David Ormerod, EPM Centre of Excellence, SAP EMEA · PDF fileLondon Financial Planning &...

transcript

Next Generation ERP Business Planning

David Ormerod, EPM Centre of Excellence, SAP EMEALondon Financial Planning & Analysis Event, 14 October 2015

ü Agility is an increasinglyimportant source ofcompetitive advantage.

ü IT systems for FP&A arefalling short of intensifyingdemands for real-time, ad-hocanalysis.

ü Tight integration betweenfinancial planning systemsand core ERP supports moreeffective decision making.

ü Pressure on finance teams toimprove their contribution tohigh-value planning andanalysis is increasing.

Respondents expect the demand for ad-hoc decisionsupport and analysis from finance to increase

“Over the next two years, the demand for ad-hoc decision support and businessanalysis from finance is likely to ____”

Are More Systems the Answer?

ERP 01

ERP 01 CRM01

ERP 01

ERP 12ERP 01

ERP 73 ERP 01

ERP 01 CRM01

ERP 12ERP 01

ERP 73ERP 01

ERP 01

ERP 12

ERP 01

ERP 17

ERP 01

ERP 28ERP 01 CRM01

ERP 73ERP 01

ERP 01ERP 01

ERP 12

ERP 73

NewPlan

Importance of integration between planning systems andcore-ERP

Respondents with financial planning systems that are very tightly-integratedwith core ERP systems are much more likely to say their IT systemssubstantially contribute to finance’s ability to support decision making.

Percentage of respondents in eachcategory who say their companies’ ITsystems “substantially contribute” tofinance’s ability to support decisionmaking (n=134).

Requirements for Financial Planning

Key Axioms: Planning needs to be based on timely Actuals and ‘Joined Up’ acrossmultiple business areas

Three fundamental approaches:

plan in the ERP

plan in a Data Warehouse

plan using Data-marts

ibilit

‘Joi

‘Tim

ess’

*ERP Master data and Methods

Planning Architectures

Goal: Interoperability

IT Centric

ü Same persistency model

ü Same core operations

ü High consistency

IT-owned

Goal: Ease of use

Line of Business Centric

ü Business user-oriented UI

ü High flexibility

ü Collaboration

LOB-owned

Enterprise DataWarehouse Data Mart

SAP Planning Platform Evolution

BW-IPSAP Business PlanningSAP Business Planningand Consolidation 7.x

version for SAPNetWeaver

BPC NW

SAP HANA

BW-IPSAP Business PlanningSAP Business Planningand Consolidation 10.0

BW-IP BPC NW

Planning Engine

BW-IP BPC 10.0

BW-IP BPC NW

SAP Business PlanningSAP Business Planningand Consolidation 10.1

EmbeddedModel

SAP HANA

Planning Engine

• One product• Cover the continuum between the extreme cases

Planning model

Planning data

SAP Planning Platform OfferingSAP Business Planning and Consolidation 10.1, version for SAPNetWeaver release

Planning application

EDW(IT-Owned)

Data Mart(LOB-Owned)

EmbeddedModel

BPC‘Standard

Model’BW-IP /

SAP Business Planning and Consolidation 10.1, versionfor SAP NetWeaverEmbedded Model: Best of Both Worlds

Extend end-user flexibility• User experience of the EPM/Web/Mobile clients• Flexible features (e.g. BPF, work status)

Model: dimensions & measures

Data: members & attributes

Data: hierarchies

Operational: consumption

Operational: users

Operational: processes

Provide new features to all planning scenarios

Leverage HANA planning-engine• Plan operations in HANA

Leverage BW-IP’s mature models• EDW integration of BW-IP• Mature features of BW-IP

(e.g. disaggregation, plan functions)

Instant Insightin memory-enabled

Intuitive User Experienceall devices

Flexible and Non-disruptivecloud or on premise

SAP S/4 HANA Finance

”“The world’s leading Finance solutions. Reinvented

FinancialPlanningand Analysis

Treasury andFinancialRisk

Enterprise Riskand Compliance

AccountingandFinancialClose

FinanceOperations

S/4 HANA Finance - Business Planning & Consolidation

SAPERP

SAP HANASAP Accounting

SAPBPC 10.1

FioriReports

Analytics

Cloud orOn-Premise

S/4 HANA Finance - Business Planning & Consolidation

SAPERP

SAP HANASAP Accounting

SAP Central Finance

SAPBPC 10.1

FioriReports

Analytics

Cloud orOn-Premise

SAP and non-SAP

LegacyERP

LegacyERP On-Premise

Next Generation ERP Business Planning

”“Convergence of SAP ERP and SAP Business Planning (BPC)

Key capabilitiesSingle planning solution withstrengths of current solutionsReal-time access to master andtransactional data for modelingand variance analysisFlexible drill-down on drivers ofprofitability including customer,product, geography and channelIdentification of trends andforecasts using predictive analysisSeamless integration of planningscreens into ERP workflowsEnd-to-end simulation capabilitiesPre-built planning models foraccelerated adoption

SAP HANA Platform

Accounting

Business Planning

Predictive Analysis

Pre-built starter content

S/4 HANA Finance – BPC 10.1 Templates*

S/4 HANA Finance includes templates thatprovide support for:§ Cost Center Planning§ Internal Order Planning§ Project Planning§ Profit Center Planning§ Cost of Sales Planning§ P&L Planning§ Market Segment Planning§ Balance Sheet (SFIN 2.0)

S/4 HANA Finance also includes:§ Queries§ Planning Functions§ Sequences

(*Previously known as Integrated Business Planning for Finance)

New Approach to ERP Planning

Before in ECCn Planning silos with separate data storesn Long running batch jobsn Peer-to-peer transfer programsn Cumbersome processn Many manual steps – fault pronen Simulation impossible

S/4 HANA Business Planningn Common Financial Planning modeln Leverage In-Memory-planning capabilitiesn Faster planning cyclesn Better decisions through end-to-end

simulation capabilities

ExpensePlanning P&L PlanningProfitability

Planning

Common Planning Model

ExpensePlanning P&L PlanningProfitability

Planning

Real Time Planning Architecture

S/4 HANA Finance

SAP HANAView

Real-time read of:

- Actuals

- Masterdata

- Hierarchies

Embedded BW

including embedded BPC 10.1

Step-through Demo

SAP S/4 HANA Finance with BPC

Summary: Next Generation ERP Business Planning

Real TimenAccess Actual data real timenIncrease accuracy leveraging allocations and calculations usedfor actualsnPlan at any level of detail and aggregate data on the fly fromactuals transactions

Joined-UpnSave time and reduce errors with a single, integrated solution forplanning and actualsnLower cost of ownership and reduce data duplication byplanning directly on existing SAP BW and ERP objectsnEliminate silos, reduce errors by working across multipleplanning functions through one system on a fully integrated basis.

AgilenEngage across Finance and SAP ERP by consuming data foractuals and plans with one tool and consistent user experiencenRapidly deploy pre-packaged templates and functional contentfor real time planning with instant access to ERP for data andmaster datanAllows not only for the entry of but rather the development ofplan values directly within a single application.

Benefits of using SAP Business Planning and Consolidation, optimized for S/4HANA Finance

Thank you

Contact information:

Dr David OrmerodEPM Centre of ExcellenceSAP EMEA

david.ormerod@sap.com

http://twitter.com/dormerod

David Ormerod, EPM Centre of Excellence, SAP EMEA · PDF fileLondon Financial Planning &...

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