The Intelligent Enterprise enabled by SAP S/4 HANA

The Intelligent Enterprise enabled by SAP S/4 HANAFrancisco Reyes| SVP S/4 Hana & Industries Latin America and the Caribbean

@freyes_ve@SAPLatinAmerica

2PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ

1. The Intelligent Enterprise2. The next generation Digital Core

3. Digital Core key capabilities

4. How to get there?

Agenda


Today’s Reality − Digital Economy is Reality − Not Future

In 2016, 5 of the Top 10Largest CompaniesGlobally are TechnologyCompanies, and 70% arenew in the LIST!

“Survival of the fittest”Not the biggest ones win,the most agile ones.

Charles Darwin:

Source: Forbes

New Heavyweights

60%of totalDAX-

market cap

equals

In the last 60 years:

90%Fortune 500companies havedisappeared,merged, orcontractedSource: Innosight

Averagelifespan ofcompanies

61years

18years

Source: Innosight


The Intelligent Enterprise Framework

1

2

3

Intelligent Suite

Intelligent Technologies

Digital Platform

The Intelligent Enterprisefeatures 3 key components:

AI/ML | IoT | Analytics

CustomerExperience

Manufacturing& Supply Chain

Digital Core PeopleEngagement

Network & SpendManagement


DigitalPlatform

DataManagement

CloudPlatform

IntelligentSuite

5PUBLIC© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀIntelligent Technologies

IntelligentSuite

Digital Core

The Intelligent Enterprise Framework

The Intelligent Enterprisefeatures 3 key components:

SAP ERP Portfolio

SAPS/4HANA

Cloud

SAPS/4HANA

SAPBusinessByDesign

SAPBusiness

One

CloudERP

On-premiseERP

SMEBusiness

LE & GBBusiness

1

2

3

Intelligent Suite


Digital Platform

Addressing KeyAudiences & Value

SAP Finance LoB& GRC

SAP HANAEnterprise Cloud

SAP IndustrySolutions

CFO

CIO

CEO & COO


Source: SAP CSG analysis, McKinesy Quarterly Report July 2016, Google PR,Microsoft PR, SAP Market Model

The automation of repetitive tasks is allowing humans to be more productiveand focus on higher value tasks

TransactionalEnterprise

DigitalEnterprise

IntelligentEnterprise

HUM

ANS

–AU

GMEN

TED

BY A

I

Human repetitive tasksAugmented by AI in the

Enterprise system toassist in core activities

Human high value complextasks and knowledge work

ENTE

RPRI

SESY

STEM

HUM

ANS

–H

IGH

VAL

UETA

SKS

HUM

ANS

–RE

PETI

TIVE

TAS

KS

Self-RunningEnterprise


60%Of human tasks will be

automated by 2025

97%Image recognition accuracy today

(better than human rate 95% )

95.1%Speech recognition accuracy today

(better than human rate 94.1% )

$18BEnterprise Machine Learning

Market by 2020

Process Automation

Full automation of business processes, from HRto payments processing, to workflow approvalsfor purchase orders and sales execution

Dynamic Analytics

Proactive analysis of new data types anddiscovery of unfamiliar patterns that provide anew level of insights

Next–gen UX

User experience based on voice, vision andmessaging will replicate how people interact inreal life and increase business productivity

The intelligent ERP is here to reinvent businesses

Source: SAP CSG analysis, McKinsey Quarterly Report July 2016, Google PR, Microsoft PR, SAP Market Model

Of companies see ML ascritical for Competitive

Advantage!

94%


The Intelligent Enterprise starts at the Digital Core

Automation

Next-generation processes

Digital age UX

2

3

1

IntelligentERP Legacy ERP

• Intelligent digital assistance and instantinsights deliver value-adding experiences

• Machine learning, AI and predictive analyticsfor increased automation and efficiency

• Reinvent and redefine processes with appliedbest practices built on the latest innovations

The Intelligent ERP Difference

Modernizing your ERP provides the foundation to connect your data,automate key functions, and constantly improve your products & services


Productivity Adoption Training Time

MostAdvancedEmbedded

Machine LearningAutomation

BusinessContext

Awareness

Digital Age User Experience


Vision: Achieve 50% automation within the next 3 years

Artificial Intelligenceautomates and improves

processes

Predictive analyticshelps improve decision-making and performance

The system continuouslylearns and adapts

to user actions and inputs

Modern Driven Automation


Next-Generation Processes

DynamicPricing of

RetailGoods

Data-DrivenLogistics

AssistedProcurement& Sourcing

Data-DrivenLogistics

PredictiveMaintenance

& Service

AcceleratedFinancial

Close

AutomaticInvoice

Matching

SmartDeliveryInsights

Demand-Driven

Replenishment

AccurateForecast

Predictions


Why Digital Core from SAP?

The 1st IntelligentDigital Core and ERP

100% In-memoryData Management

RichFunctionality

Industry Know-HowCovering End-to-End

Processes


SAP S/4HANA CloudEvolving at cloud speed

18 23 25 29 33 33 36 38

17081705 17111702Release

Intelligence API operations Scope items(business functions)

Countries

1808

244273 329

13071530

34

9

1805

364

251880

132

2206158

1742

3000

390

68

1811*

521682

5

§ 4 quarterly innovativereleases per year

§ Finance-centricadministrative ERP built todeliver value to all customers

§ Strong 2-tier ERP capabilities

§ Selected industry-specificfunctionality

§ Unmatched internationalsupport (38 countries and 23languages by end of 2018)*

*This is the current state of planning and may be changed by SAP at any time without notice.

1802

40

432

~20% more scope per release*


Suite

Build the Intelligent EnterpriseMachine Learning Roadmap Excerpt

JobAnalyzer

Employee SelfService Bot Total Workforce

Insights

Manager &Administrator Self

Service Bot

Career Planning"People like me"

KnowledgeBots

Payroll FraudDetection

SAP Fieldglass LiveInsights

Job Matching forCandidates

Support andProductivity Bots

Job SeekerResume Ranking

Intelligent CustomerExperience Suite

LeadIntelligence

CustomerRetention

(RTC 1811)

TicketIntelligence

Product & OfferRecommendation

(RTC 1808)

Influencer Map &Deal Finder

Multi-TouchCustomer Attribution

ContextualMerchandizing

Self-WritingExpense

Computer VisionReceipts

AnomalyDetection

AI ExpenseApprovals

InvoiceDigitization

AI InvoiceProcessing

ItineraryCapture

ChatbotBookings

Risk ImpactPredictions

AutomatedDuty of Care

ProactiveAssistant

SemanticContract Repository

ItemRecommendation

Self-ServiceContracts

AttributeNormalization

SemanticSearch

ItemNormalization

SourcingOptimization

SourcingRecommendation

Job Matching

TimesheetAnomalyDetection

Program OfficeGuidance

JobNormalization

Statement ofWork Builder

ContractConsumption

SAP Tax ComplianceSmart Automation

Payment Block- CashDiscount at Risk

Smart Alerts for RealSpend and P&L Analysis

Demand-DrivenReplenishment Adjustment

Stock inTransit

Sales PerformancePrediction

CashApplication

PredictiveEngineering Insights

Predictive & PrescriptiveMaintenance

DemandSensing

Predictive OverallEquipment

EffectivenessPredictive QualityManagement

Smart WorkerEnablement on

Shop FloorSupply ChainSegmentation

AdvancedForecastAccuracy

ML Foundation

SAP S/4HANA(All available)

Digital Supply Chain& Manufacturing

Conversational AI End-to-endsuite Intuitive UX Any language Q&A SAP CoPilot

integrationContext

ManagementInsurance Bot Industry Bots Integration with an

additional CRM

Bring your ownmodel

Pre-trainedbusiness services

Textclassificationand analysis

Image featureanalysis

GPU usage Tabular and timesseries analysis Speech and audio

capabilities

LearningRecommender

(RTC 1808)

Resume Matching


On PremiseCloud

SAP S/4HANASAP S/4HANA & S/4HANA Cloud’s code line,simplified data model, and modern userexperience are consistent across bothenvironments.

Considerations for selectingthe right SAP S/4HANA solution:• Business functionality• Regulatory, industry, and regional requirements• Individualization options• IT Strategy• Innovation cycles• Adoption/upgrade efforts• TCO• Commercial models

Code LineData ModelUser Experience

ONE

You have complete choice


• Accelerate go-live and user adoption• Rapid global deployments• Flexibly scale to new business needs

Predictable,Lowest TCO

• Shift from CapEx to OpEx• Reduced need of IT administrative tasks• No infrastructure investment needed

ContinuousInnovation

• Agile with rapid innovation cycles• Get latest capabilities & best practices• Keep up with regulatory changes

Simple, Reliable,and Safe

• Easy to configure and extend• Fully managed by a trusted 3rd party• Complete data security & protection

Speed

Default choice for enterpriseslooking to benefit from IntelligentCloud ERP

• Unmatched speed of innovation• Lowest total cost of ownership• Fastest time-to-value

SAP S/4HANA Cloud

SAP S/4HANA Cloud is the best choice for Intelligent Organizations


Make the caseThree free tools, personalized guidance for IT and the line-of-business

SAP TransformationNavigator

See the S/4HANA roadmapfor each component inyour current landscape.

Based on current SAP product usageor capabilities your organization wants.

SAP ReadinessCheck

Learn the technical requirementsand actions for a systemconversion to S/4HANA.

Based on configuration and usage data forcustomers already on SAP ECC 6.x.

S/4HANA Business ScenarioRecommendations

Identify the business processesyou can improve and discover

new business capabilities.

Customers new to SAP can use BusinessValue Advisor: http://impact.s4value.com

http://impact.s4value.com/


Deliver your futureOfferings from SAP & Partners

SAP S/4HANA | Adoption Starter engagement Adoption starter, guided enablement and self-service tools to create your first S/4HANA plan,including benchmarking, value assessment & migration strategy

SAP S/4HANA | Value Discovery engagement SAP and partner-led offerings for more in-depth S/4HANA migration plans based on requirements;detailing value, potential costs, timeframe and ROI.

Intelligent Enterprise | Value Discovery engagementSAP and partner-led offerings showcasing the role of S/4HANA in all aspects of the IntelligentEnterprise, including innovations in user experience, machine learning, and the key business benefitsin the era of industry transformation.

Executive Alignment Value Discovery Execution Readiness Value DeliveryWhat business objectives

do we enable?Where and how will we

realize our ROI?What is our plan for

deployment?Which best practices

ensure success?

1 2 3 4

Francisco ReyesSVP S/4 HANA & IndustriesSAP Latin America and the Caribbean

Thank you.

The Intelligent Enterprise enabled by SAP S/4 HANA

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