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INTRODUCING CLOUD COMPUTING

Identifying Foundational Concepts of Cloud Computing


Objective
After completing this lesson, you will be able to summarize the foundational
concepts of cloud computing
Foundational Concepts of Cloud Computing
Introduction to Cloud Computing
Cloud computing is the delivery of applications, platforms, data storage,
operating systems, and other computing resources over the Internet. In the cloud
model, you pay a regular subscription fee to consume certain services from a
third party provider. This is similar to how you consume services in your home
such as water and electricity. You pay the utility provider on a monthly or
quarterly basis, and the provider is responsible for delivering services to you, and
maintaining the infrastructure necessary to deliver those services (public water
pipes, power lines). If there is an issue, you would contact the service provider for
a resolution. For example, if there is a power outage due to a thunderstorm, the
utility provider is responsible for troubleshooting and taking the necessary steps
to resolve the issue and reinstate your service.

This is a stark contrast to the traditional on-premise model, where the customer
is responsible for purchasing and maintaining the server(s) where the software is
installed, and the software itself. This includes setting up redundancies to back up
data, and security measures to protect both the physical servers on site, and the
software in the virtual space. For example, if the customer's server crashes and
needs to be rebooted, an employee within the organization must handle this task,
and all employees using the software wouldn't be able to access the system while
it's down. What if data was lost during the crash? For a large organization, it may
be feasible to budget for a team of people to maintain the servers, software,
redundancies, and security, but small and mid-size organizations need a cost-
effective solution where they know their data is safe and their applications are
accessible when they need them. Large organizations also look to cloud software
to help them reduce the cost of maintenance while gaining the benefits described
in the table below:

Benefit Description

Increase or decrease the storage space and computing power you


Elasticity
need to meet fluctuating workload requirements.

Affordabili Minimize hardware and IT (Information Technology) department


ty costs; only pay for what you use.

Availabilit
24 x 7 x 365 system access from anywhere, on any device.
y

Improve compliance, protect data, and mitigate risk with continuous


Security
security updates from the cloud provider.

Innovatio Rapidly adopt new technologies to innovate faster, while simplifying


n the IT department's maintenance responsibilities.

Set-up cloud system(s) to quickly react to changing market


Agility
conditions and business needs.

Where does your data live?


Where do these "computing resources" live? Software needs to be installed in a
physical server, which ultimately needs access to a power outlet to turn on and
function. Imagine a building with rooms and rooms full of servers - this is called
a Data Center. A cloud software provider either owns their own data centers,
contracts with third-party data center providers to use a certain number of their
physical servers, or both.
There are three major components in a data center:
 Power Supply: The data center is connected to two separate grid sectors
operated by the local utility company. If one sector fails, the second one
continues to supply power. The data center also houses 13 diesel
generators in a separate building. Together, they produce a total of 29
megawatts.
 Cooling: All electronic components and processors generate heat when
operated. If the heat is not dissipated, the processor's efficiency may
decrease to the point that component(s) fail. Therefore, cooling a data
center is essential - and costly, due to the concentrated computing power.
 Controlled Access: SAP uses state-of-the-art technology and rigorous
security to protect data virtually and physically against data breaches,
fires, terror attacks, and other threats. Our data centers meet the highest
security standards.
Additional Security Measures
Integration, security, and performance between solutions located in different
cloud data centers
All communication between Data Centers is encrypted by industry measures. The
detail of implementation varies by solution and data flow.
Backup retention procedures
SAP conduct backups in the form of a disk-to-disk copy, which enables rapid data
creation and recovery. In addition to full backups done on a daily basis, we create
interim backup versions several times each day. We then archive these at a
secondary data center location for security purposes. Customers can choose
where their primary and secondary data centers are located. Please note that
locations vary by product - see the availability map here.
Monitoring and logging access to SAP Data Centers
SAP data centers are monitored around the clock with video cameras at every
entry point. We use these cameras to record and monitor each access event and
log this in our access system for 90 days. Single-person access and "mantrap"
systems provide access only to authorized individuals. Technicians can enter
special rooms using custom-configured ID cards. High-sensitivity areas require
authentication by means of biometric scans.
Technical security features
The multilayered, partitioned, proprietary network architecture permits only
authorized access with:
 A Web dispatcher farm that hides the network topology from the outside
world.
 Multiple Internet connections to minimize the impact of distributed denial-
of-service (DDoS) attacks.
 Layered security measures that continuously monitor solution traffic for
possible attacks.
 Multiple firewalls that divide the network into protected segments and
shield the internal network from unauthorized Internet traffic.
 Third-party audits performed throughout the year to support early
detection of any newly introduced security issues.

Differentiating Cloud Deployment Models


Objective
After completing this lesson, you will be able to differentiate between the three
cloud deployment models
Cloud Deployment Models
Deployment Models: Public, Private, and Hybrid Cloud
There are three primary deployment models: Public Cloud, Private Cloud, and
Hybrid Cloud.

Public Cloud
Public cloud software typically runs in a multi-tenant server, where multiple
tenants, or customers share the resources of the server. This is similar to an
apartment building where multiple tenants live within the same physical
infrastructure and share certain resources, but each tenant has their own key to a
secure unit within the building. Maintenance of the building and apartment units
is factored into the rent paid by tenants and taken care of when tenants need it.
In public cloud, each customer has their own "cloud container", where their
applications and data are completely hidden from the other customer tenants.
Because customers are sharing some of the same computing resources and the
cloud provider takes care of maintaining the software and infrastructure, public
cloud generally has the lowest total cost of ownership (TCO).
Private Cloud
For on premise software, the license is perpetual, meaning the customer is
purchasing the solution for a one-time fee "into perpetuity" (forever). The
customer is responsible for purchasing and maintaining the physical server(s)
where the software will be installed on site, and installing and maintaining the
software itself. The software provider may release patches and upgrades, but it's
completely up to the customer to decide when/if they will install them.
Private cloud software runs in a single tenant server, where only a single tenant
(customer) uses the resources of the server. The software runs in a private
network protected by a firewall, which is very similar to an on premise system.
When differentiating between private cloud and on premise software, ask yourself
these questions:
 Is the software license perpetual or a subscription?
 Who is responsible for maintaining the infrastructure (server(s)) where the
software is installed?
For private cloud software, the license is subscription-based, meaning the
customer pays a fee at regular intervals, through the end of their contract period.
The physical servers are located off-site in a data center somewhere in the world,
and the subscription fee is paid to access and use the software located in the
remote server(s) over the internet. The cloud provider is responsible for
maintaining the infrastructure and guaranteeing the software is available the
percentage of time defined in the service level agreement (SLA) (usually 99.5 -
99.9%). The cloud provider is responsible for certain maintenance activities with
the software defined in the SLA, but there is flexibility for customers to choose to
take over some tasks, or even request the cloud provider to handle additional
tasks for a fee.
A differentiator between private and public cloud is the level of customization
allowed in the system. Private clouds tend to offer more flexibility than public
clouds because the software lives in a single tenant server, rather than a multi-
tenant server. If public cloud is an apartment complex where you share some
resources with your neighbors, private cloud is a single family home on a plot of
land. In an apartment, you can make customizations within the constraints of
your unit, but you cannot make major structural changes that could affect the
other tenants. With a home, you can build an addition or change the exterior,
because you are the only tenant in the space.
Private cloud software tends to have a lower TCO than on premise software,
because you are outsourcing some of the technical maintenance activities to a
cloud provider. However private cloud has a higher TCO when compared to public
cloud software because you are solely responsible for the cost of maintaining the
server where your software lives, and customers usually build in more
customizations that have to be maintained over time.
Hybrid Cloud
A hybrid cloud includes both cloud (public or private) and on premise solutions,
often from multiple providers. Most customers will have a diverse landscape
consisting of a combination of different solutions that need to be integrated. Our
customers can leverage the SAP Business Technology Platform to develop and
host cloud-native integrations and applications to ensure data is fully integrated
across their software solutions.
Differentiating Cloud Computing Services
Objectives
After completing this lesson, you will be able to:
 Differentiate between the three cloud computing services
 Map SAP products to computing services
Cloud Computing Services
Computing Services: SaaS, PaaS, and IaaS
There are three primary computing services: Software as a Service (SaaS),
Platform as a Service (PaaS), and Infrastructure as a Service (IaaS).

A Software as a Service (SaaS) is when a cloud provider hosts applications and


makes them available to customers to use over the internet. SaaS software is
designed to facilitate customers accomplishing specific end-to-end activities. The
process flows defining who is responsible for each task and which apps to use to
accomplish different tasks are already built in the system. A customer runs their
data through the defined processes, similar to how water in a river follows the
path that's been carved into the surrounding landscape. Customers can access
SaaS applications from their web browser, and the SaaS provider is constantly
developing new enhancements and features with the latest technology. For SAP's
public cloud SaaS solutions, we install upgrades on a regular schedule in all
customer systems. For our SAP S/4HANA Cloud, Private Edition solution, we
handle the technical upgrade activities, but let each customer individually decide
when they are ready for an upgrade to be installed (with an upgrade being
mandatory at least once every 5 years).
A Platform as a Service (PaaS) is when a cloud provider hosts a development
platform on its own infrastructure and makes the platform and services that run
on the platform available to customers over the internet. This is not a SaaS
solution with defined process flows, but a development space where a customer
subscribes to a specific service and uses the development tools available to
create something using that service. For example, if I want to design a mobile
app that consumes data from my SaaS solution and can run on iOS and Android
devices, I would subscribe to a service that supports mobile app development.
Within the service, I can develop, configure, and manage my new mobile
application. Another consideration is how the mobile app consumes data from my
SaaS solution, and whether or not the app has the ability to update certain fields
directly in my SaaS solution. To make sure the app can consume and send data, I
would also need to subscribe to an integration service to develop and run a
custom integration. The primary users of a PaaS are developers who choose
which services to subscribe to and access the PaaS over the internet.
An Infrastructure as a Service (IaaS) is when a cloud provider hosts servers,
storage, and/or other virtual computing resources, and makes them available to
customers to consume over the internet. This is beneficial, because a customer
can "rent" access to a server on a pay-per-use basis and avoid the expensive up-
front cost of purchasing physical hardware and the technical knowledge required
to set it up. For example, if I have thousands of pictures that take up too much
space on a laptop hard drive, I could subscribe to a document storage service like
iCloud, Google Drive, Dropbox, or others and upload all my photos there. The
IaaS provider is delivering a storage service that runs on their servers. They host
the infrastructure and handle tasks like system maintenance and backups so
customers don't have to.
SAP Products Mapped to Computing Services
SAP Solutions Mapped to Computing Services
Let's take a look at how different SAP solutions map to the three computing
services: SaaS, PaaS, and IaaS:
Some of SAP's SaaS solutions are:
 SAP S/4HANA Cloud is Enterprise Resource Planning (ERP) software to
support customers in managing their core business activities across the
areas of Finance, Sourcing and Procurement, Sales, Professional Services,
R&D Engineering, Manufacturing, Supply Chain, Transportation
Management, and Warehouse Management. SAP S/4HANA is the solution,
and it can be deployed in a public cloud, a private cloud, or on premise.
 SAP SuccessFactors is Human Capital Management (HCM) software to
support customers in managing their people from the day an employee is
recruited, hired and onboarded to the day they retire and are offboarded.
This includes a suite of products to address core HR activities (Employee
Central), performance and goal management, learning, onboarding and
offboarding, performance-based variable pay and compensation, and
workforce analytics.
 SAP Fieldglass is a Vendor Management System (VMS) that helps
companies find, engage, and manage external contract workers. While a
small volume of contingent employees can be managed within SAP
SuccessFactors Employee Central, SAP Fieldglass is especially beneficial if
an organization needs to select, onboard, pay, and offboard a large volume
of employees working short to mid-term contracts. For example, a large
retailer staffing up for the holiday season.
 SAP Ariba is a marketplace for business-to-business transactions (sourcing
and procuring materials and/or services). SAP Ariba runs the Ariba Network
where buyers and suppliers can find each other, do business, and integrate
the data with the core ERP system.
 SAP Concur is a travel, expense, and invoice management solution that
simplifies and automates spending processes. For example, use SAP
Concur to schedule a flight, hotel, and rental car for a business trip and bill
the expense to your cost center. After the trip, submit your expense report
following the guidelines and restrictions set by your organization within
Concur to get reimbursed.
 SAP Customer Experience (CX) is Customer Relationship Management
(CRM) software to support businesses in managing and maintaining the
relationship with their customers. A suite of products within CX cover the
lifecycle of the customer relationship, including gaining and retaining
customers through marketing activities, selling products or services
through an e-commerce platform, managing and forecasting sales
demand, delivering services to customers, and ethically collecting and
protecting customer data.
Note
SAP has the largest portfolio of cloud SaaS software in the world - these are only
a few examples. Find the complete list of solutions here. This includes solutions
like SAP Signavio, SAP Business Network, SAP Commerce Cloud, SAP Integrated
Business Planning, and many others.
SAP's PaaS solution is the SAP Business Technology Platform (BTP), which enables
developers to develop, host, and run applications, integrations, databases, and
other technical solutions. For example, build a custom application to solve a
business challenge and securely integrate the app into existing cloud or on
premise applications. There are over 90 different services available on SAP BTP
that can be used to enhance and extend SAP and non-SAP applications. Find the
complete list of services in the SAP Discovery Center.
SAP's managed IaaS solution is SAP HANA Enterprise Cloud (HEC), which is a
single-tenant private cloud that can be used to host different SAP applications.
When a customer purchases the private cloud deployment of SAP S/4HANA (SAP
S/4HANA Cloud, Private Edition), it's actually the SAP S/4HANA on premise
software hosted in SAP HEC. We call HEC a "managed" IaaS, because it's
specifically designed to host SAP applications and we deliver a variety of
technical maintenance and management services for those SAP applications to
customers. With HEC, customers have the system access and control typical for
on premise software in addition to a large menu of managed services SAP
delivers by default, and other optional services SAP can deliver for a fee. The
services covered by default and optional services are described in the
documentation for the specific software solution on the SAP S/4HANA Cloud
Documentation site. Customers can bring their own (already licensed) SAP
applications into HEC or purchase a new solution and host it there. HEC managed
services include backups, patching, provisioning and upgrades, restore and
recovery, and infrastructure monitoring and event detection in a private cloud
environment. Customers can also choose where HEC is installed - an SAP data
center or a data center of one of our hyperscaler partners including Microsoft
Azure, Google Cloud, Amazon Web Services, and others. See the full list of
hyperscaler providers here.
Identifying Governance Responsibilities in Cloud Deployment Models
and Computing Services
Objective
After completing this lesson, you will be able to explain governance
responsibilities for the cloud deployment models and computing services
Governance in Cloud Deployment Models and Computing Services
Deployment Models and Operational Responsibility
The customer IT operations requirements vary by deployment model. Here are
some general scenarios:
 For an on-premise solution, the IT team is responsible for the entire
solution and needs to learn about the technical and functional
specifications of maintaining all aspects of the software and infrastructure.
 For a solution hosted in a private cloud, the IT team is responsible for
monitoring application performance, troubleshooting, and all application
support activities. Always refer to your service level agreement (SLA) and
roles & responsibilities documentation to see exactly who is responsible for
which activities. For any customer-specific enhancements built into the
solution, the IT team is responsible for maintaining them through future
release upgrades, which includes re-testing customized processes to verify
the enhancements weren't affected.
 For a public cloud solution, the IT team is responsible for troubleshooting
and trying to resolve general application support issues and escalating
actual technical problems to the cloud provider. They are also responsible
for maintaining any customer-specific enhancements through future
release upgrades. This includes re-testing existing business processes after
an upgrade is installed by the cloud provider to ensure the upgrade didn't
affect any of their customer-specific enhancements.
 When application support is handled by a third party, knowledge about the
solution must be transferred from the project team to the third party.
Business process owners, business relationship managers, and service
desk agents within your organization still need to learn about the solution,
and you should also consider changes in your incident or change
management support processes.

Note
 Cloud solutions have service level agreements (SLAs) that define the
system availability, services, planned downtime, and other information
related to the cloud subscription. Information regarding SLAs can be found
in the SAP Trust Center.
 If a customer is implementing a cloud solution for the first time, the IT
team needs to be trained in the new tools they should use to monitor and
maintain the cloud landscape, and when to communicate with the cloud
provider for any activities outside their scope.
NAVIGATING SAPS PORFOLIO WITH EMBEDDED
INTELLIGENCE AND SUSTAINABILITY

Navigating SAP's Cloud ERP Portfolio


Objective
After completing this lesson, you will be able to summarize the main
components of SAP's Cloud ERP portfolio
SAP's Cloud ERP Portfolio
SAP's Cloud ERP Portfolio
At the center of SAP's cloud portfolio is the SAP S/4HANA Cloud ERP core.
Because we are talking about SAP's portfolio of cloud solutions, we're
referring to SAP S/4HANA Cloud Public Edition or SAP S/4HANA Cloud
Private Edition.

The Cloud ERP is supported by the SAP Business Technology Platform


(BTP), which provides a foundation where the integrations and extensions
that enable customers to differentiate their businesses live. Some services
that run on SAP BTP are already included in the GROW and RISE with SAP
enablement packages that accompany the SAP S/4HANA Cloud software.
Customers can tap into the huge library of free integration packages and
extension templates available on the SAP Business Accelerator Hub, and
only need to pay for the service that's necessary to run the integration or
extension on SAP BTP. All services are listed in the SAP Discovery Center.
For example:
 If a customer wants to automate the process of creating and
approving business partners in their SAP S/4HANA Cloud (public or
private) system, a developer can find and consume the Business
Partner Creation Approval Process template that runs on SAP Build
Process Automation. Because the customer organization already
received several user licenses to SAP Build Process Automation in
their GROW or RISE with SAP enablement package accompanying
the SAP S/4HANA Cloud software, there is no additional cost for the
customer.
 If a customer is using an SAP-certified 3rd party industry cloud
solution to protect their brand identity and products from being
counterfeited (e.g. Morpheus.Network Brand Protection), they also
likely want to consume data generated from that application back
into SAP S/4HANA Cloud for reporting and analytical purposes. To
address this requirement, a developer from the customer
organization can use the integration package, Data Ingestion for
Industry Cloud Solutions Integration with SAP S/4HANA. There is no
cost to use the package, but there is a cost for the industry solution
app, and if the customer doesn't already have a license for the SAP
Integration Suite, there will be an additional cost to subscribe to the
service to run the integration package.
The Cloud ERP and SAP Business Technology Platform are surrounded by
Line of Business (LoB) and industry-leading business applications that
collectively provide a full suite of modular business solutions that only SAP
can offer. All these components come together to provide customers the
end-to-end, industry-specific business processes they need to run
intelligent, sustainable enterprises.
The documentation of business processes within each LoB is located
in SAP Signavio Process Navigator → Solution Scenario tile → filter by
category: Enterprise Resource Planning.
Industry cloud solutions from SAP and our partner ecosystem are in
the SAP Store.
In the areas of Human Capital Management (HCM), Spend Management &
Business Network, and Customer Relationship Management (CRM),
customers may need additional capabilities beyond what's offered in the
SAP S/4HANA Cloud ERP.
For example:
 Customers can create users and manage permissions within SAP
S/4HANA Cloud, but it's really designed to be integrated with an HR
system of record to populate people data through an integration. We
recommend the SAP SuccessFactors suite of HCM solutions, or if you
only need core HR, just the Employee Central solution (within SAP
SuccessFactors).
 Customers can create projects for their own customer-facing
engagements (i.e. consulting), maintain the staffing, billing, and run
a margin analysis and other analytical reports using the processes in
the Professional Services LoB within SAP S/4HANA Cloud Public
Edition. However, consultants travelling for these engagements
cannot book flights, hotels, rental cars, or submit expense reports
directly in SAP S/4HANA Cloud. We recommend SAP Concur for travel
and expense management.
o Please note, the Professional Services LoB is unique to the
public cloud. Because this LoB doesn't exist for the private
cloud, we recommend the Customer Experience (CX) suite of
CRM solutions to handle the entire lifecycle of gaining and
maintaining relationships with your customers.
Core End-to-End Business Processes
There are four core end-to-end business processes, which each include
many sub-processes performed in different line of business (LoB) areas.

Recruit to Retire is one of the critical business scenarios needed by every


customer, regardless of country, industry, or size. A company's workforce
provides the human energy to achieve their objectives. Employees need to
be hired, trained correctly, assigned to the tasks relevant for their job role,
kept healthy, and paid an appropriate salary based on their job task
difficulty, years of experience, and performance. SAP provides the ability
to understand, manage, and optimize all aspects of workforce (employees
and external workers) in line with business objectives, and with a clear
financial impact. The Human Resources LoB for both SAP S/4HANA Cloud
deployments is focused on time recording and setting up an integration
with the customer's HR system of record to populate employee data
through an integration.
Lead to Cash provides an end-to-end scenario that manages all aspects of
the customer experience, from the initial interaction in the Sales LoB, to
order fulfillment and service delivery with the Service
LoB and/or Professional Services LoB (public cloud only), with opportunities
to drive and realize revenue along the journey. The processes can be
adapted or extended based on a customer's specific requirements and
may vary depending on the industry type, the type of customers, and the
sales channel(s) used (e-commerce or direct sales).
Source to Pay focuses on maximizing the impact and potential of the end-
to-end sourcing and procurement processes in the Sourcing & Procurement
LoB by leveraging core data, predictive analytics, and machine learning to
ensure the right suppliers are chosen for direct materials, indirect
materials, and services. Buyers can create connections with millions of
suppliers, and suppliers can create profitable connections with buyers to
efficiently manage their sales cycle and cash flow. Business processes
exist in both SAP S/4HANA Cloud and SAP Ariba to provide end users with
a seamless sourcing and procurement experience.
Plan to Fulfill is a group of end-to-end business processes that enables
companies to manage a resilient, sustainable digital supply chain
encompassing all business processes related to planning, manufacturing,
and delivering their products. Through business processes in the R&D
Engineering, Manufacturing, Supply Chain, and Asset Management LoBs,
customers experience a responsive and customer-centric supply chain that
are the backbone of a resilient business. Discrete manufacturing can be
used to produce tangible products through assembly (e.g. Cars), or
process manufacturing can be used to combine ingredients in a mixture to
create the final good (e.g. Pharmaceuticals).
Explaining Artificial Intelligence in SAP Solutions
Objective
After completing this lesson, you will be able to define how artificial
intelligence is embedded in SAP's solutions
Artificial Intelligence in SAP Solutions
Artificial Intelligence adoption continues growing
The ability to think and learn in humans is called natural intelligence,
therefore in machines, we call it artificial intelligence (AI). There are two
primary types of AI: traditional and generative. Traditional AI can recognize
patterns, but generative AI creates new patterns based on the recognized
historical patterns and any additional data that's provided. Machine
learning is a subset of AI, focused on teaching computers to learn from
data and improve with experience, instead of being explicitly programmed
to do so. In machine learning, algorithms are trained to find patterns and
correlations in large data sets, and to make the best decisions and
predictions based on these analyses. Machine learning applications
improve with use and become more accurate the more data they have
access to.

The adoption of AI and machine learning continues to accelerate in the


business world. McKinsey's State of AI in 2023 global survey found
generative AI (gen AI) to have "explosive growth" less than a year after the
technology debuted. One third of survey respondents said
their organizations are using gen AI regularly in at least one business
function, which means 60% of organizations already using AI have used
gen AI. What's more, 40% of respondents said their organizations are
planning to increase their investments in AI overall because of the gen AI
advances. McKinsey predicts that gen AI could add $2.6-$4.4 trillion
incremental value annually to the global economy. They also explain AI
and gen AI are most commonly used in the business areas of marketing
and sales, product and service development, and service operations.
What experts are saying about SAP & Artificial Intelligence
Watch a video
Watch this video to get an overview of SAP Business AI.
SAP Business AI is embedded across the portfolio
SAP Business AI is a product that embeds artificial intelligence (AI) across
SAP's entire portfolio of solutions. We also provide business process-
specific AI services that our customers can adapt to their own workflows;
for example, business document processing, data attribute
recommendations, and Robotic Process Automation templates.

Data is the core of what makes business AI valuable, and SAP provides
both the foundation (SAP Business Technology Platform) and services (SAP
Datasphere, Analytics Cloud, Integration Suite) that make it possible to
easily connect and model data across different applications. SAP also has
strategic partnerships with other leaders in the industry where we embed
their technology into our products (Microsoft Teams, Google Workspace,
and others), or we enable customers to build custom machine learning
models on SAP data in a secure platform.
At the end of the day, we want our customers to have a comprehensive
cloud ERP that enables them to optimize and automate processes, and
gain insights through data so they can make the most informed decisions
possible for their businesses. Learn more about SAP Business AI here.
Examples of SAP Business AI in real customer lives
Let's take a look at some examples of SAP Business AI in the lives of real
customers.

GoodYear example:
GoodYear Proactive Solutions offers advanced telematics and real-time
monitoring of tires to help fleet managers improve vehicle performance
and safety, in addition to reducing the total cost of ownership (TCO).
Their customer base was growing and they were having difficulty
responding to the increased volume of inquiries. GoodYear needed a
solution to streamline the handover of inquiries between different
teams that provided monitoring and tracking of issues and their
resolutions. They purchased SAP Service Cloud and SAP Business AI to
anticipate, automate, and personalize every customer interaction across
commerce, sales, service and marketing. GoodYear Proactive
Solutions increased the transparency of issue management with progress
dashboards for key requirements in service-level agreements and saw
a 10% faster resolution of service tickets. They found their agents were
better-informed by having a 360-degree view of customer and ticket
history and access to documentation and instructions, which resulted in
more efficient inquiry handling across multiple communication channels
and overall faster ticket resolution.
Aspen Pumps example:
Aspen Pumps is one of the leading suppliers in the installation and
maintenance of air conditioning systems. They had many repetitive
administrative tasks that took a huge amount of time for employees to
complete to the point that employees' unplanned time off caused
disruptions in the day-to-day operations of the business. Aspen Pumps
needed a solution to streamline their administrative processes and reduce
the workload on their employees. They purchased SAP Business by
Design and SAP Build Process Automation (previously, SAP Intelligent
Robotic Process Automation) with SAP Business AI to streamline and
automate processes and improve employee experiences. Aspen Pumps
easily identified the repetitive processes that could be automated,
including entering and approving invoices, and set up bots to automate
the processes. As a result, 2,200 documents are processed
automatically every month, which saves up to 350 monthly employee
hours that are now used for higher-value tasks. Employee time off no
longer affects the business, and their employees are happier with the new
streamlined, straightforward processes.
ZF Friedrichshafen example:
ZF Friedrichshafen supplies systems for passenger cars, commercial
vehicles, and industrial technology that keeps the automotive industry
innovative and focused on the future. However, their existing solutions did
not provide a unified system for them to understand actual demand and
plan accordingly. ZF needed a demand planning solution that
had intelligence to support predictive planning and forecasting. They
purchased SAP Integrated Business Planning (IBP) and SAP Supply Chain
Control Tower with SAP Business AI to predict customer demand reliably
with AI-powered demand forecasting, improve quality with intelligent
anomaly detection, and streamline operations with predictive
maintenance. ZF connected SAP IBP with their ZF Aftermarket ERP systems
to create one environment for demand planning. They now have
an accurate and unified view of demand and with the AI-powered
insights, gained a massive 92% increase in forecasting speed. The
forecasting data has informed their marketing activities that drive
additional customer demand on social media.
Accenture example:
Accenture is a global professional services company that delivers
consulting services to more than 7,000 customers in 120 countries. They
issue more than half a million client-facing invoices each year from 200
locations globally, and were struggling with their existing system not
matching incoming payments to the corresponding invoices and client
accounts accurately. To resolve the low matching rate, Accenture had an
extremely high volume of manually-intensive tasks (~250,000 annual
manual entries) to correctly match payments with invoices and client
accounts. When client invoices hadn't cleared yet, their collections team
would incorrectly call clients asking for payment, when most of the clients
had already paid in full. Accenture needed a cash application with
automated clearing and machine learning-generated proposals to reduce
manual processing. They purchased SAP S/4HANA and SAP Cash
Application, which runs on the SAP Business Technology Platform
to automate and increase the rate of invoice matching and reduce losses
with anomaly detection. Accenture found a significant increase in
automatic matching with 54% of invoices matched with payments
automatically, which in turn reduced the open accounts receivable
balances and reduced the time needed for processing during peak times
(month-end, quarter-end, and year-end closing).
Generative AI Digital Assistant
Joule is described as the next-generation digital assistant "copilot", that
uses generative artificial intelligence (AI) and replaces the previous digital
assistant, SAP Conversational AI. With the old conversational AI, users
would input information when having a conversation via typing or
speaking, and the digital assistant would use the interaction to create
responses. With generative AI, Joule uses data about a user's past
historical patterns in addition to their new inputs to generate fresh
content, information, and recommendations.

Joule is currently being embedded in the backend of all SAP applications


with a phased approach. Because it will live in the backend of each
solution, Joule has access to a huge volume of data it can use to provide
holistic support and feedback to end users. An employee can simply ask a
question or frame an issue in plain language and receive answers that
take into account data across the entire portfolio of SAP solutions the
customer uses. For example, a Sales Manager could ask Joule for help
understanding their past sales performance with a specific product, or for
all products. Joule can identify underperforming regions, link to other data
sets that reveal a supply chain issue, and automatically connect to the
supply chain system to offer potential fixes for the manager's review. New
scenarios will continue to be released over time. Joule is also compliant
with all SAP product standards, certifications, AI ethics, and GDPR (General
Data Protection Regulation in the European Union).
Joule can be accessed from the diamond icon in the top right corner of any
solution where it's available. Joule can run in any of the SAP Business
Technology Platform (BTP) environments, and requires some initial set-up
that needs to be completed during implementation. Because the service
runs in SAP BTP, a customer needs to first subscribe to the service, then
set up authentication between SAP Cloud Identity, SAP BTP, and the target
system (for example, SAP S/4HANA Cloud, SAP SuccessFactors). Detailed
information about setting up and enabling Joule is in the SAP Help Portal
here.
Understanding Sustainability in SAP Solutions
Objective
After completing this lesson, you will be able to explain how sustainability
is interwoven in SAP's solutions
Sustainability in SAP Solutions
Sustainability is more relevant than ever
How much could an organization's lack of sustainable practices cost their
business? It turns out, quite a lot. We'll look at some data from customers,
investors, employees, and regulators to get a better perspective.

Customers and Sustainability


A report from the Capgemini Research Institute found 79% of consumers
are changing their purchase preferences based on social responsibility,
inclusiveness, or environmental impact, and the COVID-19 pandemic
especially increased consumers' awareness of the scarcity of natural
resources. More than half (52%) of consumers surveyed said they share an
emotional connection with products or organizations they perceive to be
sustainable. In addition, 77% of organizations surveyed in the consumer,
product, and retail space reported that sustainability leads to increases in
customer loyalty, and 63% reported it increased their brand revenue.
Investors and Sustainability
An report from Deloitte found investors have been adding "sustainable" or
"socially responsible" investments to their portfolios at a rapid pace. With
artificial intelligence and better-quality environmental, social, and
governance (ESG) data becoming available to evaluate the sustainability
of organizations, the Deloitte Center for Financial Services demand from
clients to drive ESG-driven assets to account for half or all professionally
managed investments by 2025.
Employees and Sustainability
An analysis from Future Business found 71% of job seekers want to work
for an environmentally-friendly employer, with 67% being more interested
in applying for positions in sustainable companies. One third of those
surveyed even said they would accept a lower salary to work for
sustainable or socially responsible organizations.
Regulators and Sustainability
A review of events from the 2022 calendar year by EY highlighted several
different ESG reporting standards being proposed or adopted globally, and
the tight relationship between the finance line of business and ESG
reporting, with some organizations even creating a dedicated "ESG
Controller" role. A few major events are:
 The International Financial Reporting Standards (IFRS)
Foundation announced the establishment of the International
Sustainability Standards Board (ISSB) at the 2021 United Nations
Climate Change Conference in Glasgow. Research by EY estimates
there are 600+ ESG reporting standards globally, and the ISSB
intends to develop global sustainability reporting standards that
require organizations to provide reliable, consistent, and comparable
metrics.
 In March 2022, the Securities and Exchange Commission (SEC) in the
U.S. proposed new rules to enhance and standardize disclosures that
registrants make about climate-related risks, their climate-related
targets and goals, greenhouse gas emissions, and how the board of
directors and management intend to address these risks moving
forward.
 In October 2022, the European Union adopted the Corporate
Sustainability Reporting Directive (CSRD) to support the European
Green Deal, which is intended to transform the EU into a modern,
resource-efficient, and competitive economy with no net greenhouse
gas emissions by 2050. Companies that operate in EU-regulated
markets are expected to start reporting beginning in 2024 in line
with the mandatory EU sustainability reporting standards.
Make Sustainability Core to Your Business
SAP has embedded sustainability insights into our end-to-end business
processes to make it possible for customers to make sustainability core to
their business, in addition to providing the dedicated solution, SAP Cloud
for Sustainable Enterprises, with applications designed to help customers
reduce their emissions, create zero waste, and stay socially responsible.

The SAP Cloud for Sustainable Enterprises solution supports


customers in regulatory compliance, real-time insights, and sustainable
future growth. Customers can proactively ensure they are compliant with
global and local regulations, taxation, and sanctions through the deep
transparency into financial and non-financial data.
The real-time data across the entire solution can be used to assess your
actual carbon footprint and learn where to improve. For
example, designing a circular business model where waste is reduced
and/or reused as much as possible, with the ultimate goal of creating zero
waste. If zero waste isn't possible for a particular use case, customers can
support a local facility that burns approved materials to create renewable
energy, rather than burying the waste in a landfill that produces carbon
dioxide and methane as it decomposes. In addition, all materials involved
in the production of semifinished and finished goods should be grown
and/or gathered in a responsible way, with the employees working with
these materials at every step in the process being paid a fair, livable
wage in safe work conditions.
Often, the people involved in growing and gathering raw materials can be
overlooked, and native plants or trees are removed in favor of growing
materials that can be sold for profit. With detailed and descriptive data
about each step of the production process, businesses can
make thoughtful, informed decisions that have a real impact at a human
and environmental level, while even identifying new sustainable products,
services, and solutions they wouldn't have originally thought of.
Watch a video
Watch this video to get an overview of the SAP Cloud for Sustainable
Enterprises solution.
SAP Cloud for Sustainable Enterprises Solutions
SAP Cloud for Sustainable Enterprises includes a suite of solutions to help
customers manage their carbon footprint, reduce materials waste, and
become a socially responsible business.

This includes:
 Sustainability and ESG (environment, social, governance) Reporting
Solutions
o SAP Sustainability Control Tower enables customers to define
their own organization-specific targets and track performance
with a set of data management and performance insight tools
targeted to helping businesses understand their
environmental, social, and governance (ESG) data.
 Climate Action Solutions
o SAP Sustainability Footprint Management and SAP
Environment, Health, and Safety Management enable
customers to reduce the carbon footprint of their entire value
chain based on actual business transactions.
 Circular Economy Solutions
o SAP Responsible Design and Production and SAP Green
Token enable customers to build a circular supply chain where
the business finds ways to reuse its own outputs to create as
little waste as possible.
 Social Responsibility Solutions
o SAP Environment, Health, and Safety Management and SAP
S/4HANA for product compliance enable customers to
understand the impact of their business on people and society
in a larger context.

CHOOSING A DEPLOYMENT

Providing an Overview of SAP S/4HANA


Objective
After completing this lesson, you will be able to provide an overview of SAP
S/4HANA
SAP S/4HANA Overview
What is SAP S/4HANA?
SAP S/4HANA is an acronym for the SAP Business Suite 4 the HANA Database. We
call it the "next generation" of SAP business suite software because it replaces
the previous version of SAP's business suite, SAP ECC (SAP Enterprise Central
Component), the same way a new Android or Apple mobile device replaces the
previous device versions.
SAP S/4HANA is the digital core of an organization, meaning it is the financial
system of record with the universal journal being the single source of truth. The
software is inherently designed with analytics, including predictive and
forecasting capabilities, always in-mind. Data is collected from
transactions and fed into analytical applications that provide information to help
customers make the right decisions across all lines of business.
SAP S/4HANA can be easily integrated with other SAP and third party
applications through the SAP Business Technology Platform. It also has
an extensibility framework where non-developers can easily make customizations
and enhancements through apps that guide you through the process of building
extensions that will be stable through future release upgrades.
The SAP Business Suite software is built on the SAP HANA database, and the user
experience is enhanced with the SAP Fiori user interface to provide a consistent
and intuitive user experience, both in desktop and mobile apps. Core Data
Services is an analytical layer that sits on top of the SAP HANA database to
facilitate the retrieval and modeling of data in the analytical SAP Fiori apps.
The SAP Fiori Launchpad is the central entry point to SAP S/4HANA for all users on
mobile and desktop devices. The launchpad is an employee's personal home
page where they can see and launch the applications permissioned for their
assigned role(s). SAP Fiori is the design language that creates a consistent look
and feel across all apps, regardless of whether the app lives within SAP S/4HANA
(for example, the Manage My Timesheet app), or opens a new browser tab to
launch an integrated SAP or third-party solution (for example, the Concur Travel
Expense app). Hundreds of SAP Fiori apps are available across different lines of
business and industries, covering a wide range of transactional and analytical
tasks. In the SAP Fiori Launchpad, users can access embedded support, including
guided simulations that align with business processes, video tutorials, and help
information that's in-context of the app you're currently working in. Users can
also make personalizations to make their view of the launchpad fit their needs
best.
Core Data Services (CDS) is a common set of domain-specific languages and
services for defining and consuming semantically rich data models. In other
words, the CDS layer provides a universal language to read and process data
across different applications. You can create CDS views to model data from the
database for analytical purposes, or to generate application programming
interfaces (APIs) to allow other applications to consume the data. In general, CDS
views are intended to be consumed by a user interface (UI), analytical
applications, or other solutions.
The SAP HANA database is an in-memory, column-oriented database designed to
store, receive, and query data. The in-memory computing engine enables SAP
HANA to process data stored in RAM (Random-access memory; also called "main
memory") as opposed to reading it from a physical disk drive. Think of RAM
storage as your own short-term memory and disk storage as your long-term
memory. If you are asked to recall something you just learned 10 seconds ago,
the information is still in your short-term memory and is easily accessible. If you
are asked to recall something you learned 10 years ago, it's going to take much
longer to sift through all of that data and identify the correct information. For
databases, storing data in main memory instead of disk provides faster data
access and, by extension, faster querying and processing.
The structure of the SAP HANA database tables are column-oriented, meaning all
data for a single column is stored in the same location. This is opposed to row-
oriented databases that store all data for a single row in the same location. Think
of a spreadsheet in Microsoft Excel with user data - the columns are headers that
define a certain type of data to be stored in each column (first name, last name,
phone number, address), where each row is an entire user record with details
about one individual person. When running a query, a row-oriented database
selects each record (row) of information that has something relevant to the
query, then discards the data that's not relevant. A column-oriented database
applies a filter to the column(s) relevant for the query and selects only the
necessary data that is requested. Because column-oriented databases only
search for the data in a query, instead of casting a wide net and discarding
information they don't need, they are much faster and more precise. In-memory,
column-oriented databases are designed to handle large volumes of data, which
is necessary to feed analytical applications that generate predictive analyses and
to train AI chatbots or other types of technology that learn through exposure to
data (for example, Machine Learning).
How can SAP S/4HANA be deployed?
SAP S/4HANA can be deployed in a public cloud, private cloud, or on premise to
fit customer needs.

With SAP S/4HANA Cloud Public Edition, customers can see results right away
with ready-to-work business processes built on proven industry best practices.
Companies can stay ahead by getting the latest business processes and
technology innovations with semi-annual release upgrades in August and
February, which are automatically installed in your system by SAP on the dates
defined in the release schedule. The fully extensible platform enables companies
to customize business processes to their needs and easily expand as business
requirements evolve with the cloud architecture.
With SAP S/4HANA Cloud Private Edition, customers can move to the cloud at
their own pace. A comprehensive library of ready-to-run business processes make
it easy to start with a baseline, while the customization flexibility enables
companies to build highly tailored business processes that support industry
requirements. SAP releases annual upgrades to enable customers to stay current
with the latest innovations, while providing flexibility for customers to roll out
innovations on their own time line.
SAP S/4HANA (on premise) and SAP S/4HANA Cloud Private Edition have the same
functional scope, including the end-to-end line of business processes, support for
all 25 industries and annual upgrades. The primary difference between the two is
the license (perpetual or subscription), and where the infrastructure lives (on-site
or in a remote data center). In addition, there is no requirement for SAP S/4HANA
customers to install upgrades when they have purchased the on premise
deployment. With private edition, customers are required to stay within
mainstream maintenance, which requires at least 1 upgrade every 5 years.

Defining the 2-Tier ERP Deployment Models


Objective
After completing this lesson, you will be able to define the different 2-tier ERP
deployment models
2-Tier ERP Deployment Models
Implementation Methods
The decision of which deployment option to select often depends on the degree
of standardization versus the degree of flexibility required by a customer in their
enterprise software, and the implementation method. The different
implementation methods are:

 New Implementation / Greenfield: New Implementation with a clean


system.
 System Conversion / Brownfield: System Conversion from your existing SAP
ERP system.
 Selective Data Transition: Typically combines greenfield and brownfield,
often in a two-tier ERP scenario. For example, the SAP ECC system is
converted to SAP S/4HANA Cloud Private Edition, and SAP S/4HANA Cloud
Public Edition is deployed for a specific line of business, such as
Professional Services. This allows standardization in the core ERP, with a
fast-moving and frequently updated public cloud solution for a specific LoB.
Two-Tier ERP Deployment
An enterprise resource planning (ERP) system needs to be both agile and reliable,
so an organization can quickly respond to evolving business conditions, while also
maintaining a sustainable environment that serves stakeholders and business
users. A two-tier ERP strategy is when a company uses different ERP systems
(either from the same vendor or different vendors) at different layers of the
organization.

There are several possible two-tier ERP scenarios, but a common model is
where Tier 1 serves as the global backbone running administrative ERP
processes (e.g. finance) and Tier 2 is tailored for localized business needs, a
subsidiary, or a smaller business unit. This allows an organization to standardize
on Tier 1 to meet functional and budgetary requirements, while maintaining
flexibility with the business functions in Tier 2.
With SAP S/4HANA Cloud Public Edition, an organization can quickly deploy the
public cloud for a subsidiary, while keeping the total cost of ownership low. This
approach offers agility to the subsidiary, while the tight integration with SAP
S/4HANA (on premise) or SAP S/4HANA Cloud Private Edition deployed for the
headquarters will ensure a high degree of visibility into the data and operations
of the subsidiary.
Other market drivers to adopt a two-tier ERP may include:
 Onboard new acquisitions quickly
 Standardize subsidiaries on a harmonized platform
 Prepare for an anticipated divestiture
 Adapt to new processes or entirely new business models
 Centralize services like finance or procurement
 Extend the supply chain control with business partners
 Expand through joint ventures
 Adapt to evolving geo-political situations
 Prepare for changing data residency regulations
Two-tier ERP Scenario Examples
In the Headquarter and Subsidiary scenario, the headquarters runs a highly
customizable on premise or private cloud ERP and subsidiar(ies) run a
standardized public cloud ERP with a specific scope. There is seamless integration
between the headquarters and subsidiaries, which allows the subsidiaries to
maintain flexibility, focus on innovation, and onboard quickly.
In the Central Services scenario, an organization could have a line of business
spin-off running a standardized public cloud ERP. For example, finance would be a
separate legal entity and run in the public cloud as "Shared Services", with the
rest of the business running on a highly customizable on premise or private cloud
ERP. This enables a large organization with many different lines of business to
keep up a fast pace of innovation. The structure also makes it easier to introduce
new innovations into the business without interfering with the highly customized
on premise or private cloud system.
In the Supply Chain Ecosystem scenario, the headquarters runs a highly
customizable on premise or private cloud ERP system and brings their
subcontractors or dealers on a standardized public cloud system. Integrating an
organization with their vendors, dealers, and subcontractors forms an entire
supply chain network. With this model, there is high visibility and transparency
across the supply chain, and implementing process automation results in a
reduction of manual interventions.

Building an effective two-tier ERP strategy is about more than just integration
scenarios. It is critical to conduct a thorough analysis of the functionality
necessary for each subsidiary or satellite, and the strategy must define how the
interdependence of the organizations will affect reporting, in addition to business
processes. For example, the reporting strategy for intercompany transactions and
company-wide reporting should be defined up front. In addition, master data
management will follow integrated process requirements, and therefore should
also be planned for early in an implementation project. Last, change enablement
is multi-dimensional, because there are new systems that require sufficient end-
user training, and potential changes to business processes with the
interdependence between organizational entities.
Differentiating GROW and RISE with SAP
Objectives
After completing this lesson, you will be able to:
 Differentiate the GROW and RISE with SAP enablement packages
 Describe the components of the GROW and RISE with SAP enablement
packages
 Explain the dimensions of licensing and digital access
GROW with SAP and RISE with SAP Overview
Cloud ERP Product Family
Organizations across different industries have unique needs with some common
requirements. All customers expect a high degree of security, must comply with
local and government regulations, have a need to manage integrated
landscapes with ever-increasing complexity, and require tools that support
customizing a solution to their needs. In today's environment, a one-size fits-all
solution is simply not feasible. SAP has taken a different approach by assembling
a modular cloud portfolio of many different solutions that can be plugged into a
single-source of truth. Customers can deploy specific modules or processes in
phases over time to build a Cloud ERP that truly adapts and evolves with their
organization.
For 50 years, SAP has been working hand in hand with customers across every
industry and using this expertise to benchmark and define best-in-class, industry-
specific business processes. We have two distinct products that can be deployed
as the Cloud ERP core of the organization: SAP S/4HANA Cloud Public
Edition and SAP S/4HANA Cloud Private Edition. The enablement packages that
accompany the software solutions are GROW with SAP and RISE with SAP,
respectively.

For customers who desire standardized processes that are always on the latest
release and prefer their cloud provider to manage their infrastructure, SAP
S/4HANA Cloud Public Edition is the cloud-native ERP that delivers the latest
industry best practices and continuous innovation.
For customers who require a high degree of customization in their
processes, prefer to innovate at their own pace, and require more control over
their solution, SAP S/4HANA Cloud Private Edition is the tailored-to-fit cloud ERP
that adapts to an organization's unique transformation.
It's not just about the products - we also have to think about how to enable
customers on their journeys to the cloud. For small and midsize
customers looking for a solution they can immediately adopt, GROW with SAP is
the enablement package accompanying the SAP S/4HANA Cloud Public Edition
software to provide additional tools to support the transition, accelerated
adoption services, a global community of experts, and free learning resources
that can help customers go live in as little as four weeks with a greenfield
deployment.
For SAP's installed base customers migrating to the cloud, RISE with SAP is
the enablement package accompanying the SAP S/4HANA Cloud Private Edition
software in two different use cases. When SAP S/4HANA Cloud Private Edition is
implemented individually in a greenfield or brownfield scenario, and when it's
implemented in combination with SAP S/4HANA Cloud Public Edition for a two tier
ERP scenario. The combination of both the software and enablement package
provides customers with additional tools and resources to support the transition.
SAP Service Delivery Model
SAP delivers and manages the software, support, infrastructure, and technical
services under one Service Level Agreement (SLA). This includes maintaining the
software availability uptime defined in the SLA and technical system operations,
landscape deployment and upgrade installation, in addition to other tasks.

Partners deliver advisory, implementation, and application management


services to facilitate a seamless transition to the cloud for customers. This
includes guiding a customer through a greenfield, brownfield, or selective data
transition by configuring business processes, developing extensions, setting up
integrations, migrating data, and conducting business process tests. Other
partners in the application management arena support customers by planning
and coordinating release upgrade preparation and follow-up activities, and/or
delivering continuous application management operations as a third party
support service on top of the support SAP provides.
SAP S/4HANA Cloud Public Edition packages
The GROW with SAP packages have been designed to support the priorities of
customers who want to adopt cloud ERP with speed, predictability, and
continuous innovation. Customers can choose between the Base and Premium
editions with optional add-on packages for specialized capabilities.
The Base edition is best for smaller and midsize organizations or emerging
economies at a lower price point. It includes complimentary licenses to SAP BTP,
some finance entitlements and access to Ariba Buying, base edition to support
sourcing and procurement activities.
The Premium edition is best for midsize and larger organizations at a higher price
point with many additional capabilities on top of what's included in the Base
edition. There are additional complimentary licenses to SAP BTP, more finance
entitlements, SAP Analytics Cloud Planning to support extended planning and
analysis activities, and both SAP Sales Cloud and Concur Expense Professional to
further support sourcing and procurement activities.
Both the Base and Premium editions provide customers with Cloud Platform
Enterprise Agreement (CPEA) credits that can be used to consume eligible
services on SAP BTP, entitlements to SAP Build functionality to create apps,
automate processes, and design business sites. The CPEA credits provided to
each customer vary, as they are based on the annual contract valuation (ACV) of
each unique contract.
SAP S/4HANA Cloud Private Edition packages
The RISE with SAP packages have been streamlined and optimized to
better support customers migrating to the cloud with a tailored-to-fit cloud ERP
that adapts to their unique transformation. Customers have a choice between
the Base, Premium and Premium Plus editions with optional add-on packages for
specialized capabilities.
The Base edition is for small organizations that require SAP S/4HANA Cloud
Private Edition functionality with a lean setup.
The Premium edition has built-in artificial intelligence (AI) capabilities in the SAP
applications, process automation, low-code business application development,
and access to supplier networks.
The Premium Plus edition extends the Premium edition by unlocking additional AI
scenarios, sustainability scenarios, and advanced financial management
capabilities.
Both the Premium and Premium Plus editions provide customers with Cloud
Platform Enterprise Agreement (CPEA) credits that can be used to consume
eligible services on SAP BTP, entitlements to SAP Build functionality to create
apps, automate processes, and design business sites. The CPEA credits provided
to each customer vary, as they are based on the annual contract valuation (ACV)
of each unique contract.
Extension, Integration, Automation
SAP Build
SAP Build is a low/no-code solution that enables non-developers (and developers)
to easily learn how to develop apps, design process automation workflows,
and create company web pages to share information. SAP includes licenses for
this collection of tools in the GROW and RISE enablement packages to make it as
easy as possible for customers to extend and customize their SAP S/4HANA Cloud
software on a separate platform to keep their core clean. Customizations built
and hosted in a separate platform are not affected by release upgrades applied
to the SAP S/4HANA software, which means customers don't have to worry about
checking the stability of every single extension they've made after a software
upgrade is installed. SAP Build runs on the SAP Business Technology Platform,
and consists of SAP Build Apps, SAP Build Process Automation, and SAP Build
Work Zone.
SAP Build Apps is a professional application development solution designed for
anyone to create apps without code, regardless of role or skill level. The tool
provides a drag-and-drop development environment for building sophisticated
business apps that are easily integrated with your other SAP applications. SAP
Build Apps evolved from SAP AppGyver and other SAP technologies.
Learn more about SAP Build Apps here.
SAP Build Process Automation enables business users to automate workflow
processes and tasks without having to write any code. It combines workflow
management, robotic process automation (RPA), and embedded AI capabilities
with prebuilt process content to help business users adapt, improve, and
innovate business processes.
Learn more about SAP Build Process Automation here.
SAP Build Work Zone enables IT professionals and line of business experts to
easily build and design engaging business sites for their employees, partners,
and customers that provide centralized access to relevant applications,
processes, and information on both desktop and mobile devices. Formerly known
as SAP Launchpad service, SAP Build Work Zone unifies the SAP Launchpad
service and SAP Work Zone into a single low-code business site development
solution.
Learn more about SAP Build Work Zone here.
SAP Mobile Start App
SAP Mobile Start is the native mobile app for employees to access their SAP apps,
processes, and business data on iOS and Android devices. End users can
easily download the app for free in the Apple App Store or Google Play Store, but
the app must be configured via SAP Build Work Zone by a partner configuration
expert or customer administrator for it to display relevant business data.
SAP Mobile Start helps employees stay up-to-date with the latest information that
requires their attention through notifications and widgets that can be easily
responded to with a simple "tap". Users can personalize their individual home
page, and organizations can add their own customization and branding with the
extensible framework. SAP Mobile Start also supports integration with different UI
technologies and third-party web apps.

If a customer has opted to purchase a license for SAP Task Center, which runs on
the SAP Business Technology Platform to unify workflow tasks across a variety of
different software applications, they can take advantage of the SAP Mobile Start
integration with SAP Task Center.
Note
 SAP Mobile Start replaces the previous mobile app, SAP Fiori Client. For
customers already using the SAP Fiori Client mobile app, learn about the
transition in SAP Note 2992772.
 Complete the free training course on SAP Learning to learn how to set up
SAP Build Work Zone and the SAP Mobile Start App.
 Find technical setup information in the SAP Help Portal.
 Find additional resources by following this topic in the SAP Community: SAP
Mobile Start
Cloud Platform Enterprise Agreement (CPEA) Credits
SAP wants to support customers in addressing their varying requirements for
integration and extension scenarios by providing a Cloud Platform Enterprise
Agreement (CPEA) credit voucher that can be applied to eligible services on SAP
Business Technology Platform (SAP BTP). Think of these credits like a prepaid
debit card, where you can add additional credits as-needed if you notice your
credits are getting low.
Customers can keep track of their credit consumption in SAP for Me anytime, and
receive a usage statement monthly. A benefit of purchasing additional CPEA
credits to consume SAP BTP services (rather than subscribing to a service
individually) is that customers can try different services without having to commit
to a full license period. If you change your mind, you can effectively "return" the
service and get those credits back to try something else.
For CPEA credits purchased in addition to the GROW or RISE with SAP voucher, a
customer makes a prepaid investment in cloud credits for the contract duration
with an annual commitment to consume SAP BTP services. This model is suitable
for customers that have well-established and planned user cases, and who want
the flexibility of switching between services.
The customer receives a monthly balance statement with information about the
usage consumption of each service and the corresponding costs, and the total
monthly cost is deducted from the cloud credits balance. Credits are billed
annually in advance and overages are billed in arrears at list price. Customers
can always purchase credits to prevent overages ahead of time.
Note
View all SAP BTP Services in the SAP Discovery Center.
Advanced Financial Management
Advanced Financial Management
The advanced financial management entitlements were included in the GROW
and RISE with SAP enablement packages based on feedback from customers on
what they needed in addition to the Cloud ERP software. The entitlements vary
by public or private edition, and the package purchased.
 Group Reporting, which supports the end-to-end consolidation and
corporate reporting cycle, while ensuring the business meets regulatory
requirements. It accelerates the group financial close through seamless
integration with entity-level financial data, which eliminates reconciliation
efforts, and drives user efficiency through greater automation, central
monitoring, and control.
 Group Reporting Data Collection, which supports customers in gathering
financial data for each business unit as part of the data preparation
process for group reporting.
 Advanced Financial Close, which is used to support the planning,
execution, monitoring and analysis of period-end closing tasks for all
entities (i.e. typically the headquarters & subsidiaries) of a corporation for
a faster and more accurate financial close.
 Cash Management, which helps treasurers and cash managers simplify and
automate their daily cash operations. Please note, cash management
doesn't include SAP Multi-Bank Connectivity.
 Receivables Management, which enables the proactive assessment of
customer credit risk and streamlines cash collections. With integrated
dispute management, companies can proactively follow up on
underpayments and disputes.
Intelligent Spend Business Network (ISBN)
SAP Business Network Supplier Portal
SAP Business Network Supplier Portal is intended to simplify business process
compliance through automation and improve supply chain management overall.
Businesses can automate compliance workflows, ensure they are adhering to
regulatory requirements and internal policies, and communicate through secure
and transparent communication channels with their suppliers.
Learn more about the SAP Business Network.

Ariba Buying, base edition


Ariba Buying, base edition is included in all editions of SAP S/4HANA Cloud Public
Edition, because it supports the SAP Ariba Buying (4AI) business process. An
employee using Ariba Buying for sourcing and procurement will experience a
guided process for finding and ordering the items they need for work. For
example, office supplies or laptops for employees in the organization.

SAP Ariba Central Invoice Management & Inbound Processing Module


SAP Ariba Central Invoice Management and the Inbound Processing Module for
Central Invoice Management both run on SAP Business Technology Platform
(BTP). The purpose of the solutions are to support customers in processing
invoices faster and more accurately with a centralized view of all invoices from
across the organization.
Learn more about SAP Ariba Central Invoice Management and the Inbound
Processing Module.

SAP Sales Cloud V2


SAP Sales Cloud Version 2 (V2) is a Customer Relationship Management (CRM)
solution that combines sales, customer service, and social CRM on a unified
platform. It combines a salesforce automation application with an enhanced retail
execution application in a single stack, where customers have visibility into the
end-to-end sales process to improve win rates and drive revenue growth.
Learn more about SAP Sales Cloud V2.

Concur Expense Professional simplifies the expense process for everyone with
automated, fast, and accurate expense reporting that seamlessly integrates into
SAP S/4HANA Cloud. Customers get a single end-to-end view of all employee
spend to better manage budgets, forecast accurately, and make more strategic
business decisions.
Learn more about Concur Expense Professional.

Artificial Intelligence, Data, Analytics


SAP Joule
SAP Joule is a digital assistant or "copilot" that can help end-users complete their
daily tasks more efficiently by suggesting which app to navigate to next,
providing support when asked, or displaying descriptive information about
business objects the user is currently working with. Joule combines artificial
intelligence with business data and business processes already in the
organization's ERP system, while maintaining ethical and data privacy standards.
The AI trains itself on the organization's company and industry data to help
employees identify where to optimize, automate, and make better-informed
decisions overall.
Joule uses Generative Artificial Intelligence (AI) technology, which allows it to
generate fresh content, information, and recommendations that are based on a
user's historical patterns and their new inputs. SAP uses the term SAP Business
AI as the overall branding umbrella that includes products (e.g. Joule, Intelligent
emission factor mapping for SAP Sustainability Footprint Management), the AI
technology behind the products (Generative AI), and the overarching concept
used when SAP develops new AI use cases (Responsible AI).
Learn more about SAP Business AI solutions and technology.

AI Units
For both GROW and RISE packages, customers receive an entitlement of AI
units that can be used for any AI services listed in the SAP AI Services List.
AI features have different price points, which are expressed in Capacity Unit
Values. The initial entitlement of AI Units are pooled and customers can decide
which services they want to use the units for.
SAP Analytics Cloud Planning
SAP Analytics Cloud Planning is designed to help businesses create strategic
alignment across all departments, crowdsource plans across the business,
and make confident decisions with SAP Analytics Cloud (SAC). While there are
embedded SAC features in SAP S/4HANA Cloud Public Edition, SAC Planning
would be accessed through a separate tenant in SAP Business Technology
Platform to provide the budgeting and forecasting, predictive planning,
and collaborative planning capabilities. Customers can use the tool to deliver
timely plans, budgets, forecasts, and reports with better accuracy, automate
forecasts with predictive analytics and machine learning, and simulate multiple
plan outcomes to see the impact of possible changes to their business.
Learn more about SAP Analytics Cloud Planning.

SAP Datasphere
SAP Datasphere is a comprehensive service that delivers access to mission-
critical business data beyond just the core ERP. It provides a semantically-rich
data layer that can read and consume data across a customer's entire integrated
landscape. This means customers can access and model their data across the
landscape of SAP and non-SAP sources, regardless of the application in which it
lives, with centralized governance, privacy, and compliance built-in. Harmonizing
data from many sources on different platforms isn't an easy task - it takes a
powerful set of tools to make the connections and pull the data into a central
location with modeling capabilities where it actually makes sense when viewed
by the end user.
Learn more about SAP Datasphere.

Sustainability (private cloud only)


Both SAP Sustainability Control Tower and SAP Sustainability Footprint
Management are included in the Premium Plus edition of SAP S/4HANA Cloud
Private Edition to enable organizations to address two major components of
sustainability: Environmental, Social, and Governance (ESG) data, and carbon
footprint.

For ESG data, SAP Sustainability Control Tower enables organizations to gather
auditable and compliant data through automation and provides insights on where
the business can embed sustainability into their core processes.
For carbon footprint, SAP Sustainability Footprint Management enables customers
to get an accurate carbon footprint of their business as a whole and their
products, with insights into where they can decarbonize across the entire value
chain.
Learn more about SAP's sustainability solutions.
Subscription Licensing
Digital Access in the past and present
In the past, software companies could predominantly license access to software
solutions based on direct human access, as humans were the primary users, and
solutions were contained within the company's on premise server(s). Today, it's
common to find organizations with a mixture of cloud and on premise solutions
targeting specific business areas that need to be integrated with each other,
often from different providers. Instead of humans being the primary software
users, we find other devices and technologies sending the highest volume of
access requests. Because of this shift, the licensing model needed to change
accordingly.
We categorize accessing the digital core, meaning all deployments of SAP
S/4HANA, including SAP S/4HANA Cloud Public Edition and SAP S/4HANA Cloud
Private Edition, into three categories:
 Direct Human Access
 Digital Access / Indirect Human Access
 SAP Application Access

Direct Human Access


Direct human access refers to a human with a unique user ID logging into any
deployment of SAP S/4HANA directly and creating documents. The individual user
ID covers all activities in the digital core, and therefore will continue to be
licensed on the number of users. However, some humans access SAP S/4HANA
indirectly through a non-SAP intermediary software. This could include a non-SAP
front-end, a custom solution, or any other non-SAP application, and is considered
indirect human access. In the case of process automation, access to SAP
S/4HANA with attended third-party bots is considered direct human access when
the bot is acting on behalf of a human.
Digital Access / Indirect Human Access
The Digital Access license model combines indirect human
access with nonhuman devices, automation bots, automated systems, or other
third party solutions accessing SAP S/4HANA and creating documents. This is an
outcome-based license where humans or non-humans create a specific set of
documents through intermediary non-SAP software. Pricing is based on
the number of documents associated to nine specific document types. It's
important to understand the document types themselves are not counted for
digital access, it's the creation of document items for these nine document types.
The pricing model is also tiered to make the software affordable for companies of
all sizes. In the case of process automation, access to SAP S/4HANA with
unattended third-party bots requires additional licensing through Digital Access.
SAP Application Access
SAP application access is when SAP S/4HANA is accessed through an SAP line of
business (LoB) application, an industry application, or SAP solution extensions
(Solex). You might think documents created through these applications would be
considered Digital Access, but they aren't because each application is licensed
separately, and therefore all documents created through them are covered within
the license of each individual application. To explain it differently, the applications
are not creating documents within SAP S/4HANA, they are creating documents
within the original LoB, industry, or Solex application and transferring the created
documents to SAP S/4HANA.
An alternate use case is if the application happens to already be included in the
license purchased for the core ERP software. For SAP S/4HANA Cloud (public and
private editions), SAP Build Process Automation is included in both the GROW and
RISE with SAP packages. Because of this, process automation bots within SAP
Build (attended or unattended) are considered SAP application access and do not
require additional licensing.
Document Types relevant for Digital Access License
The creation of some document items are weighted differently than others.
Please refer to the graphic to see how document items are weighted for the
different document types. Additional information can be found in the SAP Help
Portal here.
Note
 Only creation of document items for the 9 document types are counted for
the Digital Access license. Viewing (read), updating (write), and deleting
documents are not counted. Document items created for document types
outside the list of nine types are not counted either.
 Only the total number of document items is counted for the license,
regardless of type.
Measuring & Reporting on Digital Access
Existing SAP ECC (Enterprise Central Component) and SAP S/4HANA customers
considering any deployment of SAP S/4HANA can take advantage of the Digital
Access Evaluation Service provided by SAP's Global License Audit and
Compliance (GLAC) team at NO COST. This service is designed to help customers
determine the estimated initial number of digital access documents.

Measuring digital access documents uses the SAP Passport technology, which is
already in place for end-to-end system tracing and monitoring in distributed
system landscapes. Please refer to the technical prerequisites for
measurability and the conversion options for existing licenses.
Customers who have implemented any deployment of SAP S/4HANA can keep
track of their ongoing digital access document consumption with two reporting
tools:
 Use the License Compliance Digital Access app in SAP S/4HANA Cloud
Public Edition.
 Use the report RSUVM_DAC in SAP S/4HANA or SAP S/4HANA Cloud Private
Edition.
Note
Check which role is required for your business user to access an application on
the Fiori launchpad by looking up the relevant app in the SAP Fiori Apps
Reference Library.

Selecting a Cloud ERP Solution with the Digital Discovery Assessment


Objective
After completing this lesson, you will be able to explain how the Digital Discovery
Assessment helps identify the best Cloud ERP product for a customer
Digital Discovery Assessment
Digital Discovery Assessment - Quick Qualification
The Digital Discovery Assessment (DDA) is used in the sales cycle to assess a
customer's requirements and match them with the best SAP S/4HANA Cloud
solution to fit their needs. This occurs in the Discover phase of the SAP Activate
Methodology implementation roadmaps for both SAP S/4HANA Cloud Public
Edition and SAP S/4HANA Cloud Private Edition. Typically, a Chief Information
Officer (CIO), Chief Technology Officer (CTO), or similar role from the prospective
customer organization works with a sales partner to complete the DDA. The
process starts with a Quick Qualification to capture high-level information about
the customer, including:
 Existing (installed-base) or net-new customer
 Plan for moving to SAP S/4HANA: new implementation or system
conversion (for installed-based only)
 Countries in-scope
 Industry area
 Is this a two-tier ERP scenario?
 Are the amount of FUEs (full user equivalents) below 60?
In some cases, the tool will not provide an automated recommendation and
instead the completed Detailed Discovery Assessment will be reviewed by SAP
experts to determine the best-fit recommendation for the customer. If a customer
already has SAP ERP software and requires a system conversion, the only
suitable solution is SAP S/4HANA Cloud Private Edition, as only this cloud solution
allows a system conversion.
A partner or SAP employee who has completed training through SAP Partner
Portal to get SELL or SERVICE authorization for SAP S/4HANA Cloud Public Edition
or SAP S/4HANA Cloud Private Edition can request access to the DDA here.
Digital Discovery Assessment - Detailed Discovery in New Implementations
For new implementations, the Detailed Discovery gathers information about
integrations with other SAP Cloud solutions the customer may already have or be
planning to purchase, their ERP business process requirements, localizations, and
total users expected in the system.
To make it easier for customers to select the right business processes across the
different lines of business, there are pre-selection packages for the following
scenarios:
 Baseline covers key end-to-end processes for a company in the areas of
Sales, Finance, and Procurement. Core processes include Invoice to Cash,
Order to Fulfill, Record to Report and Procure to Receipt. This is also the
bundle of processes that would be activated if a customer chooses to
purchase the GROW with SAP optional add-on service called Baseline
Activation for SAP S/4HANA Cloud Public Edition.
 Finance-Led ERP covers key financial management best practices to run
administrative ERP, including procurement and sales capabilities.
 Service Centric ERP includes the Finance-Led ERP bundle, in addition to
project and service-related capabilities with industry-specific capabilities to
support service-oriented industries for midsize and large companies.
 Product Centric ERP provides all capabilities required to run make-to-stock-
based production followed by selling the produced goods from stock.
For each individual business process, the priority and rollout phase can be
selected, and questions or notes can be added to provide follow-up information.
Finally, additional requirements related to business processes can be entered,
and detailed project and scope-related questions are completed, such as the
target customer go-live date.
The completed Digital Discovery Assessment (DDA) will propose either the public
or private cloud deployment as the best-fit solution for the customer. If the
customer moves forward with signing a contract for either solution, the results of
the DDA are used as an important document for the incoming partner
implementation team to understand the scope and requirements of the project.
Digital Discovery Assessment - Detailed Discovery in System Conversions
For system conversions, the focus is on gathering information related to the
customer's current solution scope and ensuring all required functionality is
addressed with the private cloud solution. Additional details such as the current
system release, partner add-on requirements, selected hyperscaler, data
sovereignty requirements, and others are gathered during the sales process
when preparing for a system conversion.
Digital Discovery Assessment Report
The completed Digital Discovery Assessment (DDA) is reviewed by an SAP
expert to ensure the automated solution proposal from Detailed Discovery is
correct. If the SAP expert determines the automated recommendation is
incorrect, they will change the solution proposal to ensure the customer receives
the right solution to best fit their needs. The DDA can then be exported to a PDF
report as a handover document the implementation partner would use to define
the project scope when the implementation project begins in the Prepare phase
of the SAP Activate Methodology.

The report provides the following information:


 Known integration and extension requirements.
 Localizations and legal entities.
 The percentage of business scenarios (scope items) selected in each
functional business area.
 Individual business processes selected.
 Business process priority and which implementation phase the process will
be rolled-out (optional).
 Questions and notes raised by a customer regarding specific business
processes and the corresponding answers from the sales account team.
 Additional business process-related requirements.
 Detailed project-related questions.
Exporting the Digital Discovery Assessment Report for use in SAP Cloud ALM
when the implementation project starts
The PDF version of the report is exported from the Digital Discovery Assessment
app. However, there is another way to export the data so that it can be later used
in creating the implementation project in SAP Cloud ALM with the selected
business processes. To do this, navigate back to the Supply Chain of Selling
app and open the customer opportunity.

Select the More drop-down menu and choose Import & Export. Select the Export
Excel button and save the file to a folder that you can share with your future
partner implementation team. If you are implementing SAP S/4HANA Cloud Public
Edition, you will also want to select the button Export to JSON for CBC and save
the file to the same folder. This file can be imported to the tool used to activate
business process content in SAP S/4HANA Cloud Public Edition called SAP Central
Business Configuration (CBC). This option is not available for SAP S/4HANA Cloud
Private Edition, because business processes are activated through a different
tool.
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IMPLEMENTING WITH A CLOUD MINDSET

Getting an Overview of the Cloud Mindset


Objective
After completing this lesson, you will be able to define the characteristics
of the cloud mindset
Cloud Mindset Overview
What is the Cloud Mindset?
First, organizations must recognize that cloud software is different than on
premise software, and therefore the mindset and methodology used to
implement a cloud solution will be different. SAP has tried to make the
process of implementing SAP S/4HANA Cloud solutions as clear as possible
through a combination of tools and resources, but the organization should
also keep an open mind to what may feel new or different when compared
to past experiences.

The characteristics of implementing SAP S/4HANA Cloud Public or Private


Edition with a Cloud Mindset are:
1. Complete the deliverables and tasks defined in the relevant SAP
Activate Roadmap for each phase of the implementation. There are
many moving parts during an implementation, and the methodology
ensures nothing is forgotten. During an implementation, project
team members from the customer and partner implementation
teams use the implementation apps of SAP Cloud ALM to document
and complete project tasks. Access to SAP Cloud ALM is included in
the customer's Enterprise Support for Cloud Editions at no cost.
2. Use a predefined Solution Scenario from SAP Signavio Process
Navigator as the foundation for your business processes. SAP has
been designing ERP software with predefined business processes
since the 1970's, and we use our 50+ years of experience and
regular feedback from customers to build and continuously enhance
our library of SAP Best Practice business processes. Instead of
having to maintain your own process documentation, the solution
process flows and training tutorials on SAP Signavio Process
Navigator are always up to date with the latest release
enhancements. Tutorials in SAP Signavio Process Navigator are also
available directly in the SAP S/4HANA Cloud system through the
embedded support to facilitate end user training and adoption of
new processes.
3. Use cloud integration technologies to connect your systems and
applications. SAP has created many prepackaged integrations to
connect our own applications to each other and provides free access
to the packages through SAP Signavio Process Navigator and the
SAP Help Portal. These SAP Best Practice integrations are built with
the SAP Integration Suite and run in our Platform as a Service, SAP
Business Technology Platform. For custom integrations, we provide a
free library of APIs and adapters in the SAP Business Accelerator
Hub to support developers in building custom integrations between
SAP and third party applications. Running these custom integrations
on the SAP Business Technology Platform with the SAP Integration
Suite provides the lowest total cost of ownership for the customer
and they can use the operations apps in SAP Cloud ALM to monitor
the health of these integrations. Again, access to SAP Cloud ALM is
included in the customer's Enterprise Support for Cloud Editions at
no cost.
4. Follow the Clean Core Strategy to stick to the standard business
processes whenever possible, and only make extensions to
processes where it is absolutely necessary to support your business
requirements. When extensions are required, use the applications in
the SAP Fiori Launchpad designed to help you build lifecycle-stable
extensions first. If you cannot make the required extension with the
in-app functionality, use the SAP Business Technology Platform to
completely separate your extension from the core software.
5. Manage organizational change throughout the entire implementation
project. Communication is essential to the adoption of the solution
by end users, and the organizational change management tasks
from the SAP Activate Roadmap need to be completed by someone.
Organizations need to either budget for change management
services from the implementation partner or establish an internal
team to handle these important tasks.
Utilizing SAP Activate Implementation Methodology and SAP
Cloud ALM
Objective
After completing this lesson, you will be able to identify how to consume
the SAP Activate methodology through SAP Cloud ALM
SAP Activate Implementation Methodology and SAP Cloud ALM
SAP Activate Roadmap Viewer Methodologies
The SAP Activate Roadmap Viewer is a library of implementation
methodologies designed to guide members of a project team through each
phase, deliverable, and task that needs to be completed during the
implementation of a solution.

 To implement SAP S/4HANA Cloud Public Edition, follow the SAP


Activate for SAP S/4HANA Cloud Public Edition (3-System Landscape)
methodology.
 To implement SAP S/4HANA Cloud Private Edition, follow the SAP
Activate Methodology for RISE with SAP S/4HANA Cloud Private
Edition methodology.
SAP Activate Implementation Phases
The implementation of the SAP Activate Methodology covers six phases.
These six phases include:
 Discover - The sales phase where a customer makes a purchase
decision. The Digital Discovery Assessment is used in this phase to
help the customer identify the SAP Cloud deployment that best fits
their needs.
 Prepare - The implementation project begins with planning,
preparation, and access to the systems required for implementation
tasks.
 Explore - Fit-to-Standard Analysis workshops are conducted between
partner consultant experts in each line of business area and
customer experts in each line of business area to review the
predefined business processes in the SAP S/4HANA Cloud system,
identify configuration values, and gather customization
requirements.
 Realize - Partner consultants implement and configure business
processes based on the information gathered in the Fit-to-Standard
workshops. User acceptance testing must be completed before
business processes are finalized.
 Deploy - Partner consultants conduct system cutover activities and
the customer confirms organizational readiness.
 Run - The customer maintains the system through future release
upgrades and uses the operations apps in SAP Cloud ALM to monitor
integration and overall system health.
Note
SAP Roadmap Viewer can be accessed through the direct link or through
your SAP for Me account → Services and Support dashboard → ALM
tab → Roadmap Viewer app.
SAP Cloud ALM
SAP Cloud ALM (Application Lifecycle Management) is included in the SAP
Enterprise Support for Cloud Editions, which is the base support package
for all customers purchasing an SAP Cloud solution. Applications within
SAP Cloud ALM are grouped into three
sections: Implementation, Operations, and Service.

While the SAP Activate Methodology defines the tasks that need to be
completed to implement a solution, the implementation apps within SAP
Cloud ALM make those tasks actionable. A project manager can assign
tasks to members of the project team, and project team members track
their notes and mark each task as complete when finished.
The customer's IT team can use the operations apps within SAP Cloud ALM
for full-stack monitoring and alerting related to business processes,
integrations, users, applications, and the healthiness of their entire
landscape of cloud and on premise services and systems.
The service apps within SAP Cloud ALM provide a direct connection
between the customer and SAP support services, where customers can
centrally access all information for past, present, and future services.
Learn more about SAP Cloud ALM through adoption use cases.
Navigating the SAP Best Practice Solution Processes via SAP
Signavio Process Navigator
Objective
After completing this lesson, you will be able to explore the SAP Best
Practice solution processes in SAP Signavio Process Navigator
SAP Best Practice Solution Processes in SAP Signavio Process
Navigator
SAP Signavio Process Navigator
SAP Signavio Process Navigator is the library of SAP's predefined business
process content for different solutions. SAP Process Navigator is the
successor of SAP Best Practices Explorer.
A solution scenario includes the documentation of each solution process in
addition to resources (known as "accelerators") that are designed to help
with implementing the business process content of the solution.
A solution process describes the process steps involved with completing
an activity from start to finish in the relevant system. For example, the
solution process Time Recording (1Q4) guides you through the process of
an employee recording actual working time against accounting objects in
the relevant application. The terms, solution process and business process
are synonymous.
A solution process is visually displayed in the solution process flow
diagram, and the steps to complete the process in an actual SAP S/4HANA
Cloud system are documented in the test script, located in the
accelerators section. Many solution processes have task tutorials, which
are simulations that guide a user through the steps of the test script in a
virtual SAP S/4HANA Cloud environment. These same tutorials can be
found in a live SAP S/4HANA Cloud system as part of the embedded
support. If a task tutorial is available, an additional tab will display in the
accelerators section titled, End-User Information.
An additional test script with (SAP Cloud ALM) in parentheses is for the
implementation team to use when creating manual test cases in SAP Cloud
ALM for the final user acceptance testing after each solution process has
been configured in the customer's SAP S/4HANA Cloud system landscapes.
If a solution process requires a predefined integration or other prerequisite
tasks to function correctly, set-up instructions are also provided in the
accelerators section.
The solution scenarios relevant for SAP S/4HANA Cloud Public Edition are:
 SAP Best Practices for SAP S/4HANA Cloud Public Edition: Master
package of all preconfigured business processes available in SAP
S/4HANA Cloud Public Edition.
 SAP Best Practices for SAP S/4HANA Cloud for Public Sector:
Selection of business processes from the master package with a
focus on public sector management. The solution provides core
business processes in finance, sourcing and procurement, and
budgeting.
 Service Centric ERP for SAP S/4HANA Cloud Public Edition: Selection
of business processes from the master package with a focus on
service centric ERP. The solution provides best practices for financial
management, industry-specific capabilities for project and service-
related operations, with a particular emphasis on serving small and
midsize companies in service-oriented industries.
The solution scenarios relevant for SAP S/4HANA Cloud Private Edition are:
 SAP Best Practices for SAP S/4HANA Cloud Private Edition: Master
package of all preconfigured business processes available in SAP
S/4HANA (on premise) and SAP S/4HANA Cloud Private Edition.
 Enterprise Management Layer for SAP S/4HANA: Selection of
business processes from the master package with a focus on
providing a global template for customers operating in multiple
countries. It offers preconfigured, localized business processes for up
to 49 countries with a corporate financial design that allows parallel
accounting according to group and local requirements based on
three sets of ledgers and accounting principles (Group/Local/Tax).
Note
SAP Signavio Process Navigator can be accessed through the direct link or
through SAP for Me → Services & Support dashboard → ALM tab → SAP
Signavio Process Navigator app.

Exploring SAP's Cloud Integration Technologies


Objective
After completing this lesson, you will be able to identify the capabilities of
the SAP Cloud Integration Suite
Cloud Integration with the SAP Integration Suite
Cloud Integration Technologies
Implementing a new ERP software is a perfect opportunity to re-evaluate
the technology used to build and host your integrations. Any application
that needs to send data to, or consume data from, SAP S/4HANA Cloud
(public or private) will need to be set up with a new integration.
The Integration Solution Advisory Methodology is a framework to help
customers evaluate their landscape and build new integrations using the
available tools.

First, check SAP Signavio Process Navigator to see if you can find a
prepackaged solution process that addresses the integration requirements.
SAP builds these integration packages using the SAP Integration Suite, and
the integrations run on SAP Business Technology Platform. Because SAP
has already built the integration package, you will find set-up instructions
on how to activate the integration in your SAP S/4HANA Cloud system. As
the owner of the integration package, SAP is responsible for the
maintenance.
In addition, SAP provides integration content in the SAP Help Portal for SAP
S/4HANA Cloud Public Edition and SAP S/4HANA Cloud Private Edition.
If none of the integrations in SAP Signavio Process Navigator or the SAP
Help Portal meet your needs, a custom integration will need to be
implemented. A library of integration packages, Application Programming
Interfaces (APIs), adapters, and other resources built by SAP and our
partner developers is available in the SAP Business Accelerator Hub.
Content in the SAP Business Accelerator Hub is also built using
technologies that run on the SAP Business Technology Platform such as
the SAP Integration Suite. A developer can build a custom integration
package using APIs from the library, and monitor the integration using
the SAP Cloud ALM operations apps moving forward. Whether you use a
packaged integration from the SAP Business Accelerator Hub or build an
entirely custom integration, the responsibility for maintaining the
integration is on the customer's IT team. However, SAP is responsible for
maintaining the platform where the integration lives (SAP Business
Technology Platform).

Utilizing the Clean Core Strategy and Extensibility Tools


Objectives
After completing this lesson, you will be able to:
 Explain the clean core concept
 Define the different types of extensibility and the relevant tools
Clean Core Strategy
The SAP Clean Core Strategy
The core of ERP software consists of six fundamental dimensions: software
stack, extensibility, integrations, processes, data, and operations. With a
clean core, the performance of each ERP dimension improves.
Watch a video
Watch this video to learn about the clean core strategy from Paul
Saunders, SAP Chief Evangelist for Cloud ERP.
Note
Learn more about the SAP Clean Core strategy.
Extensibility Types and Tools
Extensibility Tools
When extensions (customizations) to applications or processes are
required, use the SAP Extensibility Explorer to identify which type of
extensibility best addresses the requirement, and find learning resources
on how to implement the extension.

Build extension within SAP S/4HANA Cloud (in-app)


There are a few types of in-app extensibility possible within SAP S/4HANA
Cloud (public or private) directly:
 Key User Extensibility uses the SAP Fiori apps on the launchpad
designed to facilitate a user adding custom fields, logic, and other
lifecycle-stable extensions to SAP S/4HANA Cloud without developer
knowledge. These extensions are built in the customizing tenant of
the development system and moved to other systems through
transports. Most of the SAP Fiori extensibility apps are available for
all deployments of SAP S/4HANA, however there are a few
differences.
Note
To check if an SAP Fiori app is available for a certain deployment of SAP
S/4HANA, look up the app in the SAP Fiori Apps Reference Library. If the
app is available for more than one deployment, there will be a drop-down
menu that lets you toggle between SAP S/4HANA Cloud (referring to just
public cloud) and SAP S/4HANA (this includes both private cloud and on
premise). For example, the Custom Fields app is available for all
deployments.
 Developer Extensibility uses the development tenant of the
development system to make changes to released SAP objects with
upgrade-stable ABAP code. This type of extensibility is only possible
for SAP S/4HANA Cloud Public Edition (3-system landscape), because
the development environment is controlled to only allow changes to
specific SAP objects. Even though developer extensibility is possible,
we recommend exhausting all key user extensibility options first,
then moving to side-by-side extensibility for more complex
extensions using the SAP Build licenses included in the GROW with
SAP enablement package.
 Classic Extensibility uses the development tenant of the
development system to make changes to any SAP object with ABAP
code. This type of extensibility is only possible for SAP S/4HANA
Cloud Private Edition (and on premise), and is generally not
recommended. The major concern is that customizations can
become unstable since there are no restrictions on the ABAP code
you can use, or the objects you can change. Just as with developer
extensibility, we always recommend first exhausting all key user
extensibility options, then moving to side-by-side extensibility for
more complex extensions using the SAP Build licenses included in
the RISE with SAP enablement package.
Build extension in SAP Business Technology Platform
The other type of extensibility separates the extension into a different
platform. This ensures the extension is always stable and will not be
affected by release upgrades in the SAP S/4HANA Cloud system.
Side-by-Side Extensibility uses the SAP Business Technology Platform to
host custom extensions and integrate them to the SAP S/4HANA Cloud
system. SAP Build enables business users with no development knowledge
to create apps and automate processes in a low/no-code environment,
while developers can use tools like the SAP Business Application Studio to
build extensions and applications with classical coding languages (Java,
JavaScript, Python, etc.).
Use existing application built by SAP Partner developers
When considering developing an entirely custom extension, check to see if
an existing solution or application developed by our partner ecosystem
meets your needs from the SAP Certified Solutions Directory, or the SAP
Store. Industry cloud solutions can be found in the SAP Store too.
Delivering Effective Organizational Change Management
Objective
After completing this lesson, you will be able to discover organizational
change management best practices
Organizational Change Management Best Practices
Importance of Organizational Change Management
Research by McKinsey and Company found, "change programs with
governance structures clearly identifying roles and responsibilities are 6.4
times more likely to succeed", in the paper, How do we manage the
change journey?. McKinsey also found employee engagement, especially
early in the planning process to be a key indicator of success in a global
analysis of successful organizational transformations.
To foster engagement, they suggest breaking the change process into
small, clearly defined activities, and involving employees to give them a
sense of ownership in the change initiative. In addition, regular
communication from the executive stakeholders is important in keeping
employees engaged, positive, and reducing change fatigue during a large-
scale transformation.

This is why SAP created the SAP Activate Methodology - to provide a literal
roadmap for partners and customers to follow during an implementation,
and after go-live to maintain the solution through future release upgrades.
Each deliverable consists of small, clearly-defined tasks that are targeted
to specific role(s), and include templates and/or resources to help the
responsible person get started right away.
Premortem Analysis with the Project Team
In his 2004 book, The Power of Intuition, researcher Gary Klein devised a
"premortem analysis" procedure to help teams develop the ability to
quickly adapt to changing situations as exceptions occur over the course
of a project. The idea came from a study he conducted at the University of
Colorado, Colorado Springs that found prospective hindsight, where you
imagine an event has already occurred, can increase a person's ability to
correctly identify reasons for future outcomes by up to 30 percent. This
means that if you imagine an event has already occurred in great detail,
you are able to learn many of the same lessons you would have learned if
the event had actually happened in real life.

A premortem comes at the beginning of a project, so the team can


anticipate potential issues that could happen and develop resolutions in
advance. If and when any of those problems occur during the project, the
team can quickly and easily implement the resolution they've already
identified.
This is how Gary Klein describes the procedure: "Start by assuming [your]
undertaking has failed spectacularly. Then, over the next few minutes,
write down every reason you can think of for the failure […]. Then, revisit
your plans in light of the pitfalls you've uncovered, and generate ideas as
to how you can minimize their likelihood of occurring or avoid them
altogether". Klein also recommends the team periodically review their
premortem list of potential issues and resolutions as they make progress
through the project.
The best case scenario is for our partners to facilitate successful
implementations, and our customers to have successful
implementations that are well-adopted by their employees. Instead of
having to learn the lessons of a failed project the hard way, consider using
the premortem analysis as an early activity to help the customer and
partner implementation teams build a trusting relationship, and stay
flexible in their thinking throughout the project.
SAP's Organizational Change Management Framework
SAP's Organizational Change Management (OCM) framework has six
dimensions, structured into work packages that contain best practice
methods, tools, and templates.

The dimensions are:


 Change Strategy outlines the direction of the change management
activities for a digital transformation project. It provides the
blueprint from which to manage complex changes across multiple
entities, various locations and/or countries.
 Change Leadership aims to identify and implement appropriate
mechanisms for managing all individuals and groups who are
affected by or can influence the success of a digital transformation
project. The respective activities help to promote a shared positive
attitude towards the changes.
 Change Communication targets to provide the right message to the
right people, at the right time. It is the systematic planning,
implementing, monitoring, and revision of all communication
activities within a digital transformation project toward the project
stakeholders.
 Change Realization includes the identification and management of
changes associated with a digital transformation on the relevant
stakeholder groups (e.g. regarding skills, business processes,
technology, organization, and mindset). This fosters a smooth
transition from the current to the future status-quo.
 Change Enablement provides full training for the users throughout
the transformation process. Role based user training will be
developed and provided to meet user specific needs as the system is
rolled out.
 Change Effectiveness encompasses all activities that can be applied
to measure the effectiveness of OCM activities supporting the digital
transformation. It focuses on criteria such as organizational
readiness, user adoption and satisfaction as well as user behavior
after go-live to enhance adoption.
Note
 Take a deeper dive into OCM with the free Learning Journey: Discover
Organizational Change Management for SAP Cloud Projects
 Learn how to set up your end-users for success with the free
Learning Journey: Getting Started with Learning and Enablement in
SAP Projects
Resources to Support Organizational Change Management
SAP delivers several different templates and resources (what we call
"accelerators") for customers and partners to use during their
implementation projects to support organizational change management
activities. Find the accelerators in the relevant SAP Activate Methodology
for SAP S/4HANA Cloud Public Edition or Private Edition by selecting
the Solution Adoption workstream, or the Organizational Change
Management tag. During an implementation project, these accelerators
can be downloaded from the relevant tasks via SAP Cloud ALM.

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