Customer / Partner
SAP S/4HANA – The Next Generation Business Suite Industry Value Prop (1-pager) January 2016
Overview Industry Value Proposition (1-pager)
Industry
Industry
Aerospace & Defense
Media
Automotive
Mill Products
Banking
Mining
Chemicals
Oil & Gas*
Consumer Products
Professional Services
Defense & Security*
Public Sector (incl. Postal)
Engineering Construction & Operations
Retail*
Healthcare*
Telecommunications
High Tech
Travel & Transportation
Higher Education & Research*
Utilities
Industrial Machinery & Components
Wholesale & Distribution
Insurance Life Sciences Š 2016 SAP SE or an SAP affiliate company. All rights reserved.
* not included in SAP S/4HANA 1511 Public
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SAP S/4HANA on-premise edition - 1511 Update Business scope highlights of S/4HANA Enterprise Management SAP S/4HANA FINANCE
SAP S/4HANA MARKETING
Time Capturing Employee Central Connectivity
SAP S/4HANA SOURCING AND PROCUREMENT Procurement Analytics Classification and Segmentation Supplier Evaluation Sourcing Incentive and Commission Management Contract Management Self-Service Requisitioning Invoice Management Receivables Management and Payment Handling
Claims, Returns and Refund Management Project Logistics Control Service Execution and Delivery Service Initiation Service Control Warranty Management Contract and Engagement Management Periodic Billing Processing Service Contract and Controlling and Accounting
Order and Contract Management Sales Planning and Monitoring Analytics Incentive and Commission Management Sales Master Data Sales Contract Management Sales Order Management and Processing Billing and Invoice Management Receivables Management and Payment Handling
SAP S/4HANA SALES
SAP S/4HANA SERVICE
SAP S/4HANA SUPPLY CHAIN
Material Resource Planning Production Planning Production Scheduling Basic Order Promising Core Distribution Requirements Planning Goods Issue Goods Receipts Basic Warehouse Management Basic Shipping
SAP S/4HANA MANUFACTURING
Basic Subcontracting Basic External Processing Production Processing Corporate Quality Quality Planning and Control Quality Operations Credit Collections Management
The Digital Core
The Digital Core
Profitability and Cost Management Cost Planning Product Cost Management Cash and Liquidity Management Financial Risk Management Receivables Process Analytics Accounts Payable/Receivable Corporate Close Entity Close Asset Accounting Inventory Accounting Corporate Financial Management
SAP S/4HANA HUMAN RESOURCES
Maintenance Planning and Scheduling Maintenance Execution
SAP S/4HANA ASSET MANAGEMENT
Project Financial Control Project Logistics Control Product Design for Process Industries
SAP S/4HANA RESEARCH AND DEVELOPMENT
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Aerospace & Defense
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SAP S/4HANA on-premise Value Proposition
Business Capture and Program Delivery
A&D: Major business benefits Applicable E2E process with S/4HANA (generic) Designing & Building Complex Products
Production engineering and planning Production operations and execution Inventory and basic warehouse management Maintenance Management Quality management
Designing and Building Complex Products
Procurement
Limited Impact
Medium Impact
High Impact
Responsiv Supply Network
Finance
Industry specific Benefits Reduced delays by permanent evaluation of the material flow, detecting missing parts and their impact on orders instantly Significantly accelerate MRP for complex product and variant combinations to reduce inventory and latency in short-term production plans and simplify reporting on complete product structure net Flexible analysis of production status at most granular level (e.g. hrs vs. days) Real-time inventory through faster backflush allow faster order confirmations, releases and promising, optimizing internal and external logistics
Aftermarket Service
Human Resources
Exemplary Metrics*
8% reduction in manufacturing cycle time
Real-time inventory and faster backflushing, to reduce stock buffers
Responsiv Supply Network
Supplier information and master data Operational sourcing and contract management Operational procurement Inventory and basic warehouse management
Improved insight to better negotiate and drive lead-time improvements with suppliers, reduce overall supply chain cycle time and need for buffer inventory Significantly accelerate MRP for complex products to reduce stock & increase on-time delivery More precise scheduling, capacity allocation and inventory control streamlines supply to production flow and reduces WIP
17% lower inventory carrying costs
Streamlined process for requisitioning/PO creation spanning multiple catalog’s without requiring master data replication. Ability to search across all catalogs collectively
Procurement
Operational Procurement Sourcing & Contract Management Invoice & Payables Management
Analyze all key metrics for suppliers like avg. delivery times, contract performance in real time on actual data vs archived, old info. Create a single supplier score based on all procurement activities
improved supplier risk management
Execute corrective action like supplier revaluations and/or term updates as part of analysis. Pre configured metrics enable quicker evaluation and benchmarking Faster order and invoicing cycle times with fewer errors and ability to drive early payment discounts.
Finance
Accounting and entity close Treasury and financial risk management Receivables management Integrated business planning Cost management and profitability analysis
Minimize number of risk policy exceptions by providing real time visibility of risk limit compliance and implementing forward looking processes by utilizing accurate risk reporting Reduce days sales outstanding by providing insight into outstanding customer positions during every customer interaction
58% lower treasury/cash management cost
Simplification of complex billing and partner settlement processes
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms A&D business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Business capture & program delivery
Supplier collaboration Business networks
Digital Core Designing & building complex products
Responsive supply network
Optimize schedule and cost performance of complex programs:
Enable fully digitized shop-floor to drive quality and throughput:
Develop deep integration with critical suppliers and more risk-awareness
• Monitor status at line item level instantly for large-scale programs
• Digitize shopfloor data collection with connected manufacturing
• Gain immediate insight into present and future risks
• Discover current and future project risks and deviations earlier
• Predict machine failures to optimize production asset utilization
• Enhanced insight into supplier responses to anticipate shortages
• Run results and progress analysis in real time
• Analyze and implement engineering changes more effectively
• Enable sub-daily, constraint-based material requirements planning
Finance
Aftermarket services Deliver performance-based contracts and new services with optimal ROI Manage all facets of outcome-based contracts in one system in real-time Develop advanced health monitoring and predictive maintenance capabilities via real-time asset insight
Procurement Eliminate supply disruption risk while protecting margins: • Collaborate instantly with global suppliers via the Ariba Network • Monitor real-time commodity price-and-supply volatility • Automate procurement proposal creation based on real-time inventory
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Customer experience Omni-channel
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Automotive
Back
SAP S/4HANA on-premise Value Proposition
Sustainable Product Innovation
Automotive: Major business benefits
Procurement
Applicable E2E process with S/4HANA (generic) Sustainable Product Innovation
Product Lifecycle Management Enterprise Project & Portfolio Management
Manufacturing and Logistics
Limited Impact
Medium Impact
High Impact
Responsive Supply Networks Finance
Industry specific Benefits Link real-time market and customer insights to design processes Perform multi-level design analysis to drive better design decisions Execute engineering changes with full visibility to downstream costs Enable multi-disciplinary design process with mapping to engineering designs to customer needs
Marketing, Sales & Aftermarket
Digital Services
Human Resources
Exemplary Metrics*
30% Faster design of new products
20% Fewer engineering changes
Manufacturing and Logistics
Production engineering and planning Production operations and execution Inventory and basic warehouse management Maintenance Management Quality management
Reduced delays by permanent evaluation of the material flow, detecting missing parts and their impact on orders instantly Significantly accelerate MRP for complex product and variant combinations to reduce inventory and latency in short-term production plans and simplify reporting on complete product structure net Flexible analysis of production status at most granular level (e.g. hrs vs. days)
8% reduction in manufacturing cycle time
Real-time inventory through faster backflush allow faster order confirmations, releases and promising, optimizing internal and external logistics
Responsive Supply Networks
Supplier information and master data Operational sourcing and contract management Operational procurement Inventory and basic warehouse management
Real-time inventory and faster backflushing, to reduce stock buffers Improved insight to better negotiate and drive lead-time improvements with suppliers, reduce overall supply chain cycle time and need for buffer inventory Significantly accelerate MRP for complex products to reduce stock & increase on-time delivery
17% lower inventory carrying costs
More precise scheduling, capacity allocation and inventory control streamlines supply to production flow and reduces WIP
Back
*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
Public
8
SAP S/4HANA on-premise Value Proposition
Sustainable Product Innovation
Automotive: Major business benefits
Procurement
Applicable E2E process with S/4HANA (generic) Marketing, Sales & Aftermarket
Procurement
Order and contract management Billing and revenue innovation management Sales planning and performance management
Operational Procurement Sourcing & Contract Management Invoice & Payables Management
Manufacturing and Logistics
Limited Impact
Medium Impact
High Impact
Responsive Supply Networks Finance
Industry specific Benefits Offer easy to configure, personalized solutions consisting of products and services with flexible consumption models Simplification of complex billing and partner settlement processes , to allow solution providers to generate a single, consolidated invoice to the customers and offer flexible revenue share models to partners Sales order fulfillment cockpit with business decision support to manage exceptions(shipping, billing and credit blocks, incompleteness situations, supply problems, delays in delivery) centrally Real-time product availability and use-case driven product allocation check to confirm the quote and changes to orders
Marketing, Sales & Aftermarket
Digital Services
Human Resources
Exemplary Metrics*
24% revenue growth from new customers
30% higher growth in market share
Streamlined process for requisitioning/PO creation spanning multiple catalog’s without requiring master data replication. Ability to search across all catalogs collectively Analyze all key metrics for suppliers like avg. delivery times, contract performance in real time on actual data vs archived, old info. Create a single supplier score based on all procurement activities Execute corrective action like supplier revaluations and/or term updates as part of analysis. Pre configured metrics enable quicker evaluation and benchmarking
Improved supplier risk management
Faster order and invoicing cycle times with fewer errors and ability to drive early payment discounts.
Finance
Accounting and entity close Treasury and financial risk management Receivables management Integrated business planning Cost management and profitability analysis
Improve compliance and risk management by supporting International Financial Reporting Standards(such as multi-element arrangements and multi-GAAP), local accounting standards, and other external regulations Minimize number of risk policy exceptions by providing real time visibility of risk limit compliance and implementing forward looking processes by utilizing accurate risk reporting Reduce days sales outstanding by providing insight into outstanding customer positions during every customer interaction Simplification of complex billing and partner settlement processes , to allow solution providers to generate a single, consolidated invoice to the customers and offer flexible revenue share models to partners
58% lower treasury/cash management cost
28% lower cost of capital
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
Public
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SAP S/4HANA Transforms Automotive business processes Reimagine business processes for fundamentally higher performance
Digital Core
Workforce engagement
Manufacturing and Logistics
Sustainable Product Innovation
Responsive Supply Networks
Connect R&D areas and processes to deliver desired innovations quickly and with high quality:
Respond to globalization and cost pressures by reducing inventories and synchronizing logistics processes:
• Enable real-time cross-functional collaboration, from idea to launch
• Establish sub-daily material requirements planning
•
• Higher product quality through rapid root-cause analysis on product and process failures
• Real-time inventory monitoring with automated procurement proposals
Monitor real-time commodity price-and-supply volatility
•
“Real-time” view of end-to-end supply chain. Exception-based notification and integrated resolution of issues
• More accurate cost estimates with role-based product cost estimation activities
• Predict breakdowns to proactively perform maintenance on assets • Gain instant transparency due to realtime processing of inventory consumption
Procurement
Assets & Internet of Things
Supplier collaboration business networks
Increase the efficiency of supply networks: •
Reduce supply chain risk and disruption
Finance
Marketing, Sales and Aftermarket Increase profit margins, optimize services and innovate new offerings for informed and demanding customers: • Provide real-time visibility into customer demand across all channels for vehicles and parts
• Real-time marketing with increased transparency and internal collaboration • Provide enhanced customer service using context-aware, Big Data insights
HR
Eliminate supply disruption risk while protecting margins:
Allow for visibility into the state of the business at any time:
Manage, develop, reward, and retain a global workforce:
• Collaborate instantly with global suppliers
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprisewide
• Integrate end-to-end HR and financial processes for budget and head count
• Monitor real-time commodity price-and-supply volatility • Automate procurement proposal creation based on real-time inventory
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Customer experience omni-channel
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Banking
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SAP S/4HANA on-premise Value Proposition
Accounting & Financial Close
Banking: Major business benefits Applicable E2E process with S/4HANA Accounting & Financial close
Financial Planning & Analysis
Retail and Commercial Banking Operations*
Treasury & Risk Management Collaborative Finance Operations
Corporate Close Entity Close Disclosures and Regulatory Average Daily Balances
Filings
Predictive analytics Integrated planning, budgeting and forecasting Profitability and cost management Monitoring and reporting
Retail Deposits Cash and Liquidity Management Retail and Commercial Lending Collateral Management Centralized Payment Processing Cash and liquidity management Debt and investment strategies Payments and bank communications
Collaborative Invoice to pay Shared Services framework Travel and real estate management
Financial Planning & Analysis
Procurement
Limited Impact
Medium Impact
High Impact
Collaborative Finance
Treasury & Risk Mgmt.
Enterprise Risk & Compliance
Human Resources
Industry specific Benefits Ability to close books quickly with accuracy and in full compliance with regulatory standards. Faster, less expensive, more accurate and more transparent close – from entity close to the corporate close Support for average daily balances Ability to quickly and efficiently adapt budgets, plans and resources to mitigate risks and take advantage of opportunities Better information reporting and data visualization capabilities helping LOB managers to make better decisions. Better at providing managers with forward looking predictive analytics Cost savings due to compression of data Usage of transactional data for reporting purposes real-time availability of transactional data for digital marketing/predictive analytics/real-time offers One instance end to end deployments enable to benefit from new capabilities in accounting such as accelerated financial close Ability to optimize cash flow and liquidity management, streamline communications, and integrate treasury functions with multiple banks while maintaining greater control over payment and receipt processes Ability to leverage shared services to standardize, streamline and syndicate business practices to improve transaction speed and accuracy. Enables greater productivity/efficiency, lower cost as a % of revenue and more transactions per FTE.
Exemplary Metrics*
3x lower finance cost as a % of revenue
76% higher operating margin when financial systems provide both historical plus forward looking views
39% Fewer compliance and risk management FTEs per billion dollars in revenue systems with automated reporting and alerting
86% faster real-time analytics
* Release of SAP for Banking together with SAP S/4HANA, on-premise edition 1511 according to SAP note 2211665
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Transform business processes Reimagine business processes for fundamentally higher performance
Digital Core
Workforce engagement
Sustainable innovation
Customer collaboration business networks
Regulatory compliance
Sales and marketing
Ensure new product success while driving growth:
Accelerate and improve acceptance and cross sell rates, and drive increased profitability:
Monitor and reduce risk while ensuring compliance:
• Enable real-time cross-functional collaboration, from idea to launch
• Provide real-time visibility to opportunities across all channels
• Provide real-time visibility into liquidity and cash
• Engage partners, counterparties, and customers directly in innovation processes
• Use predictive analytics to sell the right product to the right customer at the right time
• Use configurable product technology to bring new products to market within weeks, not months or years
• Offer contextually relevant products instantly, and automate account origination
• Protect the business and the brand with active social listening tools and enhanced customer service
Finance
• Turn regulatory data collection into a strategic information asset with a single view of transactions and reporting data
HR
Allow for visibility into the state of the bank at any Manage, develop, reward, and retain a global time: workforce:
Big data and Predictive analytics
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Customer experience omni-channel banking
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Chemicals
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SAP S/4HANA on-premise Value Proposition Chemicals: Major business benefits
Manufacturing
Supply Chain Management
Sales
Procurement
Finance
Product Product
development and project control safety and stewardship
Manufacturing execution Quality management and compliance Maintenance Environment, health, and safety
Production planning Inventory and basic warehouse
management
Order and contract management Sales planning and performance management Billing and revenue recognition management
Manufacturing
Procurement
Applicable E2E process with S/4HANA (generic) Product Innovation & Integrity
Product Innovation and Integrity
Limited Impact
Medium Impact
High Impact
Supply Chain Management
Finance
Industry specific Benefits Reduced time to market at lower cost Ensured product marketability at reduced compliance risks and costs Reduced manufacturing costs by predictive analytics for predicting quality issues and proactively influence production and maintenance plans maximized asset utilization with more efficient plant maintenance and real time insight from shop floor to top floor Reduced inventory cost by real time view on inventory levels and real time information on supplier capacities Simulation of delivery capabilities by faster MRP runs Maximizing opportunities and wins through new sales offerings by Real-time forecasting and analytic capabilities Real-time, adaptive sales visibility, planning, and automation
Supplier information and master data Operational procurement Invoice and payables management Business Network
Simple, fast, and error-free invoice processing through integration with the Ariba Network
Accounting and financial close Cost management and profitability analysis Receivables Management Integrated business planning
Allow for visibility into the state of the business at any time by real-time analysis to make timely, relevant decisions one common view to ensure enterprise-wide consistency & minimize reconciliation
Sales and Marketing Human Resources
Exemplary Metrics*
17% lower inventory carrying costs
49% Improvement in complaint processing performance
3x-5x faster business intelligence (BI) with integrated planning applications
3 vs 7 days Faster month-end close
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms Chemicals business processes Core Business Processes and Challenges
Workforce engagement
Supplier collaboration Business networks
Digital Core Manufacturing
Product Innovation & Integrity Drive sustainable Growth and Innovation • Consolidate data from data bases and devices / machines for predictive analytics during experiment design (Knowledge Hub) • Design, execute and capture experiments in a closed loop process leveraging history lab data and knowledge base (Smart Lab) • Predict technical properties of new formulations (E-Chemistry)
Enable step change in performance via touchless, digitally-driven Manufacturing:
Ensure agile and responsive Order Fulfillment • Capture demand in real-time via sensors (e.g. VMI, 3D-Printing), run “ad-hoc” S&OP simulations
• Allow for event driven adjustments of production plans and schedules • Establish predictive models for asset maintenance and product quality
• Automatically fulfill and deliver order according to safe and sustainable practices (incl. MSDS, COA, ASN etc., “no touch order to delivery”)
• Enable data-driven decision support based on real-time insights
Finance
HR
Allow for visibility into the state of the business at Take Workforce Safety and Efficiency to any time: another Level • Enable real-time financial close for faster, more • Fully digitalize relevant documentation and accurate, and more collaborative decision deliver via variety of mobile devices making and execution enterprise-wide (intrinsically safe devices)
Internet of Things and Big Data
Sales & Marketing
Supply Chain Management
• Track and trace workers exposure to hazards (sensors), work and security authorization and location in real-time
Increase Margins through real-time Price and Order Management : • Simulate prices and margins anytime, anywhere and at any level of granularity • Develop real-time pricing quotes for customers & prospects and integrate with available to promise/capable to deliver commitments
Procurement Enable digital closed-loop Procurement Processes: • Collaborate instantly with global suppliers via the Ariba Network • Monitor real-time commodity price-and-supply volatility • Automate procurement proposal creation based on real-time inventory
Customer experience Omnichannels
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Consumer Products
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SAP S/4HANA Enterprise Mgmt. on-premise Value Proposition CP: Major business benefits (compared to ERP on HANA) Applicable E2E process with S/4HANA (generic)
Procurement
Supplier information and master data Operational procurement Invoice and payables management Operational sourcing and contract management
Sustainable Product Innovation
Procurement
Finance
Limited Impact
Medium Impact
High Impact
Agile Manufacturing
Human Resources
Industry specific Benefits
Real-Time Supply Chain
Sales*
*CP Value Map combines Sales & Marketing; Marketing excluded as not part of S/4HANA EP op
Exemplary Metrics*
Increased efficiency and decision support in the procure-to-pay process
50% faster MRP runtimes (SAP ERP on HANA*)
Agile Manufacturing
Real-Time Supply Chain
Sales
Finance
Production engineering and planning Production operation & execution Quality Management
Inventory
and basic warehouse management
Order and contract management
Accounting Accounting and entity close Cost management and profitability analysis Receivables processing
Reduced manufacturing costs by predictive analytics for predicting quality issues and proactively influence production and maintenance plans
Reduced inventory cost (increased inventory turnover, lower write-offs) and single source of truth of inventory in one system Attract end-user by real-time accuracy for improved decision support
Faster execution of business operations (SAP ERP on HANA*)
+72%
Increased flexibility for handling rebate programs and support for individually tailored rebate programs to increase sales to B2B customers Smart Business Applications like Advanced Sales Order Fulfillment Cockpit deliver real-time and relevant information to the sales rep helping to Improve “Perfect Order” ratio to increase customer satisfaction and loyalty Faster decision making, reduce operational costs of order processing
Operating margin where users have access to relevant cost information
Cut significant time from period-end close Allow for visibility into the state of the business at any time by real-time analysis to make timely, relevant decisions one common view to ensure enterprise-wide consistency & minimize reconciliation
70%
*customer reference examples © 2016 SAP SE or an SAP affiliate company. All rights reserved.
45%
(SAP Benchmarking database)
reduction in intercompany reconciliation time (SAP S/4HANA Finance*)
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SAP S/4HANA Transforms Consumer Products business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Sustainable Innovation
Supplier collaboration business networks
Digital Core Procurement
Agile manufacturing
Real-time supply chain
Sales and marketing
Ensure new product success while driving category growth:
Eliminate supply disruption risk while protecting margins:
Optimize production capacity and material flow:
Accelerate and improve short-term demand forecasting:
Deliver optimal ROI on all promotions and campaigns:
• Enable real-time cross-functional collaboration, from idea to launch
• Collaborate instantly with global suppliers via the Ariba Network
• Predict machine failures via connected maintenance
• Simulate consumer responses to predict revenue, volume, and profit
• Engage partners, agencies, and consumers directly in innovation processes
• Monitor real-time commodity priceand-supply volatility
• Schedule preventive maintenance based on real-time view of assets and financial impact
• Provide real-time visibility into consumer demand across all channels
• Automate procurement proposal creation based on real-time inventory
• Enable sub-daily material requirements planning
Finance
• Enable constraint-based planning • Access inventory availability instantly, and automate back-order processing
• Adjust promotion and campaign parameters instantly to shape future demand
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Customer experience omni-channel
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Engineering Construction & Operations
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High Impact
SAP S/4HANA on-premise Value Proposition EC&O: Major business benefits
Finance
PreConstruction
PreConstruction
Asset Management
Finance
Human Resources
Industry specific Benefits
Contract & Invoice Management Project Management & Collaboration Project Performance & Analytics
Control project plans/forecast/actuals on one single database Perform Estimate to Complete (ETC) calculations Execute projects Changes & Issues
Accounting and financial close Cost management and profitability analysis Financial Consolidation
Allow for visibility into the state of the business at any time by real-time analysis to make timely, relevant decisions one common view to ensure enterprise-wide consistency & minimize reconciliation Accounting and entity close Cost management and profitability analysis
Sales Order and contract management Product design & control
Maximizing opportunities and wins through new offerings by Real-time forecasting and analytic capabilities Real-time, adaptive sales visibility, planning, and automation
Limited Impact
Project Delivery
Procurement
Applicable E2E process with S/4HANA (generic) Project Delivery
Medium Impact
Exemplary Metrics*
15% faster design process for new product offerings
8% reduction in construction execution time
Faster design process by real-time change impact and simulation and analysis
Procurement
Supplier information and master data Supplier Network Management Operational sourcing and contract
management
Improved quality and reduced cost by decision support (On-the-fly supplier score calculation) to pick the best suited supplier Execute contract and invoice management in combination with combination on-premise - cloud solutions
86% faster real-time analytics
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms EC&O business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core Pre-Construction Immediately leverage historical project and contract data to secure bids: • Better source determination for materials and workforce with immediate connection between financial back office and supply networks • Immediate access to visual engineering and design solutions
Asset Management
Project Delivery Drive predictable on-time project delivery:
Optimize equipment availability, minimize downtime, and improve property utilization:
• Minimize friction between project tasks with immediate operational alignment • Immediate reaction to risk and financial impact
• Predict equipment failures via connected maintenance
• Speed tight collaboration between clients, contractors, and staff.
• Schedule preventive maintenance based on realtime view of equipment and financial
Finance
Assets & Internet of Things
Supplier collaboration business networks
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global workforce: any time: • Enable real-time financial close for faster, more • Integrate end-to-end HR and financial processes for budget and head count accurate, and more collaborative decision making and execution enterprise-wide
Tenant experience omni-channel
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Healthcare
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SAP S/4HANA Transforms Healthcare business processes Reimagine processes for fundamentally higher performance
Workforce engagement
Supplier collaboration business networks
Digital Core Patient Experience
Clinical Delivery
Care Collaboration
Healthcare Analytics and Research
Engage patients with personalized outreach and transparency: • Create role-based, 360 degree view of patients beyond traditional patient record • Offer personalized prevention and treatment options • Provide patient self-service options and easy and instant access to information and health services
Simplify and connect treatment and care in real-time:
Synchronize caregivers, clinicians, patients and devices across multiple channels: • Involve patients actively in prevention and care delivery process • Create integrated health networks connecting life sciences, payers, providers and patients based on real-life evidence data • Gain comprehensive, high quality health data to drive public health initiatives
Transform administrative and clinical data from diverse sources into actionable insights: • Leverage real-time, high volume data for advanced medical insights • Utilize predictive analytics for patient treatment and risk mitigation • Enable clinical researchers to combine structured, unstructured, and genomic information for analytics
• Shift documentation from caregivers to devices and patients so caregivers can focus on key tasks • Push relevant data to caregivers in the right context to replace traditional information seeking • Use predictive technology & self-learning to optimize clinical decisions
Finance
Assets & Internet of Things
HR
Allow for visibility into the state of the business at any time:
Manage, develop, reward, and retain a global workforce:
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Integrate end-to-end HR and financial processes for budget and head count
Procurement Coordinate procurement and supplier enablement across departments and buying centers: • Empower real-time integrated purchasing to maximize economies of scale
Patient experience omni-channel
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24
High Tech
Back
SAP S/4HANA on-premise Value Proposition
Product Innovation and Sourcing
High Tech: Major business benefits
Product Lifecycle Management Enterprise Project & Portfolio Management
Manufacturing
Procurement
Applicable E2E process with S/4HANA (generic) Product Innovation and Sourcing
Supply Chain
Limited Impact
Medium Impact
High Impact
Finance
Industry specific Benefits Link real-time market and customer insights to design processes Perform multi-level design analysis to drive better design decisions Execute engineering changes with full visibility to downstream costs
Multi-channel Sales & Marketing
Customer Service
Human Resources
Exemplary Metrics*
30% Faster design of new products
Enable multi-disciplinary design process with mapping to engineering designs to customer needs
20% Supply Chain
Supplier information and master data Operational sourcing and contract management Operational procurement Inventory and basic warehouse management
Fewer engineering changes Real-time inventory and faster backflushing, to reduce stock buffers Improved insight to better negotiate and drive lead-time improvements with suppliers, reduce overall supply chain cycle time and need for buffer inventory Significantly accelerate MRP for complex products to reduce stock & increase on-time delivery More precise scheduling, capacity allocation and inventory control streamlines supply to production flow and reduces WIP
Manufacturing
Production engineering and planning Production operations and execution Inventory and basic warehouse management Maintenance Management Quality management
Reduced delays by permanent evaluation of the material flow, detecting missing parts and their impact on orders instantly Significantly accelerate MRP for complex product and variant combinations to reduce inventory and latency in short-term production plans and simplify reporting on complete product structure net
17% lower inventory carrying costs
8% reduction in manufacturing cycle time
Flexible analysis of production status at most granular level (e.g. hrs vs. days) Real-time inventory through faster backflush allow faster order confirmations, releases and promising, optimizing internal and external logistics
Back
*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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26
SAP S/4HANA on-premise Value Proposition
Product Innovation and Sourcing
High Tech: Major business benefits Applicable E2E process with S/4HANA (generic) Multi-channel Sales & Marketing
Procurement
Order and contract management Billing and revenue innovation management Sales planning and performance management
Operational Procurement Sourcing & Contract Management Invoice & Payables Management
Supply Chain
Procurement
Limited Impact
Medium Impact
High Impact
Manufacturing
Finance
Multi-channel Sales & Marketing
Customer Service
Human Resources
Industry specific Benefits
Exemplary Metrics*
Offer easy to configure, personalized solutions consisting of products and services with flexible consumption models Simplification of complex billing and partner settlement processes , to allow solution providers to generate a single, consolidated invoice to the customers and offer flexible revenue share models to partners Sales order fulfillment cockpit with business decision support to manage exceptions(shipping, billing and credit blocks, incompleteness situations, supply problems, delays in delivery) centrally Real-time product availability and use-case driven product allocation check to confirm the quote and changes to orders
24%
Streamlined process for requisitioning/PO creation spanning multiple catalog’s without requiring master data replication. Ability to search across all catalogs collectively Analyze all key metrics for suppliers like avg. delivery times, contract performance in real time on actual data vs archived, old info. Create a single supplier score based on all procurement activities Execute corrective action like supplier revaluations and/or term updates as part of analysis. Pre configured metrics enable quicker evaluation and benchmarking
revenue growth from new customers
30% higher growth in market share
Improved supplier risk management
Faster order and invoicing cycle times with fewer errors and ability to drive early payment discounts.
Finance
Accounting and entity close Treasury and financial risk management Receivables management Integrated business planning Cost management and profitability analysis
Improve compliance and risk management by supporting International Financial Reporting Standards(such as multi-element arrangements and multi-GAAP), local accounting standards, and other external regulations Minimize number of risk policy exceptions by providing real time visibility of risk limit compliance and implementing forward looking processes by utilizing accurate risk reporting Reduce days sales outstanding by providing insight into outstanding customer positions during every customer interaction Simplification of complex billing and partner settlement processes , to allow solution providers to generate a single, consolidated invoice to the customers and offer flexible revenue share models to partners
58% lower treasury/cash management cost
28% lower cost of capital
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SAP S/4HANA Transforms High Tech business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core
Product Innovation and Sourcing Accelerate innovation to volume: • Optimize innovation portfolio with detailed simulations in real-time • Detailed insight through sentiment analysis shared in real-time across partner system • Centralize and access process, product & project data in real time
Supply Chain
Multichannel Sales and Marketing
Manufacturing
Align supply and demand in real time:
Optimize manufacturing and fulfillment operations:
Engage customers and drive profitable growth:
• Combine planning with strategic, financial, sales, and operational goals
• Support for machine configuration for lot size of one with direct linkage to ATP/APO to allow real time customer orders and changes
• Identify immediate opportunities through customer segmentation and personalized campaigns
• Real-time processing of inventory postings and visibility of inventory values globally • Provide effortless collaboration in real-time with customers, suppliers, and partners
Procurement
Assets & Internet of Things
Supplier collaboration Business networks
Automate and streamline complex, highvolume invoice processes & purchasing documentation • Simple, fast, touchless, and error-free purchasing, invoice, and payment process through the Ariba Network
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
• Frequent re-synchronization of supply chain and production plans • Prioritized view on material flow issues
• Offer large scale turn-key solutions with consumption based pricing and billing • Monitor and improve channel performance and predict future behavior
Finance Allow for visibility into the state of the business at any time: • Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
Customer Service Drive profitable service • Lower warranty cost with early detection of failure patterns • Support field service from every angle with optimized workforce scheduling and mobile apps • Exceed customer expectations across multiple channels with predictive analytics and real-time collaboration
Human Resources Align global talent with strategy and execution to optimize scarce resources and workforce effectiveness
Customer experience omni-channel
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Industrial Machinery & Components
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SAP S/4HANA on-premise Value Proposition
R&D / Engineering
IM&C: Major business benefits
Procurement
Applicable E2E process with S/4HANA (generic) Product Lifecycle Management Enterprise Project & Portfolio Management
R&D/Engineering
Order and contract management Billing and revenue innovation management Sales planning and performance management
Supply Chain
Finance
Industry specific Benefits
Sales
Sales
Limited Impact
Medium Impact
High Impact
Link real-time market and customer insights to design processes Perform multi-level design analysis to drive better design decisions Execute engineering changes with full visibility to downstream costs Enable multi-disciplinary design process with mapping to engineering designs to customer needs Offer easy to configure, personalized solutions consisting of products and services with flexible consumption models Simplification of complex billing and partner settlement processes , to allow solution providers to generate a single, consolidated invoice to the customers and offer flexible revenue share models to partners Sales order fulfillment cockpit with business decision support to manage exceptions(shipping, billing and credit blocks, incompleteness situations, supply problems, delays in delivery) centrally Real-time product availability and use-case driven product allocation check to confirm the quote and changes to orders
Manufacturing
Aftermarket Service
Human Resources
Exemplary Metrics*
30% Faster design of new products
24% revenue growth from new customers
30% higher growth in market share
Real-time inventory and faster backflushing, to reduce stock buffers
Supply Chain
Supplier information and master data Operational sourcing and contract management Operational procurement Inventory and basic warehouse management
Manufacturing
Production engineering and planning Production operations and execution Inventory and basic warehouse management Maintenance Management Quality management
Improved insight to better negotiate and drive lead-time improvements with suppliers, reduce overall supply chain cycle time and need for buffer inventory
Significantly accelerate MRP for complex products to reduce stock & increase on-time delivery More precise scheduling, capacity allocation and inventory control streamlines supply to production flow and reduces WIP Reduced delays by permanent evaluation of the material flow, detecting missing parts and their impact on orders instantly Significantly accelerate MRP for complex product and variant combinations to reduce inventory and latency in short-term production plans and simplify reporting on complete product structure net Flexible analysis of production status at most granular level (e.g. hrs vs. days) Real-time inventory through faster backflush allow faster order confirmations, releases and promising, optimizing internal and external logistics
17% lower inventory carrying costs
8% reduction in manufacturing cycle time
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SAP S/4HANA on-premise Value Proposition
R&D / Engineering
IM&C: Major business benefits Applicable E2E process with S/4HANA (generic)
Procurement
Operational Procurement Sourcing & Contract Management Invoice & Payables Management
Sales
Procurement
Limited Impact
Medium Impact
High Impact
Supply Chain
Finance
Industry specific Benefits Streamlined process for requisitioning/PO creation spanning multiple catalog’s without requiring master data replication. Ability to search across all catalogs collectively Analyze all key metrics for suppliers like avg. delivery times, contract performance in real time on actual data vs. archived, old information. Create a single supplier score based on all procurement activities
Manufacturing
Aftermarket Service
Human Resources
Exemplary Metrics* improved supplier risk management
Execute corrective action like supplier revaluations and/or term updates as part of analysis. Pre configured metrics enable quicker evaluation and benchmarking Faster order and invoicing cycle times with fewer errors and ability to drive early payment discounts.
Finance
Accounting and entity close Treasury and financial risk management Receivables management Integrated business planning Cost management and profitability analysis
Minimize number of risk policy exceptions by providing real time visibility of risk limit compliance and implementing forward looking processes by utilizing accurate risk reporting Reduce days sales outstanding by providing insight into outstanding customer positions during every customer interaction
58% lower treasury/cash management cost
Simplification of complex billing and partner settlement processes
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SAP S/4HANA Transforms IM&C business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core
R&D / Engineering Increase innovation velocity: • Simulate, optimize & measure modularization • Collaborate seamlessly with customers, suppliers, & partners • Centralize and access process, product & project data in real time
Sales
Supply Chain
Manufacturing
Aftermarket Service
Track lead, prospect, & opportunity status tracked in real time::
View material shortages & inventory levels in a real time, single view:
Optimize production capacity and material flow:
Integrate labor, material & capacity planning for service in real time
• Offer complete, engineered or configured-to-order solutions
• Enable real-time collaboration with customers, suppliers, and partners
• Predict machine failures via connected maintenance
• Align sales with engineering, supply chain & manufacturing
• Provide faster and more accurate inventory data to help reduce stockouts, obsolete items, and excess inventory
• Schedule preventive maintenance based on real-time view of assets and financial impact
• Provide faster and higher quality installed base data to help increase high-margin service & maintenance profitability to compensate for lowermargin original equipment sales
Procurement Automate and streamline complex, highvolume invoice processes & purchasing documentation
Assets & Internet of Things
Supplier collaboration business Networks
• Facilitate Simple, fast, touchless, and error-free purchasing, invoice & payment process through the Ariba Network
Finance
• Enable sub-daily material requirements planning
• Exceed customer expectations across multiple channels with predictive & remote diagnostics
Human Resources
Allow for visibility into the state of the business at any time:
Manage, develop, reward, and retain a global workforce:
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Integrate end-to-end HR and financial processes for budget and head count
Multi-channel Customer experience
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Insurance
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High Impact
SAP S/4HANA on-premise Value Proposition Insurance: Major business benefits Applicable E2E process with S/4HANA (generic)
Core Insurance Operations
Finance Investments, and Compliance
Market Insight and Customer Intimacy
Procurement
Product and Policy Lifecycle Claims Lifecycle Billing and Payments
Finance Planning and Analysis Accounting and Financial Close Governance, Risk and Compliance
Real-Time Customer Insights Unique Customer Experiences
Operational procurement Invoice and payables management
Market Insight and Customer Intimacy
Core Insurance Operations
Procurement
Industry specific Benefits Optimize innovative product & service creation to align with customer’s needs thru real-time analysis of customer data Facilitate fast and efficient claims management with predictive questioning that expedites processing and improves customer service .
Manage, plan, and respond quickly to changes in insurance markets by real-time analysis of big data. Faster, less expensive, more accurate and more transparent close – from entity close to the corporate close Embed financial and operational controls into business processes for better risk management • Inspire customers with personalized interactions that build lasting customer loyalty • Provide a consistent customer experience across all channels by delivering predictable, value-driven product offerings . Leverage the power of network collaboration for efficiency and insights.
Limited Impact
Medium Impact
Finance, Investments, and Compliance
Human Resources
Exemplary Metrics*
14% Faster time to market1
44% Lower audit costs1
15% Quota achievements1
98% Enablement of touchless invoices and payments2
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Insurance Core Business Processes and Challenges Digital Core Workforce engagement
Market Insight and customer intimacy
Core Insurance Operations
Maximize customer experience and retention :
Simplify core processes across all major lines of business :
• Inspire customers with personalized interactions that build lasting customer loyalty
• Optimize innovative product & service creation to align with customer’s needs thru real-time analysis of customer data
• Provide a consistent customer experience across all channels by delivering predictable, value-driven product offerings .
• Facilitate fast and efficient claims management with predictive questioning that expedites processing and improves customer service .
Human Resources
Finance, Investments, and Compliance Achieve real-time financial reporting and risk management, while ensuring effective and efficient compliance: • Manage, plan, and respond quickly to changes in insurance markets by real-time analysis of big data.
• Embed financial and operational controls into business processes for better risk management.
Procurement
Manage, develop, reward, and retain a global workforce:
Drive sustainable savings while supporting innovation
• Integrate end-to-end HR and financial processes for budget and head count
•
Assets & Internet of Things
Supplier collaboration business networks
Leverage the power of network collaboration for efficiency and insights.
Customer experience omni-channel
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Life Sciences
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SAP S/4HANA on-premise Value Proposition
Collaborative R&D
Life Sciences: Major business benefits Applicable E2E process with S/4HANA (generic) Supply Networks
Compliant Manufacturing
Strategic Sourcing and Procurement
Production planning Inventory and basic warehouse
management
Manufacturing execution Quality management and compliance
Supplier information and master data Operational procurement Invoice and payables management Operational sourcing and contract
management Collaborative R&D
Sales & Service
Finance
Product development and project Environment, health, and safety
control
Billing and revenue innovation management Sales planning and performance management Accounting and entity close Accounting Cost management and profitability analysis
Strategic Sourcing and Procurement Human Resources
Limited Impact
Medium Impact
High Impact
Supply Networks Finance
Industry specific Benefits
Compliant Manufacturing Platform and Technology
Exemplary Metrics*
Reduced inventory cost by real time view on inventory levels and real time information on supplier capacities Simulation of delivery capabilities by faster MRP runs Improved quality and reduced cost by decision support (integrated supplier dashboard with meta data) to pick the best suited supplier
faster MRP runtimes
Manufacturing cycle time by sub-daily MRP runs Reduced manufacturing costs by predictive analytics for predicting quality issues and proactively influence production and maintenance plans
Faster execution of business operations
Improved quality and reduced cost by decision support (On-the-fly supplier score calculation) to pick the best suited supplier Faster design process by real-time change impact and simulation and analysis • Analyze trends, market behavior and sales performance in real time • Enable multichannel communication to B2B customers and patients • Predict sales, margins, and service needs Allow for visibility into the state of the business at any time by real-time analysis to make timely, relevant decisions one common view to ensure enterprise-wide consistency & minimize reconciliation
50% (SAP ERP on HANA*)
45% (SAP ERP on HANA*)
+72% Operating margin where users have access to relevant cost information (SAP Benchmarking database)
70% reduction in intercompany reconciliation time (SAP S/4HANA Finance*)
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
Sales, Marketing, Service
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SAP S/4HANA Transforms Life Science business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Collaborative R&D
Supplier collaboration business networks
Digital Core Strategic sourcing and procurement
Demand-driven supply networks
Compliant manufacturing
Multichannel sales, marketing and services
Ensure successful innovations and drive pipe:
Eliminate supply disruption risk while protecting margins:
Maximize patient safety while optimizing working capital:
Mitigate quality risk while maximizing productivity
Effectively market, interact and sell to all segments:
• Enable real-time cross-functional collaboration from idea to launch
• Collaborate instantly with global suppliers via the Ariba network
• Track and trace drugs, devices up and down the supply chain
• Monitor quality in real time across plants and contract organizations
• Analyze trends, market behavior and sales performance in real time
• Engage scientists, contract research organizations, hospitals, patients, and other partners directly in R&D processes
• On- and off-board contract organizations and contingent workforce easily
• Automate sales and operations planning based on real time inventory and production data
• Schedule preventive maintenance based on real-time view of assets and financial impact
• Enable multichannel communication to B2B customers and patients
• Maximize supplier performance and quality based on real-time KPIs
Finance
• Predict sales, margins, and service needs
HR
Allow for visibility into the state of the business at Manage, develop, reward and retain a global any time: workforce:
Assets & Internet of Things
• Make strategic decision based on real time data and achieve positive RoI after M&A faster • Enable real-time financial close and improve enterprise-wide collaboration
• Attract and retain most talented scientists • Integrate end-to-end HR and financial processes for budget and headcount
Customer experience omni-channel
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Media
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SAP S/4HANA on-premise Value Proposition
Compelling Content Creation
Media: Major business benefits Applicable E2E process with S/4HANA (generic)
Compelling Content Creation
Content Monetization
Procurement
Finance
Media Media
Order
Direct
Planning Production Management
and Contract Management
Procurement
Accounting and financial close Financial Planning and Analysis
Procurement
Limited Impact
Medium Impact
High Impact
Audience Engagement Finance
Industry specific Benefits
Lower project delivery costs by managing project financial performance in an integrated and fully automated way Run on-the-fly financial analysis and calculations for projects Advanced Sales Order Fulfillment Cockpit delivers real-time and relevant information to the sales rep helping to improve “Perfect Order” ratio and increase customer satisfaction and loyalty Lower administrative costs by frictionless order processing - from quote to cash Manage purchases with greater efficiency and productivity by using a centralized system with real-time analytics. Improved quality and reduced cost by decision support (On-the-fly supplier score calculation) to pick the best suited supplier Reduced time to close books by supporting fast, peer-to-peer intercompany reconciliation; automating closing tasks; and increasing user efficiency No reconciliation efforts between General Ledger and its sub ledgers Built-in ability to use prediction, simulation, and analysis to evaluate the financial implications of strategic business options Reduce days sales outstanding by providing insight into outstanding customer positions during every customer interaction
Content Monetization Human Resources
Exemplary Metrics*
3 vs 7 days Faster month-end close
91% faster Automatic maintenance revenue accruals
58% lower treasury/cash management cost
86% faster real-time analytics
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SAP S/4HANA Transforms Media business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Compelling Content Creation
Media Content Monetization
Audience Monetization
Shorten time to market and increase product success rates. • Simplify and accelerate content creation through real-time collaboration with producers, advertisers, and suppliers. • Quickly analyze trends in data consumption and customer delivery preferences to alter content to interests and devices.
Enable multichannel distribution and grow margins. • Combine on-line and off-line content strategies, bundling digital and physical offerings across multiple channels and devices. • Deliver media digitally through new revenue models – free trials, flexible subscriptions or fully self-service.
Become an audience-centric media enterprise. • Deliver personalized engagements at every stage of the customer journey. • Learn from and adapt to every customer interaction and ensure follow-up engagements are relevant. • Leverage analytics to convert data into key audience insights.
Finance
Devices
Content Providers
Digital Core
HR
A single source of financials to improve Providing a flexible environment for skills efficiency, increase visibility and lower cost. and performance assessment. • Organizations that use 360-degree financial • Enable growth and sustainability by providing processes enable their people to collaborate choice in the delivery of HR processes and more efficiently and use business insight more services. effectively.
Audience experience
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Mill Products
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SAP S/4HANA on-premise Value Proposition Mill Products: Major business benefits Applicable Business Priorities S/4HANA
Profit-driven Supply Chain
Plant and Asset Operations Excellence
Sustainable Customer Relationships
Industry Specific Benefits
Exemplary Metrics
Material Resource Planning Production Planning Production Scheduling Basic Order Promising Goods Issue/Receipts Basic Warehouse Management Basic Shipping
Avoid supply chain disruptions/costs by tracking material movements in real-time
Maintenance Planning and Scheduling Maintenance Execution Project Financial Control Project Logistics Control Basic Subcontracting/External Processing Production Processing Corporate Quality Quality Planning, Control and Operations Credit Collections Management
Optimize mill and plant production capacity, quality and profitability: • Use sensor data to predict machine failures or product quality deviations • Consider skills, toolsets and resources in scheduling maintenance activities • Standardize calculation and visualization of metrics like OEE or Energy Usage across plants
Increase return on assets by 10%
Order and Contract Management Sales Planning and Monitoring Analytics Sales Contract Management Sales Order Management and Processing Billing and Invoice Management Receivables Management and Payment Handling
Deliver a uniform digital experience through every channel : • Arm your sales reps with key insights while at the customer • Integrate social intelligence into the selling and marketing processes • Streamline the complaint process and provide seamless support across channels
Productivity overall time savings by 30%
• Anticipate change to manage risks and leverage opportunities • Use real-time plant floor data to improve delivery decisions • Deliver the target quality and appropriate service level to different customer segments
Reduce overall supply chain planning costs by 9% Increase on-time delivery performance by 1% Decrease cycle time for forecast by 7%
Cut MRO inventory by 11% Reduce unplanned downtime or outages by 16%
Lower IT cost by 20% Reporting accelerate run-times by 98%
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SAP S/4HANA on-premise Value Proposition Mill Products: Major business benefits Applicable E2E process with S/4HANA (generic)
Finance
Procurement Excellence
Service
Industry Specific Benefits
Exemplary Metrics
Profitability and Cost Management Product Cost Management Cash and Liquidity Management Financial Risk Management Receivables Process Analytics Accounts Payable/Receivable Corporate/Entity Close Asset/Inventory Accounting Corporate Financial Management
Allow for visibility into the state of the business at any time: • Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide • Consolidation of financial data enabling corporate visibility into each business entity • Discover and discourage fraudulent activities also in remote locations and by contingent workforce
Increase drill-down levels by 3%
Procurement Analytics Classification and Segmentation Supplier Evaluation Sourcing Contract Management Self-Service Requisitioning Invoice Management Receivables Management and Payment Handling
Eliminate supply disruption risk while protecting margins: • Collaborate instantly with global suppliers via the Ariba Network • Monitor real-time commodity price-and-supply volatility • Consolidate local purchases to support negotiations to receive global discounts, improved terms and other benefits • Eliminate off-contract purchasing
Reduce MRO obsolescence
Claims, Returns and Refund Management Service Execution and Delivery Service Initiation and Control Warranty Management Contract and Engagement Management Periodic Billing Processing Service Contract and Controlling and Accounting
Make services part of the R&D process • Consider returns and service requirement in the development of new products • Improve customer value by adding services to standard products
Reduce treasury & cash mgt. costs by 7%
Decrease compliance & risk mgt. costs by 6%
Reduce MRO out of stocks by 36% Decrease inventory and safety stocks by 29%
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SAP S/4HANA Transforms Mill Products business processes Reimagine business processes for fundamentally higher performance
Supplier collaboration and business networks
Digital Core
Customer experience omni-channel
Profit-Driven Supply Chain
Plant and Asset Operations Excellence
Sustainable Customer Relationships
Avoid supply chain disruptions/costs by tracking material movements in real-time
Optimize mill and plant production capacity, quality and profitability:
Deliver a uniform digital experience through every channel :
• Anticipate change to manage risks and leverage opportunities
• Use sensor data to predict machine failures or product quality
• Arm your sales reps with key insights while at the customer
• Use real-time plant floor data to improve delivery decisions
• Consider skills, toolsets and resources in scheduling maintenance activities
• Integrate social intelligence into the selling and marketing processes
• Deliver the target quality and appropriate service level to different customer segments
• Standardize calculation and visualization of metrics like OEE or Energy Usage across plants
• Streamline the complaint process and provide seamless support across channels
HR
Assets & Internet of Things
Finance
Procurement
Manage, develop, reward, and retain a global workforce:
Allow for visibility into the state of the business at any time:
Eliminate supply disruption risk while protecting margins:
• Analyze and use creative best practices to counter competition and aging population
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Collaborate instantly with global suppliers via the Ariba Network
• Universally increase time spent on strategic projects © 2016 SAP SE or an SAP affiliate company. All rights reserved.
• Monitor real-time commodity price-and-supply volatility
Total workforce management
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Value Map 2016 for Mill Products (see all details on sap.com/Solution Explorer - Mill Products) Profit-Driven Supply Chain
Plant and Asset Operations Excellence
Sustainable Customer Relationship
Areas of Important Improvements in S/4HANA Profit-Driven Business Planning
Manufacturing Execution and Visibility
Contextual Marketing
Supply, Production, and Order Response Management
Asset Operations and Maintenance
Order to Cash Including Configurable Products
Efficient Logistics and Order Fulfillment
Asset Network
Digital Transformation of Commerce
Commodity Management
Environment, Health and Safety
Differentiating Service
Quality Management
Human Resources
Core Human Resources and Payroll
Talent Management
Time and Attendance Management
Human Capital Analytics
Finance
Financial Planning and Analysis
Accounting and Financial Close
Treasury and Financial Risk Management
Finance Operations
Enterprise Risk and Compliance Management
Strategic Sourcing and Supplier Management
Direct Procurement
Self-Service Procurement
Services Procurement
Travel Management
Application Platform and Infrastructure
Data Management
Procurement Excellence Invoice Management
Platform and Technology
Analytics
IT Management
Security Software
Platform and Technology Spotlights
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Mining
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SAP S/4HANA on-premise Value Proposition Mining: Major business benefits Applicable Business Priorities S/4HANA
Commodity Supply Chain Management
Material Resource Planning Production Planning Production Scheduling Basic Order Promising Goods Issue/Receipts Basic Warehouse Management Basic Shipping
Mine Operations
Maintenance Planning and Scheduling Maintenance Execution Project Financial Control Project Logistics Control Basic Subcontracting/External Processing Production Processing Corporate Quality Quality Planning, Control and Operations
Industry Specific Benefits
Exemplary Metrics
Optimize mine production and sales plans based on current financial data: • More reliable ore forecast with improved reports of plan vs. actual deviations • Improve availability of MRO materials in stock and in transit • Improved visibility into MRO and spare part inventories of nearby warehouses • Avoid delivery glitches for bulk and non-bulk shipments by having real-time visibility into status and costs
Reduce overall supply chain planning costs by 9%
Detect inefficiencies, perform proactive maintenance on mine assets to maximize uptime
Cut MRO inventory by 11%
•
Use real-time analytics to drill down into the root-cause of production shortfalls from mine-level operations
Increase return on assets by 10%
•
Improve project cost controls throughout the mine life-cycle: development, production and closure
•
Better visibility and tracking of ore quantities and quality from pit to port
•
Simplified and accelerated maintenance scheduling with improvements in allocation of staff, toolsets and MRO materials
•
Standardize calculation and visualization of metrics like OEE or energy usage across plants/locations
•
Higher overall equipment effectiveness (OEE)
Increase on-time delivery performance by 1% Decrease cycle time for forecast by 7%
Reduce unplanned downtime or outages by 16% Increase Return on Assets by 10% Improve effectiveness of operation equipment by 35%
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SAP S/4HANA on-premise Value Proposition Mining: Major business benefits Applicable Business Priorities S/4HANA
Operational Risk and Compliance Management
Incident Management Health and Safety Management GRC Access Control GRC Process Control Fraud Management
Industry Specific Benefits Manage operational risk and regulatory compliance
Exemplary Metrics Lower Auditing costs by 30%
•
Discover and discourage fraudulent activities also in remote locations and by contingent workforce
•
Improved ability to prevent incidents and reduce severity of incidents by learning from earlier actions.
More-efficient risk and control management processes by 50%
•
Use real-time analytics to drill-down into the root-cause of health and safety incidents
Reduce time to complete accident reports by 80%
•
Improved worker access to health and safety information
•
Reduce operational risks by providing plant managers with comprehensive risk data for analytics
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SAP S/4HANA on-premise Value Proposition Mining: Major business benefits Applicable E2E process with S/4HANA (generic)
Finance
Procurement Excellence
Industry Specific Benefits
Exemplary Metrics
Profitability and Cost Management Product Cost Management Cash and Liquidity Management Financial Risk Management Receivables Process Analytics Accounts Payable/Receivable Corporate/Entity Close Asset/Inventory Accounting Corporate Financial Management
Allow for visibility into the state of the business at any time: • Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide • Improved real-time visibility into actual costs • Consolidation of financial data enabling corporate visibility into each business entity • Improve liquidity, lower working capital and short-term loans by reducing risks from commodity price volatility
Increase drill-down levels by 3%
Procurement Analytics Classification and Segmentation Supplier Evaluation Sourcing Contract Management Self-Service Requisitioning Invoice Management Receivables Management and Payment Handling
Eliminate supply disruption risk while protecting margins: • Enable digitization: integration with Ariba enables small suppliers to book orders which transfer directly to S/4HANA • Monitor real-time commodity price-and-supply volatility • Secure social license to do business by ensuring local sourcing and community engagement • Consolidate local purchases to support negotiations to receive global discounts, improved terms and other benefits • Eliminate off-contract purchasing
Reduce MRO obsolescence
Reduce treasury & cash mgt. costs by 7%
Decrease compliance & risk mgt. costs by 6%
Reduce MRO out of stocks by 36% Decrease inventory and safety stocks by 29%
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SAP S/4HANA Transforms Mining business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core Optimized Mine Operations Detect inefficiencies, perform proactive maintenance on mine assets to maximize uptime • Predict machine failures • Use real-time analytics to drill down into the root-cause of production shortfalls from mine-level operations
HR
Assets & Internet of Things
Supplier collaboration Business networks
Commodity Supply Chain Management
Operational Risk and Compliance Management
Optimize mine production and sales plans based on current financial data:
Create safe and economic operations across the mining value chain:
• Align sales aspirations with production realities by combining real-time market and operations data in rolling forecasts
• Collect sensor data from wear-ables to improve operational yields with less health and safety risks
• Avoid delivery glitches for bulk and non-bulk shipments by having real-time visibility into status and costs
• Avoid challenges to social license-to-operate by tracking public discussions throughout exploration, mine operations to re-naturalization
Finance
Procurement
Manage, develop, reward, and retain a global workforce:
Allow for visibility into the state of the business at any time:
Eliminate supply disruption risk while protecting margins:
• Analyze and use creative best practices to counter competition and aging population
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Collaborate instantly with global suppliers via the Ariba Network
• Universally increase time spent on strategic projects
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Mine production
• Monitor real-time commodity price-and-supply volatility
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Value Map 2016 for Mining (see all details on sap.com/Solution Explorer - Mining) Commodity Supply Chain Management
Mine Operations
Operational Risk and Compliance Management
Long-Term Business Planning
Project and Portfolio Management
Environment, Health and Safety
Commodity Management
Mine Operations and Downstream Processing
Product Safety and Stewardship Network
Bulk and Non-Bulk Transportation Management
Asset Operations and Maintenance
Corporate Sustainability
Areas of Highest Value in S/4HANA
Asset Network
Human Resources
Core Human Resources and Payroll
Talent Management
Time and Attendance Management
Human Capital Analytics
Finance
Financial Planning and Analysis
Accounting and Financial Close
Treasury and Financial Risk Management
Finance Operations
Enterprise Risk and Compliance Management
Strategic Sourcing and Supplier Management
Direct Procurement
Self-Service Procurement
Contingent Workforce Management
Services Procurement
Travel Management
Invoice Management
Analytics
Application Platform and Infrastructure
IT Management
Security Software
Procurement Excellence
Platform and Technology
Data Management
Platform and Technology Spotlights
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Oil & Gas
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SAP S/4HANA Transforms Oil & Gas business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Integrated Digital Oilfield Operations
Capital and Spend Effectiveness Eliminate supply disruption risk while protecting margins: • Collaborate instantly with global suppliers via the Business Network
Increase asset utilization and make better operations decisions with improved data flows, analytics and collaboration across reservoirs, wells, and facilities :
• Monitor real-time commodity price-andsupply volatility
• Analyze real-time data to make better quality managerial decisions
• Automate procurement proposal creation based on real-time inventory
• Quickly drill-down into problem areas and identify root causes • Converge production, maintenance, engineering, and financials at all levels of the enterprise
Digital economy and Big data
Supplier collaboration business networks
Digital Core
Operational Integrity
Hydrocarbon Supply Chain Perfect visibility and delivery across the full hydrocarbon value chain: • Quickly determine if it is more profitable to pay a premium now vs. waiting for local supply to replenish fuels • Enhance collaboration among service station operators, 3rd-party carriers, and consumers to leverage new ways to automate processes for sourcing and supplying refined products
Optimize asset availability, minimize downtime, and eliminate unplanned outages: • Predict asset failures via connected maintenance • Schedule preventive maintenance based on real-time view of assets and financial impact
Finance
HR
Allow for visibility into the state of the business at any time:
Procure, on-board, manage, and develop a global direct and contingent workforce:
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Integrate end-to-end HR, procurement and financial processes for budget and head count
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Stakeholder experience
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Professional Services
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High Impact
SAP S/4HANA on-premise Value Proposition Professional Services: Major business benefits Applicable E2E process with S/4HANA (generic) Business Development and Sales
Project and Managed Services Business
Finance
Bid
& Proposal Management
Business Development and Sales
Medium Impact Project and Managed Services Business
Procurement
Industry specific Benefits Analyze previous bids and resulting engagements and create reliable engagement bids and resultant budgets
Monitor engagement performance online at any time and detect service delivery issues or forecast margin impairments Proactive alerts drive direct action and cross-project analysis to easily Project and Engagement Management identify profitable customers and projects Managed Services Contract Management Achieve consistent compliance with service-level agreements by automating the verification of entitlements Customized service packages that drive new revenue streams while developing lasting customer relationships.
Accounting and financial close Financial Planning and Analysis Collaborative Finance Operations
Accelerated closing processes such as work in progress and allocations Integrated planning and real time variance analysis Allow for visibility into the state of the business at any time by real-time analysis to make timely, relevant decisions single source of data for both managerial and financial accounting The boundaries between front and back office are eliminated with collaborative collections process to ensure maximum revenue recovery
Limited Impact
Talent Supply Chain
Finance
Exemplary Metrics*
10% improved win rate
1% margin improvement
7% higher customer satisfaction
26% fewer days to close annual books
25% fewer days sales outstanding
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*SAP benchmarking, software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA transforms Professional Services business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core Business Development and Sales
Project Based Business Monitor all project KPIs in real time to drive profitability:
Immediately connect clients to new services:
•
Connect back office data with sales development in real time and better engage customers
• Monitor project performance and immediately predict profit outcomes
• Instantly leverage project history to develop new solution offerings and pricing models
Enable instant insight into customer interactions to identify new opportunities
• Leverage real time project resource requirements connected to talent resources to accelerate fulfilment of resource demands
• Accelerate execution of service requests with instant insight
Finance
Talent Supply Chain
Managed Service Business
Drive real-time account management with a 360-degree customer view:
•
Assets & Internet of Things
Talent supply chain Business networks
Accelerate project ramp up with holistic workforce and talent management : • Simulate and predict talent supply and demand scenarios and financial impact • Leverage social media and talent networks to attract the best talent
Sourcing and Procurement
Allow for visibility into the state of the business at any time:
Leverage business networks to meet compliance requirements, while cutting costs and risks :
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Collaborate with your suppliers and contingent workforce to meet stringent savings targets with simple self service ordering and automate approval flows.
Customer experience omni-channel
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Public Sector
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SAP S/4HANA on-premise Value Proposition
Operational Excellence
Public Sector: Major business benefits Applicable E2E process with S/4HANA (generic) Operational Excellence
Economic Prosperity
Strategic Planning and Performance Real-Time Analysis, Awareness and Prediction Assets and Infrastructure Integrated Mobility and Transport
Contribution, Revenue and Taxes Payment Enforcement and Debt Recovery Economy, Jobs and Labor Market Fraud, Assurance and Compliance
Economic Prosperity
Procurement
Saving lives Reducing losses improving livability
Provide world-class services to citizens with a great digital experience Automate and streamline service delivery processes for social protection and drive positive citizen and social outcomes Integrate governance, regulations, and licensing to create an open government that can compete in the global economy.
Human Resources
Core Human Resources and Payroll
Optimizing end-to-end payroll process Reducing processing time Increasing quality of results of payroll process and insight into payroll
Budget and Finance
Public Sector Budget Planning Public Sector Financials Treasury and Financial Risk Mitigation Enterprise Risk and Compliance Collaborative Finance
Citizen Needs
Citizen Needs
Human Resources
Exemplary Metrics*
80% increased response rate to infrastructure issues
Low or zero touch taxation 360° real-time taxpayer view and improved compliance Increasing collection rate Increasing flexibility for legislation / policy changes Preventing fraud and abuse
Digital Experience Social Protection and Benefits Governance Regulation and Licensing
Resilience and Security
Budget and Finance
Industry specific Benefits
Limited Impact
Medium Impact
High Impact
Accelerating reporting cycles and reconciliation Improving real time budget information Reducing time to close books Increasing accuracy and transparency
-15% Cost per interaction
40% Reduced closing time
*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms Public Sector business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core Meeting Citizen Needs
Sustainable Government Funding Prevent fraud and non-compliance with an end-to-end compliance solution: • Achieve end to end enterprise fraud management: • Analyze fraud patterns in real time • Setup detection rules and calibrate detection strategies • Execute mass and real-time detection and stop noncompliant business transactions
Human Resources Improve employee engagement and business outcomes by more easily and effectively attracting, developing, and retaining the right talent: • Integrate end-to-end HR and financial processes
Business networks
Public Security
Improve citizen engagement:
• Reduce complexity with a single view of government and simplified services that can be easily consumed via any device and channel • Garner real-time 360-view of all citizen activities across all channels
Understand on scene active emergency situations in real time: •
Distill multiple sources of data on a visually intuitive mapping interface to uncover actionable insight.
•
Monitor and evaluate situations to improve decision making.
• Personalize self-service capabilities delivered to constituents via their preferred time, channel and device
Budget and Finance
Procurement
Capital investment projects
Allow for visibility into the state of the enterprise at any time:
Drive sustainable savings while supporting innovation:
Secure the success of complex investment projects for construction and real estate:
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
•
•
Assets & Internet of Things © 2016 SAP SE or an SAP affiliate company. All rights reserved.
Obtain the speed, efficiency, and collaboration to mitigate risks and control your costs.
Support detailed planning for projects and cost controlling and compare actual and forecasted project costs.
Constituent experience Omni-channel
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Retail
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SAP S/4HANA on-premise Value Proposition
R&D / Engineering
Retail: Major business benefits
Sales
Procurement
Limited Impact
Medium Impact
High Impact
Manufacturing
Supply Chain
Aftermarket Service
Human Resources
Finance
•
IS-Retail and Fashion processes are not released part of the SAP S/4HANA Enterprise Management 1511 (OP and Cloud) release.
•
First release of SAP S/4HANA Merchandise Management** is planned to be released 1611 (OP only).
•
Retail offering regarding S/4HANA until 1611 consists of the following solutions which are S/4HANA branded: •
SAP S/4HANA Finance standalone or w/ SAP Merchandising (ERP Retail) on SAP HANA
•
SAP Customer Activity Repository and consuming applications (e.g. Assortment Planning, Promotion Planning)
•
Optional S/4HANA components such as SAP S/4HANA Cloud Marketing Edition Applicable E2E process with S/4HANA (generic) Real-time
Sales
mission-critical business processes across your entire enterprise One single source of live information and truth for finance and operations Prediction, simulations, what-if analyses for retail planning and optimization Personalized user experience on any device
Finance
Predict cash flow using buyer behavior forecasting Perform financial close quickly and accurately Gain real-time visibility into customer and vendor accounts
Industry specific Benefits
Exemplary Metrics*
Faster business outcomes with reduced operational cost thanks to a simpler IT Enterprise-wide consistency and minimized errors especially critical for finance Increased competitiveness with integrated, fast, and flexible business processes
lower DSO for organizations with lower Average Sales Discount
Faster financial close and lower costs and Single source of truth, no planning silos in applications Lower TCO and higher through-put Easy to adapt through customer specific dimensions and planning functions
35%
65% Faster financial close processes
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*SAP software implementation or Preliminary results from ramp-up customers; ** Internal working title as official name not yet defined © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms Retail business processes Reimagine business processes for fundamentally higher performance
Digital Core
Workforce engagement
Customer centric Marketing & Merchandizing
Sourcing Procurement & Private Label
Supplier collaboration business networks
Omnicommerce Customer Experience
Supply chain
Maximize revenue generation with real-time customer insights and predictive analysis
Connect to global Business networks and increase procurement efficiency:
Enable flexible and reliable Omnichannel deliveries
Deliver compelling, seamless, and reliable shopping experiences
•
Understand your customers in detail for targeted promotions to granular segments
• Collaborate instantly with global suppliers via the Ariba Network
• Create one unified view at demand everywhere
•
Use real-time customer analytics for personalized offers at the moment of decision
•
Create relevant assortments based on direct customer insights
• Enable endless aisles with large complementary assortments
• Optimize inventories with real time visibility
•
Create effective, targeted customer engagement across channels
•
Respond to changes in demand and adjust pricing and promotions in real time
• Automate procurement proposals based on real-time inventory and sales forecasts
• Drive real time response to granular changes across the supply network
•
Empower your store and sales personnel with a single view at the customer
Finance
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain an effective any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide • Develop the right talent and skill set in a • Perform soft-close to understand store and changing environment with demanding category level profitability in real time customers
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Omni-customer experience
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Telecommunications
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Medium Impact
High Impact
SAP S/4HANA on-premise Value Proposition
Customer Engagement & Commerce
Telecommunications: Major business benefits Applicable E2E process with S/4HANA (generic) Customer Engagement & Commerce
Revenue & Margin Optimization
Operational Excellence
Procurement Excellence
Billing and revenue innovation management Sales planning and performance management
Accounting Billing and revenue innovation management
Supplier Collaboration Supplier information and master data Maintenance
Operational procurement Invoice and payables management Operational sourcing and contract
management
Finance
Accounting and financial close Accounting Cost management and profitability analysis
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Revenue & Margin Optimization Human Resources
Operational Excellence Finance
Industry specific Benefits Increase efficiency and productivity by streamlining the complex channels Improve customer insights Improve customer retention by tailoring contracts and offerings Reduce cost for the finance department by automating postings Generate high-quality results required by international and local financial reporting standards Improve compliance and auditability by enabling production and publication of reliable, complete, and auditable financial and regulatory statements Collaborate on fulfilling orders On-time delivery of orders through multichannel options Optimize maintenance activities by providing all relevant information Faster order and invoicing cycle times with fewer errors and ability to drive early payment discounts Improve contracting and compliance with comprehensive contract management solution Send and receive digitally signed, legally compliant invoices electronically One source of truth for finance and operational data Instant insight to enable timely and relevant decisions, with no lag time Predictive, what-if analysis and simulation for continuous business and financial planning *SAP Performance Benchmarking
Limited Impact
New Digital Business Procurement Excellence
Exemplary Metrics*
+17% Pipeline growth when cross and up-sell opportunities are proactively pursued
14% Better response with realtime integration to the customer order system
28% Savings through increased contract compliance
-29% Process cost when analysis is based on a single source of truth
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SAP S/4HANA Transforms Telco business processes Core Business Processes and Challenges Digital Core Customer Engagement & Commerce Drive customer engagement and sales by offering a unified omni-channel experience • Boost revenue by delivering a contextual experience across all touch points • Create profitable digital services with flexible pricing • Provide real-time service control for a better subscriber experience
Revenue and Margin Optimization
Operational Excellence
Improve organizations financials strategy, alignment and agility
• Support consistent standards and efficient processes for reduced cycle times
• Gain transparency and insight boost profitability, reduce risk and comply with international and local accounting standards
Automate and streamline complex, highvolume invoice processes & purchasing documentation • Facilitate Simple, fast, touchless, and error-free purchasing, invoice & payment process through the Ariba Network © 2016 SAP SE or an SAP affiliate company. All rights reserved.
• Manage assets, improve profitability and create effective multichannel delivery • Ensure the right products are at the right location at the right time
• Enable staff to collaborate more efficiently and use business insight more effectively
Procurement
Enable Telcos to become more efficient
New Digital Business Generate new sources of revenue using innovative digital business services • Build a sustainable Internet of Things business beyond plain connectivity.
• Optimize maintenance strategies based on asset criticality
• Create new revenue by running applications in the cloud for businesses of any size – any industry.
• Improve productivity and safety with information always accessible online or offline.
• Monetize the value of rich customer behavior data in an anonymized and aggregated form.
Finance
• Expand service offerings for retailers, advertisers, that drive faster decision making.
Human Resources
Allow for visibility into the state of the business at any time:
Manage, develop, reward, and retain a global workforce:
• Enable real-time financial close for faster, more accurate, and more collaborative decision making and execution enterprise-wide
• Integrate end-to-end HR and financial processes for budget and head count
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Travel and Transportation
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SAP S/4HANA on-premise Value Proposition Travel and Transportation: Major business benefits Applicable E2E process with S/4HANA Asset Management
Sales & Marketing
Human Resources
Procurement
Asset
Operations and Maintenance and Incident management Equipment Lifecycle Management Safety
Sales planning and performance management Omni-channel Service Excellence Customer experience and engagement Billing and Revenue Innovation Management
Manage,
develop, reward, and retain a global, empowered workforce
Supplier information and master data Operational procurement, sourcing
and contract management Invoice and payables management Finance
Sales & Marketing Procurement
Limited Impact
Medium Impact
High Impact
Operations
Finance
Industry specific Benefits • Support the transition from a static, time- and usage-based to a dynamic, condition- and predictive maintenance strategy based on remote diagnostics data in real-time • Increase asset availability, reliability and customer service. Reduce maintenance and compliance related costs. Maximizing opportunities and wins through real-time forecasting and analytics as well as collaborative sales force automation • Increase traveler experience through personalized and contextualized marketing across different channels • Simplify complex billing processes and reduce Days Sales Outstanding • Integrate end-to-end HR and financial processes for budgeting • Increase employee engagement and retention Improve compliance and reduce maverick spend Reduce operational expenses through fully automated P2P process
Allow for visibility into the state of the business at any time by Accounting and financial close real-time analysis to make timely, relevant decisions Cost management and real-time profitability one common view to ensure enterprise-wide consistency & minimize analysis reconciliation • Instant digital trail improves DSO with lower disputes
Asset Management Human Resources
Exemplary Metrics*
-18% Unplanned outages when using preventive vs reactive maintenance Source: SAP and customer benchmarks
20% Increase in mediation and rating performance
86% faster real-time analytics
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms Transportation business processes Reimagine business processes for fundamentally higher performance
Digital Core
Workforce engagement
Sales and Marketing
Operations
Immediate alignment of sales contracts and operational services:
Immediate and continual visibly to the entire order lifecycle:
• “Productize’ services
• Instantly inform customers and immediately mitigate problems in the logistics network
• Improves performance and drives higher rates of customer satisfaction • Instantly target bids and quotes that match demand
Supplier collaboration business networks
• Automate charge management with real-time events matched against contract requirements • Real-time simulation to predict network bottlenecks with alternatives
Finance
Asset Management Immediately leverage historical operational and asset data to deliver uninterrupted transportation and logistics services • Digitally connected asset maintenance linked to operational impact • Instantly rebalance assets in the network for maintenance and repair processes integrated directly with operations.
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Customer experience
• Instant digital trail improves DSO with lower disputes
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SAP S/4HANA Transforms Travel business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Supplier collaboration business networks
Digital Core Strategic Demand Management
Operations and Asset Management
Immediately account for resources across a variety of transportation routes or hospitality properties by offering the right packages and services:
Immediately leverage historical operational and asset or property data to deliver uninterrupted travel experiences:
• Digitally connected asset and property maintenance • Immediate, sound decisions based on relevant profitability insight • Immediate sense of operations costs – back office connected to • Optimized fuel procurement and real time consumer engagement risk management for quick market changes
Finance
Omnichannel Marketing Immediate, relevant understanding of the traveler at all times throughout the journey: • Anticipate the behavior of potential guests • Connect constantly with travelers to assist throughout their journey to create loyal brand advocates
Omnichannel Sales and Service Immediately service your travelers and guests throughout the journey to change they way you secure long term loyalty: • Real-time, consistent service experience across channels and brands • Optimize each interaction by connecting them with the right content in real time
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Traveler experience Omni-channel
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Utilities
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Medium Impact
High Impact
SAP S/4HANA on-premise Value Proposition Utilities: Major business benefits Applicable E2E process with S/4HANA (generic) Fuel
Supply Chain Management
Energy Supply Chain Optimization
Operational Efficiency for Plants & Grids
The Intelligent Grid
Customer Experience
Asset Operations and Maintenance Asset Network
Meter Logistics and Operation Services Measurement Data Management
Omni-channel Contextual Marketing Sales and Customer Service For Residential Customers Sales and Customer Service For Commercial and Industrial Customers Bill to Cash for Utilities
Energy Supply Chain Optimization
Operational Efficiency for Plants & Grids
Industry specific Benefits Reduced inventory cost by real time view on inventory levels and real time information on supplier capacities Simulation of delivery capabilities by faster MRP runs Reduce maintenance costs by having an efficient maintenance strategy and executing it Improve asset availability and performance by enabling maintenance engineers to detect emerging issues and fix equipment long before failures occur (Predictive Maintenance) Increase asset utilization by knowing all relevant data in real-time Reduce number of days from meter reading to invoicing by receiving the meter readings remotely, on schedule, or on demand Enable Ad-Hoc settlements to avoid additional cost in Energy Portfolio Management Increase performance of market-settlement operations for large amounts of smart meters Target customers effectively and in real-time after understanding their sentiment and preferences Create customer segmentation models in minutes Increase call center efficiency and customer satisfaction by predicting customer behavior Provide decision support based on operational analysis in real-time *SAP internal test/benchmark **Benchmarks achieved in customer projects
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
The Intelligent Grid
Customer Experience
Exemplary Metrics*
Faster Material Requirement Planning Process
>30x faster scheduling of maintenance plans*
18% Lower unplanned outages with predictive maintenance approach*
>25x faster asset investment planning process**
50x faster load forecasting**
90x faster Energy Data Settlement**
13% Increase in interactions per day when agents are provided with comprehensive-up-to-date customer views* Back Public
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SAP S/4HANA Transforms Utilities business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Supplier collaboration Business networks
Digital Core Operational efficiency for plants and grids
Fuel supply chain optimization
The intelligent grid
Customer experience
Reduce fuel costs and speed order to delivery
Maximize asset availability and reduce unplanned outages
Reduce energy waste and eliminate energy shortages
Improve customer loyalty and reduce cost of service per customer
Integrate the supply chain by
Offer a single, real-time view of
Optimized energy consumption through smart meters and demand-side management
Provide a 360-degree, real-time
bringing suppliers and buyers together through business networks
plant and business performance
Analyze asset performance in real-time
Provide an accurate reconciliation between production capacity and demand
Finance
Optimize operational performance through the convergence of IT/OT systems and processing big data
view of the customer
Insight into customer behavior and sentiment in real-time
HR
Allow for visibility into the state of the business at Manage, develop, reward, and retain a global any time: workforce:
Assets & Internet of Things
• Enable real-time financial close for faster, more • Integrate end-to-end HR and financial accurate, and more collaborative decision processes for budget and head count making and execution enterprise-wide
Customer experience omni-channel
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Wholesale Distribution
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Medium Impact
High Impact
SAP S/4HANA on-premise Value Proposition
Opportunity to Cash
Wholesale Distribution: Major business benefits Applicable E2E process with S/4HANA (generic) Opportunity to Cash
Procure to Pay
Collaborative sales force automation Collaborative quote to cash Transparent service process and operations
Direct procurement Strategic sourcing and
supplier management
Procure to Pay
Human Resources
Finance and General Trading
Industry specific Benefits Smart Business Applications like Advanced Sales Order Fulfillment Cockpit deliver real-time and relevant information to the sales rep helping to Improve “Perfect Order” ratio Increase customer satisfaction and loyalty Faster decision making, reduce operational costs of order processing
Working on real-time data it’s possible to run MRP on-request instead of batch Real-time data and improves on-time delivery, lowers inventory write-offs and increases inventory turnover
Platform and Technology
Platform and Technology Analytics Data Management
Spotlights
New User Experience helps simplify business tasks, ensures fast learning curve and reduces total cost of ownership with task based applications that require few mouse clicks to execute Embedded (Contextual) Analytics brings real-time information to the user when it matters ensuring fact-based decisions
Finance and General Trading
Accounting and Financial Finance Operations
Close
Cut significant time from period-end close Faster real-time analytics Faster cost postings
Supply Chain Planning and Execution
Profitability Optimization
Demand Management Sales, inventory, and operations planning Warehouse Management
Cost recovery and rebates
Supply Chain Planning and Execution
Real-time high volume processing eliminates former bottlenecks in Supply Chain Execution to achieve Fewer stock outs Improved order fulfillment Lower safety stock levels Increased flexibility for handling rebate programs and support for individually tailored rebate programs to increase sales to B2B customers
Limited Impact Profitability Optimization
Platform and Technology
Exemplary Metrics*
+72% Operating margin where users have access to relevant cost information
-15% Lower Cost indirect, direct, and services procurement from SAP
62% Users rate real-time contextual analytics as a key capability
86% faster real-time analytics
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*SAP software implementation or Preliminary results from ramp-up customers © 2016 SAP SE or an SAP affiliate company. All rights reserved.
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SAP S/4HANA Transforms Wholesale business processes Reimagine business processes for fundamentally higher performance
Workforce engagement
Digital Core Procure to Pay
Opportunity to cash Build customer loyalty and grow revenue and profitability: • Use real-time data to deliver the perfect order • Provide sales team with mobile access to current data • Drive new revenue with real-time multi-channel customer service
Streamline procurement processes, drive compliance, and cut costs and risks: • Collaborate with suppliers in realtime driving efficiency gains • Instantly identify risks by managing all direct procurement activities in one place
Finance
Assets & Internet of Things
Supplier collaboration business networks
Allow visibility into the state of the business at any time: • Execute a soft close to gain early insight into profitability • Predict changes to increase organizational agility, control costs, and align execution with strategy
© 2016 SAP SE or an SAP affiliate company. All rights reserved.
Supply chain planning and execution Transition to demand networks from supply chain silos: •
Integrate inventory planning with business goals in an easy, collaborative environment
•
Leverage instant insight to manage warehouses with improved quality and cost
Profitability Optimization Gain insight and focus on the most profitable customers, products, and suppliers: • Monitor the entire supply chain and report activities in real time • Instantly capture agreement and transaction data, manage claims, and control changing agreements
HR Manage, develop, reward, and retain a global workforce: • Integrate end-to-end HR and financial processes for budget and head count • Attract, develop, and retain the right talent to improve business outcomes
Customer experience omni-channel
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Contacts Michael Lamade Global Head of S/4HANA Industry Program
Holger Brammer Director GPO Portfolio Management ERP Solutions
SAP SE
SAP SE
+49 160 3603219 michael.lamade@sap.com
+49 151 53858821 holger.brammer@sap.com
www.sap.com
www.sap.com
Dr. Martin Klein Global Vice President Public Services Partner Management SAP SE +49 6227 761576 marti.klein@sap.com www.sap.com