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PUBLIC

Franco Zanzottera, SAP

Global Owner - Customer Center of Expertise Program

June 11th, 2019

SAP Customer Center of ExpertiseThe Single Source of Truth in your Company

3PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

The (old and new) CIO’s Challenges

Customer Center of Expertise (Customer COE)

Concept and Key components

Certifications by SAP of the Customer COE Organization

Primary and Advanced

Primary Certification for Customer COE

Criteria, requirements, roadmap

Advanced IT Operations Self-Assessment

Steps

Advanced Certification for Customer COE

Key success areas, key elements, roadmap

Agenda

The CIO’s Challenges and Chances

5PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

“Typical and common” IT ChallengesSiloed IT – by Task, Technology & Geography, …

6PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

“Typical and common” answers and actions… Customer COE engineered for success

7PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Strategy – Deliver the Intelligent Enterprise… new Chances for IT, Customer COE and Lines of Business

8PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Priorities of business departments change:

Increased willingness to agree on budgets for innovation

Reduced willingness to invest in projects with long run time

Bigger questions for investing in renewal of existing IT infrastructure

End-user expectations / acceptance change:

Always on / always fast

Use of mobile apps

Easy to use

Instant access / Instant reply

New service requests for IT:

IT security risks / data security

Integration of new applications into existing landscape

New methodologies (e.g. DevOps, agile projects, Scrum)

What Will Change for Customer COEs, When THE CLOUD Arrives?… new questions, new chances

9PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Hybrid CloudResponsibilities by layer

Business Process

ManagementBusiness Context

Application

Management

Applications

Middleware / Platform

System

Management

System

Database

Operating System

Virtualization

IT Infrastructure

Management

Servers

Storage

Networking

☁ ☁

Private Cloud

On Premise

Private Hosted

Cloud

IaaS PaaS SaaS

Public Cloud

Completely managed by customer

No transparency for service provider

Legend: Managed by service provider but SLAs and KPIs are defined

Customer typically has transparency about critical events and SLAs

Completely managed by service provider

No transparency for customer

Private Cloud

10PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Operations ScenariosS/4HANA Transformation typically results into less On Premise and increased Cloud adoption

On Premise

“Shrinking reality”

Pure Cloud / SaaS

“Future Reality?”

Cloud + OnPrem = Hybrid

“Growing Reality”

Replacement Strategies

are executed now and

within next 5+ years

Customer Center of Expertise

12PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer Center of Expertise is

a central point of contact for interaction with SAP

Customer

All of SAP customers can establish the Customer COE

to gain and utilize full potential value from SAP

13PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer Centers of Expertise (Customer COEs) act as collaboration hubs across

IT and Lines of Business in their companies.

Their mission is to provide transparency and efficiency of implementation, innovation,

operation, and quality of business processes and systems related to the SAP software

solutions and services.

They have the knowledge, the capabilities, and the network to centrally drive

continuous improvement and continuous innovation.

Customer Center of Expertise (Customer COE)The Trusted Partner for SAP Operations and Support Processes

14PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COEMission and Major Activities

• Manage SAP related Knowledge, Information and Collaboration

• Manage own SAP Contracts and Licenses

• Establish the Governance of SAP related topics across the company – Business and IT as well as

Global and Regional

• Achieve the Supportability of SAP Products and Solutions and the interface to SAP Support

• Achieve Business Continuity and Continuous Improvement of implementation, innovation,

operation, and quality of business processes and systems related to the SAP software solutions

• Drive Requirements and activities regarding SAP´s current and future technologies, products and

solutions – the interface to SAP´s major programs Influencing SAP Development

• Define and drive together with the lines-of-business the Innovation Roadmap – Continuous

Innovation

15PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COE as the Central Collaboration HubThe Key Components of a Customer COE

Customer Center of Expertise

Lines of Business

Operations Development PMO & Applications

Infrastructure

Quality Management

Single Source of Truth

Customer MCC - Mission Control Center

(OCC + ICC **)

SAP Mission

Control Center

Partner

Control Center

Direct

line

co

nn

ection

** OCC – Operations Control Center

** ICC – Innovation Control Center

16PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COE - Organizational Solution ScenariosBasic Layouts

There is no such thing as a ‘standard’ / ‘normal’ / ‘best practice’ COE organization structure. There are

four basic layouts for an IT organization.

Option 1: Integrated, centralized Customer

COE

Consolidated

business needs

and a full-service,

group-

wide IT provider

(with on-site

presence or

physically central)

Customer/

Business

(IT Demand)

SAP CC / SAP

Application

Management

SAP Operations &

SAP Basis

It can be centrally

managed above

one or several

locations

Legend:

Boxes indicate

boundaries of

organizational units

Option 3: Federated Customer COE

SAP CC in each

business unit

with shared SAP

Operations /

Basis

Option 4: Decentralized Customer COE

Full-service IT

provider in

each

business unit

Option 2: Consolidated, centralized Customer

COE

Full-service,

group-

wide IT provider

(with on-site

presence or

physically central)

17PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Architecture Footprint of SAP within company

Solution Landscape characteristics (global / regional / local)

Solution Complexity

Processes

Customer COE internal Processes

Global Template usage

Business Process characteristics (global / regional / local)

Business Process categories (critical / Legal required)

Size / Culture

Headcounts

Roles and Responsibilities in business and IT

Budget (Build / Run; Activity Based Costing)

# of Tickets, Changes, Projects

Strategy

Collaboration with Business Units

Business Organizational Structure

Business Dynamic

M&A Activities

Geography

Geographical distribution of business users

Supporting hours (SLA requirements)

Languages

Customer COE OrganizationInfluencing Factors

Services Customer COE Maturity Level

Service Level Agreements / Catalogue

Governance Governance Model

Governance Bodies

Certifications by SAP of the Customer

COE Organization

19PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COECertification Program

Customer COE Program provides functional certifications to underscore a customer’s commitment to

continual improvement and innovation of its business solutions supported by SAP products and services

Two certificate levels are possible:

Primary Customer COE

The Primary certification validates that an organization fulfills the minimum requirements needed to

provide a solid foundational infrastructure for interaction with SAP

Advanced Customer COE

The Advanced certification covers the full spectrum of required Customer COE functions to ensure the

successful implementation or transformation towards SAP’s Best Practices. It provides the certified

Customer COE with the confidence to drive challenges by business and market requirements as well

as new technologies.

20PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COE: Lifetime Journey of IT for BusinessAt your own pace and target

Establishment of

Customer COE

Continuous

Improvement

Primary

Customer COE

Advanced

Customer COE Continuous

InnovationEnd to End IT

Processes Maturity

Integrated

Quality

Management

Business Model

Discovery and

Transformation

Roadmap

Value

Realization

Driving Business

Innovation

The Central Driver for

Continuous Improvement

& Continuous Innovation

Fulfill Customer COE

Basic Functions

Customer COE

Role assignment

Audit

Audit

The Central Point of

Contact for information

and collaboration with

SAP as well as across

business and IT

21PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COECapability Framework

The Customer COE Capability Framework provides the holistic methodology to safeguard your investments into SAP

software Effectiveness Efficiency

CCOE Workforce & Skills

CCOE Tools & Standards

CCOE Processes

CCOE Governance & Organization

CCOE

Strategy

Business orientation

Establish and/or increase

Business and IT alignment

Business value

Enable business process

innovation and efficiency

Doing

the right things…

Doing

things right…

IT cost excellence

Reduce the total cost of

ownership for IT

IT service excellence

Improve customer satisfaction

and create new capabilities

22PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer COEMaturity Evolution - Big Picture

Primary

Certificate

Advanced

Certificate

Minimum

Supportability

Incident Management

Root Cause Analysis

Solution / Process Documentation

Maturity

Level

SurviveException Handling,

Project Management,

Integration Validation

Change Management

Test Management

Transport Management

Project Documentation

Quality Gates Management

Performance Management

SaveProactivity, Automation,

Quality Orientation

Monitoring & Alerting

Job Management

Data Volume Management

Security

Data Consistency

Management

KPI Measurement

Consistent Reporting

Innovate

New technologies and products (SAP HANA, Cloud)

Modern IT

Design Thinking

Co-innovate with SAP

23PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer Center of Expertise Road Map

Engineering Projects / SAP Services

Customer

COE

Advanced

Audit

• Findings (Weakness and

Improvement

Opportunity)

• Maturity Level & Value

Benchmark evaluation

• Evaluation &

Recommendations

(Action plans for an

initial Roadmap)

• Detailed Roadmap and

Project plan

• E2E Processes & tools

implementation

• Operations Handbook

• Governance &

Organization definition &

implementation

• Single Source of

Truth

• Customer COE

Quality Management

roles and skills

• KPIs and

improvement process

• Customer MCC

Readiness

• Partner integration

• Customer COE

Quality Management

High Level

Implementation

Roadmap

Implementation

projects

Setup continuous

improvement

ICC and OCC

readiness

verification

Customer COE Quality Management

High level Fit-

Gap Analysis

• Initial Maturity Level

& Value Benchmark

Evaluation

• Initial Findings &

Maturity Level

Advanced Customer COE

Coaching

Primary Customer

COE Certification

Advanced IT

Operations

Self-

Assessment

Foundation of a

Customer COE

• Start establishing a

Single Source of Truth

and Information in your

company

• Assessment on

Information

Management, Contract

& License

Management, Support

Operations,

Innovation Adoption

and Influence SAP

Development

Advanced Customer COE Certification

Operations

Planning Workshop

High Level

Implementation

Roadmap

Implementation

projects

Setup continuous

improvement

Customer MCC

readiness

verification

High level Fit-

Gap Analysis

Foundation of a

Customer COE

Primary Certification

25PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

GETTING STARTED with CollaborationCustomer Center of Expertise, Primary Certification

Customer Centers of Expertise (Customer COEs) act as collaboration hubs

across IT and Lines of Business in their companies. Their mission is to provide

transparency and efficiency of implementation, innovation, operation, and quality

of business processes and systems related to the SAP software solutions and

services. They have the knowledge, the capabilities, and the network to centrally

drive continuous improvement and continuous innovation.

SAP Support Portal:

• Customer Center of Expertise

(Customer COE)

• Primary Customer COE

• Information

Management

• Contract & License

Management

• Innovation & Influence

• Support Operations

4 Basic FUNCTIONS

• Complete the Online Primary

Certification Checklist and

submit to SAP

• Customer incident will be

automatically generated

on behalf of the customer

under component

"SV-BO-REQ"

• SAP validates, tabulates the

score from the checklist (min.

score 100/200)

• Customer is notified

of certification results

CERTIFICATION PROCESS

• Maximum 2 years

• Recertification at least

every 2 years

VALIDITY

Additional Information

26PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

The Customer COE SetupKick-start for Customer COE transformation – The 4 Basic Functions

Information

• Start new communication channels

for end users (such as with SAP

Jam, blogs, chats, newsgroups)

• Position direct, fast and open

communication hubs

• Information about company IT

strategy / security guidelines and

best practices

• Trainings, Knowledge Transfer and

Learning Curriculums

• Success Stories and Best Practices

.

Contract and License

• License / subscription

• Customer COE internal fees and

service catalog

• Existing internal IT pricing models

might become obsolete

• Alignment for all SAP related

contract activities with cloud offerings

in hybrid use cases

• Integration / harmonization of

SAP support offerings

Innovation

• Collect and bundle the company

demand for innovation

• Enhance the scope with line-of-

business expertise into to relevant

communities

• Manage overall innovation road map

together with the business key

contacts in the relevant areas

• Create hybrid visibility for your

innovation demand and collaborate

cross-solution focused

• Consider SAP Tools and Services like

SAP Pathfinder, S/4HANA Readiness

Check, etc.

Support Operations

• Analyze the existing SAP Support

process landscape

• Follow new features from SAP Support

• Define the hybrid support process

project if applicable

• Governance of Support Processes

• Design authority

• Seamless support for hybrid solutions

with enhanced responsibilities if

applicable

27PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Top 7 benefits for all certified Customer COEs

1 Access to BENCHMARKS within the peer group

2FASTER INCIDENT PROGRESSING with special SAP incident

flagging for certified Customer COE

3FREE ACCESS to SAP Learning Hub solution, including SAP Knowledge Transfer

Products

4SPECIAL Customer COE Knowledge Transfer SESSIONS with

SAP experts to various topics

5ACCELERATORS FOR VALUE DEVELOPMENT provided by Certified COE

Customers -“Customers share their stories”

6EXCLUSIVE ACCESS to the SAP Customer COE Community

Suite (SAP Jam based group)

7Customer Center of Expertise Role and Incident Quality Dashboard in the SAP

ONE Support Launchpad (http://launchpad.support.sap.com)

28PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

According to SAP’s experience customers running a COE…

• IT Managers report business processes improvement as one of the

most important Customer COE contribution

• Benefit from higher maturity levels on all critical IT operations

processes

• Use SAP’s support offerings approx. 22% more intensively

• Have from 10% to 20% lower TCO

• Have 40% less outages and therefore a more stable IT environment

• Are 5% more innovative enabling business innovation

Setting up a Customer COE has proven to be a very valuable methodology delivering hands-on benefits

to customers

Customer COE Benefits

29PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Processes

Transparent road map and processes for customer COE

and continuous further development

http://support.sap.com/ccoe

Customer COE

today

Tools

• Incident Quality Dashboard in the SAP ONE Support Launchpad

• License Utilization Information in the SAP ONE Support Launchpadhttps://launchpad.support.sap.com

http://www.sap.com/valuesupport

Services

Pathfinder for

IT/LoB, BSR,

S/4HANA

Readiness http://support.sap.com/ccoe

http://www.sap.com/k4u

http://help.sap.com/learningjourneys

Education

Knowledge Transfer and Learning

Journey

Commitment

Customer COE Role in the

SAP ONE Support Launchpad

https://launchpad.support.sap.com

Refreshment & Transition Break…

PUBLIC

Franco Zanzottera, SAP

Global Owner - Customer Center of Expertise Program

June 11th, 2019

SAP Customer Center of ExpertiseThe Single Source of Truth in your Company

Advanced IT Operations

Self-Assessment

33PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

It’s the "bridge" between the

Primary and the Advanced

certifications.

It identifies areas of improvement for

Primary Customer COE(s) that want

to:

plan the optimization of the Customer

COE, including efficient E2E solution

operation processes

start the journey towards Advanced

maturity and certification

Advanced IT Operations Self-Assessment

34PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Advanced IT Operations Self-AssessmentService Outcomes

Rough

estimation of

the Maturity

Level

(benchmarking)

for each IT

process

As-Is

One major

issue

for each IT

processes

As-Is

Weakness

Improvement Opportunities

Initial

recommendations

for each IT process

To-Be

Advanced Certification

36PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

The Charta of a Customer Center of ExpertiseExcellent solution orchestration is essential!

Value Drivers for a Customer COE

Meet Business Expectations

Drive Innovation

Handle increasing complexity and keep

systems running

Deal with limited people resources

Recommended Actions

Standardize your E2E operations

processes

Focus on scalable yet sufficiently flexible operations

processes to respond to business changes fast

Implement automated & proactive IT

Keep efforts as low as possible and reduce incidents

Build quality-oriented IT operations

Only continuous improvement ensures state-of-the-

art IT that is ready for new challenges

Keep close connection to the expert

Essential, because innovation normally requires a

pool of customer-internal and external skills

37PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Tools: SAP Solution Manager &

3rd Party tools integrated

Key Success Areas: Quality Management

IT Processes: E2E Standard

Operations to support

Business Processes

QM: KPIs monitoring and

continuous improvement.

Business KPIs

People: clear defined roles,

responsibilities & skills.

IT and Business alignment &

collaboration

38PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

IT Processes:

Incident and Problem Management (and RCA)

Project and Solution Documentation

Change and Transport Management

Release Management

Custom Code Management

Test Management

System Monitoring and Administration

Business Process and Interface Monitoring

Job Management

Data Consistency Management

Data Volume Management

SAP Remote Supportability

Security

Customer COE Quality Management* This is an example of Customers Organization Structure

IT ProcessesCovered IT Processes and Customer COE Organization

Customer Center of Expertise

Lines of Business

Operations DevelopmentPMO &

Applications

Infrastructure

Quality Management

Single Source of Truth

Customer MCC - Mission Control Center

(OCC + ICC **)

SAP Mission

Control Center

Partner

Control Center

Direct

line

co

nn

ection

39PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Manage

Quality

Business Innovation &

Enablement

Business

Continuity

Integration

validation

Protection of

Investment

Relationship with

BusinessLevel out what

hinders you most

Fits into organisation,

policies & standardsTransition phase

Core Tasks of the Quality Managers in a COE as Service Provider and Business Enabler- Quality Assurance and Set-up of the Single Source of Truth (Transparency) - Continuous improvement of the operations & implementation processes

- Develop the business value orientation of the IT organization - Management of the COE Charta for Business Transformation

- Continuous Improvement of Business Transformation Roadmap - Ownership of the Single Source of Truth for Business KPIs

Customer Center of Expertise - Integrated Quality ManagementQuality Manager Roles

Customer Center of Expertise

Lines of Business

Operations DevelopmentPMO &

Applications

Infrastructure

Quality Management

Single Source of Truth

Customer MCC - Mission Control Center

(OCC + ICC **)

40PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

KPI Framework Transparency: Define and Execute your Value KPIs

What is the business

strategy IT can support?

What targets can be

defined to support the

business strategy?

Which metrics and scores are required to measure target achievement?

What is the action plan to reach the KPI scores?

Do these savings / benefits

meet the business

expectations?

What are the savings /

benefits IT has achieved?

41PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Roadmap for the Customer COE Maturity Development

Drive innovation to a new dimension

Talk the language of your business

Show the value of IT

Discover optimization potential

cross IT

Streamline the efficiency of

your IT processes

Simplify your organization

Innovation

Business

Alignment

Value

Quality

Efficiency

SetupDefine CCOE

Role Model

Define CCOE

Org ModelDefine CCOE

Operations Model

Maturity

Assessment

IT Process

OptimizationSetup Customer

MCC

Enable Quality

Managers

Define Single-

Source-of-Truth

Setup KPIs and

Dashboars

Use Design Thinking

with LOB

42PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Customer Center of Expertise Road Map

Engineering Projects / SAP Services

Customer

COE

Advanced

Audit

• Findings (Weakness and

Improvement

Opportunity)

• Maturity Level & Value

Benchmark evaluation

• Evaluation &

Recommendations

(Action plans for an

initial Roadmap)

• Detailed Roadmap and

Project plan

• E2E Processes & tools

implementation

• Operations Handbook

• Governance &

Organization definition &

implementation

• Single Source of

Truth

• Customer COE

Quality Management

roles and skills

• KPIs and

improvement process

• Customer MCC

Readiness

• Partner integration

• Customer COE

Quality Management

High Level

Implementation

Roadmap

Implementation

projects

Setup continuous

improvement

ICC and OCC

readiness

verification

Customer COE Quality Management

High level Fit-

Gap Analysis

• Initial Maturity Level

& Value Benchmark

Evaluation

• Initial Findings &

Maturity Level

Advanced Customer COE

Coaching

Primary Customer

COE Certification

Advanced IT

Operations

Self-

Assessment

Foundation of a

Customer COE

• Start establishing a

Single Source of Truth

and Information in your

company

• Assessment on

Information

Management, Contract

& License

Management, Support

Operations,

Innovation Adoption

and Influence SAP

Development

Advanced Customer COE Certification

Operations

Planning Workshop

High Level

Implementation

Roadmap

Implementation

projects

Setup continuous

improvement

Customer MCC

readiness

verification

High level Fit-

Gap Analysis

Foundation of a

Customer COE

43PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Underscoring a commitment to CONTINUOUS IMPROVEMENTCustomer Center of Expertise, Advanced Certification

Customer Centers of Expertise (Customer COEs) act as collaboration hubs

across IT and Lines of Business in their companies. Their mission is to provide

transparency and efficiency of implementation, innovation, operation, and quality

of business processes and systems related to the SAP software solutions and

services. They have the knowledge, the capabilities, and the network to centrally

drive continuous improvement and continuous innovation.

SAP Support Portal:

• Customer Center of Expertise

(Customer COE)

• Advanced Customer COE

• Preparation (remote): provide

documentation that proves the

Advanced COE criteria fulfillment

(ACCOE Checklist)

• Onsite Audit: deep dive into

details based on the results

identified during the preparation

phase

• SAP validates, tabulates the score

from the ACCOE checklist (min.

score 120/140)

CERTIFICATION PROCESS

• Initially 1 year

• After the 1st

recertification, 2

years

VALIDITY

Additional Information

• People (roles and responsibility),

E2E IT processes and tools in

place based on SAP Best

Practices / Standards for Solution

Operations

• Integrated Quality Management

• KPIs and improvement process

• OCC Readiness

• Single Source of Truth

Extended CRITERIA

44PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

A Selection of Advanced Customer COE(s) worldwide

45PUBLIC© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

http://support.sap.com/ccoe

Thank You!

Franco Zanzottera

Global Customer COE Program

SAP Digital Business Services

[email protected]

http://support.sap.com/ccoe

http://www.sap.com

thankyou