Contenu connexe Similaire à Enable process visbility: The Value Proposition for SAP customers (20) Plus de IBM WebSphereIndia (11) Enable process visbility: The Value Proposition for SAP customers 1. Shop Floor Automation and Solutions to
Enable Process Visibility and Improvement
The Value Proposition for SAP Customers
Joe Kaczmarek
Worldwide Sales Leader, IBM Business Process Management and
Operational Decision Management
Joe.kaczmarek@us.ibm.com
2. Session Themes
Integrated application systems (ERP, CRM, MES, etc.) provide
core business support
The attractiveness and pervasiveness of best practice process
adoption has raised the bar in achieving marketplace
differentiation
The tension between standardized and differentiated
processes in the manufacturing context creates pivotal strategic
decision points
IBM has developed approaches and solutions for achieving
process innovation and continuous improvement for
manufacturers in a packaged application environment
2
© 2012 IBM Corporation
3. Agenda
Shop Floor Automation solutions
Process challenges
Packaged application challenges
IBM BPM for SAP
3
© 2012 IBM Corporation
4. Manufacturing Execution Systems (MES)
The MES has become the translation center between
ERP and the real-time continuous data of plant
operations
Controls vendors have developed MES offerings
– Invensys Operations Management (IOM)
– Rockwell
– Siemens
– Others…
In recent years, ERP vendors have extended their
plant floor capabilities
– ERP vendors have touted the easy integration that their
MES provides
– Best-of-breed MES suppliers typically have greater
functionality
– SAP, Oracle and even Microsoft have enhanced their MES
offerings through R&D and acquisitions
4
© 2012 IBM Corporation
5. Business Benefits of MES
Capability areas:
– Automated data collection
– Material control
Greater
– Product traceability efficiency, profitability, prod
– Quality control uctivity
– Production reporting Respond to market
changes both quickly and
Benefit categories: correctly and help adopt
– Data accuracy production processes – in
real-time.
– Reporting timeliness
– Manual reporting reduction
5
© 2012 IBM Corporation
6. Key Strategic Decision Point – Single Vendor or Best of
Breed?
or
Reduced integration costs and Typically, better functionality
improved integration or functional alignment – but
more integration required
6 © 2012 IBM Corporation
7. Most MES Vendors Provide Some Technical Integration Capabilities
…But much technical work remains to connect the ERP environment
to the MES. An ESB is typically still required.
7 © 2012 IBM Corporation
8. And Technical Integration is Only Half the Solution
Finance Executive
Process
and Ops Management Managers
Account
Administration
Risk Management
Teams
Business Integration Customer
Service
(Workflow
Management, Business
Monitoring, Process
Automation, Business
Rules, Complex Event
Processing)
Technical Integration
(ESBs, Adapters, Application
Integration, B2B)
Decision
Managers
8 © 2012 IBM Corporation
9. Agenda
Shop Floor Automation solutions
Process challenges
Packaged application challenges
IBM BPM for SAP
9
© 2012 IBM Corporation
10. Typical Process Problems
Customer
Service Finance
Account
and Ops
Administration
• Incomplete or
Executive 6 inaccurate workflows
1 Management
3 • Lack of control
• Poor performance
visibility and insight
Invoice
Reconciliation • Inability to integrate
Teams
2 unstructured or ad
hoc tasks and
communications
(ex paper, email or
4 IM)
5
10
© 2012 IBM Corporation
11. Process is a Priority to Clients
Make business process more efficient
56%
Introduce new IT-led products or services for our customers
Process is
40% Priority!
Get better business intelligence to more employees, faster
36%
Lower IT or business costs
36%
Improve Web operations or customer experience
34%
Improve customer service
26%
Engage customers in new ways
24% Process Improvement is the #1
Priority for CIOs - 5 years in a row
Gartner, Inc, “Leading in Times of
Transition: The 2010 CIO Agenda”
Data September 2010 Information Week 500 Survey
11
© 2012 IBM Corporation
12. Agenda
Shop Floor Automation solutions
Process challenges
Packaged application challenges
IBM BPM for SAP
12
© 2012 IBM Corporation
13. Packaged ERP Applications Deliver Strong Business Value
Improve alignment of strategies
and operations
Improve productivity and insight
Reduce costs through increased
flexibility
Support changing industry
requirements
Reduce risk
Improve financial management and SAP customers excel by
corporate governance taking advantage of SAP’s
industry-specific
Optimize IT spending
knowledge, best practices
Gain higher ROI faster and standardized processes
Retain top performers – all codified into the world’s
leading integrated
Give employees new ways to application platform.
access the enterprise information
required for their daily activities.
13
© 2012 IBM Corporation
14. But Still Far Short of Their Full Potential
What ERP/MES typically deliver
value today Where they fall short
Improve operational alignment Improve strategic alignment
Improve productivity Improve insight
Reduce costs Increase flexibility
Support changing industry
Support differentiated processes
requirements
Improve ROI Improve ROI faster
New ways to access enterprise Provide active real time business
information monitoring
Optimize IT spending Optimize business value
14
© 2012 IBM Corporation
15. And Implementation Risks Remain…
METRIC AVERAGE
Took longer than expected 57%
Total implementation cost exceeds budget 54%
Failed to realize 50%+ of benefits 41%
Failed to realize some benefits 22%
Operational disruption at go-live 40%
Executives unsatisfied 32%
Employees unsatisfied 39%
Source: Panorama Consulting 2010 ERP Report
15
© 2012 IBM Corporation
16. IBM BPM for SAP IBM Software Group | WebSphere software
Root Causes of SAP Implementation Issues
Most SAP
implementation
…much
documentation is
customization
static and does
is often
not reflect the
required
processes actually
being used
Most SAP
processes rely
on human …making it
compliance difficult to
with process migrate to
documentation future releases
…
s
16 © 2012 IBM Corporation
17. IBM BPM for SAP IBM Software Group | WebSphere software
A Typical SAP Process Today
A high level process blueprint is defined in
Powerpoint, Visio, SAP Solution Manager or
a modeling tool, including transactions:
VD03 - Display customer
master
VA01 - Create sales
order;
VOK0 - Maintain Pricing;
CK51N - Create Order
BOM Cost Estimate
IW21 - Create notification
The implementation then relies on users to
read, properly understand and comply with
documentation by entering the proper
sequence of transaction codes in SAP.
17 © 2012 IBM Corporation
18. IBM BPM for SAP IBM Software Group | WebSphere software
With This Approach, How Can You?....
Quickly know the status of key
A high level process blueprint is defined in processes?
Powerpoint, Visio, SAP Solution Manager or
a modeling tool
Ensure that the process you
VD03 - Display customer
master designed is the process that is being
VA01 - Create sales
executed?
order;
VOK0 - Maintain Pricing; Get real-time visibility into where
CK51N - Create Order
workload or other bottlenecks are
BOM Cost Estimate
causing business issues?
IW21 - Create notification
Effectively reroute work to less
experienced workers to reduce
The implementation then relies on users to
read, properly understand and comply with
bottlenecks?
documentation by entering the proper
sequence of transaction codes in SAP. Know which process changes are
most likely to help improve business
performance?
Many SAP customers attempt Quickly rollout SAP process
to address these issues with changes?
customization. Quickly integrate new process
workers into your business?
18 © 2012 IBM Corporation
19. Agenda
Shop Floor Automation solutions
Process challenges
Packaged application challenges
IBM BPM for SAP
19
© 2012 IBM Corporation
20. IBM BPM for SAP IBM Software Group | WebSphere software
With IBM BPM 8.0
The picture IS your process…
Analyze. Define. Execute. Monitor. Improve.
All in one tool – analysis through execution
through improvement
s
20 © 2012 IBM Corporation
21. BPM Brings Order to the Chaos
Finance Executive
Process 1.
1 Automate workflow &
and Ops Management Managers decision making
Account
Administration
Risk Management 2.
2 Reduce errors and
Customer
Teams
improve consistency
Service
3.
3 Standardize resolution
across geographies
4.
4 Leverage existing
systems and data
5
5. Monitor for business
events and initiate actions
6.
6 Real-time visibility and
process control
Customer Benefits:
• Huge Reduction in
Manual Work, Errors
• Faster, More Consistent
Issue Resolution
Decision • Easier to Manage the
Managers Business
• Consistent Case Handling
21
© 2012 IBM Corporation
22. Two Methods Are Required to Optimize Business Processes
1. Packaged Applications 2. BPM Tools & SOA
Improve 100‟s of processes at once Adapt quickly
Outpace the competition
Sunset inflexible legacy systems
Process visibility across core and
Catch up to competitors other application systems
Huge multi-year projects Smaller, incremental projects
Natural
Tendency
Natural
Tendency
BPM
Process Optimization Process Optimization
Approach A Approach B
Non-Differentiating Differentiating
Business Processes Business Processes
Successful organizations will have a balanced
I/T Strategy of SOA/BPM and ERP Consolidation
22
© 2012 IBM Corporation
23. IBM BPM for SAP IBM Software Group | WebSphere software
IBM BPM V8 Integrates Seamlessly with SAP
SD
FI
Sales &
Financial
Distribution
Accounting
Orchestrate SAP MM
Materials CO
Services Mgmt. Controlling
AA
PP Asset
Production Accounting
Planning
SM
Service
SAP EC
Enterprise
Controlling
Mgmt.
QM
Applications PS
Project
Quality
Mgmt. System
PM
Plant WF
Maintenance Workflo
w
HR IS
Human Industry
Resources Solutions
Monitor SAP
Business Events
Download processes Upload processes to Retrieve Enterprise
from Solution Manager Solution Manager Service Definitions
s
23 © 2012 IBM Corporation
24. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Increasing Integration
Interactively guide end users through SAP and E2E
Guided Workflow process steps to improve productivity, visibility and
consistency
Process Integration Optimize process steps to improve cycle
and Orchestration time, manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
24 © 2012 IBM Corporation
25. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle time,
and Orchestration manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
25 © 2012 IBM Corporation
26. IBM BPM for SAP IBM Software Group | WebSphere software
How Most SAP Customers Model Their Processes Today
Most SAP customers use
general purpose
documentation tools such
as Office or Visio
Some leverage Aris or
another documentation-
centric modeling tool
These tools encourage:
– A documentation-centric
approach to process
management
– A waterfall approach filled
with risk and multiple delay
points
– Lengthy „analysis paralysis‟
SAP project activities
26 © 2012 IBM Corporation
27. IBM BPM for SAP IBM Software Group | WebSphere software
Traditional SAP Implementation Approach
Goal Setting and Scope
Management
SAP
Process Process
Library Analysis
Most SAP implementations follow a typical
waterfall approach
– Goal setting SAP Process Blueprinting
– Analysis (Powerpoint, Visio, Excel, Aris)
– Design
– Test
SAP Solution Manager
– Deployment
SAP maintains their process flows in
Solution Manager, which is used to
document, but not control, the business Configure Customize
process
27 © 2012 IBM Corporation
28. IBM BPM for SAP IBM Software Group | WebSphere software
But with IBM BPM, SAP Processes Can Be Played Back At
Any Time - Regardless of their definition maturity
Start by importing SAP or IBM best
practice libraries
Playback any process from the design
environment – regardless of the level of
detail and completion
Include real screens, mockups or
images
Clarify roles, process steps, flow, KPIs
and reporting
Playback Even process skeletons can be
executed
– Process execution is logged
– All process performance parameters are
visible
– KPIs are calculated and displayed in real
time
28 © 2012 IBM Corporation
29. IBM BPM for SAP IBM Software Group | WebSphere software
Design SAP Processes Experientially
Playbacks allow each
stakeholder to participate
DIRECTLY in the blueprinting
process
The ability to see, feel and
touch the process as it‟s
executing:
– Delivers a richer, superior
design experience
– Allows a broader range of
participants
– Allows stakeholders to
participate as their schedule
permits
– Encourages an iterative
approach
– Decreases the time required
to blueprint a process
29 © 2012 IBM Corporation
30. IBM BPM for SAP IBM Software Group | WebSphere software
Playback-Based Iterative SAP Process Blueprinting
SAP Solution Design, build and refine processes for execution in
Model Processes a single integrated tool set. Optionally store
Manager
process definitions in SAP Solution Manager
Repository.
Invoke Screens Iteratively invoke or design screens as part of the
process definition exercise
Playback Process Playback modeled processes at any time to
directly see, feel and touch the real process
Monitor Results Empirically understand how the process can
meet KPIs and SLAs
Simulate and Simulate changes without changing the current
Refine model
Deploy! Promote the new or changed process into
production
Use ‘live’ process execution to design and test SAP business
processes, then implement your SAP process inside the same tool!
30 © 2012 IBM Corporation
31. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle
and Orchestration time, manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
31 © 2012 IBM Corporation
32. IBM BPM for SAP IBM Software Group | WebSphere software
SAP Process Documentation Is Usually Outdated by Months or Years
2008 2012
SAP process Probably
blueprints created Outdated
SAP design Probably
completed Outdated
SAP configuration
Documentation
changes Additional SAP configuration changes
Possibly Outdated
completed
SAP
Documentation
customization Additional SAP customization
Possibly Outdated
completed
Ad hoc changes to processes by end Blueprint Not
users Updated
Without insight into the ‘real’ SAP processes being used in production,
it is very difficult to initiate and build an effective process innovation
program or to migrate to a newer SAP release.
32 © 2012 IBM Corporation
33. IBM BPM for SAP IBM Software Group | WebSphere software
IBM Business Monitor Provides Easy to Use SAP Process
Discovery and Insight
View SAP transactions as
processes – without process
orchestration!
Easily create „shadow process‟
views of SAP Business Events by
associating milestones with
changes in business state
Completely non-intrusive to SAP –
simply turn on the SAP Business
Events needed
Automatically create a process view
of any SAP Business Event(s) to:
All without disrupting – Understand the actual SAP
your SAP environment! processes being used in production
(and no custom coding) – Prepare for process innovation
– Detect business challenges as they
happen
– Fix issues before they become
problems
33 © 2012 IBM Corporation
34. IBM Business Monitor - Powerful BAM and Real-Time Reporting for SAP
Understand up-to-
minute business
Identify trends, performance by
forecast events, monitoring KPIs
make smart
choices
Detect, respond
rapidly to
change
Continuously
improve key
Customize business processes
dashboards
easily
Rebalance human
workload on the fly
Leverage
mobile
devices
34
© 2012 IBM Corporation
35. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle
and Orchestration time, manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
35 © 2012 IBM Corporation
36. IBM BPM for SAP IBM Software Group | WebSphere software
IBM BPM Can Deliver Guided Workflow for SAP
Yes
VOK0 -
Maintain
Pricing
VD03 - Display VA01 -
Select New pricing
customer Create
customer Required?
master sales order
No
SAP Process Flow CK51N - Create
IW21 - Create
in IBM BPM V8 Order BOM Cost
notification
Estimate
Transactions (Native SAP
Screens) Automatically
Invoked in SAP
Invoke the correct SAP transaction sequence for each process
instance, while gaining real time insight into business performance
issues and opportunities
36 © 2012 IBM Corporation
37. IBM BPM for SAP IBM Software Group | WebSphere software
IBM BPM Guided Workflow Improves SAP Value
Documented processes become
orchestrated processes
Improve SAP process:
– Visibility
– Manageability
– Reliability
– Consistency
– Auditability
– Performance
Detect bottlenecks
Reroute process instances with
capacity overload
Escalate problem processes
Initiate and track exception
processes
Begin continuous process
improvement
37 © 2012 IBM Corporation
38. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle
and Orchestration time, manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
38 © 2012 IBM Corporation
39. IBM BPM for SAP IBM Software Group | WebSphere software
Use IBM BPM V8 to Orchestrate SAP Externally
Adapter
Guided Workflow Process
Management for Orchestration
SAP BAPIs and/or Automation
Process with SAP Enterprise
Orchestration Services
and/or Automation
with BAPIs
Express, Standard or Advanced Only (BPEL) Advanced Only (BPEL)
Advanced (BPMN)
39 © 2012 IBM Corporation
40. IBM BPM V8 Orchestrates Complex End-to-End Processes
End-to-End Process Choreography
1. Order is 3. Credit check 4. Customer order 5. Required 8. Customer
2. Customer
received and approval is written and components order is
records are
from the web are confirmed for and capacity produced, pic
updated with
site completed production are ked from
order request
determined, warehouse
information
ordered, allo and
6. Production order cated and scheduled for
9. Customer is completed and received shipping
order is warehoused
invoiced
7. Customer order
is approved for
shipment
IBM BPM 8.0 helps improve the business performance of both simple and complex
mission-critical processes.
40 © 2012 IBM Corporation
41. IBM BPM for SAP IBM Software Group | WebSphere software
BPM Enhances the Value of Your SAP Investment
SAP with IBM
Benefit SAP Only
BPM
Improve alignment of strategies and operations
Improve productivity
Improve insight
Reduce costs through increased flexibility
Support changing industry requirements
Optimize IT spending
Reduce risk
Improve financial management and corporate governance
Gain higher ROI faster
Provide immediate access to enterprise information
Give employees new ways to access enterprise
information
41 © 2012 IBM Corporation
42. IBM BPM for SAP IBM Software Group | WebSphere software
Use IBM BPM Throughout Your SAP Life Cycle
A New SAP
Implementation
SAP Process Innovation
End-to-End Process Integration
Functional Extensions
SAP Version
Migration
s
Most SAP Implementations Benefit from IBM BPM at every life
cycle stage
42 © 2012 IBM Corporation
43. IBM BPM for SAP IBM Software Group | WebSphere software
Small Sample of IBM BPM SAP Customers
43 © 2012 IBM Corporation
44. IBM is the proven leader in all aspects of BPM
Largest Client Base Unparalleled expertise
• 5,000 + BPM Clients & level of investment
• Gartner ranks IBM #1 in • Over 15 years of industry
BPM with 24.7% share leadership
• IDC ranks IBM #1 with • 100’s of assets
34.2% market share • Broadest, Deepest
solution portfolio & services
Strongest Ecosystem
• 1000+ Business Partners
• Global Users group
Broadest and Most Differentiated Software Capabilities
• Simplicity for fast deployment and full business user participation
• Centralized governance for repeatability and consistency
• Visibility and Control to continuously improve business operations
• Power through High Scalability, Integrity & Quality of Service
• Market Leading process, case, decision and rules capabilities
• Best in class exceptions handling and case management
44
© 2012 IBM Corporation
45. IBM and SAP Partnership - Qualified, Awarded, Proven
Certified Global SAP Partner
– Global Service Partner
– Global Technology Partner
– Global Cloud Service Partner
With a record total of 20 awards, IBM has been recognized
with an SAP Pinnacle Award every year since it's inception
SAP Award of 2005 2006 2007 2008 2009 2010
Excellence for IBM 2 awards for IBM 2 awards for IBM 3 awards for IBM 3 awards for IBM 4 awards for IBM 2 awards for IBM
IBM itself is one of the largest productive SAP users
– 40,000+ SAP production users, mixed release levels, all on IBM hardware
– Improved bookings efficiency by 40%
– Increased labor productivity by 15%
– Reduced server build cycle times by 30%
45
© 2012 IBM Corporation
46. IBM SAP International Competency Center (ISICC)
Provide technical pre-sales solution support for SAP applications and technology
with IBM hardware and software platforms.
On-Site Resources SAP Sizing Expertise
• IBM hardware and • Creation and ownership of
software brand experts worldwide sizing tools and
• Technology managers processes
• Solutions sales • Support the IBM Techline
• Project managers resources
Technology Technical Sales Support
• IBM and SAP projects • IBM Technical Sales
• Benchmarking/Sizing tests
• Business Partners
• Redbooks and whitepapers
• Tools
Third level support when
• Executive briefings necessary
Founded by IBM and SAP in 1993, located at the SAP headquarters in Walldorf, Germany
46
© 2012 IBM Corporation
47. Next Step – BPM Discovery Workshop
A collaborative workshop between the IBM and you to:
– Determine which areas of business pain and/or opportunity are good fits for
BPM
– Identify and prioritize potential BPM pilot projects
– Select and scope a pilot project (90-120 days)
What does the IBM team do?
– Clarify the process improvement pilot project scope
– Characterize the expected business impact and benefits
– Assess the high-level implementation effort and solution development
– Identify and assess potential risks
– Identify and rank additional projects beyond the pilot project
How does it work?
– Delivered onsite through collaborative discovery sessions with process owners
and key stakeholders
– Pre-workshop preparation calls provide orientation and workshop planning
– Preparatory time is also spent gathering and reviewing existing customer
process documentation
Typically 2-3 days, conducted free of charge
47
© 2012 IBM Corporation
48. 48
© 2012 IBM Corporation
49. IBM Blueworks Live
Document and Run Processes in the Cloud
Increase agility by documenting and refining
processes in a tool that keeps everyone informed
of important changes
Make your organization more efficient by
automating simple processes that run today over
email - in as little as 90 seconds!
Improve the way you work by seamlessly
collaborating across roles, teams and locations.
Sign up now for a free 30 day trial.
https://www.blueworkslive.com/signup/trial
Escape your inbox by automating the 75% of
processes organizations currently execute as email
exchanges
Ensure your documentation keeps up with change while
maintaining oversight and governance over process improvement
49
© 2012 IBM Corporation
50. IBM BPM for SAP IBM Software Group | WebSphere software
IBM Uses IBM BPM Technology For Its SAP Implementation
Blue Harmony is IBM’s next significant step in transformation towards operating effectively as
a Globally Integrated Enterprise …
Blue Harmony incorporates
IBM BPM technology
Global Integration
Opportunity to Order
Order to Cash
Finance
.. focuses on enterprise process integration
Integration and standardization across business units and across geographies
A shift in culture from optimizing units to optimizing the enterprise
Substantial improvement in ease of doing business for clients and Business Partners
Radical transformation of process and IT environment simplifies enterprise controls
... implements a solution architecture that leverages the best of IBM
and SAP products – a showcase for IBM BPM capabilities.
50 © 2012 IBM Corporation
51. IBM BPM for SAP IBM Software Group | WebSphere software
IBM BPM Drives Faster and Better Blueprinting for
Your SAP Implementation
„Live‟ playback during all phases of
process design and rollout
Reduce blueprinting time and costs
Deliver agile SAP business
processes that are easy to change
Create market-differentiating SAP
processes
Position your SAP implementation
for process orchestration and
continuous process improvement
Business users can directly
drive the SAP blueprinting
process.
51 © 2012 IBM Corporation
52. IBM BPM for SAP IBM Software Group | WebSphere software
Event-Based Business Monitoring Can Be Used to Uncover the
„Real‟ SAP Processes
VD03 - Display customer A list of detailed business
master events, describing what was
actually done by the user
VA01 - Create sales
order; • Customer displayed (VD03)
• Customer changed (VD04)
VOK0 - Maintain Pricing; • Sales order created (VA01)
• Sales order modified (VA02)
CK51N - Create Order • Pricing Maintained (V0K0)
BOM Cost Estimate
• Sales order modified (VA02)
• Notification previewed (IW22)
IW21 - Create notification Which could be
• Order BPM cost estimated analyzed by a data
created (CK51N)
+ analyst or process
• Sales order modified (VA02) specialist to
Ad hoc or added • Customer displayed (VD03) discovery real
process steps
process structures
SAP can create and publish the business events needed to discover
the actual business processes in production
52 © 2012 IBM Corporation
53. IBM BPM for SAP IBM Software Group | WebSphere software
But SAP‟s Business Monitoring Approach is Overly Complex
…And lots of custom coding is required to implement
53 © 2012 IBM Corporation
54. IBM BPM for SAP IBM Software Group | WebSphere software
SAP Solution Manager Stores SAP Process Definitions
But has no process execution capabilities
Approximately 40% of SAP customers use Solution Manager to store process definitions
Process definitions
only – cannot be
executed
54 © 2012 IBM Corporation
55. IBM BPM for SAP IBM Software Group | WebSphere software
Resulting in a High Amount of Costly SAP Customization
Top reasons for SAP
customization:
– Streamline or customize the
SAP user interface
– Streamline or customize the
SAP process flow
– Add complementary functionality
– Integrate with non-SAP systems
SAP provides tooling to
accomplish each, but not in the
same tool
IBM BPM V8 provides all four
capabilities in a single tool,
driven by the process definition
Reducing SAP customization
reduces cost and deployment
time, while minimizing risks to
future SAP updates
55 © 2012 IBM Corporation
56. IBM BPM for SAP IBM Software Group | WebSphere software
SAP Provides Services That Help Reduce Customization
public String search(){
try {
// Retrieve an instance of the configuration port
EmployeeBasicDataByEmployeeQueryResponseIn port = service
.getEmployeeBasicDataByEmployeeQueryResponse_InSoapBinding();
// specify username and password issued for you via SDN
// to authenticate to the backend as follows
javax.xml.ws.BindingProvider bp =
(javax.xml.ws.BindingProvider) port;
Map<String, Object> context = bp.getRequestContext();
context.put("javax.xml.ws.security.auth.username", "username");
context.put("javax.xml.ws.security.auth.password", "password");
// Construct the input to be applied to the service call
EmployeeID employeeID = new EmployeeID();
employeeID.setValue(this.employeeID);
EmployeeBasicDataSelectionByEmployee employeeByEmployee =
new EmployeeBasicDataSelectionByEmployee();
employeeByEmployee.setEmployeeID(employeeID);
EmployeeBasicDataByEmployeeQueryMessage input =
new EmployeeBasicDataByEmployeeQueryMessage();
input.setEmployeeBasicDataSelectionByEmployee(employeeByEmployee);
// Invoke the business methods
EmployeeBasicDataByEmployeeResponseMessage output = port
.employeeBasicDataByEmployeeQueryResponseIn(input);
Employee employee = output.getEmployee();
//Get the response
this.employeeName = employee.getCommon().getName().getGivenName();
this.employeeLastname =
employee.getCommon().getName().getFamilyName();
this.employeeBirthday = employee.getCommon().getBirthDate();
this.employeeMaritalStatus =
employee.getCommon().getMaritalStatusName().getValue();
return "ok";
} catch (Exception e) {
//Clean the object and return an error
this.employeeID = "";
this.employeeName = "";
this.employeeLastname = "";
this.employeeBirthday = null;
this.employeeMaritalStatus = "";
return "error";
}
s
…but no easy way to implement
56 © 2012 IBM Corporation
57. IBM Federated Integration Architecture Strategy
Design for flexibility, agility, innovation and ROI
App-centric Integration IBM Federated Architecture
Every business strives to be
Total Cost unique, resulting in heavy Total Cost
process customization for
all but a very
SAP few, commodity processes
Customizations
Drive down
cost SAP
Customizations
Improve
responsiveness
to business
requirements
SAP SOA SAP
Achieve greater SOA
flexibility
Business Fit Business Fit
Flexibility Flexibility
Implement SAP in your company’s best interest, not SAP’s.
57
© 2012 IBM Corporation
58. 3 Life Cycles of Business Change Management
Application Changes
(Months, Years)
IT Release 1.0 Release 2.0
BPM Changes
(Weeks, Months)
Business Process
Owners Change in production
Subject Mater
Experts
Operational Decisions
Release 1.1 Release 1.2 Release 1.3 Release 2.0 Release 2.1
Business Decisions Updates
: Application up to date (Days, Weeks)
58 © 2012 IBM Corporation
59. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle
and Orchestration time, manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
59 © 2012 IBM Corporation
60. IBM BPM for SAP IBM Software Group | WebSphere software
Applying IBM BPM for SAP
Modeling for Use an iterative, experiential-based approach to
Documentation accelerate traditional SAP blueprinting
Mine SAP business events to discover actual
Real-Time Monitoring
processes and act in real time to business challenges
Interactively guide end users through process steps
Guided Workflow
to improve productivity, visibility and consistency
Process Integration Optimize process steps to improve cycle time,
and Orchestration manageability and visibility of key processes
Inline Decision Automate complex decision making to reduce
Automation bottlenecks and improve business outcomes
Dramatically reduce the cycle time of high volume
Process Automation
processes by reducing/removing human interaction
60 © 2012 IBM Corporation
61. IBM BPM for SAP IBM Software Group | WebSphere software
The Value of IBM BPM for SAP
Business performance Variability
Agility Manageability
Flexibility Auditability
Visibility Consistency
61 © 2012 IBM Corporation
62. IBM BPM for SAP IBM Software Group | WebSphere software
Large US Toy Company Improves SAP Supply Chain Processes to Reduce
Costs
BPM Solution
Challenge:
Increase responsiveness with customers and • Gathers the bill-of-lading information from
collaboration with suppliers while utilizing freight forwarders and corresponding invoice
data from SAP at the right time
previous investments in core enterprise
applications • Automatically prepares and routes all
documentation required
• Automates the reconciliation process
Benefits: required for all US Customs requirements,
Increased productivity by 250 percent updating SAP at each milestone
without additional resources being put into
play
Reduced cycle times by 80 percent, from
12 days to only two
Improved overall business efficiency
IBM BPM reduced dependency on phone calls, e-mails and paper faxes, while
standardizing communication between employees and vendors with increased
process visibility
62 © 2012 IBM Corporation
63. IBM BPM for SAP IBM Software Group | WebSphere software
Examples of IBM‟s Own BPM Projects and Benefits in 2011
Mid-Market Deal Registration – Delivered $18.5M 2012 PTI by reducing deal
registration cycle time with rules-based work-flow automation.
Supply Chain Alerts – Over $2M annual savings for timely notifications when
supply chain disruptions occur.
Pricing estimator for Cross-brand solutions – Reduced pricing proposal
implementation from 14 days to 1 day and deployment to new countries in
Business Agility
days versus weeks.
Achieved
GTS Cloud Sales Enablement – Integrated work-flow, rules and monitoring to
reduce partner “register to welcome kit” cycle-time from days to hours.
GMU Geo Location Code Assignment - Geo location code is key enabler of
GMU expansion. Eliminated manual process and enabled GMU reps to update
rules directly and reduced cycle time to update and run rules from several weeks
with many handoffs to just a week for more than 50 countries.
MTS – Increased IBM Client satisfaction through proactive notification of
exposures in clients‟ IT inventory by applying rules derived via analytics. Proof of
value delivered.
Infrastructure Optimization – Reduced cycle time by 75% to complete the
analysis required to migrate from Physical servers to Virtual servers.
63 © 2012 IBM Corporation
64. IBM BPM for SAP IBM Software Group | WebSphere software
IBM Pricing Estimator for Cross-brand solutions
Problem
Takes up to 14 days to create proposals for IBM cross-brand solutions. Prices are hard coded, workflow is manual
and there is dependence on IT teams for business rule changes.
Solution
Scalable web based solution using IBM BPM products (ILOG JRules and WLE 7.2) to significantly reduce cycle time
for end-to-end price quotation and approval process for IBM cross brand solutions. Deployed smart analytics pricing
estimator to 10 countries and cloud estimator to 32 countries.
Note: The solution Release cycle was only 12 weeks.
Business Agility Improvements
Before Current State
End-to-end process cycle time to create an approved price Reduced process cycle time to create an approved price quote in 1
quote took 4 to 14 days day
Deployment to new countries took 4 weeks Deployment to new countries in 1 week
Dependence on IT resources to make changes to business Reduced dependency on IT resources. Business teams can
rules with 2 weeks turn around time change business rules in hours.
Manual price updates with rigid business rules and Automatic price updates with rapid business rules and
process implementation process changes with real time KPI monitoring.
Just-in-time sales promotions were not possible Just-in-time sales promotions are possible
Built on Microsoft technology with no auditability Built with IBM BPM and ODM technologies with auditability
64 © 2012 IBM Corporation
66. IBM BPM for SAP IBM Software Group | WebSphere software
So That You Can….
Orchestrate agile SAP Instead of simply
s processes documenting rigid ones
66 © 2012 IBM Corporation
67. IBM BPM for SAP IBM Software Group | WebSphere software
How IBM Uses BPM – Some Examples
Project Name Modeling & Monitoring Process Execution & Rules and Pre- Content & Project Status
Simulation Optimization built Collab, Case
Frameworks Manager
GBS Services Project Blueworks Live BPM 7.5 I-Log J Rule Modelling in BWL prior to
PC/PD. Agreement to
On/Off Boarding U I I 4hrs/wk with Ricardo
Olivieri (Aug-Oct)
Smart Travel Blueworks Live WLE I-Log J Rule POC, Europe
U U U
Mid Market Small Blueworks Live BPM 7.5 Current focus on
process/policy
Deals Yield I I simplifications
Enablement follows
Dubuque GDC ITD Blueworks Live BPM 7.5 I-Log J Rule J.Brayer forming team to
initiate modelling of GDF
I I I portfolio.
Current focus is Simple
Project Set-up
Contract Blueworks Live In Measure/Analyze
Simplification -R
GTS Cloud IT Blueworks Live I-Log J Rule - U Phase 1 – process design
complete.
Enablement for -R
Growth Phase 2 - proposal in
progress.
(formerly called GTS BPM –
Cloud – Buy to Use) evaluation +
custom demo
1/12
Web based Pricing WLE i-log J Rule Solution deployed for U.S
and other countries Sales
(Smart Analytics) PR PR teams.
Total Risk i-Log J Rule In production- Aug 11
assesment-Supply PR
Chain alerts
Blue Harmony WBM 7.0 Working with BH process
owners to identify reports
R v/s real time monitor value
67 © 2012 IBM Corporation
68. IBM BPM for SAP IBM Software Group | WebSphere software
Your SAP Processes Deserve the Market Leader: IBM
The Forrester Wave: The Gartner Magic Quadrant:
"Comprehensive Integration Solutions" Wave “2010 Business Process Management Suites" MQ
WebSphere Process Server WebSphere Lombardi
drives IBM leadership in Edition drives IBM
Forrester Wave leadership in Gartner MQ
high performance simple to use
excellent integration fast time-to-value
superior integrity s
deep business engagement
68 © 2012 IBM Corporation
69. ERP Vendors and MES
SAP
– Acquired Lighthammer in 2005 to provide manufacturing intelligence and MES-like
functionality to its process manufacturing customers.
– Acquired Visiprise in 2008 to bolster its MES offering to discrete manufacturers.
Oracle
– Oracle Manufacturing Execution System for Process Manufacturing as an add-on to its
Oracle Process Manufacturing System.
– Oracle Manufacturing Execution System for Discrete Manufacturing (MES for Discrete
Even as ERP vendors are offering manufacturing support modules, they haven‟t
attempted to enter the control space.
MES products from Oracle and SAP are getting very robust
Third parties don‟t have all the interaction with the ERP that you get with Oracle
and SAP
hop floor automation is the next frontier for manufacturing ERP software.
69
© 2012 IBM Corporation
70. IBM BPM for SAP IBM Software Group | WebSphere software
Modeling Solutions Like ARIS Only Help Deliver Documentation
Faster
Better than Powerpoint, Visio or Excel
Can be integrated with the SAP Solution Manager
process repository
Models are optimized for analysis, not execution
Virtually impossible to take an analysis model and use it
s
directly for execution
70 © 2012 IBM Corporation
71. IBM BPM for SAP
IBM BPM Can Easily Exchange Models with SAP Solution
Manager
SAP Solution Manager IBM Process Designer
Business Process Hierarchy
Lev 0 Project Process Application
Lev 1 Business Scenario
SSI4BPM
Lev 2 Business Process Process
Lev 3 Process Step Activity, (Sub-)process,
Service
Implementation Content SAP Implementation Content
eg. Transactions, Docs
IBM BPM maps its process elements
directly to SAP Solution Manager
constructs and performs
bidirectional exchanges
s
71 © 2012 IBM Corporation
72. IBM BPM for SAP IBM Software Group | WebSphere software
Most SAP Implementations Have Issues Today
Late Deployments Over Budget Rigid Processes
Poor Operational
Visibility ROI Targets Not Met
s
72 © 2012 IBM Corporation
73. IBM BPM – An innovative solution to a complex problem
Embrace complexity, adapt quickly and exceed expectations
Simplicity Power
Simple, easy-to-use modeling using
Industry standard BPEL orchestration
standard BPMN
Built-in ESB and integration adapters
Immediate “playback” for rapid
collaboration Transaction and Process Integrity support
Process rule engine uses ILOG WebSphere Application Server scalability
BAL language
Visibility Governance
Integrated Business Activity Single repository of all process assets
Monitoring
“Toolkits” for sharing assets
Real-time process scoreboards
Simple snapshot versioning (1-click)
“Heat maps” show bottlenecks in
process model Centralized deployment control center (1-click)
73 © 2012 IBM Corporation
74. IBM BPM Overview
BPM provides innovative tooling to capture, understand, document, collaborate, and
optimize ANY business process causing the most pain, or needing the most visibility
BPM projects do not require disruptive multi-year investments
Create process models that execute the process
Easily provide business owners with real-time monitoring of any process that has been
implemented with the tooling
Finance
and Ops
Risk Management
Teams Account Executive
Management
PEOPLE Administration
Customer
Service
RULES
PROCESS
SYSTEMS
74
© 2012 IBM Corporation