Welcome to the Financial Excellence Stream
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New General Ledger Migration Project: Scenario 5
Presented by Lade Lawal
Global FICO Manager at Subsea 7
Agenda
• About Subsea 7
• Conception
• New GL Migration Project
• Conclusion
About Subsea 7
• About Subsea 7
– General Information
– SAP @ Subsea 7
• Conception
• New GL Migration Project
• Conclusion
General Information
• Over 14,000 employees
• Over 40 vessels
• Operate globally. Offices in Australia, Singapore, Nigeria, France, Norway, UK, Mexico, US, Brazil, Canada and many more
• seabed-to-surface
SAP @ Subsea 7
• One global SAP instance.
• Running ECC6, enhancement pack 5
• Modules include FICO, PS, PM, MM, SD, HR, Payroll plus others
• Over 7000 users
• Support team of approx. 20 based in Aberdeen
• Approx. 20 additional CapGemini remote support team
Conception
• About Subsea 7
• Conception – Reporting Challenges
– New GL Scenario Determination
– Engagement with SAP Back office
– Project Resourcing
– Governance & Team Hierarchy
– Testing, Training and Migration Strategy
• New GL Migration Project • Conclusion
Reporting Challenges
• Project balance sheet reporting
• Receivables and payable reporting by project
• Cash flow reporting
• Local GAAP data capture and reporting
• Improved integration between financial and management reporting
New GL Scenario Determination
• SAP moderated workshop with relevant stakeholders in attendance
• Scenario 5 was confirmed as the best fit
• Changes to finance interface from BDC to BAPI
• Project timeline and start date
• New GL courses for Project team
Engagement with SAP Back Office
• Complete questionnaire
• Confirmation of questionnaire by SAP Back office
• One-off payment to back office
• Special access key for Migration Cockpit
• Agree dates for;
– Scenario Validation
– Test Validation
Project Resourcing
• SAP Resources
• Other Resources
– Core team
– Focal Point at every accounting locations
– Testers
– Data validators after each rehearsals
• Governing Structure
Project Team Structure
• Steering Committee : X5 • Core Project Team : X5 (including 2 external resource) • SAP Resource : X3
– 1 Migration Expert (1 Additional Migration expert as at when required) – 1 Part-time Project Manager – 1 Remote Migration Specialist
• Other Teams involved with project – Basis team : X2 – Securities : X2 – Developers : X2 (Full time)
Governance & Team Hierarchy
Testing & Migration Strategy
• Several types of testing activities are required during the project: – SAP Technical Services (Scenario and Test Validation) – Business process testing (Unit testing and UAT) – Migration rehearsals – Technical tests (Changes in Z programs etc.)
• Each test cycle is distributed across the project phases
• See testing schedule on next slide
Testing Schedule
Training Strategy
• Few new transactions codes and reports but similar GUI
• New fields available as selection criteria for most existing reports
• End user training was delivered through: – uPerform (online through specific T-codes and pdf files for
publishing on BMS) – Finance process experts (PENs) Training – PENs provides end user training
New GL Migration Project
• About Subsea 7 • Conception • New GL Migration Project
– Overview – Migration Approach – Scenario 5 – List of Activities – Project Timelines – Phase Model – Business Process Changes – Technical Migration
• Conclusion
Overview
• New GL is the latest SAP financial accounting solution
• Document splitting functionality automatically provides improved balance sheet analysis
• New characteristic “Segment” is delivered to provide a balanced financial statement at product line
• Parallel accounting using multiple ledgers within the GL structure e.g. IFRS separate from local GAAP
Migration Approach
• Migration to New GL is only possible through the SAP Migration Service (via Migration Cockpit)
• Migration to new GL is scenario based
• There are 8 possible scenarios
• Phase Model Approach (i.e. Phases 0, 1 & 2)
• Two key dates are migration and activation date
Scenario 5 – List of Activities
• Replacement of different financial and management accounting total tables (GLT0, GLPCT, GLT3 & GLFUNCT) with a more robust totals table (FAGLFLEXT)
• Merge Profit Centre Accounting with financial accounting in New GL
• Activate document splitting in New GL • Switch from account approach to ledger approach
for local GAAP reporting
Project Timelines
• 9 months project, divided into 3 phases from July 2012 –April 2013
• Phase 0: July – Dec 2012 – Scope definition, blueprint, build and test – Complete business change around transaction/ data processing
• Phase 1: Jan – April 2013 – Migration from classic to New GL – New GL compliant data processing (New GL is inactive) – A technical migration of historical and current year data
• Phase 2 – Activation of New GL
Phase Model
Business Process Changes
• Analysis of all finance document types to enable accurate document splitting set-up
• Configuration of document splitting based on initial analysis
• Testing and fine-tuning of system set-up
• Change management before Dec 31st 2012
• Roll out change on Jan 1st 2013
Technical Migration
• Activation of New GL is at client level • Migration Date is as at the beginning of a fiscal year • Year end closing of previous fiscal year must be complete
prior to migration and activation of New GL • New GL can only be activated after successful data
migration • Post activation, posting to previous fiscal year is no
longer possible • Current year posting adjustments and clearing resets is
still possible
Technical Migration
• Unique data migration methodology • Migration cockpit :
– Provides a step by step guide through data migration
– Contains process tree divided into a number of phases
– Provides a traffic light monitor which helps to manage the migration
• Migration cockpit aids data migration based on target scenario
• SAP provide 24 hours remote support during migration and activation.
Technical Migration
• Creation of a migration plan • 3 worklists groups migration objects as;
– Prior year GL Account balances (Non-open items managed
account)
– Open items from previous fiscal year
– Phase 1 Documents (individual line items)
• Document splitting is applied based on business assigned profit centre (prior year open items and balances) or based on document splitting configuration (current year)
Conclusion
• About Subsea 7
• Conception
• New GL Migration Project
• Conclusion – Project Challenges
– Key Successes
Project Challenges
• Change in SAP migration expert during critical time • Migration BAdIs provided required additional
programing which could only be tested during migration rehearsal
• Parallel accounts to parallel ledger migration programs developed in-house could only be tested during a migration rehearsal
• SAP response time to non-productive issues • Inadequate reporting
Key Successes
• Business process go-live was managed with little or no business disruptions
• Productive go-live was completed in time for earliest start (in Singapore)
• Data validation was completed by the business during the go-live weekend
• Improved project/profit centre reporting • Enhanced product line reporting in SAP • Data for enhanced cash flow reporting is now available in SAP • Improved visibility on local GAAP reporting
Q&A
Key Links
New GL Questionnaire
https://websmp204.sap-ag.de/GLMIG
General Info on New GL Migration http://help.sap.com/erp2005_ehp_06/helpdata/en/44/07277eedc32ae6e10000000a422035/content.htm?frameset=/en/f7/e259d7ab064a61adb8e0e39c3a0e06/frameset.htm