an a-z guide to planning, managing, and executing an sap bw project part 1

© 2004 Wellesley Information Services. All rights reserved.

Dr. Bjarne BergComerit Inc.

An A-Z Guide to Planning, Managing, and Executing an SAP BW Project

Part 1

2

What We’ll Cover (part 1)…

• Writing the BW business case • Defining the scope• Writing the milestone plan• Timelines and staffing plan• Budgeting• On-boarding and training• Writing the workplan• Monitoring progress• Monitoring BW quality and a formal approval process• The BW user acceptance group and its role• Wrap-up

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What We’ll Cover (in part 2)…

• The blueprinting phase Leveraging the standard content Modeling for your solution Deliverables

• The realization phase Best practices for managing the implementation of ODS and InfoCubes Managing the environments and transports Managing unit, system, integration & stress testing of BW

• The implementation phase Executing the cut-over to production Conducting end-user and power user training Establishing the end-user support organization Post-implementation review and next steps

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Writing the Business Case

Money

Strategy

Reducing time and effort of delivery

Improved information quality and access for end users

The business case must be aligned with some concrete business benefits.

The best way to write a business case is to align it with one of these areas:

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Summary of Business Benefits of BW (1 of 3)

Users get earlier access to information

Load times in BW is reduced compared with traditional custom developed data warehouses

Business users need a high availability of data

Information Access

Users spend less time on reconciling data and more on analyzing it.

BW is “closer” to the source system and more accurately reflects data

A substantial portion of the data warehouse effort is spent on reconciling information

Reconciliation Effort

Enables web initiatives to get “closer” to the source data both in time and consistency.

BW is closely integrated with R/3 and can deliver data that reflects the source system at short time intervals.

Web delivery requires rapid data delivery of high consistency with the source system.

Web strategy

Substantial cost savings by not having to redevelop new extract programs for each SAP upgrade

BW follows the upgrade path with R/3

Rehosting extract programs from R/3 when upgrading R/3 is expensive.

Cost Avoidance

Substantial maintenance cost savings

SAP is responsible for maintenance of the product.

Maintaining custom developed application is complex and expensive.

Cost of Ownership

BenefitBW ObservationArea

Users get earlier access to information

Load times in BW is reduced compared with traditional custom developed data warehouses

Business users need a high availability of data

Information Access

Users spend less time on reconciling data and more on analyzing it.

BW is “closer” to the source system and more accurately reflects data

A substantial portion of the data warehouse effort is spent on reconciling information

Reconciliation Effort

Enables web initiatives to get “closer” to the source data both in time and consistency.

BW is closely integrated with R/3 and can deliver data that reflects the source system at short time intervals.

Web delivery requires rapid data delivery of high consistency with the source system.

Web strategy

Substantial cost savings by not having to redevelop new extract programs for each SAP upgrade

BW follows the upgrade path with R/3

Rehosting extract programs from R/3 when upgrading R/3 is expensive.

Cost Avoidance

Substantial maintenance cost savings

SAP is responsible for maintenance of the product.

Maintaining custom developed application is complex and expensive.

Cost of Ownership

BenefitBW ObservationArea

Money Reducing Time and Effort of delivery

Strategy Improved information quality & access

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Area Observation BW Benefit

Faster Deployment Need to increase time to delivery of new applications and enhancements to existing areas

Use of 60-80% of pre-delivered content increased development speed

Reduced development time for new decision support areas

Integrated Products SAP is offering a variety of new products and modules that the organization might want to leverage in the future

BW is the “corner stone” in SAP’s New Dimension product offerings

Enables closer integration with other SAP modules

Query speed Business users need data fast Through use of summaries, BW’s architecture lends itself to faster query performance

Users get faster access to information




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Area Observation BW Benefit

SAP Strategy It is the organization’s SAP strategy to leverage investments in the SAP to the fullest extent.

BW is a SAP product that fits the organization’s strategy. We can also leverage the organization’s Basis and ABAP people in BW projects.

Strategic fit and synergy with SAP.

Tool Standardization The organization must be able to leverage industry standards to enable business users to access data in a variety of ways

Microsoft’s ODBO application interface and Java (BW 3.5) are supported by a variety of major presentation and web tools.

Simplifies user access to data and provides higher flexibility to leverage presentation and web tools as well as making own tools.

Industry Trend The organization’s competitors and some of the organization’s business areas are installing BW

Increased industry resource pool and knowledge of BW

Enables the organization to leverage industry solutions and know-how.




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Defining the Scope

• First determine what the business drivers were and make sure you meet these objectives.

• Define the scope in terms of what is included, as well as what is not included.

• Make sure you obtain approval of the scope before you progress any further. All your work from now on will be driven based on what is agreed to at this stage.

• As part of the written scope agreement, make sure you implement a formal change request process. This typically includes a benefit-cost estimate for each change request and a formal approval process.

Change management is done to manage scope, timelines and competing business requirements.

Note

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Defining the Scope (cont.)

1. For the first go-live, keep the scope as small as possible, i.e. Accounts Payable, Accounts Receivable, G/L or COPA

2. You have only 3 dimensions to work with:

If one of these dimensions changes, you have to adjust at least one of the others

Time

Scope

Resources(people, technology

and money)

Warning

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Prioritizing the Scope (Example)July Aug Sept Oct Nov Dec Jan Feb MarApr May Jun July Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun July Aug Sept Oct Nov Dec

Procurement details & summary receipts

Contracts

Settlements

Inventory

Sales

Master Agreements

Contractor

General Ledger

A/R & Credit Mgmt

SNOP

Cost

Procurement

Inventory Planning

Source Analysis (enhancements)Sales opportunity

Blueprinting Realization Cutover and go-live

2005 20062004

Tax-severance & processor

Plan multiple implementations and write a long-term outline that may change (using a formal change request process).

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Time PeriodsExample Strategy Plan Milestones 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25Setup, on-boarding and kick-off sessionTechnical AssessmentTechnical assessment of Infocube designTechnical assessment of infrastructureTechnical assessment of ETL Technical assessment of security and role designTechnical assessment of BeX queries and viewsTechnical assessment of web delivery approachBusiness Assessment Organizational needs assessmentReporting process assessmentConversion assessmentOrganizational impact statementReview of support organizationTechnical support resource needs assessmentDevelopment approach and standardsTraining planning (project, support and end-users)Migration PlanningAnalysis reportsStatic reportsKnowledge transfer planningTechnical workshops planningTraining planDeliverable completionTechnical assessment documentBusiness assessment documentProposed scope and rollout plan for future deliveryWorkplan for proposed next stepsStaffing plan for next stepInfrastructure plan for next stepProposed budget for next stepPresentation of proposal

Use milestone plan to illustrate dependencies and high-level tasks:

Post this plan on the

walls in the hallways,

don't hide it in the

PM's office!!!

Keep it under 30

items!!

Writing the Milestone Plan

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• Developer training should start early for all project team members

• SAP R/3 skills are not easily transferable to BW; hands-on experience is needed (it is very hard to learn while being productive)

• The quality of the team members is much more important than the number of members. A skilled BW developer can accomplish in one day what 3 novice developers can do in a week (the tool has a steep learning curve).

• Project time and cost estimates should be based on team’s experience level

• Plan on formal knowledge-transfer from external resources from day one. Link inexperienced members with experienced ones

• Have identified “go-to” resources available in all areas (make a list)

Timelines and Staffing Plan: Lessons Learned…

Note

(we will take a second look at this when we do the budgeting!)

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Example: Small BW Project for Single Subject Area (e.g. Billing, Inventory or Accounts Payable).

4-5 team members and normally 3-6 months duration depending on scope

Basis and functional R/3 support

These are roles, not positions. (Sometimes one team member can fill more than one role.)

Project sponsor

Project Manager.

Business team Technical team

Business analyst

Presentation developer

BW Architect

ETL developer

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Example: Mid-sized BW Project for Single Complex Subject Area

(e.g. Cost and Profitability, Internal Billing).




Project sponsor/Steering Committee

Project Manager

BWArchitect

Business Analyst(s)

Extract, Transforms and Loads

Data Management(InfoCubes & ODS)

Presentation Developer(s)

Sr. Business analyst

Business analyst

Sr. ETL developer

ETL developer

Sr. BW developer

BW developer

Sr. Presentation developer

Presentation developer

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Example: Large BW Project for Multiple Subject Areas (e.g. Sales, Finance and Material Management)




Portal developer(s)

BW Architect

Business analyst/(sub-team lead)BW developerPresentation developer(s)ETL developer

Sales Team


Finance Team


Material Mgmt. Team

Project Manager

Project sponsor/Steering Committee

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Budgeting Process Steps

Create the milestone plan and the scope statement first, before attacking the budgeting process!!

Start the budgeting process by estimating the workload in terms of the development effort.

1. Size the BW effort based on the scope

2. Prioritize the effort

3. Map the effort to the delivery schedule

4. Plan for number of resources needed based on the scope, delivery schedule and the effort.

We will now look at an example

how this process works in the real

world

Tip

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1. Size the BW Effort Based on the Scope (Real Example)

Customization

Tech. Dev. infocube

Extraction and transforms

Report and roles

Security and scheduling

Web develop-

ment

User support/ planning

Project mgmt and admin

System docs & manuals

Tech infra-structure

Bus. Analysis, training, req.

gathering, change mgmt.

Total Hours

FinancialsL General ledger line item (ODS) 216 229 188 101 132 134 100 79 150 403 1,732M COPA 158 286 153 127 153 152 120 94 180 470 1,893L Prod cost planning released cost

estimates (COPC_C09)216 229 188 101 133 135 100 79 150 403 1,734

M Exploded itemization standard product cost (COPC_C10)

238 286 216 126 153 152 120 94 180 470 2,035

L Cost and allocations (COOM_C02)

216 1144 188 101 132 135 100 79 150 403 2,648

M Cost object controlling (0PC_C01)

238 286 216 137 153 152 120 94 180 470 2,046Order

L Billing 216 229 187 101 132 135 100 79 150 403 1,732L Sales order 216 229 187 101 132 135 100 79 150 403 1,732L Acct. Rec. (0FIAR_C03) 216 229 187 101 132 135 100 79 150 403 1,732

Deliver L Shipment cost details

(0LES_C02)216 229 187 101 132 135 100 79 150 403 1,732

L Shipment header (0LES_C11) 216 228 187 101 132 135 100 79 150 403 1,731L Stages of shipment (0LES_C12) 216 228 187 101 132 135 100 79 150 403 1,731L Delivery data of shipment stages

(0LES_C13)216 228 187 101 132 135 100 79 150 403 1,731

L Delivery service (0SD_C05) 180 229 133 101 132 134 100 79 150 403 1,641Planning and Scheduling

L Material Movements (0IC_C03) 216 457 132 101 132 134 100 79 150 403 1,904M APO Planning 277 832 216 127 153 152 120 94 180 470 2,621M SNP Integration 277 832 216 127 153 152 120 94 180 470 2,621

Manufacturing Processes M Production Orders 277 832 216 127 153 152 120 94 180 470 2,621M Cross Applications 277 832 216 127 153 152 120 94 180 470 2,621

Total Hours 4,298 8,074 3,587 2,110 2,656 2,681 2,040 1,606 3,060 8,126 38,238

Remember that your sizing also has to be based on the team’s experience and skill level.

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2. Prioritize the Effort

Financials qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3General ledger line item (ODS)COPAProd cost planning released cost estimates (COPC_C09)Exploded itemization standard product cost (COPC_C10)Cost and allocations (COOM_C02)Cost object controlling (0PC_C01)Order Billing Sales orderAccounts receivables (0FIAR_C03)Deliver Shipment cost details (0LES_C02)Shipment header (0LES_C11)Stages of shipment (0LES_C12)Delivery data of shipment stages (0LES_C13)Delivery service (0SD_C05)Planning and Scheduling Material Movements (0IC_C03)APO PlanningSNP IntegrationManufacturing Processes Production OrdersCross Applications

2005 2006 2007

The next step is to prioritize and outline the effort on a strategic timeline

Make sure your sponsor and the business community agree with your delivery schedule

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3. Use Project Estimates & the Timeline to Create Project Load Plan

There are 480 available work hours per project member per quarter. Knowing this, we can plan the number of team members we need……

Financials qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3General ledger line item (ODS) 866 866 1,732COPA 946.5 947 1,893Prod cost planning released cost estimates (COPC_C09)

867 867 1,734

Exploded itemization standard product cost (COPC_C10)

1017.5 1017.5 2,035

Cost and allocations (COOM_C02) 1324 1324 2,648Cost object controlling (0PC_C01) 1023 1023 2,046Order Billing 866 866 1,732Sales order 866 866 1,732Accounts receivables (0FIAR_C03) 866 866 1,732Deliver Shipment cost details (0LES_C02) 866 866 1,732Shipment header (0LES_C11) 865.5 865.5 1,731Stages of shipment (0LES_C12) 865.5 865.5 1,731Delivery data of shipment stages (0LES_C13)

865.5 865.5 1,731

Delivery service (0SD_C05) 820.5 820.5 1,641Planning and Scheduling Material Movements (0IC_C03) 952 952 1,904APO Planning 1310.5 1311 2,621SNP Integration 1310.5 1311 2,621Manufacturing Processes Production Orders 1311 1,311 2,621Cross Applications 1311 1,311 2,621

Total 1,813 1,813 4,232 4,232 2,598 2,598 4,283 4,283 3,573 6,195 2,622 38,238

2005 2006 2007

Note

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4. Result: Good Input for the Staffing Costs and Planning…

Many companies plan a 60%- 40% mix of internal and external resources for a first go-live. Also, most use $50-$90 per hr for internal budgeting and $90-$170 per hr for external resources.

Number of team members

-

2

4

6

8

10

12

14

qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3 qtr 4 qtr 1 qtr 2 qtr 3

Use this information to plan for training, on-boarding and staffing

Tip

This spike in resource needs is due to an overlap in the delivery schedule

Now might be a good time to review that decision…

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On-Boarding and Training

Ideal Yrs Experience (minimum)

Training days (if new in the

role)

In-house training

daysBW Developer 2+ 15 3-5ETL Developer 3+ 15-20 3-5Presentation Developer 1+ 5-10 3-5Project Manager 5+ 10-15 3-5Business Analysts 5+ 5-10 3-5

Don’t underestimate the value of in-house, hands-on training in addition to formal SAP training classes.

Note

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J - DATA TRANSFORMATION SYSTEM DESIGN J1 - Develop High-level Data Transformation System Design J1.1 - Develop a System Architecture Diagram for the broader system environment. J1.2 - Design data extract system component. J1.3 - Determine Uses of Pre-Configured InfoSources. J1.4 - Identify New InfoSources to be Created. J1.5 - Design data transform system component. J1.6 - Design data transfer system component. J1.7 - Design data refresh/update system component. J1.8 - Design end-of-period update system component. J1.9 - Determine the audit and monitoring requirements of the data transformation system. J1.10 - Evaluate data transformation system design. J2 - Develop Data Extract System Interface Design J2.1 - Refine the interface requirements for data extraction from the source systems. J2.2 - Review interface source systems. J2.3 - Determine system interface approaches. J2.4 - Design each interface. J2.5 - Complete a structured walk-through of the extract system interface design. J3 - Develop Data Transformation System InfoSource Design Specifications J3.1 - Design Communication Structure for Subject Area InfoSource. J3.2 - Identify/Design Data Source Transfer Structures. J3.3 - Prepare Edit/Validation Specifications for Local Transfer Routines. J3.4 - Develop Table Definitions. J3.5 - Develop Monitor Response for Edits/Validations. J3.6 - Prepare initial test plans for each InfoSource and component grouping. J3.7 - Conduct a structured walk-through of the InfoSource design specifications. J3.8 - Evaluate and resolve issues as required. J4 - Develop Data Conversion Design Specifications. J4.1 - Determine the condition of the existing data. J4.2 - Map data elements. J4.3 - Determine volumes of all data for conversion. J4.4 - Determine the source data for conversion and the conversion method. J4.5 - Define required selection and purge criteria, creation and translation rules. J4.6 - Review data conversion requirements to determine error identification and cleansing strategies. J4.7 - Develop a strategy for reconciling converted data. J4.8 - Develop data conversion acceptance criteria and acceptance test strategy. J4.9 - Develop a System Diagram for the conversion sub-system. J4.10 - Define staff resources and project management required for conversion. J4.11 - Assemble the data conversion strategy and prepare a data conversion work plan. J4.12 - Submit and discuss the data conversion plan with management. J4.13 - Obtain formal written approval of the data conversion plan. J5 - Submit Data Transformation System Design Deliverable J5.1 - Assemble data transformation system design deliverable. J5.2 - Conduct a structured walk-through of the design specification. J5.3 - Document and resolve issues as required. J5.4 - Submit and discuss the data transformation system design deliverable. J5.5 - Obtain formal written approval of the data transformation system design deliverable.K - PRESENTATION SYSTEM DESIGN K1 - Develop High-level Presentation System Design K1.1 - Develop a system diagram for the broader system environment. K1.2 - Develop high-level system design for the presentation system components. K1.3 - Determine the query/report design requirements for the presentation system analysis tools. K1.4 - Develop high-level design for presentation tools. K1.5 - Discuss and obtain formal written approval for the high-level presentation system design. K2 - Create Authorization Detailed Design K2.1 - Review the Organization's Security Policy K2.2 - Document Access Required Associated by Job Functions K2.3 - Conduct Authorization Interview with Data Owners K2.4 - Identify Information Access and Service Use K3 - Develop Presentation System Interface Design K3.1 - Identify Presentation/Layout Preferences K3.2 - Determine Uses of Pre-Configured Reports K3.3 - Prepare Query Specifications. K3.4 - Assemble Business Explorer Object specifications. K3.5 - Conduct a structured walk-through of the Business Explorer Object specifications. K3.6 - Evaluate and resolve issues as required. K4 - Submit Presentation System Design Deliverable K4.1 - Assemble presentation system design deliverable. K4.2 - Conduct a structured walk-through of the design specification. K4.3 - Document and resolve issues as required. K4.4 - Submit and discuss the presentation system design deliverable. K4.5 - Obtain formal written approval of the presentation system design deliverable.

L - DATA DESIGN L1 - Develop Logical Data Model L1.1 - Review the completeness of the inputs. L1.2 - Transform the CDM into a preliminary LDM. L1.3 - Place each entity into third normal form. L1.4 - Finalize the selection of primary and foreign keys. L1.5 - Finalize the definitions of attributes. L1.6 - Refine entity relationships. L1.7 - Estimate data volumes. L1.8 - Complete a preliminary analysis of performance efficiencies. (Optional) L2 - Develop Multidimensional Data Model L2.1 - Identify analytical dimensions. L2.2 - Define dimension tables. L2.3 - Define fact tables. L2.4 - Validate the dimension and fact tables. L2.5 - Develop a physical multidimensional data design. L2.6 - Complete a structured walk-through of the multidimensional data model. L3 - InfoCube Design L3.1 - Identify Key Figures Required for Each Subject Area L3.2 - Identify Characteristics Required for Each Subject Area L3.3 - Identify Dimensions Required for Each Subject Area L3.4 - Identify Compound Characteristics Required for Each Subject Area L3.5 - Identify Calculated Key Figures Required for Each Subject Area L3.6 - Identify Hierarchies Required for Each Subject Area L3.7 - Identify Aggregates Required for Each Subject Area L3.8 - Identify Business Rules by Field for Each Subject Area L3.9 - Identify Data and Retention Requirements L4 - Submit Data Design Deliverable L4.1 - Assemble data design deliverable. L4.2 - Conduct a structured walk-through of the design specification. L4.3 - Document and resolve issues as required. L4.4 - Submit and discuss the data design deliverable. L4.5 - Obtain formal written approval of the data design deliverable.

The Workplan

1. Write a detailed workplan that references the methodology.

2. Make sure the workplan is detailed enough to be able to track project progress.

3. Progress can be measured by hours used, vs. % of tasks completed.

400 to 1000 line-item workplans are not unusual for mid-size and large BW implementations

Writing the Workplan

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Writing the Workplan (High-Level Example, pg. 1)

31

Writing the Workplan (High-Level Example, pg. 2)

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Monitoring Progress

• Manage the workplan from a percent complete standpoint on a weekly basis

• Create weekly status reports with core progress metrics and send to all team members (keep it high-level and tangible)

• Require monthly status reports from all team members in a fixed format

• Keep a close eye on the deadlines for the deliverables and make to follow-up personally on late tasksNote

Warning

BW is a complex environment that has many dependencies. Late tasks can have significant impacts on the overall project.

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Monitoring BW Quality and Formal Approval Process: Example

Create Functional specs

Peer Review

Complete?

Complete?

Create Technical specs

Peer Review

Complete?

Complete?Structured

walkthrough

Approved?

Configuration

Unit Testing

Integration Testing

System Testing

Structured walkthrough

Approved?

No

No

No

No

No

Yes

Yes

Yes

Yes

Yes

Yes

No

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• Create a user acceptance team with a total of 5-7 members from the various business departments or organizations.

• Keep the number odd to assist with votes when decisions are made. With fewer than 5 members it can be hard to get enough members present during a certain meeting time

• Make them the focus of the requirements gathering in the early phase and later let this team become the user acceptance team (testing) in the realization phase

• Meet with the team at least once a month during realization to refine requirements as you are building and have something to show the team

Issue

This approach is hard to execute when also managing scope, but is essential to make sure the system meets the requirements

The User Acceptance Group and Its Role

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7 Key Points to Take Home

• Write the business case around the areas of greatest benefit to your users. Do not use a “shot-gun” approach but keep it focused.

•Define your scope in-terms of what is included and state what is not included.

•Establish a formal change control process that is well communicated.

•Plan your project based on the hours required for the effort and the project team’s skill level.

•Establish milestone dates and map the work hours required to these dates.

•Establish a resource on-boarding plan.

•Establish a formal process for quality control and approval of deliverables

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Resources

•Five Core Metrics: The Intelligence Behind Successful Software Management – by Lawrence H. Putnam & Ware Myers

•Waltzing With Bears: Managing Risk on Software Projects - by Tom Demarco & Timothy Lister

• Mastering the SAP Business Information Warehouse by - Kevin McDonald, Andreas Wilmsmeier, David C. Dixon

http://www.amazon.com/gp/product/images/0932633552/ref=dp_primary-product-display_0/002-2293929-8434401?%5Fencoding=UTF8&n=283155

http://www.amazon.com/gp/product/images/0932633609/ref=dp_primary-product-display_0/002-2293929-8434401?%5Fencoding=UTF8&n=283155

http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?userid=xt1Vb1JAwj&sourceid=M000000269&isbn=0471219711&itm=1

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END OF PART 1. Next: How do we Deliver What we Promised?

How to contact me:[email protected]

an a-z guide to planning, managing, and executing an sap bw project part 1

Documents

bw business case

bw projects

java bw

organizations business

concrete business benefits

end usersthe business

user access

organizations sap strategy