SAP Portfolio and Project Management
Expert Solution Overview & Outlook
Jeroen De Roeck Competence Lead PLM
Expert Session SAP Portfolio and Project Management
19:00 Introduction and Solution Overview SAP PPM
19:30 Live Demo Session
20:15 PPM RDS Overview
20:25 Outlook to SAP PPM 6.0
20:30 Networking Drink
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Mission
• Exceed client expectations by providing top-quality expertise
• Provide our people a safe environment for personal and professional growth
Strength
• Highly skilled & experienced SAP consultants in all SAP areas, combined with a wide industry knowledge in several domains
• First (and still only) IT services provider on the Belgian market to receive coveted SAP certificate for quality management (AQM)
Introduction Expertum
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Facts
•Founded in April 2006 by 2 ex-SAP Belux employees
• Team of 50+ SAP Experts and Project Managers
• Partnerships
Gold
Knowledge Management
- Product & Service
Development
Project Management
(PM)
Supply Chain Management
(SCM)
Product Lifecycle
Management (PLM)
Application Lifecycle
Management (SolMan +NW)
Governance, Risk, and
Compliance (GRC)
Business Intelligence
(BI: BW + BO)
Finance & Controlling
(FI/CO)
Expertum Competence Areas
Focus PLM team
• Portfolio and Project Management (PPM)
• Enterprise Asset Management (EAM)
• Product Lifecycle Management (PLM)
SAP Portfolio and Project Management
Expert Session
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Tactical – Project Level Project work orchestrates activities that result in detail
information in the core systems (e.g. Material, Work Order,
BOM, recipes etc.). Early anticipation of upcoming issues on
time, scope or budget and taking the right measures requires
detailed insight into this information.
Efficient management of changes requires fast and simple
simulations based on very granular information, e.g. resource
availability, skills etc.
Strategy – Portfolio Level Efficient monitoring requires aggregated information from
project management and core systems
Decision Making may require detail information on budget,
timeline or associated data, e.g service orders
Fast and simple Simulation Capabilities necessary for smart
Investment Decisions
Financial Data Project
System FI/CO
Resources
HR
Time
(CATS)
Others
SAP Project
Management SAP PPM
Projects
Project-
system
Analytics Portfolio Management
Enterprise Portfolio and Project Management - Challenges
MRS
Integrate
Initiate Aggregate
R&D
PLM
EHS
Project
Connection
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SAP’s Enterprise Portfolio and Project Management - Solution
Manage investment opportunities Govern execution of projects Monitor portfolio performance
Execute projects in time, budget, and scope
Detailed project planning
Staff projects Manage project resources
and utilization Align demand and supply
Collect and rate ideas Assess feasibility Turn into product/project
proposals
Exchange project information Connect to 3rd party tools Assure data consistency
Portfolio Management
Idea Management
Project Connection
Project Management
Resource Management
SAP Portfolio and Project Management
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“Core enterprise processes
& Activities” Operations - Level
Financial Data Project
System FI/CO
Resources
HR Time
(CATS)
Sales & Logistics
SD / CRM
MM / SRM
“Project Management
and Execution” Tactical Level
Others
SAP Project
Management PPM
Projects
Project-
system
Analytics Portfolio Management “Managing and
monitoring the portfolio
& programs” Strategic Level
Enterprise Portfolio and Project Management - Building Blocks
PP / SCM
SAP Commercial
Project Management
Workspace
Issue and
Change
Mngmt
Financial
Planning
MRS
Integrate
Initiate Aggregate
R&D
PLM
EHS
Project
Connection
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Portfolio and Project Structures in SAP PPM Strategic & Operational Portfolio Management
Portfolio
hierarchy
Portfolio
items
Initiative
(program)
Review
Classification
hierarchy
Project definition
Operational Project Management
Strategic & Operational
Portfolio Management
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Portfolio and Project Structures in SAP PPM Operational Project Management
Portfolio Item
Project definition
Operational Project Management
Strategic & Operational Portfolio Management
Phases
Tasks
Sub-tasks
Checklists
Checklist items
Project roles & resources
Sub-project
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Introducing Resource Management
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Typical Business Scenarios to illustrate the breadth of the application
Product development, for optimizing strategic resource allocation and financial management in the innovation process and analyzing the impact of product innovation investments on overall business performance
IT portfolio management, for making well-calibrated investments in the most promising IT solutions, monitoring portfolio performance for agility and speed, and significantly reducing operating costs through efficient resource allocation and sourcing
Capital portfolio and project management, for assessing risks in investment opportunities, setting priorities among initiatives, and governing the execution of projects
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In the system: Portfolio Planning - Dashboard Portfolio Buckets
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning - Dashboard Portfolio Buckets Central access point to create, open and maintain portfolio buckets
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In the system: Portfolio Planning - Dashboard Portfolio Items
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning - Dashboard Portfolio Items Central access point to create, open and maintain portfolio items. Different views can be defined by the user.
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In the system: Portfolio Planning - Portfolio Items
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning - Portfolio Items Item overview screen to create and maintain item data
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In the system: Portfolio Planning – Capacity Planning
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning – Capacity Planning Maintain capacity planning per item. The structure has different views and can be customized according to customers needs.
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In the system: Portfolio Planning – Financial Planning
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning – Financial Planning Maintain the financial planning data on portfolio bucket level. The structure has diffident views can be customized according to customers needs.
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In the system: Portfolio Planning – Financial Planning
Key process flows covered
Top-down budget definition on the portfolio level
Budget assignments to project proposal
Project proposal creation and high-level financial and capacity planning
Consolidation and verification of the project proposal list
Approval preparation; budget approval and adjustment
Review of planned projects and approval for project execution
Portfolio Planning – Financial Planning Maintain financial planning per item. The structure has diffident views and can be customized according to customers needs.
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What’s included Business benefits
• Provides the visibility and functionality needed to help project managers keep projects closer to budget
• Supports transparency into resource planning for critical resources
• Helps drive project management standardization to achieve a uniform, companywide project management approach for different types of projects
Project Management: scope and benefits
• Sophisticated project management methods to drive transparency into project cost and resources
• Project templates to leverage best practices for different types of projects
• Role-based resource management concept to:
• Assign adequate resources to different tasks
• Enable an extended staffing process where line managers are responsible for the staffing
• Provide improved transparency into critical resources
• Ability to leverage functionality of SAP ERP for:
• Project accounting
• Time confirmation using cross-application time sheets
• Capture of actual costs
• Execution of status reports to control project progress and to evaluate if the project is in time and on budget
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In the system: Project Planning – Graphical View
Key process flows covered
Project creation and project structuring
Resource management by project manager or line managers
Project calculation and accounting object assignment
Transfer of calculations to financial and capacity planning on the portfolio level
Project baseline creation and release of project for execution
Task execution and time recording
Project reporting and adjustment
Project closure Project Planning – Graphical View Create project elements and maintain project master data, for example: tasks, phases, checklists. Change schedule by moving elements on the Gantt Chart. Drag and Drop elements in the project structure tree.
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In the system: Project Planning – Staffing Overview
Key process flows covered
Project creation and project structuring
Resource management by project manager or line managers
Project calculation and accounting object assignment
Transfer of calculations to financial and capacity planning on the portfolio level
Project baseline creation and release of project for execution
Task execution and time recording
Project reporting and adjustment
Project closure Project Planning – Staffing Overview Create and maintain roles, assigned tasks to roles and staff resources
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In the system: Project Planning – Accounting Overview
Key process flows covered
Project creation and project structuring
Resource management by project manager or line managers
Project calculation and accounting object assignment
Transfer of calculations to financial and capacity planning on the portfolio level
Project baseline creation and release of project for execution
Task execution and time recording
Project reporting and adjustment
Project closure Project Planning – Accounting Overview The project management accounting is based on the easy cost planning of the ERP and can be performed along the project structure or along roles
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In the system: Project Management – Project Accounting View
Key process flows covered
Project creation and project structuring
Resource management by project manager or line managers
Project calculation and accounting object assignment
Transfer of calculations to financial and capacity planning on the portfolio level
Project baseline creation and release of project for execution
Task execution and time recording
Project reporting and adjustment
Project closure Project Management - Project Accounting View The project management accounting is based on the easy cost planning of the ERP and can be performed along the project structure or along roles
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What’s included Business benefits Helps keep projects aligned with the portfolio strategy
Supports decision-making for new projects and project changes
Helps introduce project portfolio governance in the monitoring process
Portfolio Monitoring: scope and benefits
Continuous process to verify that all projects are running on time, to scope, and on budget and to ensure that all risks are effectively mitigated.
Enablement of organizations to handle necessary project changes on a portfolio level that are related to:
Budget overruns
Budget cut
Scope and portfolio strategy changes
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In the system: Review – Item Dashboard
Key process flows covered
Budget overruns and item review:
o Change planning and request for budget change
o Review creation and approval preparation
o Approve and adjust budget
Budget cut:
o Define and adjust top-down budget
o Review creation and approval preparation
o Approve and adjust budget
o Adjust project planning Review – Item Dashboard Manage a review for new project proposals, planned projects, or operational projects
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In the system: Portfolio Monitoring – Schedule Chart of Items in Review
Key process flows covered
Budget overruns and item review:
o Change planning and request for budget change
o Review creation and approval preparation
o Approve and adjust budget
Budget cut:
o Define and adjust top-down budget
o Review creation and approval preparation
o Approve and adjust budget
o Adjust project planning Portfolio Monitoring - Schedule Chart of Items in Review Schedule chart for items in a review
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In the system: Portfolio Planning – Financial Planning Chart Item
Key process flows covered
Budget overruns and item review:
o Change planning and request for budget change
o Review creation and approval preparation
o Approve and adjust budget
Budget cut:
o Define and adjust top-down budget
o Review creation and approval preparation
o Approve and adjust budget
o Adjust project planning Portfolio Planning - Financial Planning Chart Item Approved project budget vs. current planned project costs vs. actual project costs from January to June.
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In the system: Item review using SAP Business Objects Explorer to display the content of an item dashboard
Item Review – Correlation Bubble Chart for Items Assessed Risk vs. Technical Success Bubble Chart (Example: Using SAP Business Objects Explorer to display Item Review Dashboard)
Disclaimer: The following are alternative visualizations of item reviews using the SAP Business Objects Explorer. The SAP Business Objects Explorer is not a part of the SAP Portfolio and Project Management rapid-deployment solution for IT management (license).
Item Review – Bar Chart for Items Development Costs and Net Present Value Bar Chart (Example: Using SAP Business Objects Explorer to display Item Review Dashboard)
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System Landscape: SAP PPM applied as add-on on ECC
Portfolio Management
Project Management
Portfolio Monitoring
Inte
grat
e
Resources
Time
Human Resources
Financial data
Financials/ Controlling
Project Accounting
Aggregate
SAP ERP
SAP Portfolio and Project Management 5.0 SP10
SAP ECC 6.0 EhP6
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Fast Start Implementation Approach
Project Kick-off with a fully functional DEV system
Configuration based on Expertum Project Management Best Practices
All standard SAP, no development
Customer specific configuration: Project dashboards and alerts
Business Preparation of project templates directly in the Production system
Project Delivery to Go-Live in 46 days
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Expert Session SAP Portfolio and Project Management
19:00 Introduction and Solution Overview SAP PPM
19:30 Live Demo Session
20:15 PPM RDS Overview
20:25 Outlook to SAP PPM 6.0
20:30 Networking Drink
32
Demo Scenarios
Portfolio Manager view: Prepare Project Proposals Create Project proposals in the bucket structure Detail proposal with relevant information Perform High Level Capacity and Financial Planning Portfolio item dashboard
Project Manager View: Initiate Operational Project Generate project from item Perform Scheduling Perform Staffing
Project Manager View: Project Monitoring Time recording in CATS Project Dashboards for Follow up Resource and Staffing Overview
Portfolio Manager View: Portfolio and Budget Monitoring Portfolio Items Dashboard and Metrics Reporting
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Key Benefits of SAP PPM
Fully integrated in the existing SAP landscape In most cases no further 3rd party tools required
Single source of truth for project information
Improvement in way of working can be valorized for re-use via templates
Scalable solution, low entry start and grow further User friendly UI, fully integrated in NWBC
Very little training efforts
Full ERP backend integration for the Financials
Costs to Internal Orders or PS Projects
Fast start approach is possible, easy to deploy
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Expert Session SAP Portfolio and Project Management
19:00 Introduction and Solution Overview SAP PPM
19:30 Live Demo Session
20:15 PPM RDS Overview
20:25 Outlook to SAP PPM 6.0
20:30 Networking Drink
35
New market reality...
“The 2008 recession led to a change in customer buying behavior… Big complex Suite implementations and upgrades are out, while smaller easier-to consume innovative applications are in” - Gartner, January 2009
SAP Business All-in-One
FastStart Methodology
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SAP Rapid Deployment Solutions
Fast
Quickly address specific needs
Gain fast time to value with seamless rapid-deployment tools, embedded best practices
Speed end-user adoption with guides and educational materials
Simple
Clearly priced services and project time frames – help ensure a predictable outcome
Modular yet integrated solutions – help ensure long-term landscape integrity
Support across all environments (on-premise, mobile, and cloud) – leveraging the cloud to accelerate projects and deployment
A complete solution
Deployed in weeks
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What’s in each solution?
Software
Quickly address the most urgent business processes
Content
SAP-supported best practices, templates, and tools make solution adoption easier
Enablement
Guides and educational material speed end-user adoption
Service
Fixed scope and price provide maximum predictability and lower risk
SAP Rapid Deployment solutions
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RDS Solution available @ Expertum
RDS PPM IT Management
RDS PPM Portfolio Monitoring
RDS PPM Innovation and Product Development
RDS PPM Portfolio Analysis
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Expert Session SAP Portfolio and Project Management
19:00 Introduction and Solution Overview SAP PPM
19:30 Live Demo Session
20:15 PPM RDS Overview
20:25 Outlook to SAP PPM 6.0
20:30 Networking Drink
How can SAP HANA support overcoming the challenges of Portfolio and Project Management?
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SAP’s In-Memory Data Management innovation Providing real-time platform for enterprise applications
A common Database Approach for OLTP and OLAP Using an In-Memory Column Database Hasso Plattner
Analyze Accelerate Transactions + Analysis directly in-memory
VS
Transact
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Challenges in SAP PPM today when reporting
Lack of granularity in reporting
Financials(CO/PS)
Resources (HR)
…(PLM, CATS, PM…)
aggregate
SAP PPM Portfolio Data
Project Data
+ Aggregated Information from Core Systems
Enrich data from Core Systems
Extract
OLAP
SAP PPM
+ SAP PS/CO
+ SAP PLM
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Leveraging SAP HANA in PPM
Virtual Data Model
Project System
Virtual Data Model Portfolio and Project
Management
Virtual Data Model CO
Virtual Data Model CO
Real-time Reporting based on System information directly in PPM
Virtual Data Models powered by SAP HANA
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SAP Portfolio and Project Management 6.0 At a Glance
Why a release dedicated to performance? Make SAP Portfolio and Project Management ready for SAP‘s strategic innovation platform SAP HANA Optimize code to handle more data and avoid performance bottle necks
What are the consequences for customers? SAP Portf. and Proj. Mgmt 6.0 is a normal release running on both standard relational databases and SAP HANA All customers can upgrade to PPM 6.0 On all DB platforms, functionality is equal, but performance is different
Transactions + Analysis directly in-memory
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Planned HANA Optimizations for SAP Portfolio and Project Management
Optimization for Project Management Faster access to information
– Project Dashboard – Task Dashboard
Update multiple Tasks Search Evaluations and Thresholds
Optimization for Portfolio Management Faster access to information
– Item and Initiative Dashboards – Metrics
Financial and Capacity Planning - Bucket Rollup Archiving of Portfolio Elements Enhanced Calculation of Financial KPIs Object Link to SAP Environmental Compliance facility
HANA DB
CR
M
SCM
SRM
PP
M
ERP
VD
L
SAP Business Suite B
W
Ap
ps
HANA DB
SAP PPM
BW
Ap
ps
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Enhanced Calculation for Financial KPIs
Portfolio Item and Initiative
Aggregated Values for
- Planned Revenue(Total/YTD)
- Actual Revenue(Total/YTD)
based on Financial Planning
Calculation of
- NPV
- ROI
- IRR
- Payback Period
- ECV based on Financial Planning
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SAP Portfolio and Project Management 6.0 Ramp Up
When is SAP Portfolio and Project Management 6.0 available?
• Planned Ramp up Start: 21st June 2013
• Planned General Availability: 20th Dec 2013
Where can I find more information on Ramp up?
• PPM 6.0 Ramp up
• General Info on Ramp up Process
Transactions + Analysis directly in-memory
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Expert Session SAP Portfolio and Project Management
19:00 Introduction and Solution Overview SAP PPM
19:30 Live Demo Session
20:15 PPM RDS Overview
20:25 Outlook to SAP PPM 6.0
20:30 Networking Drink