extend sap processes using ibm bpm webinar july-2016

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© 2014 IBM Corporation Enhance, Extend and Optimize SAP Processes across the Value Chain for Achieving Business Differentiation, Flexibility and Agility Logan Vadivelu Hybrid Cloud, API-E & Smarter Process Solutions [email protected] July 2016

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Page 1: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Enhance, Extend and Optimize SAP Processes across the Value Chain

for Achieving Business Differentiation, Flexibility and Agility

Logan VadiveluHybrid Cloud, API-E & Smarter Process Solutions

[email protected]

July 2016

Page 2: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation2

Topics

What problems that IBM BPM for SAP solve for our Customers?

– Extend, Enhance, Integrate and Optimize SAP core processes

What Capabilities IBM BPM offer to help SAP Customers ?

How IBM BPM for SAP Benefits Customers?

– Adoption Use Cases and Customer Successes

Q&A, Next Step

Page 3: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation3

Topics

What problems that IBM BPM for SAP solve for our Customers?

– Extend, Enhance, Integrate and Optimize SAP core processes

What Capabilities IBM BPM offer to help SAP Customers ?

How IBM BPM for SAP Benefits Customers?

– Adoption Use Cases and Customer Successes

Q&A, Next Step

Page 4: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Executive

ManagementCustomer

Service

Invoice

Reconciliation

Team

Finance

and OpsAccount

Administr

ation

Process Flow

Rules / Events

AnalyticsSocial / Collab

Docs

Mobile

Business Operates Differently in ERP Vs BPM Environments

Executive

Management

Customer

Service

Risk Management

Teams

Finance

and Ops

Account

Administration

1

2

3

4

5

6

Process-driven Transactions ManagementHuman-driven Transaction Flow Management

FlexibilityVisibility Agility Control

Page 5: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Where ERPs / Packaged Apps fit within Business Process HierarchyUnderstanding BPH is critical to effectively manage business processes

Process Hierarchy is a way of modeling large and complex processes through decomposition into

lower level processes and detailed steps to show information at different granular levels.

Inc

rea

sin

g P

roc

es

s

Gra

nu

lari

ty

(American Productivity and Quality Center)

Process Levels - APQC Process Classification Framework (PCF)

L1

L2 - Group

L3 - Process

L4 - Activity

L5 – SAP Transactions

CategoryVision / Strategy

Operation

Process

BPR /

Blueprinting

Modules

Configuration

Page 6: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Surround SAP With a Highly Flexible Process Layer

Enhanced UX & Task Simplification

End to End Process & Transaction Orchestration

Sub-Transaction Exception Visibility & Handling

Decision Automation & Approval Workflow

Real-Time Monitoring and Operational Insight

Forensic Process Discovery

Iterative Business Blueprinting

“Success with ERP software has to be about improved end-to-end business performance not

just correctly functioning ERP software. Layering BPM on top of ERP is the only way to differentiate your business and manage the true end-to-end picture

of what you do” – Quote from SuccessfulWorkplace Blog

Page 7: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

IBM BPM Helps Reduce Most SAP Customizations

Process flow and integration

Data access, quality and integration

Application integration and technical collaboration

Business rules

Core business logic

User interface and other usability issues

IBM BPM helps to reduce these classes of SAP customizations –the highest volume of customizations

Guided workflow and process orchestration

Business rules and complex event processing

Reusable coach views; guided workflow

SAP integration modules and Advanced Integration Services

IBM BPM Capabilities

Page 8: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation8

Topics

What problems that IBM BPM for SAP solve for our Customers?

– Extend, Enhance, Integrate and Optimize SAP core processes

What Capabilities IBM BPM offer to help SAP Customers ?

How IBM BPM for SAP Benefits Customers?

– Adoption Use Cases and Customer Successes

Q&A, Next Step

Page 9: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Process Designer /

Optimizer

Integration

Designer

Process Center

Console

Process Center

Portal

Process Server

Core BPM Advanced Automation & Integration

BPMN BPEL AdaptorsProcess RulesPerformanceData Warehouse

Integration

Social Collaboration

CoachesDashboards

Network Multiple Process Centers

Server RegistryShared Assets

Versioned Assets

Express, Standard & Advanced WAS ND 8.5

Responsive UI

IBM BPM Architecture & Components

Structured ProcessOrdered Sequence of Activities

Some Ad HocUnordered (Ad-hoc) Activities

Case

Some Activities with with Ordered Steps

Internal

Doc repository

Page 10: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Core IBM BPM for SAP Capabilities

Reduce blueprinting time,

cost and risk

Improve process reliability, flexibility, visibility and control

Improve process efficiency and reduce business complexity

Innovation

Iterative Business

Blueprinting

Process Integration and Orchestration

Process Automation

Process Discovery and

Monitoring

Decision Automation

Guided Workflow

Mine SAP Business Events to discover actual processes and act in real time to business challenges

Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting with SAP Solution Manager

Interactively guide end users through SAP Transactions to improve productivity, visibility and consistency

Optimize process steps to improve cycle time, manageability and visibility of key processes

Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction

Automate complex decision making to reduce bottlenecks and improve business outcomes

Transformation

Business Optimization Potential

SAP Customization

Business Innovation + Differentiation

Smarter Process for SAPAdoption Level

Page 11: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

BPM Integrates with SAP – both ‘Design’ and ‘Run-time’

FIFinancial

Accounting

COControlling

PSProjectSystem

WFWorkfl

owIS

IndustrySolutions

HRHuman

Resources

MMMaterials

Mgmt.

SDSales &

Distribution

PPProductionPlanning

QMQualityMgmt.

PMPlant

Maintenance

SMServiceMgmt.

ECEnterpriseControlling

AAAsset

Accounting

SAP

Applications

Upload processes to Solution Manager

Download processes from Solution Manager

Orchestrate SAP Processes and Services

Retrieve Enterprise Service Definitions

Detect & Respond to SAP Business Events

High Visibility Dashboards (BPM Coach UI)

Process Designer

SAP SolMan

SAP ESR

Via BPM Server

Import Process Models

XPDLBPMN

Page 12: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Example: Lease Contract Management

IBM Process Designer

Turn ‘SAP Blueprint’ into Process Applications

Level - 2

Level – 3 / 4

Level - 5

Level - 1

SAP SolMan - SAP SolMan Project Blueprint can be

imported to automatically create ‘process

model’ (L3) in IBM BPM.

- The import includes ‘L4/ L5 transaction meta-

data’ from blueprint project

- The model further enhanced to add ‘non-SAP’

activities, variation via rules, KPIs, etc.

Page 13: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

DiscoverBlueworks Live

(licensed separately)

DefineProcess Designer

DeliverProcess Portal & Process

Server

AnalyzeProcess Portal Dashboards

How does IBM BPM help Process-driven SAP implementation ?

– IBM BPM helps manage and monitor end-to-end business processes

(all process levels), including Level 4 / 5 in application systems

• IBM BPM extends Level-4 & 5 of SAP ERP / CRM / SCM & non-SAP

systems and augments with Levels 1-3 implemented in IBM BPM

– IBM BPM helps with flexibility & agility for quickly responding to

business changes

– IBM BPM helps to minimize, if possible eliminate, SAP customizations

13

Page 14: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

IBM BPM Guided Workflow Requires Limited IT Involvement

1

Import the SAP Business

Process Hierarchy (BPH)

into IBM BPM

BPM

Task UI

SAP UI

Gain Insight into previous steps / collaboration

history for better completion of your Process Step

(SAP Transaction)

3Launch a new process instance or

select from your inbound task list.2

BPM UI

Task List

Page 15: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Process Monitoring: KPI Exception Visibility

Page 16: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Process Monitoring: Business Impact Analysis

Bottleneck AnalysisWhere are my bottlenecks and are we improving?

Exception AnalysisWhat mostly impacts business performance?

Page 17: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Discover / Mine Processes from SAP Business Events

Easily discover, analyze

and characterize SAP

processes

Empirically understand

compliance and

performance issues with

existing processes

Easily transfer discovered

processes to IBM BPM

Optimize to-be processes

Non-intrusive to SAP

systems

– No special logging or

configuration required in

the production

environment

– Little to no impact on

production system

performance

Available today as an IBM services

engagement

Page 18: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Process Integration extends & Orchestrates SAP Core ProcessSimplifies integration and eliminates custom coding. Improves reusability

ALEModule

BAPI

Module

QISS Module

(Query Interface for SAP)

SCI Module (Synchronous RFC/BAPI

Interface)

IBM Adapter for SAP

Advance Event Processing

Module

SAP Certified Integration

Advanced Integration Service (AIS) integration pattern enables rapid SAP Integration– Input:

• AIS Service Interface;

• IBM Adapter for SAP (or) Web Service Interface

– Code generated (according to best practices for service invocation)

Page 19: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

SAP ECC (> NW 7.0)

SD

MM

PP

...

SAP Business Rules Framework Plus (BRF+)

• ABAP-based business rules framework (Available with NetWeaver release 7.0 EHP1 and 7.1 EHP1)

• An officially SAP supported approach for connecting to third-party rules engines

• Provides out of the box Import & Export features

Leverage proven integration style

• Configuration of a dedicated RFC destination & Usage of scalable RFC communication

Apply native ABAP patterns to enable core SAP business application to leverage

business rules

• ABAP code is calling BRF+ function

• Rules enablement can be done using reusable pattern to make integration maintainable

IBM ODM (Decision Server)

Decision automation improves agility, reduces customization

Rule Execution Server

Rule Designer

RFC Dest

(SM59)

ODMSAP Extender

Page 20: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Process automation and optimizationOrchestrate and Automate Complex E2E Processes – regardless of the back-end

1. Order is received from the web site

1. Credit check and approval are completed

1. Required components are determined, ordered, allocated and received

1. Customer order is written and confirmed for production

1. Production order is completed and warehoused

1. Customer order is approved for shipment

1. Customer order is picked from warehouse and scheduled for shipping

1. Customer records are updated with order request information

1. Customer order is invoiced

End-to-End Process Choreography

Retrieve Customer

Master DataIBM BPM SAP

Integration Module

Create Sales

OrderIBM BPM SAP

Integration Module

Create Order BOM

Cost EstimateIBM BPM SAP

Integration Module

Create NotificationIBM BPM SAP

Integration Module

IBM BPM Order to Ship End-To-End Process

Page 21: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Enhanced UX improves User productivity

UI built for phones, tablets and desktops

• Adjusts layout based on screen size & orientation

• Slide out “drawers” on left & right

– AngularJS based ‘Responsive Coach Views’ and

‘Lite Coaches Toolkit’

Process Portal –

Tasks List View in

iPhone

Process Portal – Tasks List View in Desktop

Process Portal –

Task Completion View

in iPhone

Page 22: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation22

Topics

What problems that IBM BPM for SAP solve for our Customers?

– Extend, Enhance, Integrate and Optimize SAP core processes

What Capabilities IBM BPM offer to help SAP Customers ?

How IBM BPM for SAP Benefits Customers?

– Adoption Use Cases and Customer Successes

Q&A, Next Step

Page 23: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

IBM BPM adds value to ‘New’ or ‘Existing’ SAP system

A New SAP

Implementation

SAP Version

Migration

Any SAP Implementation can benefit from every Smarter Process

capability at every life cycle stage.

Sta

ble

SA

P

Imp

lem

en

tatio

n

Green field

Re-implementation

Instance consolidation

End to end process orchestration

Process optimization and differentiation

Point solutions

Continuous business optimization

BPM and SAP CoEs

Functional upgrade

Major version upgrade

Page 24: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

BPM for SAP Adoption Scenarios

The scenarios / use cases will be equally applicable to both 'green field' and

'existing install base'.

1. Extend & Enhance SAP core processes• Extend and enhance SAP L-4 transactions with BPM for handling business exceptions,

approvals, enable value chain partners to directly participate in the process

• Minimize SAP customization by leveraging BPM for developing functionality / process

steps not supported in SAP

2. Transform & Optimize value chain processes

• BPM manages all levels of process hierarchy, and uses SAP & other systems to

perform L-4 business transactions.

• BPM provides end-to-end process visibility plus KPI & SLA management. Allows to

modify process flow 'on the fly' to respond to business situation, new opportunities, etc.

3. New, Green field SAP projects

• Use BPM for 'SAP business blueprinting'. Instead of capturing process flows as static

diagrams in visio or similar tools, discover & define in BPM and synchronize with SAP

SolMan for driving SAP configuration.

• The defined process models are executed in BPM for managing end-to-end, value

chain processes.

• Plus the scenarios listed in 1) & 2)

Page 25: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

Customer Successes with IBM BPM

Auto Component Manufacturer

Automates Integration Process Between

Engineering and Manufacturing (SAP)

Aircraft Company

• Reduces supplier collaboration issues caused by lack of visibility into

engineering changes.

• Cost savings for the company of over $9.5 Million over three years

Toy Company

• Manages Supply chain processes.

• Reduced cycle times by 80 percent, from

12 days to only two

• Increased productivity by 250 percent

Pharma Company

Manages core manufacturing and supplier

collaboration processes

Airline manages MRO processes

• End-to-end business flow, from ordering maintenance work through

completion, including procurement, MM

• Faster and more accurate reporting and analysis

• Improves decision making and enhances staff productivity

Electronics Company

Manages order fulfillment, pricing, global

logistics, and customer resource

management business processes

Automation Technology Company

• BPM as strategic sales and marketing platform to manage processes

across SAP and BAAN systems

• Speeds up the process times significant across time zones in 15 countries

(more to be added in future releases)

Electrical Utility Company

• BPM for alarm analyses to spot and speed asset service and maintenance

•15% more Work Orders, 15% crew productivity increase, 7% staff

productivity gain

25

Page 26: Extend SAP processes using IBM BPM Webinar July-2016

© 2014 IBM Corporation

IBM BPM is a market leader

+ = Enables Innovative Business Model

Install base of over 5,000+ active implemented customers and

800+ business partners

Leader in Gartner’s Magic Quadrant for Intelligent Business

Process Management Suites and leader in the Forrester Waves

for BPM Suites and Dynamic Case Management

#1 market share in Business Process Management (BPM) and

Business Rule Management Systems (BRMS) according to

Gartner and IDC