How PanAust is reimagining its business with Digitalisation, HANA and Fiori July 2016

About PanAust • PanAust is a Brisbane, Australia headquartered copper and gold producer

• Two successful operations in Laos

• Pre-development mining assets in Laos, Papua New Guinea, Chile

• Providing copper-gold concentrate and gold-silver doré to China and other Asian markets

• Combination of ‘operational excellence and total commitment to sustainability’ is the foundation of PanAust’s success

• Recently acquired by the Chinese state-owned enterprise, Guangdong Rising Assets Management (GRAM)

Frieda River

Brisbane Office

Phu Kham

Ban Houayxai

Over 4000 employees globally across 6 countries

• Approximately 4000 employees and 1500 contractors

• Primarily English is second language of employees

• 800 SAP users

• Low cost producer

PanAust ERP project and scope• Platform to support company growth and

reduce IT risk

• Replace and rationalise 5 legacy ERP systems with 1 single ERP Instance

• Project Started in 2012

• Implemented in 11 months with solution implementation partner

• Go-live was 1 August 2014

Decision timeline

HANAAppliance

* There will typically be more servers to split DB servers with App servers etc.

BW Database

BOBJ Content

Database

EPContent

Database(s)

SAP ECC Application

Server(s)

SAP ECC Database

Server

SAP BW/BPCDatabase

Server

SAP BW/BPCApplication

Server(s)

SAP Enterprise Portal

Server(s)

PIContent

Databases

BusinessObjectsApplication

Server(s)

SAP PI Application Server

SAP PI Adaptor Engine(s) TR

EXSe

rver

TREX

Serv

er

Appl

icat

ion

Inte

rfac

es

often more than 1000 ETL jobs

Putting ERP on HANA has benefits but doesn't change the big picture

Key decision #1 – benefits of Hana

HANAAppliance

Leveraging the power of HANA, Fiori, Embedded BPC & cloud to drastically simplify

* Still requires AS Java for Adobe Document Services, NW SSO 2.0 and Web Dispatcher runtimes. A server is required but application footprint drastically reduced and no business content

BW Database

BOBJ Content

Database

EPContent

Database(s)

SAP ECC Application

Server(s)

SAP ECC Database

Server

SAP BW/BPCDatabase

Server

SAP BW/BPCApplication

Server(s)

SAP Enterprise Portal

Server(s)

PIContent

Databases

BusinessObjectsApplication

Server(s)

SAP PI Application Server

SAP PI Adaptor Engine(s) TR

EXSe

rver

TREX

Serv

er

Appl

icat

ion

Inte

rfac

es

often more than 1000 ETL jobs

Replace with Fiori*

Replace with Embedded BW and Integrated Planning/PAK

Replace with Cloud based integration

Replace with HANA Search

Key decision #2 – user experiencePanAust grouped different user perspectives to achieve a more pragmatic solution but still with high usability:

• Professional Desktop Access (Generally complex tasks and with high frequency)

• Self Service Access (Simple tasks performed by large number of users)

• Mobile Access (Simple and Complex tasks frequently performed but the user is not working from a desk.)

Occasionally Performed Frequently Performed

Simple Task

Learnability

(i.e. change address self service)

Memorability,Efficiency &Satisfaction

(i.e. work flow approvals, timesheets)

Complex Task

Learnability &Errors

(i.e. create new asset, initiate project)

Efficiency, Memorability, SatisfactionErrors

(core to a professional job i.e. scheduling)

Traditional SAP UX deployment

Web Dynpros and GUI Dynpros separated based on Technology. Reporting Separated depending on technology. Users must know technology behind it to find transaction. No mobile support.

BW Database

BOBJ Content

Database

EPContent

Database(s)

SAP ECC Application

Server(s)

SAP ECC Database

Server

SAP BW/BPCDatabase

Server

SAP BW/BPCApplication

Server(s)

SAP Enterprise Portal

Server(s)

ECC Database

PIContent

Databases

BusinessObjectsApplication

Server(s)

SAP PI Application Server

SAP PI Adaptor Engine(s) TR

EXSe

rver

TREX

Serv

er

Appl

icat

ion

Inte

rfac

es

Web DynproABAP

SAP GUI Dynpros

SAPGUI

SAP EnterprisePortal

BOBJ BI LaunchPad

Web DynproJava

WebIntelligence

Analysis for Office

Design Studio Crystal Reports

PanAust UX strategy: NWBC+FIORIKey Lessons:

• Need to think through different security scenarios, especially if using Single Sign On.

• SAP security model. Fiori is an app therefore does not inherit SAP permissions or delegations of authority.

• Landing page is like a portal therefore need to think of user experience.

• Data now traversing multiple systems so need to be conscious of performance and location of servers.

• Follow SAP best practise guidelines when extending and developing your own Fioriapps as this will ensure they are easy to maintain

Web DynproABAP

SAP GUI Dynpros

SAPNWBC

SAP Fiori

Analysis for Office

Design Studio

HANAAppliance with

HANA Live

BOBJ Content

Database

SAP ECC on HANA with Fiori, BW,

IP/PAK

BusinessObjectsApplication Server

SSO

/ADS

/ W

eb D

isp.

SAP Fiori

SAP Fiori

Fiori/UI5 Apps

Professional Desktop Self Service and Mobile

Digitising business process using FioriTransactional Factsheets Analytical

Search

Design Studio

Quantity Based (i.e. Light Vehicle Fuel):

Manual (i.e. Laptops):

Indirect Activity Based (Salary Charge 1B)*

Cost Driver Based (i.e. Grinding Media):

Key decision # 3 – tool for budget and forecasting

Driver QtyThroughput Tonne

Resource Price$/kg

Usage Ratiokg/tonne

QuantityKg Grinding Media

Cost$ Grinding Media

Resource Price$/Litre

QuantityLitre

Cost$ Light Vehicle Fuel

Cost$ Laptops

Activity Price$/person

QuantityPersons

Cost$ Salary Charge 1B

CalculatedInput Parameter

Utilising BPC Integrated for budget and forecasting

• Uses BOBJ Analysis for Excel for data entry and what-if scenarios.

• Maintain same look and feel by using Design Studio as web front-end

• Workbooks published in NWBC and linked to transaction code

• Complex aggrations and calculations can be done simply in queries including bringing together comparison data

• Direct planning on standard SAP tables• Direct use of SAP Master Data• Supplement with BW/IP specific data

models where required• Supplement with BW/IP master data where

required• Virtual providers can mix and match and

include complex business logic

SAPNWBC

SAP Fiori

Design Studio

SAP Fiori

SAP Fiori

Current innovations

Maintenance KPI’s

• Drill through capability on bar chart

• Hover over items for more information

• Eventually drill through to full list of work orders listed by week

NWBC Side Bar

• Suggests other power users who can help

• Prompts users with support and other documents

• Increased usage of Knowledge base by 1300%

Current innovations

Travel and Expense Management

• Uses Expense management available in core SAP

• Automated upload from ANZ bank for Visa

• Will reduce processing time for expense and travel

Decision Tree

• Utilises same information as Integrated Planning

• Allows the business to perform better what-if analysis and scenarios

• Graphical interface with live updates

Key business benefits from digitisationUseability

• Easy to use with limited training

• Only fields that need to be completed are shown

• Leveraging fact sheets to further enhance transactional applications e.g search

Governance and Business process

• Extended functionality of Fiori applications to include auditable fields to improve governance requirements

• ESS/MSS deployed across Laos operations to support HR to roll out a consistent business process

Mobility

• Business can complete tasks any time any where e.g approvals on mobile phone

• Extend business Process into mine to raise Work Order and search for material

What’s next for PanAust• Supplier dashboard and portal – create new Fiori landing page for suppliers

• Fraud Management

• Predictive Analytics

• My Inbox

o Will replace approvals applicationo Incorporate approvals for SAP, SuccessFactors and Service Now

• Simple Finance Upgrade whitepaper

Questions?

Thank you

Darren HadfieldGroup Information Systems Managerdarren.hadfield@panaust.com.au

Example of integrated flow:Fiori->Design Studio Dashboard

Self Service User accesses Fiori. On the Lauch Pad, a Dashboard has been published.

User selects the dashboard and it renders. It happens to be leveraging Design Studio as the runtime. It uses HANA to bring together 40+ procurement metrics in 2 seconds real-time and renders trends, status and interpretations.

User selects one of the KPI widgets and it shows the details including the trend of components.

Example of integrated flow:NWBC-AAOE(Excel)-NWBC-NWBC

Professional user works from NWBC and wants to review cost. Searches for cost review and finds report. It happens to be AAOE (Excel) but it could have been anything.

Opens up report in Excel as that is our preferred tool for this analysis and user can drill down in real time aggregated data. Compare plan, forecast, actuals, month, YTD and full year

User finds cost in cost centre or for a particular cost element odd, double clicks and it drills into a list of actual postings in NWBC

User double clicks on one postings and drills across to the underlying document. Could have been from any SAP module.

SAP Planning Architectural Options1. ERP on HANA

Classic FICO Planning

FICOIP/PAK

ERP on HANA

• Traditional SAP ABAP planning in SAP ERP system – no additional servers

• Uses ABAP screens with the options of embedded Excel planning Layouts with limited func.

• Standard delivered data model with tight integration into standard reports

• Can be enhanced through custom development

• Leverages HANA for data access but not planning functions

• PAK is already installed as default, just not used

2. ERP on HANA Planning Application Kit (PAK)

3. BPC 10.0 /10.1 Classic

4. BPC 10.1‘Unified’ with PAK

• The new HANA enabled PAK planning engine directly in ERP – no additional servers or software

• Choice of NWBC or Excel using Business Objects Analysis. (also used for reporting in PanAust)

• Flexible layouts from IP – can combine various information such as forecast, actuals and variance calculations directly

• Works directly on standard FICO model – no need to transfer data,

• Own models can be added where required

• Custom planning functions can be implemented in IP/PAK

FICO tables

FICO

ERP on HANA

FICO tables

IP/PAK

Add Cubes

FICO

ERP on HANA

FICO tables

BW

BW/BPC on SQL

BWCubes

BPC

BPCCubes

IP/PAK FICO

ERP on HANA

FICO tables

BWPAK

BW/BPC on HANA

BWCubes

BPCIP/PAK

• Add-on to SAP NW BW. Requires BW with separate database from ERP.

• Choice of Excel and Web front-end but separate from the Business Objects reporting tools

• Modelling tool generates data model in SAP BW in separate name space.

• Master data and data must be loaded from ERP to BW and then BPC or maintained manually.

• BPC to BW to ECC loads needed for exposure in ERP reports

• Single key figure data models means work arounds for common volume based scenarios

• Add-on to SAP NW BW. Requires BW with separate database from ERP. Requires HANA for unified

• New Excel and UI5 Web Front-end and integration into Business Object

• Modelling with true BW objects• Master data and data must be

transferred from ERP to BW. BW to ECC for exposure in ERP reports

• Leverage PAK planning functionality fully accelerated