SAP Event Management An Overview
Q DATA GROUP Business Maturity
April 25, 2011
Q Data SAP EM Webinar Series http://www.qdatausa.com
4 Tuesdays at 1pm CST •
1 – EM Overview (Today)
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2 – EM Use Cases (4/26)
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3 – Mobile Track and Trace using the OER (5/3)
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4 – Exception Management Management in the Supply Chain (5/10)
Other Webinar series on Thursdays at 11am CST •
May - Reduce maintenance, shipping costs and labor costs and gain Business Maturity
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June - Middleware Technologies
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July - SAP PI System upgrades and Performance Monitoring
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August – SAP Event Management
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September - Reduce Inventory and MTTR by finding the right part, first time, every time using an Integrated Product Catalog October - SAP Meets the iPhone and iPad
Agenda
What is SAP Event Event Management •
An Overview
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The components
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What comes pre-delivered?
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Understanding events
What can SAP EM do for you?
Walking through a sample process
An SAP EM implementation •
Team
Wrap-Up
Supply Chain Event Management “Supply Chain Event Management is an application that
supports control processes for managing events within and between companies. It consists of a set of integrated integrated software functionality that supports five business processes: monitor, notify, simulate, control and measure supply chain activities.” AMR Research, January 2000
What is SAP Event Management?
SAP’s implementation of “Supply Chain Event Management”
A SAP standard tool to:
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track the status of processes
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measure compliance with process plans – Uncover & report exceptions
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give visibility of your processes to all involved
Found where? •
SAP EM as part of SCM (standalone option)
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SAP EM as add-on (using EM functionality with an existing app):
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SAP AII 2007 (Auto-ID Infrastructure)
SAP SNC 2007 (Supplier Network Collaboration)
SAP TM 6.0 (Transportation Management)
SAP ERP 6.0
SAP EM as the core component (OER)
SAP AII 2007 (Auto-ID Infrastructure)
SAP EM was released for general availability in June 2004 as part of the SCM application
Business drivers for SAP EM
Risk mitigation •
Increased regulations
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Real-time exception notification – Proactive notification & resolution
Visibility •
Increase customer satisfaction
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Reduce costs
Track and Trace with authentication
Minimize uncertainties
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Reduce time to action
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Transparency across dispersed supply chain
Process improvement •
Analytics / KPI
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Partner performance
Components of SAP EM
Application System (AS) •
Application Interface
Application Interface
SCM
ECC
Control Channel
Reporting Layer BW
Application Interface (AI) •
Value add: Fast deployment
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Basis Plug-in
SAP Event Management (SAP EM) •
Comms Layer
Execute data processing in Application system. E.g. ECC
React to Events / rules based
Business Warehouse (BW)
` Event Senders
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Supply data for analysis
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Value add: Tight integration
SAP EM
Event Senders •
Create event messages
A little more detail
Each relevant business process is represented in SAP EM as an Event Handler (EH) •
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Includes attributes
Tracking IDs
Parameters
Planned milestones and measurements
Customers
“The Plan”
Visibility
Actual events posted against the EH •
Measurements
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Attachments (digital signature)
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Changes to the plan
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“The actual”
Management
“The Plan”
Exception
Process
Internal Ops
“The Actual”
Suppliers
Understanding Events Actual Events
r a l u g e R
E E r a l u g e R
Regular Event
t n e V e y l r a E
t n e v E e t a L
2 types of events: •
d e t c e p x e n U
Unexpected Event E E r a l u g e R
Early / Late event
Planned / Expected Events
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E E d e t r o p e r n U
Unreported event
Events that you expect to happen Milestones Events that actually happen
These can be broken down further: •
Regular event
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Early / Late event
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Unexpected Event
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Unreported event
What comes pre-delivered?
Visibility Processes •
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Configuration / Development
SAP AS, SAP EM, SAP NetWeaver BI extraction
SAP Web UI (classic and standard)
Content
SAP NetWeaver BI & SAP NetWeaver PI
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Documentation Scenario Description Configuration guide
SAP EM and TM
TM Challenges •
How can I increase transparency and reduce risk?
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How can I reduce my supply chain operational costs?
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Are we compliant with regulations and compliance policies?
Order Management •
Can I respond quickly to unexpected supply chain events and ensure customer SLA is maintained?
Receive and create transportation requirements
Integrated SAP EM
Freight execution tracking
Freight Planning & Tendering •
Load, mode, schedule, route
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Select carrier
Freight execution / monitoring •
Documents, transport
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Track & Manage
Freight Settlement •
Charges, Pay, Invoice
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Freight units, orders, bookings
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Events: Loading
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Pre-defined shipper, carrier, consignee views
POD
Event Notification •
WebUI, Mobile, RFID
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Rules-based follow on activities
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Alert triggering – Email, SMS, Fax, B2B
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Overdue event monitoring
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Analytics
SAP BW
Integrated Exception status in SAP TM cockpit
SAP TM – Ocean Carrier Booking
Book capacity on a ship for sea transportation •
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use SAP EM to track the individual process steps Available exclusively for Transportation Management in Extended Warehouse Management (EWM).
Visibility •
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Tracks the following events •
Container loaded on vessel
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Departure of vessel
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Arrival of vessel
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Container unloaded from vessel
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View booking requests and shipments by status Track transportation events
Container level
Communication with external partner
Track receipts, confirmations, rejects from partners Track unexpected events
Change to booking order
Change to shipping instructions
SAP EM and SNC
SNC Challenges •
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How well are my suppliers performing?
Delivery
PO management
All suppliers are not equal… •
Automation
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Low performance
Are we collaborating with our suppliers?
Exception messaging
Integration with SAP EM •
Exception management
Alert framework •
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Performance management
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Direct to supplier
On time delivery
Visibility Processes
Responsive Replenishment
PO Process
Object Event Repository
Track and Trace •
Serialized items
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Authentication
SAP OER
SAP PI Data Center Local Sites
SAP AII
Mobile for error handling (Online UI) Line Controllers
SAP AII
Mobile for Shipping / Receiving etc.
Forklifts and other Warehouse Equipments
Current SAP EM Uses
Order to Cash (Insight, HD Supply, Siemens)
Production Order process (Eclipse Aviation)
Procurement process (Movie Studio, HD Supply)
Returnable Transport Item (Large chip manufacturer)
Ocean freight logistics (BASF)
Supply Chain (Amanco)
Track and Trace (BAT, Green Cargo, Canada Post) If it’s a business process worth tracking at an instance level then it’s a SAP EM candidate. If regulations restrict it… If visibility and analytics on the process are key… then it can be SAP EM enabled
SAP EM vs. BPM
BPM is more aligned with ccBPM and SAP Business Workflow •
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SAP Business Workflow 1 SAP systems ccBPM systems
Automation of business processes within
Automation of business processes spanning several SAP
BPM Automation of business processes spanning several disparate systems
SAP EM monitors any business process •
Tight integration to extract events from SAP systems
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Tight integration with SAP NW BW for analytics
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Provides Web Services to add or query data
Agenda
What is SAP Event Management •
An Overview
•
The components
•
What comes pre-delivered?
•
Understanding events
What can SAP EM do for you?
Walking through a sample process
An SAP EM implementation •
Team
Wrap-Up
What can SAP EM do for you? Exception Management
Manage processes by exception •
With full visibility to process
Planned vs. Actual Events •
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Planned vs. Actual Partners, Locations and Measurements
Proactive alert management
Alert Framework integration
Workflow integration
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Reduced time to action
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Reduce costs
Minimizing uncertainties
STEP 1
Planned Sequence: Step 1,2,3
STEP 2
STEP 3
Actual Sequence: 1,3,4 => ALERT!!!
STEP 4
What can SAP EM do for you? Status Management
Monitor processes by status •
With full visibility to process
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Proactive alert management
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Overdue, Early, Late, Unexpected events If an undesirable status is reached a proactive alert can be issued
Enabler for exception management
What can SAP EM do for you? Performance Monitoring
Analytical Reporting Capabilities •
“How have my processes been performing?”
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Process Improvement
SAP NetWeaver BI integration
Measure internal and partner performance
KPI Reporting •
E.g. Average delay by carrier, Order to Cash cycle time by Order Type
Operational reporting capabilities •
“How is my process performing right now?”
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Directly done within SAP EM
What can SAP EM do for you? Visibility
Standard / Custom SAP EM Report •
WIMO
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Status visibility
Analytics in SAP NW BW •
KPI visibility
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Average cycle duration
Partner scorecards
% on time vs. early vs. late
Deviations as a % of total count
Alert & Workflow Inbox •
Exception Management
Summary
Exception management
+ Status management
+ Performance monitoring
+ Visibility
Process Improvement Real Value!!!
Agenda
What is SAP Event Management •
An Overview
•
The components
•
What comes pre-delivered?
•
Understanding events
What can SAP EM do for you?
Walking through a sample process
An SAP EM implementation •
Team
Wrap-Up
Sample process described
“The Plan” in SAP EM
“The Execution” in SAP EM
Standard event
Unreported event
Standard event
Late event
Unexpected event
Parameter exception
SAP EM reporting
Agenda
What is SAP Event Management •
An Overview
•
The components
•
What comes pre-delivered?
•
Understanding events
What can SAP EM do for you?
Walking through a sample process
An SAP EM implementation •
Team
Wrap-Up
A SAP EM Implementation To Do List!!!
ECC – Application System
SCM – SAP EM
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Set up comms to SAP EM
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Set up comms to AS
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Implement BAdI (AI)
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Define Application System
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Define Event Manager
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Configure the following:
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Configure the following:
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Event Handlers / sets
Business Process Type (BPT)
Tracking / Query Ids
Application Object Type (AOT)
Parameters
Event Types
Status profiles
Code the following:
Expected / unexpected events
Relevance function
Event codes
Extractor functions
Rules and Rule sets
ID extractors
Locations
Parameter extractors
Partners
Expected event extractor
WCL / Web UI layout
Business Object extractor
BW Config
BAdI for calling SAP EM
Archive Config
Typical Project Team
Design: 1 x SAP EM Architect
Configure: n x SAP EM functional expert
Develop: n x ABAP developer with SAP EM knowledge
Develop: 1 x BI developer – Queries and dashboard
1 x UI developer
1 x Project Manager
Customer Implementation: Procurement Process
The Challenge •
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Track changes to Purchase Orders Track PO acknowledgements, Goods Receipts and Invoice Receipts with changes
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React immediately to changes outside tolerances
Track untimely or non-receipt of process events
Have the visibility to non-compliance of the process by supplier
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Track supplier EDI success / failure
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Understand how the procurement process is performing
Have the ability to set KPIs for the procurement process
We want to be able to track PO’s and any subsequent discrepancies caused by suppliers changing the PO requirements, and immediately react to these in order to keep our PO plan on track…
The Solution Enhanced the standard Procurement Visibility
Process Expected events PO created PO transmitted PO mapped to 850 OK PO 850 received at vendor PO acknowledged PO created + 2days PO goods receipt (GR) Based on PO schedule PO invoice receipt (IR) PO GR date + 7days Unexpected events PO delivery date or quantity change Based on tolerance PO acknowledged, GR, or IR amount, quantity, or date change Based on tolerance •
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Visibility and Status Management
SAP EM Web UI
Exception Management
Alert Framework Integration
Overdue Monitor Report
Performance Monitoring KPIs
Process cycle count
Deviations as a % of total count •
PO Acknowledgements received with changes
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PO GR not matching PO
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PO IR not matching PO
Average cycle duration •
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Total cycle PO create PO Acknowledged PO GR
PO Invoice Receipt
% on time vs. early vs. late •
PO acknowledged
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PO goods receipt
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PO invoice receipt
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Invoice received
Agenda
What is SAP Event Management •
An Overview
•
The components
•
What comes pre-delivered?
•
Understanding events
What can SAP EM do for you?
Walking through a sample process
An SAP EM implementation •
Team
Wrap-Up
Supply Chain Maturity DATA I NTEGRITY
Real-time transactions Data cleansing Inside the system System communications Partner and system cooperation Data accuracy Data accountability Process accountability User confidence
PROCESS RULES
Plan in the system Communications with your partners Master data rules Define service levels – Internal and external Business measurements Define exceptions Status definition Data grouping Standard processes
COLLABORATION
HOUSEKEEPING
INTEGRATION
Get your data (Master and Transaction) clean with consistent processes adopted to maintain it. Get your processes integrated and into the system. Refine your process points , set measurement goals PLAN and EXECUTE
Real-time operational exception management Integrated notifications through workflow, alerts Adaptive collaboration with partners Proactive process realignment Partner performance Track and Trace Status management Visibility – Process, data, performance Analytics
FUNCTIONALITY Take control of your processes through monitoring, collaboration and automation SENSE and RESPOND
BUSINESS VALUE
Reduced risk Improved service Reduced cost Reduced time to action Improved process compliance Visibility to performance goals, process, data Improved collaboration Improved cycle times Fewer exceptions Improved reliability gained through trusted processes
BUSINESS VALUE Manage by exception, adapt processes, realize benefits, set new VALUE targets MEASURE and ADAPT
SAP EVENT MANAGEMENT
Q Data Group - SAP EM Practice
Just starting out with SAP EM? •
Self Assessment
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1 Day Readiness Assessment
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Online questionnaire – Are you ready for SAP EM? (http://www.qdatausa.com/selfassessment/register.asp) Helps companies make the correct decision as to whether SAP EM matches the need. Also checks if your organization is ready for SAP EM.
5 Day Assessment
An Overview presentation on what SAP EM and what it can do for you (½ day)
Detailed generic training covering the configuration of SAP EM (1 ½ days)
Standard EM Scenario Implementation (requires a working SAP EM system prior to on-site arrival) (1 day)
Conducting an analysis of your business processes (1 day)
Executive presentation covering opportunities and a project plan to realize those opportunities (1 day)
More Info http://www.qdatausa.com/ Webinar series on SAP EM – Tuesdays 4/19 – 5/10
“SAP Event Management – SAP’s best kept secret” available at Amazon.com or Genie Press at http://www.geniepress.com/qdata
