CNA100 – Overview, Road Map, and Strategy for

SAP S/4HANA

PUBLIC
Speakers 2018

SAP TechEd Las Vegas Rudolf Hois

October 2–5, 2018

SAP TechEd Barcelona Markus Goebel

October 23–25, 2018

SAP TechEd Bangalore Sanjai K

November 28–30, 2018

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Disclaimer

The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP.
Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other service
or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any related
document, or to develop or release any functionality mentioned therein.
This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions and
functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this
presentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is provided
without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a
particular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAP
assumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intentional or gross
negligence.
All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from
expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates,
and they should not be relied upon in making purchasing decisions.

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Strategic priorities in digital world

End consumer Serving the Digital Digital supply chain Servitization & new
centricity “Segment of One” smart products & smart factory business models

 Rethinking the whole  Configurability  Intelligent  Flexible reaction to  Aftersales Service

business from the  Adaptability  Self-aware changes in demand,  Value add services
end customer’s  Personalization supply and resources  Usage based
perspective. charging
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The Intelligent Enterprise Framework

Customer
Experience

Manufacturing
& Supply Chain
Data
Management

AI/ML |IoT |Analytics

Digital Core
Intelligent Digital
Intelligent Suite
Technologies Platform

People Cloud
Engagement Platform

Network& Spend
Management
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SAP S/4HANA 4 years of innovation delivered
SAP S/4HANA is ready for the prime time  Intelligent ERP: Machine
Key Innovations* - Evolution Learning capabilities & co-pilot
skills across all SAP S/4HANA
modules
 New Service Core – Service
 Predictive Analytics as
Management
a system of intelligence
 Responsibility Determination
 Demand Driven
Manufacturing  SAP Analytics Cloud for
financial planning
 Advanced Variant
 Consistent SAP Fiori Configuration  Digital Manufacturing:
User Experience & Production Engineering and
 SAP Fiori Overview
Operations
 Search Pages
 SAP Master Data Governance
 Embedded Analytics  Real time inventory  Stack Consolidation
– Integral part of SAP S/4HANA
 Effective month end  Smart Business e.g.  Sales Order Fulfillment
 Demand driven replenishment
closing MRP cockpit Cockpit
 Digital Manufacturing
 Overcome  Embedded Software in  Embedded Analytics for
reconciliation Product Development insights to action  Co-Pilot consumption

SAP S/4HANA, on-premise edition 1511 SAP S/4HANA, on-premise edition 1610 SAP S/4HANA, on-premise edition 1709 SAP S/4HANA, on-premise edition 1809

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SAP S/4HANA 1809
Key Innovations Overview

Embedded Transportation Management Digital Manufacturing Inventory Management

- Further enablement of TM Core functionality - Production Engineering and Operations - Predictive Analytics / ML
- Charge-Correction-Advice-Management provides Manufacturing Execution capabilities for - Posting goods receipt for production order
(CCA) for mixed building & load planning high complex assembly, low volume, manual - Inventory Analysis
processing

Produce Quality Management

Finance
- Demand-driven replenishment - Quality inspection – recording results
- Soft close and prediction; parallel valuation
- Predictive MRP - Complaint management recording/monitoring
- Intercompany reconciliation
- aATP: Alternative-Based- - Analyze KPI’s for quality management data
- SAP Analytics Cloud for financial planning
Confirmations

Commodity Management Procurement Extended Warehouse Management

- Mark-to-Market, Risk Management - Centralized purchase requisitions through hub - advanced QM Integration
transactions for hedging of and central contract management hub - embedded Analytics labor management
commodities; Commodity Sub Accounts - Integration of SAP Ariba Buying with SAP - Inventory Management customer owned stock
S/4HANA

Industry to Core Enterprise Asset Management PLM

Retail / Wholesale - Overview Page for Planner - Variant Configuration – multi level; CPQ;
- Fashion Management - Damage Analysis Classification
- Wholesale Fashion (Fashion - Task list and operations - Recipe Development and Recipe finder
Contracts)

NEW Service Core - Service Integration

Sales - SAP Ariba Buying for Sourcing
Management - Embedded Service - Simplified Sales Order creation - R&D Engineering with CPQ
Management (Service Core) with - Mass changes for sales orders - SAP EAM with AIN for Equipment
eliminated middleware, harmonized data - Approval workflows for sales processes - SAP TM into Global Track & Trace
models

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SAP S/4HANA for Central Procurement LoB highlights
From SAP SRM to SAP S/4HANA for Central Procurement
Ariba

e.g. Ariba Guided Buying

SAP SRM SAP S/4HANA for Central Procurement

SAP ERP SAP ERP SAP ERP S/4HANA SAP ERP SAP ERP SAP ERP

Current Scenario Target Scenario

 Supports multi-SAP-backend installations  SAP S/4HANA system acts as a central system
 Is the procurement backbone of every large SAP installed  Support Central Requisitioning (available), Central Purchase
base customer Contracts (available) and Central Purchasing (planned for Q2
2018)
 End of Maintenance for SAP SRM in 2025
 Distributed to local operational backend systems, like SAP
S/4HANA and SAP ERP (starting from SAP ERP 6.06)

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Simplified SAP service strategy across the front office and the back office

Today Future
Service engagement center

Leonardo
SAP Customer

SAP
Customer Interaction center Engagement Center
service and function of SAP CRM1
support [+ MindTouch]
Front office

SAP Contact Center

SAP CLOUD PLATFORM

SAP C/4HANA Cloud for Customer

Leonardo
SAP C/4HANA

SAP
Cloud for Customer
SAP CRM Service Manager [+ ClickSoftware]
and SAP Work Manager SAP CLOUD PLATFORM
Field service
Back office

SAP CRM Service1

Leonardo
SAP
SAP S/4HANA Service Management

Service SAP ERP customer

back end service functionality SAP S/4HANA

1 The interaction center function of SAP CRM will be made available to current customers who want to migrate to SAP S/4HANA.
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HCM new on-premise “option” for SAP S/4HANA beyond 2025

Guiding principals:
• Based on the existing SAP ERP HCM solution
• Planned availability in 2023
• Maintenance & legal changes planned at least through 2030
• Official name TBD (proposal: SAP HCM on-premise for SAP S/4HANA)

Scope Includes: Excludes:

• Personnel Administration • SAP Learning Solution (LSO)
• Organization Management • SAP E-Recruiting
• Personnel Development • Travel Management (FI-TV)
• Payroll
• Time & Attendance
• Benefits

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This presentation and SAP‘s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is
provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement
Responsibility Management in SAP S/4HANA
Flexible Working Organization for your enterprise to automate your business

Determine the responsible people for various contexts to address tasks and activities
along the working structure and dimensions in Sales, Procure, Fin, Manufacturing …

Responsibility Dimensions
Organize your flexible working structure in Teams and Functions according
Flexibility to their tasks/activities to determine responsibility
Sales
Sales Organization: Distribution Channel,
Customer Group, Material Group,
Simplify approval process to reflect real business needs to determine Division, Sales Group, Sales Office, …
Simplicity responsible person in complex of organization structure
Procurement
Give central capability to enable application scenarios to determine the Company Code; Material Group, Material,
Adaptivity correct responsible person for a task or activity Purchase Org; Purchase Group

Finance
Save time and cost to avoid the cumbersome process to change an Controlling Area, Kokrs, Bukrs, Profit
Efficiency existing organization structure to adopt dynamic approval processes Center, Cost Center ; …

Enable the responsible person uniformly and centrally to complete a PLM

Consistency particular task or activity
Country; Product line, ..

Support determination of the correct recipients for their functionalities via Manufacturing
Seamlessness workflow or situational handling Plant; Workplace; Production line; …

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Big Picture Embedded Intelligence and Enterprise Intelligence:
Situation today for SAP S/4HANA
SAP Analytics services: e.g. SAP Analytics Cloud, SAP Leonardo, etc.

Business User
Analytics Specialist
(getting support in the daily business process
(for extending the solution with new KPIs, reports,…)

SAP BW/4HANA
work by embedded analytics)

Spend off-
contract
Incoming
Sales Order
PO Avg.
Delivery Time
Non-managed
purchasing spend ….

SAP S/4HANA
Virtual Data Models
 Provide embedded insights within the solution, to optimally support business user in defined business processes with
decision support and information at the users fingertips.
 Integrate seamlessly into the enterprise intelligence offerings such as SAP Analytics Cloud and SAP BW/4HANA
 Provide real-time access to solution data as well as replication of data and blending with multiple other sources for
end2end enterprise intelligence
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CUSTOMER 13
 The intelligent ERP is leveraging Machine Learning to Reinvent Businesses
Process Automation Next–gen UX
60%
Of human tasks will be Full automation of business processes, from HR to User experience based on voice, vision and messaging
automated by 2025 payments processing, to workflow approvals for will replicate how people interact in real life and increase
purchase orders and sales execution business productivity

97% Dynamic Analytics

Image recognition accuracy today
(better than human rate 95% ) Proactive analysis of new data types and discovery of
unfamiliar patterns that provide a new level of insights

New Business Practices

95% Accelerated pace of digital transformation: move
Speech recognition accuracy today
from product centric to service centric business
(better than human rate 94.1% )
model and from hierarchies to virtual corporations

$18B
Enterprise Machine Learning
Market by 2020

94%
Of companies see ML as critical
for Competitive Advantage!

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Source: SAP CSG analysis, McKinsey Quarterly Report July 2016, Google PR, Microsoft PR, SAP Market Model
SAP S/4HANA Cloud hyper-automated via SAP Leonardo machine learning
intelligence

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The User Experience for the digital age
Automation fosters insights based interaction

Single entry point via SAP

Fiori launchpad

Domain specific infos and

actions

Enter details and

explore in depth

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Optimized Order to Cash End-to-End Process
Delivery Performance/Delivery in Time increases customer satisfaction by better delivery performance
Intelligent Sales: A quantum leap in process automation.

© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC This presentation and SAP‘s strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is provided
without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement 18
SAP S/4HANA Situation Handling
Enable a New Generation of Intelligent Cloud ERP
Situation Handling brings business issues to the attention of specific groups of users who are then able
to react immediately to the information they receive. This optimizes handling of critical business events
in your daily business and supports optimizing your specific business processes.
Value Proposition
• End users are directed to situations requiring their attention and provided with contextual information
and actions in one place
• Power users simply adapt the system to the business requirements by adapting situation types and
easily modify them
• Business owners monitor and improve handling of situations
Capabilities
 Situation Handling is already available for selected predefined situations
 Manage situations
▫ Maintain situation types based on pre-defined use cases that detect actual situations to create
situation instances for end user, including
− conditions
− recipients (end users)
− type of information, e.g. notification
 Monitor analytical data of situations
▫ Monitor handling of situations in your business and continuously improve your intelligent ERP
▫ Analyze the occurrence and the lifecycle of situation instances
Vision
• Extended set of pre-defined use cases for all business areas
• Integrate high quality supported human handling and automation with machine learning
• Create own custom situation use cases
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 Two-Tier ERP Approach with SAP S/4HANA Cloud

Common Easy choice for a powerful combination

│ Data Model │ User Experience │ Data entities │ Analytics │

• Flexibility for customer innovations and business
models
On-Premise
Cloud or

Corporate Full • Competitive advantage-specific processes

Tier 1 powerful
S/4HANA Central Finance SAP ERP • Most powerful tools for operations and
administration
• Integration with 3rd party solutions
Cloud Connector

Subsidiaries
Tier 2 • Rapid time to value and lower cost to maintain
• Taking real-time insights into action
Light, • Process consistency
quick, Easy to change, simple to extend
Cloud

SAP Cloud •
simple
Ecosystem
• Easily duplicated / “templatized” innovations
• Access to other SAP Cloud solutions

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SAP S/4HANA Cloud Software Development Kit (SDK) provides
capabilities for your own apps through the application lifecycle

Conception / Testing & Application

On-Boarding Development
Design Release available

Knowledge Continuous Metrics,

SAP S/4HANA Cloud SDK
Transfer Assessment Monitoring

Final gate, Deploy & Monitor

CODE COVERAGE
OPEN SOURCE
SECURITY
CODE CHECKS
PERFORMANCE
OPERATIONS

Quality Reporting Platform

(e.g. Sonar Qube)

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SAP S/4HANA is the fastest adopting product in SAP‘s history

9000 Customers 2,000+

• Every size (up to 48 T in scale out) LIVE Customer
• 26 industries

• 92 countries

• From single global to multi-instance

• 50% of existing ERP customers choose conversion

• Proven by 1.000s of implementation projects

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 Explore YOUR path to SAP S/4HANA

Key scenarios Key executive question Key executive focus

 Minimal disruption: understand change with min

How do I move downtime
1 system conversion + my systems fast to
 Use of the prescribed tools: Readiness Check,
minimal disruption SAP S/4HANA?
Custom Code, etc.

Projects  Focus on the processes which need

brownfield How do I manage the improvement, define the boundaries of the change
2 conversion + business in a new way?  Use SAP Landscape Transformation tools for
process re- system creation and data transfer
engineering

 Comprehensive change of the business and

greenfield How do I completely systems
3 implementation + re-design my business?  Define best practices
process re-
 Tailor each and all processes to best practices
engineering

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Transition to SAP S/4HANA
Recent Improvements & Future Direction

Recent Improvements Future Direction

• ABAP Test Cockpit (custom code analysis) with • Improved custom code adaptation and
improved detection capabilities and result view analysis, incl. automatic code adaptations (Quick Fixes)
and cloud based custom code service.
• Migration Cockpit improvements for for safer, faster and
easier mass data migration • Tool for deleting obsolete data which is no longer
required due to simplifications.
• Simplification Items Checks analyzing if your system is
ready to be converted to SAP S/4HANA • Sharing System Conversionexperiences (openSAP
Course & “Lessons Learned” guide
• Simplification Item Catalog for exploring and searching the
Simplification List online • Reducing E2E System Conversion effort
for the main effort drivers via tool, service and
• CVI Cookbook providing E2E guidance on how to
documentation improvements, as well as tighter
implement customer-vendor integration
integration of application specific data quality checks
• Full transparency on availability of BI Extractors
• Downtime optimized system conversion with
• Improvements in dealing with Add-on‘s (certification process integration of FIN Migration into SUM uptime processing
& Add-on un-install) (currently in piloting).
• Transformation Catalyst Program. Accelerators for • Extending the SAP Readiness Check with more detailed
supporting customers in their SAP S/4HANA transformation. analysis and higher automation
• SAP ‚Fiori as a service’ (full scope planned w/ 1809
FSP’s)
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Know where to start with your SAP S/4HANA deployment

Discover Plan & Prepare Transform

Build Your Business Case Discover Your Destination Execute Your Move
 Customer references  SAP Transformation  SAP Activate
 SAP Best Practice Navigator  Migration Cockpit
Explorer  Readiness Check for
 SAP S/4HANA Trial SAP S/4HANA
 SAP Roadmaps

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Further information

Related SAP TechEd learning journeys

CNA4 – How to get to SAP S/4HANA

Related SAP TechEd sessions

CNA101 – Overview of Transition Paths to SAP S/HANA
CNA201 – Overview of New Implementations of SAP S/4HANA Using the Migration Cockpit
CNA200 - End-to-End Overview of the System Conversion to SAP S/4HANA
CNA301 - Check the Readiness of Your System for Conversion to SAP S/4HANA
CNA363 - Explore and Work with SAP S/4HANA Migration Cockpit
CNA362 - Get Your Hands on the Tools You Need for a System Conversion to SAP S/4HANA
CNA402 - Best Practices for Experts for System Conversion to SAP S/4HANA

Public SAP Web sites

SAP Community: www.sap.com/community
SAP products: www.sap.com/products

SAP training and certification opportunities

www.sap.com/education

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 Thanks for attending this session.

Feedback Contact for further topic inquiries

Please complete your session Rudolf Hois

VP, S4HANA
evaluation for CNA100. r.hois@sap.com

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