sap business suite 7 innovations 2010 - new capabilities for utility companies

Innovations 2010

New Capabilities for Utility Companies

March 2010

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1. Innovations 2010 Overview

2. Innovations 2010: Supporting Business Needs of Utility Companies

3. Enhancements Delivered for Utilities

4. Why Utility Companies Choose Innovations from SAP

Agenda




Increase Customer

Intimacy

Optimize Business

Models for Growth

Innovations 2010:

Relevant for Your Business NOW

FLEXIBILITY WITHOUT DISRUPTION

Apply Management

Science

Manage a Lean

Enterprise

SAP accelerates business innovation…

… with 4 decades of driving our customers’ success and enabling business

growth through business process and technology innovation








Agenda




Innovations 2010 Addresses Key Business

Needs for Utilities

Business RequirementsNew Reality

Business Needs…

Adoption of smart grid

technologies

Demand response/

demand-side management

Renewable energy/

carbon reduction

Requiring Utilities to:

Adopt new asset/ software

technologies

Improve market communication

Introduce new smart energy

products and services








Agenda

© 2010 SAP AG. All rights reserved. / Page 9



Utilities – Transmission and Distribution

Key Process Areas

Support

Processes

Transmission and

Distribution

Meter Operation Services

Enterprise Management and Support

Energy Capital Management

Grid Lifecycle Management

Resource Management

Meter Reading Services

Customer Service Management

Billing of Energy and Transmission Services

Customer Financials Management

Collaborative Services and Intercompany Data Exchange




Support

Processes

Transmission and

Distribution


Enterprise Management and Support

Energy Capital Management

Grid Lifecycle Management

Resource Management

Meter Reading Services

Customer Service Management

Billing of Energy and Transmission Services


Collaborative Services and Intercompany Data Exchange

Utilities – Transmission and Distribution

What‟s New in Transmission and Distribution

Improved Communications and

Monitoring with Metering Companies

Innovations 2010 helps you to better

ensure regulatory compliance in

liberalized energy markets. Moreover, it

supports the streamlining of processes

and guarantees more efficient and

transparent information handling.




Utilities – Energy Retail

Key Process Areas

Balance, Forecast,

and Trade

(Balance Responsible Party)

Energy Sales,

Customer Service

(Customer Service

Responsible)

Preparation of Energy

Products and Billing,

Financial Management

(Balance Supplier)

Execution of Billing and

Financials Management

(Billing Agent)

Financial Customer

Collection Service

(Collection Agent)

Energy Capital

Management – RetailSelling of Energy and

Services

Customer Service

Management

Preparation of Energy Supply Products and

Services

Handling of Device and

Measurement data

Grid Usage and Service Provider Agreement –

Retail

Execution of Billing for Energy Products and

Services

Customer Financials

Management

Customer Credit Risk–based

Collections Management




Utilities – Energy Retail

What‟s New in Energy Retail

Energy Capital

Management – RetailSelling of Energy and

Services

Customer Service

Management

Grid Usage and Service Provider Agreement –

Retail

Execution of Billing for Energy Products and

Services

Customer Financials

Management

Customer Credit Risk–based

Collections Management

Improved Bill to Cash and Integrated

Sales Management

Innovations 2010 helps you to improve

billing, accounting, and collections

management by improved user interface

features in contract accounting –

account maintenance and by defining a

harmonized and renovated work center

for the back-office billing agent.

Preparation of Energy Supply Products and

Services

Handling of Device and

Measurement Data

Balance, Forecast,

and Trade

(Balance Responsible Party)

Energy Sales,

Customer Service

(Customer Service

Responsible)

Preparation of Energy

Products and Billing,

Financial Management

(Balance Supplier)

Execution of Billing and

Financials Management

(Billing Agent)

Financial Customer

Collection Service

(Collection Agent)




Customer Service

Management

Metered Data

Management

Meter Data

Administration

Processing

Request for

Disconnec-

tion

Sourcing and Procurement

Measurement Data

Aggregation

End-to-end Smart Meter Process Integration

Helps Guarantee Energy Efficiency

Increased energy efficiency requires connected processes across departments and helps guarantee an

individualized product offering and risk mitigation for compliance.

Management of Metered and

Energy Data

Distribution of Metered and

Energy Data

Meter and Device Management

Selling of

Energy

Supply

Products

Billing-Related

Device and

Measurement

Data

Management

Measurement Data Management

Managing Energy Supply Products


Meter Operations Customer ServiceEnergy Management




Superior AMI (Advanced Metering Infrastructure)

Features: Enhanced Billing Features for Residential

Customers with Smart Meters

Advanced integration of smart

meters

SAP Business Suite 7 Innovations 2010

helps you to better meet customers‟

expectations for individualized products.

Moreover, it supports you in streamlining

processes and guarantees more timely

and transparent information.

Improved operational efficiencies

Superior customer satisfaction with

improved offerings

More efficient and transparent

processes throughout the entire

value creation chain

Joint energy data management –MDUS (meter data unification and synchronization) integration Tight integration of MDUS with

SAP for Utilities solution portfolio Dynamic transfer of aggregation

rules to the MDUS Support of various billing scenarios

Monitoring Comprehensive overview and

tracking of entire communication with MDUS

Disconnection/reconnection Scheduling, monitoring of process Support of approval and reversal

process

Device management On-demand request for AMI

meter/device status – SAP ERP and SAP Customer Relationship Management (SAP CRM) applications

Master data exchange

Sending of text messages to the meterPossibility of sending text messages from

SAP CRM or SAP ERP to specific meters

Management of nonenergy data –event managementReceiving, prioritizing, and dispatching of

event messages from the MDUS system

Solution Enhancements Key Benefits




Bill to Cash: Billing, Accounting, and

Collections

Bill to cash connects processes across departments to enable a timely revenue realization.

Receivables Management and Payment Handling

Credit and Collections Management

Billing of Energy and Services

Chief Financial Officer

Billing

CFO

CollectionsAccounting

Financial Front Office

Financial Back Office

Consumption Billing

Collection Success

Evaluation

Accurate and Timely Billing

ProcessAccounting

Engine

Customer Self-services

Multi-channel Bill Presentment

PaymentHandling

Credit Risk–based Collections




Enhanced Bill to Cash Business:


Customer financials

management enhancements


helps you to improve accounting and

collections management by a range of

enhanced and perfected functionalities in

the areas of receivables management

and integration to general ledger and

sales and distribution functionality, credit

risk assessment, collection strategies,

and financial customer care.

Reduced runtime of processes

Usability improvement

Reduced total cost of ownership

(TCO)

Improved transparency of

accounting and collections

processes

Improved payment default risk

assessment

Enhanced analytics content for

greater corporate visibility and

control

Enhancements for value

adjustments, aging evaluations,

reclassification in general ledger

Withholding tax posting at the

time of invoicing

Improved connection between

sales and distribution and

financial accounting

Business rule framework trace for

collection strategies and

simulation of next collection step

Update of master data after

champion challenger analysis

New business intelligence

extractors for promises to pay

and incoming invoices

Customer notification of remote

disconnection /reconnection AMI

New enterprise services for

promises to pay

Determination and transfer of

financial accounting payment

behavior KPIs into SAP Credit

Management application





Bill to Cash: Billing, Accounting, and Collections

Customer Financials Management, Work Center Billing Agent

Bill to cash connects processes across departments to enable a timely revenue realization.

Receivables Management and Payment Handling

Credit & Collections Management

Billing of Energy and Services

Chief Financial Officer

Billing

CFO

CollectionsAccounting

Financial Front Office

Financial Back Office

Consumption Billing

Collection Success

Evaluation

Accurate and Timely Billing

ProcessAccounting

Engine

Customer Self-services

Multi-channel Bill Presentment

PaymentHandling

Credit Risk–based Collections




Enhanced Bill to Cash Business: Customer

Financials Management, Work Center Billing Agent

Bill to cash management

enhancements


helps you to improve billing, accounting,

and collections management by

improved user interface features in

contract accounting–account

maintenance and by defining a

harmonized and renovated work center

for the back-office billing agent.

Usability improvement

Reduced TCO

Embedded analytics content

Improved transparency of

collections processes

End-to-end billing agent work

center ensures full billing task

visibility

Breakthrough user productivity

in SAP for Utilities

Usage of SAP‟s newest and

latest user interface technology

Web 2.0–enabled user interface

Attract “visual” business user

Defines a new landmark for user

interface renovation

Comprehensive user interaction

design

Runs on SAP CRM Web UI

framework also available in the

SAP ERP application

“Visual” business features

Integrated billing agent view

User interface test drive for

financial accounting account

maintenance

Integration of multiple

transactions into one visually

appealing work center

New billing features for billing

agent work center





Integrated Sales Management in Utilities

Campaign and Offer Management

Selling Energy Supply and Services

Defining Energy Products and Services

Executive/Senior VP of

Sales and Marketing

(Sponsor)

Product Management

Sales and Marketing

VP SalesVP Marketing

Contact Center

E-channel

Operations

Marketing

Customer Service

Management

Business

Intelligence

Performance Analysis

Selling Energy Supply

Products and Services

Real-time

Offer

Management

Product

Definition,

Pricing, and

Packaging

Segment and List

Management

Campaign

Management




Enhanced Integrated Sales Management

Integrated sales management


has more flexibility for C&I quotations

and contracts.

Extended functions in the interaction

center provide more functions to the

agent.

Selling of energy has significantly been

extended to include packages in utility

contract management.

Increased flexibility to manage

high-volume quotations and/or

contracts

Easier search for premises

Improved security for credit card

payments

Ability to manage utility and

nonutility product sales in the

same process

C&I: Alternative business

partners on item level and more

mass change processes

Enhanced contact replication –SAP ERP to SAP CRM

Management of open and

cleared items in the interaction

center

Card verification value (CVV)

values in the payment and

contract views

Enhanced searches for

technical objects

New ability to define, quote, and sell utility packages – a utility

package consists of energy

supply products and optionally

nonenergy products, such as

services or goods





Collaborative Grid Usage and Service Management

Is an End-to-end, Cross-company Process

Collaborative grid usage management connects processes across different responsibilities to provide timely,

accurate, and effective grid usage processing.

Metering Point Administration

Energy SupplyGrid Management

Grid Access Provider Balance SupplierMetering Point Administrator

Bill Payment

Grid Usage

Management

Metering Point

Administration

Grid Usage

Management

Grid Usage Billing

Grid Access

Master Data Administration

Grid Usage Registration

Validation and Payment of Grid

Usage Bill




Superior Deregulation Capabilities: Improved Monitoring

and Communication with Metering Companies in

Liberalized Energy Markets

Functioning liberalized

energy markets


helps you to better ensure regulatory

compliance in liberalized energy

markets. Moreover, it supports the

streamlining of processes and

guarantees more efficient and

transparent information handling.

Support for regulatory

compliance

More efficient and flexible

processes through the entire

value creation chain

Registration of metering

companies

New support for data

exchange processes to

communicate with metering

companies

Monitoring for grid usage billing

process

Improved tracking of the grid

usage billing process

between distribution

company and retailer

Technical data provision

New enterprise services

tailored to the need of

metering point

administrators and meter

administrators for technical

data provision









Agenda




Why SAP?

Lower risk

Leverage best practices in

implementation and running of solution

Large ecosystem of partners and

customers with proven track record of

success

Lower TCO

Native / pre-built integration reduces

implementation and support cost

Open Services based design

enables customers to keep effective

existing solutions in conjunction with

SAP

Comprehensive Solution

Industry standard across key industry

processes

Industry best practices developed

through close collaboration and

development with industry leaders

Proven Value

Customers have proven the value of

SAP‟s solution

High-value services to ensure

delivery of the project




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