Date post: | 29-Nov-2014 |
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Technology |
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© Vattenfall AB
Analyzing the needs of creating a SAP PI platform in Sweden
Department of Computer and Systems Sciences, Stockholm University
&Royal Institute of Technology
Alper Celik
© Vattenfall AB 2
Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
© Vattenfall AB 3
Thesis description
1- Create a list of stakeholders
2- Define their business and technology requirements
3-Prepare a final decision proposal based on this research work if Vattenfall Sweden should use SAP PI as their main integration platform or not.
© Vattenfall AB 4
Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Unbundling and Future Nordic Energy Market
”Unbundling” : Seperation of sales and distribution data
”Nordic Energy Market Consolidation” : They will need more integration
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Problem Background
MS BizTalk Vs SAP PI
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Vattenfall AB Background
•Europe’s fifth largest generator of electricity
•Europe’s largest producer of heat
•Operates in Sweden, Denmark, Finland, Germany and Poland
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Method
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Why an integration platform? (1)
• Information sharing
• Supporting the systems that were not designed to work together
• Accomodate various data types that may be dissimilar or incompatible
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Why an integration platform? (2)
•N*(N-1)/2 physical connection•N*(N-1) new interfaces
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Why an integration platform? (3)
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Why an integration platform? (3)
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Tools and Frameworks: Technology Adoption Life Cycle
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Introduction to SAP PI
Marktplace(Internet)
BusinessPartner
SAP
SAP SAP
SAP
Third-party
BusinessPartner
ERP-System
• PI is the central communication point for all NetWeaver components
• Open XML based standards are used for integration
• PI is part of the SAP Services Oriented Architecture (SOA)
• SAP delivers pre-configured content
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Functional Covarage Comparison
Integration Platform NetWeaver .Net and Microsoft Server Products
Process Integration SAP PI MS BizTalk
Portal Solution NetWeaver Portal MS Sharepoint
Application Server Web Application Server
MS .Net, Indigo
SOA Architecture paradigm
Enterprise Service Oriented Architecture
(eSOA)
SOA on Basis of .NET and
BizTalk
SAP Microsoft
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Introduction to SAP PI (XI)
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Introduction to BizTalk
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Market Share Comparison
Available in market for:
7 years 10 years
Total number of active users:
2000 8500
Biggest customer segment:
99% SAP customers
SAP, Oracle, Microsoft
Dynamics, SSA Global
Technologies and so on
SAP PI MS BizTalk
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Licenses Fees
•SAP PI Base Engine is priced based on the overall processed message volume expressed in Gigabytes (GB) per month.•SAP PI is free to use between SAP-to-SAP.
•MS BizTalk Server is priced based on the server capacity. It has four different version; Enterprise, Standard, Branch, and Developer
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Pop-Up Quiz
What is the percentage of average ERP projectbudget spent on integration?
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Pop-Up Quiz
35-40 % of average ERP project budget is spenton integration (Gartner, AMR)
Source: 'Cutting Implementation Costs by Application Integration', Gartner, February 2002
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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Analysis and Results
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Analysis and Results
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SWOT Analysis for SAP PI
Strengths•Management Support•Large SAP Installations at Vattenfall
Weaknesses•Human Competence
Opportunities•SAP’s eSOA strategy and PI•Large and growing customer base•Highly optimized for SAP environment
Threats•Expensive Consultants•Unclear roadmap
Internal
External
Helpful Harmful
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SWOT Analysis for BizTalk
Strengths•Human Competence•Internal Experience
Weaknesses•Not optimized for SAP
Opportunities•Growing Customer Base•Availability of Knowledge and Experience
Threats•Expensive Consultants•High License Fees•In the future Vattenfall might be even more interested in SAP
Internal
External
Helpful Harmful
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Analysis and Results
Results of Stakeholders Meetings and Analysis
Insufficient human competence in SAP PI within and outside Vattenfall
An unclear roadmap of the development of SAP PI
The maturity of MS BizTalk
A potential vendor lock-in situation with SAP
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1- Human Competence
• Enough competence in MS BizTalk
• No competence in SAP PI
SAP PI MS BizTalk
0 1
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2- Product Roadmap (1)
• Clear MS BizTalk Product road map• Unclear SAP PI product roadmap
SAP PI MS BizTalk
0 2
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2- Product Roadmap (2)
1999
1992
1972
YearYear
Heterogeneous business processes, lower TCO
Scalable integrated business processes, lower TCO
Real-time integrated business processes, lower TCO
Customer NeedCustomer Need
mySAP.com,mySAP EP, SAP XI
mySAP Technology(Internet architecture)
SAP R/3,SAP APO,SAP BW
R/3 Basis (3-tier Client/Server
architecture)
R/1, R/2 ABAP (Mainframe architecture)
New Business New Business SolutionSolution
EnablingEnablingTechnologyTechnology
2003 Packaged composite business processes, lower TCO
SAP xApps SAP NetWeaver(Enterprise Services Architecture)
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2- Product Roadmap (3)
1- PI will be 100% Java based product
2- SAP PI will be distributed architecture based product instead of hub and spoke architecture
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3- Maturity of BizTalk and SAP PI (1)
Operational Excellence
Product Leadership
Customer Intimacy
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3- Maturity of BizTalk and SAP PI (2)
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3- Maturity of BizTalk and SAP PI (3)
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3- Maturity of BizTalk and SAP PI (4)
Available in market for:
7 years 10 years
Total number of active users:
2000 8500
Biggest customer segment:
99% SAP customers
SAP, Oracle, Microsoft
Dynamics, SSA Global
Technologies and so on
SAP PI MS BizTalk
© Vattenfall AB 40
3- Maturity of BizTalk and SAP PI (5)
SAP PI MS BizTalk
0 3
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4- Vendor lock-in situation with SAP
•Vattenfall is already an SAP depended company
•Higher switching costs in the future (Higher TCO)
SAP PI MS BizTalk
0 4
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Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
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SAP PI Best-Practices
1- midsize SAP clients: mySAP-centric organizations that hadn't selected a strategic integration platform tend to adopt XI as their primary integration platform.
2- large SAP clients: In the past, many of them selected an integration platform, but they're also aware that PI (XI) will be a necessary component of the SAP infrastructure for ESA. Therefore, they recognize that it's important to "understand" the product, so now they're introducing XI alongside their established integration platforms.
© Vattenfall AB 44
Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
© Vattenfall AB 45
Final Decision Proposal (1)
•Use BizTalk for B2B and SAP-to-nonSAP
•Use SAP PI for SAP-to-SAP•Build Competence•Have Experience
•Make benchmarking within 1-2 years for one common integration platform
© Vattenfall AB 46
Marktplace(Internet)
BusinessPartner
SAP
SAP SAP
SAP
Third-party
BusinessPartner
Final Decision Proposal (2)
SAP PI
BizTalk
OtherSystems
OtherSystems
Firewall
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Final Decision Proposal (3)
SAP
SAP
PI
SAP PI Adoption Road Map for Vattenfall Sweden
2009- 2010 2010 2011
•Scenario 1
PI crosses the chasm
SAP improves the product quality and not just focusus on SAP integration.
SAP
PI
NonSAP
NonSAP
NonSAP
PI
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Final Decision Proposal (4)
SAP
SAP
PI
SAP PI Adoption Road Map for Vattenfall Sweden
2009- 2010
SAP
NonSAP
NonSAP
NonSAP
BizTalk BizTalk
•Scenario 2
PI can not cross the chasm
SAP PI primarily directed towards SAP integration
© Vattenfall AB 49
Agenda
• Thesis description• Background • Method• Why an integration platform?• Tools and Frameworks• Introduction to SAP PI (XI) and BizTalk• Analysis and Results • SAP PI Best-Practices• Final Decision Proposal• Summary
© Vattenfall AB 50
Summary
• The European energy market is currently subject to the political regulations of ”Unbundling” and ”Nordic Energy Market Consolidation” which require the physical division of sales and distribution systems while on the same time increase the need for systems integration.
• Vattenfall is an agile company with a heterogenous systems environment where systems integration is a vital competence.
• Choice of integration platform is a strategic decision and two options are currently viable: MS BizTalk and SAP PI.
• A qualitative study has been conducted to aid Vattenfall in taking this decision.• Vattenfall has to use SAP PI for integration between SAP instances. However, it is
suggested that Vattenfall continues to use MS BizTalk as the primary integration engine during the next 1-2 years due to:
i. unsufficient human competence in SAP PI within and outside Vattenfallii. an unclear roadmap of the development of SAP PIiii. the maturity of MS BizTalkiv. a potential vendor lock-in situation with SAP
• During the next 1-2 years Vattenfall should carefully monitor the development of SAP PI and the competence building around this product. If SAP PI becomes more mature, more widely used in the market and has a more clear vendor product strategy Vattenfall might use PI even for NonSAP-to-NonSAP scenarios.