SAP Portfolio and Project Management

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1 SAP Portfolio and Project New Features and Functions in 5.0 Suite Solution, SAP AG November 2010

2 Legal Disclaimer This presentation outlines our general product direction and should not be relied on in making a purchase decision. This presentation is not subject to your license agreement or any other agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or to develop or release any functionality mentioned in this presentation. This presentation and SAP's strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP intentionally or grossly negligent.. SAP AG 2009, PPM Messaging & Positioning, M. Rosemann, Page 2

3 Project Success is key Bad projects impact growth, margin, working capital Area Strategic Projects Issues Product Budget issues Tbd Plant 2 IT Project ECV not confirmed Risk management Progress 60%? Over time Troubled projects increase working capital Late projects may represent loss of needed cash inflow Late, over-budget projects impact profit margin SAP AG All rights reserved. / Page 3

4 SAP enabling Enterprise Portfolio and Project Enterprise Portfolio Portfolio SAP Project Mgmt cprojects Initiate Integrate PS Portfolio Analytics Others Aggregate Managing and monitoring the portfolio & programs Portfolio Level Project management and execution Project- Level Logistics PP MM Resources HR Time Financial data Project System FI/CO Core enterprise processes & activities Operations - Level SAP AG All rights reserved. / Page 4

5 Typical Scenarios for Advanced PPM Capital Innovatio n IT Manage and control enterprise wide, project related investments Process, Utilities, Oil & Gas, Mining Modifications of Assets; Greenfield projects, etc. Optimize strategic resource & financial management of the innovation process Consumer Products, High Tech, R&D in General Innovation Pipe, Resource plg., Budget allocation Help IT organizations to align activities & resources with business strategy All industries Demand- and Resource Mgmt., PMO-Support, etc. Alignment of capital / operational spend and strategic intent Effective stage/gate control for projects Auditable planning and budgeting process Early identification of opportunities, bottlenecks and risks Improved visibility and management of the portfolio Link between business case and actual spend Agile process of reviewing and adapting the portfolio selection of customers case studies, presented during Sapphire SAP AG All rights reserved. / Page 5

6 Project Based Enterprise Application Project-centric Business Processes enabled by SAP Business Suite Shift focus from Application view to Customer Value Superior Project Delivery Continuous product and service innovation With focus on internal process Professional Service Automation / Prof. Service Product and Service Leadership R&D Projects New Product Development and Introduction External IT Projects / ECO Prof. Service External capital projects / ECO Operational Excellence Superior Customer Value Superior Project Delivery Project Manufacturing / IMC, A&D Designing, building, and commissioning assets Best People and Talent Strategic IT With focus on processes across company boundaries Professional Service Automation / Prof. Service External IT Projects / ECO Prof. Service Internal Capital Projects / O&G, Chemicals, nearly all asset intensive industries Optimized asset operations and maintenance High Performing Assets Financial Excellence Responsive Supply Networks External capital projects / ECO Consolidating and governing IT Complex Maintenance Projects incl. Shutdown planning SAP AG All rights reserved. / Page 6 Value centric: Enable Customers Success by optimal support of all relevant project types Internal IT Projects

7 Aligning Stakeholders to Achieve Continuous Product and Service Innovation Continuous product and service innovation requires alignment between several stakeholders with differing objectives Leadership Team Continuous Product and Service Innovation Marketing Research & Development Operations Product How should our entire organization contribute to innovation in our products and services in ways that will drive differentiation and growth? Strategy and Planning How do I improve responsiveness to customer needs and market opportunities? Managing Innovation How do I extend innovation capacity? Program and Project How do I execute with speed and efficiency? Portfolio How do I understand the strategic performance impact of investments? Market Share Profitability Customer Value Proactive identification of growth and innovation opportunities Leverage core capabilities Roadmap aligned with corporate strategy Participation and engagement level of customers and partners in innovation Quantity and quality of concepts developed and evaluated Intellectual property (IP) /patent value Time-to-market Resource utilization Continuous and sustained management processes Visibility and alignment of portfolio performance with corporate objectives SAP AG All rights reserved. / Page 7

8 Continuous Product and Service Innovation End-to-End and Cross-Functional Process Continuous product and service innovation connects processes across departments to drive competitive differentiation and profitable growth Leadership Team Marketing Research & Development Operations Product Strategy and Planning Managing Innovation Program and Project Portfolio Product / Service Mgmt Supply / Mfg / Dist Product Intelligence Strategy Idea Concept Development Project Portfolio Planning Resource Project Profitability Analysis Marketing / Sales / Support Initiative Planning Process (DFM) Project Execution Finance / HR / Legal Project Accounting Market Launch Customers / Partners SAP AG All rights reserved. / Page 8

9 SAP Portfolio and Project 5.0 Portfolio and Project Goal Target Scenarios Key Features Reduce TCO Increase usability Improve performance Innovation IT Portfolio Capital Project Portfolio Consolidation to one product with UI alignment Extending analytics Closing process gaps, e.g. Resource Facts Delivery as add-on, separate deployment options SAP AG All rights reserved. / Page 9

10 SAP Portfolio and Project New Features and Functions in 5.0 User Interface Harmonization Portfolio Project Integration Analytics Harmonized user interface (UI) for portfolio and project management New navigation Usage of Floorplan Manager Drag and Drop for project elements Additional view on the items and initiatives in your portfolio or across portfolios(classifi cation) Financial planning enhancements Process change and concept management capabilities Version comparison in graphic Simplification of task confirmation Consolidated resource views Edit project details directly from the Gantt Object Links into SAP Project System, Material and Recipe Extended Financial Mapping Embedded reporting with Business Content Viewer (BCV) Reporting Cockpit Resource Enhanced BW Content SAP AG All rights reserved. / Page 10

11 SAP Portfolio and Project User Interface Harmonization Key Capabilities Harmonized user interface (UI) for portfolio and project management New navigation Usage of Floorplan Manager Drag and Drop for project elements SAP AG All rights reserved. / Page 11

12 SAP Portfolio and Project Portfolio Key Capabilities Additional view on the items and initiatives in your portfolio or across portfolios (Classification) Process Change and Concept Capabilities Financial Planning Enhancements Classification Process Change SAP AG All rights reserved. / Page 12

13 SAP Portfolio and Project Project Key Capabilities Version comparison in graphic Simplification of task confirmation Consolidated resource views Edit project details directly from the Gantt SAP AG All rights reserved. / Page 13

14 SAP Portfolio and Project Integration (planned for SAP ERP 6.0 EhP5) Key Capabilities Object Links into SAP Project System, Material and Recipe Extended Financial Mapping SAP AG All rights reserved. / Page 14

15 SAP Portfolio and Project Analytics Key Capabilities Resource Analytics Embedded reporting with Business Content Viewer (BCV) Reporting Cockpit Resource Enhanced BW content Actual vs. Planned SAP AG All rights reserved. / Page 15

16 Copyright 2009 SAP AG All Rights Reserved No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors. Microsoft, Windows, Excel, Outlook, and PowerPoint are registered trademarks of Microsoft Corporation. IBM, DB2, DB2 Universal Database, System i, System i5, System p, System p5, System x, System z, System z10, System z9, z10, z9, iseries, pseries, xseries, zseries, eserver, z/vm, z/os, i5/os, S/390, OS/390, OS/400, AS/400, S/390 Parallel Enterprise Server, PowerVM, Power Architecture, POWER6+, POWER6, POWER5+, POWER5, POWER, OpenPower, PowerPC, BatchPipes, BladeCenter, System Storage, GPFS, HACMP, RETAIN, DB2 Connect, RACF, Redbooks, OS/2, Parallel Sysplex, MVS/ESA, AIX, Intelligent Miner, WebSphere, Netfinity, Tivoli and Informix are trademarks or registered trademarks of IBM Corporation. Linux is the registered trademark of Linus Torvalds in the U.S. and other countries. Adobe, the Adobe logo, Acrobat, PostScript, and Reader are either trademarks or registered trademarks of Adobe Systems Incorporated in the United States and/or other countries. Oracle is a registered trademark of Oracle Corporation. UNIX, X/Open, OSF/1, and Motif are registered trademarks of the Open Group. Citrix, ICA, Program Neighborhood, MetaFrame, WinFrame, VideoFrame, and MultiWin are trademarks or registered trademarks of Citrix Systems, Inc. HTML, XML, XHTML and W3C are trademarks or registered trademarks of W3C, World Wide Web Consortium, Massachusetts Institute of Technology. Java is a registered trademark of Sun Microsystems, Inc. JavaScript is a registered trademark of Sun Microsystems, Inc., used under license for technology invented and implemented by Netscape. SAP, R/3, SAP NetWeaver, Duet, PartnerEdge, ByDesign, SAP Business ByDesign, and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and other countries. Business Objects and the Business Objects logo, BusinessObjects, Crystal Reports, Crystal Decisions, Web Intelligence, Xcelsius, and other Business Objects products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of Business Objects S.A. in the United States and in other countries. Business Objects is an SAP company. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serves informational purposes only. National product specifications may vary. These materials are subject to change without notice. These materials are provided by SAP AG and its affiliated companies ("SAP Group") for informational purposes only, without representation or warranty of any kind, and SAP Group shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP Group products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warrant. SAP AG All rights reserved. / Page 16

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