Financial Transformation using SAP HANA and In-Memory ...

Financial Transformation using SAP HANA

and In-Memory Technology Karuna Mukherjea Carsten Hilker May, 2012

© 2012 SAP AG. All rights reserved. 2

Agenda

1. Challenges and Opportunities for Finance

2. Introducing In-Memory Computing Technology and SAP HANA

3. Creating Business Value in Finance with SAP HANA

4. Customer Benefits

5. Summary

Challenges and Opportunities

for Finance


Your business environment is constantly changing

How deeply do these changes impact your finance organization?

Increasing

globalization

Pressure on

margins

New – potentially

disruptive – technologies

Increased focus

on risk

Regulation is

here to stay

Volatility in markets,

commodity prices and

stocks


Worldwide digital content will double in 18

months, and every 18 months thereafter.

IDC

VELOCITY

In 2005, mankind created 150 Exabyte of information. In 2011, 1,200 Exabyte’s

will be created.

The Economist

VOLUME VARIETY 80% of enterprise data will

be unstructured spanning traditional and non traditional sources.

Gartner

You need to take control of a fast-growing volume of many

types of data ...

ERP Data

Cos

ts

Profitability

Spe

ed

Velocity

Transactions

Opp

ortu

nitie

s

Revenues

Reports

Em

ails

Planning

Analysis

Mobile

Period-end closing


… and current relational database technology can’t handle

the volume, velocity and variety of all your finance data

Physical Limits


Whilst finance objectives remain the same

Do you have the right technology to support your objectives ?

Ensure regulatory

compliance and effective

risk management

Deliver superior

service at a reduced

cost Outperform financial

objectives and create

sustainable value for

stakeholders


CFOs are struggling with ...

Inability to access detailed financial information across all

business dimensions So we cannot identify new

opportunities to optimize our

financial performance

Time-consuming financial

analysis and reporting processes with high

volumes of data So we have delays in the

completion of our

period-end closings

Financial decisions based on incomplete, inaccurate and often outdated information

So we might miss our

financial objectives and not

manage risk and

compliance issues properly


Better utilize your data to gain a competitive advantage

Base decisions on the latest, granular multi-structured data

Make decisions on analytics rather than intuition

Frequently reassess forecasts and plans Utilize analytics to support a spectrum

of strategic, operational, and tactical decision making

Rapidly evaluate alternative scenarios

Leading businesses can outpace the competition because they can:

How well do you leverage your own data ?

Fumblers

Fact Finders

Fumblers

Fact Finders

n=1,002

Source: IDC‘s SAP HANA Market Assessment, August 2011


What Finance needs from IT

How can you create more value and become a

data-driven finance organization?

Better leveraging your large volumes of data in ERP

Faster and flexible financial analysis, planning and reporting

Business users being able to build their own reports and views

Transparent information for broad usage as and when needed

Easy exploration of detailed financial data

Trusted and complete information in one single place

Introducing In-Memory Computing

Technology and SAP HANA


SAP HANA

Breakthrough innovation with in-memory computing

With in-memory technology integrated

in your business, you’ll see immediate benefits

Gain Real-Time – know it when it happens

Go Deeper – ask any question on any data

Act Broadly – manage large volumes of data

Run Faster – analyze at the speed of thought

Get Flexibility – eliminate pre-fabrication requirements

In-memory computing is a technology that analyses massive quantities of data in

local memory so that the results of complex analyses and transactions are available at your fingertips – and business decisions can be executed without delay


SAP HANA, modern platform for real ‘real-time’

What is SAP HANA?

SAP HANA ™ is a modern platform leveraging the power of in-memory computing

Enables to drive businesses in real-time on an ever increasing massive volume of data

Can be deployed as an appliance or delivered via

the cloud

Benefits

Innovative yet non-disruptive platform for managing large volumes and variety of data at high speeds

Real-time access with real-time replication services and data integration capabilities

Complete and instant insight with flexible data calculation engines, reporting and analytics models

Simplified IT landscape with a multi-purpose in-memory appliance and reduced layers

Batch bulk uploads

SAP HANA

SAP

Business

Suite

SAP Business

Warehouse

Other data sources

Real-time copy

SAP HANA modeling

SAP Business

Objects tools

(Other query tools)

SAP HANA information composer


A platform for innovative real-time analytics and applications

Real-time solutions powered by SAP HANA

New Accelerators and Analytic Content for powerful analysis and reporting on big data

New Applications for highly innovative processes and business models

Benefits

Make smarter and faster decisions with complete insight on large volumes of granular data

React quickly with real-time analysis, planning and reporting

Unlock new opportunities with state-of-the-art analysis

Invent new data-driven business models and renew differentiating processes enabled by real ‘real-time’

Ensure quick time-to-value with fast to deploy solutions

Batch bulk uploads

SAP

Business

Suite

SAP Business

Warehouse

Other data sources

Real-time copy

SAP Business

Objects tools

(Other query tools)

Real-Time Analytics

Real-Time Business

Real-Time Applications

Real -Time Trusted Data

SA

P H

AN

A

SAP in-memory computing

Creating Business Value in

Finance with SAP HANA


SAP HANA for Line of Business Finance

Gain deep

visibility into

large volumes of

financial data

Access real-time

financial data

Perform fast and

flexible analytics,

planning and

reporting

Insights Speed Real-Time

Empower finance with real-time yet non-disruptive innovations


Solutions powered by SAP HANA

for Line of Business Finance

Insights Speed Real-Time

SAP Finance and Controlling Accelerator

SAP ERP RDS for operational reporting

SAP NetWeaver Business Warehouse powered by SAP HANA

Real-time insights into large volumes of profitability data in ERP

Accelerate period-end closings and reportings on vast amounts of data in ERP

Real-time financial analysis and reporting on large volumes of ERP data

Accelerate business warehouse operations to drive higher performance

available planned

SAP COPA Accelerator

SAP BusinessObjects Planning and Consolidation, version for SAP NetWeaver – powered by SAP HANA

Plan better and act faster with instant insight into all relevant data and rapid write-back

http://www.sap.com/solutions/sapbusinessobjects/data-warehousing/sapnetweaver-business-warehouse/powered-by-hana/index.epx







Customer Pain Points

Customer Needs

SAP CO-PA Accelerator

Inability to measure cost/profitability performance at granular level

True profitability performance can only be ‘guestimated’

Simulation of new scenarios is done manually and often based on assumption rather than on real information

Gain insights into consolidated information in real-time and perform flexible analytics

Accelerate reports in real-time Improve decision making with flexible analytics

and calculations when and as needed

The Solutions: SAP CO-PA Accelerator Real-time insights into large volumes of profitability data in ERP


SAP CO-PA Accelerator

Real-time access to massive amounts of profitability data in ERP

Flexible and unconstrained profitability reporting through CO-PA and SAP BusinessObjects BI tools

Unlimited multi-dimensional analysis of CO-PA data

Maximized profitability with powerful insights to unlock opportunities

Improved financial performance and efficiency with faster profitability reporting

Empowered business users with access to trusted data to enable profitable business decisions

SAP CO-PA Accelerator potential business impact:

Unlocked opportunities to maximize profitability Accelerated financial performance and efficiency

Optimized profitable business decisions quick link /rds-hana-copa

Key Capabilities

Key Benefits

https://websmp202.sap-ag.de/rds-hana-copa








Customer Needs


Slow access to massive amounts of ledger, cost center and material ledger data

Delays in the completion of the period close and in getting reports

Limited drill-down reporting for production cost analysis and material ledger

Line item selection only possible in indexed fields

Accelerate month-end closing Accelerate reporting on massive amounts of

ledger, cost center and material ledger data Analyze directly against item detail

The Solution: SAP Finance and Controlling Accelerator Accelerate period-end closings and reportings on vast amounts of data


Key Capabilities

Key Benefits


4 implementation scenarios possible: Financial Accounting, Controlling, Material Ledger, Production Cost Analysis

Real-time access to massive volumes of ledger, cost center and material ledger data in ERP

Accelerated run-times for essential period-end reports

User-driven, flexible analytics and reporting

Fast analysis combined with easy drill-downs

Accelerated period-end closing processes with a faster availability of period-end reports

Improved profitability with better control on costs, stock and assets

Increased efficiency and productivity

Improved agility with rapid and deeper access to GL, ML and working capital data

SAP Finance and Controlling Accelerator potential business impact:

Unlocked opportunities to maximize financial performance Optimized financial and managerial decisions

Increased overall effectiveness in finance and controlling

quick link: /rds-hana-fin

https://websmp202.sap-ag.de/rds-hana-fin








Customer Needs

SAP ERP RDS for operational reporting with

SAP HANA

Complex reporting and analysis when using massive ERP data

Lack of real-time visibility Time required for performing reporting and

analysis

Simplify reporting process with high volumes of data in ERP

Access to real-time information Accelerate reporting and analysis of sales

activities in ERP

The Solution: SAP ERP RDS for operational reporting with SAP HANA Real-time sales analysis and reporting on large volumes of ERP data


Key Capabilities

Key Benefits

SAP ERP RDS for operational reporting with

SAP HANA

Real-time analysis and reporting on large volumes of ERP data (incl. revenue trend, operational expenses, DSO analysis, etc.)

Visualization of reports in your own reporting environment (flexible „report models“)

Preconfigured reports and views

Faster reporting and analysis on large volumes of financial data in SAP ERP

Access real-time financial data with better visibility into financial performance

Better insight into your financials processes with real-time reporting

SAP ERP RDS for operational reporting with SAP HANA potential business impact:

Smarter decisions in real-time Improved insight into large volumes of ERP data

Increased productivity quick link /rds-hana-erp

http://service.sap.com/rds-hana-erp







Increase Agility Boost Performance Engage Everyone

Plan better and act faster with instant insight into all

relevant data and rapid write-back

Accelerate planning and consolidation processing

leveraging the power of in-memory computing

Simplify the input and exploration of data with a next generation mobile

interface

SAP BusinessObjects Planning and Consolidation,

version for SAP NetWeaver – powered by SAP HANA A new era of enterprise planning


SAP BusinessObjects Planning and Consolidation,

version for SAP NetWeaver Powered by SAP HANA

Performance/Scalability

Utilize the powers of SAP HANA to provide increased application performance on large data sets

– Leverage SAP HANA’s multi-threading power and in-memory computation power to accelerate calculation-intensive operations

Customer-Driven Innovations

Co-innovate with customers to deliver revolutionary business value for their investments

Target business functionality previously deemed un-feasible due to performance considerations

SAP BusinessObjects Planning and Consolidation 10.0, version for SAP

NetWeaver SP6*

SAP NetWeaver BW 7.30 SP6

SAP HANA 1.0 SP3

SAP NetWeaver Server

Web / Microsoft Office Clients

* Planned future release, subject to change including support packs

NOTE: SAP HANA is planned to be optional not a requirement to replace traditional RDBMS

Customer Benefits


Leveraging detailed financial information across all business

dimensions is difficult

or impossible

Financial analysis and reporting processes with

high volumes of data can be very time-

consuming

Financial decisions are often based on

incomplete, inaccurate

and often outdated

information

Turning issues into opportunities with SAP HANA

Deep insights into large volumes of financial data Access to real-time

financial information

Fast and flexible

analytics and reporting

Make smarter financial and managerial decisions

Empower finance with true real time

Accelerate key financial processes

SAP HANA

Issu

es

Opp

ortu

nitie

s fo

r Fin

ance


Make smarter financial and managerial decisions

By getting deep insights into large volumes of financial data,

you can:

Make more confident

decisions by leveraging complete financial

information

Unlock growth

opportunities by analyzing vast amounts

of financial data

Improve financial

performance with more precise root-cause

understanding based on detailed information


Empower finance with true real time

By enabling access to real-time financial information, you can:

Increase revenues and reduce costs with real-time visibility and faster

reactions to financial exceptions and issues

Improve forecasting

and planning

accuracy by utilizing the latest, up-to-date

financial data

Proactively mitigate

risks by leveraging trusted financial

information


Accelerate key financial processes

By leveraging fast and flexible analytics and reporting, you can:

Increase business

user productivity with self-service access to financial information and fast analysis and

reporting

Optimize cash flow

with consolidated views of key information

Significantly reduce

time to close books

through accelerated run-times for period-

end reports


What the customers say

Colgate Palmolive Perform analysis at unparalleled speed with SAP CO-PA Accelerator - going live in just eight weeks Michael Crowe, Vice President Global Information Technology

Provimi Optimize profits with SAP CO-PA Accelerator – going live in just three weeks Jean Charles Valette, Group Controller

BASF Accelerate response times dramatically and improve data reliability to optimize business Andrew Pike, CIO Information Services

“

“ For more information, please visit our SAP HANA website: http://www.sap.com/hana/reviews/index.epx

http://www.sap.com/hana/reviews/index.epx


http://smartdirectory.sap.corp:3080/Assets/asset.epx?mid=6bba6c94-5a3d-4b8d-b57e-8ca9bb9c1c64

http://smartdirectory.sap.corp:3080/Assets/asset.epx?mid=98d7ad18-4181-4379-865c-29312d8f91c3

http://www.sap.com/demos/richmedia/media/basf-hana-customer-testimonial-video.epx


What the customers say

Procter & Gamble Build the next generation of financial planning and reporting applications Jim Fortner, VP IT Development and Operations

Deloitte Consulting Gain clear and immediate insights into current liquidity and cash flow information Stephan Raemaekers, Managing Partner

BSH Home Appliances Corporation Create business forecasts in seconds rather than days Dr. Jürgen Sturm, CIO

“

“ For more information, please visit our SAP HANA website: http://www.sap.com/hana/reviews/index.epx

http://www.sap.com/demos/richmedia/media/bsh-hana-customer-testimonial-video.epx

http://www.sap.com/demos/richmedia/media/deloitte-hana-customer-testimonial-video.epx

http://www.sap.com/demos/richmedia/media/p-and-g-hana-customer-testimonial-video.epx



Summary


• Experience Hana

https://www.experiencesaphana.com/welcome

• SAP HANA Solutions

http://www12.sap.com/hana/applications/index.epx

• SAP LOB Finance Solutions

http://www12.sap.com/lines-of-business/finance/index.epx

More Information













Experience HANA Test Drive


Top ten reasons why customers choose SAP HANA Bringing Finance to the next level

All Data

Any Source

Real-Time

Analysis

Applications

Cloud

Innovation

Simplicity

Value

Choice

Manage massive data volume at high speeds

Gain insights from structured and unstructured data

Enable real-time interactions across your value chain

Unlock new insights with predictive, complex analysis

Run next-generation applications

Step up to the world‘s most advanced cloud

The ultimate platform for business innovation

Fewer layers, simpler landscape, lower cost

Innovation without disruption adds value to legacy investments

Open choice at every layer to work with your preferrred partners

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Thank you

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Financial Transformation using SAP HANA and In-Memory ...

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