versum materials' journey implementing sap s/4hana ac slide decks tuesday/asug83753 - versum...
TRANSCRIPT
May 7 – 9, 2019
Versum Materials' Journey Implementing SAP S/4HANA
Sally Giamalis, SAP Program Director Kishor Pallod, SAP Operations Manager
Session ID ASUG83753
About the Speakers
Sally Giamalis• I love to live on the edge,
whether it’s the edge of my skis on a double black diamond slope or the edge of SAP’s technology. Managed one of the first and most complex SAP S/4HANA v1610 implementations to date.
• Avid Cyclist – Ride in the MS150 (5yrs)
• 20 years in National Ski Patrol
Kishor Pallod• I love technology, SAP and
running. SAP new tagline "Run Simple". Working with SAP for 18 years. I have handled many SAP implementations but our Versum Greenfield S/4 1610 implementation is Pinnacle of all.
• Ran in the Philadelphia Marathon in 2017 & 2018
Key Outcomes/Objectives
1. Implementation approach
2. Drivers
3. Lessons Learned
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
VERSUM MATERIALSThe Journey Began Oct 4, 2016!!
VERSUM MATERIALSBest in Class Electronics Materials Company!
Our Versum Application and Infrastructure in October 2016
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
Versum Staffing
• IT– Only had 25 VM IT employees– 11 assigned to the project full time in lead roles
• Business –– 12 assigned to the project full time in lead roles– 30+/- Subject matter experts
• supporting part time to full time
– 100+/- Power Users• Testers of the solution• Full time during the testing phases
Big Rocks (key decisions)
• SAP vs. Other ERP - simpler solution for a $1B company
• Clone vs. New implementation (Greenfield)
• ECC vs. S/4HANA
• Hosting Cloud vs On premise
• Other decisions that came later
– Support Organization
– SAP GUI options
SAP vs. other SAP Other
Completeness of offering (high)
High Moderate
ChangeManagement(low)
Low High
Partnership (high) High Unknown
Hosted vs. On Premise
Hosted On Premise
Resources need (low)
Low High
TCO (low) Moderate High
Support structure (low)
Low High
Clone vs. Greenfield
Clone Greenfield
Completeness of offering (high)
Low High
Change Management (low)
Low Moderate
Support (low) High Low
TCO (low) High Moderate
ECC vs. S/4HANA ECC S/4HANA
Lifespan (high) Low High
Change Management (low)
Low Moderate
Resources availability (high)
High Low
TCO (low) High Moderate
Mother load of Rocks ---Go-live Strategy
• Global, integrated supply chain
• Could not create interfaces back into “rented system”.
Big Bang VS. Phased
We found some Partners
Why oxya?
• Assigned team
• Deep technical expertise
• Private cloud
• Great SLA offering
• Partnership
Why Accenture?
• SAP Relationship
• SAP S/4HANA Expertise
• Accenture’s own S/4 Chemicals Assets
• Industry/Functional Expertise
• Confidence to Deliver
• Partnership
AND WE GOT TO WORK- kicking off our project Jan 1, 2017
*Not actual project team members ;-)
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
Program Scope – SAP core
* Also have non-SAP for Container, Labeling
Finance Controlling
Project Systems
Sales & Distribution
Materials Management
Inventory Management
Warehouse Management
Production Planning
Plant Maintenance
Quality Management
Environment Health & Safety
SAP Business Intelligence
BI/BW
SAP BPC
Business Planning and Consolidation
SAP GTS
Trade Compliance
SAP APO
DPSNP
PPDS
Vertex
Tax Management
Open Text
Vendor Invoice Management
Treasury
SAP GRC
Security Access Control
CDS views
Reporting
SAP S/4HANA Enterprise Management
Program Scope – SAP & Non SAP
• Custom solution for Data Bundles
• Custom mobile solution for in-plant Container Management
• Labware for Laboratory Management
• Winshuttle for Customer and Material Management
• Loftware for all customer labeling solutions
• Redwood for Batch management
• Vertex for SAP tax
• Opentext for document archive, Vendor invoice, EDI
• HPQC for testing and ALM
• Several Finance localization applications
Infrastructure strategy
• Everything in the cloud. No Versum data center
• SAP works best with Infrastructure As A Service (IAAS) or Platform As A Service (PAAS)– We at Versum chose PAAS + Basis support from Hitachi/Oxya
X
Hot tip!• Keep tightly integrated products in the same cloud to
improve performance
SAP Product Versions - our Philosophy
• If you are going with green field, go with latest version of support packs in the beginning.
• Limited opportunities to upgrade support packs once project starts
• Keep an option open to do one support pack upgrade during the project before starting testing
22Hot tip!• Use SAP PAM. It will resolve lots of dependencies and version issues.
BYOD Device strategy• No deployment of software
on local machines.
• We used Citrix for all SAP front end software
• We are using limited SAP Fiori
• Azure AD integration and SAML 2.0 and SAP Secure client for Single Sign On
23
Hot tip!• Be prepared to spend time testing of SAP GUI,
parameters, file mapping from Citrix etc.
Program & Infrastructure Timeline
Key Highlights
• Pre-Mobilization - Nov 2016 – Dec 2016• Plan/Analyze/Design – Jan 2017 – Apr 2017• Build/Test/Deploy - May 2017 – Mar 2018 • Go-live April 2018
Hot tip!• Plan sufficient time for data loads in each environment build• Plan sufficient time for build of each environment such as transports, manual tasks
Key• Project Phases -
• Infrastructure build -
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
Guiding Principles
• Establish our own processes as Versum
• Get off Transition Services Agreement as soon as possible
• Establish foundation for driving value long term
• Standardize -> Leverage SAP/Industry Best Practices
• Harmonize -> Consistent processes across SBUs / Platforms where
appropriate
• Simplify -> “Keep it simple” to start and enhance over time
• Scalable -> To support future growth
LIMS Project Leads
SAP+ Program: Governance StructureExecutive Steering Committee
CEO SVP Materials SR Accenture RepCFO SVP Operations & Supply Chain SR SAP RepCIO SVP Delivery Systems
SAP Project Leads
Program Sponsor:CIO
Program Management OfficeCIOVersum Program Lead Accenture Program Lead Versum PMO Mgr
Program Execution Committee
Business Process OwnersSupply Chain EHSSr Business Mgr PurchasingDelivery Systems Controller
Project Teams
Hosting Project Leads
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
Versum Application Architecture - Go-Live
9 SAP System VersionsGo-Live April 2018 1809 Upgrade TBD
S/4HANA SAP S/4HANA 1610 FEP 01 SAP S/4HANA 1809 FSP01
BW on HANA SAP BW 750 SP 6 SAP_BW 7.53 SPS3
SAP GTS SAP GTS 11.0 SP 08 SAP GTS 11.0 SPS14
SAP Gateway (Fiori) NW AS ABAP 7.51 AP FIORI FOR SAP S/4HANA 1809
SAP APO/SCM SAP SCM 7.0 18 EHP4 FOR SAP SCM 7.0 SPS11
SAP GRC SAP GRC V1100 SP 017 SAP GRC V1100 SP 017
SAP Solution Manager 7.2 SP 05 7.2 SP 05
SAP PI/PO Netweaver 7.5 SAP Netweaver 7.5 SPS13
SAP BODS SAP BODS 4.2 SAP BODS 4.2
Non SAP SystemsRedwood SAP Batch management system
Vertex SAP tax systems
Labware Laboratory Information System
OpentextDocument archive, Vendor invoice Management
and GXS / EDI
Loftware Label Management system
Winshuttle Master data management
HPQC ALM - Test management, Quality control
Formware China tax
Agenda
• Versum Overview
• How Did We Start
• Program Scope & Timeline
• Guiding Principles & Program Governance
• Final Solution
• Project Wins & Lessons Learned, What’s Next
• Questions
Versum Project wins“Less is More” – Reports Reduction
Data Bundles Automation (like and ASN) Container Management
• Dramatic reduction in number of reports
• Started with Order-to-Cash process
– 700 - > 7 reports covering all information needs
– CDS views, to be sliced and diced
• Other process areas followed the lead
• New process for Versum – used Industry leading practices to design and implement
• Added complexity to implementation process but right thing for business
• Gained detailed, instant insight into product costs and margins
• Customers require data bundles (details of product analysis) to supplement shipments
• Old process took 10 months to build a data bundle and involved IT
• New process is non-IT reliant and takes fraction of this time
• Such customer responsiveness is seen as competitive advantage by business
• Versum Materials need rigorous process of tracking cylinders since they are supplemented with data bundles
• Rethought the process and eliminated all deficiencies of the old system
Product Costing Implementation
RICEFw economy – 252 Target
• Strict rationing on modifications – planed 252 RICEFW’s including conversions, reports and workflows
• Focus customizations on delivering business differentiation
– Data Bundles
– Container Tracking
• Leveraged CDS views309 RICEFWAt go-live;321 today!
What we did well on the program
• We had Strong Leaders AND Strong teams
• Senior Management Supported our Guiding Principles
• 3 In-a-Box for Solution Teams worked well to ensure a cohesive solution
• Picked Great Partners!
– Accenture as our SI partner knows the S/4HANA products and our industry
– Hitachi/Oxya as our Hosting partner was very responsive and willing to work with us
– SAP’s “Value Assurance” was key to success as an early adopter of S/4HANA 1610.
Lessons learned continued
• Sticking to Standard is challenging – need discipline, governance and prioritization
• Data is always harder than you think
– Start cleansing now no matter how clean you think your data is
• SAP Security – moving to best practice required us to re-think how we approached role design and assignment. Was a bigger change management issue than we anticipated.
• Early Adoption of versions has advantages and disadvantages – keep a close eye and engage Partners early & often
Lessons learned since go-live
• Ensure SME’s are fully engaged in your project
- Special care is needed where Organization Structure is New and anticipate longer hyper-care
• Finance module issues –
– v1610 was a major rewrite of the FI Module and buggier than expected
– Our monthly and quarterly close cycle has had many issues since go live. Some S/4, some processes (material ledger…), some human ... things are getting better... (6 closes with no SAP notes and done in 5 days!)
• Under estimated the Analytics needed – need to better understand opportunities in existing CDS views
Words of Wisdom
• Run a full close cycle as part of your testing (if possible)– Convert data from your existing system and stand up a
separate RTR testing box
• Bake an upgrade into the end of your S/4 upgrade• It will require more testing but will get your system on the
latest version which is much easier to debug when issues arise – and they will arise.
• Set expectations that there will be issues, but you will get through them!
What's Next?
• 1809 FSP0x– Started project in January– Upgraded Tech(aka Sandbox)– Upgraded Dev
• Completed Smoke testing
– Project on hold due to pending merger...
• Executing 'pre-upgrade' projects• Opentext VIM – SP8 – April 2019• HANA2.0 - June 2019• Vertex Accelerator - TBD
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