Webinar: Gartner Predicts New Challenges of SAP Change Management
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Transcript of Webinar: Gartner Predicts New Challenges of SAP Change Management
Copyright © Panaya
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
CSI options to consider:
•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
CSI options to consider:
•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
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
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
Transport Management
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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360-Degree Map of Your Satellite Applications
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Reveal Impacted Satellite Applications…
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…And impacted interfaces
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Change Impact SimulationKnow Exactly What will Break…
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…And What to Fix
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Automated Code Remediation
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What to TestTesting Tasks Automatically Generated
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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
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