west trax sap kpi of the month november 2013

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West Trax SAP KPI Of The Month - November 2013 Average degree of standardisation in the automotive industry = 61% Standard software such as SAP is at its most productive when the available standard functionality is used as optimally as possible. Custom solutions should only be resorted to when they deliver a significant competitive advantage or when standard functionality cannot meet the requirements of the business. The KPI of the month for November highlights the level of standardisation in the SAP systems analysed in the automotive sector at 61%. This benchmark is based on 167 systems analyses. i.e. On average 61% of the programs used in the systems in the automotive sector were standard programs or transactions. The remainder were custom code, third party products or legacy programs. The Measured Best Practice (MBP) value recorded was 83.6%. The Measured Worst Case (MWC) was just 34.3%. The wide variation in benchmark values between MWC and MBP suggests that many systems contain untapped potential to significantly increase standardisation. Most of the systems analysed by West Trax show significant underutilisation of major functional components that are currently available in the systems and are incurring SAP license and maintenance charges. Redundant or inefficiently used custom code, underutilised standard potential and a lack of awareness of available standard functionality all inflate the already substantial costs associated with SAP system operations and projects. Many organisations continue to support extensively customised systems or are burdened with substantial overheads due to redundant custom code. As a result the business advantages and added-value expected from their strategic investments in SAP are often unrealised. The consequences include lower productivity, increased costs, reduced profitability, compliance exposures and customer dissatisfaction. To find out how your SAP systems measure up against these benchmarks please email [email protected] or visit www.westtrax.com .

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Page 1: West Trax SAP KPI of the Month November 2013

West Trax SAP KPI Of The Month - November 2013

Average degree of standardisation

in the automotive industry = 61%

Standard software such as SAP is at its most productive when the available standard functionality

is used as optimally as possible. Custom solutions should only be resorted to when they deliver a

significant competitive advantage or when standard functionality cannot meet the requirements of

the business.

The KPI of the month for November highlights the level of standardisation in the SAP systems

analysed in the automotive sector at 61%. This benchmark is based on 167 systems analyses.

i.e. On average 61% of the programs used in the systems in the automotive sector were standard

programs or transactions. The remainder were custom code, third party products or legacy

programs. The Measured Best Practice (MBP) value recorded was 83.6%. The Measured Worst

Case (MWC) was just 34.3%. The wide variation in benchmark values between MWC and MBP

suggests that many systems contain untapped potential to significantly increase standardisation.

Most of the systems analysed by West Trax show significant underutilisation of major functional

components that are currently available in the systems and are incurring SAP license and

maintenance charges. Redundant or inefficiently used custom code, underutilised standard

potential and a lack of awareness of available standard functionality all inflate the already

substantial costs associated with SAP system operations and projects.

Many organisations continue to support extensively customised systems or are burdened with

substantial overheads due to redundant custom code. As a result the business advantages and

added-value expected from their strategic investments in SAP are often unrealised. The

consequences include lower productivity, increased costs, reduced profitability, compliance

exposures and customer dissatisfaction.

To find out how your SAP systems measure up against these benchmarks please email

[email protected] or visit www.westtrax.com .