planning with sap netweaver

8/6/2019 Planning With SAP Netweaver

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SAP AG 2004, Planning with SAP NetWeaver BW-BPS 2

Business Requirements

Planning Issues and Challenges

Planning with SAP NetWeaver

Future Developments


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M a n a g em e n t Cy c l e

Analysis(e.g. Profitability)

Planning(Strategic, Operational)

Planning(Execution)

Execution

Analytics

Operations

Reporting(Plan/Actual)

Analyze Model

Execute

Environment

CompanyMission

Measure

Planning is an integral part of the management cycle.

Companies are situated in complex environments (competitive landscape, political situation,geographical location). Different companies follow different business models (e.g. public sector vs.private owned companies). Depending on their overall company goal (certain percentage ofprofitability, maximizing the public welfare) they must consider the environmental situation in whichthey operate.

The management cycle helps companies to position themselves in complex environments and to keepon track in reaching their overall companies goal.

The company mission is the framework to which all the operations in the company are supposed to

contribute.

Planning supports the decision making, the coordination of different divisions toward a common goaland defines general conditions for the operations.

Execution involves all steps necessary for the actual value creation of the company.

Reporting tracks all transactions incurred by the execution processes.

Analysis is focusing on calculation the achievement of objectives, seeking out causes for deviations oropportunities to put more focus on.

The result of the analysis is measured versus the company mission and leads to an evaluation ofoverall goals and actions to be taken in order to steer the course.


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Top-Dow n and Bot t om -Up

Organization

SalesOrganization

Sales Office

SalesOrganization

Sales Office Sales Office

Product Category

Product MainGroup

Product Group Product Group

Product MainGroup

Product Group

Product Product

Top Down

Bottom Up

Top-down and bottom-up are directions used to coordinate the verticalplanning process. Usually these directions are following hierarchicalstructures.

Bottom up means the data flow from detail planning on different sublevelsto an aggregated perspective.

Top down is the opposite direction, where strategies and targets that weredefined on higher levels are translated to operational targets.

The "counter current" method is a combination of both.

Different versions separate different plan assumptions and may be used tocompare different perspectives (CFO Sales representatives). The finalversion is usually the base for execution planning (e.g. detailed scheduling)


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Types of P lans

S t r a t e gi cP l anni n

g

Procurement

Planning

Cost

Planning

HeadcountPlanning

ProductionPlanning

RevenuePlanning

Marketing-Planning

InvestmentPlanning

PricePlanning

O p er a

t i on

al P l anni n

g SalesPlanning

P r of i t a

b i l i t y P l anni n

g

B al an

c e S h e

e t an

d P r of i t

& L

o s s S t a t em en

t

The example shows how strategic planning directly influences different plansand how those feed into other plans which are based on assumptions madein previous steps.

Strategic planning involves what-if analysis, simulation and comparison ofdifferent scenarios. The strategic targets must be mapped to key figures ofoperational planning steps in order to ensure the connection betweenstrategic and operational plans. Example: ROI can be broken down intoSales (net sales), Production (product costs) and Investment Planning (e.g.investments in new plants) targets.

In addition to amount and quantity based planning, strategic planninginvolves the definition of "soft" targets, such as training, employeemotivation, customer satisfaction, The balanced scorecard is aninstrument which allows to translate soft targets into executable steps.

Planning processes are usually complex - large numbers of staff fromdifferent parts of the enterprise can be involved in the planning operation.

Planning forms, standards, approval procedures, planning areas, andplanning objects need to the defined. Consolidation procedures must becreated, and planning interdependencies included.

The planning periods of the individual planning areas and staff must becoordinated.


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How does SAP Ne tWeaver BI suppor t Bus inessPlanning?

Master Data

Actual Data

Load Load

Prepare Data for

Planning Process

Collaborative Planning

TasksAutomatic Planning

New Master Data

Budget DataOperational Process

Budget Control

SAP NetWeaver BI

mySAP ERP mySAP SCM mySAP CRM mySAP

BW-BPS is a part of SAP NetWeaver BI, which is SAPs platform forBusiness Analytics.

BW-BPS is a generic planning tool which supports various types of strategicand operational planning and allows planning on any level of detail

User interfaces and business rules may be defined to the needs of any typeof plan.

BW-BPS offers comfortable process support

BW-BPS offers tools to close the loop to operational processes throughloading and distribution from and to transactional systems.


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Bus iness P lann ing Requ i rement s

CorporateCorporatePlanningPlanning

70% of the enterprisestoday use

spreadsheets forplanning! (source: Ventana Research 2003)

Sales Planning(extended) Logistics planning

Strategic Enterprise PlanningPositioning + Strategy modellingSimulationScenario definitionScenario analysisDecision supportand target setting

Financial statement planningMarketing planningBudgetingHeadcount planningInvestment planning

Finance planning

Financial Planning

Supply chain modellingSales planningSupply/network planningProduction planning

Plan integration

Current projectsFuture projectsAfter marketPromotionsEvents


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I m p o r t a n c e o f S e l e c t e d B & P S o f tw a r e F e a t u r e s

2 1 %

1 7 %

1 6 %

6 %

8 %

2 8 %

2 7 %

2 8 %

2 9 %

1 7 %

1 7 %

2 5 %

1 8 %

1 9 %

1 2 %

1 6 %

1 7 %

1 9 %

2 3 %

2 5 %

1 8 %

1 4 %

1 9 %

2 3 %

3 8 %

0 % 2 0 % 4 0 % 6 0 % 8 0 % 1 0 0 %

Sca lab i l i t y t o

h u n d r e d s o f u s e r s

Z e r o f o o t p r i n t

W e b A r c h i t e c t u r e

C om p l ex ca l cu l a t i oncapab i l i t i e s

E x c e l f u n c t io n a l it y

L e a s t I m p o r ta n t 2 3 4 M o s t Im p o r ta n t

4 .3

4 .2

3 .6

3 .5

3 .1

W A VA l l R e s p o n d e n t s

Buying In f luences and Cons ide ra t ions*

*Source: Ventana Research 2003


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Future Developments


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What Is SAP BW-BPS?

With SAP BW-BPS, SAP delivers tools for generic planning , supporting aplanning process that allows for the construction of a planning model.This model integrates global strategic planning and specific operationalplanning problems in a closed-loop process, with a strong focus onbusiness processes across the enterprise.

This functionality brings planning, budgeting, and forecasting togetherwith monitoring, reporting, and analysis, and bundles it all into onesoftware installation and one support package cycle.

SAP BW-BPS helps you plan, budget, and forecast by providing functionssuch as:

Top-down planning and bottom-up contribution with a rich set of planning functionsA planning framework that lets you create and maintain planning modelsA user interface for manual planning and analysisTools for process control (i.e., status tracking and monitoring)


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SAP BW Arc h i t ec t u re

The role that SAP BI plays in SAP NetWeaver is that of a central, integrated repository forinformation from distributed and heterogeneous sources. The parts described below areused for moving data from the source systems that contain it to the SAP BI data warehouse,and then organizing it, passing it out to others who need parts of it, and preparing it foranalysis.

Data Warehousing in SAP BW represents the integration, transformation, consolidation,cleanup, and storage of data. It also incorporates the extraction of data for analysis andinterpretation.

Administrator Workbench: The data warehousing process includes data modeling, dataextraction, and administration of the data warehouse management processes. The centraltool for data warehousing tasks in SAP BW is the Administrator Workbench.BI Platform : The business intelligence platform serves as the technological infrastructure andoffers various analytical technologies and functions. These include the OLAP processor, theMetadata Repository, Business Planning and Simulation, special analysis processes such asData Mining, and the Reporting Agent.

Business Explorer Suite: The SAP BW Business Intelligence Suite, the Business Explorer,provides flexible reporting and analysis tools for strategic analyses, operational reporting,and decision-making support within a business. These tools include query, reporting, andanalysis functions. Past or current data can be evaluated on various levels of detail, and fromdifferent perspectives, not only on the Web but also in MS Excel.


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InfoCubes and Planning Areas

PlanningArea

ActualNT

PlanningAreaPlan

T

BW Data Warehouse

BI Platform

Plan Data Entry (Manual)Analysis

SAP R/3SAP R/3 SAP ISSAP IS mySAPmySAPNon-SAPNon-SAP ProviderProvider FileFile

SAP NetWeaver BI

Extraction Retraction

NT = non-transactional InfoCubeT = transactional InfoCube

Master data and transactional data may be stored in BW using Basic InfoCubes, RemoteCubes, Operational Data Store or InfoSources.

BW-BPS Master data and transactional data is stored in Basic InfoCubes

There are two types of Basic InfoCubes: Basic non-transactional InfoCubes (NT) andBasic transactional InfoCubes (T)

Basic non-transactional InfoCubes are used for actual data, whereas Basic transactionalInfoCubes are intended to be used for plan data. The main difference is that non-transactional InfoCubes are optimized for read-access while transactional InfoCubes areoptimized for write-access.

Planning can only be carried out on Basic transactional InfoCubes.

In order to use transactional InfoCubes for planning, a Planning Area must be set up inBW-BPS.

Basic non-transactional InfoCubes may be used in Planning Areas as well e.g. as asource for reference data or for plan-actual comparison.

Both types of Basic InfoCubes may be used for data analysis in the BEx Analyzer.

The main difference between the different types of Basic InfoCubes is organizational Basic non-transactional InfoCubes may be loaded in a batch procedure while Basictransactional InfoCubes are usually filled either manually or by planning functions.

It is also possible to use transactional InfoCubes both for loading of actuals via extractionand for planning. To achieve this a switch needs to be set on the InfoCube to allow either"Load" or "Plan" at the given time.


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SAP BW Plann ing & Ana lys i s

Planning Workbench

Model l ing o fp l a n n in g s t r u c t u r e s

Multidimensionalbusiness structuresDefinition ofworkpackagesHierarchymaintenance

Version management

User authorizations

Variable handling

Simulation/What-IfForecastCurrency TranslationTop-down distributionBottom-up aggregation...

Planning sequences

Event-based execution ofplanning and analysisservices

A u t o m a t i cPlanning

PlanningFunctions

User Interfaces

ManualPlanning

Excel and WebDocument management

Application design (UI,Planning and PlanningFunctions)

Control anddistribution of data

ProcessCont ro l

Status and trackingmonitorDistribution tooperational systems

Use Planning Functionsfor BackgroundProcessing

Planning in BW-BPS comprises four major areas:In Modelling you define the data model of your planning process. Thatmeans that you define how your planning process will be set up in regards toyour business structure (slice and dice) and planning strategy (e.g. bottom-up, top-down, counter-current).

Planning Functions are functions that support the automatic processing ofthe plan data (e.g. copying, forecasting, ...) in a simulative fashion orembedded in batch processing.

The Planning Layouts allow to set up the context of entering plan data foryour different users. Web interfaces consist of one or many planning layoutsor Web Application queries together with planning functions to support theplanner with the planning task.

In order to coordinate the sequence of the planning process you may assignplanning tasks to the planners and track the status of the planningaccomplishments.


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M od el li ng o f p la nn in g s t r uc t u re s

Division

R e g i o n

Cars Truck Bus

North

East

South

Engine

BrakesLights

Productgroup

Characteristics Key figures

300,-LightsSouthTruck

500,-LightsEastTruck

100,-LightsNorthTruck

GrossSales

ProductGroup

RegionDivision

Multidimensional structures:BW Infoproviders as database

Division

R e g i o n

TruckLights

North

East

South

Productgroup

Definition of Workpackages:

User specific selection ofplanning levels

The multidimensional BW model allows to model the planning processaccording to different business perspectives needs. For example: You may plangross sales for a specific division or a region (or a combination of both)

The modelling of planning application is based on InfoCubes.

The planning administrator defines how the data is processed.Planning is a process in which the data is sliced according to planning stepsand responsibilities, the right data packages have to be defined for manual dataentry and automatic planning steps.

In the example above gross sales shall be planned across all regions for onedivision and one product group.

The selection defines on which level the entry of data will be allowedThe grid shows how the slice of the cube looks in a flat table


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Web In te r fac e


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I n t e g r a t i o n o f We b Pl a n n in g i n En t e r p r i s e Po r t a l


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Pl a nn i ng Fo l de r (GU I )

Planning folders are used to put together business related planninglevels, planning packages, planning layouts, and planning functionswithin a planning area that was defined before. The objects puttogether in this way are presented in a special user interface whenexecuting the planning folder, and convey the users the impressionof a contained planning application, which is easy to use.

Planning folders make navigation and overview easier within aplanning session, when you want to plan with a limited number oflayouts, packages and functions which are related from a point ofview of content.


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A u t o m a t i c Pl a n n in g a n d Si m u l a t i o n

Simulation Features

Multiple Versions

ForecastExcel Capabilities

Planning Functions

Top-down distribution

Bottom-up aggregationCounter current methodRevaluationAllocationRepostFormulasCurrency translationUnit conversionWrite back to operational systems

...

Sequential execution of planningservices

Define business rules inyour business modelEvent-based execution of

planning functions


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Pr o c e s s Co n t r o l : St a t u s a n d Tr a c k i n g -Sy s t e m

Ev en t a nd t i m e d ri ve n Su pp or t of p la nn in gp r o c e s s

Assignment of responsibilities according toorganizational structure (hierarchy)

Link to planning/analysis applicationsNotification via mail system

Bottom-up and top-down planning

Commentaries

Display of active planning status

Assignment of time limits

Automatic execution of planning and analysisservices at status change

Overview of planning status of all participatingplanners

Substitute concept


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Pr o c e s s M a na g em e n t : St a t u s Tr a c k i n g

Administrator starts planning round

New

S t a t u s

Send Mail

Country Manager enters Dataand sends to approval Sent for Approval Send Mail

Rejected

Sent to approval

Accepted Lock Version

Annotations Send Mail

Regional Manager rejectsCountry Managers Plan

Country Manager changes Dataand resends to approval

Regional Manager accepts plan

Send Mail

Planning Round f in ish ed

A c t i v i t y

Enter data

Enter data

A c t i o n


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Op po rt u n it i e s o ff er ed b y SA P p la nn in g p ro du c t s

SupplyNetworkPlanning

Profit

Planning

Sales

Planning

Sales qty

(unconstrained)

1

Sales qty

(constrained)

4 2

DemandPlanning

CRManalyticsBW-BPS

SAP offers modules that complement to a closedloop planning..e.g.

APO

Cost of Goods(fix/variable)

Marketingcosts

3

ProfitabilityTargets


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Seven po int s t o t ak e home how Cus tom ers see BW-BPS*

Business Planning and Simulation

Fully complementary to SAP BW

Fast and simple to useOne step to do all planning activitiesOne click of the worklist starts planning

Layouts may be tailored to specific users needsPlanning folder architecture frees user from tedious processesWeb layouts increase performance for remote users

Tailor planning applications for each type of planning applicationBPS offers flexible and numerous planning functions

Align planning processes across planning functionsPlanners in all business areas collaborate to create a full business planAll planners work with the same data at the same time

Allow business to exchange data via status tracking and workflo

Facilitates simple global roll-outs*Customer quotes


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Benef i t s fo r Bus iness Users

Use the time saved for internal benchmarkingand budget analysis anduncover unnecessary costsConduct budget revisions faster and morecomplete andapply resources more optimallyBroader participation leads to increased anddeeper accountability and buy-in .


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Future Developments


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Vi s i o n: SA P N e t Wea v e r I n t e g r a t e d B u s i n es s Pl a n n in g

SAP NetWeaver providesSAP NetWeaver providesintegrated planning acrossintegrated planning acrossheterogeneous businessheterogeneous businessapplications for crossapplications for crossfunctional businessfunctional businessplanningplanning

mySAPERP

mySAPERP

SAP IndustrySolutions

SAP IndustrySolutions

Custom-builtapplications

Custom-builtapplications

mySAPCRM

mySAPCRM

LegacySystem

LegacySystemSAP ...SAP ...

Businessus inessPlann ingl ann ingin SAPn SAP

NetWeavere tWeaverBWW


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Roadm ap SAP Busine ss P lanning

mid 05

Integration ofmaster andtransactional dataExcel integrationAccess to plan datavia webIntegration tooperationalsystems viaretractorsProcess monitoringReporting andanalysis in SAPBW

SAP SEM-BPS

Q1/04

Additional featuresStatus and TrackingMonitorStatistical ForecastEnhancementsfor characteristiccombinationsExit Class forcustomerenhancements inWeb InterfacesLocal Functions inManual Planning

SAP BW-BPS

Web Dynpro baseddesign of planning

applicationsApplication designfor integratedplanning in BExWeb and ExcelOpen serviceframeworkCollaborationfeatures

SAP BW integratedBusiness Planning

SAP BW-BPS

SAP SEM 3.5/BW3.1 SAP NetWeaver 04 SAP NetWeaver 05 > SAP NetWeaver 05

Offline PlanningMaster DataPlanningPlanning on ODSObject...

SAP BW integratedBusiness Planning

SAP BW-BPS


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St ra t eg ic Ent erpr i se Ma nagem ent as of SEM 3 .5 /BW 3.1

Business Solution

PerformanceMeasurementPerformance

Measurement

StakeholderRelationshipManagement


BusinessConsolidation


StrategyManagement

StrategyManagement

BusinessPlanningBusinessPlanning

Contact Management,Stakeholder Service

Legal & Mgmt Cons.,GAAP Adjustments,

Currency Translation,Inter-unit Eliminations

Profitability Planning,Cost Center Planning,

Investment PlanningFinancial Statement Pl.

Strategy Planning

SAP BWOLAP & Analysis

Business Modelling

Data Management

Technology

SEM-SRMSEM-SRM SEM-CPMSEM-CPM SEM-BCSSEM-BCS SEM-BPSSEM-BPS


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SAP SEM SAP BW s t ar t ing w i t h SAP BW 3.5

Business Solution

PerformanceMeasurementPerformance

Measurement





StrategyManagement

StrategyManagement

BusinessPlanningBusinessPlanning

Contact Management,Stakeholder Service

Legal & Mgmt Cons.,GAAP Adjustments,

Currency Translation,Inter-unit Eliminations

Profitability Planning,Cost Center Planning,

Investment PlanningFinancial Statement PlExpress Planning.

Strategy Planning

SAP NetWeaver

BW-BPSBW-BPS

Modelling

Generic Planning Framework

Process Coordination

SAP BWOLAP & Analysis

Business Modelling

Data Management

Technology

SEM-SRMSEM-SRM SEM-CPMSEM-CPM SEM-BCSSEM-BCS

Starting with SAP NetWeaver 04 the generic planning framework of BPSmoved from SAP SEM to SAP BW.

SAP NetWeaver is the technical foundation for the mySAP Business Suite. AsSAP BW is a part of SAP NetWeaver, BW-BPS is now available for planning inall SAP applications.

Any type of planning application may be built just by using thegeneric planning framework.

SEM offers planning content which is built using the generic planningfunctionality and financials specific function enhancements. This content iscalled SEM Business Planning.


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B u s i n e s s Pl a n n i n g w i t h SA P Ne t We av e r St r a t e g y *

Q1/2004 Mid - 2005

SAP NetWeaver2004

SAP NetWeaver2005

*current as of July 2004

SEM - BPSEM - B PS

BW-BPS remains

functional. Maintenance isensured by SAP.

B I i nt e gr at e d Pl an ni ng

B W - B PS

SEM-BPS becomes BW-BPS


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Direc t ion o f p l ann ing in SAP Ne tWeaver

SAP NetWeaver 04 Extend the reach

More integration

One generic planning tool for all solutions

Simplify system landscape & lower maintenance costs

Component consolidation, one software delivery

SAP NetWeaver 2005 Combine the best of all worlds

Enhanced user productivity, lower training costs

More flexible and user friendly UIs for end users

Web based modelling environment for business expert

Faster implementation & lower maintenance costs

Reduced number of customizing objects (e.g. variables)

Better performance

Reduced data redundancy (e.g. calculated key figures, currency translation)

More flexibility & openness

Alignment with the Enterprise Service Architecture (ESA) strategy

With SAP NetWeaver 2004 the generic planning platform of BPS is contained in SAP BW.

SAP NetWeaver is the technical foundation for the mySAP Business Suite. As SAP BW is a part of SAP NetWeaverBW-BPS can be used by all SAP solutions.

The move of the planning topic to SAP BW contains considerable benefits for all customers of SAP regarding lowerTCO, enhanced user productivity and improved performance.

The delivery of BW-BPS with SAP BW also simplifies the system landscape and lowers maintenance costs.

The future direction of planning in SAP NetWeaver 2005 is headed towards a full integration of generic planningfunctionality into the SAP BI Platform and the SAP NetWeaver environment. In addition BI integrated planning willfully leverage the integration features of SAP NetWeaver.

The availability of BEx (Analyzer and Web Applications) as end user interface will enhance user productivity and lowertraining costs.

The web based modelling environment will provide the business expert with an intuitive modelling environment.

As BI integrated planning will share all objects with SAP BI the number of customizing objects will be reduced andtherefore the implementation time and maintenance costs decreased.

Data redundancy will be reduced through the availability of the OLAP features (e.g. the OLAP currency translation maybe executed ad hoc while displaying a query, therefore amounts need to be stored in one currency only, differentcurrencies may be shown using the currency translation feature of BEx).

A service framework which leverages the Enterprise Service Architecture will provide a set of planning & analysisservices. Other applications or customers will be able to easily add their own services.


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planning with sap netweaver

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