1

Implementing SAP R/3 in 21st Century:

Methodology and Case Studies


Assist.Prof.Dr. Arzu Balolu
Marmara University
Computer Engineering
abaloglu@eng.marmara.edu.tr
arzubaloglu@superonline.com
2
Implementing SAP R/3 in 21st Century:
Methodology and Case Studies
Introduction
C Pro!ects and "rends in t#e $st Century

1.1. Introduction
1.2. hat is SAP 1.3.
!eeds o" the ne#t century
1.$. hat is Accelerated SAP %ASAP&
1.$.1 SAP R/3 system
1.$.2 ASAP implementation and some challenges
1.$.3 Conclusion
C$ Introduction to %AP Pro!ect Management
2.1 'asic de(nitions: Pro)ect and pro)ect management
2.2 SAP Implementation Methodologies and Strategies
2.2.1 Step *y step
2.2.2 Roll+out
2.2.3 'ig
'ang
2.3 Accelerated SAP: An o,er,ie-
2.3.1 ASAP roadmap
2.3.2 Current changes -ith ,alue SAP
C& An E'cient "ool for %AP Pro!ect Management ( Internet %ervices
3.1 Internet programs "or integral culture
3.2 Internet as pro)ect in"rastructure
3.3 .sing internet in pro)ect management
3.$ Chec/list *e"ore installing implementation tools
C) *o+ to Implement %AP
$.1 Pro)ect preparation
$.1.1 Pro)ect goals and o*)ecti,es
$.1.2 Roles and /ey "ocus
$.1.3 0etermining the implementation strategy
$.1.$ 0e,eloping a pro)ect *udget
$.1.1 Setting up the program organi2ation
$.1.3 0e,eloping a charter
$.1.4 Creating the pro)ect team training plan
$.1.5 0etermining the technical re6uirements
$.1.7 Setting up the pro)ect authority
$.1.18 Acti,ity and pro)ect planning
$.1.11 In,estigating the inno,ations in the pro)ect management practices
$.2 Solution de(nition
$.2.1 0esigning the training plan
$.2.2 9echnical design planning
$.2.3 Reali2ation o" some assessments
$.2.3.1 :ocused current state assessment
$.2.3.2 Customer re6uirements assessment
$.2.3.3 Process per"ormance assessment
$.2.3.$ Su*+process assessment
$.2.3.1 ;uman organi2ation assessment
3
$.2.3.3 Current state technology per"ormance assessment
$.2.$ 'usiness process de(nition
$.2.1 'usiness case de,elopment
$.2.3 ;o- to set up ,alue dri,en method
$.2.4 :inal de(nition o" the solution model
$.3 Solution de,elopment and reali2ation
$.3.1 Roles and /ey "ocus
$.3.2 Main acti,ities in the reali2ation phase
$.3.3 Pro)ect team training
$.3.$ Con,ersion and inter"aces
$.3.1 :inal con(guration
$.3.3 9ests
$.3.4 :inal integration test
$.3.5 Authori2ation
$.3.7 Prototyping
$.$ :inal preparation
$.$.1 .ser manual and support
$.$.2 <nd user training
$.$.3 System management and system test
$.$.$ Cut+o,er plan
$.$.1 :inal appro,al and ,alidations
$.$.3 =oing li,e chec/
$.$.4 0ata trans"er
C, *o+ to maintain %AP
1.1. Post implementation maintenance
1.2. Completion: Analysis and documentation
1.3. Pro,iding li,e system support
1.$. Managing the scope
1.$.1 Managing change re6uest
1.$.2 Closing the change re6uests
1.1 Pro)ect auditing
1.3 Structuring the impro,ement acti,ities
1.3.1 SAP and process consultants
1.3.2 'PR %'usiness Process Reengineering&
C- Importance of .ocal Culture
3.1 Cultural aspects o" communication and team-or/
3.2 SAP in 9ur/ish cultural conte#t
C/ Case %tudies

Case %tudy 00 P#ilip Morris1 "ur2ey
Case %tudy $ 00 3asar *olding1 "ur2ey
Case %tudy & 00 Basari *olding1 "ur2ey
Case %tudy ) 00 Pro!ect E4periences from t#e 5orld .iterature
Case %tudy , 00 Pro!ect E4periences from t#e %AP Pro!ect Managers
C6 Conclusion
4
789E589D
SAP is the most common <RP system all o,er the -orld as -ell as in 9ur/ey. I -or/ed "or
many companies> some o" -hich -ere using and most o" -hich -ere implementing SAP. I
ha,e e#perienced pro*lems and successes -ith the pro)ects I ha,e *een in,ol,ed o,er the
past years. ;o-e,er> *ased on my *usiness e#perience on SAP pro)ects I reali2ed that use"ul
documentation and re"erence *oo/s a*out SAP pro)ect management and approach -ere
currently not a,aila*le in 9ur/ey or else-here> although pro)ect management is the most
critical part o" SAP implementations. Additionally> "rom *oth success"ul and unsuccess"ul
implementations -e /eep on getting "eed*ac/ a*out lac/ o" re"erence *oo/s> -ritten
documentation and e#perience in these areas. SAP implementations re6uire strong
e#pertise and po-er"ul pro)ect management.
:urthermore> as "ar as -e e#perienced> there are no satis"actory re"erence *oo/s a*out SAP
pro)ect management in the uni,ersities -here -e teach <RP systems and implementations>
either. 'oo/s related to SAP modules> technologies and A'AP are a,aila*le in most places>
*ut the su*)ect o" pro)ect management is generally addressed inade6uately> in re"erence to
SAP implementations. It is also a su*)ect that is trans"orming o,er the years as ne-
methodologies are introduced and ne- SAP products are integrated to e#isting modules. ?et
I thin/ that there is enough material a*out SAP implementation and pro)ect management to
(ll a *oo/.
All these issues point to the need "or a methodological system approach. Particularly>
implementations in 9ur/ey re6uire a methodology that supports the *usiness processes that
might *e speci(c to 9ur/ey and its legal re6uirements> and "ocuses on 9ur/ish team-or/
ha*its and -or/ culture.

9his *oo/ does not claim to introduce a ne- methodology. Rather than that it is intended to
pro,ide a redesign in the methodology integrated -ith pro,en e#periences> ,arious
company approaches> SAP implementation methods> my o-n e#periences and in"ormation>
and also ela*orate case studies. I thin/ that company case studies are especially ,alua*le>
so readers might *e more interested in Chapter 4 -here these are presented.
9he redesigned methodology> -hich is *ased on a ne- system approach> is supposed to
impro,e the con,entional methods integrating them -ith ne- technological tools. :or
instance> internet has *een highlighted as a per"ect tool "or pro)ect management.

e also pro,ide t-o appendices> -hich might *e help"ul in implementation: Some pro)ect
control ta*le e#amples> -hich you can customi2e and impro,e -ithin the realm o" your
pro)ect> and a detailed /ey pro)ect team pro(les> -hich are hoped to assist you regarding
your pro)ect team speci(cations.

9his *oo/ integrates ,arious methods on *asis o" a common language> analy2ing some
e#periences and methodologies in -orld-ide SAP implementations "or the use o" *oth
academic and *usiness communities> and is hoped to meet an essential need o" current and
potential SAP clients> a,aila*le industrial users> SAP *usiness partners> consultants>
students and the academic community and ne- users in "uture.
5
AC:;85.ED<ME;"%


I than/ my "amily "or their e,erlasting support and "or coping -ith my pro*lems during the
-riting process. 9heir support moti,ated me to continue this *oo/. Particularly> I -ant to
than/ my mother *ecause she has al-ays pressed me in -riting li/e a coach and made me
calm -hene,er I -as stressed. ;er lo,e> moti,ation and coaching ha,e *een incredi*le.

!e#t> my gratitude goes to the my partner "or co+authoring this *oo/> Anil @2/ayna/> SAP
Consultant "rom Inno,a Consulting in .SA. 9han/ you soo much "or your e#cellent ,alues.

Special than/s are due to those -ho ha,e signi(cantly inAuenced my thin/ing a*out
supplied materials to help us -rite this *oo/: IBet Ay*ey C Philip Morris 9ur/eyD 9ayyar 'aca/
+ Anadolu <ndustri ;olding AS> 'ura/ .2/an + Anadolu <ndustri ;olding D Can .l,er>.+ ?asar
;olding AS> Astron ?a2ilim. Cihat @n*asi + 'asari =roup and to my other ,alua*le
collegues.
:urthermore> I than/ my students -ho helped us relating case studies: especially> 9amay
Cilasun and Silan 0ogan + 'ilgi .ni,ersityD and my managers and colleagues -ho supported
me -ith documentation and ideas a*out pro)ect methods "or managing pro)ects.
Another than/s to my dear "riend> :red Eeult)es + Computer <ngineer> !etherlands.
My (nal than/s to dear SAP employees @2an <rsen> Se*la Sal/ur and Sa"a ;a/tanir "rom SAP 9ur/ey Inc.

<n)oy the *oo/ and please send me your "eed*ac/s. :or any inaccuracies> please accept my
sincere apologies and "orgi,e me until the ne#t *oo/.

0ear :riends>
9han/ you all o" you again.

Ar2u 'aloglu
6
Figure List

7igure .. .in2ing t#e e4tended supply c#ain = %AP user day
7igure .$. Integrating Bac2 8'ce and 7ront 8'ce
7igure .&. %AP Product 7amily
7igure .). %AP 9>& Modules
7igure .,. %AP Basis
7igure .-. %AP Master Data
7igure $.. Accelerated %AP = Implementation %olution
7igure $.$. De?ning t#e points on t#e A%AP Upgrade 9oadmap.
7igure $.&. Documents of an A%AP Pro!ect
7igure ).. Pro!ect Preparation = +or2 paca2ages
7igure ).$. De?ne Pro!ect <oals and 8@!ecticves
7igure ).&. 9oles and :ey 7ocus
7igure ).). 9evie+ and con?rm implementation plan
7igure ).,. Determine Pro!ect 8rganization
7igure ).-. Pro!ect "eam 8rganization C#art
7igure )./. E'cient pro!ect organization
7igure ).6. "#e initial pro!ect c#arter and t#e pro!ect c#arter
7igure ).A. Create and Issue Pro!ect C#arter
7igure ).B. Create Pro!ect "eam "raining Plan
7igure ).. End User "raining and Documentation %trategy
7igure ).$. "ec#nical 9eCuirements planning for .ocal Pro!ects
7igure ).&. A fragment of an activity0@ased +or2 @rea2do+n structure
7igure ).). %AP Pro!ect Plan
7igure ).,. Design "raining Plans
7igure ).-. "ec#nical Design Planning
7igure )./. Business Blueprint
7igure ).6. Business Process De?nition 9eports
7igure).A. Business Process Innovation Pro?le %tructure
7igure ).$B. Dependency of Activities in Business Case Development
7igure ).$. Dependency of Activities in Pilot Planning
7igure ).$$. Dependency of activities in 9evie+ and Assessment
7igure ).$&. Dalue>"ime Die+
7igure ).$). 9ealization 0 9oles and :ey 7ocus
7igure ).$,. Pro!ect "eam "raining
7igure ).$-. Business Process Master .ist
7igure ).$/. 7inal Con?guration
7igure ).$6. "esting
7igure ).$A. 7inal Preparation P#ase
7igure ,.. "#e Business Process Intelligence .ife Cycle
7igure ,.$. A9I% Product>%ervice Die+
7igure ,.&. Process 5orld


"AB.E .I%"%(
"a@le &. C#ec2list @efore implementation
"a@le ). A %AP Cost>Bene?t Analysis
"a@le ,. 7ollo+ up pro!ect e4amples
"a@le -. ;orms DiEerentiating Collectivist and Individualist Cultures



I;"98DUC"I8;
7
hat has changed in *usiness li"e in the in"ormation age -e are e#periencing and -hat is
the re6uired trans"ormation *usinesses and organi2ations need to pursueF 9his
trans"ormation needs to *e -ell
de(ned and adapted appropriately to the corporation. A Ae#i*le> strong and corporate *usiness
en,ironment needs to *e esta*lished in order to reach comptetiti,eness and to *uild a dynamic *usiness.
As the *usiness li"e trans"orms continuously the amount o" pro)ect+*ased -or/ increases
signi(cantly in e,ery industry. A ne- pro)ect o"ten means a ne- target re6uiring a tas/ list
-ith ne- resources> a ne- organi2ation> a ne- mission and and a ,ision. 9he enterprise
needs to *uild models -hich meet todayGs re6uirements and support tomorro-Gs
competiti,e en,ironment.
;o-e,er> these systems -or/ -ithin a rele,ant methodology. 9he tas/ is to de,elop a
prototype> pro)ect procedures and so methodologies in order to e#ecute the pro)ects. Pro)ect
management co,ers these speci(c topics and in,estigates continuously -hat the
inno,ations and impro,ements are.

!umerous traditional pro)ect management methods ha,e *een tried and succeeded in
so"t-are implementation pro)ects do "ar. Most so"t-are implementation pro)ects until the
introduction o" large+ scale <RP systems ho-e,er ha,e *een limited to con,erting data "rom
legacy systems to ne- systems to *e implemented. 9his approach de(ned the pro)ect as an
in"ormation technology pro)ect and it -as mostly o-ned *y I9 departments. Pro)ects "ailed>
ne- systems -ere not up to their tas/> and this meant additional cost> and insuHcient
systems> o"ten loss o" *usiness> not to mention employee satis"action. As a result> these
isolated legacy systems -ere not eHcient enough to meet the re6uirements o" todayGs
*usiness and technology en,ironment. 9hey ha,e *een replaced *y Ae#i*le> integrated>
open and user+
"riendly products.

9he challenge o" implementing company+-ide <RP systems> co,ering all the "unctions o" a
company> and integrating processes in a customer oriented -ay has impro,ed the pro)ect
management approaches -ith the introduction o" o" ne- tools> internet technologies>
group-are> custom methodology data*ases and application. Resources and systems ha,e
*een utili2ed in a more eHcient -ay and has led to higher o,erall producti,ity. Moti,ation o"
employees as -ell as consultants ha,e *een impro,ed> "ocus on *udget made the e#ecuti,e
le,el sponsor -ith more enthusiasm.

@,er the past "e- years> in order to prepare "or the arri,al o" the year 2888 %?2E& many
companies -ere engaged in implementations o" standard *usiness so"t-are applications>
the enterprise systems particularly such as <RP> and supply chain management systems.
hile these so"t-are systems sol,ed the immediate pro*lem o" ?2E compliance> they -ere
typically implemented -ith an emphasis on speed and the need to (# the ?2E pro*lems.
9he scope o" data con,ersion "rom the legacy to the ne- systems -as not suHcient. :ocus
on *usiness processes -as re6uired in order to le,erage the capa*ilities o" the so"t-are to a
ma#imum. 9here -as also a ,ery common re6uirement to re+engineer the *usiness
processes completely "or technology+dri,en *usiness dynamics> such as the implementation
o" e+*usiness applications> <RP> '2'> SCM or 0ata arehousing applications.
As a result> many companies ha,e in,ested in e#pensi,e so"t-are applications> -ithout
recei,ing ade6uate returns on in,estments %R@I& so "ar. In "act> most o" such
implementations ha,e either "ailed to return the e#pected R@I> or ha,e cost much more
money and time to implement than e#pected.
In addition to ac6uiring the a*ility to master the challenges o" ?2E> e+*usiness etc.> the
"ollo-ing o*)ecti,es ha,e generally *een o" primary importance to companies -hich are
implementing integrated systems:
0 Reducing maintenance costs "or old systems
1 Replacing Ihome madeJ applications that ha,e pro,en too diHcult and too e#pensi,e to
maintain
0 Reducing redundant data in,entories
1 Standardi2ing *usiness re6uirements and related processes "or multiple locations
2 Integrating standard so"t-are to accelerate *usiness processes
8
hile the (rst t-o items ha,e *een accomplished *y most companies> optimi2ation o"
*usiness processes cannot *e automatically achie,ed *y implementing a so"t-are system>
e,en a system as comprehensi,e as <RP> e+*usiness or supply chain management.

In todayGs *usiness en,ironment> change is constant and sta/es are high. Eey decisions
ha,e the po-er to create a tremendous ripple eBect not only throughout the organi2ation.
And as soon as a process has *een updated or a ne- system implemented> a rapid cycle o"
o*solescence *egins. In an en,ironment li/e this> there is need "or Ae#i*ility to change as
ne- opportunities arise.
More speci(cally> -hen ma/ing decisions companies need:

0 9o determine -hich enterprise products are more con,enient to implement>
1 9o determine their actual re6uirements and e#pectations *e"ore the system selection>
2 9o ,eri"y that scheduled process throughput times are *eing met %and ho- consistently those
times are met&>
0 9o detect points -here a potential "or time and/or cost sa,ing impro,ements e#ist>
1 9o ,eri"y that process capacities correspond accurately to the amount o" -or/ that needs to
*e accomplished to meet customer demands>
0 9o ,eri"y that proposed process costs are *eing adhered to>
1 9o ascertain -hether planning premises -ere correct>
2 9o ensure that the *usiness processes currently *eing implemented are resulting in desired
le,els o" customer satis"action.


In summary> this *oo/ is generally "ocused on the impacts o" ne- technologies in todayGs
<RP pro)ect management.


C Pro!ects and "rends in t#e ;e+ Millennium

. Introduction
9he ne- millennium "ocuses on pro,en methods and lessons learned "rom dealing -ith
pro)ects in di,erse industries and settings. It *rings ne- technology opportunities to the
industrial en,ironment. Pro)ects li/e implementing SAP should address issues o"
organi2ation> process> and technology> and e#plore ho- modern technology tools such as
the internet and -orld -ide -e* can support eBecti,e pro)ect management and pro)ect
success.

9his chapter addresses current trends in colla*orati,e pro)ect management> conAicts and
resolutions concerning team -or/> and in"ormation sharing. <specially SAP Pro)ects -ill ha,e
to *ene(t "rom the technological opportunities o" the ne- millennium. It e#pands the
guidelines and the use o" modern technology> and spends more time on pro)ect analysis and
costing and issue management. Monitoring the latest technological progress helps impro,e
SAP pro)ect implementations and pro)ects are implemented using internet tools and cutting
the time o" the implementation. 9his *ecomes a ,ery important ad,antage "or pro)ect
managers> consultants> clients and *usiness partners.
9odayGs trend in so"t-are management is per"ormance and speed. 9hat is -hy>
implementation using internet technology -ill *e the most eHcient techni6ue in "uture> -e
*elie,e. In this *oo/ -e -ill try to suggest -ays to use the internet> intranet> data*ase
management systems and pro)ect management in order to complete a pro)ect in the most
eHcient -ay possi*le. e -ill "ocus on managerial> technical and human aspects o" a
pro)ect.

.$ 5#at is %AP

9he company SAP -as "ounded in aldor"> =ermany> in 1742 *y (,e e#+I'M engineers. SAP
stands "or System> An-endungen> Produ/te in der 0aten,erar*eitung %Systems>
Applications> Products in 0ata
9
Processing&. ;ead6uartered in aldor"> =ermany> SAP employs 27>888 people in more
than 18 countries. 9he original "ounders ha,e *een so success"ul in gro-ing SAP into a
glo*al player such that SAP A= is no- the third+largest independent so"t-are supplier in the
-orld> -ith o,er 17>388 customers>
18 million users and 38>188 installations> including more than hal" o" the -orldGs top 188 companies. SAP
had re,enues o" K4.$ *illion and net income o" K187 million in the year 2882 LSAP Annual Report 2882M .

hat made this company so success"ulF 9he (rst *ig scale product SAP launched in 1747
-as SAP R/2. Running on main"rame computers> R/2 -as the (rst integrated> enterprise
-ide pac/aged so"t-are and it -as an immediate success in =ermany. :or years SAP stayed
-ithin the =erman *orders until it had penetrated practically e,ery large =erman company.


Noo/ing "or more gro-th> SAP e#panded into the remainder o" <urope during the 58Os.
9o-ards the end o" the 58Os> client+ser,er architecture *ecame popular and SAP responded
-ith the release o" SAP R/3 %in 1772&. 9his turned out to *e another success "or SAP>
especially in the !orth American region into -hich SAP had e#panded in 1755.

9he gro-th o" SAP R/3 in !orth America has *een nothing short o" stunning. ithin a 1 year
period> the !orth American mar/et -ent "rom ,irtually 2ero to $$P o" total SAP -orld-ide
sales. SAP America alone employs more than 3>888 people and has added the names o"
many o" the :ortune 188 to itGs customer list %5 o" the top 18 semiconductor companies> 4
o" the top 18 pharmaceutical companies etc&. SAP today is a,aila*le in $3 country+speci(c
,ersions> incorporating 25 languages. 9hese solutions are tailored to meet the speci(c
re6uirements o" 23 diBerent industry categories> "rom aerospace and de"ense to utilities>
gi,ing SAP a competiti,e ad,antage that no other company can match.

SAP R/3 is deli,ered to a customer -ith selected standard processes turned on> and many
other optional processes and "eatures turned oB. At the heart o" SAP R/3 are a*out 18>888
ta*les -hich control the -ay the processes are e#ecuted. Con(guration is the process o"
ad)usting the settings o" these ta*les to get SAP to run the -ay you -ant it to. :unctionality
included ranges "rom (nancial accounting %e.g. general ledger> accounts recei,a*le>
accounts paya*le etc& and controlling %e.g. cost centers> pro(ta*ility analysis etc& to sales
and distri*ution> production planning and manu"acturing> procurement and in,entory
management> and human resources.

9he start o" the internet age at the end o" the 78Gs -as a *ig challenge "or the *ig players o"
the enterprise so"t-are industry. hile trying to gro- at a high speed> the companies> SAP
included> -ere
racing not to miss the internet train. 'usinesses had to *e internet+ena*led> e+*usiness 6uic/ly *ecame
the *u22-ord o" the decade> and the so"t-are companies introduced ne- concepts> ne- products.

9oday> SAP oBers solutions that impro,e ,irtually e,ery aspect o" *usiness> go,ernment>
and education. :or e#ample> mySAP 'usiness Suite allo-s employees> customers> and
*usiness partners to -or/ together "rom any-here> at any time. SAPGs customer relationship
management> supply chain management> and product li"e+cycle management solutions help
streamline critical *usiness processes. Neading+edge technologies in such areas as
technology plat"orms> enterprise portals> and mo*ility pro,ide customers -ith the tools they
need to -or/ more eHciently and pro(ta*ly. LSAP Annual Report 2882M

.& 7uture 9eCuirements and ;e+ Products


Customers are increasingly loo/ing "or solutions that not only support their critical *usiness
processes and minimi2e ris/s *ut also deli,er "ast R@I and lead to a lasting reduction in I9
total cost o" o-nership. SAPGs "ocus has *een on solutions designed "or speci(c processes C
prede(ned com*inations o" applications> ser,ices> and content "or resol,ing urgent *usiness
pro*lems.
9rends al-ays change according to ne- re6uirements so that so"t-are de,elopers and
companies ha,e to -or/ on products continuously in order to meet these re6uirements.
hat is the progress -ith SAP technologiesF hat are the ne- re6uirements and the
e#pectations o" the *usiness in the ne- millenniumF

10
0 9he ne- *usiness en,ironment
1 SAPGS product strategy "or ne#t millennium
2 SapGs 'usiness strategy: Assuring customer success
3 A :amily o" empo-ered end users
!o-adays> trends are going that products should support multi currencies also "or the legal
"rame-or/ o" monetary union. Product should ha,e euro and integrated solution. @ther-ise>
it can ha,e a less o" mar/et share *ecause o" lac/ o" euro+compliant.
@ther application areas are related to ne- *usiness en,ironments.
1. Nin/ the e#tended supply chain -ith the (nancial ,alue line.
2. Integrate *ac/ oHce and "ront oHce.
3. Manage the e#tended enterprise+Real time.


Capital Bank
Finance-to-
supply-chain





Supplier
Manufacturing Distribution
Sales Customer




Figure 1.1. Linking the Extended Supply Chain

11

Shareholders
Shareholders
0 Value based management
Employees
Employees
Quarterly support
Persona
l
informat
ion
Training
courses
Society
Society
Press
Press
releases
EP
!Back
"ffice#
Partners
Customers

0 Product
0 Solutions
1 Product
2 Ser$ice


%&'& (ntegrating Back "ffice and Front "ffice
kno)ledge
0 Pro*ect support
Figure 1.2 Integrating Back Office and Front Office

SAP has introduced ne- products parallel to ne- trends. Some o" them such as S:A> ;R>
AP@> and '2' can *e seen in :igure 1.3









Relationship



(nf
Resource +B
(ERP)
S
,
F

Transactional Analytical Knowledge


7igure .&. %AP Product 7amily


@ne o" the important concepts o" todayGs I9 -orld is to pro,ide lo- cost o" o-nership. 9here
are se,eral approaches to impro,e this metrics during e,aluation> implementation and a"ter
go+li,e:
12
0 Coordination o" all solution components
1 :easi*ility study
2 Accelerated implementation
3 Ready+to+run R/3
4 Separate upgrades "or legal changes
5 .pgrade roadmap
<mpo-erment is another aspect o" impro,ing the human resource "actor o" a pro)ect. 9hese
are the components o" empo-erment o" people:
0 Sel" ser,ice
<mployee sel" ser,ice
Purchasing o" ser,ices and direct supply
0 Sel"+education
<asy to learn end user training
Commonality: corporate language
0 Sel"+management
0e,elopment o" employeeGs s/ills and potentials
9eam+oriented per"ormance indicators
0 Sel"+moti,ation
A human inter"ace "or e,eryone to en)oy
.) 5#at is Accelerated %AP FA%APG
.).. %AP 9>& %ystem

SAP R/3 pursues a Ae#i*le and modular structure o" indi,idual components. In pre,ious page
you ha,e re,ie-ed the general module groups such (nancials. I" -e -ould li/e to see them
altogether in terms o" su* modules> these indi,idual components are as "ollo-s:
0 'asic System:
o 'asic components %'C&
o Ad,anced *usiness application programming %A'AP$&
0 Accounting System
o :inancial accounting %:I&
o Controlling %C@&
o Asset Management %AM&
0 Production and logistics
o Sales and 0istri*ution %S0&
o Materials Management %MM&
o Production Planning %PP&
o Quality Management %QM&
o Plant Management %PM&
0 @thers
o Pro)ect System %PS&
o ;uman Resources %;R&
o or/Ao- %:&
o Industry Solutions %IS&

13



SAP R/3 :unctional Modules


















7igure .). %AP 9>& Modules





SAP R/3 So"t-are
0? 'asis %the *lue *lo*&
1? Middle-are that ena*les R/3 to run on ,arious
plat"orms
0? @perating systems
0? Ma)or .!IR plat"orms %e.g.> AIR&
0? indo-s !9
0? I'MGs AS/$88 and S/378 plat"orms
1? 0ata*ase Management Systems
0? I'MGs 0'2
0? @racle
0? Microso"t SQN Ser,er
1? :unctional Modules . . .



7igure .,. %AP Basis

14



SAP R/3 IMaster
0ataJ


















7igure .-. %AP Master Data


.).$. <lo@al Implementations and <lo@al A%AP
9here are some challenges "or companies planning to implement glo*ally or at more than one site:
0 =lo*al *usiness processes and data issues + 'usiness standardi2ation> Negal re6uirements
1 =eography and cultural issues + =eographical spread and time+2one diBerences> cultural diBerences
*et-een international sites> communication challenges and local acceptance/*uy+in>
di,ersity -ithin regional I9 systems in use
0 International team structure and program organi2ation + =eographical spread and time+2one
diBerences> internationally *alanced teams> distri*uted support o,er
regions/continents> change management> coordination o" rollouts in multiple
regions/countries
0 0i,ersity -ithin regional I9 system in use + More comple# con(guration managementD ,ariations in
regional I9 in"rastructures

=lo*al ASAP is the SAP solution designed to "acilitate meeting these challenges. It *oth
*uilds upon and coordinates -ith the ASAP implementation methodology. It represents a
ne- implementation layer a*o,e the standard accelaratedSAP and uses a centrali2ed
approach -ith the glo*al template rollout as its main "ocus.
=lo*al ASAP comprises a roadmap structured according to the ASAP principle including
step+*y+step instructions> accelerators and tools. 9he "ocus is to address glo*al or multi+site
as opposed to local le,el acti,ity.
=lo*al corporate le,el strategy is de(ned and used to prepare and set up a glo*al template
pro)ect. 9his pro)ect prepares> con(gures> con(rms> and tests a glo*al template> -hich it
rolls out "or use in each local implementation. 9he glo*al template pro)ect supports the local
implementations. 9here is also continuity *et-een the =lo*al ASAP methodology and the
ASAP methodology and the ASAP methodology used "or each local implementation.
15
.).& Conclusion
9his chapter has "ocused on ne- trends in <RP> SAP or pro)ect management and an
introduction to SAP components. hich approaches ha,e *een in,ol,ed in the ne- products
o" todayGs enterprise so"t-are technologiesF Some o" the important points made are as
"ollo-ing:
0 9odayGs trend in so"t-are management is per"ormance and speed
1 SAP Pro)ects -ill ha,e to *ene(t "rom ne- technology opportunities
2 @ne o" the ne- trends is to pro,ide lo- cost o" o-nership.
3 9he ne#t challenge C @ptimi2ing the human "actor
4 <mpo-erment: Sel"+ser,ice> sel"+education> sel"+management> sel"+moti,ation
5 9eam SAP: Assuring customer success throughout the entire li"e cycle
6 =lo*al implementations *ring additional challenges "or pro)ect management. =lo*al ASAP to support
glo*al implementations


C$ Introduction of %AP Pro!ect Management
hy do in"ormation technology pro)ects "ailF 0epending on ho- you de(ne pro)ect "ailure
L'oltman> 2882M> it tends to run at the le,el o" 38 per cent outright "ailure and this has not
changed much in decades> despite the ad,ent o" many ne- so"t-are technologies and
techni6ues. It is argued that gi,en this pattern> the e#pected *ene(ts need to *e *et-een
nine and ten times greater than the cost o" the pro)ect "or the return on in,estment %R@I& to
*e positi,e.

hat are the characteristics o" an SAP pro)ect that diBerentiate it "rom other so"t-are
implementationsF hat methodologies are usedF

9o understand -hat ma/es an SAP implementation pro)ect a success> and to ans-er these
6uestions -e -ill "ocus on some /ey concepts o" pro)ect management> such as planning>
organi2ing> monitoring and controlling a pro)ect.


$. Basic de?nitions( Pro!ect1 Pro!ect Management1 Pro!ect Manager


As a general approach> a pro)ect is a group o" related -or/ acti,ities> organi2ed under the
direction o" a pro)ect manager> -hich -hen carried out> -ill achie,e certain o*)ecti,es.
%<rnstS?oung> 1777&
A pro!ect has a pro)ect charter> de(ning pro)ect scope> deli,era*les> tas/s> duration and *udget. <#isting
-or/ is e#amined as a pro)ect and completed -ith a pro)ect deli,era*les. 9he *asic dri,er
"or a pro)ect+ *ased -or/ has *een our trans"ormation to a /no-ledge society. As part o" this
/no-ledge society -e ha,e to understand the pro)ect concept and terminologies.
:urthermore> -e ha,e to ac/no-ledge a pro)ect methodology and standards.

Regarding pro)ect and pro)ect management approaches there are certainly ,arious
de(nitions -ithin literature. 'ut -e -ould pre"er to co,er the a*o,e in terms o" pro)ects
components:

9here are o*,iously se,eral de(nitions "or a pro)ect. A pro)ect is de(ned as "ollo-ing *y its components
in general:
0 It has a *eginning and an end
1 It is de(ned *y speci(c goals and o*)ecti,es
2 It is usually conducted *y a -ell+de(ned organi2ation
3 It has a single pro)ect manager -ho is responsi*le "or its success> "ailures and ris/s
4 It can *e e#pressed *y identi"ying the starting point and the goal and the route *et-een them
16
Pro)ect Management co,ers the "ollo-ing "unctions:
0 Planning+deciding -hat is to *e done
1 @rgani2ing+ma/ing arrangements
2 StaHng+selecting the right people
3 0irecting+gi,ing instructions
4 Monitoring+chec/ing on progress
5 Controlling+ta/ing action
6 Inno,ating+coming up -ith ne- solutions
7 Representing+liaising -ith users
Program and Program Management
In certain literature %especially .S&> pro)ect is re"erred to as a program and pro)ect
management as program management.

As de(ned in L<rnstS?oung> 1777M> Ia *usiness program or program is a group o" related
pro)ects that address a common *usiness o*)ecti,e or initiati,e. All the indi,idual pro)ects
that are contained -ithin a program must *e success"ully completed "or the *usiness
program to meet its o*)ecti,es. 'usiness programs pro,ide a means o" organi2ing and
managing large or long+term pro)ect eBorts.J It may consist o" *oth IS pro)ects and non+IS
pro)ects> such as a *usiness process redesign pro)ect> sales> procurement> mar/eting or a
manu"acturing pro)ect. All the constituent pro)ects must *e success"ully completed "or the
program to meet its o*)ecti,es.
9he methodology o" the program management is an e#tension o" the methodology o" the
pro)ect management. 9he program management is usually co,ered *y the pro)ect
management timeta*le. It is designed to support the management o" eBorts that e#ceed
the standard pro)ect guidelines.
9he program management method has usually *een implemented as a single phase *ut in
"act it includes three *asic stages:
1. Program start up and preparation>
2. Program monitoring and control> and
3. Program re,ie- and assessment.

=enerally> the program start+up and preparation stage in,ol,es all start up acti,ities> -hich
-e -ill re,ie- in the ne#t sections o" the *oo/. Secondly> program monitoring and control
stage in,ol,es pro*lem management and solution design. In the last stage the goal is to
impro,e all the critical processes and
tas/s -ithin the program.

"#e 9ole of t#e Pro!ect Manager

9he role o" the pro)ect manager is one o" the most critical roles in the pro)ect.
As de(ned in L<rnst S ?oung !a,igator Series> Release 3.1.1773M the pro)ect manager leads
the pro)ect as *oth a "riendly leader and also a process manager> -ho handles the all -or/
Ao- diagrams. As a leader the pro)ect manager is responsi*le "or managing and
communicating a clear ,ision o" the pro)ect and moti,ating the pro)ect team to achie,e
them.

A pro)ect manager shouldnGt re6uire a strong technical *ac/ground *ut only needs the
authority to assign and appro,e pro)ect acti,ities that -ill *e carried out *y the technical
staB. 9he pro)ect manager might
"acilitate ine,ita*le changes and processes -ith -ell+de(ned scope management procedures> and also
pro,ide continuos leadership "or the de,elopment team and moti,ate a producti,e pro)ect en,ironment.
As a result> the pro)ect manager needs to *e a ,ery good communicator> an e#perienced
negotiator and also a per"ect leader.
17
:ey Principles of Pro!ect Management
Many consulting companies -or/ on methodologies on ho- to implement and ho- to
support an SAP system. 9hat is -hy there are numerous pro)ect management and SAP
implementation methodologies. .sually> consulting companies such as Accenture> <rnst S
?oung> PC design and impro,ed them a"ter years and years o" using and ,alidating the
tools and techni6ues.


Pro!ect %ponsor
In "act (rst let us start de(ning -hat the e#ecuti,e sponsorGs responsi*ilities and than let
us *e *ac/ to pro)ect sponsorD

<#ecuti,e SponsorG Responsili*ities:
0 :unds the pro)ect and selects pro)ect sponsor
1 Resol,es change re6uests and issues> as needed
2 Talidates and ensures pro)ect *ene(ts are attained
3 Appro,es all deli,era*les> starting -ith initial pro)ect charter
4 ;igh in,ol,ement during the structure and plan processes
Pro)ect SponsorGs Responsi*ilities:
0 Representati,e o" the e#ecuti,e sponsor
1 'usiness decision+ma/er o" the pro)ect
2 Coordinates all re6uests "or time -ith the *usiness community
3 Re6uires considera*le/day+to+day in,ol,ement
Pro!ect %ta2e#olders

Sta/eholders o" a pro)ect are the people -ho ha,e a sta/e or interest in the pro)ect.
Sta/eholders might *e internal to the pro)ect team> e#ternal to the pro)ect team *ut in the
same organi2ation> or totally e#ternal to the organi2ation. Sta/eholders should *e care"ully
selected.
Sta/eholders can ha,e the "ollo-ing roles:
0 Internal to the pro)ect team. 9his means that -ill *e under the direct managerial control o" the
pro)ect leader
0 <#ternal to the pro)ect team *ut -ithin the same organi2ation. :or e#ample> the pro)ect leader
might need the assistance o" the in"ormation management group
0 <#ternal *oth the pro)ect team and organi2ation. <#ternal sta/eholders may *e customers -ho -ill
*ene(t "rom the system that the pro)ect implements or contractors -ho -ill carry out
-or/ "or the pro)ect.
A pro)ect needs to decide -hat /ind o" sta/eholders it -ill need. Choosing them might cause
a *udgetary challenge as -ell. Also> diBerent types o" sta/eholders may ha,e diBerent goals
and o*)ecti,es and one o" the )o*s o" the success"ul pro)ect manager is to recogni2e these
diBerent approaches.
Pro!ect Management .ife Cycle
9he pro)ect management process is usually e#pressed *ased on a route map ,ia three
pro)ect management stages.
As mentioned *e"ore> the pro)ect management stages *asically descri*e the detailed -or/
Ao- *y the pro)ect manager. 9hey are designed "or integration -ith the pro)ect+speci(c
de,elopment -or/. In each phase o" a methodology route map> the pro)ect management
stages are integrated -ith phase+speci(c de,elopment stages so that each phase
represents a complete pro)ect.
18
9here"ore> the set o" pro)ect management stages is called I9he pro)ect management li"e cycleGG.
In the (rst stage> -hich is the start up and preparation> it is important to set up a steering
committee> the pro)ect management team and the most appropriate sta/eholders. 9hese
are the people -ho -ill pro,ide sponsorship> partnership and so that /ey decisions can *e
made easier throughout the li"e o" the pro)ect. It is important that this structure is set up in
addition to the core team structure and that these people are -ell a-are o" their roles and
o*)ecti,es.

Additionally> it is also important that the pro)ect manager ensures that all o" the core team
is trained at the appropriate times during the pro)ect. 9his acti,ity is coordinated through
the pro)ect li"e cycle and the de,elopment process. 9hese training acti,ities and needs
continue during the pro)ect.


Pro!ect Management Delivera@les

9he *ene(ts o" the de(ning and "ocusing on pro)ect deli,era*les include:
0 <#pectations can *e managed *ased on a clear de(nition o" -hat the pro)ect -ill produce
1 0eli,era*les are usually tangi*les that can *e trac/ed> re,ie-ed> impro,ed> and accepted
2 9eam mem*ers ha,e clear goals> stated in terms o" the -or/ outputs that must *e produced
3 <stimates> actual> reports> costs> per"ormance> ris/s> and 6uality are anymore easier to de(ne>
measure> and manage
'asically> pro)ect management deli,era*les are the results o" the pro)ect management
processes. As an e#ample> the structure o" the pro)ect processes is created *y the initial
pro)ect charter.
Some o" the deli,era*les are as "ollo-s:

Information %ystem FI% G Master Pro!ect Plan
9hese ne- pro)ects> tas/s or acti,ities are incorporated into the IS master pro)ect plan>
-hich contains the entire current pro)ect template "or an IS organi2ation. :rom a *usiness
perspecti,e> it is "acilitating the controlled shi"ting o" IS in,estment priorities *ased on the
*usiness climate at the time> -hen each pro)ect is completed. 9he pro)ect plan is ,ery
Ae#i*le and it needs to *e updated -hene,er necessary.
Pro!ect C#arter

9he pro)ect charter is de(ned as a discrete unit o" -or/ that can *e independently staBed
and managed. 9he charter particularly speci(es the scope o" the pro)ect and its completion
criteria. It pro,ides a contract o" -hat the pro)ect is committed to deli,er> to control> to
train> time constraint> resources> cost control and standards -ithin it must *e completed.
9he pro)ect charter is used as the proposal "or preparing detailed plans to *e used
throughout the pro)ect li"e cycle. It also ser,es as a statement o" the commitment o" an
organi2ation to a particular pro)ect.

Pro!ect Plan
9he purpose o" pro)ect plan is *asically to de(ne the particular tas/s "or managing the
pro)ect. It contains a detailed list o" deli,era*les> a detailed -or/ plan> tas/+le,el eBort and
duration estimates> and the pro)ect *udget. In the pro)ect plan is estimated costs> acti,ities>
pro*lems and time re6uirements "or the pro)ect in order to determine its ,ia*ility.

Pro!ect %tatus
hen pro)ect -or/ plan is acti,e> actual -or/ "orce must *e recorded against the -or/ plan
in order to monitor and control progress. So it -ill *e reported the comparati,e ta*le. 9his
allo-s ad)ustment o" the -or/ plan i" the actual per"ormance intend to decrease. I" they
ha,e close scores> then it can *e said that it is in the de(ned limit in the pro)ect charter.
19
9his deli,era*le helps the pro)ect manager to ad)ust some ,aria*les.
Pro!ect Assessment

In the *eginning> -hen the pro)ect deli,era*les ha,e *een produced and accepted> a pro)ect
assessment is per"ormed. 9his deli,era*le documents the e,aluations> recommendations
and opportunities "or "uture process impro,ement.

Pro!ect Management Infrastructure
In order to manage a pro)ect success"ully> standards and procedures need to *e de(ned.
9he technological en,ironment must also esta*lish "or eBecti,e and eHcient running o" the
pro)ect. 9he purpose o" the pro)ect management in"rastructure is di,ided into t-o category .
:irstly> the standards and procedures "or issues management> scope management> 6uality
management> ris/ management> /no-ledge coordination> status reporting should *e
de(ned. Secondly> a technology plan should *e
de,eloped> and the necessary hard-are> so"t-are> and oHce e6uipment should *e o*tained.


$.$ %AP Implementation Met#odologies and %trategies
Pro)ect management see/s to reach a pre,iously de(ned result -ithin the conte#t o" a gi,en
schedule> speci(c costs> and in the re6uired 6uality.
ithin this de(nition> SAP Pro)ect Management pro,ides an implementation methodology
that adapts SAP "unctionality into the organi2ation and its *usinesses. Tarious
implementation methodologies and models ha,e *een de,eloped o,er the years *y SAP>
the I'ig $J and other SAP *usiness partners> customers and consultants. Many pro)ects ta/e
an e#isting methodology one step "urther and adopt it to their organi2ation> introduce
impro,ements and ne- tools to ma/e the implementation tas/ more eHcient. 9he *ene(t o"
using a methodology is the ris/ reduction that comes "rom using a pro,en approach.
Another *ene(t is the creation o" a common "rame-or/ "or all teams to -or/ -ith. 9his
includes standard terms and the coordination o" time lines.
It also pro,ides a rough guide as the o,erall -or/ eBort that -ill *e needed. 9his *rea/do-n
o" tas/s is ,ery important "or a smooth implementation. Most methodologies includes
templates that sho- e#amples o" normal pro)ect deli,era*les.> -hich pro,ide pro)ect teams
-ith guidance "or their detailed -or/.
:inally a methodology contains the collecti,e -isdom o" those -ho produced it> and may
e,en contain this -isdom in the "orm i" help"ul tips.
According to L!orris> 1775M the top 18 ris/s to an SAP R/3 pro)ect are:
1. Inade6uate sponsorship
2. Poor/slo- decision ma/ing
3. Poor/no scope de(nition
4. Inade6uate attention to change management
5. Nac/ o" cooperation *et-een *usiness areas/departments
6. Poor use o" consultants
7. Inappropriate resources
8. .nrealistic e#pectations
9. Inade6uate /no-ledge trans"er to your people
10. Poor pro)ect management


9here are certain important things to remem*er -hen using a methodology.
1. A methodology is a generic approach. It -ill not prescripti,ely sol,e all o" a companyGs pro*lems
*ecause> -hile it is generally true> it is ne,er speci(cally accurate. <ach company has some
20
uni6ue aspects> and e,ery R/3 implementation -ill *e aBected *y the particulars o"
the organi2ation.
2. 'ecause e,ery organi2ation is diBerent in *oth its ma/eup and its reasons "or implementing R/3>
a methodology cannot *e relied on to such a degree that Ae#i*ility is lost.
3. @n the other hand> a methodology -ill not descri*e e,ery necessary tas/D on the other hand
"ollo-ing e,ery detail o" the methodology may result in unnecessary -or/.

In short a methodology must *e put into conte#t o" the *usiness and its needs. It should *e
used -ith an understanding o" the needs *y adopting those aspects that support the goals
and *y discarding those that do not.


%imilarities in All 9>& Met#odologies

All methodologies "or implementing SAP so"t-are ha,e a "e- common elements. :irst
and most important> they are all structured. 9hey consist o" phases> -hich are *ro/en do-n
into tas/s> "urther *ro/en do-n into acti,ities and (nally into -or/ steps. Almost all
methodologies ha,e "our phases that can generally *e thought o" as "ollo-s> although -ith
diBerent names:
1. Initiate: 9his phase includes planning and costing the eBort> determining the internal staB and
outside help necessary> de(ning the scope o" the implementation> and doing the
initial *usiness case )usti(cation "or the underta/ing.
2. 9hin/: 9his is the phase in -hich the current or Ias+isJ state o" *oth systems and processes is
analy2ed and -hat is -anted "rom the Ito+*eJ state determined.
3. or/: In this phase> the R/3 program is actually con(gured to the speci(cs o" a companyGs
*usiness> then tested and deployed.
4. atch: 9he -atch phase entails measuring the results achie,ed against the e#pectations> and
supporting > maintaining> and upgrading the system as necessary.



Accelerated SAP %ASAP& is SAPGs current standard implementation methodology. It contains
a roadmap> a step+*y step guide that incorporates e#perience "rom many years o"
implementing SAP. Quality chec/s are incorporated at end o" each phase to ensure 6uality
o" deli,era*les and monitor critical success "actors.
Another important aspect o" an SAP implementation is the implementation strategy the
*usiness decides to pursue. A strategy de(ning the "unctional scope and regional co,erage
o" the implementation is chosen *y analy2ing the cost> resource re6uirements> ris/s and
e#pected returns o" the implementation. At a high le,el> -e can de(ne three
implementation strategies: Step+*y+step "unctional implementation> 'ig 'ang> and site
rollout. <ach one has its pros and cons> and selecting a strategy re6uires an in depth
analysis o" the a*o,e mentioned criteria. 9he strategy should also de(ne the *usinessG
approach and pre"erence "or technical de,elopment> i.e. adding customi2ed code to core
SAP> in "orm o" user e#its> custom transactions> and modi(cations. 9he 6uite opposite
implementation strategy o" using SAP as deli,ered is o"ten re"erred to as ITanilla SAPJ. 9his
is a *ig challenge "or the *usiness to adapt the processes to the so"t-are> *ut results
generally in minimum cost and ris/ "or the implementation> and minimum maintenance
a"ter go+li,e.

Net us compare the three ma)or implementation strategies> *y its ad,antages and disad,antages.





%tep0@y0step implementation
21
A step+*y+step implementation is characteri2ed *y the implementation o" the so"t-are in
small steps> and generally concentrates on the implementation o" a "e- related modules at
one time. 'e"ore adopting this approach> an o,erall concept must *e esta*lished "or all
rele,ant *usiness processes in order to a,oid conAicts and constraints in su*se6uent
implementations. :or e#ample> due to the comple#ity o" its (nancial legacy system o,er
se,eral regions> a company might choose to implement certain logistics modules (rst %e.g.
Materials Management> Sales and 0istri*ution> Nogistics <#ecution& and *uild inter"aces
*et-een R/3 and the legacy systems.

Advantages
0 9he comple#ity "or coordinating> controlling> and organi2ing the pro)ect and resources is
reduced
0 A minimal amount o" human resource is re6uired "or the pro)ect team and user community
1 9he 6uality o" the pro)ects impro,es *ecause the pro)ect mem*ers increase their /no-ledge
and s/ills
0 A team o" internal consultants can *e esta*lished o,er time> reducing the cost o" the pro)ect
1 9here is a smoother changeo,er throughout the company: people ha,e time to adapt to
changes
0 Costs are spread o,er a longer period o" time
1 Modest organi2ational changes can *e considered during the implementation

Disadvantages
0 9here is a longer pro)ect throughput time
1 Inter"aces must *e de,eloped to maintain e#isting systems
2 Integration ad,antages o" the pro)ect can only *e used step *y step
3 Customi2ing may not *e optimally set *ecause integrating components ha,e not yet *een
implemented
0 Return on in,estment is generally delayed


Big Bang implementation


A *ig *ang deployment o" R/3 replaces all or most critical e#isting systems in a single
operation -ith the ne- so"t-are. :astest *y de(nition> the *ig *ang had emerged as the
most cost+eBecti,e and also the ris/iest solution. A ma)ority o" the SAP community -ould
,ote against simultaneous launch o" all R/3 modules in con)unction -ith a ne- I9
in"rastructure. 9his approach is pre"erred *y companies -ith a straight"or-ard
organi2ational structure or -ith too many systems to replace -here the cost o"
de,eloping inter"aces -ould *e too high.

Advantages
0 :e- or e,en no inter"aces *et-een legacy systems and the ne- application are needed *ecause
all modules go li,e at the same time
0 9here is a short throughput time
1 9he pro)ect mem*ersG moti,ation is high
2 It is highly eHcient> *ecause redundant customi2ing is a,oided
3 9here is optimal integration o" all components under consideration o" the integrated *usiness
processes
22
Disadvantages
0 9he implementation is comple# due to the increased need "or coordination and integration
1 It is resource intensi,e o,er a short period o" time
2 All employees are su*)ect to higher stress le,els at the same time
3 A high degree o" consulting support is re6uired
4 @rgani2ational changes must *e limited in order to o,ercome resistance to change among
employees


9oll0out
Roll+out re"ers to region or *usiness speci(c e#tensions o" an implementation a"ter a model
is created at one site or *usiness unit> -hich is then used to implement to the other sites or
*usiness units. :or e#ample> a company operating in .SA and <urope might choose to
create a model "or most o" its "unctionality in .SA and -ith a su*se6uent phase implement
the tested approach in <urope. Similarly> a company operating multiple *usiness units
might choose to start the implementation -ith the one o" the *usiness units and le,erage
its e#perience. 9he roll+out approach can *e com*ined -ith the other implementation
strategies a*o,e limiting or enlarging its "unctional scope.


Advantages
0 9here is ,alua*le e#perience gained *y pro)ect mem*ers
1 <#pertise is a,aila*le "or a "ast implementation
2 Costs are /ept lo- *ecause only limited resources are needed
3 Standard *usiness processes can *e achie,ed *y using a model implementation and le,eraging
the same design


Disadvantages
0 Customi2ation must also consider company standards "or su*se6uent implementations
1 Site+speci(c re6uirements can *e o,erloo/ed

hich implementation strategy to select -ill *e aBected *y the time and resource %people
and money& constraints. 9he si2e and scope o" the eBort -ill also aBect the decision o"
-hich implementation strategy to ta/e. :inally> there are a num*er o" ma)or e,ents that
may ha,e an impact on the selection o" the proper strategy. Among these are the "ollo-ing:
0 Mergers and di,estitures
1 !e- legal re6uirements such as the recent <uro migration
2 Increasing so"t-are "ailures in the current system
3 A current re+engineering eBort -ithin the company
4 Austerity and cost cutting programs -ithin the company

@,erlaying these issues that aBect the decision are another set o" issues that aBect the
implementation> -hiche,er implementation strategy is selected. 9o some degree> these
issues -ill steer the selection to-ard one approach o,er another> *ut they -ill ha,e an
impact no matter -hich implementation strategy is selected. Among them are the "ollo-ing:

0 <eograp#y( Is the company domestic> regional> or glo*al> and should the implementation *e
domestic only> regional or country+*y+countryF

23
0 Customer needs: Are certain customers> or certain sets o" customers> demanding in"ormation
and in"ormation trans"er that your current systems are not capa*le o" per"ormingF
0 User needs( hich user in your company is dri,ing the decision to o*tain> install> and deploy
R/3F Is it the (nancial community> or the I9 communityF IS it the sale and mar/eting
community -ho are reAecting customer needsF
0 "ime and urgency( I" your current so"t-are systems are e#periencing increased and
increasingly costly "ailures> you need to get R/3 up and running some-hat 6uic/ly.
9he year 2888 pro*lem challenged many companies at the end o" 1777 to e#pedite
their implementation in order to a,oid to upgrade any legacy systems that might not
ha,e supported year 2888.
0 .egacy system impact( 0iBerent implementation strategy options ha,e a diBerent impact on
the current system. A limited rollout "or a di,ision -ill pro*a*ly mean that the legacy
systems used *y other di,isions -ill not *e decommissioned and that maintenance
costs -ill *e ongoing.
$.& Accelerated %AP and "#e %olution Manager


"$er$ie) +iagram- (mplementation oadmap .%/

(mplementation
oadmap
Phase %
Pro*ect Preparation
Phase ' Business
Blueprint

Phase 0
eali1ation

Phase 2
3egend-
3egend-
Final Preparation
Phase 45nit
5nit 6o 3i$e 7 Support
Topic
Topic 0? SAP AG !!"

7igure $. Accelerated %AP = Implementation %olution

SAP recogni2ed that their customers -ould *ene(t "rom a standard roadmap to SAP
deployment and de,eloped de,eloped their Accelerated SAP %ASAP& methodology in
response. ASAP -as originally intended "or smaller implementations. 'ut the approach
pro,ed success"ul in larger SAP rollouts as -ell> and continues to *e used 6uite success"ully
e,en today.
ASAP consists o" (,e high+le,el phases or milestones:
0 Pro)ect Preparation
1 'usiness 'lueprint
2 Reali2ation
3 :inal Preparation

24
0 =o+Ni,e and Support
ASAP e,ol,ed into =lo*al SAP and ultimately into Talue SAP> adding methodologies>
adding methodologies "or e,aluation and continuous *usiness impro,ement to its core
implementation methodology. 9he roadmap changed a *it as -ell> shrin/ing to "our
implementation phases instead o" (,e. ith the introduction o" the mySAP solution gro-ing
throughout 2881 and 2882> ho-e,er SAP sought to release *oth an impro,ed deli,ery
,ehicle and a more comprehensi,e methodology that *etter reAected the challenges
inherent to mySAP implementations.
As a result> SAPGs Solution Manager -as introduced -ith e* Application Ser,er 3.18. 9he
Solution Manager does not only oBer multiple roadmaps to implementation *ut also
impro,ed content %sample documents> ne- templates> a repository "or canned *usiness
processes> and more& and a *etter pro)ect management tools.

9he Solution Manager may also *e used to support ongoing operations as -ell as implementation and
continuous impro,ement acti,ities. Ro*ust pro)ect monitoring and reporting capa*ilities
e#ist as -ell. Maps
Plus> it pro,ides "or a ,ariety o" -ays to help to manage the pro)ect teamGs educational goals> including
Nearning > -hich are role+speci(c Internet+ena*led training tools "eaturing online tutoring and ,irtual
classrooms. And -ith training and related support o" the ASAP and Talue SAP methodologies
Solution Manager -ill *e the only standard SAP implementation methodology remaining.


$.&. A%AP FAccelerated %APG 9oadmap



The Purpose of Phase %- Pro*ect Preparation




8S8P oadmap





P
r
Final
eali1ation Support




0? SAP AG !!"

7igure $.$. De?ning t#e points on t#e A%AP Upgrade 9oadmap


According to standard ASAP Methodology> the *elo- is included the Roadmap and *rie"
content li/e in literatureD

P#ase C Pro)ect Preparation
25
0 Change Charter C =oals and o*)ecti,es o" organi2ational change management
1 Pro)ect Plan C 9his is a (rst cut "ocusing on milestones and -or/ pac/agesD details to come
2 Scope C Sets the initial de(nition o" the pro)ectD input "rom sales cycle
3 Pro)ect team organi2ation C Sets the -ho o" the pro)ect: Standard Procedure C sets the -hy and
ho- o" the pro)ect
P#ase $ C 'usiness 'lueprint C Re6uirements re,ie-ed "or each SAP Re"erence structure item and
de(ned using ASAP templates.

P#ase & C Reali2ation C Master Nists C 0e(ne *usiness scenarios and R/3 transactions to *e reali2ed in
the system. 'PP C 'usiness Process procedures representing R/3 transactionsD used "or unit
testing S documentation. Planning C 0e(nes ho- the con(guration -ill *e done and ho- it
-ill *e tested. 0e,elopment Programs C Pro,ides details o" the e#ternal programming
re6uirements. 9raining Material C <nd user training material and process documentation

P#ase ) C :inal Preparation + Stress S Tolume tests C Plans "or con(rming the production hard-areGs
capa*ilities. Cuto,er Plan C 9he details o" ho- to mo,e to the production en,ironment and
go li,e. Conduct <nd .ser 9raining C 0eli,ery o" the necessary le,els o" R/3 <nd .ser
training prior to going li,e
P#ase , C =o li,e S Support C <nsuring system per"ormance through SAP monitoring and "eed*ac/

9he pro)ect manager o" an ASAP implementation must "acilitate communication *et-een
team mem*ers -hile directing and controlling the pro)ect. In addition> the pro)ect manager
should "oster an en,ironment that promotes team "unctioning as a cohesi,e unit.

According to ASAP method> -ithin pro)ect critical success "actors are li/e theseD
Critical %uccess 7actors(
0 Clearly de(ned and sta*le pro)ect scope
1 @nly re"erence+*ased reengineering
2 Implementation using standard R/3 "unctions
3 Adapta*le organi2ation
4 0e(ned *usiness direction
5 'est People U 'est Results
6 hole company committed to using the ASAP methodology and the R/3 'usiness Process
o Committed management %steering committee& and "ast decision+ma/ing
o Committed> empo-ered pro)ect team> competent> -ell+trained users and decision+ma/ers

26
+ocuments of an 8S8P Pro*ect


01 '0 2 4

Pro*ect Q78db Master Lists Cuto$er
Charter Plan System
Microsoft E#celSubstructures$
Spreadsheets forPro*ect
%usiness Strategy
Plan &rganization
General Settings
Master DataScope
De'elopment( &rganization(
%usiness Processes and
Authorizations
Test
Stress
Test
%usiness Process
Pro*ect
Cross Application
BPP
De'elopment Progr& +e$elp& "perations
Team Config& ,anual
"rg& Plan E5
Stand& 7 Business
Testing
Plan
Training
,aterial
Proced& Blueprint
Microsoft )ord *nit testing Conduct
End 5ser
Documents +est scenario
,ntegration
0? SAP AG !!"

7igure $.& Documents of an A%AP Pro!ect
$.&.$ Current C#anges


Recently> ASAP is replacing -ith Talue SAP. Talue SAP is the ne-est implementation tool o"
SAP. Anymore technology companies are suggesting it to help into the implementation as it
has a ne- content> method and more eBecti,e routing. hat is the challenge *y Talue SAPF
hat does it add e#tra ,alue into the pro)ectF

9he "ollo-ing su* sections has *een originally included "rom ---.sap.com

;e+ Content

Talue SAP <dition 2 includes ne- Roadmaps plus all the e#isting Roadmaps> some o" -hich
ha,e *een enhanced. !e- Roadmaps "or Talue SAP <dition 2 are 'usiness In"ormation
arehouse %'&> Eno-ledge arehouse> Strategic <nterprise Management %S<M&> Small
and Medium 'usinesses %SM'& S ;osting. 9he num*er o" pro)ect roles "or Talue SAP <dition
2 has *een signi(cantly reduced to eliminate unnecessary repetition.

C#anges in t#e Implementation P#ase
9>&( 9he R/3 Implementation Roadmap has *een updated in line -ith current @rgani2ational Change
Management %@CM& methodology. In addition> you can no- trans"er documents you ha,e
created or changes you ha,e made to documents in the Customer Solution Strategy
Roadmap directly to the Implementation Roadmap. 9his reduces -or/load and
impro,es consistency *et-een the t-o
Roadmaps.
27
C9M( 9he CRM Roadmap "or Talue SAP <dition 2 is *ased on the latest CRM So"t-are %Release
2.8C&. All content has *een updated "or <dition 2 and the solution> OPer,asi,e Ser,iceO> has *een
added. Some roles ha,e *een replaced and the rest ha,e *een updated.

Business0to0Business Procurement( 9he 'usiness+to+'usiness Procurement Roadmap has *een
enhanced to oBer more ''P detail "or your implementation pro)ect and contains ne- topic (les and
accelerators.

5or2place( 9he or/place Roadmap has *een updated in line -ith the "unctionality pro,ided in
Release 2.18 o" the mySAP.com or/place.
B5( 9he 'usiness In"ormation arehouse Roadmap includes more detailed ' content> and
additional accelerators to support implementation o" ' in your enterprise.

:no+ledge 5are#ouse( 9he E Roadmap "or Talue SAP <dition 2 is *ased on E So"t-are
Release 1.8 -ith three areas: 9raining Management> Per"ormance Assessment or/*ench and e*
Content Management.
%EM( 9his Roadmap pro,ides an acti,ity+*ased approach to implementing Release 3.8 o" the
mySAP.com component> Strategic <nterprise Management. 9he S<M Roadmap contains accelerators
and Internet lin/s to current in"ormation on S<M in SAP !et.

<lo@al "emplate : 9he Quality Management -or/ pac/age no- includes ne-ly de,eloped program
re,ie- topics and accelerators. Eey accelerators include sel"+assessment chec/lists and
templates that can *e used to present (ndings "or each phase.

9he program re,ie- is used -ith =lo*al ASAP> -hereas the pro)ect re,ie- is used -ith
ASAP. 0eli,era*les ta/en "rom the strategy de(ned during CSS are addressed in =lo*al
Program Set+up> the (rst phase o" the =lo*al 9emplate Roadmap. 9here is ne-
@rgani2ational Change Management topics
and accelerators and also more "ocus on the =lo*al Solution Pac/age in this release.

%MB H *osting( 9he SM' S ;osting Roadmap is used in smaller enterprises that re6uire a rapid>
turn/ey implementation solution> and that -ant to adopt SAP 'est Practices. A
recon(gured> industry+ speci(c system is tailored to an enterpriseOs speci(c *usiness
re6uirements.

9he Pro)ect Preparation phase "or the SM' S ;osting Roadmap diBers "rom the
Implementation Roadmap in that it includes presales acti,ities that allo- the customer to
identi"y early on> -hich recon(gured solution is most suited to them.

Most o" the pro)ect -or/ in the 'usiness 'lueprint phase consists o" de(ning the
diBerences %the delta& *et-een the customerOs re6uirements and the processes
deli,ered in their recon(gured solution. 9he Pro)ect Preparation phase includes additional
steps "or preparing and installing a hosted SAP 'est Practices system.

9his system can *e used as early as the 'usiness 'lueprint phase as a demonstration
and de,elopment system "or determining the delta. In later Roadmap phases> data can
*e trans"erred
"rom the demo system to the producti,e system.

Upgrade( 9he .pgrade Roadmap no- includes in"ormation on the procedure "or a Customer+'ased
.pgrade %C'.&> and in"ormation on the Re,erse 'usiness <ngineer %R'<&> -hich is used
to analy2e producti,e SAP systems.

!e- -or/ pac/ages> acti,ities> tas/s and accelerators are pro,ided to e,aluate the need
"or an upgrade> to determine the release re6uired and to upgrade and test the upgrade
system. In addition> the .pgrade Roadmap no- includes speci(c in"ormation to support
IS+@il upgrades.
28


C& An E'cient "ool for %AP Pro!ect Management ( Internet %ervices

&. 5e@ and Internet @ased soft+are for integral culture


;o- can the internet assist your endea,ors> and ho- can it help your clients and employees
in search o" helpF ;ere are some o" the -e* opportunities:
0 <nhance and e#pand the hands+on> interpersonal process o" therapy and counseling
1 Nead users to the 6uestions> as -ell as the ans-ers
2 Reach more people
3 Pro,ide tools> e#amples> stories> encouragement "or li,ing in process
4 Share the /no-ledge+ and the -isdom+o" your pro"essional and academic community
5 Participate in the dramatic ne- methods o" online learning> community> and research
!o-adays> internet -or/ is not a,aila*le to ma)or segments o" the population. Cost
comple#ity and rele,ance create a glass Aoor "or per,asi,e computing. 'ut> *ecause o" the
"ollo-ing dynamics> this is a*out to change:
0 0ramatic drop in cost
1 Re,olution in the man/machine inter"ace
2 ireless> *road*and> and *and-idth
3 'ursting o" the comple#ity *u**le
4 0a-n o" micro+payments
5 In"ormation modeling> na,igation> search> and conte#t
hat social trends accelarate this processF
0 9he disen"ranchised -anting a piece o" the action>
1 0istance learning> online community> and dispersed organi2ations>
2 Continued e,olution and emergence o" personal and glo*al consciousness>
3 Contelienge> the promise o" the VG =lo*al 'rainGG and the role o" internet-or/ing
4 <mergence o" the second and third -orld %and dissolution o" language *arriers ,ia intelligent
technology&
0 Aging *oomers -ith time and money> and a strong desire to gi,e something *ac/


&.$. "#e 5e@ as Pro!ect Infrastructure
Tirtual pro)ect management %TPM& is the in"ormation age e6ui,alent o" management *y
-al/ing around. Most recently> the rise to dominance -ithin organi2ations o" internet+*ased
colla*oration tools oBers ne- possi*ilities "or -e* *ased pro)ect management.
VGA ,irtual pro)ect is a colla*orati,e eBort to-ards a speci(c goal or accomplishment -hich
is *ased on Icollecti,e yet remote per"ormanceJ. Another source sets VG-or/ing together>
apartGG as the goal o" enterprise net-or/ing. 9hese modes o" -or/ share a need "or
management tools that ena*le communication and coordination at a distance.

In addition> many pro)ects re6uire the concerted eBort o" se,eral indi,iduals sharing a
common set o" tools. :or e#ample> an engineering team might use a computer+aided design
%CA0& program to de,elop and compare design alternati,es -ithout holding a physical
meeting. Noo/ at the /ind o" pro)ect management acti,ities associated -ith this process:
0 A tas2 must *e de(ned to de,elop alternati,e designs *ased on pro)ect re6uirements
1 9esources people> time> e#penses i" any must *e allocated to the tas/
29
0 9he team mem*ers in,ol,ed must communicate *e"ore and during the tas/> *oth -ith each other
and -ith the PM
0 9he PM needs to trac2 the tas/> and *ased on per"ormance relati,e to allocated resources>
administer course corrections

Colla*oration or group-are tools li/e Notus !otes and design colla*oration tools li/e 9eam
:usion do a good )o* -ithin their respecti,e domains. hen a pro)ect manager needs to lay
out tas/s> assign resources and trac/ per"ormance> ho-e,er> she must loo/ else-here
speci(cally to pro)ect management so"t-are. Pro)ect management so"t-are adds ,alue *y
"acilitating the administrati,e chores associated -ith team-or/> "rom schedule production
and cost estimation to critical path analysis.

9his /ind o" tools is> o" course> indispensa*le -ithin a narro- administrati,e domain. Some
products> li/e Suretra/ pro)ect manager "rom Prima,era systems Inc. and Microso"t Pro)ect>
can pu*lish current pro)ect data to a -e* ser,er> ma/ing status in"ormation and associated
(les a,aila*le too all comers through a standard issue *ro-ser.
e* pu*lishing is much more eHcient "rom *oth a cost and client con(guration standpoint
than the per+ seat licensing model o" older pro)ect management products> -hich re6uired
e,ery user -ho might concei,a*ly need access to install a "ull copy o" the client so"t-are.
9-o products that support ,irtual pro)ect teams are Mesa/Tista Pro)ect Manager *y Mesa
Systems =uild> Inc.D a high+end oBering that pro,ides comprehensi,e process management
through a rich mi# o" Wa,a> Wa,aScript and RMN technologies and e* Pro)ect *y e* Pro)ect>
Inc. -hich oBers a more traditional PM "eature set enhanced *y an all+Wa,a implementation

5e@0@ased pro!ect infrastructures
Tirtual pro)ects C I-or/ing together> apartGG re6uire communication> colla*oration and
pro)ect management. 9he present generation o" so"t-are aims to support -or/ -ithin each
o" these domains *y le,eraging client/ser,er technologies such as shared data access>
standards+*ased messaging and *ro-ser economies. 'ut not until no-> -ith the impending
rise o" -e* application technologies such as Wa,a> Acti,eR> and RMN> ha,e pro)ect teams had
access to integrated en,ironments that *ridge pro)ect
domains. %http://---.intranet)ournal.com/"eatures/idm8375+pm1.shtml&


&.& Using Internet in pro!ect management
!o-adays Internet is one o" *est tools in running international colla*orati,e pro)ects. 9he
re6uirements o" the pro)ects mean that -or/ers colla*orate *et-een remote locations.
Communication *et-een them is essential and the internet is the primary communication
tool.

9he time to start considering the role o" the internet is long *e"ore the pro)ect is started>
-hen the proposal and the technical anne# are *eing -ritten. I" it is to *e e#ploited then
resources must *e allocated to managing the net-or/ use.

<+mail has -ell /no-n ad,antages as a means o" communication and some
disad,antages. In con,entional use> most e+mail messages are person to person> *ut in a
small colla*orati,e pro)ects> *roadcasting e+mail can enhance communication *y /eeping all
participants in touch -ith de,elopments. 9here is o" course a danger that traHc can
*ecome o,er-helming> that detailed messages that are o" interest to only t-o or three
people -aste the time o" the others. An alternati,e or supplementary means o"
communication is the ne-sgroup. =roups might *e set up "or discussion o" diBerent topics.
Ideally one indi,idual at the central site should *e in charge o" managing the data held
there. <ach pro)ect -ill e,ol,e its o-n directory structures. 9here are li/ely to *e separate
directories "or so"t-are %completed and under de,elopment&> dra"t documents> (nali2ed
internal reports> deli,era*les> other pu*lications. 9he data manager and other pro)ect
mem*ers should ha,e diBerent le,els o" access to the (les. @nly the manager should ha,e
-rite access to all the (les> other mem*ers should ha,e only read access to most (les.
30

9he data manager need not necessarily *e the lead partner. 9his -as not the case in the
pro)ect and it did not seem to cause any pro*lems. 9he amount o" -or/ re6uired o" the data
manager should not *e under+estimated.
Most o" the data -ill *e con(dential to the pro)ect. Access must *e pass-ord+controlled. @"
course the pass-ord should *e changed "re6uently and shared *y non+electronic meansD a
re,ie- meeting is the ideal opportunity.
Related to security is the 6uestion o" data protection. 9he re6uirements ,ary *et-een
countries and there are comple# 6uestions as to -hether the legal re6uirements o" one
country can *e applied to data held in another.
A uni,ersal pro*lem o" sharing electronic documents is the lac/ o" standardi2ation o"
"ormats. 0ocuments re6uire "ormatting in"ormation and -ill o"ten contain Vnon+standardG
material such as mathematics and graphics. 9he main message is to choose one "ormat
that is ade6uate to your pro)ectGs needs and to stic/ to it. Partners should *e pre,ented
"rom trying to Vslip inG a document in another "ormat> ho-e,er good their reasons.
Many telematics pro)ects in,ol,e the de,elopment o" so"t-are. ith diBerent partners
contri*uting diBerent modules there is a need "or code sharing. 9his might *e achie,ed
through the use o" porta*le storage media> *ut they must *e physically transported and -ill
perpetrate multiplicationD they -ill *e occasions -hen it is eBecti,e impossi*le to /no- that
the ,ersion o" the so"t-are that one partner has is truly identical to that held *y another.

@ne o" the o*ligations o" pro)ect is dissemination. 9he -orld -ide -e* is one ,alua*le -ay
o" contri*uting to this. A home page should *e set up+and maintained. 9his can gi,e general
in"ormation a*out the pro)ect that -ould *e o" interest to a general readership. 9he
homepage should include a list o" pu*lications> -ith those -hich are pu*licly a,aila*le
do-nloada*le.
Setting up a home page is only part o" the )o*D maintenance is also ,ital. 9he data manager
must ensure that the in"ormation is /ept up to date as the pro)ect progress. !e-
pu*lications must *e added to the
list as they are completed.% http://---.sta/es.(/tidecong/533<0AR.;9M> 22.81.2882&


Talue SAP <dition 2 is the latest technology tool "or SAP implementation.
9he document in Appendi4 contains in"ormation on ne- "unctions> "eatures and content
deli,ered -ith Talue SAP <dition 2.

Appendi4 $ is in,ol,ed the chec/list *e"ore implementation.

31
C) *o+ to implement %AP
).. Pro!ect Preparation














Signing the contract is the ne#t step a"ter the diHcult decision o" implementing a speci(c
<RP so"t-are. Contracting includes product de(nition> pro)ect de(nition> deli,era*les and
materials> purchased ser,ices> responsi*ilities> payment type> payment plan> la-s> ,alidity>
and se,eral other similar items depending on the pro)ect and scope.

A"ter signing the license and ser,ice agreement> the implementation starts -ith the pro)ect
preparations. 9he pro)ect and *usiness goals are determined> e#pectations "rom the pro)ect
are de(ned.


)... Pro!ect <oals and 8@!ectives
Program <oal C A statement o" the programGs target or direction o" de,elopment
Program 8@!ective C A statement o" a particular desired outcome o" the program. 9he program
o*)ecti,es are achie,ed through the ,arious pro)ect initiates in the program.

Critical %uccess 7actor C An internal> *usiness related item that is measura*le and -ill ha,e> on an
ongoing *asis> a ma)or inAuence on -hether or not an enterprise or process meets its o*)ecti,es

<oal C An aspiration or aim o" enterprise that states a direction in -hich it -ill "ocus its eBorts in support
o" the enterprise mission

8@!ective C A measura*le end or target state that the enterprise desires to achie,e. @*)ecti,es are
short+term targets -ith de(ned> measura*le achie,ements and interim milestones

8pportunity>Pro@lem C A set o" "actors that assists or hinders the a*ility o" an organi2ation to achie,e
its o*)ecti,es and critical success "actors
Nac/ o" clear goals and o*)ecti,es is a primary cause o" program and pro)ect "ailure. 9he
de(nition o" clear goals and o*)ecti,es is a critical step "or initial planning and startup o"
programs or pro)ects. 0e(ning goals and o*)ecti,es is much more than simple
documenting these itemsD items it is really a consensus+*uilding process in -hich the
program manager and sponsor> the pro)ect managers and e#ecuti,e sponsors de,elop a
common understanding o" -hy the program or pro)ect is ta/ing place. 9here"ore> it is ,ital
that all the sponsors *e intimately in,ol,ed in e,ery step o" the process.

=oals and o*)ecti,es "or the program or pro)ect are not the same as *usiness goals and
o*)ecti,es> identi(ed during strategy modeling. Although program and pro)ect goals they
represent more speci(c targets "or the program or pro)ect under consideration. 9here"ore
they must stated so that it is easy to ,eri"y their achie,ement at the end o" the program or
pro)ect. %<S? !a,igator series>1773&

32
Phase %- Pro*ect Preparation - 9ork Packages .%/



(nitial Pro*ect Pro*ect Pro*ect :ickoff
Pro*ect :ickoff
Planning
Procedures
Procedures
QC
QC
Create
Create
Training Plans
Training Plans

e
;
&

&

Planning





0? SAP AG !!"

7igure ).. Pro!ect Preparation = +or2 pac2ages




Define rogra! "oal# $ O%&ecti'e#


(econcile













).$. De?ne Pro!ect <oals and 8@!ectives

9he steering committee must de(ne the o*)ecti,es "or the program> and the line managers
are responsi*le "or the o*)ecti,es o" those pro)ects that concern their departments. 9he
in,ol,ement o" the management in the de(nition o" the pro)ect o*)ecti,es is already a (rst
step to-ard management o-nership o" pro)ect.

It pays to spend time in de(ning pro)ect o*)ecti,es care"ully> since the more clearly they are
"ormulated the more precisely you can estimate sa,ings and analy2e results.
33
People tend to promise too much in a pro)ect. 9hey "orget that a pro)ect -ill *e )udged on
-hether the deadlines -ere met and the goals achie,ed. In short> success depends on
the management o" e#pectations.

hen it comes to identi"ying o*)ecti,es> the pro)ect manager can contri*ute in the "ollo-ing -ays:
0 'y relating o*)ecti,es to the company *usiness plan
1 'y clari"ying and communicating them to all the managers
2 'y highlighting the potential *ene(ts and sa,ings
3 'y spreading the o*)ecti,es e,enly across the "our elements o" *usiness management: in"ormation
technology> organi2ation> processes> methods and procedures %elti> 1777&

hile determining pro)ect and *usiness goals and o*)ecti,es> a matri# sho-ing SAP costs
and *ene(ts can *e help"ul. Many companies determine success criteria that they cannot
measure and monitor. 9he *elo- ta*le can gi,e an idea on ho- to determine some
company and *usiness o*)ecti,es.
:urthermore pro)ect and *usiness o*)ecti,es ha,e to determined separately as these t-o
concept ha,e diBerent meaning.
?ou can *ene(t "rom such ta*les to set your o-n success criteria and e#pectations. Such
analysis ta*les are ,ery use"ul *ut you should set your e#pectations to ha,e an idea.

"a@le ). A %AP Cost>Bene?t Analysis
7I>C8 Modules
9educe 9eceiva@les FB0/,I1 $BIG(

Calculation
0 Identi"y current -or/ing capital in,estment in recei,a*les
1 0etermine a,erage days outstanding
2 <stimate reduction in days outstanding
3 0etermine associated reduction in -or/ing capital
4 'ene(t %annual& is the cost o" capital "or the reduction in -or/ing capital
SAP <na*lers
0 @n+line and integrated system pro,ides "aster in,oicing cycle time
1 'etter analysis tools "or recei,a*les analysis

9educe .ost Discounts FB0ABI1 )BIG(
Calculation
0 Identi"y dollar ,olume o" purchases -ith discounts
1 Identi"y P discounts ta/en
2 <stimate P increase in discounts ta/en
3 <stimate a,erage discount %usually 1 to 2 P& and associated paya*le age reduction
4 Multiply P increase in discounts ta/en times dollar ,olume o" purchases -ith discounts
5 Multiply increased purchase ,olume su*)ect to discount )ust calculated *y the a,erage discount
6 Su*tract oB cost o" capital "or re6uired increase in -or/ing capital %estimating increase in -or/ing
capital in this case is some-hat comple#. :ind someone -ho /no-s ho- to estimate
the increase in -or/ing capital&
SAP <na*lers
0 Integration -ith purchasing pro,ides on+line ,eri(cation and reduced entry
1 Impro,ed a,aila*ility o" in"ormation to pay in,oice resulting in 6uic/er payment
34
9educe Credit .osses FB0,BI1 ,IG
Calculation
0 Identi"y annual credit -rite+oB
1 <stimate percent reduction
SAP <na*lers
0 Credit Management integrated -ith sales and distri*ution "unctionality
Improve Cost Control 0 9educe Costs FB0)I1 $IG

Calculation
0 Identi"y *udget accounts and amounts "or the organi2ation
1 Re,ie- *udget accounts and determine -hich accounts are controlla*le
2 Calculate total dollars in controlla*le accounts
3 <stimate percent reduction in controlla*le costs
SAP <na*lers
0 @n+line> Real+time cost management in"ormation
1 @n+line analysis tools
2 <arlier ,isi*ility o" costs and commitments
ule
%D Mod
Improve Pricing FB0BI1 IG
Calculation
0 Identi"y total sales *y product line in dollars
1 <stimate P impro,ement in pricing
2 Since impro,ed pricing does not materially impact (#ed or ,aria*le costs> *ene(t is sales multiplied *y
impro,ement percentage


SAP <na*lers
0 @n+line real+time capa*ilities increase responsi,eness and customer ser,ice
1 Pricing procedures capa*ility helps reduce I*adJ deals
2 @n+line ,isi*ility o" product cost and pro(ta*ility analysis ena*les *etter decisions
Increase %ales FB0BI1 $IG
Calculation
0 Identi"y sales ,olume *y product line
1 <stimate total sales capacity/production capacity %this should include allo-ances "or pre,entati,e and
unplanned do-ntime "or maintenance reasons&
0 <stimate sales ,alue o" lost a,aila*le production
1 <stimate margin o" lost production
2 <stimate portion o" capacity that can *e con,erted to sales
SAP <na*lers
0 @n+line real+time capa*ilities increase responsi,eness and customer ser,ice
1 Impro,ed customer "orecasting
dule
MM Mo
9educe Inventory FB0,BI1 BIG

Calculation
35
0 Identi"y in,entory ,alue *y category %i" NI:@ ,aluation> ,alue is actually higher than reported&
1 <stimate in,entory reduction goals *y category
2 @ne approach -ould *e to treat reduction as a one+time *ene(t> *ut
3 Another approach -ould *e to recogni2e the annual *ene(t o" reduction in carrying costs %I *elie,e
this *etter reAects reality&
0 Multiply in,entory reductions *y incremental carrying costs %Carrying cost includes cost o" capital>
ta#es> insurance> and damage allo-ances + should not include cost o" assets> la*or> or
*uilding unless ma)or reductions in in,entory are anticipated&

SAP <na*lers
0 Impro,ed ,isi*ility o" in,entory
1 Impro,ed "orecasting
2 Impro,ed data accuracy
3 Reduced process cycle times
9educe .anded Costs FB0BI1 )IG
Nanded costs includes all costs associated -ith getting a product or ser,ice a,aila*le "or use. Nanded
cost -ill there"ore include purchase> "reight> recei,ing> 6uality> return> and ,endor
management costs. Calculation
0 Since purchasing cost is "ar and a-ay the largest component o" landed costs> identi"ying current
annual purchasing dollars is a good conser,ati,e estimate o" landed costs.
0 <stimate percent reduction in landed costs -ith SAP. :actors to consider include
1 ;o- much <0I is currently used
2 Is purchasing transaction oriented or ,endor management oriented F
3 ;o- good o" history does current systems pro,ideF
4 ;o- much ,endor> re6uisition consolidation opportunity e#ists F
5 0o current systems pro,ide ,endor e,aluation toolsF
6 0etermine sa,ings *y multiplying purchase ,olume *y estimated P reduction

SAP <na*lers
0 @n+line> integrated systems reduce transaction eBort to ena*le more "ocus on ,endor relationship
management
0 @n+line history pro,ides in"ormation to negotiate *etter agreements
1 @n+line a,aila*ility o" in"ormation helps dri,e consolidation o" purchases -ith partnership ,endors
2 Tendor e,aluation tools help manage ,endor 6uality and shipment pro*lems


9educe 8@solescence and Damage FB0BI1 $IG

Calculation
0 Identi"y current in,entory o*solescence and damage costs
1 <stimate impro,ement

SAP <na*lers
0 SAP pro,ides on+line ,isi*ility o" stoc/ usage
ule
PP Mod
Increase Production>%ales FB0,I1 IG

Calculation
0 0etermine total sales
1 0etermine margin on sales
36
0 0etermine capacity utili2ation
1 <stimate increase in capacity utili2ation
2 'ene(t is the margin on additional production
SAP <na*lers
0 Integration -ith MM pro,ides earlier ,isi*ility o" material/asset a,aila*ility issues
1 Production planning helps identi"y unused capacity
2 'etter "orecasting and planning tools helps identi"y correct product mi# to produce
3 'etter planning tools help manage product con,ersion %tear do-n> setup> oB+spec& costs
9educe 5IP Inventory FB0,BI1 BIG

Calculation
0 Identi"y ,alue o" IP in,entory
1 <stimate percent reduction in IP
2 Multiply in,entory reductions *y incremental carrying costs %Carrying cost should include cost o"
capital> ta#es> insurance> and damage allo-ances + should not include costs "or
assets> la*or> or *uilding unless ma)or reductions in in,entory are anticipated&

SAP <na*lers
0 'etter "orecasting and planning tools minimi2e need to maintain IP as a *uBer against un/no-n
demand
0 Impro,ed ,isi*ility o" in,entory -ith on+line system
1 Impro,ed accuracy o" in,entory in"ormation


Improve Margins FB0,I1 $IG
Calculation
0 Identi"y sales *y product line
1 0etermine margin *y product line
2 <stimate impro,ement percentage
3 Apply impro,ement to total sales ,olume

SAP <na*lers
0 Pro(ta*ility analysis helps target product mi#es "or greater pro(ta*ility
1 Product costing helps target changes in production and pricing strategy
ule
PM Mod

Increase Asset Utilization 0 9educe Production Asset Do+ntime FB0BI1 ,IG
Calculation
0 Identi"y daily sales ,olume
1 0etermine margin on daily sales
2 0etermine (#ed cost per day
3 0etermine production do-ntime "or planned and unplanned maintenance
4 <stimate portion o" do-ntime to *e eliminated
5 'ene(t is margin and (#ed costs pre,iously lost during do-ntime


SAP <na*lers
0 Integration -ith other modules reduces cycle time "or maintenance orders
1 @n+line system -ith analysis tools helps dri,e do-n unplanned maintenance
2 'etter pro*lem trac/ing and pre,entati,e maintenance "orecasting
37
9educe Maintenance 9eCuirements FB0BI1 )IG
Calculation
0 <stimate total cost o" plant maintenance + usually captured in a cost center
1 <stimate reduction in maintenance due to impro,ed pre,entati,e maintenance
SAP <na*lers
0 Pre,entati,e maintenance capa*ility
reas ure
0 Maintenance history reporting and analysis
ene?t A astruct
8t#er B ms Infr
g %yste
E4istin
Eliminate Mainframe and 8t#er ECuipment FBBIG
0 Identi"y hard-are to *e eliminated
1 <stimate sal,age ,alue %or lease cost& o" hard-are

Eliminate Maintenance Contracts 7or Current *ard+are and %oft+are to @e
Eliminated FBBIG
0 Identi"y hard-are and so"t-are to *e eliminated
1 Identi"y maintenance contracts on hard-are/so"t-are to *e eliminated

9educe I" staE reCuired to support current #ard+are and soft+are FB0BBI1 /,IG
0 Identi"y total :9<Gs supporting e#isting hard-are and so"t-are
1 Allocate :9<Gs to current hard-are maintenance> so"t-are systems and o,erhead processes
2 0etermine :9<Gs allocated to maintenance o" hard-are and so"t-are to *e eliminated
3ear $BBB Cost Avoidance
0 'y no-> this is pro*a*ly no longer a ,ia*le sa,ings area. ;o-e,er> the I9 department has pro*a*ly
estimated the cost o" year 2888 pro*lem.

8t#er
Pro!ect Avoidance FBBIG
0 Identi"y planned pro)ects to de,elop point solutions %i.e. Plant Maintenance pac/age& that -ill no
longer *e re6uired -hen SAP is installed
0 0etermine planned *udget "or all planned pro)ects
Manpo+er 9eductions FB0$BI1 BIG
0 Identi"y processes per"ormed in all departments impacted *y SAP implementation
1 Identi"y characteristics o" each process identi(ed a*o,e %i.e. "re6uent re-or/> e#cessi,e do-ntime>
missing in"ormation&
0 Identi"y /ey -ays that SAP -ill change each o" the processes identi(ed
1 <stimate the percent change in manpo-er eBort re6uired "or each process
2 0etermine net change in manpo-er *y department and *y position
3 0etermine -here opportunities e#ist to reduce manpo-er
4 Multiply reductions *y manpo-er cost loaded -ith *ene(ts only.
38
Esta@lis#ing t#e Program Mission %tatement
A program mission statement is a critical prere6uisite to de(ning goals and o*)ecti,es. 9he
mission statement descri*es the purpose o" the program. ith the large num*er o" people
and acti,ities in,ol,ed in a ma)or program> it is o"ten too easy to lose sight o" "orest "or the
trees. A good mission statement is an eBecti,e -ay o" communicating to all concerned the
"undamental *usiness purpose o" the program.

A clear mission statement can help a,oid this type o" directional dri"t. It pro,ides all program participants
-ith a common re"erence point against -hich to e,aluate their indi,idual direction> actions and decisions.
<Becti,e mission statements are notoriously diHcult to de,elop. A good mission statement
should possess the "ollo-ing 6ualities:
0 It is clear> concise and unam*iguous
1 It identi(es a single> de(nite> o,erall purpose
2 It is easy to remem*er
3 It may *e used to discriminate *et-een one priority and another
4 <ach term used in the mission statement has a supporting operational de(nition %<S? !a,igator
Series> 1773&


)..$. 9oles H :ey 7ocus
9here are ten primary roles in an SAP implementationD details o" each are gi,en in the
implementation assistant.
%teering Committee + mem*ers include pro)ect sponsors> the SAP consulting manager %and/or the
9eam SAP Coach&> and pro)ect managers. 9he committee is also the primary source "or the
companyGs long term goals and ,ision> sets priorities> appro,es scope> and resol,es
company+-ide issues.
Pro!ect %ponsors C 0irectly communities the companyGs long term goals and ,isions and are mem*ers
o" the steering committee
Pro!ect Management C 9eam SAP Pro)ect Manager and customer pro)ect manager

Consultant C 9eam SAP mem*ers> application> cross application> *usiness process
"ec#nical C Customer or consultants "or system administration and technical> help des/ pro,ider

"raining C 9raining S 0ocumentation> Pro)ect manager/Neader> 9raining and documentation
de,eloper/instructor> training coordinator> training technology administrator

C#ange C 9hese are dedicated indi,iduals assigned to manage the organi2ational change management
processes: Ris/ Assessment> communication> sponsorship and leadership> s/ills and
de,elopment> /no-ledge trans"er or *usiness optimi2ation
%ecurity = Authori2ation> administration or internal auditor responsi*le "or managing the system security
and authori2ation en,ironment and may *e com*ined -ith other administrati,e roles.

39
Pro*ect Preparation - oles 7 :ey Focus

Phase
ole Content (nitial Pro* Pro* Pro*ect Training Pro*ect Tech& e;& & QC QC
6roupings
Planning Procedures Plans :ickoff Planning
Steering Sign-
"ff
******************
Pro! "harter
Sponsors
and #$ple$entation
Strategy
Change ,gmt
:ickoff
Plan
,eeting
Sign-"ff
Pro*& ,gmt& :ickoff
Quality
Check<
Pro Pro! Mg$t! 0. Mg$t!
****************** Sign-
Standards 7 ,eeting
Procedures ******************
"onsultant Plan < Budget<
esources
Comm&< +oc&=
(ssue ,gmt
Kic%o&&
Meeting
Pro! Tea$
Standards
"usto$er
(mplementation
(+ Tech
Technical
Pro*ect Team
Standards
e;uirements<
Procure >rd9r
Strategy

"rgani1ation < Change
Pro*ect Team
"hange
:ickoff
,eeting

Security


0? SAP AG !!"
S
y
Training
7igure ).&. 9oles and :ey 7ocus )..&.
Determine t#e Implementation %trategy
9he purpose o" this acti,ity is to re,ie- in detail the implementation strategy "or the pro)ect.
@ne must determine i" any changes are needed in terms o" pro)ect o*)ecti,es or
methodology. 9he o,erall implementation approach and methodology should no- *e
(nali2ed and con(rmed. :or some pro)ects> it is necessary to also re,ie- the o,erall
corporate SAP implementation strategy> especially i" there are multiple> simultaneous SAP
implementation pro)ects in process throughout the company.

:or local rollout pro)ects as part o" a glo*al program> the o*)ecti,e o" this acti,ity is to
understand and re,ie- the glo*al SAP product implementation strategy.

9he pro)ect strategy sets the guidelines "or the pro)ect. It needs to *e de(ned *y the
steering committee and "ollo-ed *y all pro)ect mem*ers. 9he pro)ect strategy should
contain the "ollo-ing elements:
0 Pro)ect locations
1 0epartments in,ol,ed
2 Implementation strategy
3 ;ard-are and so"t-are to *e used
A*o,e all> the company must understand that it has to adopt the philosophy o" the standard so"t-are.
9his means adapting the company organi2ation> its processes> and procedures to the
so"t-are standard. In this point> you can "ollo- t-o stages:
1. Re,ie- and Re(ne implementation strategy
2. Re,ie- and con(rm implementation plan
Implementation proposals are diBerent -ith speci(c "ocus on company *usiness o*)ecti,es>
o,erall scope> and /ey implementation assumptions.

40

9he sample scope document is used a *asis "or outlining the scope o" the pro)ect. 9his
document may ha,e already *een created as a result o" pre sales acti,ities.



e$ie) and Confirm (mplementation Plan

Pro*ect
Pro*ect
Preparation
Preparation
2 9ith specific focus on-
0? Company Business "b*ecti$es
1? :ey (mplementation 8ssumptions
2? "$erall Scope - 5se accelerator !Sample Scope +ocument#
Sample Scope +ocument +efine Business Process Scope at-
:E?
-e'el "
-e'el
-e'el .
-e'el /

Structure
(n Scope BP ")ner < Consult
:P(
myS8P&com
,aster +ata
Business Process
Procurement
Production
Sales and +istribution


0? SAP AG !!"
0? 3e$el % - S8P eference Structure
1? 3e$el ' - Enterprise 8rea
2? 3e$el 0 - Scenario
3? 3e$el 2 - Process 6roup
7igure ).). 9evie+ and con?rm implementation plan

:or the implementation o" the SAP system> the steering committee can accept a pro)ect
strategy as "ollo-sD %elti>2882&
1. e intend to implement the SAP R/3 system "or all our aBa*ility in <urope and .SA.
2. e shall adopt a step *y step and roll+out approach> introducing the diBerent approaches
3. 0eadlines esta*lished in the implementation schedules are to *e met at all a,aila*le and "uture
costs
4. 9he pro)ect is to *e implemented *y our o-n staB.
5. Consultancy should *e /ept to a minimum> and pro)ect mem*ers should *e trained up as
appropriate. May *e outsourcing can *e used accordingly.


)..). Develop a Pro!ect Budget
9he pro)ect *udget is the total sum o" money allocated "or the pro)ect> typically allocated
into categories o" e#pense and phased o,er time.
9he *udget ser,es as the cost *aseline "or the monitoring and controlling o" the pro)ect
acti,ity. 9he *udget can *e distri*uted across milestones or across calendar periods.
Additionally> *udgets may *e associated -ith deli,era*les to assess and ,alidate each
deli,era*leGs ,alue.


Developing a @udget
41
I" a high le,el *udget has *een de,eloped> you o"ten re,ie- it and update it as necessary. I"
considera*le time has passed *et-een de,elopment o" the initial charter and pro)ect start+
up> loo/ "or changes in sponsorship> *usiness direction or organi2ation.

'elo- -e ha,e added some (nancial -ords used commonly.
Cost = 9he amount o" resources re6uired to accomplish a tas/. Costs can *e identi(ed as anything that
can *e related to a monetary ,alue. <#amples include the cost o" human resources
re6uired to complete a tas/> the cost o" maintaining e6uipment re6uired to generate a
product> and the cost o" transporting products to the customer.

Budget Cost Category C A category> -hich represents a collection o" associated cost estimates "or a
pro)ect

Cost Estimate C A "orecast o" the appro#imate costs> that are associated -ith a pro)ect plan under a
gi,en set o" assumptions.
Document t#e estimating t#e @udget1
0 0ocument any estimating assumptions

A good e#ample estimate pro,ides an un*iased appro#imation o" pro)ect scope. 9he "act is>
an estimate can *e no *etter than the in"ormation on -hich it is *ased.

0etermine pro)ect applica*le *udget cost categories
Si# generic *udget cost categories can *e de(ned as "ollo-s:
0 Na*or
1 9raining
2 :acilities+related
3 9ra,el and li,ing
4 Solutions
5 Pro)ect support costs

0etermine -hich categories are applica*le to your pro)ect scope.
Determine additional costs
0 0etermine any additional *udget cost categories that are applica*le "or your pro)ect scope in
addition to the si# generic categories that are pro,ided.

Determine t#e la@or cost target
0 Calculate a cost target "or the la*or estimate *y multiplying the total hours re6uired *y an
a,erage la*or rate. 9he total hours can *e determined *y producing either a product+
*ased or tas/+*ased estimate o" the pro)ect.
Determine t#e la@or cost estimate
0 Calculate the la*or cost estimate "rom the total o" direct and indirect costs> and (#ed and ,aria*le
costs that are associated -ith the selected staHng aggregate

Estimate t#e travel and living costs
0 <stimate tra,el and li,ing costs> and include the "ollo-ing:
1 9ransportation
42
0 Accommodations
1 Meals
Determine training reCuirements
0 0etermine the training re6uired *y entire pro)ect team and *y indi,idual mem*ers -ithin the
team
0 9raining re6uirement may ,ary *y e#isting s/ills and *y the roles and responsi*ilities that a
particular indi,idual -ill ha,e during the pro)ect
Estimate t#e training cost

<stimate the training costs "or the pro)ect team> including the "ollo-ingD
0 Cost o" instructors and associated e#penses
1 Cost o" *oth paper+*ased and computer+*ased training material> including computer hard-are
and so"t-are
0 Cost o" training "acilities> meals and snac/s
1 Cost o" participantGs time
2 Costs associated -ith locating the team at the training "acility
%ummarize t#e costs for t#e @udget
0 Summari2e the total costs either *y milestones or calendar periods
1 =enerate a pro)ect e#pense summary report that details each cost category de(ned in the pro)ect
-ith its respecti,e *udgeted amount %<S? Series>1773&
?ou can use diBerent planning "orms in the -or/ *rea/do-n structure:
0 Cost planning *y -or/ *rea/do-n structure
1 Cost planning *y cost element %detailed planning&
2 .nit costing

?ou can also use the three planning "orms alternati,ely or together depending on the
amount o" in"ormation a,aila*le. :or e#ample> you might enter a unit costing or cost
element plan "or particular cost elements> -hile using structure+oriented cost planning to
estimate the costs "or the other elements

9he planned costing is the planning "orm used in net-or/s. 9he planned costs are arri,ed at
*y ,aluing the 6uantity structure.


)..,. De?ne t#e Program 8rganization

9he purpose o" this acti,ity is to create the pro)ect organi2ation structure and (nali2e roles
and responsi*ilities. 'oth company employees and consultants -ill need assignment. An
important aspect o" this acti,ity is the set up o" a common -or/ing area "or the pro)ect
team. It is critical "or team mem*ers to -or/ in an open en,ironment -here they are in
direct contact> so that they can discuss the ,arious integration issues and resol,e them
6uic/ly. 9his common -or/ area is generally re"erred to as a pro)ect team. %ASAP71>2881&

43
+etermine Pro*ect "rgani1ation

Pro*ect
Preparation
Tasks
Plan and Set up En$ironment
+efine Pro*ect "rgani1ation and Create Teams
8ssign People to Core Change Team oles
Conduct Pro*ect Team Transition ,eeting
Create the E@tended Change Team


8ccelerators-
0 Pro*ect oom e;uirements 9hite Paper
1 (T (nfrastructure +ocument





0? SAP AG !!"

7igure ).,. Determine Pro!ect 8rganization
Determine t#e pro!ect roles
0 Re,ie- the pro)ectGs route map pro(le phase and its list o" roles to determine the /ey roles
re6uired "or the pro)ect
0 Modi"y each standard role description to include speci(c pro)ect s/ills and responsi*ilities.
Determine t#e sta'ng reCuirements
0 <stimate and document the num*er o" resources re6uired
1 StaHng re6uirements are constrained *y:
0? 'udget
1? Resource a,aila*ility
2? Scheduled completion o" the pro)ect or program
3? Methodology principles on si2e o" indi,idual pro)ects

9he ideal si2e "or a team is t-o to si# people in addition to the manager. 9his /eeps
the span o" control small and minimi2es communication diHculties.


Develop t#e team organization c#art
Create a graphic that illustrates the team organi2ation. .se indi,idual names -here,er possi*le.
In some cases> it may *e more eBecti,e to represent roles on the organi2ation chart
and cross+ re"erence these to a ta*le o" roles and the resources assigned to them.
Eeep the chart simple and uncluttered. It is meant to ser,e as an unam*iguous
communication ,ehicle.
44


E4ecutive
%ponsor


Pro!ect
%ponsor
Pro!ect
Manager
:ey
Users
Business Knowledge
Technic
Consultant
Analysts base coordinato Specialist




7igure ).-. Pro!ect "eam 8rganization
C#art EEective pro!ect organization

A Aat hierarchical pro)ect organi2ation is pre"erred> -ith short decision and
communication lines> -hich pro,ed highly eHcient and eBecti,e. 9as/s and
responsi*ilities are allocated among the pro)ect mem*ers and a sense o" o-nership is
encouraged.


Error)
%teering
committee


Pro!ect management
team

I*
%ales and
mar2eting pro!ect
eams
"#e plant pro!ect
teams
"#e anot#er
plant
pro!ect teams
7igure )./. E'cient Pro!ect 8rganization
0 *ierarc#ical levels + 9he pro)ect le,els are reduced "rom (,e to three. Ne,el 1 is the steering
committee> le,el 2 the pro)ect management team> and le,el 3 the ,arious pro)ect teams.
0 %impli?cation of t#e structures C A"ter reducing the le,els> the ne#t stage is to integrate the
consultants and secretaries into the pro)ect teams> and to organi2e the pro)ects at each site
0 %teering committee C 9he top management *ecame the steering committee. 9he pro)ect
manager acts as pro)ect secretary on the steering committee> thus ensuring the lin/ to the pro)ect
45
team. 9he steering committee mem*ers are also line managers o" the pro)ect team
mem*ers> thus strengthening the authority o" the pro)ect organi2ation.
0 Pro!ect management team C In the ne- pro)ect structure it merges the pro)ect team and the
pro)ect management into the pro)ect management team. 9he pro)ect management team consists
o" the pro)ect manager> the pro)ect secretary> and se,eral pro)ect coordinators. 9he
pro)ect manager ha,e all responsi*ility "or the pro)ect> sometimes he is also I9
manager. 9he pro)ect coordinators are responsi*le to the pro)ect management team
"or their acti,ities.
0 Pro!ect teams C 9he pro)ect teams are led *y the pro)ect leader> -ho in most cases are the line
manager
0 Information tec#nology team C I9 *ecomes a separate support unit> and as a tas/ "orce it
administered e6ually to the needs o" all pro)ect le,els.


*uman 9esources in a pro!ect
0 Pro!ect leader C In most cases the pro)ect leader is a mem*er o" the line organi2ation>
pre"era*ly the line manager. In this -ay> line o-nership o" the pro)ect is guaranteed>
and essential line e#pertise is made a,aila*le to the pro)ect.
0 Pro!ect mem@ers C Pro)ect mem*ers are selected according to the s/ills re6uirements o" the
pro)ect. 9he num*er o" pro)ect num*ers depends on the comple#ity o" the pro)ects
and the a,aila*ility o" human resources.
0 Consultant C 9he consultant supports the pro)ect -ith his e#perience in pro)ect planning>
customi2ing> and training.


Pro!ect Management team

9he pro)ect management team must manage all the pro)ects> and represent them on the
steering committee. It must coordinate the ,arious interests "rom all module areas> and
sol,e those pro*lems that cannot *e sol,ed *y pro)ect teams themsel,es. 9he mem*ers o"
the pro)ect management team ha,e to *e 188P a,aila*le "or pro)ect -or/.
9as/s and responsi*ilities
0 Implementing the pro)ect
1 Communicating> coordinating> and controlling the pro)ects
2 <,aluating and deciding a*out "unctional issues
3 Con(guring and customi2ing the system
4 9raining and supporting pro)ect mem*ers and users
5 0ocumenting the pro)ect
6 Reporting to the pro)ect manager
Pro!ect team

Pro)ect leaders must ha,e strong leadership 6ualities> and *e "amiliar -ith the so"t-are
module they are going to implement. Eno-ledge o" the organi2ation is an asset *ut not
essential. 9he ideal arrangement is one -here the line manager is also put in charge o" the
pro)ect. Nine managers must participate in the pro)ect *ecause they should *e the most
"amiliar -ith departmental processes and procedures> and need to understand the
prospecti,e changes -ithin their o-n departments.
Pro!ect mem@ers
46
Pro)ect mem*ers must *e "ast learners> as they must a*sor* and apply /no-ledge -ithin a
short time. 0uring the li"e cycle o" the pro)ect the pro)ect mem*ers must *e a*le to
concentrate on pro)ect matters rather than conAicts the line organi2ation: yet another
reason to /eep the throughput time as short as possi*le
C#aracteristics of EEective Pro!ect Managers

Pro)ect managers need enthusiasm> stamina and an appetite "or hard -or/ to -ithstand the
special pressures o" pro)ect management. here possi*le> pro)ect managers should ha,e
seniority and position in the organi2ation commensurate -ith that o" the "unctional
managers -ith -hom they must negotiate. hether they are pro)ect coordinators -ithin a
"unctional structure or pro)ect managers in a matri# structure> they -ill o"ten (nd their
"ormal authority incomplete> and they need a *lend o" technical> administrati,e and
interpersonal s/ills to pro,ide eBecti,e leadership.

"ec#nical s2ills . Many pro)ects depend "or their success on eBecti,e application o" certain /ey
technologies. 9he eBecti,e manager o" such pro)ects must understand the essentials o"
those technologies enough to e,aluate -hether the -or/ done is o" suHcient 6uality> e,en
an un"amiliar technology is in,ol,ed in a pro*lem on the pro)ect.
Administrative s2ills . Pro)ect managers must *e e#perienced in planning> organi2ing and control
techni6ues as they apply to pro)ects. In particular> they should understand the pro)ect
planning techni6ues> such as the -or/ *rea/do-n structure> net-or/ systems> and other
methods.
Interpersonal s2ills . <#cept in "ully pro)ected organi2ations> pro)ect managers depend hea,ily on the
-or/ o" others not under their line control.
"#e Managers C#arter

@" ,ital importance to the pro)ect is his or her charter> or scope o" authority. It is highly
desired that the responsi*ilities and authority o" the pro)ect manager *e de(ned in -riting
in ad,ance to clari"y the inter"aces *et-een the pro)ect manager> "unctional managers> and
others> and to reduce the potential "or conAict and con"usion. :ollo-ing are some o" areas a
pro)ect manager might li/e to see co,ered in such a charter. %'a*coc/+Morse>2882&
1. Speci(cation o" pro)ect priority relati,e to other acti,ities
2. 0esignation as the primary contact -ith the customer
3. Authority to de(ne the -or/ to *e per"ormed *y supporting departments in terms o" cost>
schedule> and per"ormance
4. Control o,er the pro)ect *udget> -ith signature authority on all -or/ authori2ations
5. Responsi*ility to schedule and hold design re,ie-s> determine the agenda and representation>
and esta*lish responsi*ility "or "ollo-+up action
6. Responsi*ility "or con(guration and change control and "or appro,ing changes
7. Authority to constitute and chair the ma/e+or+*uy and source selection *oard
8. Responsi*ility "or regular reporting to general management o" pro)ect status and identi(cation o"
any "actors inhi*iting pro)ect success
9. Participation in the merit re,ie- process "or all personal on loan to the pro)ect.
:e- pro)ect managers -ill *e granted all the authorities suggested a*o,e> *ut the authority
relationships -ith "unctional managers and among pro)ects should *e clari(ed -here
possi*le "or more eBecti,e pro)ect per"ormance.


Developing Pro!ect Management %2ills
Managers o" large pro)ects typically *egan in some specialty o" engineering or *usiness>
learned pro)ect planning and control -hile applying their specialty in a pro)ect
en,ironment> and -as assigned responsi*ility "or a ma)or pro)ect only a"ter a series o"
pro)ect and "unctional assignments o" increasing responsi*ility. ;o-e,er> engineers may
(nd themsel,es assigned to small pro)ects -ith little or societies>
47
and consultants and many *oo/s a,aila*le on the su*)ect o" pro)ect management> *ut none
"ully su*stitute "or e#perience. Meetings and pu*lications o" the pro)ect management
institute and o" the American Society "or <ngineering Management also help in ac6uiring
pro)ect management s/ills.

As a result> you can loo/ at Appendi4 $ > that descri*es SAP Pro)ect team s/ill pro(le and /ey tas/s "or
each role -ithin the pro)ect organi2ation.

)..- Developing a C#arter
Program C#arter + 9he description and de(nition o" a closely related set o" pro)ects that address a
common *usiness goal that can *e independently staBed and managed. 9he charter
de(nes an agreement o" -hat the program and its pro)ects are committed to deli,er and
speci(es the o,erall *udget> time constraints> resources and standards -ithin -hich the
program must *e completed.

Pro!ect C#arter = 9he de(nition o" a discrete unit o" -or/ that can *e independently staBed and
managed. 9he charter de(nes an agreement o" -hat the pro)ect is committed to deli,er and
speci(es the o,erall *udget> time constraints> resources and standards -ithin -hich is must
*e completed.

A pro)ect charter is the cornerstone o" a pro)ect using the methodology. I" it used properly> it
can *e an important tool "or managing the e#pectations o" the pro)ect sponsor and other
sta/eholders. I" the pro)ect charter is poorly constructed> the pro)ect is much more li/ely to
run into trou*le.
A pro)ect charter is essentially a contract. It may not *e legally *inding "or the parties
in,ol,ed> *ut ne,ertheless it does represent a "ormal agreement and commitment *et-een
the pro)ect manager and the pro)ect sponsor. As such> it is the pro)ect managerGs
pro"essional responsi*ility to treat this agreement seriously and ma/e e,ery eBort to meet
the commitment it represents.
9he pro)ect charter is designed to help the pro)ect manager:
0 0ocument the agreement *et-een the pro)ect sponsor and pro)ect manager
1 Pro,ide a clear statement o" the pro)ectGs purpose and o" -hat the team is committed to deli,er
2 0e(ne the pro)ect roles and responsi*ilities
3 Ma/e ,isi*le the de,elopment process and the approach that -ill *e used to manage the pro)ect
4 <sta*lish the ground rules "or the pro)ect
5 Pro,ide a *aseline "or scope and e#pectation management
9his techni6ue summari2es the -or/ re6uired to de,elop the pro)ect charter. :or many o"
the steps> other areas o" the methodology pro,ide detailed support

"#e initial pro!ect c#arter and t#e pro!ect c#arter
Creating a pro)ect charter is normally a t-o+step process. An initial pro)ect charter is
de,eloped in the planning stage o" a pro)ect "or each su*se6uent pro)ect. :or e#ample>
during the de,elopment planning stage o" an analysis pro)ect> an initial pro)ect charter is
created "or e,ery su*se6uent de,elopment pro)ect. In start up and preparation> the initial
pro)ect charter is re(ned to produce a (nal pro)ect charter and a detailed pro)ect plan. A
high le,el summary o" the detailed pro)ect plan is included in the pro)ect charter "or
appro,al purposes.

48

Start+up and Preparation



Planning
P
r
Project Plan
Initial
Project
Charter
u!!ar"






Project
Plan





).6. "#e Initial Pro!ect C#arter and t#e Pro!ect C#arter


Create and (ssue Pro*ect Charter

Pro*ect
Tasks
3oad +ocuments into oadmap
Check +ocuments from +isco$ery and E$aluation "rgani1e 9orkshop for +etailing
Program Charter +efine Pro*ect ,ission Statement
Create (nitial Pro*ect Plans
(dentify Pro*ect "b*ecti$es and ,easurements +e$elop
the Change Strategy and Charter 8ssemble and 8ppro$e
Pro*ect Charter
0? 8ccelerators-
1?
Pro*ect
Charter
9hite
Paper
2?
Pro*ect
Plan
3?
Budget <
esourc
e Plan
.Sample/
P
r
e
p
a
r
a
t
i
o
n
0? SAP AG !!"

7igure ).A. Create and Issue Pro!ect C#arter
49

5#at is pro!ect planJ
9he pro)ect plan contains the details o" ho- and -hen the pro)ect -ill *e e#ecuted. It
includes the detailed -or/ plan and *udget "or the pro)ect.
9he sections o" a pro)ect plan areD

Pro!ect 5or2 plan : 0escri*es the detailed estimate> schedule and resources "or the pro)ect> including
the tas/ list and dependency net-or/> tas/+*ased eBort estimate> scheduled plan> resource
assignment and pro)ect milestones.
Pro!ect Budget : 0ocuments the costs o" the pro)ect "or la*or> tra,el and li,ing> training> "acilities>
solutions> and support.

Developing a C#arter
Initiate t#e c#artering process.
0 Initiate the process o" de,eloping a charter.

9he chartering process may *egin *y:
0 0e,eloping initial charters "or "uture pro)ects at the end o" current pro)ect or
program
0 0e,eloping a charter "or the current initiati,e as the program or pro)ect starts
1 Con(rm -ith the sponsor and esta*lish the re6uired *aseline deli,era*les
2 I" the *aseline deli,era*les do not e#ist> de,elop them prior to> or in parallel -ith> the
chartering process.
:or e#ample> certain enterprise models are needed to esta*lish the logical and
organi2ational *oundaries "or a pro)ect. @r> the *usiness goals and o*)ecti,es are
needed to dri,e the de(nition o" the program or pro)ect goals and o*)ecti,es. I" these
*aselines models do not e#ist or the *usiness goals and o*)ecti,es are not identi(ed>
this in"ormation must *e de,eloped to esta*lish a sound "oundation "or de(ning the
program or pro)ect.
Develop t#e c#arter components.
0 0e,elop goals and o*)ecti,es.
9he goals and o*)ecti,es should align -ith the goals and o*)ecti,es o" the enterprise.
<nsure that the o*)ecti,es are clearly de(ned and measura*le.
0 0e,elop the scope "or the program or pro)ect.

9he scope is the most important part o" the charter. It descri*es e#actly -hat -ill *e
produced> ho- long it -ill ta/e to produce it> and ho- much the enterprise -ill pay to
produce it.
0 0e,elop the estimate and -or/ plan.
9he estimate and -or/ plan pro,ide the itemi2ed details o" ho- much time and eBort is
needed to produce the deli,era*les. 0e,elop and con(rm the product and tas/ *ased
estimates -ith the sponsor.
0 0e,elop the plan summary.

A more detailed -or/ plan -ill *e de,eloped> *ut normally only a high le,el summary should
appear in the charter unless the sponsor -ants to see more detail.
50

8@taining Management Approval of t#e C#arter and Plan %<S?> 2888&
0 Con(rm the re,ie- participants
1 Con(rm the participants o" the re,ie-
2 Schedule the re,ie-
3 Schedule a time and place to conduct the re,ie-
4 Conduct the re,ie-
5 :acilitate discussions -ith the re,ie-ers and document all issues
6 @*tain management appro,al
7 @*tain the necessary appro,als "rom the sponsor.
8 9his appro,al means that management agrees -ith the re,ie- results

)../. Create Pro!ect "eam "raining Plan
9he purpose o" this acti,ity is to create a training plan "or the pro)ect team in,ol,ed in the
SAP implementation. hile training costs can *e ,ie-ed as relati,ely e#pensi,e> it is
critically important that the pro)ect team *e gi,en this training. @nce initial training is
completed> the pro)ect team has a much *etter understanding o" *asic SAP "unctions> ho-
con(guration -or/s> and ho- to ma#imi2e SAPGs impact to meet your *usiness
re6uirements. 9his initial training does not co,er user training it -ill *e addressed later in
the implementation.

Eey "actors during this acti,ity include:
0 'ac/ground o" each mem*er
1 Speci(c area o" *usiness in,ol,ement o" team mem*er %application or technical&
2 9iming o" team mem*er participation during the implementation
9his /ey "actor in"ormation can *e used to determine the appropriate classes "or each team
mem*er> there*y a,oiding redundancy> or time spent in classes that are not applica*le> and
ma/e sure the course material is timed accordingly. hen de,eloping this plan> decide
-hich courses are to *e conducted at an SAP training center> or at the company site. 9he
pro)ect team training plan is regularly updated throughout the li"e o" the implementation.

51
Create Pro*ect Team Training Plan

Pro*ect
Pro*ect
Preparation
Preparation
8S8P oadmap


Pro*ect Final
Preparation Preparation 6o 3i$e 7
Business eali1ation
Blueprint


S8P Training Courses- X comprise le$el % .a)areness/= le$el ' .readiness/ 7 le$el
03 .proficiency/
8ccelerator$ 0? should ideally ha$e been completed for le$els % 7 '
0 Training Ser$ices for
the Pro*ect
Team AoteB


0? SAP AG !!"
before starting the Business
Process 9orkshops
0? address function and use of the S8P product


0? ,anagement and pro*ect team may ha$e training needs in
addition to S8P product& These should also be addressed in the training plan
7igure ).B. Create Pro!ect "eam "raining
Plan End User "raining and
Documentation %trategy

9he purpose o" this acti,ity is to de,elop an end user training and documentation strategy
and to de,elop a -or/ plan. ?ou -ill *egin -ith an assessment o" the needs o" the end
users> de,elop a pro)ect -or/ plan> and then create a pro)ect plan that -ill *e the *asis o"
your end user training and documentation implementation.
9as/sD
0 0e,elop end user needs assessment
1 0e,elop end user training and documentation pro)ect plan
2 0e,elop end user proposal and conduct pro)ect proposal meeting
AcceleratorsD
0 <nd user training and documentation needs assessment
1 <nd user training and documentation methodology

52
End 5ser Training and +ocumentation Strategy

Pro*ect
Pro*ect
Preparation
Preparation
Tasks
+e$elop End 5ser Aeeds 8ssessment
+e$elop End 5ser Training and +ocumentation
Pro*ect Plan
+e$elop End 5ser Proposal and Conduct
Pro*ect Proposal ,eeting



0? 8ccelerators-
1? End 5ser Training and +ocumentation Aeeds 8ssessment
2? End 5ser Training and +ocumentation ,ethodology



0? SAP AG !!"

7igure ).. End User "raining and Documentation %trategy


).. 6. Determine t#e "ec#nical 9eCuirements
9he o*)ecti,e o" this step is to identi"y the technical re6uirements needed to implement the
SAP technical en,ironment> clari"y the customerGs e#pectations> re,ie- hard-are si2ing and
procure the re6uired hard-are.

0uring planning> /eep in mind that all re6uired SAP systems are unli/ely to *e procured and
installed at the same time.

9he de,elopment system is the initial system and is needed at the start o" an SAP
implementation pro)ect. <arly on> this may *e the only SAP system in the system landscape.
@ther re6uired SAP system> such as the 6uality assurance and production systems> are not
needed until a later phaseD there"ore> part o" the planning includes ta/ing e#pected deli,ery
lead+times into consideration so that su*se6uent systems and hard-are can *e ordered in
time.

53
Technical e;uirements Planning for 3ocal Pro*ects

Pro*ect
Pro*ect
Preparation
(dentify Technical e;uirement






Procure >ard)are







0? SAP AG !!"

7igure ).$. "ec#nical 9eCuirements Planning for .ocal Pro!ects
Identi"y technical re6uirements: 9he purpose o" this acti,ity is to identi"y the technical
in"rastructure needed to implement R/3> and to clari"y the customerGs e#pectations.
Procure ;ard-are: 9he purpose o" this acti,ity is to procure the hard-are needed "or the
SAP en,ironment and places the hard-are order -ith the appropriate ,endor. Care"ully plan
the procurement o" the su*se6uent systems to a,oid une#pected lead times that could
impact the SAP implementation schedule. ;ard-are procurement lead times ,ary "rom
days> -ee/s> to e,en months.

)..A. 7i4 t#e Pro!ect Aut#ority
Authority is essential to any group or pro)ect team eBort. 9he legal authority that is
e#ercised *y an indi,idual comes "rom organi2ational position occupied *y the indi,idual.
Such authority is granted or delegated "rom a higher authority le,el in the organi2ation. In a
*usiness organi2ation> the shareholders elect the *oard o" directors o" a company. 9he
*oard o" directorGs authority role in pro)ect management is to study and appro,e /ey
strategy proposals> particularly those ris/y pro)ects -hich in,ol,e a su*stantial portion o"
corporate resources> and to maintain sur,eillance o" the pro)ect during its li"e cycle.
Pro)ect managers "ace a uni6ue authority challenge in the management o" their pro)ects.
.sually pro)ect managers ha,e only a "e- people -or/ing directly "or them their small
administrati,e staB.
Sometimes the authority o" the pro)ect manager is ,ery e#plicit. :or e#ample> at ;onda the
pro)ect team that de,elop ne- ,ehicles had engineers> designers> (nancial analysis>
mar/eting e#perts and manu"acturing people all report to a single pro)ect leader -ho had
IlineJ authority o,er them and their -or/. Chrysler> in constraint> -as di,ided *y "unctional
disciplines> as departments -ith their o-n "unctional agendas competed. 9he resultF 9he
Chrysler system too/ longer> cost more> and sometimes led to compromises such as in
6uality. %Cleland> 1777&
Documenting pro!ect aut#ority
Pro)ect managers should ha,e *road authority o,er all elements o" their pro)ects. Although
a considera*le amount o" their authority depends on their personal a*ilities> they can
strengthen their position *y pu*lishing documentation to esta*lish their modus operandi
and their legal authority.
54
At a minimum> the documentation should delineate the pro)ect managerGs role and
prerogati,es in regard toD
1. 9he pro)ect managerGs "ocal position in the pro)ect acti,ities
2. 9he need "or a de(ned authority responsi*ility relationship among the pro)ect manager> "unctional
managers> -or/ pac/age managers> and general managers
3. 9he need "or inAuence to cut across "unctional and organi2ational lines to achie,e unanimity o"
the pro)ect o*)ecti,es
4. Acti,e participation in ma)or management and technical decisions to complete the pro)ect.
5. Colla*orating %-ith the personnel oHce and the "unctional super,isors& in staHng the pro)ect.
6. Control o,er the allocation and e#penditure o" "unds> and acti,e participation in ma)or *udgeting
and scheduling deli*erations
7. Selection o" su*contractors to support the pro)ect and the negotiation o" contracts
8. Rights in resol,ing conAicts that )eopardi2e the pro)ect goals
9. ;a,ing a ,oice in maintaining the integrity o" the pro)ect team during the complete li"e o" the
pro)ect
10. <sta*lishing pro)ect plans through the coordinated eBorts o" the organi2ations in,ol,ed in the
pro)ect
11. Pro,iding an in"ormation system "or the pro)ect -ith suHcient data "or the control o" the pro)ect
-ithin allo-a*le cost> schedule> and technical parameters
12. Pro,iding leadership in the preparation the operational re6uirements> speci(cations> )usti(cations
and *id pac/age
13. Maintaining prime customer liaison and contact on pro)ect matters
14. Promoting technological and managerial impro,ements through+out the li"e o" pro)ect
15. <sta*lishing a pro)ect organi2ation "or the duration o" the pro)ect
16. Participation in the merit e,aluation o" /ey pro)ect personnel assigned to the pro)ect
17. Allocating and controlling the use o" the "unds on the pro)ect
18. Managing the cost> schedule> and technical per"ormance parameters o" the pro)ect
%Cleland> 1777&
)..B. Activity Planning
In earlier sections -e loo/ed at the preparation o" SAP Pro)ects and re6uirements list and
here -e -ill re,ie- ho- to plan all the acti,ities and "ollo- them. ;o-e,er> must also
include a schedule indicating the start and completion times "or each acti,ity. 9his -ill
ena*le us to: %;ughes + Cotterel> 2881&
0 <nsure that the appropriate resources -ill *e a,aila*le -hen re6uired
1 A,oid diBerent acti,ities competing "or the same resources at the same time
2 Produce a detailed schedule sho-ing -hich staB carry out each acti,ity
3 Produce a detailed plan against -hich actual achie,ement may *e measured
4 Produce a timed cash Ao- "orecast

In addition to pro,iding pro)ect and resource schedules> acti,ity planning aims to achie,e a
num*er o" other o*)ecti,es -hich may *e summari2ed as "ollo-s:
0 :easi*ility Assessment
1 Resource Allocation
2 0etailed costing
3 Moti,ation
4 Co+ordination
Acti,ity planning and scheduling techni6ues place an emphasis on completing the pro)ect in
at an accepta*le cost or> alternati,ely meeting an set target date at minimum cost. 9hese
are not > in themsel,es> concerned -ith meeting 6uality targets> -hich generally impose
constraints on the scheduling process.
55
Pro!ects and activities
De?ning Activities

<ssentially there are three approaches to identi"ying the acti,ities or tas/s that ma/e up a
pro)ect C -e shall call them the acti,ity+*ased approach> the product+*ased approach> and
the hy*rid approach.

9he acti,ity+*ased approach consists o" creating a list o" all the acti,ities that the pro)ect is
thought to in,ol,e. hen listing acti,ities> particularly "or a large pro)ect> it might *e help"ul
to su*di,ide the pro)ect into main li"e+style stages and consider each o" these separately.

or/ 'rea/do-n Structure %'S& is a tas/ list -hich in,ol,es identi"ying the main %or high
le,el& tas/s re6uired to complete a pro)ect and then *rea/ing each o" these do-n into a set
o" lo-er le,el tas/s. :igure $.18 sho-s a "ragment o" a 'S -here the design tas/ has *een
*ro/en do-n into three tas/s and one o" these has *een "urther decomposed into t-o tas/s.

ro&ect
+naly,e
De#ign Build
Data
De#ign
roce##
De#ign
hy#ical
de#ign
(elational
data
analy#i#
Logical
data De#ign
7igure ).&. A fragment of an Activity0@ased 5or2 Brea2do+n %tructure

Acti,ities are added to a *ranch in the structure i" they directly contri*ute to the tas/
immediately a*o,e i" they donGt contri*ute to the parent tas/> then they should not *e
added to that *ranch.
9he tas/s at each le,el in any *ranch should include e,erything that is re6uired to complete
the tas/ at the higher le,el. hen preparing a 'S> consideration must *e gi,en to the
(nal le,el o" detail or depth o" the structure. 9oo great a depth -ill result in a large num*er
o" small tas/s that -ill *e diHcult to manage> -hereas a too shallo- structure -ill pro,ide
insuHcient detail "or pro)ect control.

Ad,antages claimed "or the 'S approach include the *elie" that it is much more li/ely to
result in a tas/ catalogue that is complete and is composed o" non+o,erlapping acti,ities.

!ote that is only the lea,es o" the structure that comprise the list o" acti,ities comprising
the pro)ect the higher le,el nodes merely represent collections o" acti,ities.

%eCuencing and sc#eduling activities
9hroughout a pro)ect> -e -ill re6uire a schedule that clearly indicates -hen each o" the
pro)ectGs acti,ities is planned to occur and -hat resources it -ill need. e shall *e
considering scheduling in more detail here and let us consider in outline ho- -e might
present a schedule "or a small pro)ect.

56
9he chart sho-n has *een dra-n up ta/ing account o" the nature o" the de,elopment
process %that is> certain tas/s must *e completed *e"ore others may start& and the
resources that are a,aila*le %"or e#ample> acti,ity C "ollo-s acti,ity ' *ecause A cannot
-or/ on *oth tas/s at the same time& In dra-ing up the chart> -e ha,e there"ore done t-o
things. e ha,e se6uenced the tas/s %that is identi(ed the dependencies among acti,ities
dictated *y the de,elopment process& and scheduled them.
In the case o" small pro)ects> this com*ined se6uencing+scheduling approach might *e 6uite
suita*le> particularly -here -e -ish to allocate indi,iduals to particular tas/s at an early
planning stage. ;o-e,er> on larger pro)ects it is *etter to separate out these t-o acti,ities:
to se6uence the tas/ according to their logical relationships and then to schedule them
ta/ing account resources and other "actors. %;ughes>2881&
At the end o" this section -e attached a generic SAP pro)ect plan e#ample to re,ie-.


Pro*ect , anagem ent




Pro*ect , anagem ent Checklist Checklist
0
.
status m eetings
7
0
?
steering com m
ittee
7
meeting
0Correct pro*ect
$ariances
0efine pro*ect plan
0Change , anagem ent
0Team -building
acti$ities
7
7
7
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Config uratio n





0? SA P A G !! "

7igure ).). %AP Pro!ect Plan
)... Investigate innovations in pro!ect management practices

A num*er o" technology inno,ations are presented in this section> -hich hold promise "or
impro,ing human ser,ices deli,ery and pro)ect management. It also descri*es a set o" *est
practices "or technology pro)ect management as one solution to help.
%ome innovations in "ec#nology

'e"ore starting an <RP pro)ect management> you should in,estigate some technological
opportunities. A num*er o" technology inno,ations oBer signi(cant opportunities "or
progress in people and pro)ect
management. %---.iteaa.org> 11.85.82&



1. Data@ase "ec#nology
Some pro)ects are see/ing to e#pand their a*ility to o*tain and analy2e data "rom multiple
sources. 9here"ore> data*ase technology pro,ides around+the cloc/ per"ormance -ith
increased speed and scala*ility. =ate-ay technologies can ma/e access to data on
indi,idual recipients> stored in multiple systems> more readily a,aila*le. ith the ad,ent o"
graphical user inter"aces> the internet> and the -e*>
57
in"ormation no- includes rich> unstructured data types e,erything "rom graphic images>
such as photographs> to audio and ,ideo> including sound clips and mo,ies.
0ata*ase technology *ene(ts human ser,ice deli,ery *y pro,iding a more complete picture
o" the clients> their needs. So> it "acilitators pro)ect teamGs s/ills to ma/e more in"ormed
decisions a*out recipients and supports us to run programs that *ene(t the most recipients
in the most eHcient *eha,ior.

2. %ecurity and Privacy "ec#nologies
Security and Pri,acy technologies are one o" the inno,ations in pro)ect management. !o- it
is 6uite common to use data encryption "or all traHc to and "rom a data*ase. 9oday (re-alls
protect perimeter access. Authentication ,alidates authori2ed participants.
9he *ene(t o" impro,ed security and pri,acy technology is an impro,ed control o" electronic
access and dissemination o" data. 9he tools e#ist to support the mandate to secure the
con(dential in"ormation a*out our clients -hile -e share authori2ed access.
03 . Portal and server tec#nology
9here are se,eral tools to *uild -e* sites and applications. !on+technical staB can create
personali2ed portals. 9hese tools pro,ide greater Ae#i*ility o" mi#ing and matching
technologies. So> this /ind o" impro,ements enhance the integration o" the ser,ices.
4. Internet tec#nology

e* *ased technology supports smaller> component *ased pro)ects and gi,e possi*ility to
handle it -orld-ide. Smaller components allo- lo-er ris/ and lo-er cost in,estments. 9he
pu*licity o" the potential o" the -e* may *e a dri,ing "actor in current technology decisions.
Inno,ations on Internet is one o" the important challenges. It in,ol,es less sensiti,e
personal in"ormation or ha,e more straight"or-ard ser,ices to deli,er> such ser,ice
trans"ormations are more easily achie,ed. 9hese technologies are a sampling o" the many
that e#ist to support and impro,e the deli,ery o" human ser,ices.

I" -e descri*e -ell and clear -hat the impact o" technology is on pro)ect management> -e
can thin/ o" these impacts *e"ore and apply "or the pro)ects.

Internet is the e#cellent tool to use at the e,ery area and also at SAP pro)ect management.
Recently it has released ,arious supporti,e tools such as e+pro)ect management> e+pro)ect>
e+control etc. e should use them i" they can *ring the producti,ity. <specially some
technologies li/e e+pro)ect management
*rings 6uite Ae#i*ility into the pro)ects. e* sites li/e ---.mysap.com pro,ide a ser,ice to operate SAP.
9oday there are a lot o" opportunities to use -e* tools in pro)ect management. Particularly
-e* sites are 6uite practical to operate SAP -ith more success.

58
.$ %olution De?nition






2



F$G %olution De?nition

).$.. Design "raining Plans
9he purpose o" this tas/ is to (nali2e the pro)ect team training. 0uring the training *usiness
tas/> the end user training and documentation strategy is care"ully analy2ed. 9he training
team de,elops the training curriculum and selects the deli,ery tools. <nd user training and
documentation prototypes are demonstrated during this acti,ity.
Another purpose o" this tas/ is to conduct pro)ect team training so that team mem*ers can
o*tain an o,er,ie- o" the *usiness processes or technical "eatures in their area. 9his
training is prere6uisite to the detailed *usiness process courses and detailed technical
courses and ena*les the pro)ect team to start to match their company re6uirements -ith
SAP "unctions during VGSolution 0e(nitionGG phase.
9he purpose o" the Analy2e <nd .ser 9raining and 0ocumentation Strategy acti,ity is to
analy2e the end user training and documentation strategy> and (nali2e the plan "or
de,eloping the training content> training documentation> and training deli,ery.

9he purpose o" the Prototype <nd .ser 9raining and 0ocumentation 0eli,era*les acti,ity is
to design and de,elop a training and documentation prototype> and analy2e and determine
the system re6uirements necessary "or conducting training. 9he tas/s in,ol,ed -ith this
acti,ity -ill occur at times simultaneously -ith the tas/s in Analy2e <nd .ser 9raining and
0ocumentation Strategy.

59
+esign Training Plans

Business
Blueprint
Blueprint
8cti$ities
Conduct Pro*ect Team Training
8naly1e End 5ser Training and
+ocumentation Strategy
Prototype End 5ser Training and
+ocumentation +eli$erables




8ccelerators-
0? Pro*ect Team Training Template
1? Curriculum Planner
2? Training En$ironment Setup and Considerations
3? :no)ledge 9arehouse .(nformation/


0? SAP AG !!"

7igure ).,. Design "raining Plans
).$.$. "ec#nical Design Planning

9he purpose o" this acti,ity is to de(ne and document your technical design. It is
recommended that you see/ support "rom your hard-are partner "or this -or/. In the VGSet
.p 0e,elopment <n,ironmentGG> main purpose is to install and con(gure the technical
en,ironment "or the de,elopment system. 9his acti,ity includes installing the hard-are>
,eri"ying the technical en,ironment> installing the SAP so"t-are and "ront end components>
and con(guring and securing the technical en,ironment o" the SAP system.

9he latest there is concept o" VGsystem administration proceduresGG in this point. 9he purpose
o" this acti,ity is to de(ne and ,eri"y the system administration procedures "or the
de,elopment system. It is an ongoing process throughout the solution de(nition phase.

60


Technical +esign Planning

Business
Blueprint
8cti$ities Blueprint
Create Technical +esign


Establish +e$elopment En$ironment
8cti$ities
Set up +e$elopment En$ironment
System 8dministration Procedures


8ccelerators-
0? (T (nfrastructure +ocument
1? S8P 9eb (nstallation 6uides
2? S8P Soft)are and 3icense :eys
3? SAP AG !!"

7igure ).-. "ec#nical Design Planning

).$.& 9ealize %ome Assessment
$.2.3.1. :ocused Current State Assessment

It is important to note that there are 3 concurrent acti,ities going on here. hile they are
ta/ing place at the same time> there is precedence. :ocused Current State Assessment
needs to *e (nali2ed *e"ore you can (nali2e the pac/age (t assessment needs to *e
(nali2ed *e"ore you can (nali2e the :uture State Solution 0escription. %S<R> 1773&
Current state high+le,el process model de,elopment summaries customer re6uirements>
process inputs> and process per"ormance. Process threads are identi(ed conte#t diagrams
are de,eloped> and per"ormance management *aseline models are identi(ed. Eey process
re6uirements are de,eloped. 9he ma)or process is decomposed into one or t-o le,els o"
su*+process Ao-charts> -hich are mapped to organi2ational units and in"ormation systems.
9he 3 /ey acti,ities happening in this stage are:
0 Analy2ing their current *usiness practices and processes to identi"y areas -here they most need to
impro,e
0 Identi"ying core competencies -hich -ill help to "ocus all o" the -or/ that is done throughout the
rest o" the route
0 Identi"ying short term impro,ement opportunities so that -e can get some return *ac/ to the client
-hile they are -aiting "or the (rst implementation

@nce these short term impro,ement opportunities are identi(ed> they -ill *e managed
through the pro)ect management.
61
9his can *e a diHcult stage. Tery o"ten the client -ill say that since they are pro,iding
people "rom their organi2ation to the team> they -ill already understand the current state
and there"ore there -ill *e no reason to conduct a current state assessment. hat -e need
to ma/e sure the client understands is that -e are not doing a "ull Aedged current state.
).$.&.$. Customer 9eCuirements Assessment

Customer Re6uirements Assessment pro,ides an understanding o" the customerGs process
re6uirements. It pro,ides a "ocus "or the impro,ement acti,ities. :urthermore> it translates
the customerGs needs and e#pectations into per"ormance targets "or the process.

Inputs "or this -or/ product:
0 Current state high+le,el process model %:ocused Current State Assessment&

here this -or/ product is used later:
0 Assess Selected Su*+Processes %:ocused Current State Assessment&
1 Conduct 'enchmar/ing and Neading research %:uture State Solution 0escription&
Talue:
0 Eno-ing the customers re6uirements is the "oundation "or designing processes that meet those
re6uirements
0 Pro,ides good initial indication o" -hat characteristics or attri*utes o" the product or ser,ice are
important to the customer.
0 .nderstanding customer needs and e#pectations can identi"y areas -here e#isting and desired
process per"ormance are not aligned
0 Pro,ides "ocus "or impro,ement opportunities -hich -ill enhance customer satis"action and
retention
0 I" this not done> you run the ris/ o" implementing a solution that the clientGs customers -ill not *uy
into and then they -ill lose *usiness.
).$.&.&. Process Performance Assessment

Process per"ormance assessment e,aluates the health o" the process *y collecting high
le,el process per"ormance measurements. It also supports the selection o" su*+processes
"or "urther in,estigation and more detailed assessment.

Input "or this -or/:
0 Current state high+le,el process model %:ocused Current State Assessment&
here this -or/ product is used later:
0 Assess selected su*+processes
1 Asses People and organi2ational en,ironment
2 Assess 9echnology <n,ironment
3 Conduct 'enchmar/ing and leading practice research

Talue:
0 Identi(es and documents the process strengths and impro,ement opportunities
1 Identi(es a su*+process "or "urther analysis
2 Identi(es those processes and su*+processes -hich contain core capa*ilities or signi(cant
ad,antage
62


).$.&.). %u@0process assessment

It includes an acti,ity+le,el model -ith acti,ity -or/Ao- diagrams "or each selected su*+
process. 9his /ind o" assessment summaries the assessment o" the selected su*+processes.

Input "or this -or/:
0 Customer re6uirements assessment
1 Process per"ormance assessment
here this -or/ product is used later:
0 Conduct "uture state solution description sessions
Talue:
0 Pro,ides the *asis "or assessing organi2ational per"ormance le,ers and technology ena*lers that
support these processes
0 .nderstand the e#isting processes to "acilitate communication
1 Identi(es pro*lems so that they are not repeated in the ne- processes
2 Identi(es core competencies or signi(cant competiti,e ad,antages
3 Pro,ides a cost/*ene(t and ris/ *aseline
4 Identi(es short term impro,ement opportunities

9here are some su*+processes assessment techni6ues. 'elo- -e -ill identi"y -hat they are
and su*+ steps o" them.

0e,elop Acti,ity or/Ao-s
0 0escri*e the *usiness e,ents
1 Re(ning su*+processes Ao-chart
2 Re(ne the su*+process descriptions
3 Identi"ying *usiness transactions
4 0escri*e the *usiness transactions
5 Identi"y the acti,ities that respond to each e,ent
6 Create a separate acti,ity -or/Ao- "or each *usiness transaction
7 Add the e#ternal agents to the -or/Ao-s

0ocument Acti,ity 0ata
0 Re(ne the acti,ity description
1 0ocument acti,ity 6uality issues
2 0ocument cost at the acti,ity le,el
3 0ocument acti,ity *ottlenec/s
4 0ocument ho- e#isting per"ormance measures are used

Conduct Root Cause Analysis
0 Prioriti2e the acti,ities in the acti,ity -or/Ao-
1 Identi"y root causes
2 @rgani2e root causes into categories
3 Indicate the root causes on process Ao-charts

0e,elop su*+process re6uirements
0 0e(ne the process re6uirements
63
0 Prioriti2e the re6uirements
Assem*le the su*+process assessment
0 Con(rm the -or/ product contents
1 <dit the -or/ product
2 Assem*le the -or/ product

).$.&.,. People 8rganization Assessment
People @rgani2ation Assessment includes the "ollo-ing tas/
0 0etermines ho- the current people and organi2ational en,ironment impacts process per"ormance
1 Assesses the organi2ationGs current competency le,els
2 Identi(es -hich operational le,el -ill represent challenges and -hy

;ere> purpose o" these tas/s and ,alue addedD
1. .nderstanding the si2e o" ga* *et-een peopleGs current competency le,els and competency le,els
they must ha,e in the "uture state
2. Identi(es the impact o" the pac/age on the user organi2ation
3. 0etermines the ris/s and costs o" implementing the change
It is 6uite important to determine the peopleGs current competency le,els *ecause this -ill
*e used in planning the end user training program "urther do-n the line.

).$.&.-. Current %tate "ec#nology Performance Assessment
9his sort o" assessment identi(es and documents the state o" the current IS en,ironment
and includes the "ollo-ing elements:
0 Application port"olio
1 In"ormation 9echnology components
2 IS management in"rastructure
Inputs "or this -or/:
0 Process Per"ormance Assessment

here this -or/ product is used later:
0 Conduct "uture state solution description sessions
1 9echnology <n,ironment Support Phase
Talue:
0 Pro,ides a detailed in,estigation and understanding o" the current systems in order to eBecti,ely
scope the system implementation
0 0etermines i" the clientGs e#isting system interacts or does not legacy -ith systems e#ternal to the
client
0 9his acti,ity -ill pro,ide you -ith a map o" the companyGs legacy systems as -ell as an
understanding o" there is organi2ation

).$.) Business Process De?nition
9he purpose o" this -or/ is to determine the company re6uirements *ased on SAP *usiness
processes> to pro,ide the re6uired "unctions. 9he *usiness process de(nitions create your
*usiness routing.

64
A"ter the de(nition o" the organi2ational structure> you de(ne the *usiness processes o" the
company in terms o" the R/3 System. 9he QSAd* in ASAP is the tool supporting the
de(nition o" the *usiness processes. ?ou can use the CI %Customer Input& template and
*usiness process 6uestions -ithin the QSAd* to support the preparation and completion o"
*usiness process de(nition. :or detailed analysis> you can access e#ternal tools "or
modeling the *usiness processes ,ia the QSAd*. I" you generate the 'usiness 'lueprint
gi,es you the companyGs *usiness process re6uirements in one document. hen you
generate the 'usiness Process Master Nist gi,es you the *usiness processes> -hich are in
scope "or customi2ing in the reali2ation phase. Noo/ :igure $.14



Phase '- Business Blueprint - 9ork Packages .0/



Pro*ect ,anagement
Pro*ect ,anagement

"rgani1ational Change ,anagement
"rgani1ational Change ,anagement

Training in the Business Blueprint Phase
Training in the Business Blueprint Phase


Technical +esign Planning
Technical +esign Planning Q, Q,
Establish +e$elopment System En$ironment
Establish +e$elopment System En$ironment
"rgani1ational
"rgani1ational
Business Process
Structure +efinition
7igure )./. Business Blueprint

In the case o" a local rollout %an implementation pro)ect itsel" part o" an o,erall> glo*al
implementation comprising a num*er o" implementation pro)ects&> most o" the company
re6uirements should already ha,e *een determined at the glo*al> program le,el and
mapped to the corresponding settings.

:irst o" all> they ha,e to de(ne their organi2ational structure *e"ore proceeding to *usiness
processes. A"ter the de(nition o" the organi2ational structure> you must de(ne the *usiness
processes o" the company in terms o" the R/3 System.
9hey -ill ha,e to de(ne some current state opportunities "or e,ery part o" processes.
hat is re6uirements in this pointF
0 Summaries and priorities the current state o" people> process> and technology strengths and
-ea/nesses
0 Identi(es short term impro,ement opportunities
1 @*tains sta/eholder re,ie- team "eed*ac/
2 Identi"y and prioriti2e re6uirements
3 .se a com*ination o" inter,ie-s and "acilitated sessions to gather in"ormation a*out strategy>
operations> processes> data and *eha,ior
0 Identi"y short term impro,ement to address immediate pro*lems
hat are inputs "or this -or/F
65
0 Current State 9echnology Per"ormance Assessment %:ocused Current State Assessment&
1 People and @rgani2ation <n,ironment Assessment %:ocused Current State Assessment&
2 Su*+Process Assessment %:ocused Current State Assessment&
Talues o" this -or/:
0 <,aluating strengths and -ea/nesses can help the pac/age (t and pro,ide potential *ene(t in
critical processes
0 Priorities impro,ement opportunities *y the degree o" *ene(t they *ring to the organi2ationGs core
or strategic processes
0 9hese short term impro,ement opportunities are ho- -e -ill *e a*le to pro,ide the client -ith
some return on their in,estment -hile they are -aiting "or the (rst implementation.
0eli,era*les:
0 'usiness Area Strategy Model
1 'usiness Area @perations Model
2 'usiness Area In"ormation Model
3 'usiness Area Re6uirements Report
4 'usiness Area Re6uirements 0ata =athering Materials
Conceptual System 0esign %CS0& is the transition "rom Analysis to 0esign. It *ridges the gap
*et-een the *usiness+"ocused *usiness area re6uirements analysis %'ARA& and the
in"ormation system+"ocused *usiness system design %'S0&. In 'ARA> pro*lems and
opportunities are identi(ed then modeled. 'S0 is -hen solutions "or pro*lems and
opportunities are de(ned.

In CS0> alternati,e approaches to automating the *usiness area are de(ned. An
automation recommendation is de,eloped including de(nitions o" candidate applications
and their supporting data and technology architectures.
'usiness transactions are trans"ormed "rom elementary processes and decisions are made
a*out -hich parts o" *usiness transactions to automate and ho- to automate them.
Acti,ities are -ritten to support ma)or *usiness transactions> and e#ternal components %i.e.
screens> reports> "orms& are identi(ed and descri*ed. 'usiness transactions are then
com*ined into applications and descri*ed in terms o" their processing> data storage> and
implementation components.

9he data storage structure descri*es su*)ect data*ases and target data storage
architecture. 9he technology structure includes the processor con(guration> hard-are>
system so"t-are> and the communication net-or/.
All application designs are e,aluated in terms o" their impacts to the user and IS
organi2ations> technology> and the enterpriseGs customers.


In 'usiness 'lueprint> you -ill see acti,ities as *elo-D

1. Prepare "or 'usiness Process or/shops: 9he purpose o" this acti,ity is to ensure
eHcient *usiness process -or/shops. 9his means determining -ho attend> -hich
*usiness processes are discussed> and other applica*le topics.
2. Conduct general re6uirements -or/shops: 9he purpose o" this acti,ity is to
analy2e your standardi2ation aims %general setting& and the constraints to -hich they
are su*)ect. 9his acti,ity deals -ith determining -hether standardi2ation is> or ought to
*e> one o" your o*)ecti,es. Some o" the items -hich should *e standardi2ed include:
0 !um*ering systems "or data records
1 Charts o" accounts
2 Statistics
66
0 .nits and measurement
1 'alance sheets and pro(ta*ility analysis
2 ;andling o" procedures> rules and standards "or data trans"er *et-een application
systems

In the general settings su*structure> you can determine general settings in line -ith the
Implementation =uide %IM=&> such as currencies> that apply across your entire SAP system.
9hese settings are re6uired to set de"ault parameters in the SAP System.
In the Master 0ata su*structure> you can see the structure o" master data in the SAP
system. It is organi2ed according to enterprise area. =eneral master records> "or e#ample>
Material Master> or/ Center> Customer/Tendor Record are located *elo- the enterprise+
speci(c master data items in the tree structure.
In 'usiness Process or/shops> the purpose o" this acti,ity is to conduct the *usiness
-or/shops to determine and complete all re6uirements including:
0 'usiness processes
1 Reporting
2 Inter"aces
3 Con,ersions
4 <nhancements
5 Authori2ations
In *usiness process -or/shops> main tas/s are li/e these:
0 0etermine the need "or e#tended "unctions
1 0etermine "orms re6uirements
2 0etermine reporting re6uirements
3 0etermine Re6uired Inter"ace
4 0etermine con,ersion re6uirements
5 0etermine re6uired enhancements
6 Clari"y de(cient areas
7 Analy2e CRM re6uirements "or ' integration
9he *usiness process -or/shops are a critical part> as all the results gathered during the
-or/shops su*se6uently create the *usiness the 'usiness 'lueprint.
In *elo- (gure it descri*es the structure *et-een QSAd* and 'usiness 'lueprint.

9he QSAd* 6uestions and the corresponding process models are used to "acilitate and
"rame the gathering o" company input. 9he 6uestions concerning the *usiness process are
dependent "or their content on the respecti,e *usiness process. 9he ans-ers can either *e
"reely "ormulated or are gi,en:
0 ?es> !o> .nans-ered
1 Ans-er Nist

?ou can also use e#ternal modeling tools to compare enterprise process areas> scenarios
-ith the SAP Re"erence Structure.

9he comparison -ith SAP Re"erence Structure clari(es to -hat e#tent your o-n *usiness
processes can *e co,ered *y the R/3 *usiness processes.
9he *usiness (t can *e high> medium> or lo-. 9he measures that need to *e ta/en to
achie,e this depend on the analysis:
0 ;igh> though customi2ing
1 Medium> though enhancement

67
0 No-> o-n transactions
@nce each process team has collected in"ormation a*out the diBerent roles during *usiness
process -or/shops. @rgani2ational Change Management team is responsi*le "or *ringing
together the ,arious design documents and creating a master set o" roles. 9he o*)ecti,e o"
this step is to de,elop a set o" roles small enough to allo- Ae#i*ility in organi2ational design
yet large enough to ena*le some degree o" standardi2ation throughout the company.

So> the roles are con(rmed> *usiness process teams assign the roles to the transactions
%manual and SAP&

:inally> a report needs to *e generated listing all *usiness processes> transactions and roles.
9he report should *e distri*uted to all teams "or con(rmation. @nce the report has *een
con(rmed> no changes should *e underta/en -ithout "ormal change control.

9he user roles su*structure is made up user roles that ha,e *een de(ned *y SAP. 9he
pro)ect team can use this su*structure to determine the user pro(les they re6uire "or their
speci(c pro)ect. It is possi*le to de(ne> copy and rename user roles.
?ou can also display the "unctions assigned *y SAP to user roles "or each structure item.

At the end o" this stage it is created some reports li/e this. 7igure ).6



Business Process +efinition

Business
Business
Blueprint



(AP5T
Business Process +efinition
"5TP5T
Business Process
Business
Business 8nalysisQuestions
Questions
C( Template
S8P eference BP Transactions
Structure
,aster
3ists
Technical 8nalysis"rgani1ational
FunctionalStructure
Specifications



0? SAP AG !!"

7igure ).6. Business Process De?nition 9eports

9his reports allo-s you to display pro)ect documentation in diBerent "orms> and creates a
report structure "or pro)ect team and users.

).$.,. Business Case Development
68
9his stage descri*es the *usiness change approach that is dri,en *y the need "or radical
redesign o" e#isting *usiness processes. 9his radical reengineering is generally re"erred to
as *usiness process inno,ation.

9he scope o" this phase is generally a ma)or process re6uiring radical reengineering. 9he phase
concludes *y de(ning a strategy "or piloting and implementing the "uture state across
the enterprise. 'rieAy> o*)ecti,es:
0 0esign and de,elop an inno,ated process and pilot the process in a selected segment o" the
enterprise
0 0e,elop a process ,ision speci"ying the process and technology components o" the "uture state
process
0 Implement the piloted process *roadly across the organi2ation

9his :igure sho-s 'usiness Process Inno,ation Pro(le as "ollo-sD

7uture %tate Pilot Implementation
De?nition
Project tart#u$
an% $re$aration
Project tart u$
an% $re$aration
Project start u$
an% $re$aration


Future state %esign
&echnolog" architecture
%e'inition
Current state
anal"sis
Fiesu(le so't)are
%e*elo$!ent
+ata con*ersion
ta'' training
&esting +esign
+ata con*ersion
a$$lication
Future state
$rocess *isioning
Pilot $hase
$lanning
&i!e(o,e% a$$lication
e*olution
Proce%ure
%e*elo$!ent
&raining %e*elo$!ent
Integrate% $ilot
e,ecution an% anal"sis
Process
I!$le!entation
Process
-e'ine!ent
I!$le!entation
Planning
Pilot $hase Pilot $hase
$lanning
Project -e*ie) an% asses!ent
$lanning
7igure ).A. Business Process Innovation Pro?le %tructure
69
9his phase includes a current state analysis to determine the *asis "or short+term
impro,ements and set the *aseline against -hich the process inno,ation results -ill *e
measured. 0uring this phase> a -ell+ de(ned "uture state process ,ision is de,eloped. Inputs
into the process ,isioning sessions include process *enchmar/ing and the current state
analysis. 9he phase concludes -ith the re(nement o" the *usiness case "or the inno,ation o"
a ma)or enterprise process.
9his phase has the "ollo-ing characteristics:
0 A "uture state process ,ision is created "or a ma)or enterprise process.
1 An initial "uture state design is created
2 9he current state o" the enterpriseGs ma)or processes -ill *e assessed
3 9he initial *usiness case is re,ised *ased on the "uture state ,ision
9his phase has the "ollo-ing stages:
0 Pro)ect Start+up and preparation
1 Process 0e(nition Analysis
2 Process Case 0e,eloping Tisioning
3 'usiness Case 0e,elopment
4 Pilot Planning
5 Pro)ect Re,ie- and Assessment

0uring (rst step> esta*lish the "oundation "or the pro)ect *y de,eloping the pro)ect charter
and pro)ect plan and recei,ing management appro,al "or them.
9he pro)ect charter ser,es as a "ormal agreement *et-een the pro)ect team. It esta*lishes
the pro)ect direction. It includes a summary o" the ,arious portions o" the pro)ect plan. 9he
pro)ect charter and pro)ect plan should *e de,eloped in parallel.

In Process 0e(nition Analysis> conduct data gathering sessions -ith operational managers
to analy2e current *usiness processes and organi2ational responsi*ilities. Analy2e the
eHciency and eBecti,eness o" current *usiness process> using internal and e#ternal
measures. 0e,elop o,erall assessments o" the
targets current *usiness processes and associated technology components. Assess opportunities "or
structural changes o" *usiness processes. Structure this in"ormation into a model o" *usiness operations.
9he o*)ecti,e o" VGProcess Case 0e,eloping TisioningGG stage is to create a -ell+de(ned
,ision o" the de,eloping process *ased on the "ollo-ing: corporate o*)ecti,es and the
en,ironment> a "rame-or/ o" *enchmar/ leading practices and lessons learned "rom other
companies> and speci(c technology and people ena*lers that ha,e the potential to yield
process *rea/throughs.
0uring this stage> create a ,ision *ased on these inputs> through an iteration series o"
process ,isioning sessions. Identi"y /ey assumptions underlying the process and potential
*arriers to success. And ,alidate the ,ision -ith management throughout its de,elopment.
Another stage> 'usiness Case 0e,elopment ensures that short+term impro,ements are
coordinated -ith the "uture state process ,ision.
0e,elop a cost/*ene(t analysis "or the process ,ision. Analysis the ris/s and potential
returns> assess change readiness> and de,elop the initial implementation plan "or the "uture
state process ,ision.
Business Case Development

9he o*)ecti,e o" this stage is to ensure that short term impro,ements are coordinated -ith
the "uture state process ,ision.
:or this> you de,elop a cost/*ene(t analysis "or the process ,ision. 9hen you should analy2e
the ris/s and potential returns> and (nally you should assess change readiness> and de,elop
the initial implementation plan "or the "uture state process ,ision.
70



Delivera@les(

Business Case
9e?nement


Conduct
Cost>Bene?t
Analysis


9evie+ and Approve
Bu#ine## Ca#e Stage




Analysis 9is2 and 9eturn




7igure ).$B. Dependency of Activities in Business Case Development

Pilot Planning
In this stage> de,elop a master plan "or per"orming a series o" pilot pro)ects. 9hese pilot
pro)ects are intended to pro,ide "ast and eBecti,e implementation o" the "uture state.
0e,elop high+le,el strategies to enhance the ena*lers and address the *arriers in order to
"acilitate implementation eBorts. !e#t> de(ne the pilot approach. 0escri*e "uture e,ents
including so"t-are and documentation de,elopment> testing> training> data con,ersion> and
organi2ational or operational changes.
9hird> de,elop a pilot phase transition management plan incorporating the data "rom the
ena*lers and *arriers management plan> the detailed transition management plan> and
communication plan.

!e#t> create initial Pro)ect charters "or each de,elopment Pro)ect> including in"rastructure
-or/. .se the process descriptions as a starting point. outline the scope and a high+le,el
Pro)ect -or/ plan "or each de,elopment Pro)ect. 0escri*e ho- each ma)or aspect o" the
"uture state ,ision is to *e designed> piloted> tested> and implemented.
:inally> create the master plan to sho-> at the high le,el> the dependencies and
relationships among the indi,idual pro)ects.
Delivera@les
0 Initial Pro)ect Charter CPilot
1 Master Plan C Pilot Plan
2 Pro)ect Assessments
71






Pilot
P#ase Planning




De?ne Pilot P#ase Develop Initial Develop Initial 9evie+ and
%trategies Pilot %c#edule Pro!ect
C#arters
Approve Pilot P#ase
Planning %tage
7igure ).$. Dependency of Activities in Pilot
Planning Pro!ect 9evie+ and Assessment
At this stage> the pro)ect is re,ie-ed "rom ,arious perspecti,es to determine -hat has *een
eBecti,e and -hat could *e impro,ed in "uture pro)ect eBorts. Pro)ect deli,era*les are
re,ie-ed and organi2ed "or hand+oB to su*se6uent pro)ects -here they -ill *e used to
de(ne pro)ect *aseline. 9he per"ormance o" the pro)ect team is assessed. And (nally
appro,al is o*tained "rom the pro)ect sponsor and the pro)ect is concluded.

Delivera@les
0 Pro)ect Assessments
1 Control :ile




Pro!ect 9evie+ and
Assessment



ect
Pro)ect o-n Pro)
Re,ie- ance Close 0
Per"orm




7igure ).$$. Dependency of activities in 9evie+ and Assessment
9his stage -ill co,er *enchmar/ing and leading practice research. e -ill *e de,eloping a
:uture State Tision and creating an implementation strategy.
'enchmar/ing and leading practice research consists o" gathering data "rom secondary
*enchmar/ing sources> and *enchmar/ing partners. Researching the technology ena*lers
and organi2ational per"ormance le,ers allo- the pro)ect team to *ecome a-are o" -hat is
going on in the -orld. :indings are analy2ed> and integrated into inno,ati,e opportunities.
72

9he implementation strategy determines ho- the pac/age -ill *e introduced and
incorporated into the enterprise. 0e(ne the implementation scope. =ather the /ey players
"or an implementation strategy meeting to discuss initial strategy options> *ene(ts> dri,ers>
and an e#isting systems replacement strategy. .se the summari2ed strategy selection to
de(ne implementation -a,es and de,elop a high+ le,el implementation schedule.

9he "uture state solution description and /ey re6uirements -ill *e ,alidated -ith
management throughout the rest o" the pro)ect.
).$.-. *o+ to %et Up Dalue Driven Met#od
9he /ey thing to remem*er is that this entire route is dri,en *y ,alue. Starting -ith the
,alue propositions created as part o" start up and prep and then mo,ing to the identi(cation
o" core competencies and /ey impro,ement areas in "ocused current state assessment.
9hese things -ill help identi"y -hat areas should *e "ocused on throughout the rest o" the
pro)ect.
In this stage> these ,alue areas -ill *ecome the "ocus o" the *enchmar/ing and ,isioning
eBort and -ill help determine -hich implementation strategy should *e chosen. @nce this is
completed> these decisions -ill determine -hich deli,era*les and thus -hich tas/s -ill *e
the "ocus o" the eBort throughout the rest o" the engagement.
e can signi(cantly increase the amount o" ,alue our clients recei,e "rom a pac/age
implementation pro)ect -hile at the same time minimi2ing the amount o" time and eBort it
ta/es *ecause "ocus on those areas that pro,ide the most ,alue and *ecause -e /no- at
-hat point the incremental ,alue *egins to decrease.




Return&
Dalue>"ime Die+
%Rate o"


Increasing Returns
D

0ecreasing Returns
Talue




9ime "



7igure ).$&. Dalue>"ime Die+
).$./. %olution Model De?nition
In order to create a solution model de(nition> -e should descri*e some solution techni6ues.
9he "ollo-ing tas/s gi,e us an e#ample routing to create a purpose and sta/eholder ,alue
statement.
0 Conduct a "acilitated session
73
0 Create the "uture state solution description purpose
1 Create a sta/eholder ,alue description
2 Set up the agenda and e#pectations "or the session
9hen> you can de,elop the ma)or process re6uirements.
0 0escri*e the per"ormance measurement in"ormation needs
1 :i# the /ey components and -or/Ao-s -ithin the "uture process
2 0e(ne the ma)or process re6uirements
3 Prioriti2e the re6uirements
4 Consolidate all /ey characteristics
5 <nhance the initial solution model using Isolution+a"ter+ne#tJ principle.

At the end> -e identi"y solution model critical success "actors and per"ormance measures
0 Conduct a "acilitated session
1 Identi"y the critical success "actors
2 Identi"y> descri*e and e,aluate potential *arriers to the solution model de(nition
3 Identi"y and test solution model assumptions and identi"y the per"ormance measures
to use -hen gauging the success.
In the process o" solution model de(nition> it needs to select a con,enient implementation
strategy as -ell. Implementation strategy has 3 main stagesD
1. 0e(ne implementation scope
2. Summari2e strategy selection
3. 0e(ne high+le,el implementation schedule
It can sometimes *e ,ery diHcult to con,ince the client to thin/ a*out implementation at
this point in the pro)ect. It is e#tremely important *ecause it -ill help to dri,e all o" the -or/
that is done "rom his point "or-ard. So> that -e -ill /no- -hat -e should *e "ocusing on
(rst.
hile determining an implementation strategy you should care one o" or all o" these techni6uesD
0 Conducting implementation strategy meeting
1 Present implementation o*)ecti,es
2 Present implementation strategy options
3 Compare and contrast implementation strategy options
4 0iscuss implementation selection criteria
5 =i,e implementation strategy recommendations
6 0iscuss implementation -a,e "actors
7 9hen thin/ a*out to de,elop implementation strategy
8 0etermine an e#isting systems and procedures replacement strategy
9 Select an implementation strategy
10 Conclude -ith the selected strategy
11 Con(rm the implementation strategy
12 0rill do-n -ith the selected strategy
13 0ocument the results o" the implementation strategy meeting
14 @*tain sponsor appro,al o" selected strategy

74
).&. %olution Development and 9ealization



0
-





3. 9ealization


9he purpose o" this phase is to implement into the SAP system the *usiness and process
re6uirements and ,alidated *usiness model. 9he o*)ecti,es are (nal implementation in the
system> an o,erall test> and the release o" the system "or production %li,e& operation. 9he
pro)ect team -ill need to get the corresponding training in these areas.
In ASAP methodology reali2ation phase co,ers:
0 Pro)ect Management
1 @rgani2ational Change Management
2 9raining in the reali2ation phase
3 <sta*lish production en,ironment
4 0e,elop system test plans
5 <sta*lish 6uality Assurance en,ironment
6 'aseline con(guration
7 :inal con(guration
8 Integration
9 or/Ao-> A'AP> Con,ersions and inter"aces programs> user roles and archi,ing
In other -ords> the goal o" the reali2ation phase is to *uild up a system prototype reAecting all the
company processes and procedures de(ned in the to+*e+concept. 9he main acti,ities during this phase
relate to customi2ation: con(guring the system ta*les according to the *usiness re6uirements.

:urthermore> reports and "orms re6uired *y the company must *e created> programmed con,ersion and
inter"aces> and authori2ation set up. 9he reali2ation and preparation phases o,erlap: that is> certain
acti,ities "rom the preparation phases ta/e place simultaneously -ith others "rom the reali2ation phase.

'e"ore starting customi2ation> it must *e clear ho- to em*ed the companyGs organi2ational structure>
processes> and procedures into the SAP system: that means ha,ing the to+*e concept already prepared.

:irst> structures and procedures must *e analy2ed and then matched to the SAP structures.
Modeling organi2ational structures is a "undamental step in the pro)ect. A lot o" setting are
diHcult to change> or cannot *e changed at all later on.
9his step too/ us 6uite a -hile *ecause our organi2ational structures and processes -ere
not ,ery clearly de(ned *ut had simply e,ol,ed gradually as the company e#panded. A"ter
a lot o" discussions -ith the people *est ac6uainted -ith the department> the processes or
procedures> -e (nally agreed on the to+*e concept and set up the structure in the system
accordingly.


In this phase> roles and /ey "ocus should *e li/e thisD

75


eali1ation - oles 7 :ey Focus
Phase
ole Content Pro* ,gt "rg Chng Pro* Team Team Config 8(CE (ntegration QC QC
6roupings,gt Training Sys 8dmn8rch <Form
Steering
Steering
Steering
,eetings
Signoff
Sponsors
e$ie) < F5 on ecommends Check for 8ppro$als *************** "hec% &or Signoff
e$ie)= Status< 8nalyse "rg efine Training Appro'als
Sched< e$ie) 8ppro$e Config
*********
*****
+efine Scope 7 Quality Check
Proect Mgt Mgt Cuto$er 7 Prod&
Support Plan
(mplement& Plans<ValidatePro* Team iskisks
Completion
Test Cases<
8ppro$e
Signoff
8ssmt
"onsultant
***************
Reali(ation
Phase
Re'iew
**************
***************
Analy(e )rg
#$ple$ent!
Ris%s
8tt
***************
Re&ine Scope
"on&ig*+e&ine
Test "ases
**************
+efine
8--(-C-E
Test= e$ie)= 7
8ppro$e
***************
"onduct
Test "ases
**************
"usto$er
Technical
8tt
en
System Test
Plans<Q8 7
Create=Test=
,igrate
"hange
Team Bldg
8cti$ities
"rg (mpact<
isk < Sponsor
Security
8tt "rg Structure 8uthori1e +esign<

Create 7
egister +e$

e$ie) Strategy
Create ,odels
0? SAP AG !!"

7igure ).$). 9ealization 0 9oles and :ey 7ocus
).&.. 9oles and :ey 7ocus

According to ASAP methodology> main roles and de(nitions as "ollo-sD
%teering Committee(
Mem*ers include pro)ect sponsors> SAP consulting manager and pro)ect managers.

Pro!ect sponsors(
0irectly communicates the companyGs long term goals and ,isions and are mem*ers o" the
steering committee
Pro!ect Management(

9eam SAP pro)ect manager and customer pro)ect manager
Consultant(
9eam SAP mem*ers> application> cross application> *usiness process

Customer(
Pro)ect team mem*ers %*usiness process> po-er users&
"ec#nical(
Customer or consultants "or system administration and technical

"raining(
76
9raining S 0ocumentation C pro)ect manager/lead/de,eloper> training de,elopment
instructor> training coordinator> administrator
C#ange(
9hese are dedicated indi,iduals assigned to manage the organi2ational change
management processes: Ris/ assessment> communications> sponsorship> s/ills
de,elopment> /no-ledge trans"er or organi2ational optimi2ation
%ecurity(

Authori2ation> administration or internal auditor responsi*le "or managing the system
security and authori2ation en,ironment and may *e com*ined -ith other administrati,e
roles.

In this point> -e can re,ie- pro)ect management chec/list in generalD
0 Prepare and attend status meeting
1 Prepare and attend steering committee
2 0etermine pro)ect ,ariances and success criteria
3 Re(ne the pro)ect team
4 0etermine production support plan
5 0etermine cuto,er plan
e should note that pro)ect re,ie- program is pro,ided as an SAP ser,ice *y SAP
consultants. Re,ie-s and controls can *e scheduled throughout the duration o" the pro)ect.
A re,ie- and control process pro,ides an independent and o*)ecti,es management re,ie-
o" the customer implementation pro)ect> identi(es any ris/s to the pro)ect goals and
recommends appropriate actions.

9he (rst purpose o" this section is to ensure that the organi2ational change management
%@CM& acti,ities ta/e place as planned and is success"ul in mitigating @CM ris/s. Second
purpose is to ensure that there is an in"rastructure> -hich supports the transition to the ne-
organi2ational *usiness solution.

;ere> there are *rieAy the "ollo-ing acti,itiesD
0 Monitor and update @CM plan and acti,ities
1 Continue *usiness optimi2ation process
2 Measure @CM ris/ and *ene(t "rom acti,ities guide
In Reali2ation stage> the process o" training materials is one o" the main acti,ities. ;ere aim
is to de(ne ho- to create the training materials and documentation. And also to (nali2e and
conduct le,el three o" the pro)ect team training. AdditionallyD during the reali2ation phase>
end user training and documentation is de(ned> de,eloped> changed and (nali2ed. In "act it
is al-ays impro,ed accordingly during production system.
).&.$. 9ealization P#ase Main Activities

9he main acti,ities can *e detailed as "ollo-s:
0 9he purpose o" the Conduct Pro!ect "eam training acti,ity is to conduct le,el 3
pro)ect team training so that team mem*ers can get insight o" the *usiness
processes or technical "eatures in their area.

9his training sho-s the many process and technical options a,aila*le to your
company and ho- to con(gure the system to meet your company needs.
0 9he purpose o" De?ne End User "raining and Documentation Content acti,ity
is to set the standards and re,ie- process> communicate this in"ormation to the
course de,elopers> and de,elop the course outlines are "urther tas/s in,ol,ed in this

77
acti,ity
0 9he purpose o" the Develop End User "raining and Documentation Content
acti,ity is to de,elop all training content and documentation as de(ned in the end
user training and documentation plan and designed in the prototype
0 9he purpose o" the Prepare for End User "raining and Documentation
Delivery acti,ity is to prepare "or end user training deli,ery and distri*ution o"
documentation.
In this acti,ity> you -ill (nali2e the training curriculum and )o* roles> de,elop a training
logistics plan> test the training system> conduct a train+the+trainer> and (nali2e end user
training content and documentation materials.

).&.&. Pro!ect "eam "raining
:irst o" all> an eHcient training program should *e de,eloped. 9he trainers should *e
6uali(ed enough and e#perienced a*out SAP pro)ects and modules.
9o pre,ent a delay in reali2ation and ha,e to *etter control> re+e,aluate the pac/age training
schedule. ?ou can as/ yoursel" these 6uestions:
1. Are your employees recei,ing the right trainingF
2. ;a,e there *een ne- people added to the pro)ect that need to *e added to the
training scheduleF
3. ;a,e people *een reassigned to a diBerent area re6uiring the schedule to *e
ad)ustedF
4. ;a,e all decisions *een made on -here training -ill ta/e place and -hether or not
logistics -ill need to *e resol,edF



Pro*ect Team Training


eali1ation
eali1ation
Phase %
Phase %
Team Training
Team Training
Schedule
Schedule
Phase 0
Phase 0
efine Training Schedule
3e$el '
3e$el '
Pro*ect Team Training
3e$el 0
3e$el 0
Pro*ect Team Training
Baseline
aseline F
i
n
a
l

C
o
n
f
i
g
u
r
a
t
i
o
n


3e$el '
3e$el '
3e$el 0
Complete training
0? SAP AG !!"
3e$el 0
7igure ).$,. Pro!ect "eam "raining
78
9he pro)ect mem*ers must ta/e all rele,ant le,el 2 and le,el 3 training *y the end o" the
*aseline con(guration. Ideally> le,el 2 training is ta/en *y the end o" the pro)ect preparation
phase> as part o" the preparation "or *usiness *lueprint phase. 9he le,el 2 preparations are
also crucial to o*taining the special con(guration /no-ledge "or the applications in the le,el
3 training. Ideally le,el 3 training should *e completed prior to> or early in> the *aseline
con(guration. In this -ay> the pro)ect mem*ers should *e a*le to go o,er the training again>
and then *e a*le to apply 6uic/ly their ne-ly gained /no-ledge in (nal con(guration.

@ne o" the o*)ecti,es o" reali2ation phase is the implementation o" the system as speci(ed
*y the *usiness *lueprint> its o,erall test> release and documentation.

9he con(guration is reali2ed in t-o -or/ pac/agesD
0 'aseline con(guration and con(guration %planning> implementation> test and
release&
0 :inal con(guration and con(rmation %planning> implementation> test and release&
In order to do (nal integration test> you must also plan> reali2e and test all rele,ant
inter"aces> system enhancements> and so on. 9he *usiness process list %'PMN& is the
central tool to properly plan and document reali2ation. Supporting documents> -hich
pro,ide the additional detail to actually carry out con(guration and testing> are produced
using templates designed "or this purpose.

'PMN is the central data repository. It contains all R/3 *usiness processes and transactions
that represent the scope o" the pro)ect. 9he pro)ect scope -as determined in the *usiness
*lueprint phase. 9he 'PMN is also generated then> prior to the commencement o" the
reali2ation phase.
As the central data repository> the 'PMN is used to "eed re6uired *usiness process
in"ormation to the -or/ing documents %-or/sheets& used to speci"y> manage> monitor and
control the -or/ pac/ages o":
0 'aseline con(guration and con(rmation
1 :inal con(guration and con(rmation %cycles&
2 :inal integration testing
0uring pro)ect scope de(nition in the *usiness *lueprint phase> ad)ustments %process
,ariants& to R/3 *usiness processes may ha,e *een to meet customer needs e.g. a
distinction *et-een a goods receipts -ith and -ithout *ar code recognition might *e
re6uired> in -hich case a process ,ariant -ould ha,e *een created.

In addition> *usiness o-ners -ill pro*a*ly ha,e *een identi(ed. Applications consulting -ill pro*a*ly ha,e
*een identi(ed. Applications consulting -ill also ha,e de(ned> -ith the customer> the order o" reali2ation.
9hey -ill no- *e reAected in su*se6uent 'PMN -or/sheets deri,ed "rom this master list in
the reali2ation phase.
9he data con,ersion and inter"ace to other programs or modules are certainly one o" the
most critical points in any pro)ect. 0ata con,ersion in the material area incorrectly is
trans"erred the data "rom old computer system to the materials management module in
SAP.

79


Business Process ,aster 3ist



Business Process ,aster 3ist Check columns
3e$el % - Business Process

3e$el ' - Enterprise Process 8rea 8
3e$el 0 - Scenario Process 88
3e$el 2 - Process 6roup 88CC
3e$el 4 - Business Process 88%C
Select
Select3e$el D -
process= &&&
Baseline





0? SAP AG !!"
Cycles (ntegration
associated
associated
)orksheet )orksheet
7igure ).$-. Business Process Master
.ist ).&.). Conversion and
Interfaces(
'elo- are a "e- important points to ta/e into consideration "or con,ersion and inter"aces: %elti> 44&
0 *ig# priority necessary
9he importance o" the con,ersion and inter"aces is usually reali2ed too late> since
other direct pro)ect+related pro*lems are gi,en higher priority
0 Conversion is time consuming

9he amount o" time used "or planning> programming> testing> and con,erting the data
is o"ten underestimated. It is important that the con,ersion and inter"ace topic is
already ta/en up in the planning phase o" the pro)ect> and that the necessary
preparations are initiated. 9he con,ersation and inter"aces ha,e to *e "ully
programmed> planned and tested during the reali2ation phase.
0 E4pert 2no+0#o+ needed

;ire additional e#ternal consultants "or programming the con,ersion and inter"aces in
case you run into a human resource *ottlenec/ during the reali2ation phase.
0 Data #as to @e tested @y t#e user
9he con,ersion is not )ust an I9 matter to *e completed a"ter the technical data
trans"er. 9he data has to *e chec/ed and tested a"ter con,ersion *y the pro)ect
mem*ers and /ey users *e"ore it is released into production. 9he same is ,alid "or
inter"aces: they ha,e to tested in ad,ance to guarantee a correct data Ao-.
0 Plan t#e conversion
80
9he data con,ersion usually ta/es place on a -ee/end *ecause the data must not
*e changed during the con,ersion. 9he people in,ol,ed must *e in"ormed -ell in
ad,ance.
0 %et up a #and@oo2

A con,ersion and inter"ace hand*oo/ helps to organi2e and control the
con,ersion.
0 C#ec2 t#e Cuality of t#e old data
9he 6uality o" the source data must *e chec/ed and corrected *e"ore it is
trans"erred. @ther-ise incorrect data might *e trans"erred to the ne- system.
0 Consider manual data transfer

I" the source data is not at least 78P compliant -ith the SAP so"t-are standards> a
manual trans"er should *e considered.

Con,ersion and inter"aces are a ,ery critical part o" e,ery pro)ect. ;o-e,er> they usually do
not get the re6uired attention "rom pro)ect leaders> mainly *ecause they lac/ the necessary
I9 /no-ledge. 9he con,ersion and inter"ace pro)ect must> o" course> *e in line -ith the main
pro)ect> and is directly controlled *y the pro)ect manager.
Setting up the con,ersion and inter"aces as a separate pro)ect has the ad,antage that this
pro)ect has to "ul(ll all re6uirements o" a normal pro)ect:
0 9he I9 mem*ers *ecome the o-ners o" the pro)ect and ta/e o,er "ull responsi*ility
"or it.
0 A hand*oo/ or procedure descri*ing all the steps o" the con,ersion must *e
produced.
0 An implementation schedule guarantees detailed planning o" all acti,ities and human
resources in,ol,ed.
0 9he reporting allo-s the pro)ect management to monitor and coordinate progress.
9o get a *etter insight into con,ersion and inter"aces> it is necessary to produce a
con,ersion and inter"ace hand*oo/ containing the in"ormation.
).&.,. 7inal Con?guration(

:inal Con(guration and con(rmation is one o" important parts o" reali2ation phase.
%Noo/ at 7igure ).$/&

81
Final Configuration and Confirmation


eali1ation
eali1ation
8cti$ities
+e$elop Plans for Final Scope Configuration
Conduct Configuration 9orkshops .Cycle %-n/
Configure and Validate Final Scope .Cycle %-n/
Prepare Final Confirmation
<0 System
Proect ,a$e
"rgani1ational
Perform Final Confirmation
Structure 3ist

Business Process ,aster 3ist
(,6 for <0 Customi1ing 8cti$ity
Status 6eneral
8ccelerators
Employee :ey)ords
n Cycle Concept and 6roup +efinition
n Test Scenario
,emo
Aote Types
+ocumentationn Test
Status (nformation
(,6 - 8cti$ity
n 3ist of Predefined Test Scenarios


0? SAP AG !!"
7igure ).$/. 7inal Con?guration
o 9he cycles in the (nal con(guration represent an iterati,e process that coordinates
the con(guration -ith your *usiness processes and *usiness re6uirements. 9his is
normally carried out at the same time as the de,elopment acti,ities.
0 9he application consultants assume the initial responsi*ility. As the end user
retention increases during the /no-ledge trans"er> this responsi*ility is gradually
passed o,er to mem*ers o" the pro)ect team.
0 9he result o" the (nal con(guration using cycles is a completely con(gured system
that is *ased on the *usiness re6uirements> the trained pro)ect team> the planned
user procedures> the documented issues> and the system prepared "or integration
test.

).&.-. "ests
ithin reali2ation phase> there are se,eral testing types: Noo/ $.3.1
0 .nit 9est
1 Scenario 9est
2 0e,elopment .nit 9est
3 Integration 9est

82
Testing in the eali1ation Phase

ST8T
eali1ation Phase
+e$elopment of Con$ersions= (nterfaces= Forms= etc&
EA+
Baseline Configuration Final Configuration (ntegration Test
C% C' C0 C2 (T % (T'


5nit Test - BPP )ith Test Conditions


Scenario Test - Test Scenario Template


+e$elopment 5nit Test - Functional Specification Test
(ntegrated (T Scenario
Test Scenario )ith +e$elp
0? SAP AG !!"

7igure ).$6. "esting

Unit "esting( 9his is the lo-est le,el o" testing -here the
program or transaction is tested and
e,aluated "or errors. .nit testing is normally the (rst test that is completed during the
con(guration eBort> and is "ocused to-ards the programGs "unctions> rather than to-ards
the integration. 9esting "ocus: master data S *usiness processes
%cenario "esting( 0uring the con(guration there is a need to test chains o" transactions that Ao-
together and -hich reAect important *usiness processes and scenarios. 9esting "ocus:
Multiple transactions -ithin one enterprise area. or/Ao- and *usiness processes -hich
cross enterprise areas. 0uring su*se6uent integration testing these small scenarios can *e
used to *uild larger end+to+end scenarios.

Integration "esting : :inal integration testing is accomplished through the e#ecution o" prede(ned
*usiness Ao-s> or scenarios> that emulate ho- the system -ill run your *usiness. 9hese
*usiness Ao-s> using migrated data "rom the pre+e#isting systems> -ill *e per"ormed in a
multi"aceted computing en,ironment comprised o" R/3> third+party so"t-are> system
inter"aces and ,arious hard-are and so"t-are components.

It is this en,ironment that *uilds the necessary le,el o" con(dence that the solution is
complete and -ill per"orm in your *usiness.
:inal integration tests need to *e an e,olutionary process that is dri,en "rom your pre,ious
eBorts. 9he test cases and scenarios that -ere used "or *aseline and (nal con(guration
need to *e re,ie-ed and enhanced "or the integration testing.

).&./. 7inal Integration "est
Integration 9esting is an acti,ity carried out *y the test team rather than the de,eloper. 9he
ma)or o*)ecti,es o" integration testing are:
83
0 9o ,eri"y that the inter"ace *et-een application so"t-are components "unction properly
1 9o ,eri"y that the inter"aces *et-een the application and its e#ternal entities "unction properly
2 9o ,eri"y the design speci(cation
Integration testing can *egin -hen the (rst> de,eloper+tested so"t-are components are
a,aila*le. It -ill not *e complete until all o" the applications are (nally integrated into a
"unctioning system. Integration and integration testing are conducted many times during
the system de,elopment eBort. <ach time> the identity o" the components that are to *e
integrated> and thus the result o" the integration> -ill *e diBerent.
Activities in ?nal integration test( . 9hey c an pro,ration
1. Prepare (nal integration test
this test onsider the integ
2. Conduct (nal integration test
m*ers in ed.
eam me concern
0 Set up test team and logistics and prepare "or the (nal integration test tended t end
ol,es e# *usiness h criteria + to + s> or
9his in, ge o" the se -hic ing end scenario
/no-ledt you must choo m all usd limited g.
int is tha test thearios an ion testin
0 0e(ne integration test o*)ecti,e and de(ne the integration test goals and o*)ecti,es.
rtant po ent. 9o nd scenintegrat
n,ironmend+to+e used "or
An impo
plete. ctions> is
s>
siness eelecting
st
includ
test com y transa plan muyour *u inter"a
hod o" s reports>
compan our test
0 0e(ne integration test cases and determine and de(ne test cases in the integration test plan
as inter+ tation. ?
output
>
re many practica s> etc.
s is not
mplemen
9here a
processe tion and
touch+po
al tas/ i nts:
authori2a
s a critic
compone
up
and
testing i and nical set
0 Create (nal integration test plan and create a detailed (nal integration test plan
egration
process
es
nts>
tech
o
l
ons> enh a
n
c
e
m
e
con,ersi

0 Appro,e (nal integration test plan and o*tain appro,al o" the test plan "rom the
*usiness process o-ners and mem*ers o" the test team
All mem*ers must ha,e the same goals and o*)ecti,es to get commitment to the plans.
hen appro,als are o*tained> integration testing can *egin.
).&.6. Aut#orization(

SAP is a completely integrated system. %elti> 58& Main target here is esta*lishing user roles
and authori2ation concept. 9he creation o" an authori2ation concept "or a speci(c module is
time consuming *ecause it has to *e set up and appro,ed *y the line manager and
customi2ed *y the I9 people. !either o" these acti,ities is easy to carry out.
Nine managers must de(ne the access rights o" their staB. Such access rights must *e
"ormulated in terms o" transactions.

84
9he customi2ing o" the authori2ation re6uest in the SAP system is not an easy tas/> and
must *e done *y e#perienced I9 staB. :or security reasons only one I9 person per site -as
responsi*le "or customi2ing the authori2ations.

Responsi*ility "or authori2ation rests s6uarely -ith the -hereas customi2ing is a matter "or I9 personnel.
In order to accomplish a tas/> employees need to tra,erse a ,ariety o" *usiness
applications. 9he transactions and reports that characteri2e a typical )o* position can *e
summari2ed in a user role. It is important that users can only per"orm those tas/s "or -hich
they are authori2ed and pre,ent them "rom unintentional or uns/illed changes in other
system areas.

Since each SAP *usiness application component pro,ides options "or controlling the use o"
"unctions through authori2ations> a user role is associated -ith a set o" authori2ations that
are re6uired to accomplish the tas/s o" the role.

'esides the assigned authori2ations> a user role "urther contains the de(nition o" the user
menu. 9he user menu speci(es in a hierarchical structure the access paths to transactions>
reports and -e*sites "or the end user> thus de(ning the inter"ace "or system access.
).&.A. Prototyping

9he goal o" this section is to prepare a test system "or initial user demonstrations. All
processes must *e customi2ed> and relia*le test data must *e made a,aila*le. Prototyping
theoretically should ta/e place at the end o" the reali2ation phase.


).) 7I;A. P9EPA9A"I8;




.







4. 7inal Preparation
@*)ecti,e o" this section is to identi"y *oth the re6uired system tests *e"ore cuto,er and the
SAP support you can use "or cuto,er and (nal testing.
And also it -ill complete the (nal preparation> including testing> user training> system
management and cut o,er acti,ities> to (nali2e your readiness to go li,e. 9his phase ser,es
to resol,e all critical open issues. @n success"ul completion o" this phase> you are ready to
run your *usiness in your producti,e R/3 system.

9his phase shortly includes the "ollo-ing elements:
0 .ser 9raining
1 System Management
2 .ser Manual and support
3 0ata 9rans"er
4 :inal Integration and System 9ests

85
0 Quality Chec/ :inal Preparation Phase
9his phase can *e sho-n li/e the "ollo-ing (gure.


Final Preparation - oles 7 :ey Focus

Phase +etailed
ole Content Pro* ,gt Training Sys ,gt Pro* Pro* Plan Plan Cuto$er QC QC
6roupings
Steering ,
e
Signoff
Sponsors
Sponsors
e$ie) < F<5 on
ecommends
8ppro$al for
Cuto$er
Signoff
e$ie)= Status 6o-3i$e
Check
efine Cuto$er 7 8ppro$e Prod
Quality
Check
Proect Mgt Prod Support System < Verify
Proect Mgt ,eetings
Plan 5ser eadiness
<Signoff
"usto$er
Technical
8sst )< printing 7
stress tests
Production Sys Production
8dmin Support Plan
,anual
Entries=
Con$ersions
Perform
Con$ersions <
Secure Prod&
System
Training Conduct E5T Conduct E5T 7
E$aluate
Effecti$eness
ConEt "rg Chg
"hange ,gt Process
Securit
y
Securit
y


0? SAP AG !!"

7igure ).$A. 7inal Preparation P#ase

).). User Manual and %upport
9he user manual ser,es as a training hand*oo/> as system documentation> and as daily
re"erence resource. A good manual promotes user acceptance o" the so"t-are. It should
*e ready *e"ore the training *egins so that people can "amiliari2e themsel,es -ith its use>
adding personal remar/s as appropriate. %elti> 53&
9he manual must *e re,ised> supplemented> and impro,ed "rom time to time> and -ith this in mind its
structure should *e /ept as Ae#i*le as possi*le. In this -ay> chapters can *e easily amended and/or
e#panded. A*o,e all> the user manual should *e user "riendly: that is> as simple and concise as possi*le.
Responsi*ility "or the manual clearly carries -ith it a role in training the users. 9he person
allocated that responsi*ility and role naturally -ill *e identi(ed *y the users their e#pert
ad,iser.
9he concept o" a support center is potentially ,ery attracti,e to users. It is certainly
important that they /no- -here they can get help> particularly a"ter a module has gone into
production.
Secure in the /no-ledge o" instant support> the users (rst reAe# is to pic/ up the phone
e,en "or the most minor pro*lems> -hich could *e sol,ed easily *y consulting the manual.
hereas they should re,ie- user manuals and related te#t*oo/s instead o" as/ing help
des/. 'ut they al-ays pre"er to call there. May *e to as/ them is 6uite easier than reading.

'elo-> -e -ould li/e to share some *rie" conclusionsD
0 Resources are *etter in,ested in producing a high 6uality manual than in manning a
86
continues hotline -ith highly 6uali(ed staB.
0 Most user pro*lems do not re6uire urgent attention> and -ill o"ten -or/ themsel,es
out.
0 It should not *e made too easy "or users to get through to the hotline.
1 ;otline personnel should not *e too approacha*le. 9hey should discourage routine
contacts.
).).$ End User "rainings
;ere> aim is to ensure that all end users are ade6uately trained prior to the VGgo li,eGG date.
9hey should de(ne> de,elop and (nali2e training S documentation content. And so they
should conduct VGgo li,e end user trainingGG. So *rieAy> you -ill see a to do list related to this
section:
Implementing training logistics plan:
0 :inali2e logistics "or training and the end user training schedule.
Conducting end user training:
0 Conduct end user training
1 @*tain end user training e,aluation data
2 9rac/ attendance
<,aluating training eBecti,eness S implement impro,ements:
0 Analy2e end user training e,aluation data S implement impro,ements
1 Identi"y post go+li,e training re6uirements
<nd user documentation and training is includedD
0 Setting the standards and re,ie- process "or training content and documentation
de,elopment> in addition to de(ning an e,aluation and impro,ement process.
0 0enoting po-er and other users in order to de(ne> -ith the help o" the training and
de,elopment plan> the necessary training "or production.

<nd user training and the preparation o" training material are o"ten the most time
consuming and costly aspect o" the system implementation. Changes in the procedure can
inAuence considera*ly the time and costs o" an R/3 implementation.
).).& %ystem Management and %ystem "ests

9he o*)ecti,e o" this process is to per"orm the rele,ant technical acti,ities to prepare "or
production operation. 9hese acti,ities co,er monitoring the in"rastructure needs "or
production operation and determining re6uired system administration acti,ities.

In case o" local rollout pro)ects as part o" a glo*al program> the in,ol,ement o" the customer
competence center %CCC& is 6uite important. A customer competence center is an
organi2ation -ithin the corporate enterprise that "ul(lls ,arious "unctions related to SAP
so"t-are and administration> and ser,es as the lin/ *et-een the enterprise and SAP. Its
purpose is to ensure that SAP systems are implemented and run as eHciently as possi*le
across the enterprise:
0 :acilitating the implementation process
1 =etting the *est return on in,estment
2 Pro,iding ad,ice on changing *usiness conditions

ithin preparation "or production operation> they should conduct system tests. I" it needs to
e#press -hich elements co,erD
87
0 Conduct "ailure scenarios test
1 Conduct system administration tests
2 Conduct *ac/up and restore procedure test
3 Conduct disaster reco,ery test
4 Conduct printing and "a# test
5 Conduct ,olume test
6 Conduct stress test
7 Conduct going li,e chec/
;ere the purpose o" going li,e chec/ is to determine any potential pro*lem areas in the R/3
system that could inAuence per"ormance. 9his pre,entati,e measure is important "or a
success"ul R/3 implementation. R/3 customers -ho are preparing to go li,e should ta/e
ad,antage o" the going li,e chec/ "rom SAP.

:or these> test a time schedule and a test plan should pro,ide the necessary time and
"unctional controls. ?ou should spent good time in preparing this test phase. ;ere there are
2 important decisions.
0 9ime schedule
1 9est plan
"ime %c#edule(

9ime schedule descri*es the se6uence and time "rame o" all tas/s to *e done during the
test phase. ;ere to use Microso"t pro)ect tools could *e more eHcient as planning tool> -ith
columns "or tas/> start> estimated (nish> actual (nish> resources> and comments.
"est Plan(

9he test plan should co,er all "unctions o" a module. As a chec/list it must descri*e all
acti,ities and in detail. 9hey should list all transactions> ta*les> "orms> reports> menus>
authori2ations> master data> etc. 9he lin/s to other modules also must *e assured and
tested.

).).) Cutover Plan
Cuto,er Plan co,ers the "ollo-ing acti,itiesD
0 Re,ie- con,ersion timing and planning
1 Create chec/list
2 0etermine production readiness
3 Appro,e cuto,er
4 <sta*lish help des/
5 Reorgani2e team "or production support
6 0e(ne long term production support strategy
In this section to set up an internal help des/ is ,ery important "or production support. In
the (nal preparation phase> procedures and responsi*ilities are (#ed according to the
current plan. ;elp des/ procedures need to *e documented. Personnel need to *e
nominated and> i" necessary> the pro)ect team needs to *e organi2ed "or the production
phase.

!e#t to support o" single end users> the help des/ team must *e proacti,ely in,ol,ed in
the support o" the -hole end user community. 9his means> "or e#ample> planning
-or/shops "or re,ie-s o" li,e "unctions> and chec/ing ne- "unctions "or system use
optimi2ation.

9he help des/ is particularly important in the (rst -ee/s a"ter go li,e> *ut it -ill re6uire help
des/ support throughout the production li"e o" R/3.
88
).)., 7inal Approval and Dalidations
9he o*)ecti,e o" this step is to o*tain (nal appro,al "rom the steering committee "or the
system to go li,e. All preparations "or the technical application> and organi2ational aspects
o" the pro)ect are ready "or li,e *usiness operations.
).).- <oing live C#ec2 .ist

All manual data entries must *e completed *e"ore cuto,er.
Con(rmation "or going li,e depends on the readiness o" the R/3 system.
0ecision "actors areD
0 <nd user training is completed
1 R/3 system administration is ready
2 Stress test is completed
3 Con,ersions and *usiness processed in the production system ha,e *een chec/ed
4 Per"orm internal 6uality chec/
5 :inal Preparation Re,ie-
).)./ Data "ransfer
0ata trans"er is the most critical aspect o" the pro)ect. Most o" the pro*lems are
encountered a"ter introduction o" a module is related to incorrect data trans"ers or
inter"aces.
'elo- are a "e- considerations that should *e ta/en into account:
0 9he data trans"er must *e gi,en a high priority.
1 It is a time+consuming process> and suHcient time must *e set aside not only "or the
technical data trans"er *ut also "or chec/ing it a"ter-ards.
0 9he trans"erred data must *e "ully tested in e,ery detail *y the line organi2ation
-hose data it is.
0 9he trans"er should *e done at the latest possi*le moment in order to /eep manual
trans"er to the minimum.
0 9he people in,ol,ed must *e gi,en suHcient -arning so that they can -or/ at
-ee/ends or late nights.
0 9he data trans"er needs to *e coordinated -ith the other modules that might also
re6uire -ee/end -or/ing *e"ore going li,e.

5. *o+ to maintain %AP
0uring the process o" going li,e> there are t-o critical periods. In the (rst "e- days> you must e#ecute
the production support plan and chec/ the results. Any pro*lems must *e resol,ed as 6uic/ly as possi*le.
:ollo-ing the (rst "e- days o" li,e operation> you must then address monitoring issues "or
the long term> particularly system per"ormance> capacity and "unctions. Nine organi2ation
must ta/e o,er the o-nership o" the implemented system. Mean-hile the pro)ect team has
to ad)ust and redesign the system continuously. 9hey must conclude the *usiness process
re+engineering and "ollo-+up pro)ects and assess their results. 9hese pro)ects "ocus mainly
on adapting the organi2ation to the ne-ly implemented so"t-are or add+ons -hile
impro,ing its processes and procedures.
89
,. Post Implementation
@ptimi2ing the system is needed since not all *usiness scenarios can *e "ully tested until
they are in their real en,ironment. Also in many cases the users reali2e their actual
re6uirements only -hen the system is up and running. %elti> 78&
0uring go li,e they -ill re6uest "urther adaptations and e,en ne- programs "or reports and
"orms. 9he users -ill reali2e )ust ho- much in"ormation can *e retrie,ed "rom their ne-
system. And also users al-ays more and more change "rom the SAP support des/. Support
ser,ice should *ecome ready "or these complicated re6uests. 9heir re6uests ne,er -ill *e
o,er. 9hat is -hy support des/ approach should *e strategic and organi2ed to all these
re6uests.


9his phase is continued and a,aila*le to impro,e continuously. In this point> system
optimi2ation process is al-ays applied and the system is al-ays optimi2ed to use eHciently
more.
0uring sta*ili2ation process> the re6uired time to sta*ili2e the system ,aries "rom pro)ect to
pro)ect depending on the pro)ect setup. ;ere there are some "actors that may inAuence the
re6uired time.
a. 0ata con,ersion and trans"er

hen data is not con,erted correctly> possi*le pro*lems can occur> and that is -hy
seriously eBect the li"e system.
b. System test and preparation
I" you ha,e not gi,e suHcient time to all system tests -ithin the pro)ect> again you can "ace
the some pro*lems a"ter implementation.
c. 9o+*e concept

It is 6uite important "or the pro)ect to (nali2e a -ell designed to *e concept. I" not> then this
can a,oid surprise during and a"ter pro)ect implementation.
d. .ser training and in"ormation
I" the users are -ell trained and in"ormed a*out the pro)ect they -ill *e a*le to sol,e o-n
matters themsel,es.
Post implementation *egins immediately a"ter Cuto,er and continues until our <#it =ate
Chec/list is complete and you are ready to close do-n the pro)ect at the implementation
site.
'elo- you can see post implementation o*)ecti,es:
0 =uide transition o" responsi*ilities
1 Re,ie- support ser,ices> pre+determined post+implementation acti,ities> and outstanding issues
2 Assign responsi*ilities and clearly communicate trans"er o" responsi*ility
3 ;a,e a clear understanding -ith client
4 Ma/e client "eel con(dent
It -ill need to ensure that things li/e the help des/ and other support ser,ices are -or/ing
appropriately. Also need to ensure that /no-ledge trans"er has ta/en place.
Post+implementation co,ersD
0 Re,ie-s support ser,ices
1 .ses the implementation e#it gate chec/list to determine that all mandatory acti,ities ha,e *een
completed *y the implementation team
90
0 Assign responsi*ilities "or outstanding issues and post+implementation enhancement
It is also important at this point that -e go *ac/ to the 'usiness Case and assess ho- -ell
-e did -ith regard to -hat -e said -e are going to do. Again this is ho- -e are a*le to
demonstrate our ,alue to the client and )usti"y our $1P.
<,en though -e -ill ha,e prepared e#tremely -ell "or cuto,er> some issues simply canYt *e
anticipated and need the urgency o" a ne- system> and )o* role> etc. in order to *e
unco,ered. 9hese are the things that -e should learn "rom and communicate *ac/ to the
de,elopment team.
?ou -ill need to prepare a post+implementation plan other-ise acti,ities can *e
complicated. Post implementation plan com*ines de(ned post+implementation acti,ities>
post+implementation management> the completed implementation e#it gate chec/list> and
post+implementation communication.

It is important to recogni2e that this is a process> not an e,ent. 9his can ta/e up to 3 months
depending on the si2e o" the implementation.
@nce the main part o" the -or/ is completed> it is ,ery tempting to mo,e on rather than
ensure that the -or/ is completed and the ma#imum *ene(t yielded "rom it. %Maylor> 2882&
9hese (nal Processes carry a num*er o" challenges> -hich the pro)ect manager -ill ha,e to address:
0 9rying to ma/e the re,ie- process o*)ecti,e -hile ta/ing into account a rich picture o" the e,ents
surrounding pro)ect per"ormance
0 Relating procedural con"ormance to pro)ect per"ormance
1 9he esta*lishment o" long term programmers o" impro,ement -hile *eing assessed on short term
measures -hich are predominantly (nancial
0 Satis"y all the rele,ant sta/eholder groups> -hile loo/ing ahead to the ne#t pro)ect

9here are many reasons that -or/ stops on pro)ects. :or some> it is *ecause o" the
success"ul completion o" the tas/. Some are stopped *y their sponsors> due to changing
needs or poor pro)ect per"ormance> and others> due to lac/ o" the necessary resources to
continue.
Proper completion o" pro)ects re6uires discipline. Carrying out a -orth-hile re,ie- re6uires
in,estment o" time and resource. 9he "ollo-ing elements that -ill re6uire the attention o"
the pro)ect manager during this phase are:
0 <nsuring there is an incenti,e "or the pro)ect to *e (nished and that acti,ities are completed
1 <nsuring documentation o" the process is pro,ided to allo- re,ie-> and o" the outcome to "acilitate
any "uture support acti,ities
0 Closing do-n the pro)ect systems> particularly the accounting systems
1 Constructing the immediate re,ie- o" acti,ities C pro,iding a starting point "or all impro,ement
acti,ities
0 Appraisal and relocation o" staB -ho ha,e completed their acti,ities and disposal o" assets that are
surplus to re6uirements
0 <nsuring that all sta/eholders are satis(ed C sell your achie,ement and ma#imi2e the *usiness *ene(t
"rom your pro)ect
In this stage> they must oHcially close the pro)ect. At this time> any open issues are re,ie-
and completed. In case o" local rollout pro)ects as part o" a glo*al program> there should
also *e a "eed*ac/ to the glo*al team.

,.$ Completion
9he situation the pro)ect manager needs to a,oid is -here a pro)ect spends 78 per cent o"
its li"e 78 per cent complete. :inishing the acti,ities so that resources can *e released "or
other -or/ and minimi2ing the costs incurred during the close + do-n phase are ,ital.
%Maylor> 2882&
91
9here is a trade+oB to *e considered here ho- much time and resource should *e put into
the closing the acti,ities.
In the /ind o" organi2ation -here people are *rought in on contract "or the duration o" that
pro)ect alone and are paid a time rate. %According to the amount o" time they spend -or/ing
on it&> there is little incenti,e "or the -or/ to *e (nished on time. 9he pro,ision o" some "orm
o" *onus "or early completion should *e considered -here personnel ha,e an acti,e input to
the result. Contractors and su*+contractors should *e treated as suppliers in this respect
and *e eligi*le "or de,elopment eBort.
,.$. Complete Analysis and Documentation


Pro)ect analysis and documentation in,ol,es collating pro)ect records> ensuring that they
reAect pro)ect o*)ecti,es> analy2ing success and eBecti,eness> and archi,ing all o" this
in"ormation "or "uture re"erence. %elti>2881&
?ou must document your pro)ect "rom *eginning. 9his is the *asis "or the e#tensi,e analysis and the
material presented in this *oo/. ?ou -ill need to measure pro)ect per"ormance and dra- lessons "or
"uture pro)ects. 9he documentation itsel" represents a ,alua*le source o" corporate in"ormation.
0ocumentation is one o" the important parts o" the pro)ect closing step. 9he purpose o"
pro,iding documentation is:
0 Pro,ide e,idence that the pro)ect has *een completed in a proper manner> increasingly important
gi,en the re6uirements o" IS@ 7888.
0 =i,e the customer o" the output o" the pro)ect guidance on the operation and maintenance o" the
item pro,ided.
0 Allo- any "uture -or/ on a similar pro)ect to ha,e a good starting point> /no-ledge o" -hat -as done
in this pro)ect.
:ormal documentation includes all pro)ect correspondence including contracts> permissions>
letters and memorandum. A procedure should *e esta*lished "or electronic documents and
e+mails as to -hether these need to *e stored in hard+copy "orm and -hether the electronic
data can *e consigned to a data -arehouse.

In order to complete e#actly you -ill need a chec/ list to control -hich tas/s are o/ey and
-hich ones are not o/ey yet. And it -ill pro,ide a highly ,isi*le means o" ensuring that the
(nishing tas/s are carried out.
,.& Providing .ive %ystem %upport

A"ter implementation> the pro)ect organi2ation remains acti,e until all the pro*lems are
sol,ed and the necessary "ollo-+up pro)ects are implemented. @nce this is done the product
should *e handed o,er as soon as possi*le to the line organi2ation. 9he pro)ect organi2ation
is then con,erted into an SAP maintenance and coordination organi2ation> -hich is line
oriented> and responsi*le "or the sta*ili2ation> maintenance and impro,ement o" the SAP.
9his con,ersion is necessary on the "ollo-ing groundsD
@*)ecti,es: !e- SAP organi2ation
@-nership: 9he ne- SAP organi2ation must ta/e "ull responsi*ility and o-nership
Management: SAP management needs a consolidating approach
!e- 'lood: In this point> it goes *etter i" ne- SAP team and approach enter into
to management

0uring the process o" going li,e> there are t-o critical periods. In the (rst "e- days> you
must e#ecute the production support plan and chec/ the results. Any pro*lems must *e
resol,ed as 6uic/ly as possi*le.
92
:ollo-ing the (rst "e- days o" li,e operation> you must then address monitoring issues "or
the long term> particularly system per"ormance> capacity and "unctions.
;ere it is 6uite important that -hene,er a pro*lem arises> end users /no- -ho to contact>
and ho-. 9he help des/ is particularly important in the (rst -ee/s a"ter VGgo li,eGG *ut you
re6uire ;elp 0es/ support throughout the production li"e o" your SAP system. 9he help des/
is a single point o" contact -ith access to internal (rst le,el support "or hard-are> net-or/>
operating system> data*ase> training> and application system pro*lems.
!o-adays> there are many opportunities to get SAP support. <specially http://ser,ice.sap.com can *e
used i" it needs. Internet plat"orm pro,ides personali2ed access to all SAP ser,ices
necessary to design> *uild and maintain a high 6uali(ed solution.
:urthermore> you can *ene(t "rom SAP Ser,ice Mar/etplace. 9he SAP Ser,ice Mar/etplace is
SapGs one+ stop internet plat"orm that pro,ides personali2ed access to all ser,ices necessary
to design> *uild and maintain a 6uality solution. 'eside that SAP or SAP Solution Partners
can help you "or ,arious ser,ices a"ter go li,e. 9hese ser,ices can *asically *e di,ided into 3
components. In other -ords> i" -e re,ie- some ser,ice types and possi*ilities "or SAP
customers and partnersD
a. Support ser,ices
0 Su*mit messages> access support pac/ages and SAP notes
1 Re6uest remote ser,ice sessions
b. Consulting S education ser,ices
0 Re6uest hard-are si2ing> consulting pro)ect or re+engineering
1 @nline *oo/ing o" training sessions -orld-ide
c. In"ormation ser,ices
0 0etailed in"ormation around the SAP solutions
1 SAP related ne- oBerings
2 0o-nload *est practices materials


,.) Managing "#e %cope
?ou should esta*lish procedures "or a program to ensure that scope changes are made at
the program and pro)ect le,els. %<S?> 1777& Program -ide changes may *e documented in
detail and /ey points summari2ed in the charter o" the aBected pro)ects.

In the scope management> usually it must "ollo- up the "ollo-ing steps.
1. <sta*lish guidelines and standards "or change re6uest
a. 0e(ne the categories that -ill *e used to identi"y and trac/ the change re6uest
b. 0e(ne the le,els o" se,erity "or the change re6uest
c. 0e(ne the priority classi(cation
d. 0e(ne the roles and authori2ation le,el that each role has in processing a change re6uest
2. <sta*lish the change re6uest e,aluation procedures
a. 0e,elop and document the procedures used "or e,aluating re6uests
3. Create a change re6uest -or/sheet
a. Create a mechanism "or su*mitting and processing change re6uests
93
4. Create a change re6uest log
a. Create a change re6uest log summary
5. 0e(ne ho- to administer scope updates and change re6uests
a. Identi"y the procedures needed to administer and manage change re6uest
b. 0e(ne the procedures "or updating and communicating the pro)ect scope -hen it changes
due to appro,ed re6uests
6. 0e(ne the change re6uest reporting re6uirements
a. 0etermine any standard reports that should *e produced "rom change re6uest log
7. Create a change storage mechanism
a. Create a mechanism "or storing change re6uest. All change re6uests should *e maintained
regardless o" their status.
,.). Managing C#ange 9eCuests
?ou can re,ie- change re6uest step *y step as "ollo-s:
1. Nog the change re6uest
a. Nog the change re6uest
2. Appro,e> re)ect> or de"er in,estigation
a. Re,ie- the change re6uest log -ith the pro)ect sponsor -ee/ly to determine -hether to
accept> re)ect> or de"er in,estigation o" ne- change re6uests
3. Assign an in,estigator "or accepted change re6uests
a. Assign an in,estigator -ith suHcient technical a*ility> /no-ledge and credi*ility so that
user management -ill ta/e recommendations seriously
4. Assess the impact o" the re6uested change
a. Assess the change re6uest *y estimating and descri*ing the impact o" the change and
determining the eBect on the pro)ect schedule. 9hese eBectsD
i. 0eli,era*le eBects
ii. or/ eBort impact
iii. :inancial impact
i,. Schedule impact
5. 0ocument an o,erall change assessment and recommendation
a. Synthesi2e the impact assessment into an o,erall assessment and recommendation
,.).$ Closing "#e C#ange 9eCuest

In this section> *rieAy you can resol,e open issues li/e a*o,e> and "ormally close them.
I" -e need to sort out concerning ho- to close > you can close the pro)ects *y the "ollo-ing route.
94
1. Re,ie- and close open issues
2. Re,ie- *usiness *ene(ts
3. Summari2e and re,ie- lessons learned change process
4. Complete change management process
5. :ollo-+up on recommendations
6. SignoB and close issue list

So -e close the pro)ects oHcially. At this time any open issues are re,ie-ed and completed.
Resolution and closure "or all outstanding issues in the issue management system must
ta/e place "ormal signoB "rom pro)ect team mem*ers.

9he *usiness dri,ers %the reasons the pro)ect -as underta/en and -hy it is important to the
corporation& and the *usiness measurements %6uanti(a*le *usiness+related measurement
*y -hich the success o" the R/3 implementation pro)ect is )udged&> *oth o" -hich -ere
de(ned at the start o" the pro)ect in phase 1> are re,ie-ed to chec/ pro)ect results against
the goals set at its outset. 9his re,ie- is presented to e#ecuti,e management.
An ongoing e,aluation procedure is esta*lished to monitor the *ene(ts o" the R/3
implementation o,er time.
,., Pro!ect Audit
9he pro)ect Audit is a thorough e#amination o" the management o" a pro)ect> its
methodology and procedures> its records> its properties> its *udgets and e#penditures> and
its degree o" completion. %Meredith> 2882&
9he "ormal report may *e presented in ,arious "ormats> *ut should> at a minimum> contain
comments on the "ollo-ing points:
1. Current status o" the pro)ect. 0oes the -or/ actually completed match the planned le,el o"
completionF
2. :uture status. Are signi(cant schedule changes li/elyF I" so> indicate the nature o" the changes.
3. Status o" critical tas/s. hat progress has *een made on tas/s that could decide the success or
"ailure o" the pro)ectF
4. Ris/ assessment. hat is the potential "or pro)ect "ailure or monetary lossF
5. In"ormation pertinent to other pro)ects. hat lessons learned "rom the pro)ect *eing audit can *e
applied to other pro)ects *eing underta/en *y the organi2ationF
6. Nimitations o" the audit. hat assumptions or limitations aBect the data in the auditF

9hese are 3 parts o" a pro)ect audit. Pro)ect audit is not a (nancial audit. 9he pro)ect audit is
"ar *roader in scope and may deal -ith the pro)ect as a -hole or any component or set o"
components o" the pro)ect. It may *e concerned -ith any aspect o" pro)ect management.
hile the pro)ect audit may *e concerned -ith any aspect o" pro)ect management> it is
not a traditional management audit. Management audits are primarily aimed at ensuring
that the organi2ationGs management systems are in place and operati,e.

I" -e summari2e the relationship *et-een management and pro)ect audit> the management
audit loo/s at managerial systems and their use. 9he pro)ect audit studies the (nancial>
managerial and technical aspects o" the pro)ect as an integrated set applied to a speci(c
pro)ect in a speci(c organi2ational en,ironment.
9here are se,eral practical constraints that may limit the depth o" the pro)ect auditGs
in,estigation. 9ime and money are t-o o" the most common limits on the depth o"
in,estigation and le,el o" detail presented
95
in the audit report. Accumulation> storage and maintenance o" audita*le data are
important cost elements.
9he type o" pro)ect *eing audited and the uses "or -hich the audit is intended dictate some
speci(cs o" the audit report "ormat. ithin any particular organi2ation> ho-e,er> it is use"ul
to esta*lish a general "ormat to -hich all audit reports must con"orm. 9his ma/es it possi*le
"or pro)ect managers> auditors> and organi2ational management all to ha,e the same
understanding o"> and e#pectations "or> the audit report as a communication de,ice.
!egati,e comments a*out indi,iduals or groups associated -ith the pro)ect should *e
a,oided. ?ou should -rite in a clear> pro"essional> unemotional style and restrict its content
to in"ormation and issues that are rele,ant to the pro)ect. 9he "ollo-ing items co,er the
minimum in"ormation that should *e contained in the audit report:
0 Introduction
1 Current Status
o Cost
o Schedule
o Progress
o Quality
0 :uture Pro)ect Status
1 Critical Management Issues
2 Ris/ Analysis
3 Nimitations> and Assumptions

9he auditor/e,aluator must maintain political and technical independence during the audit
and treat all materials gathered as con(dential until the audit is "ormally released.

A pro)ect audit co,ers the "ollo-ing routingD
1. Assem*le a small team o" e#perienced e#perts
2. :amiliari2e the team -ith the re6uirements o" the pro)ect
3. Audit the pro)ect on site
4. A"ter completion> de*rie" the pro)ectGs management
5. Produce a -ritten report according to a speci(ed "ormat
6. 0istri*ute the report to the PM and pro)ect team "or their response
7. :ollo- up to see i" the recommendations ha,e *een implemented


,.- %tructuring Improvement Activities
9here is much -ritten on the su*)ect o" process impro,ement "rom almost any perspecti,e
you care to imagine. 9he pro)ect manager can carry out acti,ities that -ill impro,e the
per"ormance o" "uture pro)ect processes on se,eral dedicated criteria. %Maylor> 2882& A
suita*le structure is to separate t-o elements:
1. Nearning *e"ore doing and ensuring that the necessary /no-ledge and s/ills are a,aila*le in
ad,ance o" their in a pro)ect
2. Nearning *y doing and so those elements that can *e learned "rom pre,ious acti,ities

9o impro,e the process> learning process "rom pro)ects is suggested to *e at least t-o"old>
through learning *e"ore doing %through identi(cation o" appropriate /no-ledge in ad,ance
o" need&> learning *y doing %through re,ie- and integration o" that /no-ledge into the
organi2ation&> and longer+term reAection.
ith SAP or <RP you can impro,e your *usiness acti,ities i" you /no- ho- to use right the
system or you are a*le to use it -ith ma#imum per"ormance. SAP or any <RP can increase
the producti,ity *etter i" you or a consulting company -or/s on it.
96
,.-. Consultants for %AP and Process
9here are many large SAP consultancy (rms in the -orld. :or instanceD
PriceaterhouseCoopers> Accenture> <rnstS?oung> McEinsey> etc. 9here are *et-een
important consultancy (rms and they ser,e -orld-ide -ithin clients.
9he general role o" consultants is in the pro,ision o" speci(c ser,ices such as accountancy>
strategic analysis> human resource de,elopment or in"ormation technology. 9he
consultants during SAP implementation or a"ter implementation ha,e some responsi*ilities.
:irst o" all -e can categori2e them into 3 *asic *usiness "unctions:
1. SAP Module consultants
2. Process Consultants
3. 9echnical Consultants

'ut> -hile impro,ement process -e need process consultants more than the other
consulting ser,ices. 9he consultant -ithin impro,ement process can ha,e the "ollo-ing
roles: %Maylor>2882&
0 An integrator C pro,iding an o,erall pro)ect management ser,ice as a single point o" contact "or a
customer. 9hey arrange the allocation o" tas/s *et-een su*+contractors and are
responsi*le "or o,erseeing progress
0 As an honestry C *ro/er C gaining an e#ternal VGindependentGG ,ie-point on a situation can *e
*ene(cial.
0 As a change+agent C pro,iding the "ocus "or acti,ities -hile /eeping an o,er,ie- as to -hat is
happening
0 As a /no-ledge pro,ider in one or more speci(c areas or techni6ues
1 As a resource pro,ider C to allo- tas/s to *e carried out that people "rom -ithin the organi2ation
-ould claim that do not ha,e the time or capa*ility to do
0 As a chec/er o" the -ay in -hich the process is *eing carried out
1 As a trainer C rather than doing the )o* "or the organi2ation> the /no-ledge is imparted to the
mem*ers o" the organi2ation through training.

In the "uture consultants are going to ha,e an important role to play in the management o"
pro)ects and in the pro,ision o" resources that companies are not large enough to ha,e in+
house. 9heir role -ill need intelligent purchasers o" their ser,ices i" it is to *e success"ul.

,.-.$ BP9 FBusiness Process 9e0engineeringG


A"ter implementation o" the pro)ect as second step is to meet all o" the o*)ecti,es set at the
*eginning o" a pro)ectD this may e,en *e a more crucial "actor. %elti> F&

9he company has to impro,e and adapt its organi2ation> processes> and procedures to the
standard so"t-are. 'y implemented an integrated so"t-are pac/age such as SAP> the I9
en,ironment is upgraded. ;o-e,er all other *usiness management elements> processes>
organi2ation> methods and procedures cannot *e impro,ed so 6uic/ly. As most o" the
management goals set "or a pro)ect concern the three latter elements> su*se6uent pro)ects
must ensure that these o*)ecti,es are achie,ed.
'usiness Process Reengineering has to *e conducted a"ter the pro)ect implementation o" an
enterprise resource planning pac/age> "or the "ollo-ing reasons:
0 'PR re6uires good /no-ledge o" the enterprise planning pac/age to reorgani2e *usiness processes to
con"orm to the integrated standard so"t-are processes.
0 'PR during the SAP implementation is li/ely to "ail> *ecause a com*ination o" an I9 system change
-ith 'PR -ill e#ceed the capacity o" most employees to a*sor* the+changes
0 Comple#ity is reduced> *ecause organi2ation> processes> and procedures are determined *y the
standard so"t-are
97
0 Capa*le human resources "rom the pro)ect -ith the re6uisite /no-ledge o" processes are more
readily a,aila*le a"ter pro)ect implementation
9o get the "ull *ene(ts o" the pac/age and e,entually to impro,e eBecti,eness and
eHciency throughout the -hole company> it is necessary to align and *alance all o" the "our
*asic elements :
1. Processes
2. @rgani2ation
3. Methods and Procedures
4. In"ormation 9echnology

9he aim o" the post+pro)ect acti,ities is generally to impro,e "urther these elements o"
*usiness management and to integrate them -ith in"ormation technology.

ea/ points in *usiness processes must *e identi(ed during implementation o" the
enterprise resource planning pac/age so that they can *e co,ered in the su*se6uent 'PR.
9he pro)ect management must initiate 'PR pro)ects and pass them o,er to the line
organi2ation -hose processes and procedures they aBect. ;o-e,er> these line pro)ects still
"all under the um*rella o" the total pro)ect implementation> and so the pro)ect manager is
still )ointly responsi*le "or them> and should ta/e an acti,e role in their implementation.
A"ter implementation> you should "ollo- the action list to impro,e your process. 9he action
list has to carry out under the super,ision o" the steering committee> *ecause this issue is
mainly conducted as 'PR pro)ects.
:or e#ample> you -ill see a action list as *elo-D
0 0e(ne customer in"ormation matri#
1 0e(ne per"ormance measurements
2 Reduce amount o" sel"+collectors
3 Clari"y de(nition o" "unctions and tas/s
4 Set up acti,ity plan "or lead time reduction
5 In,estigate allocation policy
6 0ecrease stoc/ and material transactions
7 Reduce start+up losses
8 0ecrease num*er o" cores
9 Planning "or "oaming and cross+lin/ing
10 In,estigate and impro,e supply+chain management
11 <,aluate process "or orders
12 0ecrease payment timing
13 @ptimi2e manu"acturing
14 Produce optimum timeta*le

Standard so"t-are is incapa*le o" supporting all company+speci(c processes and
procedures. SAP is continuously in change and de,elopment. As soon as all the modules are
implemented> ne- ,ersions o" the so"t-are are a,aila*le and> -ith it> ne- "unctionality.
9he pro)ect management team and> the module coordinators ha,e to /no- the
impro,ements in the ne#t releases "or their modules. 9hat is -hy> you can plan "ollo- up
pro)ects to complete your implementation. Certainly it -ill get the ne#t re6uirements and
ne- re6uest -ithin SAP li,e system. 9hat is> you al-ays -ill ha,e to plan ne- small
pro)ects> -hich are usually add+on or process impro,ement aided.
Considering the impact on the organi2ation in -hich the 'PR acti,ities are *eing
underta/en> the pro)ect manager has to consider the assumptions that underlie the e#isting
processes and ho- these might *e remo,ed. @rgani2ational rules and -or/ing practices are
certain to *e compromised *y the changes.
98
%Maylor>2882& 9he o*)ecti,es o" acti,ities -ill also *e reassessed in line -ith a process
rather than a "unction.
In short> the case "or arguing "or continues impro,ement is pro,en> -hile the case "or going
-ith 'PR as descri*ed here is not. Many (rms ha,e used such initiati,es to impro,e
per"ormance and it is not al-ays necessary to *adge it as 'PR. In e,ery SAP pro)ects> i" you
esta*lish a *usiness process impro,ement team> they -ill try to /eep the system li,e>
update and producti,e al-ays.

In setting the o*)ecti,es o" the re+engineering process> many organi2ations ha,e chosen to try *ecome
more VleanG. 9his pro,ides a set o" principles that -ill guide the organi2ation in its re+engineering eBorts.

?ou can de(ne ,arious small pro)ects li/e a*o,e. And -ith a schedule you can initiali2e to
implement these pro)ects. Aim here is to de,elop> add> control and so measure o" the
*ene(ts. 'ecause standard so"t-are is incapa*le o" supporting all company+speci(c
processes and methods. So it needs to *e de,eloped accordingly customer speci(c needs.
:urthermore> as soon as all the modules are implemented> ne- ,ersions o" the so"t-are are
a,aila*le and> -ith it> ne- "unctionality.
Sometimes it arises mista/e or error message> sometimes add on needs in terms o"
customer speci(c. 9hese can continue during company li"e cycle or can *e o,er. 'ut
generally this /ind o" pro)ects al-ays carry on -ithin organi2ation or *usiness li"e. 9he
reason o" thisD there is al-ays a challenge or change in *usiness> technology> personnel or
in others "actor. 9hat is -hy "ollo- up pro)ects -ill *e a,aila*le continuously.
I" -e -ould li/e to gi,e some e#amples relating ongoing pro)ects -ithout going into detail
loo/ at ta*le 1.1
"a@le ,. 7ollo+ up pro!ect e4amples F5elti1 BBG

Module 0escription
Classi(cation system Impro,e setup and usage -ith regard to material master
'atch num*er management In,estigate possi*ilities o" changing the *atch num*er "or
(nished product

Purchasing e#tension <#tend scope -ith transport and ser,ices> including in,oice
,eri(cation

Capacity le,eling Implement detailed scheduling
Cash management treasury Introduce ne- "unctionality
Rough cut capacity planning Implementation RCCP ,ia S@P> rolling sales plan
Plant+-ide purchasing Introduction o" plant+-ide replenishment "unction
<lectronic *an/ payments Connection -ith *an/s regarding all posting. Introduce
electronic *an/ing in relation -ith SAP

Impro,ement o" *udget Shortcomings o" the actual release to *e corrected and
:unctions possi*le impro,ements to *e installed %such as lin/ to sales
@rders> lin/ to sop&

In the current mar/et> you can (nd ,arious tools to re+engineer your processes no dou*t.
'ut here I -ill present a toolset called VGARISGG. ARIS is integrated so"t-are products that
ena*le you to apply the ARIS "rame-or/ to your *usiness. 9his remar/a*le set o" *usiness
tools handles the entire li"e cycle o" a *usiness process> "rom design to analy2e> though
installation to continuous impro,ement. ARIS product suite ena*les you to document>
analy2e and impro,e your *usiness processes C in a single department or across your entire
enterprise.

My aim here is ne,er to mar/et ARIS products> o" course. ;o-e,er> I -anted to present a
e#ample 'PR tool -ith its capa*ilities> "unctions> Ae#i*ility> /no-ledge and o*)ecti,es.
Clearly you can in,estigate and reach your most con,enient 'PR tool to impro,e your
process. 'rieAy ARIS could *ecome a good

99
e#ample relating to 'PR tools to descri*e. ?ou can use it during SAP implementation as a
tool or independently o" SAP. It could *e a option instead o" Talue SAP or ASAP.

















7igure ,. "#e Business Process Intelligence .ife Cycle
9he ARIS :rame-or/ "orms the *asis o" a *usiness *lueprint: a scale model o" your company
that can immediately tell you the impact in time> money and resources o" any change you
propose. 9o put into practice> the ARIS :rame-or/ helps shape a more Ae#i*le> customer+
"ocused company> and stores the in"ormation you need to ma/e smarter *usiness decisions.
ARIS de,eloper company has also de,eloped the so"t-are products that pro,ide tools "or
capturing> editing> simulating> and impro,ing *usiness processes in a truly comprehensi,e
-ay. 9he ARIS 9oolset has *een recogni2ed *y =artner=roup as the (nest tool o" its /ind on
the mar/et.

.sing the ARIS Product Suite> you can measure your *usiness processes and compare them
to industry *enchmar/s or process ,ariants. ?ou can create reusa*le process standards> and
apply them across your enterprice. Most importantly> you can see the impact o" change on
your e#isting *usiness processes *e"ore you implement. And e,erything maps *ac/ to your
*usiness o*)ecti,es.

100




























7igure ,.$ BP9 "oolset Product>%ervice Die+
9echnology continues to change and mar/ets are al-ays in Au#. hat hasnGt changed is
your need to ma/e sound decisions in support o" your *usiness o*)ecti,es: to increase
mar/et share> to impro,e your *ottom line> to reduce your time to mar/et. 'PR tools li/e
ARIS gi,e you the /no-ledge and Ae#i*ility to ma/e those decisions> 6uic/ly and
intelligently.
In "act this /ind o" impro,ement sounds comple#. Actually *oth is more diHcult and the
the easer. 0epending on the tools and methods can "acilitate the impro,ement process.
'PR tools simpli"y the comple#ity o" your *usiness so that you can "ocus on running it more
eHciently.

A*out e,ery ma)or company around the -orld is engaged in some /ind o" *usiness process
impro,ement e#ercise. hether itGs *usiness process reengineering> /no-ledge
management or e+*usiness> e,eryone is loo/ing "or *etter -ays to do *usiness.

9o communicate ideas and identi"y opportunities "or impro,ement> companies ha,e
traditionally turned to graphical modelling tools. 9here are hundreds o" tools a,aila*le>
each -ith its o-n "ocus and "unctionality. Most tools support standard modelling methods>
and many *oast some /ind o" analysis capa*ility. 'ut in todayGs comple# *usiness
en,ironment> traditional modelling simply "alls short.
'elo-> I attach a internet site to re,ie- -hat is going in ,irtual process management -orld. Noo/ at
7igure ,.&

101




































,.& Process 5orld


6. Importance of .ocal Culture
-. EEect of cultural features on communication and team+or2

%Eramer> 2881& .nderstanding cultural *ac/ground is critical to success"ul international
*usiness communication a*road> as the e#amples in this chapter -ill illustrate. 9odayGs
economy re6uires doing *usiness all around the -orld. International mergers and
ac6uisitions ha,e increased many employees
interaction -ith their counterparts in other countries. Chrysler has merged -ith 0aimler+'en2> Amoco
has *een ac6uired *y 'ritish Petroleum> and Merill Nynch has gone shopping "or Wapanese (rms.
.nderstanding cultural *ac/grounds is e6ually important to success"ul *usiness
communication -ithin the .nited States. I" you -or/ in the hotel or restaurant *usiness> the
cultural *ac/grounds o" the employees may *e Pa/istani> Sal,adoran> =erman> Tietnamese>
or a do2en other ethnic groups. I" you -or/ "or a company> the cultural *ac/grounds o" your
customers may *e S-edish> Wamaican> Ne*anese> <thiopian> or one o" the many other
nationalities that are *usiness o-ners in our pluralistic society. ?our hard-are suppliers may
*e :rench> Wapanese> or Irish. ?our so"t-are may *e -ritten in India> Russia> or any place in
the -orld -ith an internet connection. Increasingly> your o-n personal *usiness success
may depend on your "acility at intercultural communication.
102
;ere is a de(nition "rom Ti)ay Sathe> -ho has long studied the relationship *et-een culture
and *usiness management: ICulture is the set o" important understandings %o"ten unstated&
that mem*ers o" a community share in common.

A /ey -ord in this this de(nition is IunstatedJ. Culture is usually so internali2ed> so much a
part o" the -ay people *elie,e and act> -hich is transparent to them.

In order to help the Iimportant understandingsJ> -e use the -ords *elie"s> ,alues> attitudes>
*eha,ior and norms. NetGs *rieAy e#amine these terms to "urther de,elop our understanding
o" intercultural communication issues.

Beliefs are *asic assumptions a*out the -orld and ho- it -or/s. Dalues are *asic assumptions that
imply IshouldJ or Iought toJ. 9hey go,ern e#pectations a*out right and -rong> pre"erence> and
desira*ility. Attitudes e#press ,alues and inAuence group mem*ers to thin/ and act in certain -ays in
speci(c situations. Be#avior is human action. !orms reAect -hat is e#pected or considered typical
*eha,ior in a cultural: -hat is normalF
hen people "rom diBerent cultures and nationalities interact> miscommunications can result. 9hese
miscommunications can occur in non,er*al *eha,ior> in speech> in -riting> in any area *ecause -e
interpret the *eha,ior o" others according to our o-n culture> -hich is to say -e may misinterpret it.


Eno-ing some o" the dimensions o" cultural diBerence can help us *e more mind"ul o"
our communications *eha,iors o" others. @ne important cultural dimension is indi,idualism
,ersus collecti,ism.
Individualism versus collectivism

Indi,idualistic cultures emphasi2e the indi,idual> as the term implies. Such cultures ,alue
sel"+reali2ation> personal gro-th and "ul(llment> and indi,idual initiati,e and achie,ement.

0emocracy> in -hich citi2ens ha,e an e6ual ,oice %Ione person> one ,oteJ&> is a "orm o"
go,ernment compati*le -ith indi,idualistic cultures. Indi,idualistic cultures tend to control
the *eha,ior o" their mem*ers *y means o" guilt> internal pressure the indi,idual *rings to
*ear upon himsel" or hersel".
@n the )o*> American *usinesses ha,e spent much time and money introducing their
-or/ers to the concepts o" 6uality circles> team production> and group decision ma/ing.

@rgani2ational cultures o" many corporations reAect the historically indi,idualistic nature o"
American *usiness. :or e#ample> indi,idual re-ards "or top sales or increased production
emphasi2e competition *et-een rather than cooperation among employees. <mployees
may "ocus their energies on personal goals and on *eating the other "ello-. Some
companies ha,e disco,ered> ho-e,er> that re-arding team eBorts rather than indi,idual
eBorts encourages people to pool their strengths and apply them directly to company goals
rather than using their energies in competing against each other.

Collecti,istic cultures emphasi2e group mem*ership. Such cultures ,alue *elonging to and
(tting into a group. =roup goals ta/e precedence o,er indi,idual goals. People ,alue
cooperation> loyalty> consensus and harmony.
Collecti,istic cultures tend to *e particularistic. 9hat is> they apply diBerent ,alue standards
"or mem*ers o" the Iin+groupJ and the Iout+groupsJ. 9hey do not assume that people "rom
other groups should ha,e the same natures> rights or pri,ileges as those "rom their o-n
group. <,en -ithin the culture> there may *e ran/ings "or in+groups. :or instance> some
collecti,istic cultures %such as Me#ico& place "amily ahead o" -or/placeD some %such as
Wapan& place -or/place ahead o" "amily.

9a*le 3.1 lists some o" the /ey norms that diBerentiate collecti,istic cultures "rom indi,idualistic cultures.
103
"a@le -. ;orms DiEerentiating Collectivist and Individualist Cultures


Collectivist Individualist
People are *orn into e#tended <,eryone gro-s up to loo/ a"ter himsel" or hersel"
:amilies or other in+groups that continue 9o protect
them in e#change "or loyalty.
and his or her immediate "amily only.
Identity is *ased in the social net-or/ to Identity is *ased in the
indi,idual. -hich one *elongs.
Children learn to thin/ in terms o" I-eJ Children learn to thin/ in terms o" IIJ

;armony should al-ays *e maintained and direct Spea/ing oneGs mind is a
characteristic o" con"rontations a,oided. an honest person
;igh conte#t communication. No- conte#t communication
9respassing leads to shame and loss o" 9respassing leads to guilt and loss o"
"ace "or sel" and group. sel"+respect
Purpose o" education is learning ho- to do Purpose o" education is learning ho- to learn

0iplomas pro,ide entry to higher status groups 0iplomas increase economic
-orth and/or S e l " + r e s p e c t
Relationship o" employer to employee is Relationship o" employer to employee is a contract
4
Percei,ed In moral terms> li/e a "amily lin/. Supposed to *e *ased on mutual ad,antage.
ll>1771&>3
c=ra-+;i
;iring and promotion decisions ta/e employee ;iring and promotion decisions are supposed
Nondon:M
i
n@
r
Relationship pre,ails o,er tas/.
ures and
tede> Cult
eert ;o"s
Source: =


%pea2ing and +riting across cultures
9as/ pre,ails o,er relationship.
Cultures diBer in their attitudes to-ard the uses o" spea/ing and -riting in *usiness
transactions. Some cultures seem to pre"er doing *usiness orallyD some rely more on
-riting.
Cultures also diBer in the le,el o" "ormality appropriate "or *usiness con,ersation. Almost all
other cultures are more "ormal than !orth Americans in the -ay they address one another
in pu*lic. Many people (nd this in"ormality disrespect"ul and oBensi,e.
9he Ao- o" con,ersation also diBers across cultures. !orth Americans typically -ant to
dispense -ith small tal/ and Iget do-n to *usinessJ. !orth Americans tend to *e IlinearJ
thin/ers and thus tal/ through a su*)ect in more or less a straight line> one step or idea at a
time.

Southern <uropeans> in contrast> are much more li/ely to interrupt one another during con,ersation.
9he role o" -riting in intercultural *usiness communications ,aries "rom culture to culture>
as do the "ormats and le,els o" "ormality. Consider the diBering attitudes to-ard a common
*usiness document>
104
the contract. In the .SA> a contract is a (nal> legally *inding -ritten document that
"ormali2es an agreement. !ot so in other parts o" the -orld.
As these diBerent attitudes to-ard contracts suggest> -ritten documents may carry great
authority and (nality or they may *e ,ie-ed may *e ,ie-ed as Auid and negotia*le.
Attitudes may also ,ary depending on at -hat stage o" a *usiness transaction the -riting
occurs. :or e#ample !orth American *usinesspeople may -rite a serious o" letters or
memos throughout the process o" arri,ing at a *usiness decision.
0espite the pre,alence o" <nglish in *usiness> -e should not assume that our *usiness
audience /no-s our ,ariety o" <nglish or understands it -ell. :urthermore> -e should not
ma/e the uni,ersalistic mista/e o" assuming that *ecause someone spea/s the same
language -e do> his or her thin/ing -ill also *e much the same.

In contrast> many Asians> Natin Americans> A"ricans> and <uropeans /no- t-o and e,en
three or "our languages. <,en i" -e are dealing -ith some*ody -ho is Auent in <nglish> that
person may *e insulted i" -e ignore his or her nati,e language. I" you come "rom a
*ac/ground that includes another language *esides <nglish> practice that language and
/eep it Auent. I" you ha,e the opportunity to study a second language in school> ta/e
ad,antage o" it.
-.$ %AP in "ur2is# cultural conte4t
SAP is the largest <RP in the -orld-ide mar/et as /no-n. 'oth <RP implementations and
SAP pro)ects are one o" the most diHcult and complicated -or/s. 'ecause> it needs a strong
pro)ect management> a good timing> (nancial support> 6uali(ed pro)ect resources>
management> -hich controls> gi,es authori2ation> interested in and produce prompt
solutions. hereas> in our country -e ha,e so many constraints and pro*lems so pro)ect
management "aces serious stress management -ithin SAP implementation.
SAP is 6uite ,ery /no-n and ,ery popular so"t-are *ut also in 9ur/ey not only in the -orld.
'ut e#cept large corporations or multinational companies> small and mid si2ed companies
get into con"used actually. 9hey *oth ha,e to gain money and manu"acture pro(ta*le
products together their technology pro)ects. Sometimes they ha,e to choose -hich -or/s
they are pri,ileged supposed to deal -ithF hich one has priorityF
I" -e consider o" the main pro*lem sources -ithin implementations "or our county> -e can
determine a list as *elo-D
0 9op Management
1 :unctional 0epartments
2 Personnel
3 :inancial Constraints or limited *udget
4 9ime as a limit
5 Nac/ o" 9raining
6 Nac/ o" methodology
7 ea/ pro)ect management
8 ea/ su*+contractors
<RP pro)ect management consists o" a strong team-or/ too much. hereas> -e sometimes
-ould pre"er indi,idual -or/ though they /no- a*out us "riendly> Ae#i*le> large and
hospitality. 'ut here in our country e,ery*ody -ants to *e leader though they ha,e not
suHcient /no-ledge and e#perience. In this point> pro)ect manager can *eha,e emotionally
instead o" *eing logical. SAP pro)ects re6uire ,ery serious and organi2ed team-or/. May *e
module or group leaders can *e authori2ed more administrati,ely.
In 9ur/ey> decision ma/ers *elie,e that they ha,e a licensed product and that is
-hy pro)ect management costs li/e consultancy and training can *e ignored. 9hey do not
-ant to pay e#tra money "or consulting and trainings. :urthermore> SAP or *usiness
partners cannot clearly e#plain a*out the costs in detailed -ithin sales process. @r they
cannot pre"er to tell potential clients at the *eginning. :or them
105
is sometimes important to sell the product license only. hereas they must identi"y all
the costs> *ene(ts> ad,antages and e#pectations in detailed. So let them e,aluate the
system completely.
hen they are not satis"actory trained in pre sales step> some parties in pro)ect can *e get
in trou*le in time. 'eside that> users sometimes donGt get interested in agreement
conditions a"ter sales and lea,e it to the pro)ect manager. In this case> pro)ect managers
can *e con"used dependently. Pro)ect manager must *e close to decision ma/ers.

In local mar/et implementations> one o" the pro*lems is not to use a strong methodology or
not apply it as all *ecause o" time limitation. I" time is so limited then pro)ect gets smaller
and some modules or process can *e ignored. In this case li,e system cannot run
success"ully. And it needs impro,ement continuously. Instead o" this> i" they separate time
to impro,e their process> it -ill possi*ly *e much more producti,e.

9he reason o" al-ays change is e#actly the partial implementation. 9hey donGt let them "or
"ull implementation as they donGt -ant to gi,e them too much time "or implementation.
People or pro)ect resource is generally "rom the company and they ha,e responsi*ilities
*oth "unctional and pro)ect tas/s. Post implementation they are going *ac/ their "unctional
roles immediately. 9his is a part o" pro*lem o" resource assignment.
As part o" our culture> -e manage the pro)ect emotional and handle the time management.
It al-ays ta/es more time and so -e ha,e to "ace and discuss concerning *udget and time
"actor se,eral times. In the mean-hile pro)ect managers can change or rearrange. 9his
is also -aste o" time. In country sometimes the decision ma/er cannot moti,ate pro)ect
people good> they change )o* in the middle o" the pro)ect or some time. 9his changes arenGt
good "or the pro)ect. 0ecision ma/ers should learn ho- to moti,ate the pro)ect team. 9hey
al-ays thin/ a*out i" they lea,e )o* then they can (nd the ne- one. 'ut such pro)ects li/e
SAP needs ,ery 6uali(ed people and they try not to loose the SAP employees. @ther-ise
SAP pro)ects ta/es much time and ne,er (nali2e.
Another matter is a*out *usiness consulting. Multinational companies usually sign a contact
-ith a SAP consulting partners to help them in process analy2ing and designing. 'e"ore
installation> it pro*a*ly re6uires a process analysis and design -or/. 9his phase is a,aila*le
in most o" the SAP methodologies. 'ut here they cannot pre"er a process engineering or
reengineering *ecause o" the (nancial matters. 9hat is -hy implementation starts -rong
and -ithin the pro)ect they "eel a need to change some things. 9his outcome is also one o"
the "actors> -hich cause e#tra time.
In local mar/et> multinational corporations are more success"ul than local companies as
they use the glo*al methodology and they esta*lish a good team in terms o" international.
Also multi cultural team gi,es much more *ene(ts and ad,antages into SAP
implementations. 9here they apply more stricter and planned tas/ management. Perhaps>
to use the ready templates is more practical "or pro)ect team *ut they can not add a ,alue
e#tra. ithin SAP implementation they should change some -rong process and per"orm a
engineering or re+engineering "or this reason. SAP implementation is not installation and
data con,ersion only.

I" the steering committee mem*ers or plants in 9ur/ey -ish ,ery success"ul pro)ect
management> then -e ad,ice to ta/e care o" the "ollo-ingsD
0 Strong stress management
1 Moti,ation and support
2 0ateline
3 'usiness or consulting Partners
4 Process <ngineering
5 =ood license contract
6 =ood maintenance contract
7 Pro)ect control and documentation
8 !ot too much load *ut enough
9 Sharing ris/ and *ene(t
106

C#apter / Implementation E4periences
/. CA%E I = P*I.IP M899I%


Company Pro?le
e orld
rris in th
0 Philip Mo

Philip Morris is the *iggest company in the sector o" pac/ed consumption goods
in 288 countries all o,er the -orld. In 2888> the general *udget o" the company
e#ceeded 58 *illions .S dollars. Philip Morris companies can *e grouped asD
Philip Morris .SA> Philip Morris International> Era"t :oods !orth America> Era"t
:oods International> Miller 're-ing Company and Philip Morris Capital
Corporation. ith a history o" $8 years> the num*er o" ur/ey
total employees is appro#imately 145888. ---.philipmorris.com
orris in 9
0 Philip M
0- Philsa Nea" @Hce> @riental 9o*acco purchases
1- PM in Woint Tenture -ith Sa*anc
2- Philsa %41:21&D Cigarette Manu"acturing %employment: 488&> Agronomy
%2888 "arming "amilies&
3- PMSA %41:21&D 0istri*ution S Sales %employment: 588&
4- Marsa C EWS Marsa Era"t + Sa*anc WT $7:11
5- Era"tsa Era"t + Sa*anc WT 11:$7
hilsa +
0 A*out P
AK
P#ilsa0 P#ilip Morris %a@ancL %igara ve "MtMncMlM2 %anayi ve "icaret
0- !um*er o" <mployees: 488
1- A,erage Age o" the <mployees: 3$.5
2- A,erage length o" Ser,ice o" employees in Philsa: 4.1 years
3- 0epartments: Production> <ngineering> Administrating Ser,ices>
Production Ser,ices> <n,ironment> ;ealth S Sa"ety Ser,ices> ;uman
Resources> In"ormation
0& Communication Ser,ices> :inance> Institutional Relationships
0- Production: 9he "actory produces pac/ed cigarettes -ith (lter> -hich
are distri*uted and sold in 9ur/ey.
Products( 9he *rands are Marl*oro> Parliament> Chester(eld> Nar/> NSM.

CompanyNs E9P Approac#(


9ur/ey is one o" the /ey aHliates in <urope -ho produces and distri*utes cigarettes. 9he
philosophy o" our company is to share good ideas and *est practices and i" possi*le
accomplish this centrally instead o" re+in,enting the -heel se,eral times. 9his philosophy is
,alid in IS side as -ell. Selecting SAP as an <nterprise Resource Planning pac/age -as the
e#ample o" this central decision ma/ing process. As PM 9ur/ey> -e did not spend time to
e,aluate se,eral <RP pac/agesli/e SAP -as chosen "or us *e"ore.

"#e Pro!ect P#ases(
As PM International -e had pro)ect management %PM+PM& and pro)ect e#ecution
methodologies. PM tailored Method+1 methodology -as the pro)ect e#ecution methodology
once -e started our pro)ect. 9here"ore> -e started our pro)ect -ith those methodologies and
prepared pro)ect
Deleted(



Deleted(
107
de(nition plan according to PM+PM. hen -e chec/ed the ASAP methodology> -e
decided to use this methodology "or SAP Pro)ect <#ecution Methodology. In ASAP
there -ere 1 main phases:
Pro!ect Preparation( 9his phase -as the heart o" the pro)ect -hen all *udgeting> scooping>
planning> implementation strategy and resource arrangements -ere handled. Also
team orientation> team training and AS+IS studies -ere done during this phase.

Business Blueprint( In this phase *usiness processes o" our company and SAP R/3 *usiness
*ac/ground -ere comprehended and tried to *e matched as much as possi*le.
9ealization( In this phase SAP R/3 -as con(gured> necessary reports> inter"aces> con,ersion
programs and authori2ation set up -ere completed and tested in detail.
7inal Preparation( 9his phase -as )ust "or preparing production en,ironment in *oth technical
and user -ise. .sers -ere trained> data -ere loaded> cuto,er studies -ere handled
and technical production en,ironment -as prepared.
<o0live and %upport( 9his -as the last phase o" the pro)ect and supporting the li,e operation
and (ne+tuning studies -ere done.
Pro!ect Implementation
1. Pro!ect Preparation(

. Pro!ect Bac2ground
In 1773 SAP Pac/age and its *ene(ts -ere presented to our top Management and they decided to
implement SAP in 9ur/ey as soon as possi*le. It -as decided that C2ech Repu*lic -ill *e the (rst
to implement SAP in the regionD there"ore they -ill start their SAP implementation pro)ect in 1773.
In 1773 -e sent t-o o" our colleaguesD "rom IS and :inanceD to C2ech Repu*lic to
participate to their pro)ects and ha,e an idea a*out the implementation. IS person
participated to SAP e#ecution methodology selection and the :inance one -as
in,ol,ed in in,estment *udget implementation.
In 1774 our top management decided to start SAP Pro)ect and this decision -as appro,ed *y the
region as -ell. At that time -e had t-o small pac/agesD one "or :inance %=N> A/P> A/R& and
the
other "or In,entory Mo,ements %purchasing> stoc/ mo,ements> costing> spare
parts&. 9he pac/ages -ere used to their ma#imum e#tent. Although lots o" eBort and
attention -as spent trying to integrate these systemsD they -ere not a*le to *e
integrated due to the in"rastructure
and design *ehind. 9his caused unnecessary ineHciency> redundant data entry and no
automated cross+chec/ing due to in"ormation maintained on indi,idual systems.
Additionally> the installed pac/ages could not support all the *usiness "unctionality that -e
-ould li/e to implement such as:
0 :i#ed assets integration -ith In,estment *udget and Accounts Paya*le
1 Purchasing cycle has se,eral manual chec/s> ineHcient controls
2 :inancial Management Reporting
3 In,estment 'udget and Pro)ect control
4 'udgets are not integrated -ith actual
5 Most o" Internal controls are paper *ased
6 Cash :lo- :orecast
7 Spare+parts Statutory in,entory ,aluation

Continuously a *ig part o" IS and end user department resources -ere dedicated "or support>
maintenance and enhancement o" these non+integrated e#isting systems. ;o-e,er> due to
the
D
e
l
e
t
e
d
(

>
108
diBerent technologies *eing used> these resources -ere not used to their ma#imum e#tent
and common *usiness practices throughout the company -ere diHcult to implement.
Moreo,er the pac/ages -ere not ?ear+2888 compliant and needed capacity limit
modi(cations *e"ore the year 1777.
It is "or sure that the potential o" the old systems -as e#hausted and their ?ear+2888 issue
-as the last drop. Also dynamic *usiness re6uires 6uic/ adaptations in the systems and our
systems could not ans-er these /inds o" re6uests. All o" these "actors triggered the ne-
syst
em
imp
lem
ent
atio
n.
D
e
l
e
t
e
d
(

>
.$ Implementation %trategy(
e decided to implement our pro)ect -ith *ig+*ang approach *ecause -e needed to ha,e
the integrated system "unctions immediately. Also it -as a good opportunity to thin/ the
processes glo*ally and set up the system accordingly. It -ould reduce redundant
customi2ing and ha,ing inter"aces. Again i" -e -ished to implement the *est practices in
our *usiness> it -as *etter to concentrate "or the -hole and design the system "or once.
9he "all*ac/ o" the *ig *ang approach -asD more resources -ere re6uired than the
phased approach *oth during the pro)ect implementation and the support phases at the
*eginning.

.& 8@!ectives
@ur pro)ect o*)ecti,es -ere:
Deleted(
0 9o create a "ast> Ae#i*le and integrated system
1 9o ensure eBecti,e long+term support to our organi2ationGs needs and re6uirements


Pro)ect Announcement: @ur top management made an announcement in Wuly 1774 to all
employees that PM 9ur/ey SAP Pro)ect had started and -ould *e completed in 0ecem*er
1775. 9he o*)ecti,es o" the pro)ect and all o" the pro)ect mem*ers including ,acant
positions -ere announced.
109
.) Pro!ect 8rganization(


Steering Co!!ittee




ro&ect /anager0 1#er
ro&ect /anager0 ICS
ro&ect 2+0
/ethodology
Security and Integration
ro&ect Leader#
Operation#0
Finance0
ICS


Finance ro&ect *ea! Operation# ro&ect *ea! ICS ro&ect *ea!
7igure( 8riginal pro!ect organization


%teering Committee( =eneral Manager> :inance 0irector> @peration 0irector> Sales 0irector and IS
0irector in ;Q -ere the Steering Committee Mem*ers.
Pro!ect "eam(

It -as decided to set up a pro)ect organi2ation -ith 15 "ull+time mem*ersD 1 "rom
@perations> 1 "rom :inance> 4 "rom IS and 1 "rom Internal Control departments. e had
e#periences *e"ore -ithout "ull+ time assignments *ut in those cases it -as really diHcult
"or one person to concentrate to the pro)ect totally. All o" the e# positions o" the
mem*ers -ere replaced *y other people and e#isting *usiness ha,e not *een
interrupted.
It -as a -ell managed tas/ *ecause all o" the pro)ect mem*ers had *usiness e#periences
and /no-ledge to dri,e the pro)ect properly and in addition> also their replacement did
not create a ma)or pro*lem in the *usiness. 'esides> our management considered the
career plans o" the people *ecause pro)ect in,ol,ement al-ays impro,es peopleG
/no-ledge> conceptual thin/ing> presentation s/ills and management capa*ilities.
Pro!ect Managers( @ne o" the diHcult tas/s in the pro)ect -as selecting the Pro)ect Manager/s. In
our case it -as decided to ha,e t-o Pro)ect ManagersD one "rom IS and one "rom the
'usiness side. It -as common to ha,e a IS Pro)ect Manager *ut uncommon to ha,e a
'usiness Pro)ect Manager. Actually our management -anted to ha,e a mi#ture o" IS S
'usiness. Managers -ere complementary in terms o" *usiness and technical /no-ledge.
It -as easer "or a user to communicate -ith a *usiness person rather than a technical
one. 'esides> there -ere some speci(c tas/s "or IS and some "or 'usiness.
110
Pro)ect managers -ere ,ery good in Pro)ect Management s/ills starting "rom planning
to presentation s/ills. 9hey had e#perience *e"ore -ith the same si2ed pro)ects
and one had international pro)ect e#periences as -ell. 9hey -ere ,ery good in people
management> leadership and communication s/ills. It -as also considered "or them to
ha,e an e#perience to lead international team and/or interdisciplinary team. 9hey had
,ery good net-or/ in the company and could easily reach the in"ormation /no-ing -ho
to contact.

Pro!ect .eaders( Pro)ect leaders -ere selected "rom IS> @peration and :inance. All o" them had
,ery good *usiness or technical /no-ledge as -ell as ha,ing leadership s/ills and
achie,ement orientation s/ills.

Pro!ect Mem@ers( 9he pro)ect mem*ers -ere also selected *y considering their *usiness and
technical /no-ledge. All o" them -ere good in communication and team -or/ing
concepts. Most o" the people in the pro)ect had 3+1 years e#periences *e"ore )oining this
pro)ect and they -ere all -illing to learn more> achie,e more and ma/e changes> i"
necessary.
E4ternal 9esources( It -as decided to start -ith SAP S-it2erland and 0eloitte+9ouche %S-it2erland&
"or SAP Pro)ect Management consultancy and Quality Assurance re,ie-s and in addition I+
'IMSA %9ur/ey& "or pro)ect e#ecution %"unctional side& and training. 9hen> -e -or/ed -ith
a ,ariety o" consultants "rom se,eral companies and countries. :or technical side -e
-or/ed -ith ICC %9ur/ey& and 9ata %India&.
., Pro!ect 7acilities(

@ne *uilding -as esta*lished "or our pro)ect close to the "actory area. SAP 'uilding -as
ready as o" Septem*er> 1774. It had one open area "or the team mem*ers and the
consultants and separate rooms "or the team leaders and the pro)ect managers.

9hree pool cars -ere assigned to the team in order to allo- Ae#i*le time -or/ing periods>
late lea,ing and -ee/end hours. 9he photocopy machine> "a# machine -ere leased.
9emporary helps -ere hired "or pro)ect administration and secretarial tas/s.
.- %cope(

<nterprise areas> scenarios> processes:
9here -as a list o" enterprise areas in ASAP and re"erence model in SAP> -hich helped us to
de(ne initial scope. e started -ith V<nterprise Area ScopeG. hen -e chec/ed
enterprise areas and the scenarios -e decided to implement:
0 Procurement Nogistic>
1 Production Nogistic>
2 Sales logistic partially>
3 <#ternal accounting>
4 :inancial Mgmt>
5 'usiness Planning and Control
It -as decided to implement Plant Maintenance and @rgani2ation and ;uman
Management in Phase II %1777 and later&.

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9hen -e -or/ed together -ith the consultants to determine in+scope scenarios and
processes. e used 'PMN %'usiness Process Master Nist& to mar/ the processes that
-ould *e co,ered during the implementation. 9hat -as high le,el o" scope determination
and (ne+tunings -ere done a"ter the -or/shops -ith user departments.

./ %cenarios Planning


Enterprise Areas %cenarios
Procurement
Modules
Nogistic Processing Stoc/ materials AM Asset Management :I+AA
Processing consum. mater C@ Product Costing C@+PC @,erhead
Management o" consignment stoc/ C@ Management C@+@M
Su*contract order process :I Accounts Paya*le :I+AP <#ternal
Ser,ices Management :I =/N Accounting :I+=N Quality management
in procurement :I :inancial 'udget Comple# procedure "or
in,estment%CAP<R& MM Purchasing strategic MM+C'P Purchasing
MM operational MM+P.R
MM =oods accepted MM+IM MM
In,oice Teri(cation MM+IT MM
Tendor
QM Quality Management QM+IM
PP Materials Planning PP+MRP
112
PP Production PP+R<M PS Pro)ect
System PS+<R< S0 Sales
operation S0+SNS 9R Cash
Management 9R+CM


Enterprise Areas %cenarios Modules

Production Nogistic Processing consuma*le mater. AM Asset Management :I+AA
@,erhead
Management o" consignment stoc/ C@ Management C@+@M
Su*contract order processing C@ Pro(ta*ility Analysis C@+PA Product
Cost
Repetiti,e manu"acturing C@ Accounting C@+PC
Process manu"acturing :I =N Accounting :I+=N Purchasing
Quality management in production MM operational MM+P.R
Cost o*). Contr. during repetiti,e prd MM =oods Accepted MM+IM Cost
o*). Contr. during process
manu"acturing PP Materials Planning PP+MRP PP Production
PP+R<M PP Wo* preparation PP+S:C QM Quality
Management
Enterprise Areas %cenarios Modules

Sales Nogistic Standard @rder handling S0 Sales S0+SNS 9hird+party order process
S0 Shipping S0+S;P
S0 'illing S0+'IN
:I Accounts Recei,a*le :I+AR



Enterprise Areas %cenarios
<#ternal
Modules
Accounting Tendor Processing :I Accounts Paya*le :I+AP @ne+time ,endor :I =N Accounting :I+=N
Accounts
Tendor *ranch/head :I Recei,a*le :I+AR
Customer processing AM Asset Mangement :I+AA @ne+time customer MM Tendor
Customer *ranch/head MM In,oice Teri(cation MM+IT =eneral Nedger C@ Product
Costing C@+PC Consolidation MM =oods Accepted MM+IM In,entory
:i#ed asset processing C@
Accounting C@+PC
@,erhead
NTA processing C@ Allocation C@+@M
Neased asset process PP Production PP+R<M
Special Purpose Nedger S0 Customer
:I 'illing :I+AR
:I :inancial 'udget
9R Cash Management :I Negal Consolidation :I+
NC
113
:I Special Nedger :I+SN
Enterprise Areas %cenarios


:inance Mo
dul
es
9
R
+
Management Cash Management 9R Cash Management CM
Enterprise Areas %cenarios Modules
'usiness Planning and
Control
Comple# Procedure "or
In,estment measure %CAP<R&
C@ @,erhead Cost Controlling
@,erhead management -ith
static standard costing PS Pro)ect Controlling Cost
@*)ect controlling during
process manu"acturing C@ Product Cost Accounting Cost
@*)ect controlling during
repetiti,e manu"acturing C@ Pro(ta*ility Analysis
Pro(ta*ility analysis -ith static
standard costing Account *ased pro(t center
accounting using the period acc method
AM Asset Accoounting
Account *ased pro(t center
accounting using the cost o" sales
method



.6 Pro!ect %tandards(
PDP FPro!ect De?nition PlanG( It had se,eral sections li/e descriptions> *ene(ts> scope> pro)ect
approach> cost+*ene(t analysis and ris/ assessments. 9his document -as re6uired
*e"ore starting the pro)ect.

%AP Pro!ect Implementation tools(
"#e 9eference Model( In 'usiness <ngineering -e decided to use Process Model in R/3 Re"erence
Model. It -as possi*le to use *oth component ,ie- and process Ao- ,ie- to use <PC
diagrams %<,ent+0ri,en Process Chain&. e pre"erred to use Process :lo- ,ersion o" ,ie-
*ecause process Ao- sho-ed us *usiness *ac/ground o" the SAP. In addition> to
understand *usiness> it -as also possi*le to reach help documents -hen necessary and
reach transactions -hen -e -ant.
"#e Procedure Model( 9he procedure model -as the implementation methodology o" SAP. It -as
good to start reading sections o" Procedure Model to "amiliari2e the SAP terminology and
step *y step implementation steps.
A%AP( 9hat -as the ne-ly announced product in 1774. e got the training "rom SAP =ermany. 9he
tool -as help"ul to de(ne roadmap o" the SAP pro)ect implementation and also it had
accelerators to help pro)ect managers. e decided to use ASAP methodology "or the
e#ecution o" the pro)ect to *e in+line -ith its steps in the roadmap and use templates to
de(ne pro)ect standards.

.ive Model and Disio( 9heir usage -as limited *ecause o" ha,ing single license and their
comple#ities.
114
M% 8'ce tools( <#cel -as used during some documentation. ord %in doc and html "ormat&
-as mainly used in CI 9emplates> 'PPs> or/shop documents> minutes o" meetings and in
user documentation %;9MN&. Po-erPoint -as mainly used in presentations and MS Pro)ect
-as used in pro)ect planning.
.A Pro!ect Communication %tandards(

Pro!ect Communication(
Pro)ect Communication -as the ,ital part o" the pro)ect. Communication included *oth
the internal and the e#ternal team and their communication -ith the Steering
Committee> po-er users> other company people and the communication -ith the pro)ect
management and -ithin the team.
9he (rst communication -as made *y our management to ma/e the company a-are that
the SAP Pro)ect has started> to announce the o*)ecti,es o" the pro)ect and state the
details o" the pro)ect organi2ation.
<ach month pro)ect status -as sent to the management and each 6uarter Steering
Committee meetings -ere held to discuss the issues and ta/e the necessary actions.
Also Po-er users -ere selected and communicated *e"ore starting 'usiness 'lue print
phase. Also they -ere /ept in"ormed a*out the -or/shops> prototypes> appro,al o"
''PGs> integration tests and user training phases.

Internal communication -as also ,ery crucialD each -ee/ team meetings %separate "or
each group&> pro)ect management meetings and -hole team meetings -ere held.
9he pro)ect going+li,e announcement -as also an important announcement> people -ere
made a-are a*out the change and ho- they -ould get support -hen necessary.
1. B Meeting standards(
Before t#e meeting( 9he meeting schedule should *e sent to the rele,ant people -ith mentioning
theD type o" the meeting %Steering Committee> Pro)ect Neaders> 9eam> etc&> date> time>
location> agenda and duration o" the meeting.
During t#e meeting( 9he status o" the pro)ect and update on outstanding action points should *e
discussed. 0ecisions ta/en and ne- re6uired actions should *e -ritten.
After t#e meeting: 9he minutes o" the meeting should *e prepared and sent. Action items should *e
assigned to the rele,ant people and decisions ta/en during the meeting should *e -ritten
"or appro,al.
%tatus 9eports( <ach team mem*er should prepare a time sheet "or each -ee/. In these sheets
people need to sho-:
0 9as/
1 9ime spent on this tas/
2 9as/ completed or on+going
3 @,ertimes

9he time sheets o" the e#ternal resources should *e signed *y the rele,ant Pro)ect leader
"or appro,al. Monthly -or/ plan should *e prepared *y the Pro)ect Managers.


. Documentation standards(
115
9he templates -ere prepared using ASAP accelerator "or minutes o" meeting> time+sheet>
-or/ plan> CI 9emplate %''P 0ocuments&> Customisation 0ocuments> A'AP Spec
de(nitions> <nd+.ser documentation> Issue :orm> Change Re6uest :orm> @SS Corrections>
Acton lists> etc. All o" the standards -ere communicated -ith the team *y ha,ing
-or/shops.
.$ Issue *andling(

Issue handling procedure -as prepared:
0 9o esta*lish eBecti,e procedures and to manage and resol,e a -ide range o" ongoing issues
that occur throughout the pro)ect.
0 9o ensure the issues are documented properly and resol,ed in timely manner
1 Communication critical path
0? <scalation "rom the team mem*er to the leader
1? <scalation "rom the team leader to the management
2? <scalation "rom the management to the Steering Committee

It -as decided to escalate one issue "rom the team mem*er to the leader in one day. I"
the solution is not possi*le at that le,el> then escalate the issue "rom the team leader to
management in one day. Again> i" necessary the escalation time "rom the pro)ect
management to the Steering Committee should *e completed in one day. 9here"ore> the
total duration "or one issue should not e#ceed 3 days.
C#ange Management( 9he changes in scope should *e appro,ed *y the Steering Committee. 9he
log should *e /ept "or the changes.
Planning and Monitoring( 9he planning and monitoring ASAP Plan -as used -ith MS+Pro)ect.
ee/ly time sheets -ere used to record actual. 9he tas/s -ere classi(ed as completed>
in+progress> QA chec/ and not rele,ant.

%ynergy( PM C2ech> PM S-iss and PM ;olland had already implemented SAP R/3 and -e had
synergy ,isits to understand their set up and get their documentations. Synergy options
-ere PM 'usiness /no-ledge %to chec/ *etter *usiness processes&> PM pro)ect
e#periences> PM SAP e#periences> PM pro)ect documentation> SAP contacts and lessons
learned sections. e shared lots o" solution -ith C2ech Repu*lic *ecause o" the common
issues. hen -e had chec/ed the synergy opportunities> -e "ound out that in,estment
*udgeting> Cost Center Accounting> Product Costing> production planning and
management reporting acti,ities -ere the high synergy opportunities> *ut the other sides
-ere not sharea*le.
A%0I% Documents( e de(ned series o" ,isits to the *usiness "or understanding their current
processes. All o" the (ndings -ere documented under AS+IS documentation. 9hese
helped us to gi,e an orientation to the team in *usiness and ha,e documentation a*out
the processes *e"ore the SAP implementation. In AS+IS documentation> -e de(ned our
current *usiness processes> the in+use applications and their relation in+ *et-een.
.& "eam training(

e classi(ed the trainings as Ne,el 1 %)ust o,er,ie- in"o& and Ne,el 2. 9he trainings could
*e ta/en "rom local companies or "rom SAP .E *ut the last option -as to ha,e
customi2ed trainings in our premises. e pre"erred to ha,e customi2ed trainings in our
premises in order to s6uee2e the trainings into one month.
;o-e,er> -e sent people to SAP .E and 9ur/ey to participate the scheduled trainings.
hen -e chec/ed the local training and consultancy companies> -e decided to hire
consultants "rom I+'imsa %SAP partner& and ha,e customi2ed trainings.
116
@,er,ie- trainings %Ne,el 1&: e decided to gi,e :I> C@> MM> PP and S0 o,er,ie-
trainings to the -hole team mem*ers to integrate the teams and to reali2e the touching
points properly. e arranged se,eral o,er,ie- sessions to handle these trainings.

Ne,el 2 trainings: e chec/ed the *usiness /no-ledge o" our team mem*ers and
prepared one matri# a*out -hich mem*er -ould -or/ in -hich enterprise area. :or each
enterprise area -e de(ned speci(c trainings. :or e#ampleD "or the Production Nogistic
enterprise area> it should *e PP training> C@+Product Costing and MM C In,entory
mo,ements. 9here"ore> -e prepared cross module training *ased on enterprise areas.
9otal training days at the *eginning -ere 211 days and in :I> C@> MM> PP and S0.
2. Business Blue Print P#ase(

;e+ 8rganization in BBP P#ase(
e "ocused on enterprise areas and scenarios in ''P Phase so -e changed our
organi2ation in+line -ith the enterprise areas. 9he ne- structure -as:


teering Co!!ittee .
/P0



ro&ect /anager#
IC 1 23-
Project 4rou$
rocure!ent
Project 4rou$
roduction
Project 4rou$
External +ct7Finance
Project 4rou$ Project 4rou$
*echnical7De'elop!ent Security


;e+ roles in t#e organization(
117
(OD1C*IO3 LO"IS*ICS
B1SI3ESS (OCESS O83E(
Factory /anager



roce## *ea! Leader
ro&ect Leader


roce## *ea! /e!%er#
Operation# /e!%er 9prod.: Finance /e!%er
9co#ting: IS /e!%er 9technical: Internal +uditor
9audit:
Con#ultant#
CO;C
o<er 1#er#
roduction lanning Finance
9Co#ting: 8arehou#e
2
+





BP8 FBusiness Process 8+nersG(
'P@ is a management le,el person -ho o-ns the *usiness process "rom a strategic point
o" ,ie-> ensure the *usiness targets and o*)ecti,es are met *y SAP system and is
ultimately responsi*le "or appro,al o" the SAP solution "or their *usiness area%s&. 'P@s
allocated 18P o" their time to the pro)ect. @ur @peration Ser,ices manager *ecame the
'P@ o" the Procurement group> our :actory Manager *ecame the 'P@ o" the Production
group and our :inance Manager *ecame the 'P@ o" the <#ternal Accounting and :inance
=roup.
Process "eam .eader( S/;e has o-nership o" the process area and pro)ect deli,era*les and has to
de,elop and manage scope> assign and schedule resources and responsi*le "or
identi"ying the impacts and re6uirements "or the processes. Process team leader also
needs to ,eri"y that the *usiness
o*)ecti,es are *eing met *y the SAP pro)ect team.

Process "eam Mem@er( Process team mem*er is responsi*le "or analysis and decomposition o" the
*usiness processes> documenting the *usiness process re6uirements and designing and
con(guring the SAP system to support the organi2ationGs process ,ision.
Po+er User( Po-er users are responsi*le "or pro,iding all o" the re6uired speci(c in"ormation>
documentation and data "or success"ull implementation and assits in documentation>
re,ie- and appro,al o" re6uirements along -ith su*se6uent testing o" SAP solution to
meet these re6uirements. 9hey allocated 38P o" their timings to the pro)ect. 25 Po-er
.sers -ere selected "rom the rele,ant
*usiness departments.


BBP Documents( 9he o*)ecti,e o" the ''P documents is to prepare the *ase "or PM 9ur/ey SAP R/3>
to de(ne *usiness re6uirements o" the company and to design *usiness on SAP R/3.
0uring the ''P preparation -e used:
0 AS+IS 0ocumentation
1 Synergy documentations -ith other aHliates
2 SAP R/3 <PC 0iagrams>
3 'est 'usiness Practices
4 or/shop minutes and the proposed *usiness de(ned *y/-ith Po-er users.
118

''P documents -ere prepared "or each selected process and discussed during the
-or/shops. @,er 388 ''P documents -ere prepared. 9he content o" the ''P -as the
same as the CI template o" ASAP methodology starting "rom re6uirements and
e#pectations and ending -ith screen (elds.

Protot"$e 2
Part 2 # 5ll cenarios
Part 1 # 0ther cenarios
Protot"$e 1
Part1#6ain cenarios



7a Fe( 6ar 5$r 6a" 7un



5or2s#ops( 0uring the -or/shopsD *usiness processes -ere discussed> *usiness re6uirements -ere
agreed on -ith po-er users> rele,ant SAP processes -ere e#plained and *usiness
re6uirements -ere tried to *e matched -ith SAP solutions. Also "urther and "uture
impro,ements and *usiness changes -ere co,ered. 'e"ore each -or/shop> the agenda
and schedule -ere sent in ad,ance. A"ter each -or/shop> minutes o" meetings> action
points and open issues -ere sent to the po-er users and 'P@s. More than 38 -or/shops
-ere held.
Prototype I( 9he o*)ecti,e o" prototype I -as the simulation o" core *usiness re6uirements in SAP
R/3. <,ery selected process -as demonstrated to po-er users *y using presentations
and SAP R/3 system.
Prototype II( 9he o*)ecti,e o" prototype II -as to present the SAP solution "or the *usiness
re6uirements in an integrated system> get con(rmation "rom the users that all
deli,era*les -ere completed and accurate> o*tain sign+oB to proceed to customisation
and con(guration. 9he second prototype -as the integrated prototype and it too/ start
-ith creating sales "orecast to production planning and purchasing and producing
necessary items and selling them. Also all support and control processes -ere presented
%li/e assets> cost center reporting> in,estment controls> etc&. It too/ 4 days to complete.
Prototype data and cases -ere prepared *e"orehand and all o" the groups used the same
data to sho- the cycle properly. 9hen sign+oB -as o*tained "rom 'P@s and po-er users.


3. 9ealization P#ase(
Con?guration>Customisation( 9he o*)ecti,e o" the customisation documentation -as:
0 9 register customi2ing outside o" SAP>
1 9o gi,e additional pro)ect speci(c in"ormation to pro)ect mem*ers -ho -ill maintain the
customi2ing in the "uture
0 9o get appro,al -ithin the team on common parts o" customi2ing
1 9o de,elop a re+usa*le document "or the ne#t phases
2 9o "orce teams to go through e,ery customi2ing point
9he document had the "ollo-ing properties:
0 9he structure o" the customi2ation document -as> according the IM=:

119
o A customi2ing menu o" one module -as di,ided and descri*ed in se,eral
customi2ing documents
o @ne customi2ing document descri*ed a group o" customi2ing points
0 <,ery customi2ing document -as assigned to one pro)ect team
1 9he customi2ing documents -ere de,eloped in MS+ord *y using the template and sa,ed as
;9MN

9he content o" the document -as:
0 9a*le o" contents
1 Tersions
2 Customi2ing
0? Comments
0 0escription o" use in pro)ect
1 )usti(cation o" current content
2 Considerations on "uture maintenance
0? Content o" customi2ation ta*le
A*out 3888 items -ere documented and stored in Intranet "or "urther use.



































Conversion(

120
:irst> all re6uired o*)ects need to *e con,erted -ere listed and in,entory o" *usiness
o*)ects and SAP o*)ects -ere prepared. 9hen> type o" the con,ersions -as decidedD li/e
manual or *atch input. Some o" the o*)ects -ere created manually li/e 'ill o" Material *ut
some o" them -ere trans"erred using *atch inputs li/e Chart o" Accounts. 9he order o"
loading process -as de(ned. :irst =N Accounts %'/S> P/N& -as loaded> and then Tendors>
Customers> Cost Centers> Assets> Pro(t Centers> Material Master> '@M> etc. "ollo-ed.

:or the *atch inputs re6uired (elds -ere de(ned> e#isting systems -ere chec/ed i" it -as
possi*le to get data "rom them. Most o" the case data -ere in need to *e manipulated or
re6uired additional (elds. 9here"ore> e#cel sheets -ere prepared to prepare data. 9here
-ere t-o types o" data that should *e con,ertedD master data %li/e Material Master& and
transactional data %li/e open purchase orders&. :or the transactional data it -as decided
not to load historical data to the system and to stop the transactions as early as possi*le
considering the going+li,e date. :or e#ampleD to stop opening purchase orders 3 days
*e"ore and not recei,ing goods 1 day *e"ore the going+li,e date.

Appro#imately 28 con,ersion programs -ere prepared and some other entries -ere made manually.
Interfaces(
9he in,entory o" the inter"aces -as de(ned. I" there -ould *e a replacement plan "or the
other systems in near "uture> inter"ace -as not de,eloped. :or the VmustG inter"aces the
speci(cation documents -ere prepared and the codes -ere de,eloped. 9esting -as done
specially to ensure that the inter"aces -ere -or/ing. At that time the only "easi*le
inter"ace method -as te#t (le loading inter"ace and the inter"aces -ere de,eloped -ith
this method.

9eports(
All o" the report re6uirements -ere de(ned and prioriti2ed. <#ternal A'AP resources -ere hired and
the team started to de,elop reports "rom the high priority ones to the lo- ones.
7inal Integration "est(
9he o*)ecti,e o" the integration tests -ere "unctional ,eri(cation o" the producti,ity o" the
system> simulation o" li,e operations> ,eri(cation o" *usiness dependencies and
,eri(cation o" ne- programs. It -as decided to ha,e 3 integration testsD (rst inside the
team> second together -ith /ey users and third "or technical aspects %li/e printers>
authori2ations> stress test> ?2888 compliance> etc&. 9ests started -ith master data entry
and continued -ith "orecasting> planning and then purchasing> production and sales
cycle. All rele,ant support "unctions -ere chec/ed alsoD li/e costing> (nance> reporting>
etc. It too/ 11 days to co,er the (rst test and 11 days "or the second one. All o" the
issues and action points -ere highlighted and planned to *e sol,ed *e"ore starting the
end+user training.
Planning P

121
Aut#orization concept(
An authori2ation is the pri,ilege to per"orm a transaction in SAP. 0uring our pro)ect> *y
chance> there -as an initiation in the region to implement SAP Security =uideline. .sing
our ''P> -e prepared Wo*+ Role Matri#. .sing the Wo*+Role Matri#> -e created acti,ity
groups and then pro(les -ere generated.












T8S: F F5ACT("A








1le#ible Planning for Sales Planning 2..P!"1-3S
Mat.Mast. M4P( )or5 Scheduling( Sales &rg. 'ie6 for 1G 7 S1 289M!"MDA: 3
Material Master M4P( %asic Data 'ie6 for 1G and semi 1G 289M!"M1D; 3
-ocal -eaf Purchasing and M4P 'ie6 289M!"M-ED 3

;et+or2 Infrastructure(
In order to esta*lish more relia*le and high per"ormance data communication
in"rastructure in 9ur/ey a ne- pro)ect -as initiated. e changed our net-or/
*ac/*one "or the ne- technology called :rame+Relay. e had also Satellite
connection "or *ac/up purposes.

4. 7inal Preparation P#ase(
D9P( :or disaster reco,ery purposes I'M I2mir 0RP oHce -as selected.

End0user training(
9rainings started in !o,em*er and completed in 0ecem*er *e"ore going+li,e. 238
people -ere trained in 53 diBerent classes. All o" the end+user documentation -as
prepared *y using MS+ ord sa,ed in ;9MN "orm.

122
123

CA%E II = 3A%A9 *8.DI;< <98UP
hy SAPF

9he in"ormation technology re6uirements o" ?asar =roup Companies ha,e *een meeting *y
?a*im> -hich is esta*lished "or this purpose in 1753. ?a*im> that has pre"erred .ni# as I9
plat"orm in 1755> -as ser,ing the user re6uests *y Co*ol *usiness applications.
Standardi2ation -as a,aila*le only in (nance applications o" the group. Nater on>
standardi2ation -as completed con,erting a ne- account system and -ithin group -as
started to use it. @n time> applications started to get ,arious pro*lems *ecause the
standardi2ation -as not a,aila*le in the *usiness processes *eside (nance. So ?a*im had to
de,elop ne- solutions a*out ho- to standardi2e. 'ecause the integration -as lea,ing in
time and so consolidation and reporting had started to ma/e diHcult as group or
community.
:urthermore> actual time had also started to increase and so in"ormation Ao- -as less sa"e.
?a*im started to loo/ "or a ne- eBecti,e solution. In that time Mr. Selcu/ ?asar> President o"
9he group companies> parallel suggested to implement a (nance pac/age and up to date
management in"ormation system.

It -as esta*lished a team o" 22 people and -as started to loo/ "or an integrated system.
9hey e#amined the leader <RP pac/ages in the -orld. Also they *elie,ed <RP ad,antages
and trusted the <RP logically. 9his in,estigation -as "acilitated especially a"ter Mr. Selcu/
?asarYs support. And at Sept. 1771 9hey decided that SAP is the *est *usiness solution "or
?asar =roup.
According to this decision> ?asar =roup -as the (rst local companies group> -hich decide
SAP system to implement in 9ur/ey. And so yasar group had a mission their SAP
implementation e#perience to trans"er into the other large companies in 9ur/ey.
A manager -ithin ?asar =roup is sharing his idea -ith the potential SAP clients as "ollo-sD

e initiali2ed this pro)ect *y a *ig e#citement . e are considering that -e ha,e
in,estigated not only "or today *ut also tomorro- and 21st century *ecause o" this pro)ect.


Pro!ect P#ases(

Support o" e#ecuti,es> and adoption o" company managements -ere t-o ma)or "actors o"
success. Pro)ect management team "ormed a"ter this support. Companies -ere as/ed "or
choosing mem*ers> 6uali(ed ones i" possi*le> "or the pro)ect team. SAP 9ur/eyGs
suggestions -ere considered "or choosing these mem*ers. :inancial manager summari2es
the "urther steps as: Z e -anted to (nd a name "or the pro)ect (rst. A 6uestionnaire
distri*uted and the selected name -as: AS9R@!> the star> in the name o"> enlightening our
studies. e used to ha,e some standards in our (nance department. In consideration o"
these standards> -e "ormed the the prototype o" our corporation -ith SAP. In"ormati,e
committee> -hich "ormed in this cooperation -ith SAP> -or/ed ,ery eBecti,e and helped us
,ery much in decision ma/ing steps. :inally> although there are some diBerences "or "ood
and dye groups> an :I prototype appeared "or the -hole corporationZ.

AS9R@! Pro)ect logistics manager shares his e#perience a*out the adaptation period as: ZA
team o" $+1 mem*ers can easily learn an SAP module in 3 months and apply "or their o-n
company in 3 months. 9he only condition "or this is (rmOs adoption and -or/ing in a
scheduled manner. @ur 2+year schedule -or/ed per"ectly "or the pro)ect. e o-e this
discipline to unconditional support o" ?asar "amily and e#ecuti,e committee mem*ers. 9hey
pro,ided us a ,ery special -or/ing en,ironment. Also the help o" ?asar corporati,e culture
and methodological -or/ing discipline -ere ,ery importantZ.

9he "ollo-ings are the reasons that e#ecuti,e oHcers o" 0?@SA0 A.S. and
0?@ Mat*aa M[re//epleri A.S. mentioned "or choosing SAP R/3:
0 More po-er"ul inter+company communication -ith the integration support o" SAP R/3 so"t-are.
124
0 <asily accessed and shared in"ormation
1 'enchmar/ing capa*ility -ith domestic or "oreign companies
2 Clari"ying -or/ing methods and standardi2ation
3 Increased control and e,aluation a*ility
4 Re"ormation o" the company organi2ation
5 0ecreasing stoc/ costs and "ollo-ing material circle
6 Reporting mechanisms that helps decision ma/ing steps
7 9he con(dence o" SAP on product and ser,ice
8 ith -orld-ide SAP R/3 so"t-are users> it is ,ery open "or de,elopment.
9 A*ility to -or/ -ith a totally locali2ed and translated so"t-are
10 9he modular structure o" R/3
11 ?2E support


CA%E III = BA%A9I *8.DI;<
BAKA9I in B9IE7
'A\ARI ;@N0I!= >-hich -as esta*lished in An/ara as 'a]ar <lectronics in 1757> is presently among the
top conglomerates in the I9 and telecommunications sector> and continues
operations -ith se,en diBerent companies under its um*rella.
BA%A9I C8MPA;IE%







'A\ARI 'R@A0CAS9I!= C@.
'A\ARI <N<C9R@!ICS C@.
'A\ARI 9<C;!ICAN S<RTIC<S 9RA0I!= C@.
'A\ARI 9<N<C@MM.!ICA9I@!S C@.
'A\ARI 9RA0I!= C@.
EAA! C;<MIS9R?
EAA! 9<N<C@MM.!ICA9I@!S
ith se,en companies> and re,enues o" ^248 million> it manu"actures -ireless telephone
systems> EAA! 188 series <lectronic <lectric Meters and produces C@@NIE< alcohol+"ree>
hygienic and per"umed
re"reshing to-els> pro,ides technical ser,ices> and is hea,ily in,ol,ed in the tele,ision and *roadcasting
industries.
'a]ar is a ,alue+added esta*lishment in the mo*ile telephone retail sector> it carries out the distri*ution
o" Philips> !o/ia> Samsung> Siemens> and Sony *rand cell phones -ith 488 permanent> and
a total 2>888 sales outlets in 9ur/ey and has ta/en its place amongst the largest (rms in
the I9 sector. It has started
mo*ile internet ser,ices -ith the *rand name o" ;IPIR.

5*3 %AP 9>&J
'a]ar selected SAP R/3 in 1774 as its <RP system and replaced all other legacy systems "or its mission
critical *usiness processes to continue its success and de,elop a more eBecti,e competiti,e ad,antage.
A"ter a "ast implementation in se,en months> a smooth go+li,e -as achie,ed in the *eginning o" 1777.

9his system is success"ully used -ithin the Production Planning and Control System
structure> -here*y all stages o" production> starting "rom ordering and purchasing> are
planned and audited in a computeri2ed en,ironment. 9hus> reducing the time ta/en "rom
recei,ing the order until deli,ery and increasing
eHciency allo-s 'a]ar to achie,e its goal o" maintaining the highest le,el o" customer satis"action> -hich
is the (rmOs primary principle. Moreo,er> the a*ility o" monitoring is "acilitated in
production and a"ter sales ser,ices through an e#tensi,e data *ase application all
production and test in"ormation is stored.
125
'a]ar -anted to ta/e its customer relationships to higher le,el> -hile impro,ing *usiness processes.
ith ne- customer "ocus strategy in place> it sought integrated I9 solution to support comprehensi,e
customer program. 9hat is -hy> 'a]ar decided to implement the SAP <RP System. It -as a,aila*le
comprehensi,e so"t-are support and additional properties -ere strong such as user
inter"ace> enhanced reporting capa*ilities and easy customi2ation. And also they needed
to impro,e their processes. 9hey *elie,ed that SAP -ould help them to reach their goals
and o*)ecti,es.

%AP 9>& Pro!ect at a glance
2 %D1 %M1 MM1 5M1 7I1 C81 *91 PP1 OM1 AM modules are implemented.
2 E9P soft+are %AP 9>& +as acCuired for use in four companies in Panuary AAA1
+#ereas it +as implemented in all t#e companies in t#e group
structure in Panuary1 $BBB.
2 BaQarL +as accepted @y %AP "ur2ey as a reference company after a successful
implementation period in AAA +#ic# lasted in seven mont#s.
2 $,B users
5*3 my%AP C9M J
In 2882 'a]ar initiated CRM pro)ect. 'a]ar utili2es CRM as a customer+"ocused strategy aimed at
anticipating> understanding and responding to the needs o" an enterpriseOs current and prospecti,e
customers. 9he o*)ecti,e o" 'a]ar Os CRM strategy is to de,elop a competiti,e ad,antage and to impro,e
6uality o" ser,ice. 'a]ar ,ie- the customer li"etime ,alue rather than )ust one time trancation ,alue o" a
customer.
9he ne- standard that 'a]ar had caught is as "ollo-sD treating diBerent customers diBerently. 9his is
the /ey point that should *e achie,ed in a Zone+to+oneZ re,olution. 9his is a long and
detailed process o" identi"ying> diBerentiating> interacting and customi2ing. Peppers and
RogersO 1to1> 0ic/ Nee and Wim !o,o ha,e *een chosen as ZmilestoneZ "or de(ning *usiness
strategies process design and analytical CRM.
'a]ar selected mySAP_ Customer Relationship Management %mySAP_ CRM& to support its goal o"
enhancing customer loyalty> increasing sales and pro(ta*ility> and *uilding long+term relationships. <asy
o" system integration and so"t-are support -ere ma)or diBerentiators. @ther diBerentiators -ere:

+:unctional diBerentiators: user inter"ace> suita*le "or our mission critical *usiness
processes> reporting capa*ilities> easy customi2ation.
+9echnical diBerentiators: -e*+*ased and des/top capa*ility> operating system> data*ase
compati*ility> ease o" implementation> system integration> openness o" architecture.
+@perational diBerentiators: technology and user lisence "ees> resource costs> so"t-are and
hard-are support and training.

my%AP C9M Pro!ect P#ases(
P;AS< I

0 P#ase I( FApril $BB$0 %eptem@er $BB$G
126
0 Addressing @usiness reengineering and tec#nology reCuirements
1 %u@stitution of t#e current B$C site of BaQarL "rading Co.

0 Migration of 9>& reports and sales analytic to Business Information 5are#ouse FB5G1
B5 implementation +as made for all BaQarL companies(

P;AS< II and P;AS< III
P#ase II( F;ovem@er $BB$0Panuary $BB&G

0 Integration of B$B and mar2eting. Implementation of Balanced %corecard1
implementation of Enterprise Portal.

0 At t#e @eginning B$B implementation +ill @e made for BaQarL "rading Co. Enterprise
Portal +ill cover all group companies.
P#ase III F7e@ruary $BB&0G

0 Analytical C9M +it# B5 for all companies.
A@out Bene?ts(

9hey implemented '2' and '2C scenarios o" mySAP CRM. 9oday they are using
segmentation "eature to model target groups> and its product recommendation capa*ilities.
And no- they ha,e "ully integrated SAP system. 9hey can determine some operational
*ene(ts "rom SAP implementation. :or e#ample they sa,e time and they can respond the
"aster to the mar/et needs. Plus> *usiness partners can trac/ their orders> -hich is a really
,alue added ser,ice.
In Current (

%AP B5 is used for reporting reCuirements. Employees can report sales analytic
using t#e 5e@ or @y a PDA. %ales activities are e4ported to %AP 9>& +#ere
reporting is done from %AP B51 +#ile credit control reports are created t#roug#
%AP B51 along +it# :PI reporting.
Balanced %corecard is used for evaluating t#e performance of companies and employees.
Pricing is muc# easier using t#e Internet pricing and con?gurator after t#e
pro!ect. %AP Pro!ect 8rganization
5P Project &ea! is just li8e (elo). 92003: 6a";

0 %AP pro!ect manager ( Ci#at 8n@aQL
1 E0Business manager ( Erman Er2an

0 B5 consultant( @ot# process and tec#nical plus MM responsi@ility
1 / C9M consultants( @usiness F9>& %DG1 - tec#nical F admin.1 & developers1
net+or2 admin1 +e@ designerG

A@out "#e Pro@lems(
&he" sai% that the" ha%n<t i!$ortant !atters )ithin the $roject an% the" ha% truste% their $roject
tea! )hich ha% selecte% the right. =o)e*er the" got a 'e) $ro(le!s relate% to s"ste! integration
an% the" nee%e% !ore ro(ust tools to sell !ore e''ecti*el" an% strea!line. &he" sol*e% !ost o' their
$ro(le!s (" 0 90nline er*ice "ste!;: an% 5P<s er*ice 6ar8et$lace.
&echnolog" )as i!$le!ente% s!oothl" (ut the" ha% so!e $ro(le!s in reengineering $rocesses. In
the (usiness si%e the" 'ace% so!e resistance to change.
127
CA%E ID = Pro!ect E4perinces from t#e 5orld(

1. 7isc#er+er2e1 addressing t#e c#allenges of #ig# volumes in a midsize
glo@al company1 %AP Case %tudy1 my%APR %upply C#ain Management
%UMMA93
In 9umlingen> a small ,illage nestled in =ermanyGs 'lac/ :orest> is the head6uarters "or a
glo*al company that sets the standards -ith inno,ati,e products in construction and
automoti,e mar/et niches. :ischer-er/e> "ounded in 17$5> has annual re,enue o" `353
million %..S. ^3$1 million& including 3$P "oreign sales> holds more than 1>588 patents and
more than 5>888 trademar/s> manu"actures and distri*utes on three continents> and has 2$
su*sidiaries in all regions o" the -orld. 9he companyGs uni6ue construction anchoring
technology is essential "or the structural integrity o" underground transportation systems
including the <urotunnel> the -orldGs largest suspension *ridges> and many other structures
re6uiring state+o"+the+art construction materials.
As a testament to the companyGs Ae#i*ility> :ischer-er/e colla*orates closely in
international automoti,e centers on ad,anced> ergonomic interior systems and has -on
a-ards in se,eral countries "or educational toys created "rom its no,el technology. 'ut
pioneering products alone do not ma/e a company success"ul C especially in the -orld o"
today. :ischer-er/e "aces competition on se,eral "ronts C "rom companies that oBer similar
products at a lo-er prices> "rom inno,ati,e companies that pro,ide uni6ue ser,ices to
customers> and "rom companies that simply operate more eBecti,ely in the geographic
regions in -hich :ischer-er/e does *usiness.
9o gro- pro(ta*ly> to e#tend its core competencies into ne- product areas> and to *roaden
its international reach> :ischer-er/e recogni2ed that it must impro,e its supply chain
in"rastructure. 9o accomplish this> the company turned "or assistance to its long+term
partner> SAP. :ischer-er/e (rst -ent li,e -ith mySAP_ Supply Chain Management
%mySAP_ SCM& in 1777. Since this initial implementation> the company has continued to
de,elop its
ad,anced supply chain processes> supported *y the "ull range o" SAP Ad,anced Planner and
@ptimi2er %SAP AP@& capa*ilities. mySAP SCM has ena*led :ischer-er/e to achie,e
measura*le

my%AP %CM at 7isc#er+er2e at a <lance %trategic <oals
0? Address gro-ing glo*al competition
1? Pro,ide superior customer ser,ice
2? Reduce costs
3? Achie,e e#cellence in planning "or the gro-ing
num*er o" products


Approac#
Impro,e demand and supply planning processes> reduce in,entory and production costs>
reengineer operations to impro,e eHciency> and impro,e deli,ery per"ormance. 9his
approach is ena*led *y elements o" SAPa Ad,anced Planner and @ptimi2er %SAPa AP@&>
including demand planning> supply net-or/ planning> production planning and detailed
scheduling> and glo*al a,aila*le+topromise> integrated -ith the e#isting SAPa R/3a system.
9esults( %achie,ed in =ermany during the (rst year and to *e e#tended in <urope&:

0? Achie,ed nearly 188P on+time and in+"ull deli,ery through precise order planning
1? Reduced in,entory *y 28P "or (nished products and 28P "or su*components

0? Increased production capacity *y 18P through optimisation %-ithout additional
capital in,estment&> impro,ing pro(t margin and ,olume throughput

0? Ser,iced a 18P increase in output -ith no increase in headcount
128
0? Reduced *ac/ orders due to ,isi*ility across the supply chain> resulting in more
Ae#i*ility "or short+ lead+time orders and reduced costs C sa,ing more than ..S.
^288>888 in the (rst year
1? Reduced the headcount in planning departments *y up to 18P and signi(cantly
impro,ed the planning 6uality in all planning departments> -ith more relia*le "orecasts>
shorter planning cycles> and "aster identi(cation o" changes in the ecosystem

0? Achie,ed classic reengineering *ene(ts *y esta*lishing a process entered
organi2ation> enlarging the )o* scope o" planners> and redeploying -or/ers -ho -ere no
longer needed in the planning "unction
1? <#pects to recoup the supply chain management implementation in,estment in
appro#imately t-o years impro,ements in customer ser,ice> in,entory> and producti,ity.
Continuing to *uild on this mySAP SCM plat"orm C -ith its range o" planning> e#ecution>
coordination> and net-or/ing capa*ilities C is /ey to ensuring :ischer-er/eGs pro(ta*le
gro-th into the "uture.
ImySAP Supply Chain Management creates the en,ironment companies need in order to
adapt to the mar/et gro-th and ne- sales channels that are characteristic o" e+*usiness>J
says Rainer ein> e#ecuti,e ,ice president o" de,elopment and production management o"
the (scher group companies. I9his is one o" the ma)or prere6uisites "or ensuring that the
company can continue its manu"acturing acti,ities in =ermany> despite the high -age
costs.J
BU%I;E%%

ith some 11>888 sales items in its catalog and $8>888 SE.s> :ischer-er/e manu"actures a
*road and gro-ing line o" anchoring technologies. Its products are used to secure pipes>
electrical -ires> and a ,ariety o" other o*)ects> and they are used in hea,y construction
pro)ects throughout the -orld. :ischer-er/e also manu"actures a ,ariety o" products
used in automo*iles> such as cup holders> media storage> and other items.
:ischer-er/eGs products are in,enti,e *ut simple in their geometry> and once competitors
ha,e e#amined a product> they can easily copy it. As a result> :ischer-er/e must compete
against companies that manu"acture imitations o" its products. 9he competitors produce
the imitations at lo-er cost *y circum,enting the costs o" original product de,elopment and
patents and> "re6uently> *y manu"acturing the imitations in countries -hose la*or rates are
,ery lo-. :ischer-er/e manu"actures some goods a*road *ut produces many parts in
=ermany to reap the *ene(ts o" /eeping production close to the source o" technical
inno,ation.

Smy%AP %upply C#ain Management creates t#e environment companies need
in order to adapt to t#e mar2et gro+t# and ne+ sales c#annels t#at are
c#aracteristic of e0@usiness1T says 9ainer 5ein1 S"#is is one of t#e ma!or
prereCuisites for ensuring t#at t#e company can continue its manufacturing
activities in <ermany1 despite t#e #ig# +age costs.T

:ischer-er/e has chosen to compete in the glo*al mar/et *y pursuing the "ollo-ing strategies:
0? E4tend core competencies and @rand leaders#ip into speciali2ed products
%such as custom anchors&> system components %such as modular ceilings -ith elements
preinstalled "or -ater and air distri*ution&> and engineering and other ser,ices. ith these
types o" oBerings> :ischer-er/e can command higher margins and "ace less price pressure.

0? Implement ?rst0class logistics processes that span national *orders and
*usiness sectors *y *uilding alliances -ith customers> suppliers> and partners. 9hese eBorts
ena*le
:ischer-er/e to impro,e its cost competiti,eness. 9he mar/et "or system components
demands "ast and relia*le deli,ery> and :ischer-er/e is committed to continuing its
historical approach o" deli,ering standard products "rom its catalogs any-here in <urope
-ithin 2$ hours. Its success in this rapid+deli,ery arena has helped :ischer-er/e *ecome a
leading
129
supplier in <urope. ;o-e,er> in the past> meeting these deli,ery goals re6uired maintaining
high le,els o" sa"ety stoc/> relying on e#tra production shi"ts> and sometimes using
e#pensi,e special transportation to ensure rapid deli,ery C all o" -hich added to
:ischer-er/eGs costs.

%UPP.3 C*AI; C*A..E;<E%
In light o" its *usiness realities> :ischer-er/eGs o*)ecti,e -as straight"or-ard: to impro,e its
a*ility to compete in the glo*al mar/etplace. 9o accomplish this> it identi(ed three /ey
re6uirements:
0? Impro,e planning %"or a gro-ing num*er o" products&
1? Reduce costs

0? Pro,ide superior customer ser,ice
'y concentrating its eBorts in these areas> :ischer-er/e -ould strengthen its position in the
mar/et and impro,e its pro(ta*ility. Addressing these *usiness goals in,ol,ed "ocusing on
speci(c supply chain processes:
Improve planning
:ischer-er/eGs *usiness strategy called "or increasing the already large num*er o" SE.s *y
introducing customi2ed products> system components> and other ne- products. Planning
pro*lems -ould -orsen unless :ischer-er/e adopted more eHcient re6uirements planning
"or the increasing num*er o" acti,e items.
:ischer-er/eGs "ormer demand "orecasting process re6uired as long as three -ee/s to
collect product data> create a ne- demand "orecast> and distri*ute the "orecast to the
appropriate sales and production teams. 'ecause o" the comple#ity o" the "orecast process C
-hich -as not -ell+understood *y internal users C the discrepancy *et-een the "orecast and
the mar/et demand -as o"ten large.
As a result> "e- people -ithin :ischer-er/e trusted the "orecasts> and the companyGs nine
production planners tended to rely instead on their instincts. Moreo,er> "orecasts -ere
a,aila*le "or product groups> *ut not "or speci(c items. Production re6uirements "or speci(c
items -ere there"ore not clear> and item le,el planning had to *e done manually.

9hus a /ey re6uirement "or a ne- system -ould *e to per"orm planning "or single items.
9educe costs

:ischer-er/eGs =erman resources are the *asis "or its ad,antages in inno,ation> so
su*stantially mo,ing production to other countries to o*tain lo-er la*or rates is not a ,ia*le
solution. In e#amining the companyGs internal processes> ho-e,er> :ischer-er/e managers
sa- the company could lo-er costs *y reducing in,entories o" *oth (nished products and
su*components> *y impro,ing the eHciency o" production> and *y reducing the num*er o"
people dedicated to planning processes and order control.

9o optimi2e machine utili2ation> :ischer-er/e o"ten produced t-ice the num*er o"
components necessary to "ul(ll a speci(c customer order and /ept the e#cess components
in in,entory until needed.

;o-e,er> the ad,antages -ere out-eighed *y the costs to transport the unsold products>
store them until needed> and then transport them again to "ul(ll the order %plus handle
the associated administration&. 9o sustain its a*ility to deli,er products to any location in
<urope -ithin 2$ hours> :ischer-er/e had *een -illing to maintain large in,entories. ?et
clearly> the opportunity to reduce in,entories -as signi(cant.
130
In addition> :ischer-er/eGs plant+"ocused planning methods did not aBord ,isi*ility to
customer orders> did not permit eHcient control o" deli,eries> and generated su*stantial
need "or manual inter,ention. As a result> machine utili2ation -as running at 18P> and the
*ac/+order situation -as unsatis"actory. Replacing these plant+"ocused methods -ith a more
comprehensi,e planning process thus could oBer opportunities to reduce costs in se,eral
areas.
Provide superior customer service

:ischer-er/e processed $8>888 order lines per month across its *road range o" products.
9he company -anted to impro,e its a*ility to "ul(ll orders on time and in "ull> e,en as orders
gre- in ,olume and comple#ity. 9his posed a signi(cant challenge: 9o 6uote guaranteed
deli,ery dates rapidly to customers> employees needed a "ull ,ie- o" the Ao- o" orders> the
commitments that had *een made> and the impact o" special orders on priorities in their
production system. In addition> :ischer-er/e -anted to impro,e customer ser,ice *y
managing its customersG in,entory.

IMP.EME;"A"I8;
mySAP Supply Chain Management %mySAP SCM& pro,ided the "ull range o" capa*ilities that
:ischer-er/e re6uired to address its immediate and long+term re6uirements. 9oday> mySAP
SCM is the /ey tool in :ischer-er/eGs continuing trans"ormation to a process+oriented
-or/group organi2ation> positioning :ischer-er/e "or colla*oration -ith customers and
suppliers and pro,iding ,isi*ility throughout the e#tended supply chain.
ith mySAP SCM> :ischer-er/e -or/ers ma/e planning decisions> respond eHciently to
e#ceptions> and adapt to changing mar/et conditions.
9he (rst phase o" :ischer-er/eGs supply chain management deployment "ocused on
demand and supply planning> coordination> and e#ecution *y coupling SAP AP@ -ith the
SAP R/3 e#ecution system. :ischer-er/e *egan its SAP AP@ deployment pro)ect at its
su*sidiary in <mmendingen> =ermany> in
1999. 9he o*)ecti,e o" the SAP AP@ implementation -as to unite the planning data in SAP
AP@ -ith the transaction data in SAP R/3 to impro,e planning and "orecasting. 9o align the
application so"t-are -ith its *usiness processes> :ischer-er/e used the ARIS "or mySAP.com
methodology o" I0S Scheer.
ARIS "or mySAP.com oBers tools "or designing> analy2ing> implementing> and optimi2ing
*usiness processes that -ill *e ena*led *y a mySAP.com e+*usiness solution.
9he SAP AP@ deployment included modules "or demand planning> supply net-or/ planning>
production planning and detailed scheduling> and glo*al a,aila*le+to+promise.
Planning

7orecasting( SAP AP@ 0emand Planning %SAP AP@ 0P& gi,es :ischer-er/eGs planners timely access to
the in"ormation they need to do eBecti,e planning online and to address the gro-ing
num*er o" SE.s using aggregation and disaggregation capa*ilities. 9hey no longer rely on
the suspect "orecasts o" the past: 9hey -or/ -ith demand in"ormation generated *y
statistical models in SAP AP@ 0P *ased on historical data.
Moreo,er> impro,ed "orecasting is ena*ling :ischer-er/e to e,ol,e its planning processes
"rom a ma/e+ to+stoc/ to a ma/eto+demand philosophy.
Production planning(
:ischer-er/e planners use SAP AP@ Supply !et-or/ Planning %SAP AP@ S!P& to ensure that
production capacity and ra- materials are a,aila*le to meet demand> to esta*lish dynamic
order net-or/s that more eBecti,ely match supply and demand> and to pro,ide scala*ility
as planning re6uirements gro-. In the e,ent o" *ottlenec/s> demand (gures can *e ad)usted
to arri,e at a constrained demand that is certain to *e "ul(lled.
131

E4ecution


Production sc#eduling( 9he integration o" SAP R/3 and SAP AP@ ena*les :ischer-er/e to chec/ the
a,aila*ility o" materials and machinery. 0etailed scheduling -ith SAP AP@ Production
Planning and 0etailed Scheduling %SAP AP@ PP/0S& allo-s :ischer-er/e to create an
optimum se6uence "or the production lines *ased on customer orders and plans "rom
SAP AP@ S!P.
8rder ful?llment( :ischer-er/e uses glo*al A9P to ensure that its customer ser,ice staB can ha,e -ell+
in"ormed discussions -ith customers a*out the a,aila*ility o" standard
and special products> incorporating in"ormation a*out in,entory> constraints> and planned
production. 9he integrated systems ena*le any changes C in stoc/ or sales orders> "or
e#ample C to *e trans"erred in real time *et-een SAP R/3 and SAP AP@> ensuring that
modi(cations to a,aila*ility status and to the plan can *e made rapidly.
Coordination
Event management( :ischer-er/e is increasingly using SAP AP@ e,ent management capa*ilities
throughout its *usiness processes. <,ents such as delayed deli,eries> demand that is out o"
line -ith e#pectations> and o,erdue production are managed *y e#ception -ith more
eHcient use o" manpo-er. In the "uture> :ischer-er/e anticipates that planning and
controlling -ill *e per"ormed together. 9hat is> employees engaged in planning -ill also *e
empo-ered to recogni2e and react to de,iations "rom e#pectations.
;et+or2ing

Colla@oration( 'eyond initial acti,ities to monitor customersG in,entories> :ischer-er/e -ill e#tend its
supply chain using the capa*ilities o" mySAP SCM to ena*le colla*oration on ,arious
processes -ith customers> suppliers> and other e#ternal partners.
8U"C8ME

mySAP SCM is no- the primary solution used *y :ischer-er/e planners at the
<mmendingen su*sidiary. Planners access the main SAP R/3 system only to o*tain the
master data or to record the goods receipt. Since 1777> t-enty people ha,e *een -or/ing
-ith SAP AP@> and today> the complete set o" *usiness processes C "rom order handling
through detailed production planning C is ena*led *y SAP AP@.
In total> :ischer-er/e in,ested `3.8 million %..S. ^2.4 million& "or the entire pro)ect. 0ue to
per"ormance impro,ements achie,ed -ith SAP AP@> :ischer-er/e -ill recoup its entire
supply chain management pro)ect cost in appro#imately t-o years. 9he cost to deploy SAP
AP@ -as only 28P o" the entire supply chain management in,estment> *ut the return on
SAP AP@ accounts "or more than 78P o" the entire return on in,estment.

In,entory 13P
'ac/+order reduction 13P
9ransportation
15P @ther
sa,ings 13P
"otal BBI
9hese are only the initial sa,ings: :ischer-er/e e#pects to sa,e more in the "uture>
particularly in production> -here the company e#pects to increase the utili2ation o"
machinery *y an additional 28P.

%avings in inventory
132
In the past> *ecause o" imprecise planning> ra- materials and pre"a*ricated products
arri,ed an a,erage o" t-o -ee/s too early. Materials had to *e stored> then transported to
the right location at the appropriate time. ith the planning impro,ements ena*led *y SAP
AP@> ra- materials and pre"a*ricated products arri,e precisely -hen needed. 9he supplier
simply recei,es a target date and deli,ers on time. In,entory has reduced *y 28P across
the supply chain> translating to a 28P reduction in stoc/ e#penses> depreciation> and capital
costs. 9hese in,entory cost sa,ings amount to 13P o" the total sa,ings.

%avings t#roug# @ac20order reduction
9he entire "orecasting process has shortened "rom si# or se,en days to three or "our days>
and "orecasts are no- signi(cantly closer to actual demand than in the past. ith more
accurate data and the easy+to+ understand SAP AP@ "orecasting methods> :ischer-er/e
planners and other employees are more interested in understanding the lin/ *et-een
"orecasting and planning> and plans ha,e *ecome more accurate. ;igher "orecast accuracy
and greater ,isi*ility across the supply chain ha,e signi(cantly reduced *ac/ orders. Along
-ith greater ,isi*ility and *etter use o" production resources> :ischer-er/e has more
Ae#i*ility to handle short+lead+time orders> -hich "urther reduces *ac/ orders.

'ac/order reduction has helped reduce e#tra -or/ shi"ts> special handling> and idle time.
9he net result o" the *ac/+order reduction is a cost sa,ings representing 13P o" the total
sa,ings in the (rst year.

%avings in transportation
9he transparent processes and the automatic alert "unction o" SAP AP@ ha,e reduced the
num*er o" delayed deli,eries and the cost o" e#tra shi"ts> special handling> and e#press
transportation ser,ices. 9hese sa,ings contri*ute 15P o" the total.
8t#er savings
Sa,ings in the "ollo-ing areas represent 13P o" the total sa,ings.

Productivity( Sales at :ischer-er/e ha,e increased as much as 18P per year C and the increase has
*een handled -ithout adding personnel in the indirect planning area. :ischer-er/e sa,ed
the salaries o" (,e additional people that -ould ha,e *een needed had the planning staB
e#panded at the same rate as the increase in sales and production. In "act> the automation
ena*led *y SAP AP@ has ena*led a reduction in headcount in the planning departments o"
up to 18P. People can not only handle more orders than *e"ore> *ut also per"orm acti,ities
such as detailed planning and scheduling.

Capacity utilization( Setup time "or machinery has reduced> and the utili2ation o" the machinery has
increased. <arly results at :ischer-er/e indicate that machine utili2ation has
increased "rom 18P to 38P.
Disi@ility into ra+ materials( A,aila*ility chec/s pro,ide increased ,isi*ility into ra- materials that are
in stoc/ and ordered. Production planners ha,e more accurate in"ormation
and can ans-er in6uiries "aster.
Additional locations( 9he integration o" SAP R/3 and mySAP SCM met :ischer-er/eGs e#pectations. As
a result> the implementation -as rolled out to other :ischer-er/e locations
in =ermany and the C2ech Repu*lic. 9he result is contri*uting to the decrease in costs>
*ringing still greater impro,ements in planning and "orecasting and "urther impro,ements in
:ischer-er/eGs a*ility to compete.
;EU" %"EP%

:ischer-er/e plans to e#tend its supply chain across enterprise *oundaries to integrate
e#ternal partners> including customers> suppliers> and transportation companies.
Colla*orati,e processes> automatic replenishment> and alert+*ased control o" ,arious
133
processes -ill accompany these implementations> *uilding on e#isting and emerging
capa*ilities o" mySAP SCM.
9hese eBorts -ill ena*le :ischer-er/e to pro,ide still greater impro,ements in
customer ser,ice and -ill *olster its leadership position in the
glo*al mar/etplace.

%AP America1 Inc.
3777 est Chester Pi/e
!e-to-n S6uare> PA 17843
9 1+588+558+1424
+++.sap.com
2. At Palm 9educed Planning Cycle "imes Bring Improved Business
Performance1 %AP Case %tudy1 my%AP %upply C#ain Management1 %UMMA93
Palm Inc. is a pioneer in the (eld o" mo*ile Internet solutions and a leading pro,ider o"
handheld computers. PalmGs handheld solutions allo- people to carry and access their most
critical in"ormation -here,er they go> and Palm handhelds address the needs o" indi,iduals
and enterprises through thousands o" application solutions. 9he company *elie,es that
more users -ill access the Internet -irelessly than through -ired connections in the not too
distant "uture> and the companyGs ,ision is to ma/e Palm Po-ered handhelds the mo*ile
Internet solution o" choice.
Palm -as "ounded in 1772 and introduced its (rst handheld de,ice in 1773. Immediately prior to its initial
pu*lic oBering in March 2888> the company -as a -holly o-ned su*sidiary o" 3Com Corp. 9he
companyGs sales ha,e gro-n su*stantially since 1773D its (scal year 2881 re,enues -ere ^1.13 *illion.
hile the Palm @S operating system and related so"t-are has *een the cornerstone o" the
companyGs success in the handheld de,ice mar/et> su*stantially all o" PalmGs re,enues to
date ha,e *een generated "rom sales o" PalmGs handheld de,ices and related peripherals
and accessories. 9o manage the shipments o" handheld de,ices> Palm has used SAPa R/3a
since 1775. SAP R/3 pro,ides Palm -ith an e#ecution plat"orm "or managing sales
operations> procurement> (nance> and other "unctions.
9he SAP R/3 system has ser,ed the company -ell "or e#ecution as PalmGs *usiness has
gro-n rapidly. ;o-e,er> a"ter initial implementation o" SAP R/3> opportunities -ere arising in
the supply chain arena that an e#ecution plat"orm alone -as not e6uipped to address. 9ime+
to+mar/et pressures and decreasing product li"e cycles in its high+technology segment
mandated that

my%AP %CM A" PA.M A"0A0<.A;CE
%trategic <oals
0? Impro,e time to mar/et
1? Achie,e e#cellence in product li"e+cycle management
2? <nhance manu"acturing per"ormance
3? Achie,e tighter colla*oration -ith contract manu"acturers
4? Impro,e ser,ice to channel
5? Reduce in,entory
Approac#

0e,elop )oint demand and in,entory plans -ith /ey customersD esta*lish accurate
production plans "or suppliers> ta/ing into account "orecasts> material and capacity
constraints> and other "actorsD and esta*lish a process "or assigning (nished goods at the
account le,el. 9his approach -as ena*led *y mySAP_ Supply Chain Management %mySAP
SCM&> including its supply net-or/ planning and glo*al a,aila*le+to+promise %glo*al A9P&
capa*ilities and its ro*ust inter"aces to SAPa R/3a.
9esults %ena*led *y mySAP SCM and implementation o" associated *usiness processes&:
134

0? 9educed planning cycle time *y 18P> impro,ing the 6uality and sta*ility o" the
o,erall supply chain plan

0? Increased inventory turns "rom 3 to 18 times and customer ser,ice le,els>
achie,ing stronger sales gro-th> dou*ling shipments> and reducing stoc/+outs

0? Decreased cas#0to0cas# cycle time "rom 23 to 1$ days> -ith "urther
impro,ements e#pected as in,entory positions impro,e
1? Improved visi@ility > -hich ena*les *etter deployment o" (nished goods
in,entory -orld-ide and *etter management o" upstream supply
2? Improved t#e Cuality of plans> -hich positions Palm "or continuous impro,ement in
time to mar/et> product li"e+cycle management> manu"acturing per"ormance> and other
areas o" strategic "ocus
Palm enhance its *usiness processes to *ecome more agile and reduce costs. 9o remain
competiti,e> Palm needed to reduce its planning cycle time> o*tain greater ,isi*ility into
supply and demand> and colla*orate more eBecti,ely -ith its contract manu"acturers. 9o
address these re6uirements> Palm
initiated a num*er o" process impro,ements in the areas o" colla*orati,e demand and supply planning>
ena*led *y mySAP_ Supply Chain Management %mySAP_ SCM&. 9he solution -ent li,e in Wuly 2881.
9hese initiati,es deli,ered 6uic/ results. In 0ecem*er 2881 e6uity analyst reports> it -as
noted that PalmGs *alance sheet sho-ed signs o" strengthening as in,entory> cash Ao-> and
accounts recei,a*le all impro,ed. 9hese *alance sheet impro,ements> coupled -ith a
reduction to si# -ee/s o" channel in,entory at the end o" !o,em*er> created a common
,ie- among analysts that managementGs e#ecution had impro,ed.

BU%I;E%%
PalmGs (scal year 2881 total re,enue o" ^1.13 *illion represents a $4P increase "rom (scal
year 2888 and a 41P increase in unit
PA.M A"0A0<.A;CE
7ounded( 1772

7irst #and#eld s#ipped( 1773
IP8( March 2888

73$BB sales( ^1.13 *illion
$BBB0$BB gro+t# rate(

47. re,enue
75. unit shipments

Palm0@randed #and#elds s#ipped(
3.$ million in :?2881
13.4 million since "ounding shipments "rom the prior year. hile Palm is de,eloping its
strategy -ith Palm plat"orm licensing and Internet ser,ices> the core o" the companyGs
gro-th remains unit shipments o" its handheld de,ices and related products. 9o this end>
operational e#cellence co,ering the manu"acturing and distri*ution o" physical products is a
cornerstone o" the companyGs strategy to deli,er pro(ta*le gro-th.
135
9he importance o" sound "orecasting> in,entory management> production planning> and
"ul(llment e#ecution processes has *een rein"orced as the economic conte#t has
changed
su*stantially. Pro(ta*ility suBered the (rst three 6uarters o" 2881 as the company needed
to purchase supply+constrained components at premium prices. Con,ersely> in the "ourth
6uarter> e#cessi,e in,entory *ecame the /ey issue as demand diminished su*stantially.
@rchestrating processes to respond rapidly to such ,ariations in demand and supply is thus
a /ey strategic imperati,e C and is gro-ing in importance as the company pursues
geographic e#pansion and a *roadening product mi#.

Competition
'eyond needing to respond to changes in the o,erall economy in 2881> Palm continues to
operate in a highly competiti,e> 6uic/ly changing en,ironment. Inno,ation is the /ey
competiti,e -eapon C product li"e cycles ha,e decreased "rom 12C15 months to 3C12
months. PalmGs handheld computing de,ice products compete -ith a ,ariety o" smart
handheld de,ices> including /ey*oard *ased de,ices> su* note*oo/ computers> smart
phones> and t-o -ay pagers.
9he companyGs principal competitors in the hard-are
space include Casio> Compa6> ;e-lett+Pac/ard> Research in Motion Nimited> and Sharp. In
this highly competiti,e consumer mar/et> "actors such as price> a,aila*ility> and deli,ery
per"ormance are also essential determinants o" gro-th and pro(ta*ility.

8utsourcing
:rom its inception> Palm has outsourced signi(cant operational and administrati,e ser,ices
-hene,er it has *een economically "a,ora*le to do so. In particular> a /ey strategy has *een
to outsource all Palm handheld de,ice %I,ie-erJ& manu"acturing. Palm relies on third+party
contract manu"acturers %CMs& to produce Palm products in suHcient ,olumes> in a timely
manner> and -ith satis"actory 6uality le,els. Palm also employs third parties "or pac/+out o"
,ie-ers into shippa*le *o#es. 9he company relies on CMs to place orders -ith suppliers "or
components necessary to manu"acture products.
%UPP.3 C*AI; C*A..E;<E
8perations 8vervie+

PalmGs supply chain planning cycle encompasses de,elopment plans *ased on mar/et
demand signals. 9he t-o main components o" a Palm unit are the ,ie-er and the *o# %-hich
includes documentation and accessories such as the cradle&D each o" the Palm products
can *e manu"actured in ,arious con(gurations. 9he Palm supply chain model is primarily a
t-o+tier supply chain. 9he (rst tier includes the pac/+out manu"acturers %9ier 1&> and the
second tier includes the ,ie-er manu"acturers %9ier 2&. 9he CMs purchase components and
pac/ing materials> *ased on re6uirements communicated *y Palm> and *uild to "orecast.
:inished goods are sent to third+party logistics pro,iders> -hich deli,er the product to
customers.
'uild plans "or CMs are deri,ed "rom "orecasts pro,ided *y (eld sales. 9hese "orecasts are
ad)usted *ased on input "rom channel partners and customers> as -ell as "rom PalmGs ne-
product de,elopment group> mar/eting> (nance> and senior management.
In the original planning process> the lead time "rom "orecast de,elopment to creation o" the
*uild plan -as much longer than desired. 9his long planning cycle made "orecasting more
diHcult> "orced Palm and its channel to carry more cycle stoc/ and sa"ety stoc/> and
increased the time Palm needed to detect and react to changes in demand. A primary
goal o" the ne- processes -as to shorten this cycle su*stantially.
@utsourcing is the most economically "a,oura*le method o" pro,iding many o" PalmGs
operational and administrati,e ser,ices. ;o-e,er> this approach also has ris/s> since the
companies to -hich ser,ices are outsourced are not under PalmGs direct control.
%upply C#ain Pain
136

PalmGs original supply chain planning process got the )o* done *ut le"t Palm "acing some
diHcult management challenges:

0? Shortening the planning cycle
1? Managing critical components

0? Impro,ing logistics and control
1? Anticipating turning points in the mar/et "or ramp up and ramp do-n
2? <nhancing ,isi*ility

"#e importance of sound forecasting1 inventory management1 production
planning1 and ful?llment e4ecution processes #as @een reinforced as t#e
economic conte4t #as c#anged su@stantially.

Anticipating turning points in t#e mar2et Ffor ramp up and ramp do+nG( Palm had opportunities
to impro,e planning and responsi,eness throughout the product li"e cycle. 0uring
ne-product launches or phaseouts> the mar/et demand signal is o"ten diBerent "rom the
sales "orecast. 9o address these product li"e+cycle issues> many at Palm *elie,e that
adapta*ility and impro,ed internal colla*oration are o"ten more important than "orecast
accuracy.

En#ancing visi@ility( ith PalmGs hea,ily outsourced supply chain> lac/ o" ,isi*ility among the partners
created signi(cant challenges. =eneral conse6uences included the "act that Palm could not
plan net re6uirements and could not easily halt a

0? Component supplier visi@ility( 'etter in"ormation a*out supplier capacity -ould
help determine the *uild plan earlier and more accurately and -ould impro,e in,entory
turns
through *etter planning o" common components.
0? Measurement of contract manufacturersJ performance( .nderstanding
partner per"ormance in a measura*le -ay C and understanding rele,ant material
constraints C -ould
enhance *uild+plan 6uality and timeliness.
%#ortening t#e planning cycle( :orecast de,elopment re6uired a*out "our -ee/s> and then a*out
"our to (,e more -ee/s -ere needed to de,elop the committed *uild plan. 9he time
"rames -ere as "ollo-s:
:orecast completion to *uild re6uest: 1 -ee/ %up to 2 -ee/s&
'uild re6uest to *uild commit: 2 -ee/s
:inali2ation: 1 -ee/

9he total length o" this planning cycle -as the num*er one pro*lem "acing PalmGs supply
chain. 0emand plans de,eloped in this lengthy time "rame -ere unsta*le> the *uild plans
communicated to the CMs -ere there"ore unsta*le> and this insta*ility -as propagated to
the component and ra- material supply plans. A related pro*lem -as limited attainment o"
production schedulesD the "act that the demand plans -ere unsta*le caused limited
schedule attainment. In "act> Palm o"ten e#perienced demand Auctuations -ithin its "our+ to
(,e+-ee/
production cycle and -ished to alter its commitments -ithin this time "rame.
Managing critical components( PalmGs a*ility to secure supplier commitments -as challenged *y
short supplies o" li6uid crystal displays> Aash memory chips> 0RAM chips> and other critical
components. Moreo,er> there -as not a good process to reallocate critical components
across SE.s in a *uild schedule.
137
Improving logistics and control( Palm "aced /ey challenges in its *asic logistics and control
processes> including:
0? Inade6uate customer deli,ery per"ormance
1? In,entory reconciliation pro*lems
2? Su*optimi2ed deployment o" -orld-ide in,entory

IMP.EME;"A"I8;
Palm undertoo/ a pro)ect to re,ise its supply chain planning processes. 9hese process
impro,ements -ere ena*led *y mySAP SCM. :igure 1 sho-s a high+le,el pro)ect plan> :igure
2 depicts the systems> and :igure 3 sho-s the process using the SAP Ad,anced Planner and
@ptimi2er %SAPa AP@& planning model -ithin mySAP SCM.

@n Wuly 2> 2881> Palm -ent li,e -ith SAP AP@> the ad,anced planning and optimi2ation
component o" mySAP SCM. 9he implemented solution supports the complete outsourcing o"
manu"acturing> -hich is central to PalmGs *usiness model. 9he SAP AP@ solution is
integrated -ith PalmGs e*CAP system> -hich supports its colla*orati,e account planning
%CAP& process.
SAP AP@ runs in com*ination -ith the R/3 $.3C e#ecution system> -hich -as implemented
at the *eginning o" March 2881.
Demand Planning

PalmGs CAP initiati,e is *ased on the colla*orati,e planning> "orecasting> and replenishment
%CP:R& concept o" )oint planning -ith /ey customers to de,elop a demand and in,entory
plan *y SE. to meet in+ stoc/ and -ee/s+o"+supply goals. A commitment manager is /ey to
the CAP process> mapping the per+ SE. supply> -hich is generated in the supply planning
process> to the per customer demand and addressing associated allocation re6uirements.
=oals o" the CAP process include helping the channel customers to *ecome more pro(ta*le>
reducing the price protection that Palm pays to the channel> and "acilitating a schedule
attainment rate o" 71P *y deli,ering a more sta*le mapping o" supply and demand.
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%upply Planning
9he capa*le+to+match capa*ilities in supply net-or/ planning %S!P& -ithin SAP AP@ allo-
Palm to esta*lish accurate production plans "or its suppliers. 9he supply net-or/ planning
process integrates in,entory> supply data> customer "orecasts> and critical material and
capacity constraints to optimise in,entory management and ser,ice le,els. Palm uses a
rolling 12+-ee/> top+do-n planning process "or supply net-or/ planning -ithin
the CAP process.
9he supply net-or/ planning process ena*les comprehensi,e tactical planning and sourcing
decisions to *e simulated and implemented on the *asis o" a single> glo*ally consistent
model. 9he process uses ad,anced optimisation techni6ues> *ased on constraints and
priorities> to plan product Ao- along the supply chain. 9he o,erall o*)ecti,e o" the CAP+
*ased and SAP AP@+ena*led supply planning cycle is to ha,e pac/+out material ready one
-ee/ in ad,ance o" the demand at PalmGs ,irtual distri*ution centers.
8rder Commitment
Palm also impro,ed its order management and order promising process. Real+time
a,aila*le+to+promise chec/ing %ena*led *y glo*al A9P& -as implemented to allo- Palm to
con(rm sales orders accurately and thus oBer customers more relia*le ser,ice.
Account+le,el (nished goods assignments are per"ormed *y the commitment manager. 9he
A9P chec/ %*y SE. "or each -ee/& e#amines a "ull 12 to 15 months o" supply in the supply
net-or/ planning hori2on.
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C@MM@0I9?
MA!A=<RS A!0
C@!9RAC9
MA!.:AC9.R<RS
UniCue "+o0P#ase Planning Cycle

Palm must plan -ith t-o diBerent types o" material constraints:
Critical component constraints and handheld product %,ie-er& constraints. Palm
accomplishes this through a t-o+phase cycle> using the capa*le+to+match technology in SAP
AP@:
1. Interim @uild commitment Fusing critical components as constraintsG( 9he demand plan
is
composed o" input "rom e*CAP and prioriti2ed *ased on per+SE. *usiness
re6uirements. :rom this demand> a supply plan is deri,ed -ith critical components as
constraints to arri,e at the constrained plan "or ,ie-ers. 9his plan is sent to the CMs> -hich
respond -ith a *uild commitment plan.

2. 7inalized supply commitment Fusing t#e vie+er plan as t#e constraintG( 9he *uild
commitment plan "rom the CM is loaded into SAP AP@ as (rm production orders at the
,ie-er manu"acturing plants. ith the ,ie-er plan as the constraint> the capa*le+to+match
capa*ility in SAP AP@ matches the supply o" ,ie-ers -ith the demand at the pac/+out le,el.
Purchase re6uisitions "or one -ee/ are generated at the distri*ution center le,el and sent to
SAP R/3 as the supply commitment.

:inal pac/+out plans are pu*lished "or the CMs and PalmGs -orld-ide demand planner.
8U"C8ME

Many o" PalmGs supply chain issues ha,e *een addressed through implementation o" the
CAP process> e*CAP system> and the SAP systems. 9he systems> together -ith
management decisions a*out *usiness operations> initiati,es> and processes> contri*uted to
these results:
141

9educed planning cycle time Ft#e interval from forecast delivery to @uild
commitmentG from four +ee2s to t+o +ee2s(

9his result -as achie,ed through the implementation o" supply net-or/ planning in SAP
AP@. 9his is a signi(cant result> ena*ling impro,ement o" plan sta*ility and production
schedule attainment. Moreo,er> this result pro,ides the opportunity to reduce price
premiums paid to CMs and component suppliers.

Improved inventory turns from - to B times and decreased c#annel inventory @y &$I(
9hese results -ere achie,ed -hile maintaining customer ser,ice le,els> achie,ing stronger
sales gro-th> and reducing stoc/+outs. Quarterly shipments increased "rom 418>888 units to
1.1 million> and mar/et share increased. In short> as Palm increased sales> its (nished goods
in,entory position impro,ed in a -ay that contri*uted to "ul(llment per"ormance and
customer con(dence. PalmGs in,entory reduction program -as aided *y shortened planning
cycle times as -ell as the ,isi*ility aBorded *y SAP AP@ and the order commit process
supported *y glo*al A9P.


Decreased cas#0to0cas# cycle time from $& to ) days(

9he cash Ao- impro,ements achie,ed -ere attri*uta*le primarily to in,entory reductions.
In "act> though accounts recei,a*le collections impro,ed> sales gro-th caused a temporary
increase in the recei,a*lesG days sales outstanding> so in,entory reductions -ere a critical
component o" cash Ao- impro,ements. 9he cash+to+cash cycle time is e#pected to impro,e
as in,entory continues to decrease.
Improved visi@ility(

Implementation o" SAP AP@ necessitates consolidating accurate data a*out critical
materials> ,ie-ers> pac/+out capacity> and CM capa*ility. @,er time> the supply+side ,isi*ility
aBorded *y SAP AP@ -ill ena*le "urther impro,ements in in,entory turns and *etter
planning "or use o" /ey constraints.
Improved plan Cuality( Reducing the -or/"orce re6uired "or planning allo-s Palm to spend more time
analysing opportunities and impro,ing planning 6uality. 9hrough this enhanced analysis
and the impro,ements in ,isi*ility and planning cycle time> Palm is positioned "or
continuous impro,ement in time to mar/et> product li"e+cycle management> manu"acturing
per"ormance> and other areas o" strategic "ocus. In particular> the impro,ed plan 6uality
attri*uted to the CAP process has ena*led impro,ements in customer pro(ta*ility C the
channelGs in+stoc/ percentages ha,e increased> and -ee/s o" supply ha,e decreased.
;EU" %"EP%
Palm -ill continue to impro,e planning cycle time> in,entory le,els> and customer ser,ice
metrics. In particular> PalmGs target is to achie,e a one+-ee/ planning cycle time. @ther
ne#t steps include:

En#anced +#at0if analysis(
Palm intends to identi"y and model /ey -hat+i" scenario capa*ilities -ithin SAP AP@ to
support sales and operations planning. 9hese include in,entory pro)ections at the
distri*ution centers> supplier capacity modeling "or ,ie-ers as -ell as peripherals and
accessories> and plan+to+plan ,ersion comparison analysis.
Colla@oration(

Palm intends to *uild %and may encourage its e#ternal partners to *uild& on the CAP process
and use additional so"t-are tools to de,elop "urther customer and supplier colla*oration.
Colla*oration -ith suppliers -ill encompass the *road range o" manu"acturing and resource
planning issues> including helping contract manu"acturers and Palm colla*orate -ith parts
suppliers C through ,isi*ility to an
142
e#ploded *ill o" material> "or e#ample. Colla*oration -ith the channel -ill co,er
promotion planning> competiti,e intelligence> returns handling> and more.
Design for manufacturing(
9his approach -ill "urther address supply chain issues> ena*ling more postponement in the
supply chain> reductions in cycle time> increased use o" common components> decreased
in,entory> and reductions in other costs.
Product line simpli?cation(

A proli"eration o" SE.s is increasing costs and causing lac/ o" clear understanding in the
mar/etplace a*out PalmGs product lines. A reduction in comple#ity -ill help Palm address
the "ull range o" related issues.

%AP America1 Inc.
3777 est Chester Pi/e
!e-to-n S6uare> PA 17843
9 1+555+224+1424
+++.sap.com

SAP> mySAP> mySAP.com> the SAP logo> and other SAP products and ser,ices mentioned
herein are trademar/s or registered trademar/s o" SAP A= in =ermany and se,eral other
countries. @ther product or ser,ice names mentioned herein are the trademar/s o" their
respecti,e o-ners.
3. Automotive At D8.D8 CE1 %AP Case %tudy

Tol,o Construction <6uipment %Tol,o C<& is one o" the -orldGs leading producers o" hea,y
and compact construction e6uipment. In (scal year 2881> the company generated re,enues
o" SEr 21.1 *illion %^2.$ *illion&. ith 4>588 employees> the company sells its products in
more than 188 countries and maintains production "acilities on "our continents. Tol,o C<
represents one o" A' Tol,oGs eight *usiness areas. A' Tol,o is a S-eden+*ased glo*al
manu"acturer o" commercial ,ehicles and diesel engines1> -ith (scal year 2881 sales o" SEr
157.3 *illion %^21.$ *illion&.
Tol,o C< manu"actures more than 138 diBerent models o" e#ca,ators> -heel loaders> motor
graders> and articulated haulers. 9he company also oBers an e#tensi,e range o" compact
e6uipment. Tol,o C<Gs products are used "or a num*er o" applications in the construction>
mining> -aste handling> and "orest industries. 9he company has held leading positions in
estern <urope and !orth America "or many years. Since the late 1778s> the company has
*een e#tending its *usiness to Natin America> <astern <urope> and Asia.
In 1775> A' Tol,o ac6uired the construction e6uipment *usiness unit o" Samsung ;ea,y Industries to
"orm Tol,o C< Eorea> head6uartered in Chang-on> South Eorea. 9his ac6uisition ena*led Tol,o C< to
esta*lish a manu"acturing presence and enhance its distri*ution capa*ilities in South Eorea. 'y 2881>
Tol,o C< -as a*le to strengthen its mar/et share in Eorea and other important geographiesD
the Samsung ac6uisition C coupled -ith a strengthening o" the Tol,o C< *rand and an
introduction o" ne- products C played an important contri*uting role.
9hough the Samsung ac6uisition enhanced Tol,o C<Gs mar/et position> the company
reali2ed that to ensure pro(ta*le gro-th in Eorea and to sustain the ,ia*ility o" the ne-ly
"ormed company> it -ould "ace numerous challenges. 9he mar/et "or construction
e6uipment had started declining in the late 1778s> and greater competition in the
companyGs core mar/ets meant.
143
ACOUI%I"I8; I;"E<9A"I8; 3IE.D% %UPP.3 C*AI; PE9789MA;CE <AI;% A;D
IMP98DED MA9:E" P8%I"I8;
1. 9he Tol,o passenger car *usiness -as purchased *y :ord Motor Company in
1777.
A" A <.A;CE( my%APR AU"8M8"IDE A" D8.D8 CE

%trategic <oals(
0? <nsure (nancial ,ia*ility o" ne- ac6uisition *y reducing in,entory> operating e#penses>
and cost o" supplies
1? <nhance mar/et position *y impro,ing a*ility to respond to customer re6uirements

0? Reduce product+de,elopment cycle times
1? Impro,e product and ser,ice 6uality
Approac#(

Tol,o C< Eorea implemented a process inno,ation program "ollo-ing the ac6uisition o" the
construction e6uipment *usiness unit o" Samsung ;ea,y Industries. 9he program "ocused
on an o,erarching sales and operations planning process to *etter *alance supply and
demand. 9he company also impro,ed its e#ecution capa*ilities through the reengineering o"
*usiness processes co,ering order "ul(llment> product de,elopment> and procurement.
Supporting actions included impro,ing data accuracyD redesigning and integrating /ey shop
Aoor processesD esta*lishing colla*orati,e processes -ith ,endors and suppliersD and
replacing standalone legacy systems.
9his approach -as ena*led *y mySAP_ Automoti,e so"t-are integrated -ith SAPa Internet
9ransaction Ser,er and SAPa 'usiness In"ormation arehouse.
9esults Ac#ieved over t#e Period AA6 to $BB Include(

0? Reduced a,aila*le+to+promise commitment time "rom 11 days to $5 hours and reduced
shipping lead times *y $3P

0? Reduced component de,elopment cycle times "rom 23 to 14 days
1? Reduced in,entory le,els *y 13P and reduced num*er o" SE.s "rom a*out 188 to $8

0? <nhanced per capita re,enue "rom ^51>888 to ^3$8>888
1? Increased sales *y 57P and achie,ed 14P impro,ement in mar/et share

It -as also "acing gro-ing challenges "rom its competitors> particularly in the arena o" cost
reductions and customer ser,ice impro,ements achie,ed through ad,anced e+*usiness
initiati,es. In particular> =eneral Motors> Caterpillar> Wohn 0eere> and :ord had progressed
-ell in their in"ormation technology programs and presented increasingly attracti,e product
and ser,ice options to construction e6uipment customers. Tol,o C< Eorea had inherited
*usiness processes that -ere not per"orming at the le,els necessary to ena*le it to gro-
pro(ta*ly in the emerging competiti,e en,ironment> -hich -as characteri2ed *y glo*al
ri,als -ith strong capa*ilities in process reengineering.

9he time "rames re6uired to commit (nished goods to customers and to de,elop ne-
components -ere not competiti,e> and in,entory carrying costs and other e#penses
inhi*ited achie,ement o" ade6uate (nancial returns.
144
<,en "undamental administrati,e *usiness processes -ere not per"orming -ellD "or
e#ample> it too/ nearly t-o -ee/s to complete the month+end closing cycle. 9he
in"rastructure to
support any impro,ements -as also inade6uate: In,entory and related in"ormation -ere inaccurateD
there -ere inconsistencies *et-een engineering and manu"acturing *ills o" material %'@Ms&D and
applications that had e#isted in Samsung -ere isolated and did not allo- integration o" data and systems.
9hus> /ey goals "or Tol,o C< Eorea included enhancing its a*ility to respond to customer
re6uirements> impro,ing mar/et share> and reducing costs throughout the operation.
Reducing A9P commitment times> shipping lead times> and component de,elopment cycle
times -ould contri*ute signi(cantly to pro,iding impro,ements percei,ed as "a,ora*le *y
customers and contri*ute to mar/et share gro-th.

@n the cost side> reducing in,entory carrying costs -as paramount. Reducing the num*er o"
SE.s> impro,ing in,entory record accuracy> and ensuring '@M consistency -ould support
in,entory reduction eBorts. @ngoing cost reductions co,ering procured material> personnel>
"acilities> and so "orth -ere also targeted. No-ering these e#penses -ould contri*ute
additionally to mar/et share gro-th *y impro,ing the price/per"ormance o" Tol,o C<
EoreaGs products. it had to increase mar/eting e#penditures. 9he ne-ly "ormed company
-as also uncompetiti,e in terms o" its a*ility to respond to customer re6uests> and its high
operating costs did not support attainment o" re6uired (nancial returns.
=i,en mar/et "actors and its (nancial per"ormance o*)ecti,es> Tol,o C< Eorea determined
that it must impro,e its supply chain planning and e#ecution capa*ilities i" it -anted to
achie,e sustained pro(ta*le gro-th. Speci(cally> the company "ocused on ensuring that
resource and production capa*ilities met mar/et demand *y implementing a sales and
operations planning %SS@P& process. 9he company enhanced customer+"acing *usiness
processes> including a,aila*le+to+promise %A9P& capa*ilities> and "ocused on the eHciency o"
its internal operations through reengineering initiati,es to remo,e unnecessary
comple#ity
and cost.

9he company also reali2ed that its legacy stand+alone applications -ould not support its
re6uirements in the "uture.

A"ter a care"ul analysis o" alternati,es> Tol,o C< Eorea selected mySAP_ Automoti,e> SAPa
'usiness In"ormation arehouse %SAPa '&> and SAPa Internet 9ransaction Ser,er
%SAPa I9S& to help reengineer its planning and e#ecution processes. I9he SAP solutions
ha,e ena*led Tol,o C< to rein,ent itsel" to *ecome a process+oriented organi2ation>J says
?ongha/ Eim> CI@ o" Tol,o C< Eorea. Iith our process inno,ation eBorts> Tol,o employees
are no- using an integrated system that supports its daily customer+oriented *usiness
processes.J

C*A..E;<E% A;D 8BPEC"IDE%
Tol,o C<Gs ac6uisition o" Samsung -as a response to a Aattening o" demand> price
pressures> a shi"t in customer re6uirements to compact e6uipment> and consolidation
throughout the -orld-ide construction e6uipment *usiness. :ollo-ing the Samsung
ac6uisition> actions *y ri,als such as Case!e-;olland %ma)ority o-ned *y :iat&> Wohn 0eere>
and ;itachi to strengthen their Asian construction e6uipment presence ,alidated Tol,o C<Gs
consolidation mo,es. Tol,o C<
IMP.EME;"A"I8;

Shortly "ollo-ing the Samsung ac6uisition in 1775> Tol,o C< Eorea initiated a detailed
e,aluation o" its operations to determine ho- *est to satis"y customer needs and ena*le the
ne-ly "ormed company to participate eHciently in Tol,o C<Gs glo*al manu"acturing and
distri*ution net-or/.
9he *usiness processes in place at the time o" ac6uisition had e,ol,ed %until 1775& in
response to many indi,idual and independent re6uirements at Samsung C and throughout a
period o" time -hen the construction e6uipment *usiness in Eorea did not "ace su*stantial
glo*al competition. Moreo,er> SamsungGs in"ormation systems architecture -as
characteri2ed
*y independent applications co,ering sales> production> accounting> and human resources.
As a result> the companyGs *usiness processes -ere relati,ely ineHcient *ecause they had
145
*een predicated upon a lac/ o" ,isi*ility into operations and had tendencies to generate
inaccurate in"ormation.
"+o0P#ase Implementation
Tol,o C< Eorea selected mySAP Automoti,e to pro,ide the ne-> integrated application
"oundation. 9he company then undertoo/ a t-o+phase implementation program.

Phase one> -hich in,ol,ed system replacement> too/ place "rom April 1775 to August 1777.
Tol,o C< Eorea replaced e#isting systems -ith mySAP Automoti,e to co,er (nancials> order
"ul(llment> manu"acturing> and other application areas in a *ig+*ang implementation> and to
ensure ?2E compliance o" systems. 9he company also implemented SAP 'usiness
In"ormation arehouse to monitor rele,ant transaction data> actual (nancial results ,ersus
plan> and /ey per"ormance indicators.

Phase t-o> -hich in,ol,ed *usiness process redesign> too/ place "rom Septem*er 1777 to
Wanuary 2881. 0uring this time> Tol,o C< Eorea redesigned all *usiness processes to pro,ide
a plat"orm "or "uture inno,ation and to ensure consistency -ith *est+in+class *usiness
processes ena*led *y the SAP application "oundation. 9he company esta*lished an SS@P
process to more eBecti,ely *alance demand and supply. It also implemented a t-o+le,el
master scheduling process %*y product "amily and *y product options& and esta*lished an
associated A9P process.

0uring the second phase> the SAP plat"orm -as re(ned as necessary> and ena*ling results
-ere achie,ed that supported strategically signi(cant measura*le impro,ements to
in,entory> customer ser,ice> and so on. :or e#ample> product de,elopment -as among the
/ey process areas addressed. Consistency *et-een engineering and manu"acturing '@Ms
-as impro,ed as the company mo,ed to esta*lish a single company *ill o" material> and
'@M accuracy -as enhanced "rom 55.2P to 77.7P. 9he manu"acturing resource planning
%MRP& run times -ere impro,ed "rom 21 hours to 1.1 hoursD the MRP cycle there"ore could
*e e#ecuted daily instead o" -ee/ly.
9hus> -ith greater Ae#i*ility during the manu"acturing process> the company could more
easily respond to customer re6uirements.
Sales S @perations
Planning
Master Scheduling
*y :amily
Master Scheduling
*y @ption
Planning *y
Plant S Supplier
Se6uence S Acti,ity
Control
Production Procurement
@rders
:orecast
A"P %A.E% C8MPA;3

0aily 0eli,ery
Instruction/Ean*an

%UPP.IE9
Rough Cut
Capacity Planning
@ption o,er
Planning
Sa"ety 9ime S
146
Stoc/ Control
Moreo,er> the ne- processes ena*led ,isi*ility into material re6uirements "or scheduled
orders> "acilitated procurement planning> and ensured greater in,entory accuracy through
impro,ements to *ac/Aushing %relie" o" materials in the system "ollo-ing production&.
In,entory cycle counting accuracy impro,ed "rom 55.8P to 75.3P> and as a result o" more
precise operational data> Tol,o C< Eorea reduced its (nancial closing cycle time "rom 13 to
2 days. 9he implementation co,ered other areas including:
0? %#op Woor control integration

In order to achie,e real+time ,isi*ility into manu"acturing> more control o,er line operations>
and electronic gathering o" production data> the company integrated its shop Aoor control
systems -ith mySAP Automoti,e. 9his also helped Tol,o C< Eorea impro,e data accuracy
and reduce -or/+inprocess in,entory.
0? Component development

9he company redesigned the parts de,elopment process *y electronically integrating the
SAP system -ith its suppliers. Tol,o C< Eorea no- re6uests 6uotes "rom suppliers through
the Internet> and is a*le to e#ecute analysis> negotiation> and appro,al through paperless
processes.
0? E4ternal colla@oration and e0@usiness processes

Tol,o C< implemented colla*orati,e processes -ith o,er 318 domestic and o,erseas
,endors and suppliers. 9he system handles e#change o" purchase orders> in,oices> and
deli,ery notesD "acilitates searches "or product and parts diagramsD and ena*les
colla*orati,e e#change o" "orecasts> assem*ly plans> 6uality data> and other in"ormation. As
a result> Tol,o C< achie,ed important impro,ements in customer ser,iceD "or e#ample>
domestic and o,erseas dealers no- ha,e access to electronic parts catalogs and e*+
ena*led processes so they can pro,ide more eHcient ser,ice to their customers. 9he SAP
I9S ser,er pro,ides the technology *ac/*one "or these processes.
Tol,o C< Eorea has chosen to "ocus on *usiness process inno,ation. 9he company
recogni2es that its process designs are not static C and that its *usiness and ena*ling
systems -ill continue to e,ol,e in line -ith mar/et demands.
In the "uture> Tol,o C< Eorea plans to ad,ance its *usiness processes *y ma/ing use o"
mySAP Supply Chain Management capa*ilities to *etter "orecast demand and to plan its
manu"acturing and distri*ution net-or/.
9he company also intends to implement SAP portal technology to enhance its colla*orati,e
processes and e+*usiness capa*ilities. .ltimately> the companyGs achie,ements in customer
ser,ice impro,ements> shortened cycle times> in,entory reductions> and mar/et position
impro,ements -ill *e "urther ad,anced *y these implementations.
147
CA%E D 0 %ome e4periences from t#e %AP Pro!ect Managers

"#e @est t#e %AP Community oEered to me over t#e last +ee2s +as t#e my%AP
Enterprise Portals 7orum.

I got direct contact to others dealing -ith this topic and -as a*le to clari"y some o" my
6uestions -ith e#perts "rom SAP or other contri*utors.

9he "orum also gi,es me a picture a*out pro*lems others ha,e -hich is ,ery important "or
me as a consultant "or mySAP <nterprise Portals. I am there"ore a*le to concentrate our
ser,ice oBerings to-ards the most -anted solutions out in the mar/et.

Another ,ery good thing a*out the community are the -e*casts o" the diBerent SAP
e,ents -orld-ide. @"ten it is not possi*le to *e on site *ut to ,ie- the li,e casts or the
presentation a"ter-ards is a good su*stitude.

hat I -ould li/e to *e the Community in the "uture is to *e the entrance point to all the
other help"ull SAP sites on the -e* such as the SAP 0esignguild or the "orum on
---.i,ie-studio.com.
ann
Eind regards> iedem
Michael
Mic#ael 5iedemann
e+'usiness Solutions International
Siemens 'usiness Ser,ices =m*; S Co @;=
Munich> =ermany

hile 6ueries arise at ,arious clients and our internal data*ases are utili2ed to see/
ans-ers. SAP Community pro,ides direct access to SAP pro"essionals on ,arious 6ueries
that are not ans-ered in other ,aroius SAP resources> this allo-s us consultants in the (eld
to pro,ide good credi*le ans-ers to clients rather then ZassumptionsZ.
pta
All the *est>
.day =u

Uday <upta
Consultant
Price-aterhouseCoopers Consulting
Charlotte> .SA

"#e %AP Community1 especially my%AP Business Intelligence 7orum #as
@een a great resource of 2no+ledge and e4pertise. %AP e4perts and peers
s#are @est practices and solutions to tec#nical pro@lems.

0uring my research on '3.8> I came across many 6uestions> mostly ans-ered *y SAP
pro"essionals in a timely manner. @n one occasion> -hen I -as e#perimenting -ith Process
Chain> I came across a data load pro*lem. I posted a 6uestion in the "orum and *y the ne#t
day an SAP e#pert had pro,ided me -ith the solution.

ith this resource I ha,e not had to Zrein,ent the -heelZ "or each pro*lem I ha,e
encountered. It has sa,ed me ,alua*le time.
Regard
s>
;ugo
rand
a
148
*ugo Miranda
Eim*erly+Clar/
Appleton

As a %upply C#ain Management Consultant +or2ing +it# my%AP %CM
solutions1 I am involved in a num@er of assignments +it# clients.

9hese assignments o"ten in,ol,e assessments to clari"y ho- AP@ can *e positioned
in the clientOs application port"olio. In the assessments I need to address the
"ollo-ing types o" 6uestions:

0? general 6uestions regarding ho- AP@ O(tsO -ith other mySAP.com components %eg AP@ and
SC<M&
0? speci(c 6uestions regarding AP@ "unctionality %eg la*our planning in AP@ S!P> use o" (#ed
pegging relationships in AP@ PP/0S&

I use the SCM SAP Community to help ans-er *oth types o" 6uestion.

I ha,e "ound the Community a good source o" practical in"ormation "rom *oth other
consultants -ho ha,e "aced the 6uestion already> and "rom SAP themsel,es ,ia the
OSAP moderatedO discussions.

9he Community is certainly a Onet-or/O -hich really -or/sc
Regard
s>
'o*
i
n
Bo@ Austin
SCM Consultant
Atos @rigin

9egarding( %AP Community 5e@cast on 8ct $& on my%AP *uman 9esources and my%AP
7inancials.


9here -as another spea/er> *esides 0r. Ro*ert Eaplan "or *alance scorecard> *eing ;olger
;uels C:@ "rom 'oehringer Inglheim % the =erman pharmaceutical giant& -ho -as
narrating the improtance o" integration during implementation o" SAP. ;e -as emphasising
the "ocus to *e on 'usiness Process than the 'usiness "unctions and this -as e#actly the
same -ay -e did at Carrier aircon through P-C.

I -as reli,ing the pro)ect -hile listening to ;olger ;uels and en)oyed it thoroughly. as
,ery glad to /no- that same approach -or/ed -ell -ith another M!C else-here in the
-orld. It -as indeed a great amount o" eBort the pro)ect director Susheela Ten/ataraman>
spent in con,incing Carrier in ad,antages o" going the process -ay than "unctional.

9han/s ,ery much "or ha,ing such use"ul -e*cast.
n
asude,a
Eind Regards>
Sridhar T

%rid#ar Dasudevan
%<#+P-C India Consultant&
SAP 'usiness Analyst
I9C
Auc/land City Council

F#ttp(>>+++.sap.com>community>success>1$BB&G
149
C#apter 6. Conclusion


9his *oo/ "ocused on the topics: modeling the corporation> -hat is a pro)ect> modeling
pro)ect management> <RP methodologies and (nally SAP implementation approaches. It
includes SAP pro)ect approaches o" ,arious companies> consulting (rms> SAP head6uarters
=ermany> users and authors. 9he *oo/ *ene(ted "rom material "rom ,arious te#t*oo/s>
re"erence *oo/s> techni6ue maga2ines and documentation o" consulting (rms. SAP
consultants> implementers> related pro)ect companies and users ha,e shared their current
/no-ledge and e#pertise -ith us. And I -ould li/e to e#press my gratitude to e,eryone -ho
has contri*uted "or his or her ,alua*le time.
.
9he aim -as to create a per"ect re"erence *oo/> not only "or SAP users *ut also "or
undergraduate students. 9opics regarding A'AP programming> modules and technical issues
are a,oided. 0uring my in,estigation I o*ser,ed there are satis"actory *oo/s on A'AP or
module usage in the -orld. 9here"ore it -asnGt necessary to incorporate these su*)ects in
this *oo/. Instead> the *oo/ mainly concentrates on a system approach and integrated
pro)ect management. It addresses possi*le pro*lems> ris/s> ad,antages and milestones.
<#amples and case studies are gi,en> and comparison ta*les and many (gures support the
topics in order to clari"y the theory. 9he purpose o" this -as to create a *oo/ that is a
pleasure to read and -ithout too many diHculties.
I might mention that I couldnGt get a good response "rom the users regarding the
6uestionnaire appendi#. 9here"ore no analysis o" this statistical 6uestionnaire -as included.
Such an analysis might ha,e gi,en a good idea a*out SAP usages> personal user ideas and
some comments. My apologies "or that. ;o-e,er> some companies ha,e supported us and
presented their o-n implementation and company in"ormation. :or this reason I -ould li/e
to than/ them again.

SAP pro)ect management -as the concept> -hich is not /no-n ,ery -ell> -e donGt ha,e
enough in"ormation and e#pertise> sponsors a,oid *ecause o" (nancial matters. <specially
"or some companies -as too much e#pensi,e to thin/ on it. It still continues to a,oid it.
<ither large si2ed or mid si2ed companies can a,oid to pay e#tra money on pro)ect
management. 9hey can thin/ it as only license cost. @r in the starting point they cannot
understand -ell -hat /ind o" costs they can aBord. @ne o" their re)ect reasons is not
accepting the ,alue o" ser,ice or human. hereas> the human is one o" important parts o"
technology. In this *oo/ -e o"ten underline the ,alue o" human.


9he SAP pro)ect management concept is in "act not diBerent "rom general pro)ect
management approaches. @n the other hand the conte#t o" the product is sometimes
complicated *ecause o" "ull integrated> in,ol,ement o" all *usiness process tas/s> and
Ae#i*le and has "ull "unctionality. <,en the client is so large than )o* tas/s *ecome more
larger as -ell and so pro)ect can get into more complicated statement> in time. 9hat is -hy
it re6uires strong pro)ect management s/ills> and a strong methodology e,aluation process
in the *eginning.

In the *oo/ -e included the cultural eBects on the pro)ect management. e mentioned
our cultural structures> our people *eha,ior attri*utes> re6uests> their moti,ation "actors>
success criteria> and hesitations. Particularly some constraints li/e (nancial or *udget are
seriously aBecting the success o" SAP pro)ect management. I" they e#tremely limit *udget
and pro)ect time it is un"ortunately not possi*le to e#pect success"ul pro)ect management.
'ecause in our country pro)ect resources are limited illogically> clients sometimes need
years to implement SAP. So instead o" cost cutting they -ill ha,e (nally end up -ith much
more pro)ect costs.
At the time SAP esta*lished an oHce in 9ur/ey %in a*out 1771&> users still "ound it diHcult to
understand and implement. 9here -as not enough e#perience> customi2ation to local
process and documentation and there -ere not enough re"erence clients. Consultants spent
years to create it and spread them around. So /no-ledge sources> re"erence users> pro,en
e#amples and case studies ha,e increased in time. !o-adays most people in 9ur/ish
industry /no- a*out SAP as a concept or they can ha,e an idea a*out its capa*ilities.
150
I" -e compare current SAP pro)ects -ith approaches o" past pro)ects in 9ur/ey -e clearly
o*ser,e as "ollo-s:
0 0ecision ma/ers donGt e,aluate SAP )ust as product only *ut as a system
1 ;e )udges the price *ut -ith a cost+*ene(t approach
2 ;e understands that his -or/"orce is the most important resource
3 ;e understands it is *usiness process re+engineering and not only a product installation
4 ;e must guard the pro)ect time and *udget ,ery much. 'ut it should *e logical.
5 ;e *elie,es that -or/ is team-or/> not )ust independent indi,idual -or/.
I included the human "actor so much in the *oo/. A 6uali(ed pro)ect manager> 6uality team
and "aith"ul and hard-or/ing team are ,ery important assets. ;o-e,er> clients sometimes
can lose their success"ul employees *ecause o" an ineBecti,e moti,ation system.
Particularly in our country -e ha,e to de(ne and e#ecute the most suita*le moti,ation type
"or the company> *ecause people -ho -or/ "or a SAP pro)ect re6uire more moti,ation than
"or other pro)ects. :urthermore> )o* conditions in 9ur/ey are clearly more diHcult than in
other countries. 9he pro)ect team sometimes hasnGt got a Ae#i*le> com"orta*le and happy
en,ironment *ecause they ha,e a ,ery tight tas/ plan and hard responsi*ilities.
Additionally> the compensation is not moti,ating either> compared -ith salary policies in
other countries> although SAP employees here *oth -or/ much harder and earn less than in
the <uropean countries> "or instance. 'ecause o" this there is a ris/ that SAP employees can
*e oBered an alternati,e opportunity either during the pro)ect or a"ter implementation.
9hese things are /no-n to happen. A 6uali(ed SAP consultant can (nd a good )o* in e,ery
country> -here,er he -ishes> *ecause SAP *usiness is an international career opportunity
"or an engineer.

'ecause o" these reasons> employers in our country should oBer *etter )o* conditions "or
their pro)ect team to /eep them longer. 9hey should moti,ate them and also control. I" the
pro)ect team is a*le to get a good support "rom top management> I *elie,e the pro)ect is
(nali2ed -ith ma#imum success. 9he lac/ o" e#perienced resource can *e a serious loss "or
the pro)ect.
In the *oo/> it has *een in,ol,ed the pro)ect tas/s in detail. Sometimes it -as detailed *ut
sometimes it -as so summari2ed that changes into company *usiness processes> *ecause
the implementation is locally customi2ed *ased on the company. 9hat is -hy
implementation methodology can change according to the company> in "urther steps
*ecause e,ery company can get a diBerent *usiness Ao-. In this case you can *ene(t "rom
the in"ormation in the *oo/ terminologically. 'ut at least -e incorporated the SAP and
pro)ect terminology currently used. ;o-e,er these topics al-ays impro,e and terminology
gets larger more and more.

9he decision to prepare a *oo/ concerning technology -as not certainly easy. 'rieAy such a
-or/ -as re6uiring a good team-or/. Additionally -e ha,enGt *een "ound a good re"erence
*oo/ to train and to implement. In "act it -ould *e a,aila*le *ut the *oo/s has *een
theoretical only and -e -ould need a good guide> including multiple methodologies>
methods> actual cases> and e#periences. Perhaps they are sold in the mar/et *ut most o"
them are a*out A'AP programming.
Another point I -ant to emphasi2e is related to pro)ect duration. In my opinion the length o"
actual pro)ect is "ar "rom predicta*le. 0onGt e#pect it to *e short> and it -ill ,ary "rom pro)ect
to pro)ect> in our country particularly. 'ut instead o" that -e can set a deadline "or pro)ect
and try to /eep it. In my opinion and e#perience> there are no suita*le methods to
determine accurately ho- long a pro)ect might ta/e. So it can *e much less or much more
that desired. As a result> pro)ect team goes into the stress and stress ma/es them
unsuccess"ul usually. Perhaps the system can go li,e on time> *ut -ill it run as intendedF
;o- o"tenF

In short> logical timing has more ad,antages and is more producti,e than a ,ery limited plan
-ith the ris/ o" ha,ing to re+implement the system continuously. 9his seriously damages the
pro)ect.

;o- do corporations select a pro)ect methodF In my o*ser,ation> most o" them used ASAP
methodology or Talue SAP> no-. 'ut are these o*ligatoryF Perhaps there are more eBecti,e
methodologies "or the
151
particular company. @ther options> li/e methodologies o" glo*al consulting companies>
should *e e,aluated as -ell.
Another important point> they shouldnGt ignore the phase o" system analysis and design.
<,ery company should analy2e and design their processes at the *eginning. 'rieAy> SAP
implementation shouldnGt *ecome a system installation and module application. In this
point> I can ad,ice to e,aluate ,arious pro,en methods and decide the most con,enient
one. And also it shouldnGt *e "orgotten to handle the
system -ith re+engineering approaches.
In the -orld> there are consulting companies -ho speciali2e in SAP only. 9hey de,elop
methodologies> test and apply "or the SAP clients. 9hey also impro,e it continuously
*ecause SAP *usiness is core *usiness "or them. SAP is generally "ocused on product "amily
de,elopment.
Intelligent companies should consider pre+training *e"ore implementation. 9his shouldnGt *e
SAP or <RP training *ut they should get training on pro)ect management s/ills. A"ter the
training> they can determine the re6uirements and e#pectations report detailed in order to
distri*ute to <RP consulting companies. In *rie"> candidate users should li,e a good
preparation period so they -ill "eel ready to implement the system. 9his means orientation.
9here are also companies -ho pro,ide ser,ice on this matter.
In the preparation stage> the "ollo-ing su*)ects are part o" the *asic decision process:
0 E4P product<
1 Modules<
2 Methodology<
3 Pre=trainings<
4 Pro>ect( :ision( Mission<
5 Contractor< &r Sub=contractor<
6 Priority +as5 -ist
7 E#pected Start and 1inish Date
As a result( reading this 6or5 completely 6ill benefit you to be successful. And if it adds a 'alue to you
and , 5no6 this then , 6ill feel , ha'e completed a useful 6or5 for you.
Please 5indly send your all=sincere comments( ideas and suggestions to the e=mail address belo6.
E'erything sent me 6ill be gladly appreciated( than5ing you for your time and effort.

ar2u*alogludsuperonline.comD a*alogludeng.marmara.edu.tr
See you in a pro>ect. )ith my best 6ishes?
152
APPE;DIUE%(


Appendi4

5#atXs ;e+ in Dalue%AP 0 Edition $

Introduction

TalueSAP Admin 9ool

Question S Ans-er 0ata*ase

Master Nists

'usiness Process Procedures

Solution Map Composer

Concept Chec/ 9ool

@utloo/ 2881

Contact In"ormation

Introduction

9his document contains in"ormation on ne- "unctions> "eatures and content deli,ered -ith
TalueSAP <dition 2.

Dalue%AP Admin "ool
!ects
9he "ollo-ing changes ha,e *een made to the Admin 9ool "or TalueSAP <dition 2:
ple pro
g multi
0 8penin: <dition 2 oBers you the opportunity to open more than one pro)ect
at the same time. ?ou can open multiple <dition 2 pro)ects> *ut only one pro)ect "rom an
older C0. 9he actual num*er o" pro)ects that you can success"ully open and run at the same
time -ith reasona*le
nance )ect )ect
per"ormance -ill depend on your system resources. A,aila*le memory> processor speed> other open
applications and your net-or/ connection may all aBect per"ormance. mainterrent Pro "ault Pro
0 Pro!ect: 9he Ma/e Cu *utton has changed to Ma/e 0e .
9he de"ault pro)ect is either the last pro)ect you installed or the last pro)ect you opened.

Implementation Assistant

9he Implementation Assistant %IA& pro,ides ser,ices> tools> and methodology to support
your implementation pro)ect. ?ou can ma/e use o" the TalueSAP Roadmap> accelerators> and
tools to complete pro)ect tas/s. 9he Implementation Assistant pro,ides you -ith lin/s to the
Question S Ans-er data*ase %QSAd*&> Eno-ledge Corner %EC&> glossary> and pro)ect plans.

In addition to e#isting Roadmaps> this release includes ne- Roadmaps. Industry+speci(c
documentation -ill continue to *e oBered on separate C0s.

;e+ 7eatures
s(
re item
structu153
0 CopyingIt is no- possi*le to copy structure items along -ith all o" their
su*items. ZCopy o"Z appears in "ront o" the copied parent node. All copied structure items
appear in *old in the structure. All attri*utes> topics and lin/s assigned to structure items
are copied -ith structure
tions(
items. @nce you ha,e copied a structure item> you can change its attri*utes.
0 Print op9he print options ha,e *een enhanced "or this release. hen you print out a topic
or a topic -ith all o" its su*topics "rom the Roadmap structure> you no- ha,e the option o"
printing additional in"ormation "or each document. ?ou can include in"ormation on one or
more o" the "ollo-ing in
eport(
your printout: Roadmap Aa,ors> roles> su*)ect areas> document type> accelerators and Internet lin/s>
ting a r
customer status> and customer comment.
0 <eneraA"ter you ha,e adapted the Roadmap structure to suit your enterpriseOs
re6uirements> it is possi*le to directly import the Roadmap structure into a Microso"t <#cel sheet. ?ou can
ptions(
choose to include in"ormation on accelerators and Internet lin/s in this report.
0 7ilter oIt is no- possi*le to com*ine the role and su*)ect area (lters. 9his ena*les you
to limit your ,ie- to structure items that are assigned at least one o" the roles and one o" the su*)ect
areas that you ha,e selected as your (lter.

;e+ Content

TalueSAP <dition 2 oBers ne- Roadmaps plus all the e#isting Roadmaps> some o" -hich
ha,e *een enhanced. !e- Roadmaps "or TalueSAP <dition 2 are 'usiness In"ormation
arehouse %'&> Eno-ledge arehouse> Strategic <nterprise Management %S<M&> Small
and Medium 'usinesses %SM'& S ;osting. 9he num*er o" pro)ect roles "or TalueSAP <dition
2 has *een signi(cantly reduced to eliminate unnecessary repetition.

Implementation P#ase

0 9>&( 9he R/3 Implementation Roadmap has *een updated in line -ith current @rgani2ational
Change Management %@CM& methodology. In addition> you can no- trans"er documents you
ha,e created or changes you ha,e made to documents in the Customer Solution Strategy
Roadmap directly to the Implementation Roadmap. 9his reduces -or/load and impro,es
consistency *et-een the t-o
Roadmaps. ment(
C
9
s
i
o
c
u
r
e
2.8C&. All content has *een updated "or <dition 2 and the solution> OPer,asi,e Ser,iceO> has *een added.
s0to0Bu
Some roles ha,e *een replaced and the rest ha,e *een updated.
0 Busines9he 'usiness+to+'usiness Procurement Roadmap has
*een enhanced to oBer more ''P detail "or your implementation pro)ect and contains ne- topic (les and
accelerators. ace(
5or2pl 9he or/place Roadmap has *een updated in line -ith the "unctionality pro,ided in e(
Release 2.18 o" the mySAP.com or/place.
B
5
re#ous
additional accelerators to support implementation o" ' in your enterprise. dge 5a

:
n
o
+
l
e
t
9he E Roadmap "or TalueSAP <dition 2 is *ased on E So"t-are agemen
Release 1.8 -ith three areas: 9raining Management> Per"ormance Assessment or/*ench and e*
Content Management. rise Man
%
E
t
e
n
t
e
r
p
mySAP.com component> Strategi . 9he S<M Roadmap contains accelerators and
Internet lin/s to current in"ormation on S<M in SAP!et. "empla
0 <lo@al : 9he Quality Management -or/ pac/age no- includes ne-ly de,eloped
program re,ie- topics and accelerators. Eey accelerators include sel"+assessment
chec/lists and Setup
templates that can *e used to present (ndings "or each phase. 9he program re,ie- is used -ith
=lo*alASAP> -hereas the pro)ect re,ie- is used -ith ASAP. 0eli,era*les ta/en "rom the strategy de(ned
rogram
9here are ne- @rgani2ational Change Management topics and accelerators and also more "ocus on the
=lo*al Solution Pac/age in this release. *osting
%MB H 9
phase "or the SM' S ;osting Roadmap diBers "rom the Implementation Roadmap in that it includes
'lueprint 154
presales acti,ities that allo- the customer to identi"y early on> -hich precon(gured solution is most
suited to them. Most o" the pro)ect -or/ in the 'usiness phase consists o" de(ning the
diBerences %the delta& *et-een the customerOs re6uirements and the processes deli,ered in their
precon(gured solution. 9he Pro)ect Preparation phase includes additional steps for preparing and
installing a hosted SAP %est Practices system. +his system can be used as early as the
Business Blueprint phase as a demonstration and de'elopment system for determining the delta.
,n later 4oadmap phases( data can be transferred from the demo system to the producti'e
system.
0 -pgrade. +he *pgrade 4oadmap no6 includes information on the procedure for a
Customer=%ased *pgrade @C%*A( and information on the 4e'erse %usiness Engineer
@4%EA( 6hich is used to analyze producti'e SAP systems. Be6 6or5 pac5ages(
acti'ities( tas5s and accelerators are pro'ided to e'aluate the need for an upgrade( to
determine the release reCuired and to upgrade and test the upgrade system. ,n
addition( the *pgrade 4oadmap no6 includes specific information to support ,S=&il
upgrades.
:no)ledge Corner

;no6ledge Corner content has been updated( but the structure and functionality remain the same.
Question 7 8ns)er +atabase

+he D7Adb is a central information repository that you can use to define( document and store the business
reCuirements of your enterprise. ,t is mainly used for implementation pro>ects( either at a single site @standard
implementationA or multiple sites @GlobalASAPA.
+he D7Adb functions and content 'ary according to the pro>ect type and fla'or you ha'e installed. See the
installation guide for :alueSAP Edition for further details.
After feedbac5 from 'arious pro>ects using :alueSAP in a 6ide area net6or5 @)ABA en'ironment( 6e ha'e
impro'ed performance for 5ey D7Adb functions. +his impro'ement in performance is particularly important for
customers using GlobalASAP.
1unctions 6ithin the tool itself such as setting the scope( copying structure items or setting o6ners ha'e been
enhanced for speed. +he speed at 6hich you can access pro>ect documentation andEor other documentation
templates located on a file ser'er still depends upon the transmission rate @band6idthA of the )AB en'ironment.
Ae) Features
0 "o$pose proect structure$ ,t is no6 possible to integrate different SAP 4eference
Structures for mySAP.com components @fla'orsA into one D7Adb. Pro>ect managers
can combine 'arious SAP 4eference Structures to ma5e up one pro>ect structure.
+his enables the pro>ect team to 6or5 on the entire implementation scope( for
e#ample( 4E.( AP& and %) in one D7Adb.
%efore you create your pro>ect structure( the SAP 4eference Structure on the left screen
area only contains le'el the " structure items for each substructure. Pro>ect managers
and
the %usiness Process +eam compose the initial pro>ect scope using the Compose project
structure function in the Administration menu. +he Compose project structure dialog bo#
displays all SAP 4eference Structures for the D7Adb fla'ors you ha'e installed. ,f
you 6ant to use other SAP 4eference Structures for your pro>ect scope( you can
enable @or
disableA additional SAP 4eference Structures @Administration -> Settings -> Set project
flavors A.
,n the SAP 4eference Structure for 4E.( you can access SAP documentation or display
diagrams in the Diagram E#plorer for some structure items. +his helps you to decide
on and set your pro>ect scope.
155
+o select structure items from one or more SAP 4eference Structures( use CTRL +
left mouse clic to select each structure item. 2ou can then use one of the follo6ing
options to transfer the selected items to your pro>ect structure$
o Reference creates a shortcut or lin5 to the original structure item. 4eferenced
structure items are included in upgrades of the SAP 4eference Structure.
o Cop!"paste creates a physical copy of the original structure item. Copied structure
items are not included in upgrades of the SAP 4eference Structure.
ecommendation
)e recommend that you use the Compose project structure dialog bo# at the start of the %usiness %lueprint
phase mainly for referencing or copying structure items and that you carry out other functions such as adding
structure items( renaming( setting in scope or setting order directly in your pro>ect reference structure
on the initial screen. )e also ad'ise you not to use the Compose Project Structure dialog bo# to refine your
scope at a later stage in the pro>ect.
+o ensure that your pro>ect scope contains the entire solution of the implementation pro>ect( compose the
initial pro>ect scope on a high le'el such as le'el . and lea'e the details such as renaming( adding( copying(
or setting detailed scope to the %usiness Process +eam.
Aote$ %efore you use the Transfer scope from function in the Administration menu @for e#ample( from the
Solution Map ComposerA( you ha'e to set the initial pro>ect scope manually in the Compose project
structure dialog bo#. +he Transfer scope settings to R"# function 6ill only transfer scope to 4E. Systems.
&ther mySAP.com components( for e#ample( AP&( %) are not supported at this time.
0 Logical syste$s$ Different SAP 4eference Structures are used for specific SAP products
@mySAP.com componentsA. +hese products operate in a di'erse SAP system landscape.
+he ne6 logical systems function deli'ered 6ith Edition allo6s you to document
the system landscape you reCuire for your pro>ect structure.
Select Logical s!stem management in the Administration menu. ,n the Logical s!stem
management dialog bo#( you can define logical systems and select one or more SAP
Systems.
,t is then possible to assign logical systems to structure items in your pro>ect
structure. 2ou can choose to filter your 'ie6 to those structure items that are
assigned a logical system. +he reporting option allo6s you to reduce the scope of
your %usiness %lueprint document to information on a specific logical system.
ecommendation
+he follo6ing procedure is recommended for the Logical s!stem management dialog bo#$
Select Add logical s!stem to create one or more logical systems( assign a fla'or to the
-S( enter the reCuired logon data for the SAP Systems and choose the corresponding
system classification @for e#ample( Sand$o% or &ev"Customi'ingA for the logical system.
,f your pro>ect system landscape reCuires additional system classifications( it is possible
to create ne6 system classifications and assign logical systems to them.
)hen you assign a fla'or to more than one logical system( you need to set one logical
system as a default system for this fla'or. )hen you assign a logical system to a
structure item 6ith this fla'or( a logical system is then automatically offered as a default
system. +o assign a logical system to a structure item in the D7Adb pro>ect structure(
select the
structure item and choose Assign to logical s!stem from the conte#t menu @right mouse
clic5A
2ou can edit and delete logical systems.
156
0 /0Ad1 authori(ation concept$ ,n addition to the e#isting authorization le'els( a ne6
o6nership=based authorization concept has been introduced 6ith Edition .
Modifications and changes to the %usiness %lueprint are limited to the assigned
o6ner@sA.
+he follo6ing restrictions for editing structure items are a'ailable in the Protection options
dialog bo# @Administration menuA$
o (ull restricts authorization to the assigned o6ner only.
o Lo) allo6s the o6ner and users 6ith a higher access le'el than the o6ner to edit
structure items and the %usiness %lueprint.
o *one means that there are no o6ner=specific restrictions @default settingA.
+his function is especially useful in larger pro>ects 6ith larger pro>ect teams( 6here it is more difficult
to control the acti'ities of pro>ect team members.
+eam member authorization has been e#tended for Edition . +eam members are no6 also
authorized to maintain status( and generate the %usiness %lueprint( issues report( and current
Cuestions report.
0 "hange ownership$ ,t is sometimes necessary to change the assignment of o6ners
during a pro>ect. Edition pro'ides a ne6 function allo6ing you to change o6ners
0( Administration =F C+ange o)ners+ipA$
o All changes the o6ner 6here'er the pre'ious o6ner 6as assigned.
o Structure items allo6s you to assign a ne6 business o6ner andEor consultant as
o6ners of structure items.
o ,ssues enables you to change and assign 'arious o6ners for issues as
4esponsible "( 4esponsible ( effort o6ner( info=only user or action item o6ner.
o &ocuments allo6s you to change the o6ner of a document.
0 )rgani(ational "hange Manage$ent$ 4e'ised &rganizational Change Management
@&CMA acti'ities for the %usiness %lueprint phase are supported by a ne6 D7Adb function
called -C. Rating. &CM rating is a'ailable for le'el 8 structure items in the Business
Processes substructure and can be accessed from the conte#t menu @right mouse clic5A.
&CM rating allo6s users to rate the potential ris5 for their organization of implementing
a specific process and the business impact this 6ould ha'e on the organization.
,nformation on ho6 to approach organizational changes can be documented in the
related C,
template sections. 2ou can access the C, template sections from the -C. Rating dialog
bo#.
2ou can choose to filter your 'ie6 to structure items assigned an &CM rating. +he &CM
rating can also be included in the %usiness %lueprint @Reports -> Business Blueprint ->
-rgani'ational C+ange .gmtA.
Feature enhancements
*sability impro'ements and the impact of ne6 concepts such as composing the pro>ect structure or o6ner=specific
authorization ha'e resulted in the need to adapt the follo6ing e#isting D7Adb functions$
0 2ilter options$ +he Set filter attri$utes @/dit menuA and 0ie) $! filter @0ie) menuA
functions ha'e been redesigned to include all ne6 filter options @for e#ample( fla'or(
logical system( &CM rating or statusA. +he ne6 filter options allo6 you to 'ie6 the
pro>ect structure according to one or a combination of filters.
0 Reports$ ,n addition to the ne6 &CM rating report( e#isting report content( layout( and
options ha'e been enhanced to support ne6 functions. 1or e#ample( the ne6
structure item attributes such as logical system or fla'or can be documented in all
reports.
%usiness %lueprint options$ +he Blueprint options dialog bo# has been reorganized and
no6 contains three tabs @(ilters( Content( and Print optionsA. *nli5e the standard filter
157
function( it is not possible to select more than one filter for the %usiness %lueprint.
)hen you generate a report containing all substructures( the report no6 also contains
e#planations for the Cuestions. Any information on ;ey Performance ,ndicators @;P,sA
has been remo'ed. All ;P, information is included in the ;P, report( 6hich is no6
a'ailable in Microsoft E#cel format. +he report pro'ides an o'er'ie6 of all ;P,s and
their related business processes.
0 "# te$plates$ As of this release( it is possible to 'ie6 C, template properties 'ia the
conte#t menu @right mouse clic5A Properties -> C, template properties. +he C, template
properties dialog bo# contains details of the date on 6hich the C, template section 6as
last modified and 6ho last changed the section. +his allo6s you to trac5 changes to
C, template sections.
ecommendation for B9- +he D7Adb only contains the standard C, templates for
reference structures 6ithin 4E.. ,f you are 6or5ing in a mi#ed reference structure
en'ironment and reCuire the C, template for %)( you can copy the follo6ing C,
template
sections and insert them in the C, template. Select a structure item from the Business
Processes substructure( and open the conte#t menu @right mouse clic5A 6ithin the C,
template for the structure item @lo6er right screen areaA. Select Add as previous or Add as
ne%t and copy the C, template section into the Te%t field and the Cuic5 info into the
Comment field of the dialog bo# that appears. Choose -1. 4epeat this procedure for all
sections. +he %) sections added appear for e'ery structure item in the Business
Processes substructure.
C( Template Section
1. Structure - calculation








2. Structure - characteristics








3. Structure - period
4. Technical re;uirements -
past<future
Quick (nfo
,s this ;P, calculated from other facts< @Define the formulaA.
,n 6hich unit is this ;P, represented<
Should 5ey figures be 'isible to all users< ,f not( the Cuery must be
split or authorization
management set up respecti'ely.
1or 6hich business ob>ects do you 6ant to see the respecti'e facts<
,s there an e#isting hierarchical order that you 6ould li5e to report on<
Do you 6ant to restrict the output on certain ob>ects
due to authorization<
)hat is the time le'el you need to report the data<
)hat is the ma#imum rele'ant time span in the past<
,f you do time comparisons( 6hat do they loo5 li5e<
5. Technical re;uirements - sources Do you 5no6 6here the rele'ant data comes from<


0 )ther usa1ility i$pro'e$ents$ 1eep ta$le vie) open in the 0ie) menu allo6s you to
continue to display information on associated items @for e#ample( C, template
sections( %P transactionsA on the lo6er right screen area 6hile na'igating through
the pro>ect structure.
G*4-G has been added as a ne6 document type for document management.
158
Ae) Content
S8P eference Structures @see also the installation guide for :alueSAP Edition A
0 R*3$ 4elease /.HC 6ith no ma>or content changes
1 AP)$ 4elease ..!A @also a'ailable on a separate CD( ASAP for AP& ..!AA
2 BBP$ 4elease .!C @only shipped 6ith :alueSAP Edition A
3 "RM$ 4elease .!C @only shipped 6ith :alueSAP Edition A
4 SEM$ 4elease .!% @only shipped 6ith :alueSAP Edition A
5 B4$ 4elease .!% @first official releaseA
See 4ecommendation for %) for information on 6or5ing 6ith the C, template for %).
Aote$ +he ;P, substructure has not been updated for this release( but a ne6 list of ;P,s for Supply Chain
&perations can be do6nloaded from SAPBet at http$EEser'ice.sap.comEasapcontent .
,aster 3ists

Some minor impro'ements ha'e been made to e#isting master lists( in particular to the %PM-. ,t is no6 possible to
access C, template attachments from the pro>ect documentation column.
Business Process Procedures

%usiness Process Procedures @%PPsA ha'e not been updated for Edition .
%PPs are a'ailable 6ith this edition for the SAP 4eference Structure for 4E. and you can access them from the
%PM- or the %PPs subfolder @)indo6s E#plorerA of the installed :alueSAP pro>ect.
+he last update of %PPs for :alueSAP Edition " 6as based on 4elease /.HC.
Solution ,ap Composer
+he Solution Map Composer 6ill not be deli'ered on the :alueSAP Edition CD. 2ou can( ho6e'er( do6nload the
soft6are from SAPBet or the SAP Ser'ice Mar5etplace using the alias GsolutionmapsG.
,t is still possible to transfer scope from the follo6ing solution maps to the D7Adb @as in Edition "A$
0 Automoti'e Supplier
1 Chemicals
2 Consumer Products @CPA
3 Iigh +ech
4 Mill Products
5 Pharmaceuticals
6 Ser'ice Pro'ider
Concept Check Tool

As of this release( the Concept Chec5 +ool @CC+A 6ill no longer be deli'ered. CC+ functions and content are
co'ered by other SAP ser'ices.
"utlook 'CC%

,n !!"( 6e e#pect to ship t6o support pac5ages for :alueSAP Edition .
,n the future( the contents of this CD set 6ill be deli'ered as part of a set of online tools. +his online tool set 6ill
ser'e as a portal for access to all tools( content( and methodologies reCuired for the e'aluation and implementation
159
of integrated business scenarios supported by mySAP.com( thus allo6ing you to optimize your use of the
preconfigured content shipped 6ith SAP %est Practices today. ,n addition( content in the Customer Solution Strategy
and the Continuous %usiness ,mpro'ement 4oadmaps 6ill be more closely aligned 6ith the corresponding ser'ices
pro'ided by either SAP or a partner company.
Contact (nformation

1or further information$
Europe$ !!9!!=:A-*ESAP @!!9!!=989.JJA
Borth America$ "=9HH=SAP=:A-* @"=9HH=JJ=989A
Email$ 'alueSAP@sap.com





Appendi4 $

%2ill Pro?les for Eac# 9ole


Application Consultant
Description
&he 5$$lication Consultant e''ecti*el" %esigns ho) the re>uire% (usiness $rocesses an%
anal"tical1re$orting re>uire!ents !a" (e re$resente% in the so't)are con'iguration: an% trans'ers
a$$lication %esign an% con'iguration 8no)le%ge to (oth (usiness $rocess tea! lea%s an% other
tea! !e!(ers. &he 5$$lication Consultant $ro*i%es (est (usiness $ractices 8no)le%ge to ai%
the %esign $rocess. =e also acts as an a%*isor an% ai%s the $roject tea! in all tas8s: as necessar".
6o%i'ications o'ten create signi'icant change !anage!ent issues. 5s a result: the 5$$lication
Consultant is in a 8e" $osition to $ro*i%e *alua(le in'or!ation 'or the organi?ational change
!anage!ent $rocess.
I' legac" %ata is e,tracte%: a close relationshi$ is re>uire% )ith the legac" s"ste! e,$ert.
160
%2ills Pro?le

Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho) 8d$anced 9orkplace myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/ :no)ledge

myS8P&com core
"perating system.s/ Basic
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management e@perience
Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge<E@perience




8t#er 9elated %2ills
Product e;uired Skills
!"5P.co!
@or8$lace
@e( &ools
6ini5$$s
//P 5P //P
6aterials 6anage!ent
Catalog etu$ . 6aintenance
@or8'lo) e,$erience not essential: (ut a $lus
/@ /@ 5%!inistrator @or8(ench
In'oCu(es an%1or Aueries
Logical 6o%els
/@ Process 6o%els
/@ 3nter$rise 6o%els
/@ /usiness 3,$lorer
Bon#5P +ata 5ccess &ools 9'or e,a!$le /usiness 0(jects: Cognos: Cr"stal
-e$orts: an% other certi'ie% %ata access tools;
:ey "as2s
&he $ri!ar" res$onsi(ilities o' the 5$$lication Consultant inclu%eC
0 Participate in or facilitate business process definition and modeling
1 Chec5 the feasibility of this business model concerning the SAP products
2 Configure the soft6are to replicate the reCuired business processes and analyticalEreporting needs
3 ,dentify the global and standardization reCuirements 'ersus the local reCuirements
4 ,dentify reCuirements for organizational change
5 Manage the C+S layer
161
0 1acilitate 5no6ledge transfer to other pro>ect team members
1 Define authorization profiles and access
2 E'aluate statistical performance and ma5e recommendations to basis support for optimization
3 Design and de'elop data solutions and strategies to satisfy the reCuirements of the rele'ant mySAP.com
Components @AP&( %)( C4M( and so onA
4 Design the process of implementing blueprints( and design system solutions
5 1or smaller pro>ects using %usiness Content$ Perform acti'ities in the areas of data access and data
e#traction @%)A

"as2s ;ot 9eCuired
&he 5$$lication Consultant is not res$onsi(le 'orC
0 +echnical solutions
1 ,nterface solutions
2 -ong=standing data Cuality problems @+hese must be escalated to the Customer Pro>ect Manager.A
Aut#orization Administrator
Description
&he 5uthori?ation 5%!inistrator is res$onsi(le 'or !anaging the s"ste!s an% net)or8 securit": an% the
authori?ation en*iron!ent. In %etail: this inclu%esC
0 Bet6or5 security
1 &perating system security
2 Database security
3 SAP System security
4 ,nterface security
5 Data pri'acy
&he 5uthori?ation 5%!inistrator also nee%s to !a8e sure that $o)er users ha*e su''icient 8no)le%ge
to 'ul'ill their jo(. Po)er users are res$onsi(le 'or $ro*i%ing the tea! !e!(ers )ith all the site#
s$eci'ic in'or!ation nee%e% 'or a success'ul i!$le!entation o' the s"ste!.
&he role o' the 5uthori?ation 5%!inistrator !a" (e co!(ine% )ith other 9technical; a%!inistrati*e roles.
162
%2ills Pro?le

Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient S8P .Product/
Programming language.s/ :no)ledge

myS8P&com core
"perating system.s/ Basic
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management
e@perience Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge<E@perience
8t#er 9elated %2ills
Product e;uired Skills
5ll $ro%ucts
E#perience in implementing and supporting security 6ithin SAP 4E. but also 6ithin
another system en'ironment
:ey "as2s
&he $ri!ar" res$onsi(ilities o' the 5uthori?ation 5%!inistrator inclu%eC
0 ,mplement and maintain standards and procedures for system user administration @+he KsystemK should
include associated interfaces( for e#ample ED, and )or5flo6.A
1 Design and maintain user profiles

%AP 9evie+er
Description
&he 5P -e*ie)er is res$onsi(le 'or e*aluating the $roject at $roject !ilestones or at the en% o'
$hases. In or%er to $ro*i%e an o(jecti*e $oint o' *ie): an e,$erience% $roject !anager 9or higher#le*el
in%i*i%ual; )ho is not %irectl" in*ol*e% in the $roject shoul% carr" out the re*ie). 5n 5P 9or $artner;
consulting !anager is i%eal. &he re*ie)er con%ucts $erio%ic $roject re*ie)s: assessing the 'ollo)ingC
0 Adherence to the pro>ect implementation strategy to ma5e sure that the pro>ect does not drift a6ay from its
original goals and business ob>ecti'es
1 Effecti'e use of the AcceleratedSAP methodology and tools
2 Pro>ect progress compared to planL milestone achie'ement
3 Deli'erables Cuality( and conformity to the documented appro'al process
4 Pro>ect team( steering committee( and any other pro>ect dynamics( for e#ample team structure and
performance
5%%itionall": so!e co!$anies !a" re>uire $roject $artici$ation o' the co!$an"<s internal au%it
%e$art!ent. &he internal au%itor is res$onsi(le 'or assessing an% e*aluating the s"ste! i!$le!entation<s
163
co!$liance )ith a$$lication: %ata or technical stan%ar%s: controls: an% $roce%ures. &he internal
au%itor co!!unicates 'in%ings an% reco!!en%ations to the steering co!!ittee an% $roject
!anage!ent.
%2ills Pro?le
Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/ :no)ledge
"perating systems Basic myS8P&com core
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management
e@perience Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge<E@perience


3ote= &he re>uire% s8ills !a" *ar" %e$en%ing on the su(ject to re*ie).
:ey "as2s
&he $ri!ar" res$onsi(ilities o' the 5P -e*ie)er inclu%eC
0 Assess and report on the match bet6een the proposed implementation solution and the business ob>ecti'es
1 Ensure that scope creep is identified and >ustified @or correctedA
2 ,dentify ris5s and proposals for effecti'e ris5 management
3 Pro'ide an ob>ecti'e 'ie6 of the pro>ect at pre=determined dates
4 Document re'ie6 findings
5 Pro'ide 6ritten communication and recommendations to the steering committee and the pro>ect team





Business Process "eam Mem@er
Description
/ase% on the current 5P -e'erence tructure: there shoul% (e one (usiness $rocess tea! $er
enter$rise area.
&he /usiness Process &ea! 6e!(er 9P&6; is res$onsi(le 'or the e,ecution o' the %etaile% %esign
an% con'iguration o' the co!$an"<s (usiness $rocesses )ith the s"ste!.
&he P&6 is an essential liaison (et)een the $roject an% the users an% shoul% (e a cha!$ion o'
the solution )ithin the (usiness.
&he P&6 is res$onsi(le 'or )or8ing together )ith the en% user %ocu!entation %e*elo$ers an% trainers
to i%enti'" (usiness $rocesses an% technical s"ste! tas8s to (e %ocu!ente%. &he P&6 is also
res$onsi(le 'or $ro*i%ing training an% (usiness $rocess in$ut to the en% user training tea!.
164
5 tea! lea% shoul% (e a$$ointe% to ensure that all tas8s are )ell#coor%inate%.
%2ills Pro?le

Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/ :no)ledge
"perating systems Basic myS8P&com core
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management
e@perience Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge
:ey "as2s
0 Analyze and decompose the business processes
1 De'elop business process documentation
2 Design the process of turning blueprints into realization and system solutions
3 Ensure that business processes are effecti'ely mapped in the soft6are configuration
4 ,dentify the global and standardization reCuirements 'ersus the local reCuirements
5 Design and configure the system to support the organizationMs +o=%e process 'ision( together 6ith the
technical team and the %usiness Process &6ner
6 Aid in the design of reports( forms( interfaces( and con'ersions
7 +est( modify( and document the system configuration
8 4esol'e issues
9 Ensure that business e#pertise is a'ailable to the pro>ect team
10 Pro'ide post=implementation support
11 Conduct 6or5shops and presentations to 'alidate business processes and solutions 6ith the end
user community
*elp Des2 Provider and Manager
Description
&he =el$ +es8 6anager esta(lishes the $roce%ures an% organi?es a tea! to su$$ort the en% users
%uring $ro%uction o$eration. =e or she also organi?es the e,change o' $ro(le!s )ith 5P or a
$artner.
2suall" (usiness $rocess tea! !e!(ers an% technical tea! !e!(ers 'ul'ill this role 'or the initial 4o
Li*e an% $ro%uction su$$ort. =el$ +es8 Pro*i%ers are the 'irst contact 'or all >uestions or $ro(le!s
%uring the co!$an"<s %ail" (usiness. In%i*i%ual >uestions an% issues nee% to (e anal"?e% an% classi'ie%.
I' the hel$ %es8 cannot resol*e the $ro(le!: it !ust either (e sent to the 5P =otline: or continue to (e
anal"?e%. For a$$lication con'iguration issues: the hel$ %es8 shoul% contact the %esignate% co!$an"
re$resentati*e 'or
assistance.
165
%2ills Pro?le

Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/ :no)ledge

myS8P&com core
"perating system.s/ Basic
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management e@perience
Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge<E@perience
:ey "as2s
0 +e'ine the hel$ %es8 strateg" 'or 4o Li*e su$$ort as )ell as a long#ter! hel$ %es8 strateg"
1 +e'ine an% set u$ a hel$ %es8 logging %ata(ase
2 @or8 )ith $roject !anage!ent to assign resources to the hel$ %es8
3 Pro'ide application support to po6er users and end users
4 Pro'ide technical support to po6er users and end users
5 Pro'ide business process support
6 Manage day=to=day help des5 acti'ities
7 Monitor response and problems logged
8 Escalate issues( if necessary



Internal Auditor
Description
&he Internal 5u%itor e*aluates the au%it trac8ing re>uire!ents that result 'ro! the i!$le!entation. =e
or she co!!unicates those re>uire!ents to the Project 6anage!ent &ea! an% /usiness Process
&ea!.

166
%2ills Pro?le

Computing myS8P&com
Skills<:no)ledge +atabase kno)-ho)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/ :no)ledge
"perating systems Basic myS8P&com core
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management
e@perience Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge


+he reCuired computing s5ills and the SAP Product ;no6ledge may 'ary depending on the area of
implementation.
:ey "as2s
0 Ensure that corporate internal control policies are satisfied by the implemented solution
Development Manager
Description
&he re>uire!ent 'or this role %e$en%s on the %egree o' technical co!$le,it" in the $roject. 5 !e!(er
o' the technical tea! )ith the necessar" s8ills an% e,$erience !a" 'ill this role. &he +e*elo$!ent
6anager coor%inates custo!i?ing an% %e*elo$!ent acti*ities )ithin a su($roject.
167
%2ills Pro?le
Computing myS8P&com
Skills<:no)ledg
e
+
a
t
a
b
a
s
e

k
n
o
)
-
h
o
)
8d$anced
9orkplace
myS8P&com
Aet)ork technology Components
Proficient
S8P .Product/
Programming language.s/
:no)ledge
"perating system.s/ Basic
.S8P/ (nterface
e@perience
8cceleratedS8P
Aone
Testing
e@perience
Basic Basic
8B8P
(nternet
Proficient Proficient
technology
8d$anced 8d$anced
Quality management e@perience
Change management e@perience
Training (ndustry
Pro*ect management e@perience
Business consulting kno)ledge
e@perience e@perience
6eneral :no)ledge<E@perience
:ey "as2s
&he $ri!ar" res$onsi(ilities o' the +e*elo$!ent 6anager inclu%eC

0 Create and maintain technical de'elopment standards for the subpro>ect as a 6hole
1 Prioritize all reCuests concerning customization together 6ith the ProgramEPro>ect Manager and the
%usiness Process &6ner
0 Determine the feasibility of the process and technical designs
1 )rite status reports
2 Coordinate small customizing pro>ects independently after going li'e @user interface modeling( radio buttons(
and so onA
3 Clarify 6hich customizing steps need to be carried out by customer( partner( or SAP -abs
168
9eferences
1. Pro)ect Management -ith SAP R/3> <rich 0raeger> Addison+esley> 1777
2. ASAP71 SAP Implementation> Wune 2881> Release $.3C> Material num*er 188$123$
3. Pro)ect Management C Strategic 0esign and Implementation> 9hird <dition> Mc=ra- ;ill
International <ditions> 0a,id I. Cleland
4. <rnstS?oung !a,igator Systems Series> Release 3.1> Pro)ect Management Series> ;PPM!2> 1773>
<rnstS?oung Support Center> 9e#as .SA
5. So"t-are Pro)ect Management> third edition> 'o* ;ughes and Mi/e Coterell> 9he Macgra-+;ill
Companies> 2882
6. Managing <ngineering and 9echnology> 9hird <dition> 0aniel N. 'a*coc/> Nucy C. Morse> Prentice
;all International series in industrial and systems engineering> 2882
7. SAP A/ademi training *oo/let> 1777
8. Addison+esley> Success"ul SAP R/3 Implementation> Practical Management o" <RP Pro)ects>
!or*ert elti> 1777
9. <rnstS?oung NNP> Pro)ect Management <ssentials>> Participant =uide> 1775
10. SAP Eullanicilar 9oplantisi Sunum @2etleri> Nut( Eirdar Eongre ,e Sergi Sarayi> 3 </im 1775
11. <rnstS?oung Po-ered *y ASAP SAP+<na*led Reengineering Course !otes> 1774
12. %---.unl.edu/unacc-e*/c+sap.htm>2882&
13. %---.9hespot$sap.com/Articles/9he'asicsb1.htm>2882&
14. ---.*alarad.net/-e*integralculturecoloradospring.htm/1.82.2882&
15. http://---.intranet)ournal.com/"eatures/idm8375+pm1.shtml&
16. http://---.sta/es.(/tidecong/533<0AR.;9M> 2882&
17. ;ar,ey Maylor> 2882> VGPro)ect ManagementGG> 9hird <dition> Prentice ;all> IS'!: 8+243+311$1+5
18. Wac/ R. Meredith> Samuel W. Mantel> Wr. Pro)ect Management> A Managerial Approach> :ourth
<ddition> Wohn ileySSons> Inc. IS'!: 8+$41+27527+5
19. mySAP.com> e+*usiness "orum C0> 2888> 9ur/ey
20. 'usiness Communication in Conte#t. Principles and Practice.Melinda Eramer> Pro"essor> Prince
=eorgeYs Community Collage. Prentice ;all> IS'!:8+13+$5$331+$> 2882
21. Nouise 'oltman> Pressure o" "ast R@I puts I9 pro)ects at ris/> says 'loor > Computer ee/ly> 7
Wuly 2882
22. 'ig 1> a./.a. 9he 'ig 1 Consulting CompaniesD Accenture> 0eloitte S 9ouche> <rnst S ?oung Cap
=emini> EPM=> Price-aterhouseCoopers
23. 'oltman> Nouise> Pressure o" "ast R@I puts I9 pro)ects at ris/> says 'loor > Computer ee/ly> 7
Wuly 2882
24. !orris =rant> right Ian> ;urley Wames R.> 0unlea,y Wohn> =i*son Alison> SAP An <#ecuti,eGs
Comprehensi,e =uide> 1775
25. Anderson =eorge .> SAP Planning C'est Practices in Implementation> 2883
169