webinar: gartner predicts new challenges of sap change management

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The new Challenges of SAP Change Management

Featuring:

Derek Prior, Research Director, Gartner

Oren Ezra, VP Product Marketing, Pananya

This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other

authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied,

distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates.

© 2010 Gartner, Inc. and/or its affiliates. All rights reserved.

Derek Prior, PhD

Research Director, SAP

Optimizing Your SAP Change

Management Process

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The Speaker

• Derek Prior, Research Director:

- Gartner Analyst specializing in

infrastructure, architecture, life cycle

support and business benefit issues for

SAP customers

- 17 years at Hewlett-Packard,

10 years at Gartner, 5 years at AMR

- Has spoken at many SAP and SAP User

Group conferences around the world

- 1973 BSc (Tech), Sheffield University:

Chemical Engineering

- 1976 PhD:

Pollutant Minimization From Staged

Blue Flame Combustion

- Passionate about the Environment

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Key Issues

• How should you handle change management

of larger and more complex SAP system

landscapes?

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The Nexus of Forces Impacts ERP, Especially

Disillusioned Users

Big Data

Embedded analytics

In-Memory ComputingInformation

It’s new!

It’s cool!

It’s cheaper!

It’ll solve all our IT

problems!

Users in charge

Cloud

ERP

SocialCollaborative business processes

Multi-enterprise commerce

24/7

Personalized

BYOD

Consumer-grade UI

App stores

Mobile

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The Evolution of ERP

Modernism mod¦ern|ism /ˈmɒd(ə)nɪz(ə)m

Classicism clas¦si|cism /ˈklasɪsɪz(ə)m

Postmodernism post|mod¦ern|ism /pəʊstˈmɒdəˌnɪz(ə)m

• 1980s to early 1990s

• Classic “best of breed” applications

• Driven by market and user immaturity

• Happy users but integration and analytics nightmare

• Mid 1990s to mid 2000s

• Megasuites rule, ERP land grab, centralized IT

• Driven by vendors, users increasingly frustrated

• Integration trumps agility and fit to requirements

• Late 2000s to today and beyond

• Suite deconstructed, Postmodern ERP emerges, megavendors not in control

• Driven by the Nexus and user disillusionment, users taking back control, SaaS

• New Hybrid ERP cloud integration, analytics and support challenges

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CSI options to consider:

•Point-to-point

•(ERP vendor’s) on-premises

integration platform

•(ERP Vendor’s) iPaaS

On-premises core ERP with

point extensions

Core ERP

(Finance/HR/Logistics

)

Talent

Management

Travel Expense

Management

Postmodern ERP:

Hybrid Integration Strategies


•iPaaS

•On-premises integration

platform

Reduced on-premises core

ERP with Cloud extensions

Core ERP

(Finance/Logistics)

Talent

Management Core HR

XX

Shifting portfolio of cloud and

on-premises applications

Talent

Management

Core HR Core ERP

(Finance/Logistics)

X


•iPaaS

•On-premises integration

platform

•Cloud Services Brokerage

Core HR

Procurement

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The SAP Long Term Life Cycle

ERP Business Applications are just like any

other Enterprise Asset – they have a 20

year+ life cycle

DEPLOY EXPLOIT RETIRE

Software

Selection

PROCURE

Time

Live

Initial

Implementation

Project

Benefits

Realisation

End of

Life

Phase

20% 80%

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The SAP Life Cycle — EXPLOIT Phase

Support –

On going

Innovation -

Project

Maintenance-

Project

1 2 3 4 5 6 7 8 9 10 11 12 13 14

Year: 32 54 76 8 9 10 … 15 … 20 …

Hardware

Software

DepreciateReplace

Replace

Depreciate

Steps:

Infrastructure:

6

1

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General SAP Life Cycle Challenges

Reacting quickly to new demands for SAP changes,

e.g., new processes, information, KPI's

Proving and improving Business Benefits: ROI, T2B

Business

Value

Managing major SAP maintenance projects and their costs

Controlling total life cycle costs for SAP projects spanning

many business units, instances and years

Retaining your SAP expert resources TCO

Maintaining good system performance, availability, and business continuity

Managing more complex SAP NetWeaver and SAP Hana infrastructures Risk

1 2 3 4 5 6 7 8 9 10111213

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General SAP Life Cycle Best Practices Summary

• You should have an “ERP Strategy” document

• You should measure realised ERP business benefits

• An SAP life cycle plan minimizes budget problems

• You need a truly great, business-driven, SAP COE retained

within your organization

• The Gartner Pace Layer research model helps you focus on

the business processes and systems that will truly

differentiate you

• Where possible: simplify, standardize, then automate your

SAP life cycle support processes

Best

Practices

Changes

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Maintenance of Complex SAP Landscapes

BW

ERP

PI

EP CRMNon

SAP

• SAP Business Suite means many production system landscapes

• E.g. one Gartner US client has 30 production system landscapes

• Business processes cross all of these, plus non SAP systems, e.g. eCommerce

• These landscapes have thousands of interfaces

• So how should you do SP/EhP application maintenance changes?

• And how should you handle functional enhancement projects?

• By application? By process? Critical processes first?

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Five Different Types of SAP Change

Highly

visible to

Business

Managers

Invisible to

Business

Managers

("Below the

Water line")

Greatest effort

Required

Least effort

Required

More

functional

More

technical

Change Type 3

Change Type 2

Change Type 1

SAP Support Package

SAP Enhancement Package

Problem Resolution

Emergency Fix

Change Type 5 Large Business Project

Change Type 4 Small Business Enhancement

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The Full SAP Change Management Process

Impact Analysis

Governance Process

Application Changes

Testing

Transport Management

Full Impact? Effort/cost/risk?

Business benefit? Approved? Project?

DEV/QA: Reconfigure, reprogram

QA: Regression/Perf/UAT Tests, sign off

QA: Move to PrePROD or PROD

Change

Requests

Step 5

Step 4

Step 3

Step 2

Step 1

Legend

DEV = SAP Development system

QA = SAP Quality Assurance/Test system

PROD = SAP Production system

Business

driven

Business

assistance

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SAP Change Management Challenges

• “Why does it take you guys so long to change our SAP business processes”?

• “When can you change that Order Fulfilment Report”?

• “Did you say that 12 SAP systems would have to be changed, just for that”?

• “When can we roll out SAP ERP to Italy”?

• “Can you just change that …………”?

• “Why do we need a Dual Landscape with all those systems”?

• “HANA is so much faster, why can’t we just use that”?

Welcome to the world of

integrated SAP systems…

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The Full SAP Change Management Process

Impact Analysis

Governance Process

Application Changes

Testing


Full Impact? Effort/cost/risk?

Business benefit? Approved? Project?

DEV/QA: Reconfigure, reprogram

QA: Regression/Perf/UAT Tests, sign off

QA: Move to PrePROD or PROD

Change

Requests

Step 5

Step 4

Step 3

Step 2

Step 1

Legend

DEV = SAP Development system

QA = SAP Quality Assurance/Test system

PROD = SAP Production system

Business

driven

Business

assistance

Automation Tools

with BIG payoff

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SAP Change Management –

Facts and Best Practices

• Capture all functional enhancement requests accurately

• Release Management: most companies do 2 to 4 releases/year,

with planned downtime windows tied to business seasonality

• The SAP Software Update Manager (2011) includes Near Zero

Downtime Maintenance option to squeeze this downtime

• Evaluate EhPs within the Release Management planning process

• Effective Release Management requires excellent governance

• Evaluate new EhP functionality within smaller Business Process

Improvement projects

• Super user involvement for UAT is key

Best

Practices

Changes

Fact: EhPs were meant to be small “Updates”, not large “Upgrades”

Fact: EhPs are cumulative and require a lot of testing work

Fact: SAP ties EhPs to SPs

Fact: SAP SPs can also contain product enhancements

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Recommendations

• Think SAP life cycle, not SAP projects1 2 3 4 5 67 8 910111213

• Measure and continuously improve the business value

from your core SAP business processes

• Optimize the Impact Analysis and Testing steps in your

SAP change management process, automate where

possible – leveraging:

Impact Analysis

Governance Process

Application Changes

Testing


ERP

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Driving Agility, Ensuring Quality

In the SAP Application Landscape

Oren Ezra

VP Product Marketing

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Serving 1,000+ customers, in 60+ countries…

…directly, and via 100+ partners

Offices in USA, Germany, Japan, Israel

1M+ SAP business processes tested in platform

Panaya At a Glance

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SAP Projects in 2014

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SAP Project Challenges

PLANIMPLEMENT

& TEST

Which interfaces will fail?

What should we test?

Implement, unit test & fix

Write test scripts

Manually test & document

Update test scripts

What functionality might break?

What to implement?

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SAP Projects: Faster, Lower Cost, No Risk

Test Builder

generates

regression

test suite

Automated

Code

Remediation

cuts build

time

Integration

Testing

focused on

identified

interface

failures

Initial

Testing

Collaborative

Testing

accelerates

regression and UAT

30% Quicker Time-to-Market

40% Cost Savings

Zero Critical Go-Live Issues

FixUnit

Testing

Landscape

Mapping &

Assessment

Initial

Testing Go-LiveUser

Acceptance

Testing

Integration

TestingTraditional

With

Automation

Tools

Automated

Test Scoping

pinpoints

what to test

Go-Live

Impact

Simulation

identifies what

will break

Write

Functional Test

Scenarios

Prepare Test

Scenarios

Mapping &

Assessment

Impact

Simulation

performs

automatically

within 48-hr

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Continuous Quality & Agility in Delivering SAP Change

Panaya Quality Management Cloud

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Landscape mapping & discovery

What will break

How to fix

What to test

Project delivery framework

Change Impact Simulation

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Collaborative Testing

Collaborative Test Execution

● Auto-capture test assets: scenarios, defects, test run evidence

● Accelerate manual testing

● Distributed across IT and business

Test Management

● Scope, plan, assign

● Monitor progress &

coverage

● ALM integration

Cloud Wisdom

● Aggregates & analyzes millions of test activities

● Continually mines & makes available best practices in our SaaS

Simple

Intuitive

Seamless onboarding

Built for business users

Smart

Risk-based scoping

No scripting

Domain expertise, built-in

SaaS

No hardware

No software

Non-invasive

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Capture SAP

Business

Processes1

Test run evidence

Detailed

Test Plan

generated

with screen

shots

2Capture SAP business processes

Detailed Test Plan

QA testers &

Superusers

perform

accelerated

manual testing

within SAP

3

Accelerated

Manual Testing

Test Run evidence

automatically

generated4

Collaborative Testing

34

Dashboards & Reports

Test Management5

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Increase Responsiveness to the Business

More Innovation, Less Maintenance

Upgrade Functional

ReleaseSupport

Pack

Functional

Release

Enhancement

Pack

Rollout to

New Site

IT Build

30%Business

Testing

40%

IT

Testing

30%

Innovation

20%

Maintenance

80%

IT Build

60%

Business

Testing

25%

IT

Testing

15%

Innovation

30%

Maintenance

70%

Project Breakdown IT Budget Breakdown

webinar: gartner predicts new challenges of sap change management

Technology

gartner analyst

intended gartner audience

sap customers17 years

powerpoint presentation

sap user group conferences

phd research director

complex sap system landscapes

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