s4 1610 business value l1

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 1Public

Speaker’s Name/Department

Date, 2015

With SAP HCM Cloud Service and Support1610 Release The Digital Core Unleashed

Public

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2PublicDisclaimer: This road map represents SAP’s current plan, but is subject to change without any prior notification.Certain planning constraints, such as regulatory and licensing issues, are outside of our control and may impact the timelines. 2

The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation and SAP's strategy and possible future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This document is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful misconduct or gross negligence.

All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

Legal Disclaimer


ImmediateEmpowering business users with

insights to act in the moment

IntelligentBeyond automation,

to predictive suggestion

IntegratedNot only between your departments,

but connected to the world

Business Networks Customer Experience

Internet of Thingsand Big DataSAP HANA Cloud Platform

Workforce Engagement

SAP HANA Platform

Security

Digital Core

The Digital Core


Instant, real-time insight for better decisions– in-memory technology– embedded analytics

Reinvented processes for higher performance – maximized throughput and speed – native integration to SAP solutions

SAP Fiori user experience = higher productivity– intuitive on all devices, mobile first– proactive decision-making support

THE NEXT GENERATION BUSINESS SUITE FOR A DIGITAL WORLD

Simplified Architecture for lower TCO – lean data footprint– cloud deployment for higher flexibility

Why SAP S/4HANA?


DATA MODELINGConstant tuning and updating of aggregates, indices and other forms of redundant data structures

Complexity leaves no time for Finance and Supply Chain

executives to focuson the customer

Complex decision making

Managing transaction volumes, data integrity and system responsiveness to users

Complex processes

Building and maintaining reporting and interfacelayers to connect multiple systems and solutions

Complex architectures

BATCH PROCESSING

SYSTEM INTEGRATION

Technology Limitations of the Past


How These Challenges Manifest in The Real World

• Locked tables prevent movements

• No parallel postings

• High volume back flush = batch jobs and bulk postings with delay

• No real-time transparency on stock and on exact material flow: how to identify defective parts

• No actual costs and intercompany profit transparency

• Need to split system load into multiple distracted systems

550Daily Output

per model

3,500BoM materials per model, on 10 levels,

60% common parts

7Car Models

>20M Material movement

transactionsper day


How Does SAP S/4HANA Address Today’s Challenges?

Re-architecting for Visibility and Agility

User Centric, Responsive and

Personalized User Experience

Unifying Functionality

in Core


ACDOCA BKPF BSEG BSET BSIS BSIS BSIK BSET

COBK COEPLFC1 GLT0 GLT0 GLT0 COSP

MasterData

MSEGNew

MSTQH MSTEH

MSTBH

MSSQH MSSAHMSPRHMSLBH MSKUH

MSKAH

MKOLH

MCHBH

MARDH

MARCH

MSTQ MSTE

MSTB MSSQ MSSA

MSPR MSLB

MSKU MSKA MKOL

MCHBMKPF MARD

SAP Logistics with Aggregates and IndicesSAP S/4HANA Materials Management & Operations

SAP Finance with Aggregates and IndicesSAP S/4HANA Finance

Re-architecting for Visibility and AgilityInventory Management Example*

Traditional DB on HANA

593 GB

118.6 GB

SAP S/4HANA

42.4 GB

*Illustrative example only


With Traditional System With SAP S/4HANA

Traditional With SAP S/4HANA

Process Excellence

User Interaction Ad Hoc

With Traditional System Close activities that don’t begin until period end Multiple batch-run dependencies Batch bottlenecks that delay downstream activities High error-correction efforts Complex issues that are postponed until after close Time-pressured resolutions Delayed visibility into reporting

With SAP S/4HANA Real-time system with key performance indicators

(KPIs) instantly refreshed Elimination of end-of-period batch bottlenecks Continuous intercompany reconciliation Continuous financial reporting visibility Profitability analysis and line-item detail reconciliation Automation for routine tasks Full management visibility of close tasks

Initial period Close and consolidation

Closebatches

Consolidationbatches

Reporting on demand

Close and consolidationInitial period

Business Process View Soft Financial Close Anytime


Enter Material Order Choose best supplier and complete material

order entry

Review Material Shortage

Select Supplier

Analytics and Insights

Now All On One Screen

Purchase Manager

Check Budget Overview

Review Detail Report

Faster customer delivery Larger average deal size Fewer warehouse stock outs

Check Average Supplier Delivery Performance

Cross Sell

*Screenshots shown are for demonstration purposes only and are not final product commitments

Contextual Insights at the Point of Decision


SAP Fiori: The User Experience of SAP S/4HANA

Single Entry Point

Domain Specific Infos and Actions

Enter Details and Explore In-Depth

The SAP Fiori launchpad will be the single entry point to access all apps

Users will quickly get an overview of what needs their attention with Overview Pages, List Reports and Work Lists, and trigger quick actions or drill down to the next level of detail

• Key and differentiating use cases will be re-imagined with the SAP Fiori user experience.

• All “classic” applications will have the SAP Fiori visual theme.


SAP Fiori 2.0

My Area NotificationsViewport

Watch Video

https://www.youtube.com/watch?v=Io9HfoVkGVU


Current State Landscape and EvolutionWhat’s In, What’s Out?

Integration between LoB core transactions in SAP S/4HANA and new functionality and innovations in SAP Cloud solutions

Supply Chain Management

Customer Engagement Management

Supplier Relationship Management

Transportation & Extended Warehouse Management

Core ERP

Master Data

Realize PhasePrepare Phase

Master Data

Core ERP becomes your Digital Core with SAP S/4HANA

Enhanced core processes including procurement, manufacturing, supply chain, asset management,

sales and distribution, services, and digital boardroom

Mission Critical reporting within S/4HANA; Historical Reporting can continue in SAP Business Warehouse

SRM: Ariba is the go-to solution for Strategic Sourcing including Catalog Management; while S/4HANA supports the full purchase order management process including supplier management with tight integration into other logistics areas. With S/4HANA customers can also leverage the Ariba network for selected business processes

CRM: SAP Hybris is the go-to solution to drive customer-centric digital transformation and simplify the front office in the cloud; while S/4HANA supports the full order execution process, post-sale services and core transactions with a universal customer ID

SCM: SAP Integrated Business Planning is the go-to cloud solution for sales & operations, demand, inventory, response and supply planning, while S/4HANA supports production planning, detailed scheduling and advanced available-to-promise. For supply chain execution, SAP Transportation Management and SAP Extended Warehouse Management (EWM) are the go-to solutions – stand-alone or in late 2016, EWM native on S/4HANA

HCM: SAP SuccessFactors is the go-to solution for human capital management; while SAP S/4HANA continues to support payroll, benefits and core transactions with a universal employee ID

Finance: SAP S/4HANA Finance is part of core ERP, with both financial and management accounting capabilities. This is extended with planning and compliance functions, across ERP as well as EPM and GRC, for a holistic solution that includes simulation and prediction, as well as integration into cloud solutions.


EFFECTIVE GOVERNANCE

FLEXIBLE DEPLOYMENT

FAST INNOVATIONS

DYNAMIC EXTENSIBILITY GUIDED CONFIGURATION

NATIVE INTEGRATIONCloud and Hybrid

Quarterly Innovation Cycle

Extensions via SAP HANA Cloud Platform

Fully Managed by SAP

Integration with SAP SuccessFactors Employee Central, SAP Ariba Network, SAP hybris Marketing

Ready-to-Run SAP Best Practices Business Processes

Enterprise Management CloudProfessional Services CloudMarketing CloudFinance Cloud

Digital Transformation Delivered Through the Cloud



Date, 2015

With SAP HCM Cloud Service and Support1610 ReleaseKey Enhancements Highlights


SAP S/4HANA 1610Key Enhancement Highlights

Existing & enhanced innovationsNew innovations

Advanced Availability to Promise

Embedded Extended Warehouse

Management

SAP S/4HANA International Trade

Compliance

Plan to produce in ONE System (PPDS)

Accelerated Material Requirements

Planning

Consistent Fiori UX for SAP S/4HANA

Billing and Revenue Innovation

Management

SAP S/4HANAFinance


Reduce Transportation Costs Utilizing Truckload Optimized Purchasing

Reduce Communication Effort Between Supplier and Customer

The Material Planner can quickly identify all materials to be ordered due today or within the next days. All materials from one vendor are ordered together in a way that the availability is balanced and that the used means of transportation are fully loaded.

SAP Fiori App: Create Optimal Orders for Shipment

Fiori app to identify all materials due today or in the near future to avoid material shortages. Quantities are proposed for one selected vendor to balance the availability of these materials and to fully load the chosen means of transportation. After a possible manual correction, one purchase order is created handling all selected materials.

Truckload Optimized Purchase Orders / PP-MRP

This is the current state of planning and may be changed by SAP at any time.

Planned Innovations


Production Planning Business Scenario A Simple MRP Demonstration

You are a production controller and you get a sales order to

build one bicycle by noon today

Internal TransferChain Ring

Production Order 2x Wheels

Production Order Bicycle

Production Order Frame

Requirement Date

Start Transfer

9:00am 10:00am 11:00am 12:00am8:00am

Internal TransferChain Ring

ProductionOrder

1x Wheel

Production Order Bicycle

Production Order Frame

Start Transfer

Production Order

1x Wheel

Requirement Date

Resource Occupied9:30-10:30

9:00am 10:00am 11:00am8:00am 12:00am

Infinite Planning In MRP

Finite Planning in PP/DS

BOM

Internal Transfer

In-house Production

2x Wheels

Chain Ring

Frame

Bottle NeckResource Unavailable:9:30-10:30


Unified Functionality in the CoreProduction Planning and Detailed Scheduling

ERP + PP/DS

Run planning in SAP S/4HANA (constrained + unconstrained)

Costly andcomplex architecture

Latency and error prone

Complex for the user

Easy and simple for the user

Faster and responsiveproduction planning

Reduced totalcost of ownership

CURRENT FUNCTIONAL MODEL PLANNED IN 1610 RELEASE

1. Run infinite unconstrained planning in ERP (Frame + Gearbox)

2. Run finite and constrained planning (Wheels)

3. Review results in ERP

4. Review results in APO PP/DS

5. Consolidate and reconcile finite and infinite production plans

SAP ERPSAP APO

PP/DS

Core Interface CIF

Frame

2x WheelsChain Ring



Unified Functionality in the CoreExtended Warehouse Management

Integration steps required between EWM and ERP

1. Configuration of communication between ERP and EWM using qRFC

2. Definition of a warehouse in ERP and EWM

3. Integration of the warehouse with the organizational structure of ERP

4. Initial master data transfer from ERP to EWM

5. Creation and activation of a Core Interface (CIF) integration model for the master data transfer from ERP to EWM

Extended Warehouse Management• Inventory Management Optimization

(e.g. Slotting)• Inbound Process Optimization

(e.g. Deconsolidation)• Outbound Process Optimization

(e.g. Waves)• Material Flow Control• Yard Management (e.g. TU handling, DAS)• Labor Management• Value Added Services• Kitting• Cross Docking• Warehouse Billing

Basic Warehouse Management• Inventory Management• Inbound Process• Outbound Process• Internal Warehouse Movements• Physical Inventory• Reporting

One System for all warehousing

SAP S/4HANA SUPPLY CHAIN WITH EMBEDDED EWM

Extended Warehouse Management

SUITE

PRODUCTS

Basic Warehouse Management

SAP ERPLE-WM SAP EWM

Core Interface CIF



Unified Functionality in the CoreAdvanced Available to Promise

1. Product Availability Check

2. Product Allocation

3. Rescheduling

4. Substitution

SAP ERPBasic ATP

SAP APO –ATP



3. Rescheduling

4. Substitution



3. Rescheduling

4. Substitution

Enhanced Backorder Processing

New concept for requirement classification

Enhanced Product Allocation

Synchronous, consistent data

Immediate error handling

Release for Delivery App

Enable timely action on short term supply and

demand changes

Core Interface CIF


Reduce TCO. One Run fits all. Former solution requested more subsequent runs. Increase margin due to flexible order confirmation based on business priorities in ATP back-order processing.

Flexible and intuitive selection and ranking of sales order requirements.

High performance mass ATP-check.

Planned Innovations – Q4/2016 Advanced ATP – Backorder Processing

Insert appropriate picture/screenshot here

This is the current state of planning and may be changed by SAP at any time.

Advanced ATP – Backorder Processing• New Fiori UX to set-up BOP-runs.

• New concept for requirement classification:- Winner- Gainer- Redistributor- Filler- Looser

• New Fiori app to display the BOP-result:The result is displayed on different aggregation levels and allows an easy identification of (and fast drill down to) confirmation issues.

Planned Innovations


BOP (Backorder Processing)The Five Confirmation Strategies in Detail

Confirm as RequestedShall be fully

confirmed in time (MBAT of

requirement in past shall be today)

Improve if Possible

Shall at least keep the confirmation and should gain

RedistributeShould gain,

but also may lose

Delete Confirmation

if RequiredShall not gain

anything, should keep confirmation, but may also lose

Delete Confirmation

Shall lose everything

LOSE

FILL

REDISTRIBUTE

GAINWIN



Date, 2015

With SAP HCM Cloud Service and Support1610 ReleaseCustomer Examples and Next Steps

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 25Public© 2016 SAP SE or an SAP affiliate company. All rights reserved. 25Public

100% increase

in revenue since the launch of SAP S/4HANA Finance

50% increase

in sales productivity with on the go data access

50% decrease

in closing time since the launch of SAP S/4HANA Finance

MEMEBOX

We look to SAP as a strategic partner that can guide us toward digital transformation.”

– Rio Kim, CFO, MEMEBOX Inc.

“


We required a new level of agility in our systems in order to successfully introduce new products.”

– Niel Nickolaisen, Chief Technology Officer, O.C.Tanner


15 yearsAverage

customer loyalty

97%Customer

satisfaction

99%On time delivery

O.C.Tanner

“


S/4HANA is empowering employees with tools AND insights that drive new ways of thinking…”

– Steve Strout, Vice President Corporate Systems, Sabre


300 Integrations

24 Distinct systems

consolidatedinto three

27%Reduction in

custom objects

SABRE

“


• Start a new implementation and/or bring an existing landscape back to standard

• Retain existing processes and migrate from any DB to HANA

• Adopt and reimage business processes incrementally

• Re-imagine the business

• Plan the digital transformation

• Design and Execute with the help technical and functional support services from SAP

• Identify business requirements

• Build the business case

• Develop an SAP S/4HANA adoption strategy and roadmap

First Steps Your Path The Roadmap Options• Planning and safeguarding

• Technicalimplementation

• Functional implementation

• Co-innovation

InnovationStrategy and

Roadmap

New implementation

Landscape transformation

System conversion

123

On premise

Cloud

Hybrid

4

3

2

1

Starting Your Journey to SAP S/4HANA


NEWCUSTOMERS

CUSTOMERS WITH SAP ERPON ANY DATABASE

CUSTOMERS WITH SAP BUSINESSSUITE POWERED BY SAP HANA

New implementation of SAP S/4HANA,on-premise edition

System conversion from on-premise SAP ECC 6.x to SAP S/4HANA (Nov. 2015 planned update)

System Conversion from on-premise SAP Business Suite powered by SAP HANA to SAP S/4HANA

Service and support best practices



Migration scoping and value identification workshop

Engineered services for technical deployment

SAP S/4HANA Foundation rapid-deployment solution

Comprehensive migration services scoped in “t-shirt” sizes.

1 PLANScope migration effort and identify key business scenarios

2 INSTALLInstall SAP HANA and SAP S/4HANA

3 IMPORTImport data from legacy application (if necessary)

1 PLANScope migration effort and identify key business scenarios

2 CONVERTUnicode conversion (if not already done)

3 MIGRATEInstall and migrate database to SAP HANA

4 INSTALLInstall new code

Migration scoping and value identification workshop

Rapid database migration service

Comprehensive migration services scoped in “t-shirt” sizes.


ONE STEP OPTION

1 PLANIdentify key business scenarios

2 INSTALLInstall new code

Value identification workshop


Where to Begin?


HOW CAN I LEARN MORE?WWW.SAP.COM/S4HANA

http://WWW.SAP.COM/S4HANA



Date, 2015

With SAP HCM Cloud Service and Support1610 ReleaseComplete Enhancement List


Industry to CoreDIMP

SAP S/4HANA 1610Key Innovations to Faster Adoption

Existing & enhanced innovationsNew innovations

advanced Availability to Promise

Embedded Extended Warehouse Management

Effective Order Management & Billing

EfficientProcurement

Real time Inventory Management & Material Valuation

Integrated Quality Management

Entire S/4HANA Financescope included

Embedded Software in Product Development

Consistent Fiori UX for SAP S/4HANA

Plan to produce in ONE System (PPDS)

Optimized Portfolio and Project Management

Accelerated Material Requirements Planning

Industry to Core RETAIL

Industry to Core OIL&GAS

Remark: Key Innovations does not reflect licensing


Extended Warehouse Management embedded in SAP S/4HANA*» Provide EWM in SAP S/4HANA Core to provide state of the art warehousing capabilities

» Simplified integration to SAP S/4HANA processes

» Focus on Business Role: Warehouse Clerk and Warehouse Operative

Embedded Software in Product Development* » Manage embedded software versions in the SAP Product Lifecycle Management (SAP PLM)

application

» Manage embedded software in the engineering product structure

» Maintain compatibility information between software and other components of a product

» Check product structure for compatibility of embedded software

SAP Portfolio and Project Management for SAP S/4HANA*» Simplified Portfolio and Project Management Add-On for SAP S/4HANA

» Overview monitor project progress

» Upcoming activities for project team members

SAP S/4HANA 1610Key Innovations Highlights

* does not reflect licensing


SAP S/4HANA for advanced ATP*» BOP (Backorder Processing) with Introduction of the new “Winner –Gainer – Looser” concept with

five confirmation strategies• Simple classification of concurrent sales orders according their business impact

• High-volume back order processing

• ATP confirmation based on business priority instead of order creation time

» Product Allocation in SAP S/4HANA has a completely new design and implementation based on neither ECC nor APO

» Release for Delivery: Visualization of the business impact of a material shortage situation allows the user to prioritize his work and concentrate on the real issues

Integrated Quality Management*» Improve the Segment of One process with Quality management integration

» Support for core QM processes with new roles with SAP Fiori user experience (UX) for Quality technicians, quality engineers, quality planners, quality managers, quality auditors, calibration technicians

» Simplified inspection process in SAP S/4HANA integrated Extended Warehouse Management




SAP S/4HANA International Trade Compliance*» GRC/SLL: International Trade Management for SAP S/4HANA (SD-FT Replacement by GTS)

» Roles: Trade Classification Specialist and Trade Compliance Specialist

SAP S/4HANA Finance *» SAP Ariba Integration without the need of add-on installation / remittance advice

» HCP: Customer payment portal, Credit information integration for SAP Credit Management,SAP Profit and Loss Insights

» Integrated Business Planning: New universal planning journal; Central Profit Center Reporting

» Central Finance: Central Payment and Reconciliation functions

» Real-Time Consolidation: Real-time access to transactional and master data

Billing and Revenue Innovation Management (aka BRIM) *» FI-CA and Convergent Invoicing in SAP S/4HANA 1610

» Simplified Billing plans




Master Data Governance (MDG)* » Embedded in SAP S/4HANA 1610

» Product as unification of Industry material and Retail Article

» Simplified Master data (Customer, Supplier, Product)

» Analytics; master data quality work list

Manufacturing planning: production planning and detailed scheduling (PPDS)* » Access production planning and detailed scheduling as part of the manufacturing planning

functionalities in SAP S/4HANA 1610

» Create procurement proposals for in-house production or external procurement to cover product requirements

» Optimize and plan the resource schedule and the order dates and times in detail by taking the resource and component availability into account

» Plan critical products, such as products with long replenishment lead times or products that are produced with bottleneck resources

» Create executable production plans

» Use the “Create Optimal Orders for Shipment” app to order several materials in one purchase order and optimize the order quantities to best utilize the capacity of the means of transport




Manufacturing planning: Production Scheduling Board*» Access Web-based graphical scheduling tool for production planning and detailed scheduling

as part of the manufacturing-planning functionalities in SAP S/4HANA 1610

» Customize the Web-based graphical scheduling tool for production planning and detailed scheduling according to various industry needs

» Optimize and plan the resource schedule and the order dates and times in detail by taking the resource and component availability into account

» Plan critical products, such as products with long replenishment lead times or products that are produced with bottleneck resources

» Create executable production plans





Industry to Core: OIL & GAS*

Oil and Gas downstream with SAP S/4HANA» Full enablement of oil and gas downstream functionalities with release 1610 of SAP S/4HANA

» Redesigned hydrocarbon product management (HPM)

» Unit-of-measure group enhancement solution based on simplified HPM data model

» Inventory planning workbench (IPW) that is optimized for the SAP Trader's and Scheduler's Workbench application

» Role in SAP Fiori for transportation schedulers with apps for regional dashboards, nominations, and events

» Oil and gas flavored roles in SAP Fiori for transportation schedulers, supply chain managers, inventory managers, shipping specialists and billing clerks



SAP S/4HANA 1610SAP S/4HANA International Trade Compliance*

» Intrastat Capabilities• Supports the European Union (EU) requirement for collecting

information and statistics of trade goods between 25 countries• Includes procure-to-pay and order-to-cash processes• Classification of products to support Intrastat declarations• Monitoring and maintenance of Intrastat declarations• Statistical reporting ensures compliance• Leverages GTC (Global Trade Compliance) within GRC

» New Roles for Trade Specialists• New SAP Fiori UX• Roles include Trade Classification Specialist and Trade

Compliance Specialist



SAP S/4HANA 1610SAP S/4HANA Finance*

» SAP S/4HANA Finance • Central Finance with enhanced central payment and reconciliation• Enhanced Universal Journal, including Revenue Recognition, account-

based Profitability Analysis, and real-time currency conversion• Real-Time consolidation with a universal consolidation journal, with

access to transactional and master data, including intercompany processes and simulation processes

• Integrated Business Planning with a new universal planning journal that enables central profit center accounting; integration to InfoCubes may also still be used

» Integration to Edge Solutions• SAP Ariba integration, including payment advice and payment

proposals (for discounts) without the need of add-on installation• SAP SuccessFactors for Employee Central for payroll processes• SAP HCP apps integration, including SAP RealSpend for budgeting

and SAP Financial Statement Insights for profit and loss insights• SAP HCP integration to SAP S/4HANA Finance Cloud, including a

customer payment portal and credit information integration• SAP Concur integration with the use of an add-on * does not reflect licensing


SAP S/4HANA 1610Billing and Revenue Innovation Management (BRIM)*

» Flexible Solution Billing for Consolidated Invoices• Greatly simplifies complex billing processes, to allow service

providers to give customers a single, consolidated invoice, while delivering better, more personalized services

• Accommodates partnerships with third parties and allows to ramp up new services by clearly delineating which party is responsible for any given charge

• Reduces uncollectible A/R write offs by making better decisions with a consolidated view of outstanding debts across multiple billing systems

• Reduces days sales outstanding by automating, continuously analyzing, and optimizing credit scoring and collections strategies

• Leverages SAP Hybris Billing

» New Roles for Trade Specialists• New SAP Fiori UX• Roles include Invoicing Manager (Convergent Invoicing),

Accounts Payable/Receivable Manager (FI-CA), KPI Cockpit for Managers (FI-CA)



SAP S/4HANA 1610Capabilities Highlights for advanced Availability to Promise*

» SAP HANA-enabled mass product availability check for sales-, planned- and production-orders.

» Product Allocation• Supports the business decision, if a sales order should be

confirmed and if yes to which extend. • This decision can be based on almost every attribute of the

underlying sales order, material, plant or customer.• Grouping- and aggregation capabilities (collective allocations) for

simplification and ease of maintenance.

» Back Order Processing• New SAP Fiori UX to set-up BOP-runs. • New concept for requirement classification like Winner, Gainer,

Redistributor, Filler, Looser.• New Fiori app to display the BOP-result: The result is displayed

on different aggregation levels and allows an easy identification of (and fast drill down to) confirmation issues.

» Release for Delivery app to enable timely actions on short term supply and demand changes.



SAP S/4HANA 1610Capabilities Highlights for Operational Procurement*

» Leverage Catalog Buying in Self service requisitioning processes

» Monitor critical business events, purchasing spend and supplier performance in Procurement Overview Page

» Increase supplier relationship and performance by using Activity and Task Management

» Leverage Purchasing Category in real-time analytics to monitor the KPIs along business responsibilities

» Visualize planned spend versus actual spend per purchasing category

» New Fiori Apps for Sourcing and Contract Management: Manage Request for Quotation and Supplier Quotation

» Create Sourcing Request in SAP Ariba Sourcing out ofSAP S/4HANA

» Structure and merge material groups into the new business entity Purchasing Category



SAP S/4HANA 1610Capabilities Highlights for Sales Order and Contract Management*

Sales Order and Contract Management covers all processes and functions required for processing of sales documents

» Create, modify, or display sales documents with work lists in SAP Fiori apps Manage Sales Quotations, Manage Sales Orders, Manage Sales Contracts, Manage Credit Memo Requests, and Manage Debit Memo Requests

» Display of contextual information about a sales document with SAP Fiori object pages Sales Quotation, Sales Order, Sales Contract, Credit Memo Request, Debit Memo Request, and Customer - 360° View

» Resolve issues that impede sales orders from being fulfilled with SAP Fiori app Sales Order Fulfillment Monitor, which allows you to Analyze the fulfillment rate of sales contracts with new SAP Fiori app Sales Contract Fulfillment Rates

» Analyze the conversion rate of open quotations with SAP Fiori app Quotation Conversion Rates

» Analyze your open sales orders and deliveries with SAP Fiori app Sales Volume - Check Open Sales

» Analyze your profit margin with SAP Fiori app Sales Volume - Profit Margin

» Get a comprehensive overview of the performance and conformity of all sales-order processes in your company with SAP Fiori app Order-To-Cash Performance Monitor * does not reflect licensing


SAP S/4HANA 1610Capabilities Highlights for Portfolio and Project Management*

Increase end-user productivity with SAP Fiori UX and improved performance.

Overview monitor project progress» Overview dashboard for project manager

» Quick overview on what needs project manager attention

» Monitor project progress in SAP Fiori GANTT

» System-guided navigation to critical project tasks

Upcoming activities for project team members» Task dashboard for triggering task confirmation

» Checklist item dashboards

Availability of SAP Portfolio and Project Management forSAP S/4HANA » Simplification of code base and feature set

» Simplified and HANA-optimized data model

» Simplified authorization concept

» Initial set of CDS views for external consumption * does not reflect licensing


SAP S/4HANA 1610Production Planning and Detailed Scheduling (PPDS)*

Unique Value of S/4HANATCO reduction:

• PPDS functionality gets co-deployed with SAP S/4HANA on the same system utilizing one HANA database instance

• Integration for material master and work center resource not needed

Constraint based planning, using various heuristics and optimizers by bringing PP/DS on SAP S/4HANA, reducing integration efforts and allowing seamless master data & UX harmonization

UX Harmonization, CIF Simplification, Master Data Harmonization, Analytics

SAP Advanced Planning and Optimization –

planning and detailed scheduling

Live cache

ERP SAP HANA platform

CIF

Traditional System Reinvented Business Processes with SAP S/4HANA

SAP HANA platform, including live cache

Mas

ter d

ata

CIF

Planning and detailed

schedulingSAP S/4HANA



SAP S/4HANA 1610Capabilities Highlights for Integrated Extended Warehouse Management*

» Access business partner data within SAP S/4HANA instead of replicating business partners to a decentralized EWM system

» Use material and product data within SAP S/4HANA instead of replicating it to a decentralized EWM system

» Manage batch master data within SAP S/4HANA instead of replicating it to a decentralized EWM system

» Directly read purchase order data, process order data, and production order data instead of replicating those objects to a decentralized EWM system and storing them in an expected goods receipt (EGR) document

» Skip warehouse request objects and process only outbound delivery orders without using outbound-delivery requests; process only inbound deliveries without having inbound-delivery notifications; process only posting changes without using posting-change requests

Plans to bring the full scope of the SAP Extended Warehouse Management (SAP EWM) application into SAP S/4HANA software, which will provide customers with flexible

deployment options to run all kinds of warehouses within a single SAP solution


» Maintain only one quality document instead of working with a quality inspection document and a QM inspection lot» Eliminate the need to replicate accounting objects» Directly read material values instead of making periodic replications for decentralized storage


SAP S/4HANASAP EWM & SAP S/4HANA – Outlook

SAP EWM embedded in SAP S/4HANA*

New deployment option for our customers

Small & midsize warehouses; production warehouses

EWM (decentral)

On-Premise

WM** LES (WM)

EWM embedded

» De-central EWM (integrated to SAP ERP or SAP S/4HANA) is planned to be a long-term valid deployment option for EWM for good reasons (e.g. regional EWM systems, risk mitigation, specific planned down-times, scale-out for large DCs , multi-ERP connected; different release cycles; proximity to warehouse (MFS); ..)

» De-central EWM and central S/4HANA-EWM are planned to share a common Core of Warehouse Management Functions This common Core is planned to evolve over time with new functions in both EWM options.

» De-central EWM and central SAP S/4HANA-EWM are planned to have different technical integration features with SAP ERP, but identical integration with other SAP systems (e.g. GTS, TM, ..)

» De-central EWM and central SAP S/4HANA-EWM are planned to cover the same business scenarios & processes with only minor exceptions e.g. central EWM can only integrate with local ERP client, no multi ERP client integration will be possible as required in some LSP scenarios

Plans to bring the full scope of the SAP Extended Warehouse Management (SAP EWM) application into SAP S/4HANA software, which will provide customers with flexible

deployment options to run all kinds of warehouses within a single SAP solution

* * See Simplification List* does not reflect licensing


SAP S/4HANA 1610Complete the Industry Roadmap with Oil & Gas*

» Redesigned hydrocarbon product management (HPM)• Redesign changes in Universal Journal

• SD Table Deprecation Adaptation & FSCM Adaptation

• Field length extensions

• Redesign changes in Pricing

• Business Partner – Customer/Vendor master data changes

» Unit-of-measure group enhancement solution based on simplified HPM data model

» Inventory Planning Workbench (IPW) optimized on HANA as part of the SAP Trader's and Scheduler's Workbench application

» Role in SAP Fiori for transportation schedulers with apps for regional dashboards, nominations, and events

» Oil and gas flavored roles in SAP Fiori for transportation schedulers, supply chain managers, inventory managers, shipping specialists and billing clerks

Plans to bring the full scope of Oil & Gas downstream functionalities with release SAP S/4HANA 1610

Screen: Inventory Planning Workbench (IPW)



Date, 2015

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