ibp200 : sap integrated business planning - platform features and customizing - ibp 5.0

IBP200SAP Integrated Business Planning - Platform Features and Customizing

PARTICIPANT HANDBOOK INSTRUCTOR-LED TRAINING

Course Version: 10 Course Duration: 5 Day(s) Material Number: 50132317

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Typographic Conventions

American English is the standard used in this handbook.

The following typographic conventions are also used.

This information is displayed in the instructor’s presentation

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Procedure

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Related or Additional Information

Facilitated Discussion

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Contents

xi Course Overview

1 Unit 1: SAP Integrated Business Planning

2 Lesson: Outlining the SAP Integrated Business Planning Solution

Strategy

8 Lesson: Explaining the Functionality and Benefits of SAP Integrated

Business Planning

16 Lesson: Describing the Architecture of SAP Integrated Business

Planning Powered by HANA

19 Lesson: Explaining SAP Integrated Business Planning Powered by

HANA Out-of-the-Box Content

27 Unit 2: User Interface

28 Lesson: Navigating in the SAP Integrated Business Planning Web Ul

30 Lesson: Personalizing the SAP Fiori Launchpad

37 Exercise 1: Personalize the SAP Fiori Launchpad

41 Lesson: Configuring an Integrated Business Planning Connection

with Microsoft Excel

45 Exercise 2: Login to the IBP Connection

53 Exercise 3: Create a Planning View

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Unit 3: Configuration

Lesson: Using Configuration to Model a Business

Lesson: Creating an Attribute

Exercise 4: Create an Attribute

Lesson: Creating a Simple Master Data Type

Exercise 5: Create a Simple Master Data Type

Lesson: Creating a Compound Master Data Type

Exercise 6: Create a Compound Master Data Type

Lesson: Creating a Time Profile

Exercise 7: Create a Time Profile

Lesson: Creating a Planning Area

Exercise 8: Create a Planning Area

Lesson: Creating a Planning Level

Exercise 9: Create a Planning Level

Lesson: Creating a Key Figure

Exercise 10: Create a Key Figure Using an Attribute

Exercise 11: Create a Key Figure

Lesson: Writing a Key Figure Calculation

Exercise 12: Write a Key Figure Calculation

Lesson: Creating a Version

Exercise 13: Create a Version

Unit 4: Model Activation

Lesson: Activating a Planning Area

Exercise 14: Activate a Planning Area

Lesson: Creating a Reason Code

Exercise 15: Create a Reason Code

Unit 5: Cloud Security

Lesson: Outlining Cloud Security

Unit 6: Data Integration

Lesson: Identifying Data Import Options

Lesson: Importing Data Using the SAP Integrated Business Planning

WebUI

Exercise 16: Import Data Using the SAP Integrated Business

Planning Web Ul

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187 Unit 7: User Administration

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Lesson: Creating a Visibility Filter

Exercise 17: Create a Visibility Filter

Lesson: Modifying a Role

Exercise 18: Modify a Role

Exercise 19: Assign a Role to a User ID

Lesson: Creating User Preferences

Exercise 20: Create User Preferences

215 Unit 8: Microsoft Excel Planning and Reporting

216 Lesson: Creating a Microsoft Excel Template and Favorite

219 Exercise 21: Create a Microsoft Excel Template and Favorite

223 Lesson: Performing a Simulation

225 Exercise 22: Perform a Simulation

229 Lesson: Formatting a Planning View

233 Exercise 23: Format a Planning View

239 Unit 9: Disaggregation

240 Lesson: Incorporating Disaggregation Methods in SAP Integrated

Business Planning

243 Exercise 24: Incorporate Disaggregation Methods in SAP

Integrated Business Planning

249 Unit 10: Analytics and Reporting

250 Lesson: Modeling a Business Process Using SAP Integrated

Business Planning

251 Exercise 25: Create a Process Template and Instance

255 Lesson: Creating a Dashboard Chart

261 Exercise 26: Create a Dashboard Chart

266 Lesson: Creating a Drill-Down

271 Exercise 27: Create a Drill-Down

281 Unit 11: Active Object Deletion

282 Lesson: Deleting an Active Object

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Unit 12: Supply Review

Lesson: Adding Rough Cut Supply Configuration to an Active

Planning Area

Exercise 28: Add Rough Cut Supply Configuration to an Active

Planning Area

Lesson: Setting up an alert in a favorite

Exercise 29: Set up an Alert in a Favorite

Lesson: Copying Data Between Versions

Exercise 30: Copy Data Between Versions

Unit 13: Helper Key Figure

Lesson: Creating a Helper Key Figure

Exercise 31: Create a Helper Key Figure

Unit 14: Statistical Forecasting

Lesson: Managing a Forecast Model

Exercise 32: Create a Forecast Model

Exercise 33: Execute Forecasting to Run in the Background

Exercise 34: Simulate Forecasting

Lesson: Creating a Global Configuration Parameter

Unit 15: SAP2 Master Data Objects

Lesson: Analyzing the SAP2 Model

Unit 16: Key Figures with Other Periodicities

Lesson: Creating a Key Figure Using Other Periodicities

Exercise 35: Create Key Figures Using Other Periodicities

Unit 17: Naming Conventions

Lesson: Using SAP Preferred Naming Conventions

Unit 18: Change History

Lesson: Configuring and Using Change History

Exercise 36: Configure and Use Change History

Unit 19: Collaboration

Lesson: Creating a SAP Jam Group

Exercise 37: Create a SAP Jam Group

Lesson: Creating a Task

Exercise 38: Create a Task

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Course

TARGET AUDIENCE

This course is intended for the following audiences:

• Application Consultant

• Business Analyst

• Business Process Architect

• Business Process Owner/Team Lead/Power User

• Data Consultant/Manager

• Database Administrator

• Development Consultant

• Help Desk/CoE Support

• Program/Project Manager

• Solution Architect

• System Architect

• Technology Consultant

• Trainer

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UNIT 1 SAP Integrated BusinessPlanning

Lesson 1

Outlining the SAP Integrated Business Planning Solution Strategy 2

Lesson 1

Outlining the SAP Integrated Business Planning Solution Strategy 2

Lesson 2

Explaining the Functionality and Benefits of SAP Integrated Business Planning 8

Lesson 3

Describing the Architecture of SAP Integrated Business Planning Powered by HANA 16

Lesson 4

Explaining SAP Integrated Business Planning Powered by HANA Out-of-the-Box Content 19

UNIT OBJECTIVES

• Outline the SAP Integrated Business Planning solution strategy

• Explain the functionality and benefits of SAP Integrated Business Planning

• Describe the architecture of SAP Integrated Business Planning powered by SAP HANA

• Explain SAP Integrated Business Planning powered by HANA out-of-the-box content

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Unit 1 Lesson 1

Outlining the SAP Integrated Business Planning Solution Strategy

LESSON OVERVIEW

This lesson outlines the SAP Integrated Business Planning solution strategy.

LESSON OBJECTIVESAfter completing this lesson, you will be able to:


Supply Chain

In recent years, supply chains have become more volatile due to the following major geographicand demographic trends:

• Market power has shifted toward the end consumer, which was amplified by the financial crisisin 2008 and 2009.

• Maturity of the millennia generation who require individualized products that are deliveredimmediately and purchased through new channels.

• Emerging middle class in the developing market place due to the growth of the population to 5billion people, which has resulted in a global rebalancing across geographies.

Today's end consumers research and purchase products in real-time, and expect them to be delivered with a high sense of urgency.

Complexity of Growing Logistics Requirements

The requirements of logistics are growing and becoming increasingly complex as a result of volatile markets. Constantly changing logistical demands require greater flexibility from distribution networks. Companies are also introducing speedy replenishment services in order to have an advantage over their competitors, as shown in the following examples:

An automotive service parts wholesaler guarantees their dealers and end-customers a 30 minute replenishment cycle.

Amazon has introduced a new distribution center strategy, which allows them to deliver products ordered through their website within 2 hours (in California).

Retailers such as Walmart have introduced a process to deliver directly from the closest store to a customer when an order is placed online. This requires an excellent replenishment

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Lesson: Outlining the SAP Integrated Business Planning Solution Strategy

process between the distribution center and the store to avoid stock-out or an out-of-shelf situation.

It is important for companies to change their supply chain process to move with the changing market trends.

Supply Chain Agility

A planning model can be slow and abstract, which disconnects it from an execution system and results in a break in the closed loop process. Supply chains need to be flexible and agile to solve complex issues in real-time.

The biggest issue for supply chain professionals is getting the information needed to make informed decisions. According to an Aberdeen study, only 20% of supply chain professionals have the information they require during a standard working day. 80% of the professionals researched in the study either didn’t have the information required or they received it too late. This means that many important logistical decisions are being made without any support from a supply chain management solution. Instead, decisions are based on the experience of a supply chain professional. The decision-making process is slow and often based on outdated information, which can introduce sources of error into the planning process. Reaction time to major events is also compromised, which can drive an organization to panic and create further errors.

Another challenge faced by companies is deciding how to improve planning results. Short-term forecast accuracy is a particularly big challenge for companies as forecast errors directly lead to excess inventory or stock outs. Traditional forecasting algorithms provide good mid-term results but are challenged when providing short-term results. This issue is further increased due to the operations of a company not being aligned with Integrated Business Planning.

To solve these issues, businesses are transforming their supply chains to demand networks to meet customer demands.

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Differentiate Company Offerings

A company can benefit from logistical complexity and volatility by gaining an advantage over their competitors in the following ways:

Being agile and benefiting from changes in demand

Being reliable and meeting customer expectations

Providing end-to-end visibility and monitoring

Providing new markets and gaining new customers

A company's ability to react quickly and accurately is a true measure of an organization's competitive advantage. Lets take a closer look at Integrated Business Planning and how the SAP solution enables this process.

In tegrated Business Planning

Integrated Business Planning is the process used to address supply chain challenges, risks, and opportunities. Oliver Wright provides the following definition: “ Integrated Business Planning is the business planning process for the post-recession era, extending the principles of Sales & Operation Planning (S&OP) throughout the supply chain, product and customer portfolios, customer demand and strategic planning, to deliver one seamless management process."

The balance of demand and supply is typically associated with S&OP. However, Integrated Business Planning extends the principles of S&OP across the supply chain by using advanced demand and supply planning, which integrates with financial plans and links a strategic plan with operational execution.

Complete Scalable Model

Real-Time What if Scenario Planning

Collaboration Intuitive Uls

Supply

Demand Finance

Demand, supply chain, and financial

model at aggregate & detailed levels

Real-time scenarios and simulation on

entire model

Transparent communication, record

decisions

Access anytime via Web, Excel and

Mobile Uls

Inventory Target

Setting & Projections

Material & Capacity -

Constrained Planning

Planning & Profit

Impact

Executive Review & Real-Time Analytics

Adjust and Respond to

Supply & Demand Changes

Figure 2: Balancing Demand With Supply

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Supply Chain Monitoring and Integrated Business Planning

SAP offers a comprehensive Integrated Business Planning solution, which is comprised of fourunique aspects:

1. The SAP solution is a complete model, which spans demand, finance, and supply chainplanning. It is a flexible model that provides easy access using the analytic capabilities ofMicrosoft Excel. The model is easy to reconfigure and is based on SAP HANA, which providesscalability and the ability to handle large data volumes and calculations.

2. Scenario planning and comparison with multiple plans is possible in real-time at both a detailed and an aggregate level due to SAP HANA. We also offer a what-if simulation, which isavailable to a planner at any time and across the entire model. SAP HANA provides a dramatically faster in-memory computing platform than any other on the market.

3. Social collaboration is embedded throughout the application, which allows you to engage withbusiness functions and to have transparent information sharing and decision making duringthe Integrated Business Planning process.

4. Intuitive Uls via Web, Microsoft Excel, and Mobile support, which are quick, accessible, havereal-time visibility, and flexible planning.

S&OP and Integrated Business Planning

SAP Integrated Business Planning is a world-class solution for supply chain monitoring, sales and operations planning, demand management, inventory planning, supply planning, and response

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management. S&OP is the core of Integrated Business Planning. This process aligns demand and supply to drive a business outcome.

It has become increasingly important for a business to power growth, resiliency, and efficiency. Several maturity models have been developed by analyst companies to determine the different stages of S&OP, which include the following:

1. Creating a feasible plan

2. Matching demand with supply

3. Driving the most profitable response

4. Building demand-driven supply chain capabilities

5. Orchestrating through market driven value networks

6. Optimizing inventory

Key Principles

SAP provides a solution to cover all 6 stages of the above planning process. This approach includes the following key principles:

• Communication

Users can comment on a plan to avoid miscommunication and to speed up the process.

• Analytical Capabilities

Analytical capabilities are embedded into the process so that users can directly view andanalyze the impact of the various demand and supply scenarios that are available, withoutneeding to change between systems.

• Simplicity in the Ul

Microsoft Excel spreadsheets are embedded into the solution and avoid the need for a separate spreadsheet program.

• Real-Time Scenario Planning

Integrated Business Planning is built natively on the SAP HANA platform.

• Integration Between SAP Business Suite and External Third Party Tools

Users can upload master data and retrieve the results of their Integrated Business Planningdata.

SAP Solution

SAP has leveraged the principles of Integrated Business Planning and has built on this platform to provide the following solutions:

• Big-Data Analytic Application

This is the main part of the supply chain control tower, which allows you to acquire andharmonize data from the entire demand network in real-time. We use predictive analytic

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capabilities to provide real-time what-if simulations and an open environment, which you can use to connect to third party tools.

• Inventory and Service-Level Optimization

This allows you to directly create multi-tier inventory targets based on S&OP. It is based on thesame data model and there is no data transfer required. As a result, the inventory is reduced,which has a major impact on achieving profitability goals.

• Predictive Demand Management

This is a new application, which creates full demand transparency for all products andtimeframes. It includes predictive analytic capabilities for demand sensing and statisticalforecasting, which increases forecast accuracy, reduces inventory, and provides moreflexibility and speed in the supply chain. There is no data transfer required between the S&OPinventory and the service-level optimization and predictive demand management, becausethey are both based on the same data model, which is powered by SAP HANA.

• S&OP Planning Process Extension

The first release of SAP Integrated Business Planning for supply can be used as an extensionof the S&OP process. It displays visibility across the supply network locations and throughlevels of the Bill of Material (BOM). It can also provide a constrained demand plan as an outputfor further supply processing in other planning systems, such as, SAP Advanced Planning andOptimization or SAP Enterprise Central Component.

These solutions are provided in the Cloud for fast and easy access.

LESSON SUMMARYYou should now be able to:


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Unit 1 Lesson 2

Explaining the Functionality and Benefits of SAP Integrated Business Planning

LESSON OVERVIEW

In this lesson, we explain the functionality and benefits of SAP Integrated Business Planning.

LESSON OBJECTIVESAfter completing this lesson, you will be able to:

• Explain the functionality and benefits of SAP Integrated Business Planning

SAP In tegrated Business Planning Overview

The SAP Integrated Business Planning solution is comprised of SAP Supply Chain Control Tower, SAP Integrated Business Planning for sales and operations, SAP Integrated Business Planning for inventory, SAP Integrated Business Planning for demand, SAP Integrated Business Planning for supply, and SAP Integrated Business Planning for response. These applications have been developed to deliver analysis and share real-time information alerts across an end-to-end supply and demand network, with the speed of the SAP HANA platform and fast adoption through SAP Cloud. It also offers a collaborative environment for sales and operations planning across global functions, new optimization algorithms, and supply chain monitoring capabilities.

Each company has a different reason and method for starting to leverage Integrated Business Planning, which is based on their business priorities and the challenges faced.

Challenges and Solutions

The challenges faced by companies and the recommended SAP solutions are outlined in the table:

Challenge Possible Deployment Security

Lack of visibility and information required to analyze and manage the end-to-end supply chain

SAP Supply Chain Control Tower

Inability to synchronize supply and demand SAP Integrated Business Planning for sales and operations

Difficulty to determine optimal inventory levels across the network

SAP Integrated Business Planning for inventory

Inability to manage and plan across the complex supply network

SAP Integrated Business Planning for supply

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Lesson: Explaining the Functionality and Benefits of SAP Integrated Business Planning

Challenge Possible Deployment Security

Inability to understand and shape actual demand

SAP Integrated Business Planning for demand

Inability to respond to short term changes in supply and demand

SAP Integrated Business Planning for response

SAP Supply Chain Control Tow er

SAP Supply Chain Control Tower enables users to obtain an up-to-date overview of a supply chain. It allows true end-to-end visibility from suppliers to customers. You can monitor production using the SAP Supply Chain Control Tower, and you can also view ongoing transportation and handling activities, for example, a shipment, at a granular level. The following functions can be reviewed in the SAP Supply Chain Control Tower:

Deviations are analyzed and related to the end customer.

Smart alerts provide information and suggestions in consumable context.

Financial metrics, for example, the expected cost of lost sales, are calculated in the alert context and provide significant guidance on what area to focus on.

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The SAP Supply Chain Control Tower offers the following benefits:

Increased End-to-End Visibility

Internal and external information is provided from planning and execution systems in one view, it is close to real-time.

Increased Supply Chain Agility and Reduce Supply Chain Cost

Save the cost of express freight due to earlier issue detection and resolution.

Increased On-Time Delivery Performance to Customer

Focus on the customer by aligning operations towards high customer service. Shortages are related to customer demands and a high degree of visibility is established.

Decreased Overall Inventory Levels While Reducing Risk

View current stock in one system, as opposed to many different systems that have data, which is not synced, for example, two SAP ERP instances, SAP Advanced Planning and Optimization, and SAP Business Warehouse (BW) reports.

The SAP Supply Chain Control Tower is a supply chain visibility solution that bridges the supply chain planning and execution domains.

The key features include the following:

Smart alerts

Analytics

What-if simulation capabilities

Task and case management (solve issues in a structured and aligned way)

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SAP In tegrated Business Planning fo r Sales and O perations

Figure 5: SAP Integrated Business Planning for Sales and Operations

The SAP Integrated Business Planning solution for sales and operations helps you engage key stakeholders in an efficient, integrated planning process that profitably aligns demand and supply. The Sales and Operation Planning (S&OP) solution provides a unified model of demand, supply chain, and financial data for real-time analysis and simulation. You can use this solution to deliver a cross-departmental S&OP balancing that impacts on inventory, service levels, and profitability as follows:

Create the optimal business plan to drive revenue growth and increase market share.

Effectively balance demand and supply, and attain financial targets.

Increase speed and agility of planning and drive the most profitable responses.

Improve forecast accuracy and on-time delivery.

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SAP In tegrated Business Planning fo r Inventory

Figure 6: SAP Integrated Business Planning for Inventory

SAP Integrated Business Planning for inventory can be used to optimize multi-stage inventory targets to meet or exceed customer service levels, while considering uncertainties like forecast errors and supply uncertainty. It offers the following benefits:

Improves customer service levels

Maximizes the efficiency of inventory and working capital

Improves planner productivity by standardizing the planning processes

Standardizes the inventory target-setting process at each tier within the supply chain to feed operational plans

Reduces production and distribution costs

SAP Integrated Business Planning for inventory allows you to deal with supply chain uncertainty in planning. It sets inventory targets across complex supply chains so that an inventory is most efficiently deployed. SAP Integrated Business Planning for inventory uses different methods than traditional planning systems. It combines these new methods with true multi-stage (multiechelon) inventory optimization and full detection and consideration of multiple demand and supply uncertainties.

SAP Integrated Business Planning for inventory also provides process consistency in inventory planning, and better visibility to the root cause of inventory through embedded analytics and the what-if simulation capability.

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SAP In tegrated Business Planning fo r Dem and

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Figure 7: SAP Integrated Business Planning for Demand

SAP Integrated Business Planning for demand enables short, mid, and long-term forecasting. You can get full demand transparency for short, mid, and long-term forecasting by leveraging demand sensing and statistical forecasting methods. SAP Integrated Business Planning for demand allows you to do the following:

• Develop accurate mid-term statistical forecasts

• React faster to short-term demand changes with pattern recognition based algorithms

• Provide accurate deployment of product based on short-term demand

• Manage multiple demand signals

• Collaborate for accurate forecasting

Forecasting in SAP Integrated Business Planning for Demand

Traditional mid-term forecasting relies heavily on statistical methods, but also on collaboration and business input. SAP Integrated Business Planning for demand provides robust statistical models for an initial forecast, but it also includes collaborative tools that collect information about a demand. It works in conjunction with SAP Integrated Business Planning for sales and operations to allow you to generate a consensus forecast at any level. SAP strives to make demand planners efficient and more business focused, instead of just operating as statisticians.

In the short-term, SAP Integrated Business Planning for demand uses state-of-the-art pattern recognition algorithms to react to changes in demand. Short-term forecasting enables a more

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ibp200 : sap integrated business planning - platform features and customizing - ibp 5.0

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