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SAP NetWeaver MDM Overview SAP NetWeaver MDM Solution Management Rollout May 2009

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  • SAP NetWeaver MDMOverview

    SAP NetWeaver MDMSolution Management RolloutMay 2009

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    The information in this document is confidential and proprietary to SAP and may notbe disclosed without the permission of SAP. This presentation is not subject to yourlicense agreement or any other service or subscription agreement with SAP. SAPhas no obligation to pursue any course of business outlined in this document or anyrelated presentation, or to develop or release any functionality mentioned therein.This document, or any related presentation and SAP's strategy and possible futuredevelopments, products and or platforms directions and functionality are all subject tochange and may be changed by SAP at any time for any reason without notice. Theinformation on this document is not a commitment, promise or legal obligation todeliver any material, code or functionality. This document is provided without awarranty of any kind, either express or implied, including but not limited to, theimplied warranties of merchantability, fitness for a particular purpose, or non-infringement. This document is for informational purposes and may not beincorporated into a contract. SAP assumes no responsibility for errors or omissions inthis document, except if such damages were caused by SAP intentionally or grosslynegligent.

    All forward-looking statements are subject to various risks and uncertainties thatcould cause actual results to differ materially from expectations. Readers arecautioned not to place undue reliance on these forward-looking statements, whichspeak only as of their dates, and they should not be relied upon in making purchasingdecisions.

  • 1. Customer Challenges with Master Data MDM Why is it Important?2. Consolidate Master Data In Heterogeneous Landscapes3. Current Release: SAP NetWeaver MDM 7.14. Customer Adoption5. Conclusion and Key Take Aways


  • Results of Poorly Managed DataNegative impact on businesses in all industries

    40% of orders blocked due to master dataproblems Ericsson

    57% of marketing content work was to mitigateerrorsIDC Case Study 2006

    90% of upper level management feel they dont havethe necessary information for critical businessdecisions; 50% of them are afraid they are makingpoor decision because of it Economist survey 2008

    Higher performing companies are 50% more likely touse analytical information strategicallyCompeting on Analytics, Thomas Davenport

    Lost productivity is the No.1 impact on companiesthat do not have adequate access to information,Economist survey 2007

  • Master Data ChallengesMaterialize across the organization

    Reduced Sales EffectivenessLack of consolidated view of customer data across all channelsCustomer transactions are compromised due to limited view of the facts

    Sub-optimal Procurement DecisionsLack of transparency relating to suppliers and productsHigh costs due to insufficient supplier selection and rationalization

    Delayed Go-to-Market ProcessFailure to capitalize on market opportunity when introducing new productsLack of real-time collaboration with front office, thus hindering customer services

    Ineffective Business DecisionsLack of consistent information needed to make critical decisions that support innovation and growthBusiness dynamics is compromised and has a negative impact when managing resources effectively

    Insufficient Corporate Risk ManagementVulnerability to non-compliance with given standardsHigh risk of penalties of non-fulfillment

  • Overall Impact From Bottom UpBy poorly managed master data

    Business Execution


    Master Data






    Quality of master data dramatically impacts transactional and analyticalprocesses

    What is worse, youll only notice it after the damage is already done


    One-off cleansing

  • Consistent Data is the Lifeline of an EnterpriseBusiness networks amplify the need

    Operational and financialdata drive excellence in

    critical internal processes

    Customer, supplier,product data enable agile

    business partnermanagement

    Consistent shared dataamong small and large

    Businesses enablebusiness network


    Analytical master dataenables accurate reportingand closed-loop businessperformance management

  • SAP NetWeaver Master Data ManagementBringing clarity on your master data

    ERP 1Part:2574

    Which employee should we assign?

    Do I have the right product?

    Who is my best supplier?

    Who is my customer?

    ERP 2Part:0814

    ERP 3Part:1235

    = =

  • 1. Customer Challenges with Master Data Why is it Important2. Consolidate Master Data In Heterogeneous Landscapes3. Current Release: SAP NetWeaver MDM 7.14. Customer Adoption5. Conclusion and Key Take Aways


  • SAP NetWeaver Master Data ManagementMulti-domain coverage and versatile use

    Consolidate and Harmonize Your Master DataExtract, load and de-duplicate master datafrom SAP or non-SAP systemsProvide key mapping information andalign key data across the entire organization

    Build Business Processes on Excellent Master DataCreate and maintain master datain a collaborative and governed process

    Increase Data QualityGuarantee high data quality with SAP NetWeaver MDMand SAP BusinessObjects Data Services capabilities

    Apply Pre-defined Business ScenariosProduct Information ManagementCustomer Data IntegrationGlobal Data Synchronization

  • SAP NetWeaver Master Data ManagementVersatile deployments based on generic infrastructure

    Generic ScenariosData ConsolidationData HarmonizationCentral Data Creation

    Horizontal ScenariosCustomer Data IntegrationProduct Information ManagementImproved Business Intelligence

    Industry ScenariosGlobal Data Synchronization

    Clean Master DataClean Master Data

    Embedded ScenariosSupplier Catalog Management

  • MDM

    Consolidation with Sustained Data QualityUsing native MDM capabilities and BusinessObjects Data Services

    Load data from SAP and non SAPsources

    Leverage native MDM capabilitiesand/or SAP Business ObjectsData Services to raise masterdata quality


    Use MDM processing layer forMass maintenanceWorkflow-orchestratedprocessingProvisioning of key mapping

    ManageData Quality

    A1 = B2

  • MDM

    Load data from new systems

    Match new data to internal,already consolidated data

    Quick access to consolidatedinformation

    Provide key mapping informationto subsequentmigration tools


    acq1000 i4711

    acq1001 i0815

    Merger & Acquisitions (System Consolidation)Integrate the heterogeneous world while raising data quality

    CreateKey Mapping

  • Harmonization Through Data DistributionRaise data quality in heterogeneous landscapes

    Subscribe remote systems to enrich masterdata with centrally consolidated globallyrelevant information

    Distribute data to remote systems(SAP and non-SAP)

    Perform local completion of master data withapplication-specific information if required


    Distribute ConsolidatedMaster Data

  • Controlled Data CreationEnsure consolidated master data from the beginning

    Governed data creation processleveraging SAP Business ProcessManagement, involving

    SAP BusinessObjectsData Services for data qualitychecks prior to data creation

    SAP NetWeaver MDM asrepository for consolidated data




    Createand syndicate




  • Jane Smith

    4418 N. Str.Chicago, IL60611

    Extensive matching framework

    Provides web services tocustomer data access

    SAP and non-SAP integration

    Customer Data IntegrationOne view of customer information anytime anywhere


    Jane Peters

    199, 3rd StreetPalo Alto, CA94304

    Jane PetersSmith

    4418 North St.Chicago, IL60610

  • Complex product andrelationship management

    Print/web publishing includinglayout and production



    Product Information ManagementOne view of product information anytime anywhere






  • Understand your most profitableproducts, best customers andcheapest/reliable vendors

    Gain insights by integratingtransactional data fromheterogeneous systems withmaster data for analysis

    Improved Business IntelligenceDeliver unique insights with an integrated platform

    + Transactional data =Master data

    Business Insight

  • Data Pool

    Global Data SynchronizationLeverage master data consistency across the supply chain

    Reduce supply chain costswith comprehensivesolution for consumerproduct companies

    Certified to publishenriched product data to1Sync data pools

    Unidirectionalcommunication with R/3

    Data Pool



  • MDM


    Supplier Catalog ManagementManage supplier catalogues seamlessly in the procurement process

    Supplier Catalogues

    Load of supplier catalogues intoSRM/MDM catalogue

    Quick data access byin-memory enabled parametricsearch

    Integration into procurementprocess within SRM and ERP


    ManageSupplier Catalogues

  • 1. Customer Challenges with Master Data Why is it Important2. Consolidate Master Data In Heterogeneous Landscapes3. Current Release: SAP NetWeaver MDM 7.14. Customer Adoption5. Conclusion and Key Take Aways


  • SAP NetWeaver Master Data Management 7.1A Great Leap Forward

    "This is an important release that addresses a number of core issues in thetechnology, and is a big step forward for SAP MDM".Andy Hayler, CEO, The Information Difference (Source:

    Great flexibility in data modeling and supportfor complex data structures

    Optimized inbound and outbound processing(e.g. native MDM adapter for SAP NetWeaver PI)

    Integration with SAP NetWeaver standardadministration and life-cycle components

    Pristine data quality (e.g. through connectivityto SAP BusinessObjects Data Services)

    Flexible generation of Web services

  • SAP NetWeaver MDM 7.1 SP02Availability

    Whats the current release?SAP NetWeaver MDM 7.1 SP02 in unrestricted shipment as of CW 21 2009

    Where to find further information about SAP NetWeaver MDM?Go to SDN> General information:> Release-specific info:

    Where to download MDM 7.1?

    > SAP Software Distribution Center> Download> Installations and Upgrades> Entry by Application Group> SAP NetWeaver > SAP MDM > SAP NetWeaver MDM 7.1

  • 1. Customer Challenges with Master Data Why is it Important2. Consolidate Master Data In Heterogeneous Landscapes3. Current Release: SAP NetWeaver MDM 7.14. Customer Adoption5. Conclusion and Key Take Aways


  • SAP NetWeaver MDM Selected CustomersGlobal 2000 companies are leveraging MDM today

  • SAP NetWeaver MDMCustomer examples

    The system properly supported master data centralization,harmonization and syndicationThe system played well with others and was not dependent onpurchasing other SAP systemsWe liked where SAP was going with NetWeaver and the vision ofenterprise SOA

    Increased quality in master dataIncreased efficiency (internally & our vendors)Platform for consolidation of common Nordic master dataEase of use making life easier for our usersWhere to be used: R/3, other ERP, POS, internet, print

    To be able to consolidate vendor data from our local SAP and non-SAP systemsA tool compatible with our global SAP landscape and its currentdeployment of NetWeaver componentsSupport growth to other vital areas of Global Master DataManagement within Ericsson

  • SAP NetWeaver MDMCustomer examples

    Web-based ecommerce for retail and wholesale productsCustomers can place orders, check inventory, pricing, search and findacross thousands of items

    Meet compliance mandates for better reportingBusiness optimization based on single view of customers, suppliers,materials and employees

    Enterprise MDM for consolidation, harmonization for all objectdomains i.e. 6m customer, 180K vendors/ supplier, 1.8m materialmastersEarly ROI estimates at $10-18M

  • SAP NetWeaver MDMCustomer examples

    Managing one view of product dataReduced administrative costsImproved response time to distributor requests

    Reduction in SKU cost from $19/SKU to $ 5.80/SKU60 % fewer FTEs required

    40% increase in Web Sales30 % reduction in headcount for data maintenanceProduct data updates automatically as opposed to manual efforts thattook 11+ hours

  • A few years ago we did a survey of our internal supply chain within our internalcompanies and discovered that 40% of our orders got stuck at some point due tomaster data inconsistencies. This highlighted the need to focus on increasing theconsistency of our master data in order to get more effectiveness in how we runour business. We see big things coming from MDM and the acceptance levelfrom our master data team suggests that we have a winner here and we want tomake use of it.

    Roderick Hall, Project Manager for Business Information, Ericsson High Tech

    Customer Testimonials

    The number of systems and the number of interfaces we are reducing are quitesignificant, and we expect to lower our SG&A costs.

    Gabriele Bauman, SAP Technology Lead, Nortel Networks

  • SAP NetWeaver MDM Success StoriesLearn how MDM can help companies realize meaningful value

  • 1. Customer Challenges with Master Data Why is it Important2. Consolidate Master Data In Heterogeneous Landscapes3. Current Release: SAP NetWeaver MDM 7.14. Customer Adoption5. Conclusion and Key Take Aways


  • SummaryKey Take Aways

    SAP NetWeaver MDM is the source of truth for enterprise-class master data, leveraging best-of class data qualitycapabilities of SAP Business Objects Data Services.

    With SAP NetWeaver MDM 7.1 customers can benefit fromsubstantial data modeling enhancements, optimized datainbound and outbound operation, and additionalconnectivity options.

    SAP will lead the industry in helping our customers to turnmaster data into a differentiating corporate asset facilitatingbest-run business execution and decision-making

  • Thank you!

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