IBM BPM for SAP. The Value Proposition for SAP Customers IBM Corporation

Transcription

1 The Value Proposition for SAP Customers

2 IBM BPM for SAP The New Normal: Change, Complexity, Uncertainty $488 billion $534 billion Lost in process inefficiencies in Fortune 500 companies In mobile transactions by % 50% Of enterprises use external cloud services Of businesses plan to adopt more collaborative sourcing models 70% Of businesses outsource one or more strategic activities billion Devices connected to the Internet by 2020

3 Process is a Priority to Clients Make business process more efficient Introduce new IT-led products or services for our customers Get better business intelligence to more employees, faster 36% Lower IT or business costs 36% Improve Web operations or customer experience 34% 40% 56% Process is Priority! Improve customer service 26% Engage customers in new ways 24% Data September 2010 Information Week 500 Survey Process Improvement is the #1 Priority for CIOs - 5 years in a row Gartner, Inc, Leading in Times of Transition: The 2010 CIO Agenda 3

4 Process is a Priority to Clients Typical Process Challenges Account Administration Invoice Reconciliation Teams 4 Customer Service 3 Finance and Ops 6 Executive Management 1. Unstructured Tasks and Communication (ex Paper or ) 2. Inefficient Working Environment Spans Systems 3. Inconsistent Prioritization 4. Incomplete or Inaccurate Data Flow Between Systems 5. Lack of Control Over System and Business Events (Exceptions) 6. Poor Visibility Into Process Performance 7. Inconsistent or inefficient execution of business rules 4

5 BPM Brings Order to the Chaos Customer Service Account Administration Finance and Ops Risk Management Teams Executive Management Process Managers 1. 1 Automate workflow & decision making 2. 2 Reduce errors and improve consistency 3. 3 Standardize resolution across geographies 4. 4 Leverage existing systems and data 5. 5 Monitor for business events and initiate actions 6. 6 Real-time visibility and process control Customer Benefits: Huge Reduction in Manual Work, Errors Decision Managers Faster, More Consistent Issue Resolution Easier to Manage the Business Consistent Case Handling 5

6 IBM BPM Overview The Picture is Your Process BPM provides innovative tooling to capture, understand, document, collaborate, and optimize ANY business process causing the most pain, or needing the most visibility BPM projects do not require disruptive multi-year investments IBM BPM allows you to create process models that execute the process while capturing process metrics and key business data for improved visibility and control PEOPLE Customer Service Risk Management Teams Finance and Ops Account Administration Executive Management The picture IS your SAP process RULES PROCESS SYSTEMS 6

7 IBM BPM Addresses the Full Range of Process Types A business process is a collection of interrelated tasks, which accomplish a business goal, usually decomposed into several sub-processes. Automated, Straight Through Processing (Payments, Trade Settlement) Coordinated, Scheduled (Integrated Supply-Chain, Case Management) Content Intensive (Paper processes, Account Origination, Claims) Structured People Systems Information Unstructured Processes Compliance (Automated Records & Process Management ) Non-Deterministic, Event-Driven (Fraud Detection, Merchandising) Collaborative, Artful, Ad-hoc (Contract Negotiation, Collateral Creation) 7 7

8 Optimize Your SAP Processes with IBM BPM Process discovery and visibility Reduce blueprinting time, cost and risk Improve process reliability, flexibility, visibility and control Improve process efficiency and reduce business complexity Blueprint for Blueprint for Guided Process Documentation Configuration Workflow Orchestration Process and Decision Automation Business Optimization Potential Apply the right mix of IBM BPM capabilities based on: Process characteristics The level of optimization desired Your current BPM maturity 8

9 IBM BPM Improves the Business Performance of End-to-End Processes End-to-End Process Choreography 1. Order is received from the web site 2. Customer records are updated with order request information 9. Customer order is invoiced 3. Credit check and approval are completed 4. Customer order is written and confirmed for production 6. Production order is completed and warehoused 5. Required components are determined, ordered, allocated and received 8. Customer order is picked from warehouse and scheduled for shipping 7. Customer order is approved for shipment IBM BPM helps improve the business performance of both simple and complex mission-critical processes. 9

10 Your SAP Processes Deserve the Market Leader: IBM The Forrester Wave: "Comprehensive Integration Solutions" Wave The Gartner Magic Quadrant: 2010 Business Process Management Suites" MQ IBM leadership in Forrester Wave IBM leadership in Gartner MQ 10 high performance excellent integration superior integrity s simple to use fast time-to-value deep business engagement

11 IBM BPM An innovative solution to a complex problem Embrace complexity, adapt quickly and exceed expectations Simplicity Simple, easy-to-use modeling using standard BPMN Immediate playback for rapid collaboration Process rule engine uses ILOG BAL language Power Industry standard BPEL orchestration Built-in ESB and integration adapters Transaction and Process Integrity support WebSphere Application Server scalability Visibility Integrated Business Activity Monitoring Real-time process scoreboards Heat maps show bottlenecks in process model Governance Single repository of all process assets Toolkits for sharing assets Simple snapshot versioning (1-click) Centralized deployment control center (1-click) 11

12 IBM Offers a Broad Portfolio of BPM Capabilities Supporting the spectrum of a client s needs based on their business objectives BPM Entry Points Process Discovery and Compliance Process Automation and Integration Information Business Monitoring Rules Collaboration Decision Management Advanced Case Management Modeling Optimization Automation Events Content Monitoring Analytics Portfolio Capabilities 12

13 Application of BPM in LOB Programs

14 Integrated Business Applications Deliver Strong Value and SAP is the best Improve alignment of strategies and operations Improve productivity and insight Reduce costs through increased flexibility Support changing industry requirements Reduce risk Improve financial management and corporate governance Optimize IT spending Gain higher ROI faster Retain top performers Provide immediate access to enterprise information Give employees new ways to access the enterprise information required for their daily activities. SAP customers excel by taking advantage of SAP s industry-specific knowledge, best practices and standardized processes all codified into the world s leading integrated application platform. 14

15 In This Presentation, You Will Learn How IBM BPM Enhances the Value of Your SAP Investment Benefit SAP Only SAP with IBM BPM Improve alignment of strategies and operations Improve productivity Improve insight Reduce costs through increased flexibility Support changing industry requirements Optimize IT spending Reduce risk Improve financial management and corporate governance Gain higher ROI faster Provide immediate access to enterprise information Give employees new ways to access enterprise information 15

16 ERP Implementation Challenges METRIC AVERAGE Took longer than expected 57% Total implementation cost exceeds budget 54% Failed to realize 50%+ of benefits 41% Failed to realize some benefits 22% Operational disruption at go-live 40% Executives unsatisfied 32% Employees unsatisfied 39% Source: Panorama Consulting 2010 ERP Report 16

17 But Most SAP Implementations Have Issues Today Late Deployments Over Budget Rigid Processes Poor Operational Visibility ROI Targets Not Met s 17

18 Root Causes of SAP Implementation Issues Most SAP implementation documentation is static and does not reflect the processes actually being used much customization is often required Most SAP processes rely on human compliance with process documentation making it difficult to migrate to future releases 18

19 A Simple SAP Process Today A high level process blueprint is defined in Powerpoint, Visio, SAP Solution Manager or a modeling tool, including transactions: VD03 - Display customer master VA01 - Create sales order; VOK0 - Maintain Pricing; CK51N - Create Order BOM Cost Estimate IW21 - Create notification The implementation then relies on users to read, properly understand and comply with documentation by entering the proper sequence of transaction codes in SAP. 19

20 With This Approach, How Can You?... A high level process blueprint is defined in Powerpoint, Visio, SAP Solution Manager or a modeling tool VD03 - Display customer master VA01 - Create sales order; VOK0 - Maintain Pricing; CK51N - Create Order BOM Cost Estimate IW21 - Create notification The implementation then relies on users to read, properly understand and comply with documentation by entering the proper sequence of transaction codes in SAP. Many SAP customers attempt to address these issues with customization. Quickly know the status of key processes? Ensure that the process you designed is the process that is being executed? Get real-time visibility into where workload or other bottlenecks are causing business issues? Effectively reroute work to less experienced workers to reduce bottlenecks? Know which process changes are most likely to help improve business performance? Quickly rollout SAP process changes? Quickly integrate new process workers into your business? 20

21 SAP Provides Services That Should Help public String search(){ try { // Retrieve an instance of the configuration port EmployeeBasicDataByEmployeeQueryResponseIn port = service.getemployeebasicdatabyemployeequeryresponse_insoapbinding(); // specify username and password issued for you via SDN // to authenticate to the backend as follows javax.xml.ws.bindingprovider bp = (javax.xml.ws.bindingprovider) port; Map<String, Object> context = bp.getrequestcontext(); context.put("javax.xml.ws.security.auth.username", "username"); context.put("javax.xml.ws.security.auth.password", "password"); // Construct the input to be applied to the service call EmployeeID employeeid = new EmployeeID(); employeeid.setvalue(this.employeeid); EmployeeBasicDataSelectionByEmployee employeebyemployee = new EmployeeBasicDataSelectionByEmployee(); employeebyemployee.setemployeeid(employeeid); EmployeeBasicDataByEmployeeQueryMessage input = new EmployeeBasicDataByEmployeeQueryMessage(); input.setemployeebasicdataselectionbyemployee(employeebyemployee); // Invoke the business methods EmployeeBasicDataByEmployeeResponseMessage output = port.employeebasicdatabyemployeequeryresponsein(input); Employee employee = output.getemployee(); //Get the response this.employeename = employee.getcommon().getname().getgivenname(); this.employeelastname = employee.getcommon().getname().getfamilyname(); this.employeebirthday = employee.getcommon().getbirthdate(); this.employeemaritalstatus = employee.getcommon().getmaritalstatusname().getvalue(); return "ok"; } catch (Exception e) { //Clean the object and return an error this.employeeid = ""; this.employeename = ""; this.employeelastname = ""; this.employeebirthday = null; this.employeemaritalstatus = ""; return "error"; } s but no easy way to implement 21

22 So Most SAP Implementations Are Traditional Opaque SAP processes make process analysis and improvement difficult Rigid SAP processes increase time to value End-to-end processes are difficult to model, simulate and manage SAP Enterprise Services are difficult to use and incomplete Limited SAP process and real-time visibility causes risk to KPIs and SLAs Low utilization of inline operational decision management limits productivity A solution to one or more of these challenges is required in almost every SAP implementation 22

23 IBM Offers a Comprehensive Solution to SAP Process Challenges Challenge Opaque SAP processes make process analysis and improvement difficult Rigid SAP processes increase time to value End-to-end processes are difficult to model, simulate and manage SAP Enterprise Services are difficult to use and incomplete Limited SAP process and real-time visibility causes risk to KPIs and SLAs Low utilization of inline operational decision management limits productivity IBM Solution Iterative, playback-based modeling facilitates transparent process definition Directly execute SAP process models for flexible processes and rapid process change cycles Easily orchestrate heterogeneous processes for simple end-to-end control Easily consume and deploy SAP Enterprise Services at the business level Actively monitor and manage SAP and heterogeneous processes in real time Improve process throughput, consistency and responsiveness with active inline decision management 23

24 Business Needs Two Methods to Optimize Business Process 1. Packaged Applications Improve 100 s of processes at once Sunset inflexible legacy systems Catch up to competitors Huge multi-year projects 2. BPM Tools & SOA Adapt quickly Outpace the competition Process visibility across core & fringe application systems Smaller, incremental projects Natural Tendency Natural Tendency BPM Process Optimization Approach A Process Optimization Approach B Non-Differentiating Business Processes Differentiating Business Processes Successful organizations will have a balanced I/T Strategy of SOA/BPM and ERP Consolidation 24

25 With IBM BPM The picture IS your SAP process Analyze. Define. Execute. Monitor. Improve. All in one tool analysis through execution through improvement s 25

26 IBM BPM Integrates Seamlessly with SAP Orchestrate SAP Services SM Service Mgmt. Monitor SAP Business Events PP Production Planning QM Quality Mgmt. MM Materials Mgmt. PM Plant Maintenance SD Sales & Distribution HR Human Resources FI Financial Accounting IS Industry Solutions CO Controlling SAP Applications WF Workflo w AA Asset Accounting PS Project System EC Enterprise Controlling Download processes from Solution Manager Upload processes to Solution Manager Retrieve Enterprise Service Definitions s 26

27 Why IBM BPM for SAP? SAP usually contains the non-differentiating processes Simply catches you up with other competition running SAP Need additional IBM BPM tooling to innovate in a flexible way Number 1 reason SAP implementations do not achieve ROI is because the SAP application was over customized Need additional technology, strategy, and governance to help avoid SAP over-customization IBM BPM manages when processes need to pop-out of SAP, and then return IBM BPM monitors the entire end-to-end process Understanding packaged SAP processes and gaps is difficult with just SAP tooling Need process graphical tooling and collaboration tools IBM BPM can greatly assist SAP implementations during the blueprint phase Monitoring critical processes in SAP requires deep developer skills and customization to SAP IBM BPM can monitor what you draw in process designer with minimal SAP configuration Most large organizations will never be able to run their entire business on SAP I/T needs an agnostic BPM platform to automate, optimize and monitor processes across SAP and fringe systems 27

28 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Increasing Integration Process Blueprinting Guided Workflow Process Integration and Orchestration Decision Automation Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Interactively guide end users through SAP screens to improve productivity, visibility and consistency Optimize process steps to improve cycle time, manageability and visibility of key processes Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 28

29 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 29

30 SAP Process Documentation Is Usually Outdated by Months or Years SAP process blueprints created SAP design completed SAP configuration changes completed SAP customization completed Additional SAP configuration changes Additional SAP customization Ad hoc changes to processes by end users Probably Outdated Probably Outdated Documentation Possibly Outdated Documentation Possibly Outdated Blueprint Not Updated Without insight into the real SAP processes being used in production, it is very difficult to initiate and build an effective process innovation program or to migrate to a newer SAP release. 30

31 Event-Based Business Monitoring Can Be Used to Uncover the Real SAP Processes VD03 - Display customer master VA01 - Create sales order; VOK0 - Maintain Pricing; CK51N - Create Order BOM Cost Estimate IW21 - Create notification + Ad hoc or added process steps A list of detailed business events, describing what was actually done by the user Customer displayed (VD03) Customer changed (VD04) Sales order created (VA01) Sales order modified (VA02) Pricing Maintained (V0K0) Sales order modified (VA02) Notification previewed (IW22) Order BPM cost estimated created (CK51N) Sales order modified (VA02) Customer displayed (VD03) Which could be analyzed offline by a data analyst or process specialist to discovery real process structures SAP can create and publish the business events needed to discover the actual business processes in production 31

32 But SAP s Business Monitoring Approach is Overly Complex And lots of custom coding is required to implement 32

33 IBM Business Monitor Provides Easy to Use SAP Process Discovery View SAP transactions as processes without process orchestration! All without disrupting your SAP environment! (and no custom coding) Easily create shadow process views of SAP Business Events by associating milestones with changes in business state Completely non-intrusive to SAP simply turn on the SAP Business Events needed Automatically create a process view of any SAP Business Event(s) to: Understand the actual SAP processes being used in production Prepare for process innovation Detect business challenges as they happen Fix issues before they become problems 33

34 IBM BPM for SAP IBM Business Monitor - Powerful BAM and Real-Time Reporting for SAP Identify trends, forecast events, make smart choices Understand up-tominute business performance by monitoring KPIs Detect, respond rapidly to change Customize dashboards easily Continuously improve key business processes Rebalance human workload on the fly Leverage mobile devices 34

35 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 35

36 Traditional SAP Implementation Approach Goal Setting and Scope Management Most SAP implementations follow a typical waterfall approach Goal setting Analysis Design Test Deployment SAP maintains their process flows in Solution Manager, (documentation only) SAP Process Library Process Analysis SAP Process Blueprinting (Powerpoint, Visio, Excel, Aris) SAP Solution Manager Configure Customize Most SAP customers use general purpose documentation tools such as Office or Visio Some leverage Aris or another documentationcentric modeling tool These tools encourage: Documentation-centric SAP implementations A waterfall approach filled with risk and multiple delay points Lengthy analysis paralysis 36 IBM Confidential

37 SAP Solution Manager Stores SAP Process Definitions Approximately 40% of SAP customers use Solution Manager to store process definitions Process definitions only cannot be executed But the picture is not your SAP process!

38 Modeling Solutions Like ARIS Only Help Deliver Documentation Faster s Better than Powerpoint, Visio or Excel Can be integrated with the SAP Solution Manager process repository Models are optimized for analysis, not execution Virtually impossible to take an analysis model and use it directly for execution 38

39 IBM BPM Can Easily Exchange Models with SAP Solution Manager Lev 0 Lev 1 Lev 2 Lev 3 SAP Solution Manager Business Process Hierarchy Project Business Scenario Business Process Process Step Implementation Content eg. Transactions, Docs IBM Process Designer Process Application Process Activity, (Sub-)process, Service SAP Implementation Content s IBM BPM maps its process elements directly to SAP Solution Manager constructs and performs bidirectional exchanges IBM Corporation

40 IBM BPM for SAP But With IBM BPM The picture IS your SAP process Analyze. Define. Execute. Monitor. Improve. All in one tool analysis through execution through improvement s 40

41 So SAP Processes Can Be Played Back At Any Time Regardless of their definition maturity Playback Start by importing SAP or IBM best practice libraries Playback any process from the design environment regardless of the level of detail and completion Include real screens, mockups or images Clarify roles, process steps, flow, KPIs and reporting Even process skeletons can be executed Process execution is logged All process performance parameters are visible KPIs are calculated and displayed in real time 41

42 Design SAP Processes Experientially Playbacks allow each stakeholder to participate DIRECTLY in the blueprinting process The ability to see, feel and touch the process as it s executing: Delivers a richer, superior design experience Allows a broader range of participants Allows stakeholders to participate as their schedule permits Encourages an iterative approach Decreases the time required to blueprint a process 42

43 Playback-Based Iterative SAP Process Blueprinting SAP Solution Manager Model Processes Invoke Screens Playback Process Design, build and refine processes for execution in a single integrated tool set. Optionally store process definitions in SAP Solution Manager Repository. Iteratively invoke or design screens as part of the process definition exercise Playback modeled processes at any time to directly see, feel and touch the real process Monitor Results Empirically understand how the process can meet KPIs and SLAs Simulate and Refine Simulate changes without changing the current model Deploy! Promote the new or changed process into production Use live process execution to design and test SAP business processes, then implement your SAP process inside the same tool! 43

44 IBM Blueworks Live Document and Run Processes in the Cloud Increase agility by documenting and refining processes in a tool that keeps everyone informed of important changes Make your organization more efficient by automating simple processes that run today over - in as little as 90 seconds! Improve the way you work by seamlessly collaborating across roles, teams and locations. Sign up now for a free 30 day trial. Escape your inbox by automating the 75% of processes organizations currently execute as exchanges Import SAP Solution Manager processes into Blueworks Live using a file-based BPMN export from Solution Manager Ensure your documentation keeps up with change while maintaining oversight and governance over process improvement 44

45 IBM Uses IBM BPM Technology For Its SAP Implementation Blue Harmony is IBM s next significant step in transformation towards operating effectively as a Globally Integrated Enterprise Global Integration Blue Harmony incorporates IBM BPM technology Opportunity to Order Order to Cash Finance.. focuses on enterprise process integration Integration and standardization across business units and across geographies A shift in culture from optimizing units to optimizing the enterprise Substantial improvement in ease of doing business for clients and Business Partners Radical transformation of process and IT environment simplifies enterprise controls... implements a solution architecture that leverages the best of IBM and SAP products a showcase for IBM BPM capabilities. 45

46 IBM BPM Drives Faster and Better Blueprinting for Your SAP Implementation Live playback during all phases of process design and rollout Reduce blueprinting time and costs Deliver agile SAP business processes that are easy to change Create market-differentiating SAP processes Position your SAP implementation for process orchestration and continuous process improvement Business users can directly drive the SAP blueprinting process. 46

47 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 47

48 Workflow in the Traditional SAP Implementation VD03 - Display customer master VA01 - Create sales order; VOK0 - Maintain Pricing; CK51N - Create Order BOM Cost Estimate IW21 - Create notification Process designers create SAP documentation (paper, Word, HTML, etc.) Users are trained in how to use the SAP process documents Some users comply with the process as designed, others create their own Training time for new users is often lengthy Difficult to move users from task to task, even in the same department Little to no visibility of backlogs, bottlenecks, poor throughput and other process issues 48

49 IBM BPM Can Deliver Guided Workflow for SAP Yes VOK0 - Maintain Pricing Select customer VD03 - Display customer master VA01 - Create sales order New pricing Required? SAP Process Flow in IBM BPM V8 No CK51N - Create Order BOM Cost Estimate IW21 - Create notification Transactions (Native SAP Screens) Automatically Invoked in SAP 49 Invoke the correct SAP transaction sequence for each process instance, while gaining real time insight into business performance issues and opportunities

50 IBM BPM Guided Workflow Improves SAP Value Documented processes become orchestrated processes Improve SAP process: Visibility Manageability Reliability Consistency Auditability Performance Detect bottlenecks Reroute process instances with capacity overload Escalate problem processes Initiate and track exception processes Begin continuous process improvement 50

51 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 51

52 SAP Solution Manager Stores SAP Process Definitions But has no process execution capabilities Approximately 40% of SAP customers use Solution Manager to store process definitions Process definitions only cannot be executed 52

53 SAP Approach to Process Optimization Requires High Customization Top reasons for SAP customization: Streamline or customize the SAP user interface Streamline or customize the SAP process flow Add complementary functionality Integrate with non-sap systems SAP provides tooling to accomplish each, but not in the same tool IBM BPM V8 provides all four capabilities in a single tool, driven by the process definition Reducing SAP customization reduces cost and deployment time, while minimizing risks to future SAP updates 53

54 SAP Provides Services That Help Reduce Customization public String search(){ try { // Retrieve an instance of the configuration port EmployeeBasicDataByEmployeeQueryResponseIn port = service.getemployeebasicdatabyemployeequeryresponse_insoapbinding(); // specify username and password issued for you via SDN // to authenticate to the backend as follows javax.xml.ws.bindingprovider bp = (javax.xml.ws.bindingprovider) port; Map<String, Object> context = bp.getrequestcontext(); context.put("javax.xml.ws.security.auth.username", "username"); context.put("javax.xml.ws.security.auth.password", "password"); // Construct the input to be applied to the service call EmployeeID employeeid = new EmployeeID(); employeeid.setvalue(this.employeeid); EmployeeBasicDataSelectionByEmployee employeebyemployee = new EmployeeBasicDataSelectionByEmployee(); employeebyemployee.setemployeeid(employeeid); EmployeeBasicDataByEmployeeQueryMessage input = new EmployeeBasicDataByEmployeeQueryMessage(); input.setemployeebasicdataselectionbyemployee(employeebyemployee); // Invoke the business methods EmployeeBasicDataByEmployeeResponseMessage output = port.employeebasicdatabyemployeequeryresponsein(input); Employee employee = output.getemployee(); //Get the response this.employeename = employee.getcommon().getname().getgivenname(); this.employeelastname = employee.getcommon().getname().getfamilyname(); this.employeebirthday = employee.getcommon().getbirthdate(); this.employeemaritalstatus = employee.getcommon().getmaritalstatusname().getvalue(); return "ok"; } catch (Exception e) { //Clean the object and return an error this.employeeid = ""; this.employeename = ""; this.employeelastname = ""; this.employeebirthday = null; this.employeemaritalstatus = ""; return "error"; } s but no easy way to implement 54

55 Use IBM BPM to Orchestrate SAP Adapter Guided Workflow Management for SAP BAPIs Process Orchestration and/or Automation with BAPIs Process Orchestration and/or Automation with SAP Enterprise Services Express, Standard or Advanced (BPMN) Advanced Only (BPEL) Advanced Only (BPEL) 55

56 Easily Encapsulate and Bind SAP Enterprise Services Create Sales Order (synchronous inbound service operation (A2X)) <wsdl:definitions name="salesordercreaterequestconfirmation_in" targetnamespace=" Sales Order</wsdl:documentation><wsp:UsingPolicy wsdl:required="true"/><wsp:policy wsu:id="op_salesordercreaterequestconfirmation_in"/><wsdl:types><xsd:schema targetnamespace=" namespace=" name="salesordercreaterequest_sync" type="p1:salesordercreaterequestmessage_sync"/><xsd:element name="salesordercreateconfirmation_sync" type="p1:salesordercreateconfirmationmessage_sync"/><xsd:element name="standardmessagefault"><xsd:complextype><xsd:sequence><xsd:element name="standard" type="p1:exchangefaultdata"/></xsd:sequence></xsd:complextype></xsd:element ></xsd:schema><xsd:schema targetnamespace=" name="divisioncode.content"><xsd:restriction base="xsd:token"><xsd:minlength value="1"/><xsd:maxlength value="2"/></xsd:restriction></xsd:simpletype> IBM BPM simplifies usage of SAP Enterprise Services so that they can easily be used by process designers with knowing the complex technical details of the SAP service itself. Create Sales Order IBM BPM SAP Integration Module Encapsulated with SCA Bound per technical environment standards Ready for drag and drop into the Process Designer 56

57 Drag and Drop SAP Enterprise Services Into the Process Model Create Sales Order IBM BPM SAP Integration Module Create Sales Order IBM BPM SAP Integration Module Allows process designers with no technical knowledge of SAP Enterprise Services to use them in process diagrams Simplifies all process interactions with the SAP environment Streamlines process design Eliminates complex coding for SAP interfaces 57

58 Simplify Complex SAP Transaction Flows with Simpler User Interactions and Process Flexibility Replace...With Select customer SAP Process Flow in IBM BPM V8 VD03 - Display customer master VA01 - Create sales order New pricing Required? No Yes CK51N - Create Order BOM Cost Estimate VOK0 - Maintain Pricing IW21 - Create notification Select Customer IBM BPM SAP Integration Module Retrieve Customer Master Data IBM BPM SAP Integration Module Single Optimized Order Entry Screen Replace complex flows of multiple SAP transactions with highly efficient single screens Simplify work content Reduce process cycle times and errors Improve business performance Create Sales Order IBM BPM SAP Integration Module Create Notification IBM BPM SAP Integration Module Create Order BOM Cost Estimate IBM BPM SAP Integration Module 58

59 All Without Costly and Risky SAP Customization! 59

60 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 60

61 Operational Decision Management is Required to Respond to Business on Its Terms 3 Life Cycles of Business Change Management Application Changes (Months, Years) IT Release Release Release Release Business Process Owners Subject Mater Experts BPM Changes (Weeks, Months) Change in production Operational Decisions Release Release Release Release Release Release Release Release Release Release : Application up to date Business Decisions Updates (Days, Weeks) Modify operational decision parameters in hours or days, not weeks or months Build flexibility and variability directly into business process designs Empower the business to respond to changing business conditions as they occur 61

62 Externalize decisions from business process for better management IBM BPM Insurance Application Process WODM Product Eligibility Service Insurance Pricing Service The best combination to support When / What / How kind of decisions from immediate to very long term ones 62

63 IBM BPM for SAP IBM BPM Provides Integrated Business Rule Authoring For Better Decision Management Express business rules in an accessible manner using syntax that is easily understood and can be exported to IBM Operational Decision Management to be managed as reusable corporate assets IBM Operational Decision Management v8.0 Manage Social Decision Center for Business Space Rule Solutions for Office Business Console Enterprise Console Access and Control Decision Artifacts Decision Center Versioned Assets Define Update Visibility Collaboration Governance Deploy Rule Execution Decision Server Measure Decision Monitoring Event Execution Connectors ENHANCEMENTS Web Services API - GUI Decision Server Console Rule Designer Event Designer Design POS 63 Enterprise Application Monitor BPM CRM Devices

64 IBM BPM for SAP IBM Business Process Plus Operational Decision Management 1. Recognizes pattern which requires action 3. Action to initiate required process OnLineBanking Event AccountMgt $ Event Business Events Correlate Business Events and detect Business Situations IBM BPM Business Processes and Human Task Applications TransactionMgt Event Business Rules Branch App 2. Decides business outcome (i.e. price) 35 Common decision rule language for BPM and ODM Migrate business rules from BPM to ODM without modification Separation of concerns of business process and decision governance Manage and reuse decisions as corporate assets Trigger, suspend and resume processes on complex event patterns and business rules Leverage BPM event gateways 64

65 Rule Execution Server and Event Execution Runtime Leverage existing SAP Rules Framework SAP Business Rules Framework Plus (BRF+) ABAP-based business rules framwork Available with NetWeaver release 7.0 EHP1 and 7.1 EHP1 An officially SAP supported approach for connecting to third-party rules engines Provides out of the box Import & Export features Leverage proven integration style Configuration of a dedicated RFC destination Usage of scalable RFC communication Apply native ABAP patterns to enable core SAP business application to leverage business rules ABAP code is calling BRF+ function Rules enablement can be done using reusable pattern to make integration maintainable 65

66 IBM BPM for SAP Capabilities Process Discovery and Monitoring Mine SAP business events to discover actual processes and act in real time to business challenges Process Blueprinting Use an iterative, experiential-based approach to accelerate traditional SAP blueprinting Guided Workflow Interactively guide end users through SAP screens to improve productivity, visibility and consistency Process Integration and Orchestration Optimize process steps to improve cycle time, manageability and visibility of key processes Decision Automation Automate complex decision making to reduce bottlenecks and improve business outcomes Process Automation Dramatically reduce the cycle time of high volume processes by reducing/removing human interaction 66

67 Completely Automate User Interactions Supplement..With Select Customer IBM BPM SAP Integration Module Create Sales Order IBM BPM SAP Integration Module Retrieve Customer Master Data IBM BPM SAP Integration Module Single Optimized Order Entry Screen Create Order BOM Cost Estimate IBM BPM SAP Integration Module Order Creation Service Retrieve Customer Master Data IBM BPM SAP Integration Module B2B Mobile Apps Cloud Sites Web Site orders Web Services Create Notification IBM BPM SAP Integration Module Create Sales Order IBM BPM SAP Integration Module Create Order BOM Cost Estimate IBM BPM SAP Integration Module Use the same or similar set of SAP Enterprise Service calls used for user interfaces to accomplish process automation Create Notification IBM BPM SAP Integration Module 67

68 Orchestrate and Automate Complex E2E Processes End-to-End Process Choreography 1. Order is received from the web site 2. Customer records are updated with order request information 9. Customer order is invoiced 3. Credit check and approval are completed 4. Customer order is written and confirmed for production 6. Production order is completed and warehoused 5. Required components are determined, ordered, allocated and received 8. Customer order is picked from warehouse and scheduled for shipping 7. Customer order is approved for shipment IBM BPM Order to Ship End-To-End Process Retrieve Customer Master Data IBM BPM SAP Integration Module Create Sales Order IBM BPM SAP Integration Module Create Order BOM Cost Estimate IBM BPM SAP Integration Module Create Notification IBM BPM SAP Integration Module 68

69 The IBM BPM difference for your SAP implementation 69

70 IBM BPM for SAP IBM Implementation and Innovation Strategy for SAP Design for flexibility, agility, innovation and ROI Application-Centric Approach IBM BPM Approach Total Cost SAP Customizations Every business strives to be unique, resulting in heavy process customization for all but a very few, commodity processes Total Cost SAP Customizations SAP SAP Business Fit Flexibility Business Fit Flexibility Position your SAP implementation for innovation, differentiation and future SAP releases 70

71 Value Summary of IBM BPM for SAP Business performance Agility Flexibility Visibility Variability Manageability Auditability Consistency Improve the quality, visibility and agility of your SAP processes in order to deliver an exceptional customer experience, reduce costs and optimize business performance. Quickly: Know the flow and status of key processes Rollout SAP process changes Integrate new process workers into your business Ensure that the process you designed is the process that is being executed Detect and resolve bottlenecks Effectively reroute work to less experienced workers to reduce bottlenecks Automatically escalate problem process instances Modify queued and running processes on the fly to respond to changing business conditions Apply the correct amount of process integration and automation Know which process changes are most likely to help improve business performance 71

72 Use IBM BPM Throughout Your SAP Life Cycle A New SAP Implementation SAP Process Innovation End-to-End Process Integration Functional Extensions SAP Version Migration s Most SAP Implementations Benefit from IBM BPM at every life cycle stage 72

73 Large US Toy Company Improves SAP Supply Chain Processes to Reduce Costs Challenge: Increase responsiveness with customers and collaboration with suppliers while utilizing previous investments in core enterprise applications Benefits: Increased productivity by 250 percent without additional resources being put into play Reduced cycle times by 80 percent, from 12 days to only two Improved overall business efficiency BPM Solution Gathers the bill-of-lading information from freight forwarders and corresponding invoice data from SAP at the right time Automatically prepares and routes all documentation required Automates the reconciliation process required for all US Customs requirements, updating SAP at each milestone IBM BPM reduced dependency on phone calls, s and paper faxes, while standardizing communication between employees and vendors with increased process visibility 73

74 Examples of IBM s Own BPM Projects and Benefits in 2011 Mid-Market Deal Registration Delivered $18.5M 2012 PTI by reducing deal registration cycle time with rules-based work-flow automation. Supply Chain Alerts Over $2M annual savings for timely notifications when supply chain disruptions occur. Business Agility Achieved Pricing estimator for Cross-brand solutions Reduced pricing proposal implementation from 14 days to 1 day and deployment to new countries in days versus weeks. GTS Cloud Sales Enablement Integrated work-flow, rules and monitoring to reduce partner register to welcome kit cycle-time from days to hours. GMU Geo Location Code Assignment - Geo location code is key enabler of GMU expansion. Eliminated manual process and enabled GMU reps to update rules directly and reduced cycle time to update and run rules from several weeks with many handoffs to just a week for more than 50 countries. MTS Increased IBM Client satisfaction through proactive notification of exposures in clients IT inventory by applying rules derived via analytics. Proof of value delivered. Infrastructure Optimization Reduced cycle time by 75% to complete the analysis required to migrate from Physical servers to Virtual servers. 74

75 IBM Pricing Estimator for Cross-brand solutions Problem Takes up to 14 days to create proposals for IBM cross-brand solutions. Prices are hard coded, workflow is manual and there is dependence on IT teams for business rule changes. Solution Scalable web based solution using IBM BPM products (ILOG JRules and WLE 7.2) to significantly reduce cycle time for end-to-end price quotation and approval process for IBM cross brand solutions. Deployed smart analytics pricing estimator to 10 countries and cloud estimator to 32 countries. Note: The solution Release cycle was only 12 weeks. Business Agility Improvements Before End-to-end process cycle time to create an approved price quote took 4 to 14 days Deployment to new countries took 4 weeks Dependence on IT resources to make changes to business rules with 2 weeks turn around time Manual price updates with rigid business rules and process implementation Just-in-time sales promotions were not possible Built on Microsoft technology with no auditability Current State Reduced process cycle time to create an approved price quote in 1 day Deployment to new countries in 1 week Reduced dependency on IT resources. Business teams can change business rules in hours. Automatic price updates with rapid business rules and process changes with real time KPI monitoring. Just-in-time sales promotions are possible Built with IBM BPM and ODM technologies with auditability 75

76 Small Sample of IBM BPM SAP Customers 76

77 BPM Enhances the Value of Your SAP Investment Benefit SAP Only SAP with IBM BPM Improve alignment of strategies and operations Improve productivity Improve insight Reduce costs through increased flexibility Support changing industry requirements Optimize IT spending Reduce risk Improve financial management and corporate governance Gain higher ROI faster Provide immediate access to enterprise information Give employees new ways to access enterprise information 77

78 IBM BPM for SAP One Continuous Process, One Integrated Tool Set The picture IS the process Analyze. Define. Execute. Monitor. Improve. Broadest and Most Differentiated Software Capabilities Simplicity for fast deployment and full business user participation Centralized governance for repeatability and consistency Visibility and Control to continuously improve business operations Power through High Scalability, Integrity & Quality of Service Market Leading process, case, decision and rules capabilities Best in class exceptions handling and case management Unparalleled expertise & investment Over 15 years of industry leadership 100 s of assets Broadest, Deepest solution portfolio & services Largest Client Base 5,000 + BPM Clients Gartner ranks IBM #1 in BPM with 24.7% share IDC ranks IBM #1 with 34.2% market share Strongest Ecosystem Business Partners Global Users group 78

79 39 years of IBM SAP partnership 2011 HANA (in-memory), TSAM (Cloud Computing), DB2 purescale, SAP Gateway integration with Lotus, Best of class concepts on zenterprise and Power Systems 2010 SAP Business Suite for IBM Blue Harmony project; SAP Cloud Computing 2009 SAP IBM Alloy product; Retail Trilogy project 2008 Tivoli + SAP Solution Manager integration; Banking reference architecture 2007 Enablement of virtualization capabilities; Rational Suite for SAP 2006 SAP BW Accelerator on IBM BladeCenter 2005 Dynamic Infrastructure for SAP Adaptive Computing Product 2003 Foundation of the Collaboration Technology Support Center 2002 IBM and SAP establish joint SCM Center of Excellence 2001 IBM and SAP form a Strategic Alliance 1999 DB2 becomes the strategic database for SAP 1993 Foundation of the IBM SAP International Competence Center 1972 IBM becomes Logo and Development Partner of SAP 79

80 IBM and SAP Partnership - Qualified, Awarded, Proven Certified Global SAP Partner Global Service Partner Global Technology Partner Global Cloud Service Partner With a record total of 20 awards, IBM has been recognized with an SAP Pinnacle Award every year since it's inception SAP Award of Excellence for IBM awards for IBM awards for IBM awards for IBM awards for IBM awards for IBM awards for IBM IBM itself is one of the largest productive SAP users 40,000+ SAP production users, mixed release levels, all on IBM hardware Improved bookings efficiency by 40% Increased labor productivity by 15% Reduced server build cycle times by 30% 80

81 IBM SAP International Competency Center (ISICC) Provide technical pre-sales solution support for SAP applications and technology with IBM hardware and software platforms. On-Site Resources IBM hardware and software brand experts Technology managers Solutions sales Project managers Technology IBM and SAP projects Benchmarking/Sizing tests Redbooks and whitepapers Tools Executive briefings SAP Sizing Expertise Creation and ownership of worldwide sizing tools and processes Support the IBM Techline resources Technical Sales Support IBM Technical Sales Business Partners Third level support when necessary Founded by IBM and SAP in 1993, located at the SAP headquarters in Walldorf, Germany 81

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