Real-time Business How Do Enterprises Benefit From

Real-time Business – How Do Enterprises Benefit From SAP Netweaver? Hubert Österle SAP Net. Weaver Conference Basel, 2003 -10 -01

Agenda l Real-time Business l Enterprise Application Integration l SAP Net. Weaver l Conclusion IWI-HSG ã H. Österle / Slide 2

Real-time Customer Processes Change the Way We Do Business ANYHOW ONE-STOP NON-STOP EVERYTHING EVERYWHERE ONE-TO-ONE IWI-HSG ã H. Österle / Slide 3

Real-time Business Requires Integration Carrier Selection Product Catalog Common Semantic Model Ordering Prices and Freight Charges Exchanging XML messages is the easy part. IWI-HSG Common semantics is the hard part. ã H. Österle / Slide 4

Agenda l Real-time Business l Enterprise Application Integration l SAP Net. Weaver l Conclusion IWI-HSG ã H. Österle / Slide 5

ATURB@WEB Is a x. App for Service Centers Around the World Customer-Database 60‘ 000 Customers 108‘ 000 Technical assets ABB Turbo Service Center Assembly instructions Manuals Check credit status Check turbocharger data Service Network Choose spare part 70 Service centers 500 Employees Check availability Spare part order Send order 27‘ 000 Spare parts Repair turbocharger Product configuration 180‘ 000 Turbochargers Service reports 49‘ 000 Service reports Worldwide inventory IWI-HSG ã H. Österle / Slide 6

ATURB@WEB Is a x. App for Service Centers Around the World Customer-Database 60‘ 000 Customers 108‘ 000 Technical assets l Redesigned customer process l Reused existing applications l Hard coded interfaces ABB Turbo Service Center Assembly instructions Manuals Check turbocharger data Check credit status Service Network l Spare parts 70 Service centers 500 Employees inventory reduced by 12% (about 17 Mio. CHF) l Reduction of IT costs (replacement of mainframe) l Reduction of process costs Spare part order Choose spare part Check availability Send order 27‘ 000 Spare parts l Product Support of sales and distribution (cross- and up-selling) configuration 180‘ 000 Turbochargers Service reports 49‘ 000 Service reports Worldwide inventory IWI-HSG ã H. Österle / Slide 7 Repair turbocharger

Zumtobel Staff Had Problems With the Product Catalog l Annual print-out of the product catalog was outdated l Country-specific prices were difficult to manage l Product configuration was complex resulting in many returned deliveries IWI-HSG ã H. Österle / Slide 8

Zumtobel Staff Started with a Redesign of the Customer Process Zumtobel Staff Agent Portal Order Status Product Marketing Ordering Reference Solutions Acquisition Agent-specific Price List Light Planning Bidding Inventory Query Order Delivery Status Order Grouping Payments Due/overdue Current Bookings Accounts Payable Reclamation Status Bank Line Online Reclamation Complaints IWI-HSG ã H. Österle / Slide 9

A "x. App" Serves the Acquisition and Bidding Process of the Agents Agent Process Acquisition Light Planning Prod. Marketing . . . Bidding Agent-specific Price List Reference Solutions Presentation Layer Internet my. SAP Enterprise Portal User Management Portal Server Corporate LDAP Page Builder Persistence Adapter KM (TREX) i. View-Server Portal LDAP Search Communication and Integration Layer SAP Application Server SAP Business Connector Transactions and Information Layer Product Data Transaction Systems Information Data Base SAP R/3 (FI/CO, SD, MM, HR, . . . ) SAP BW IWI-HSG ã H. Österle / Slide 10 Content Files Data Base

A "x. App" Serves the Acquisition and Bidding Process of the Agents l Redesigned customer process Agent Process Acquisition . . . Bidding l Reused existing applications l Integration simplified with EAI Light Planning Prod. Marketing Agent-specific Price List Reference Solutions Presentation Layer Internet l More convenience for the agent my. SAP Enterprise Portal User Management Portal Server l Corporate LDAP Reduction of delivery failures Page Builder Persistence Adapter i. View-Server KM (TREX) Portal LDAP Search l Faster and more precise sales process l Roll-out for all sales organizations SAP Application Server Communication and Integration Layer SAP Business Connector Transactions and Information Layer Product Data Transaction Systems Information Data Base SAP R/3 (FI/CO, SD, MM, HR, . . . ) SAP BW IWI-HSG ã H. Österle / Slide 11 Content Files Data Base

Agenda l Real-time Business l Enterprise Application Integration l SAP Net. Weaver l Conclusion IWI-HSG ã H. Österle / Slide 12

Netweaver Can Be More Than EAI l The Internet-Browser simplified front-end integration. l Portal software removes many of the obstacles in user handling (e. g. Single Sign-on). l XML-based messaging is clearly more flexible than EDI or RFC. l Data synchronization has matured in systems like ALE ( MDM). l SAP Net. Weaver uses the pre-defined meta-data repository. IWI-HSG ã H. Österle / Slide 13

Integration Platforms Cannot Resolve Semantic Clashes l Different understanding of "shipment" Customer aks for "shipment nofication" Supplier notifies "goods staged" Customer understands "shipment released" l Different Product IDs Supplier has frame agreement for product "XR 4" Customer has product "XR 4 -Australia" l Missing link between order and order confirmation Customer orders an item with 100 units Supplier´s system splits order-line into two orders with separate order confirmations Customer´s system can´t match second order confirmation to original order IWI-HSG ã H. Österle / Slide 14

Agenda l Real-time Business l Enterprise Application Integration l SAP Net. Weaver l Conclusion IWI-HSG ã H. Österle / Slide 15

The Customer Process Will Drive the Business l SAP has a good chance to succeed with Net. Weaver. l SAP customers are becoming more agile, but there is no such thing as a "Lego-Enterprise" l What´s needed is n Customer process redesign n Collaboration n Technical negotiation ( Change Management) implementation ( Change Management) IWI-HSG ã H. Österle / Slide 16

Contact Information Hubert Österle Institute of Information Management University of St. Gallen Mueller-Friedberg-Strasse 8 CH-9000 St. Gallen Phone +41 71 224 2420 Fax +41 71 224 2777 IMG AG Fuerstenlandstrasse 101 CH-9014 St. Gallen Phone +41 71 274 8111 Fax +41 71 274 8181 e-mail: hubert. oesterle@unisg. ch URL: www. iwi. unisg. ch e-mail: hubert. oesterle@img. com URL: www. img. com IWI-HSG ã H. Österle / Slide 17