Flexible Planning Area set-up incl your own master data structure • Define custom key figure calculations and disaggregation rules
20 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Planning in Microsoft Excel for Professional Planners • Real-time access to your IBP system and data, directly in Microsoft Excel • Easily create custom Planning Views • Visualize, analyze and adapt your master and time series data • Simulate planning jobs for ad-hoc “what-if” analysis and create your own scenarios • Use local key figures to quickly use your custom excel formulas on IBP data • Use own VBA coding to further finetune your planning views and planner interaction
21 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Social Collaboration with SAP JAM • Embedded social collaboration platform • Share ideas, actions and documents • Work and report your individual tasks from the S&OP process • IBP can post information about jobs that were run with the reason codes and comments from the planners
Advanced Planning
23 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Different Planning Horizons Operational Level • Demand Sensing (Short-term Forecasting) • Response Management: Supply Priorities & Order Confirmation • Deployment Planning Tactical Level • Sales & Operations Planning • Inventory Optimization • Demand Planning • Supply and Allocations Planning Strategic Level • Strategic Sales & Operations Planning • Strategic Inventory Management • Business Planning Strategic Planning Tactical Planning Operational Planning
24 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Beyond organizational boundaries Customer Finance Executives Sales / Marketing Supply Chain
25 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Enablers • Automatically cleanse your data and compute the best possible plan • Sophisticated algorithms determine patterns in constantly growing data • Tailor the solution towards your individual process flows • Easily drive key decisions and planning assumptions and gather information from different stakeholders • Leverage data from different systems in your landscape, e.g. ERP, BW, or other solutions Robust Data Integration Fast Data Processing Flexible Process Modelling
26 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Time Series- Based Integration using SAP CPI-DS Technology Integrating data from multiple systems SAP Integrated Business Planning ERP ERP ERP TM APO APO APO SNC EM 3rd Party 3rd Party 3rd Party * Multiple Systems can be connected to IBP. This requires additional work in implementation projects. Effort depends on customer scenario. Templates are available for some standard processes.
27 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Data Processing IBP Covering an Extensive Set of Planning Capabilities
28 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ End to End Process Modelling Example Strategic & Tactical Long-term Frequency: Monthly Horizon: 1-3 years Buckets: Months, Weeks Tactical & Operational Mid-Term Frequency: Weekly Horizon: 1-12 months Buckets: Weeks, Days Operational Short-Term Frequency: Daily Horizon: 1-12 weeks Buckets: Days Financial Plan Marketing Plan External Process SAP IBP Process Supplier Forecast Commit (Integration with SAP Ariba) Review Consensus Demand Plan Create & Review Supply Plan Management Review Balance Demand & Supply S&OP Process Sales History Sales Plan Consensus Demand Plan Supply Proposals & Product Allocations Deployment Stock Transfers Sensed Demand Plan Sales and Shipment History Sales Orders ATP Check Inventory Targets Real Time Analytics & Exception Handling Supply Proposal & Sales Order Confirmation Execution Orders Operational Planning & Execution Processes
Business Network Collaboration
41 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Business Network Collaboration with IBP Today SAP Integrated Business Planning Supplier Collaboration Forecast Commit • Integration with SAP Ariba Supply Chain Collaboration • Forecast in IBP is send to suppliers who are on-boarded on the SAP Ariba Supply Chain Collaboration platform • Supplier commits forecast and sends it back to SAP Integrated Business Planning • Suppliers maintains their stock on-hand in SAP Ariba and this would then get published in SAP Integrated Business Planning Inventory Visibility
42 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Business Network Collaboration with IBP Planned Key Innovation Highlights Process Management (Alerts, Status Overview) Customer Collaboration SMI VMI Demand Forecast Collaboration Product direction SAP Integrated Business Planning Supplier Collaboration Forecast Commit Inventory Visibility This is the current state of planning and may be changed by SAP at any time.
Machine Learning
44 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Selected Machine Learning (ML) Use Cases in IBP Product direction Future / Research Phase PoC with Customer Data ML supporting New Product Introduction with better like modelling Automatic Exception Handling and intelligent Decision Support (DSC) Flexible determination of Master Data using ML, e.g. lead times Additional ML forecasting algorithms, e.g. Gradient Boosting Planned with IBP 1811 Available Demand Sensing Pattern Recognition Use ML to analyse segmentation groups This is the current state of planning and may be changed by SAP at any time. Machine Learning Customer Workgroup Established in January 2018
Cloud Operations
46 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Data Centers Worldwide Coverage IBP Data Centers running IBP Moscow Russia Sydney Australia Shanghai China Sterling US Newtown Square US St. Leon-Rot Germany
47 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Release Cycles Continuous Innovation Delivered Quarterly Latest Release (Planned) Release Release 1708 Release 1711 Release 1902 Release 1811 Release 1808 Release 1805 Release 1802 Release 1905 2017 2018 A S O N D J F M A M J J A S O N D J F M A M J 2019 Quality Stability Performance Features & Usability
Wrap Up
49 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP‘s Supply Chain Planning Solution in a Nutshell SAP is a “Leader” in the Gartner Magic Quadrant for both Supply Chain Planning and Sales & Operations Planning (S&OP) with its IBP solution Analyst Perspective Strategy SAP offers an innovative solution portfolio that enables companies to realize digital transformation in their supply chain IBP is addressing key strategic topics such as machine learning Supply Chain Planning SAP is the market leader in Supply Chain Management solutions IBP is the new world class platform for end to end supply chain planning on all levels Integration End to end integration from planning to execution User friendly, flexible interfaces with fast implementation times Major Players from 9 different industries successfully run IBP Including Automotive, Consumer Products, Chemicals, Distribution/ Retail, High Tech, Life Sciences, Manufacturing, Mill Products & Mining, and Services industries > 60 SAP Partners globally, focused on SAP IBP consulting practices and continuous enablement H1/12 Industries Partners Support & Maintenance Customers 350+ IBP customers live or in implementation since solution launch in 2011 Customer influence program and strong community SAP Service and Support Professionals work 24x7 worldwide Highly Secure Global Data Centers in different regions are running IBP
50 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ ASUG Annual Conference IBP sessions (June 7, 2018 – Orlando, Florida) • ASUG10093: SAP Roadmap: Integrated Business Planning (SAP IBP) • ASUG12117 Roundtable: We Have SAP Advanced Planning & Optimization So Why/When Should We Consider SAP IBP? • ASUG9728: SAP Solution Strategy for Demand-Driven Material Requirements Planning (DDMRP) • E61492: Boost Collaboration with Ariba Network and SAP Integrated Business Planning • BA61214: Integrate Sales and Operations Planning to Foster Collaboration and Growth • ASUG11995: Financial Planning with SAP Business Planning and Consolidation, SAP Integrated Business Planning, and SAP S/4HANA • ASUG11619: Inventory Optimization in SAP Integrated Business Planning in the Consumer Packaged Goods Industry • ASUG11042: SAP Integrated Business Planning for Demand at Syngenta Promises Multimillion Reduction in Inventory • BA61215: Digialtize Your Supply Network Through Integrated Business Planning • BA61223: Address Demand with an Integrated, Real-Time Approach to Business Planning • …
51 CUSTOMER © 2017 SAP SE or an SAP affiliate company. All rights reserved. ǀ Easy to Learn More Recommended links for customers and partners • IBP on sap.com: http://go.sap.com/product/scm/integrated-business-planning.html • Upcoming Events, Webinars and Recorded Sessions: https://wiki.scn.sap.com/wiki/display/SCM/Events+and+Webinars+for+SAP+Integrated+Business+Planning • SAP Online Help, Documentation & What‘s New: http://help.sap.com/ibp • Roadmap: https://www.sap.com/products/roadmaps.html  Browse all Road Maps  Products and Solutions  Internet of Things and Digital Supply Chain  Supply Chain • SAP Community Page: http://scn.sap.com/community/scm/ibp • Customer Influence Program: https://influence.sap.com/sap/ino/#/campaign/21 • Starter Edition Offering, incl RDS content: https://www.sapstore.com/solutions/60032/SAP-Integrated-Business-Planning-starter-edition%2C-non-production • Innovation Discovery including Early Knowledge Transfer (EKT) content: https://zinnovationdiscovery- supportportal.dispatcher.hana.ondemand.com/#/innovations/searchid=0090FABF323E1ED6939F322BE038E0CA
Thank you. Contact information: Anna Linden Product Manager – SAP Integrated Business Planning SAP SE, Walldorf, Germany anna.linden@sap.com
No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices. © 2017 SAP SE or an SAP affiliate company. All rights reserved.

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SAP ´ s Strategy for Enabling Integrated Business Planning

  • 1.
    CUSTOMER Product Management -LoB Digital Supply Chain April 2018 SAP´s Strategy for Enabling Integrated Business Planning
  • 2.
    2 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Legal Disclaimer The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligations to pursue any course of business outlined in this document or any related presentation, or do develop or release any functionality mentioned therein. This document, or any related presentation and SAP´s strategy and future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at anytime for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for particular purpose, or non-ínfringement.This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful misconduct or negligence. All forward-looking statements are subject to various risks and uncertainties that could actual result to differ materially form expectations. Readers are cautioned no to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.
  • 3.
    3 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ SAP Digital Supply Chain Management Strategy Real-Time Business Processes Plan Respond Deliver Design Produce Operate End-to-End Supply Chain Business Processes Real-time Data Machines / Sensors / Devices Business Partners Real-time Collaboration Agility & Speed Flexibility & Scalability
  • 4.
    4 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ SAP Digital Supply Chain Product Investment Focus End-to-End Supply Chain Business Processes Production Plan./Exec. & Procurement Freight Execution & Tracking Transportation Planning Warehouse Execution Demand, Inventory & Supply Planning Agility & Speed Flexibility & Scalability Real-time Collaboration Business Network Enablement SAP Supplier Network Collaboration SAP Global Track and Trace SAP Logistics Business Network Real-time Data SAP Leonardo Transportation Logistics Warehouse Logistics Integrated Business Planning
  • 5.
    5 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Unified Platform & Integrated Processes SAP HANA Sales & Operations Strategic and Tactical Decision Processes Supply Chain Control Tower Exception Handling and Business Network Collaboration Demand Demand Sensing, Statistical Forecasting & Consensus Planning Inventory Multi-Stage Inventory Optimization Response & Supply Allocations & Deployment Planning, Order Rescheduling Unconstrained & Constrained Supply Planning Plan Respond
  • 6.
    6 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ New Generation of Supply Chain Planning from SAP State-of-the-Art Architecture based on SAP HANA One Integrated Planning Model Real-time planning and what-if scenario simulation Embedded social collaboration platform SAP JAM Integrated business planning SCP processes Real-time insight, monitoring & alerting Smart algorithms incl. machine learning Simplified User Experience with SAP Fiori and Microsoft Excel Sales & Operations Planning Supply Chain Control Tower Demand Planning Inventory Optimization Response, Deployment & Supply Planning
  • 7.
    7 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Unified User Experience Browser-based WebUI • Real-time insight & monitoring • Exception handling / alerts • S&OP Process & Task Management • Model Configuration • Job Scheduling SAP JAM • Embedded social collaboration platform • Exchange ideas • Keep all stakeholders informed about the latest activities • S&OP Task Management IBP Add-In for Microsoft Excel • Real-time insight & monitoring to analyze the data • Advanced planning and data management • Real-time what-if scenario simulations • Master Data Management
  • 8.
    8 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ All modules are running on same data model with no need for Data Transformations One Harmonized Data Model Key enabler for more frequent and integrated planning cycles on all levels and across all areas
  • 9.
    9 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ New and sophisticated planning algorithms address the changing focus in supply chain planning Inventory Optimization Most-efficient inventory deployment to meet service level targets Demand Sensing Increase forecast accuracy in the short term horizon and plan your demand in daily buckets Fast, priority-based Response Management React to short term changes in demand or supply with adjustments New Planning Algorithms 90% 92% 94% 96% 98% 100% Inventory ($) Customer Service Level (%) Optimal inventory Demand Supply
  • 10.
    10 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Fast and scalable version and scenario planning leads to faster decision processes that are based on profound knowledge Real-time what-if scenario planning Real-time scenarios and simulation on entire model Real-Time “What-If” Simulation and Comparison
  • 11.
    11 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Innovation Progress 2012 - 2013 2014 - 2016 Functional, Integration, Industry-specific & Security Enhancements Supply Chain Control Tower Inventory Response & Supply Demand Sales & Operations SAP HANA Sales & Operations Planning SAP HANA IBP Unified Platform & Integrated Processes S&OP Cloud-based, Strategic Planning
  • 12.
    12 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Future Innovation Focus S&OP Cloud-based, Strategic Planning 2012 - 2013 IBP Unified Platform & Integrated Processes 2014 - 2016 2017 + Supply Chain Control Tower Inventory Response & Supply Demand Sales & Operations SAP HANA Sales & Operations Planning SAP HANA IBP Business Networks, Advanced Planning, Machine Learning, and Smart Extensions Functional, Integration, Industry-specific & Security Enhancements
  • 13.
    13 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Exponential Growth Continued in 2017 Testament to a Solid Strategy and Strong Product 0 50 100 150 200 250 300 350 400 2012 2013 2014 2015 2016 2017 Exponential Growth of New Customers with 350+ IBP Customers Worldwide
  • 14.
    14 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Future Innovation Focus Details Advanced Planning • Sophisticated Algorithms • Integration • Flexible Modelling & Configuration Business Network Collaboration Machine Learning Usability • Visualization • Process Automation • Exception Handling • Stakeholder Management Cloud Operations • Scaling & Performance • Security • Test Automation • Extensibility SAP Integrated Business Planning SAP HANA This is the current state of planning and may be changed by SAP at any time.
  • 15.
  • 16.
    16 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Usability Today Browser-based WebUI • Consultants • Administrators • Planners and Business Users SAP JAM • Planners and Business Users IBP Add-In for Microsoft Excel • Planners and Business Users
  • 17.
    17 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ WebUI for Business Users and Planners Easy Consumption of Data via Dashboards and other SAP Fiori apps • Creating real-time reports, including user-defined charts and dashboards • Visualize the order network, analyze the supply usage or gating factors and perform order confirmations • Visualization capabilities via mobile devices
  • 18.
    18 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ • Real-time alerting on critical situations within your planning processes • Smart alerts and actionable analytics to understand the root causes of the exception • Lean, case-based exception handling that drives collaborative actions to ultimately resolve the issue • What-if simulation capabilities supporting robust decision processes WebUI for Business Users and Planners Exception Handling & Case Management
  • 19.
    19 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ WebUI for Consultants and Administrators – Define how your system and processes are running every day Housekeeping • Define and schedule application jobs and job chains • Analyze application logs System Setup • Users, roles and authorizations • Planning operators such as statistical forecast models and supply optimizer Model Configuration • Flexible Planning Area set-up incl your own master data structure • Define custom key figure calculations and disaggregation rules
  • 20.
    20 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Planning in Microsoft Excel for Professional Planners • Real-time access to your IBP system and data, directly in Microsoft Excel • Easily create custom Planning Views • Visualize, analyze and adapt your master and time series data • Simulate planning jobs for ad-hoc “what-if” analysis and create your own scenarios • Use local key figures to quickly use your custom excel formulas on IBP data • Use own VBA coding to further finetune your planning views and planner interaction
  • 21.
    21 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Social Collaboration with SAP JAM • Embedded social collaboration platform • Share ideas, actions and documents • Work and report your individual tasks from the S&OP process • IBP can post information about jobs that were run with the reason codes and comments from the planners
  • 22.
  • 23.
    23 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Different Planning Horizons Operational Level • Demand Sensing (Short-term Forecasting) • Response Management: Supply Priorities & Order Confirmation • Deployment Planning Tactical Level • Sales & Operations Planning • Inventory Optimization • Demand Planning • Supply and Allocations Planning Strategic Level • Strategic Sales & Operations Planning • Strategic Inventory Management • Business Planning Strategic Planning Tactical Planning Operational Planning
  • 24.
    24 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Beyond organizational boundaries Customer Finance Executives Sales / Marketing Supply Chain
  • 25.
    25 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Advanced Planning Enablers • Automatically cleanse your data and compute the best possible plan • Sophisticated algorithms determine patterns in constantly growing data • Tailor the solution towards your individual process flows • Easily drive key decisions and planning assumptions and gather information from different stakeholders • Leverage data from different systems in your landscape, e.g. ERP, BW, or other solutions Robust Data Integration Fast Data Processing Flexible Process Modelling
  • 26.
    26 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Time Series- Based Integration using SAP CPI-DS Technology Integrating data from multiple systems SAP Integrated Business Planning ERP ERP ERP TM APO APO APO SNC EM 3rd Party 3rd Party 3rd Party * Multiple Systems can be connected to IBP. This requires additional work in implementation projects. Effort depends on customer scenario. Templates are available for some standard processes.
  • 27.
    27 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Data Processing IBP Covering an Extensive Set of Planning Capabilities
  • 28.
    28 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ End to End Process Modelling Example Strategic & Tactical Long-term Frequency: Monthly Horizon: 1-3 years Buckets: Months, Weeks Tactical & Operational Mid-Term Frequency: Weekly Horizon: 1-12 months Buckets: Weeks, Days Operational Short-Term Frequency: Daily Horizon: 1-12 weeks Buckets: Days Financial Plan Marketing Plan External Process SAP IBP Process Supplier Forecast Commit (Integration with SAP Ariba) Review Consensus Demand Plan Create & Review Supply Plan Management Review Balance Demand & Supply S&OP Process Sales History Sales Plan Consensus Demand Plan Supply Proposals & Product Allocations Deployment Stock Transfers Sensed Demand Plan Sales and Shipment History Sales Orders ATP Check Inventory Targets Real Time Analytics & Exception Handling Supply Proposal & Sales Order Confirmation Execution Orders Operational Planning & Execution Processes
  • 29.
  • 30.
    41 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Business Network Collaboration with IBP Today SAP Integrated Business Planning Supplier Collaboration Forecast Commit • Integration with SAP Ariba Supply Chain Collaboration • Forecast in IBP is send to suppliers who are on-boarded on the SAP Ariba Supply Chain Collaboration platform • Supplier commits forecast and sends it back to SAP Integrated Business Planning • Suppliers maintains their stock on-hand in SAP Ariba and this would then get published in SAP Integrated Business Planning Inventory Visibility
  • 31.
    42 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Business Network Collaboration with IBP Planned Key Innovation Highlights Process Management (Alerts, Status Overview) Customer Collaboration SMI VMI Demand Forecast Collaboration Product direction SAP Integrated Business Planning Supplier Collaboration Forecast Commit Inventory Visibility This is the current state of planning and may be changed by SAP at any time.
  • 32.
  • 33.
    44 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Selected Machine Learning (ML) Use Cases in IBP Product direction Future / Research Phase PoC with Customer Data ML supporting New Product Introduction with better like modelling Automatic Exception Handling and intelligent Decision Support (DSC) Flexible determination of Master Data using ML, e.g. lead times Additional ML forecasting algorithms, e.g. Gradient Boosting Planned with IBP 1811 Available Demand Sensing Pattern Recognition Use ML to analyse segmentation groups This is the current state of planning and may be changed by SAP at any time. Machine Learning Customer Workgroup Established in January 2018
  • 34.
  • 35.
    46 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ SAP Data Centers Worldwide Coverage IBP Data Centers running IBP Moscow Russia Sydney Australia Shanghai China Sterling US Newtown Square US St. Leon-Rot Germany
  • 36.
    47 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Release Cycles Continuous Innovation Delivered Quarterly Latest Release (Planned) Release Release 1708 Release 1711 Release 1902 Release 1811 Release 1808 Release 1805 Release 1802 Release 1905 2017 2018 A S O N D J F M A M J J A S O N D J F M A M J 2019 Quality Stability Performance Features & Usability
  • 37.
  • 38.
    49 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ SAP‘s Supply Chain Planning Solution in a Nutshell SAP is a “Leader” in the Gartner Magic Quadrant for both Supply Chain Planning and Sales & Operations Planning (S&OP) with its IBP solution Analyst Perspective Strategy SAP offers an innovative solution portfolio that enables companies to realize digital transformation in their supply chain IBP is addressing key strategic topics such as machine learning Supply Chain Planning SAP is the market leader in Supply Chain Management solutions IBP is the new world class platform for end to end supply chain planning on all levels Integration End to end integration from planning to execution User friendly, flexible interfaces with fast implementation times Major Players from 9 different industries successfully run IBP Including Automotive, Consumer Products, Chemicals, Distribution/ Retail, High Tech, Life Sciences, Manufacturing, Mill Products & Mining, and Services industries > 60 SAP Partners globally, focused on SAP IBP consulting practices and continuous enablement H1/12 Industries Partners Support & Maintenance Customers 350+ IBP customers live or in implementation since solution launch in 2011 Customer influence program and strong community SAP Service and Support Professionals work 24x7 worldwide Highly Secure Global Data Centers in different regions are running IBP
  • 39.
    50 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ ASUG Annual Conference IBP sessions (June 7, 2018 – Orlando, Florida) • ASUG10093: SAP Roadmap: Integrated Business Planning (SAP IBP) • ASUG12117 Roundtable: We Have SAP Advanced Planning & Optimization So Why/When Should We Consider SAP IBP? • ASUG9728: SAP Solution Strategy for Demand-Driven Material Requirements Planning (DDMRP) • E61492: Boost Collaboration with Ariba Network and SAP Integrated Business Planning • BA61214: Integrate Sales and Operations Planning to Foster Collaboration and Growth • ASUG11995: Financial Planning with SAP Business Planning and Consolidation, SAP Integrated Business Planning, and SAP S/4HANA • ASUG11619: Inventory Optimization in SAP Integrated Business Planning in the Consumer Packaged Goods Industry • ASUG11042: SAP Integrated Business Planning for Demand at Syngenta Promises Multimillion Reduction in Inventory • BA61215: Digialtize Your Supply Network Through Integrated Business Planning • BA61223: Address Demand with an Integrated, Real-Time Approach to Business Planning • …
  • 40.
    51 CUSTOMER © 2017 SAPSE or an SAP affiliate company. All rights reserved. ǀ Easy to Learn More Recommended links for customers and partners • IBP on sap.com: http://go.sap.com/product/scm/integrated-business-planning.html • Upcoming Events, Webinars and Recorded Sessions: https://wiki.scn.sap.com/wiki/display/SCM/Events+and+Webinars+for+SAP+Integrated+Business+Planning • SAP Online Help, Documentation & What‘s New: http://help.sap.com/ibp • Roadmap: https://www.sap.com/products/roadmaps.html  Browse all Road Maps  Products and Solutions  Internet of Things and Digital Supply Chain  Supply Chain • SAP Community Page: http://scn.sap.com/community/scm/ibp • Customer Influence Program: https://influence.sap.com/sap/ino/#/campaign/21 • Starter Edition Offering, incl RDS content: https://www.sapstore.com/solutions/60032/SAP-Integrated-Business-Planning-starter-edition%2C-non-production • Innovation Discovery including Early Knowledge Transfer (EKT) content: https://zinnovationdiscovery- supportportal.dispatcher.hana.ondemand.com/#/innovations/searchid=0090FABF323E1ED6939F322BE038E0CA
  • 41.
    Thank you. Contact information: AnnaLinden Product Manager – SAP Integrated Business Planning SAP SE, Walldorf, Germany anna.linden@sap.com
  • 42.
    No part ofthis publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP SE or an SAP affiliate company. The information contained herein may be changed without prior notice. Some software products marketed by SAP SE and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP SE or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP SE’s or its affiliated companies’ strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, and they should not be relied upon in making purchasing decisions. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE (or an SAP affiliate company) in Germany and other countries. All other product and service names mentioned are the trademarks of their respective companies. See http://global.sap.com/corporate-en/legal/copyright/index.epx for additional trademark information and notices. © 2017 SAP SE or an SAP affiliate company. All rights reserved.