SAP Event Management Overview

SAP Event Management
An Overview
Q DATA GROUP
Business Maturity
Q DATA GROUP
Business Maturity
April 25, 2011
copyright 2010 Q Data USA, Inc. All rights reserved.
Q Data SAP EM Webinar

Series
http://www.qdatausa.com
4 Tuesdays at 1pm CST
1 EM Overview (Today)
2 EM Use Cases (4/26)
3 Mobile Track and Trace using the OER (5/3)
4 Exception Management in the Supply Chain (5/10)
Other Webinar series on Thursdays at 11am CST
Q DATA GROUP
Business Maturity
May - Reduce maintenance, shipping costs and labor costs and gain
Business Maturity
June - Middleware Technologies
July - SAP PI System upgrades and Performance Monitoring
August SAP Event Management
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 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
Q DATA GROUP
Business Maturity
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
software functionality that supports five business processes:
monitor, notify, simulate, control and measure supply chain
activities. AMR Research, January 2000
Q DATA GROUP
Business Maturity
What is SAP Event Management?
SAPs implementation of Supply Chain Event Management

A SAP standard tool to:
track the status of processes
measure compliance with process plans Uncover & report exceptions
give visibility of your processes to all involved
Found where?
SAP EM as part of SCM (standalone option)
SAP EM as add-on (using EM functionality with an existing app):
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
Q DATA GROUP
Business Maturity
Business drivers for SAP EM

Risk mitigation
Increased regulations
Track and Trace with authentication
Real-time exception notification Proactive notification &

resolution
Visibility
Increase customer satisfaction

Reduce costs
Minimize uncertainties
Reduce time to action

Transparency across dispersed supply chain
Process improvement
Q DATA GROUP
Business Maturity
Analytics / KPI
Partner performance
Components of SAP EM
Application System (AS)
Application Interface
Application Interface
Control Channel
Comms Layer
Reporting Layer
BW
`
Event Senders
SAP EM
Application Interface (AI)
SCM
ECC
Execute data processing in

Application system. E.g. ECC
Value add: Fast deployment
Basis Plug-in
SAP Event Management

(SAP EM)
React to Events / rules based
Business Warehouse (BW)
Supply data for analysis

Value add: Tight integration
Event Senders
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Create event messages

A little more detail

Each relevant business process is represented in SAP EM as
an Event Handler (EH)
Includes attributes
Tracking IDs
Parameters
Customers
Planned milestones and measurements
The Plan
Visibility
Actual events posted against the EH
Measurements
Attachments (digital signature)
Changes to the plan
The actual
Management
The
Plan
Exception
The
Actual
Suppliers
Process
Internal Ops
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Business Maturity
Understanding Events
2 types of events:
Unexpected
Late Event
Early eVent
Regular EE
Unreported EE
Unexpected
Event
Regular EE
Regular
Actual Events
Regular
Event
Early / Late
event
Unreported
event
Planned / Expected Events
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Business Maturity
Events that you

expect to happen Milestones
Events that
actually happen
These can be
broken down
further:
Regular event
Early / Late event
Unexpected Event
Unreported event

Visibility Processes
Configuration / Development
SAP AS, SAP EM, SAP NetWeaver BI extraction

SAP Web UI (classic and standard)
Documentation
Scenario Description
Configuration guide
Content
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SAP NetWeaver BI &

SAP NetWeaver PI
SAP EM and TM
TM Challenges
How can I increase transparency and reduce risk?

How can I reduce my supply chain operational costs?
Can I respond quickly to unexpected supply chain events and ensure
customer SLA is maintained?
Are we compliant with regulations and compliance policies?
Order Management
Receive and create transportation
requirements
Freight Planning & Tendering
Load, mode, schedule, route
Select carrier
Freight execution / monitoring
Documents, transport
Track & Manage
Freight Settlement
Charges, Pay, Invoice
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Integrated SAP EM
Freight execution tracking
Event Notification
Freight units, orders, bookings

Events: Loading POD
Pre-defined shipper, carrier, consignee views
WebUI, Mobile, RFID
Rules-based follow on activities
Alert triggering Email, SMS, Fax, B2B
Overdue event monitoring
Analytics SAP BW
Integrated Exception status in SAP TM

cockpit
SAP TM Ocean Carrier Booking

Book capacity on a ship for
sea transportation
use SAP EM to track the

individual process steps
Available exclusively for
Transportation Management
in Extended Warehouse
Management (EWM).
Visibility
Tracks the following events
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Container loaded on vessel

Departure of vessel
Arrival of vessel
Container unloaded from
vessel
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
How well are my suppliers

performing?
Delivery
PO management
All suppliers are not
equal
Are we collaborating with

our suppliers?
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Automation
Low performance
Integration with SAP EM
Exception management
Alert framework
Performance management
Direct to supplier
On time delivery
Visibility Processes
Responsive Replenishment
PO Process
Exception messaging
Object Event Repository

Track and Trace
Serialized items
Authentication
SAP OER
SAP PI
Data
Center
Local
Sites
SAP AII
Mobile for error handling

(Online UI)
SAP AII
Mobile for Shipping /

Receiving etc.
Forklifts and other

Warehouse Equipments
Line Controllers
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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 its a business process worth tracking at an instance
level then its a SAP EM candidate. If regulations
restrict it If visibility and analytics on the process are
key then it can be SAP EM enabled
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Business Maturity
SAP EM vs. BPM

BPM is more aligned with ccBPM and SAP Business
Workflow
SAP Business Workflow Automation of business processes within

1 SAP systems
ccBPM Automation of business processes spanning several SAP
systems
BPM Automation of business processes spanning several
disparate systems
SAP EM monitors any business process
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Tight integration to extract events from SAP systems

Tight integration with SAP NW BW for analytics
Provides Web Services to add or query data
Agenda
An Overview
The components

Team
Wrap-Up
Q DATA GROUP
Business Maturity

Exception Management
Manage processes by exception
With full visibility to process
Planned vs. Actual Events
Proactive alert management
Business Maturity
Alert Framework integration

Workflow integration
STEP 1
Planned Sequence: Step 1,2,3
STEP 2
Reduced time to action

Reduce costs
Q DATA GROUP
Planned vs. Actual Partners, Locations and Measurements
Minimizing uncertainties
STEP 3
Actual Sequence: 1,3,4 => ALERT!!!
STEP 4

Status Management
Monitor processes by status
With full visibility to process
Proactive alert management
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Business Maturity
Overdue, Early, Late, Unexpected events

If an undesirable status is reached a proactive alert can be issued
Enabler for exception management

Performance Monitoring
Analytical Reporting Capabilities
How have my processes been performing?
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
Q DATA GROUP
Business Maturity
How is my process performing right now?

Directly done within SAP EM

Visibility
Standard / Custom SAP EM Report
WIMO
Status visibility
Analytics in SAP NW BW
KPI visibility
Average cycle duration
Partner scorecards
% on time vs. early vs. late

Deviations as a % of total count
Alert & Workflow Inbox
Q DATA GROUP
Business Maturity
Summary
Exception management
+ Status management
+ Performance monitoring
+ Visibility
Process Improvement
Real Value!!!
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Business Maturity
Agenda
An Overview
The components

Team
Wrap-Up
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Business Maturity
Sample process described
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Business Maturity
The Plan in SAP EM
Q DATA GROUP
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The Execution in SAP EM
Q DATA GROUP
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Standard event
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Unreported event
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Standard event
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Late event
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Unexpected event
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Parameter exception
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SAP EM reporting
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Agenda
An Overview
The components

Team
Wrap-Up
Q DATA GROUP
Business Maturity
A SAP EM Implementation To Do
List!!!
ECC Application System
Set up comms to SAP EM

Implement BAdI (AI)
Define Event Manager
Configure the following:
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Business Maturity
Business Process Type (BPT)

Application Object Type (AOT)
Event Types
Code the following:
Relevance function
Extractor functions
ID extractors
Parameter extractors
Expected event extractor
Business Object extractor
BAdI for calling SAP EM
SCM SAP EM
Set up comms to AS
Define Application System
Configure the following:
Event Handlers / sets

Tracking / Query Ids
Parameters
Status profiles
Expected / unexpected events
Event codes
Rules and Rule sets
Locations
Partners
WCL / Web UI layout
BW Config
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
Q DATA GROUP
Business Maturity
Customer Implementation:
Procurement Process
The Challenge
Track changes to Purchase Orders

Track PO acknowledgements, Goods Receipts and Invoice Receipts
with changes
Track untimely or non-receipt of process events
React immediately to changes outside tolerances

Have the visibility to non-compliance of the process by supplier
Track supplier EDI success / failure

Understand how the procurement process is performing
Have the ability to set KPIs for the procurement process

We want to be able to track POs 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
Q DATA GROUP
Business Maturity
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
Q DATA GROUP
Business Maturity
Visibility and Status Management
SAP EM Web UI
Q DATA GROUP
Business Maturity
Alert Framework Integration
Overdue Monitor Report
Q DATA GROUP
Business Maturity
Performance Monitoring KPIs

Process cycle count
Deviations as a % of
total count
PO Acknowledgements
received with changes
PO GR not matching PO
PO IR not matching PO
% on time vs. early vs. late
PO acknowledged
PO goods receipt
PO invoice receipt
Invoice received
Average cycle duration
Q DATA GROUP
Business Maturity
Total cycle
PO create PO
Acknowledged
PO GR PO Invoice Receipt
Agenda
An Overview
The components

Team
Wrap-Up
Q DATA GROUP
Business Maturity
Supply Chain Maturity

DATA INTEGRITY
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
Business Maturity
Q Data Group - SAP EM Practice

Just starting out with SAP EM?
Self Assessment
1 Day Readiness Assessment
Business Maturity
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
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Online questionnaire Are you ready for SAP EM?

(http://www.qdatausa.com/selfassessment/register.asp)
An Overview presentation on what SAP EM and what it can do for you

( day)
Detailed generic training covering the configuration of SAP EM (1
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 SAPs best kept secret

available at Amazon.com or Genie Press at http://www.geniepress.com/qdata
Q DATA GROUP
Business Maturity
Questions???
A few of QDatas Clients
Kevin Wilson
SAP EM Practice Lead
kwilson@qdatausa.com
760-809 1495
www.qdatausa.com
John D. McMahon
Client Services SAP EM
jmcmahon@qdatausa.com
630-740 6685
Q DATA GROUP
Business Maturity

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What is SAP Event Management?

What is SAP Event Management?

What are the components of SAP Event Management?

What are the components of SAP Event Management?

SAP Event Management

April 25, 2011

copyright 2010 Q Data USA, Inc. All rights reserved.

Q Data SAP EM Webinar

Other Webinar series on Thursdays at 11am CST

What can SAP EM do for you?

copyright 2010 Q Data USA, Inc. All rights reserved.

Supply Chain Event Management

copyright 2010 Q Data USA, Inc. All rights reserved.

What is SAP Event Management?

SAPs implementation of Supply Chain Event Management

copyright 2010 Q Data USA, Inc. All rights reserved.

Business drivers for SAP EM

Track and Trace with authentication

Real-time exception notification Proactive notification &

Increase customer satisfaction

Reduce time to action

Application Interface (AI)

Execute data processing in