SAP ANALYTICS

Frank Schroeter
Roman Bukary
 THE CHALLENGE

Execution not aligned with corporate strategy

„ Clear and measurable performance goals are missing
„ Individual objectives of contributors not aligned with strategy
„ Poor feedback, and no corrective actions

Ineffective decision making processes

„ Decisions delayed, or made on ‘gut feel’ only
„ Key stakeholders not involved, information only available to small ‘elite’
„ BI and knowledge management disconnected from processes and applications

Missing timely insights into trends, events, and opportunities

„ Only after-the fact reporting, and lack of right-time insight
„ Opportunities frequently missed, critical events frequently ignored
„ Operations, while effective, need to be ‘smarter’ (e.g. to improve customer
retention, to alert of ‘material events’, to fine-tune supply chain execution)

Business insights disconnected from the business process

„ Business users work as human integrators
„ In the absence of in-context insights, people operate off incomplete information

© SAP AG 2005, SAP Analytics launch / 2

 INEFFECTIVE DECISIONS
With the Best of Effort

Lack of complete visibility equals poor decisions!

IF YOU DEPLOY YOU MIGHT MISS THE
SILOED CRM ANALYTICS TRUE 360° CUSTOMER VIEW
Costs & Margins Information

A 45° degree
front-office view Front-office
of the customer Information
Payment
What you know: Info.
What you
„ Big dollar volume additionally know:
„ Loyal relationship „ Low margin purchases
„ Zero open cases „ Higher product returns
„ First call resolution Delivery & Return „ Big order backlog
90% Information
„ More disputed invoices
„ Average call time „ Frequent rush orders
< 3 minutes
„ Overall: Low profitability,
weak customer loyalty,
small per order value
Your conclusion: Your conclusion:
This is a great account, a real “A-Customer” This is very non-profitable account

Your Action: Your Action:

Continue as is, everything seems to go well Urgent need for action, convert customer into
profitable customer, or discontinue focus, maybe
move to indirect channel

© SAP AG 2005, SAP Analytics launch / 3

 BUSINESS PROCESS
Example: Sales Order Fulfillment process
Customer Sales Fulfillment Production Logistics Fin.-Dptm. Controlling
(CRM) (FC) (SCP) (SCE) (FIN) (BW)

Creation
Purchase
Order
1 2 3
Creation
Sales Order Request Global ATP
Fulfillment Global ATP Check
Request

4 Creation &
Release
Delivery
Request 5

Delivery
Execution
8 6
7
Update
Release Update
Inventory
ASN Inventory
Accounting
9

Receives
ASN

© SAP AG 2005, SAP Analytics launch / 4

 BUSINESS PROCESS REQUIRES INFORMATION
Questions & Insights lead to process improvement!

“it’s a missed
sale”

“will be back
in inventory”

“extra effort
“not a key
costs $$$”
customer”

???
“see & wait”

© SAP AG 2005, SAP Analytics launch / 5

 INFORMATION REQUIRES ANALYTICS

Defection
Risk
Inventory
Forecast

Returns
CLTV
Per
Customer

Accuracy
Delivery
Performance
© SAP AG 2005, SAP Analytics launch / 6
 SAP NETWEAVER
Enabling Enterprise Services Architecture

ONE PLATFORM – ONE PRODUCT

Open integration and application 1 Platform

platform that enables change! Synchronized release dates
SAP NetWeaver™
PEOPLE INTEGRATION 1 Foundation
Multi channel access Web AS 6.40
Portal Collaboration
Composite Application Framework

1 Package
INFORMATION INTEGRATION
Coherent installation process
Life Cycle Mgmt
Bus. Intelligence Knowledge Mgmt

Master Data Mgmt

1 Set of scenarios
PROCESS INTEGRATION Integrated components
Integration Business
Broker Process Mgmt
All Apps
APPLICATION PLATFORM Business Suite, partner
J2EE ABAP
solutions and xApps
DB and OS Abstraction
developed on NetWeaver

© SAP AG 2005, SAP Analytics launch / 7

 ANALYTICS CORE TO ESA
Enterprise Services Architecture

PEOPLE
PRODUCTIVITY

Analytics ANALYTICS

Composite Applications COMPOSITE

APPLICATIONS

SAP
SAP NetWeaver
NetWeaver COMPOSITION
Business
Business Process
Process Platform
Platform PLATFORM

Enterprise
Enterprise LIFE-CYCLE
Services
Services MANAGEMENT
Repository
Repository
Application
Application Components
Components

Legacy
Legacy 3rd
3rd SAP
SAP SAP
SAP SAP
SAP Buyer
Buyer
System
System Party
Party SRM
SRM ERP
ERP Partner
Partner

© SAP AG 2005, SAP Analytics launch / 8

 NEW ANALYTICS BUILDING BLOCKS
Leveraging SAP NetWeaver

Access – Dissemination - Collaboration

Composites Applications

Adaptive UI

Integrated Information Services

Enterprise
Service Services
Business Content
Repository Search
Intelligence Mgmt

Caches and Indexes

Business Object-based Views

Information Integration
Operational Data Knowledge
Systems Warehouses Management

© SAP AG 2005, SAP Analytics launch / 9

 KEY BENEFITS

Integrated world
„ Enterprise Information Management leverages enterprise information for
competitive advantage complementing the ESA strategy

Enterprise Services Architecture

„ Services-oriented composition of Analytical Applications allow
adaptable embedding of information into tasks, processes and
applications

Enabling the business

„ Flexible tools and services empower the business user to create
analytics independently from IT departments

© SAP AG 2005, SAP Analytics launch / 10

 INTEGRATED WORLDS

Challenge
„ Effective decision making require a
holistic view on enterprise
information in a given context
„ Historical and operation data needs
to be integrated from disparate, SAP
and non-SAP sources

Solution
„ Integrated transactional and
analytical context
„ Extend ESI model to host documents
and analytics
„ Business Object-based semantic
views for information access
„ Allow for seamless drill-thru without
loss of semantics
„ Uniform service infrastructure

© SAP AG 2005, SAP Analytics launch / 11

 ENTERPRISE SERVICES ARCHITECTURE

Challenge
„ Analytic applications hard to code, harder to modify
„ System landscape creates IT dependencies
„ Business changes can not be easily propagate to analytics
„ Business Intelligence have historically been “after the fact” reporting
tools

Solution
„ Assemble applications from logical “widgets” creating a model-driven
environment without any code
„ Focus on the logical model not the data model
„ Create dynamic user experience without forcing business users to pre-
plan
„ Leverage services to merge transactional, collaborative and analytic
steps

© SAP AG 2005, SAP Analytics launch / 12

 EMPOWERING THE BUSINESS USER

Challenge
„ Analytics typically completely centralized
„ IT organizations become the bottleneck in creating new reports and
queries
„ Business users require insights within the “window of opportunity”
‹ Tactical

‹ Operational

‹ Strategic

Solution
„ Enabled business users to create or modify their own analytics –
reducing IT bottleneck
„ Managed self-service environment
„ Ad-hoc creation of KPIs, hierarchies, queries and semantic views
„ Eliminate the cryptic nature of typical BI queries and replace them with
logical data models

© SAP AG 2005, SAP Analytics launch / 13

 SAP ANALYTICS

Empowering the Business

Users with Actionable Insights

© SAP AG 2005, SAP Analytics launch / 14

 SAP ANALYTICS’ DEFINITION

SAP Analytics are business-user applications that

SAP Analytics
provide are business-user
our customers with applications thatdefine
the ability to providestrategic
our customers with the ability to define strategic objectives
objectives and measurements
and measurements thenaction
then take appropriate take appropriate
guided by strategic
action
insightsguided by strategic
in the context insightsfunctions
of their business in the context ofSAP
and roles. their
Analytics aggregate
business functions all and
relevant business
roles. SAPdata from internal,
Analytics aggregate
external, syndicated, and real-time sources to deliver the
all relevant business
comprehensive view of thedata from internal,
organization, external,
its execution, and its ability
syndicated,
to meet goals. and
SAPreal-time sources
Analytics place to deliver
the actionable the in the
insight
context of the business
comprehensive viewprocess thereby permitting
of the organization, itsseamless
execution,
integration of analytics, transactional and collaborative steps. SAP
and its ability
Analytics to meet
are Powered goals.
by SAP SAP Analytics place the
NetWeaver.
actionable insight in the context of the business process
thereby permitting seamless integration of analytics,
transactional and collaborative steps. SAP Analytics are
Powered by SAP NetWeaver.
© SAP AG 2005, SAP Analytics launch / 15
 SAP ANALYTICS
Comprehensive analytic portfolio spanning Creating Analytic Applications
the value network
„ Function- and industry-specific
analytic applications
„ Deliver pre-packaged best business practices

Empower business users

„ Actionable business insights in the context
of the business process
„ Covering the complete value network
„ Embedded analytics within mySAP solutions
„ Delivering value for all business users
Sample Analytic Application
Deliver on SAP’s ESA vision
„ No code to write leveraging modular,
drag-and-drop, WYSIWYG approach
„ Easy-to-build and easy-to-modify by business
power users
„ Expose the business logic of analysis
not the technical connectivity
„ Intelligent, composite business processes
integrating analytics, transactions and
collaboration

© SAP AG 2005, SAP Analytics launch / 16

 INSIGHT IN-CONTEXT ENABLING ACTION
Leveraging Visual Composer

© SAP AG 2005, SAP Analytics launch / 17

 VISUAL COMPOSER
Model-drive, Service-Oriented IDE

Web Based IDE targeting the Business Expert

Graphical Modeling of applications - Generation of code
Broad Range of supported data sources based on Portal
Connector Framework
„ BAPI, JDBC, ODBO, XMLA, SAP Query
„ Distributed Query Engine

Rich set of modeling elements

„ Views: Charts, Tables, Forms, Lists, Layers
„ Operators: Sort, Filter, Union, Join, Intersect, Distinct,…
„ Expressions: Date/Time, Strings, Operators, Functions,
Conditions

Visualization controls
WYSIWYG layout capabilities

© SAP AG 2005, SAP Analytics launch / 18

 VISUAL COMPOSER BI EXTENSION KIT
Embedding analytical data

Extended connectivity based on BI

Java Connectors
„ BI ODBO and BI XMLA connector
‹ MS Analysis Services, SAS, Hyperion
„ BI JDBC connector
‹ RDBMS, CSV, Excel, …
„ BI SAP Query connector
‹ mySAP ERP data
„ Native BW Web API
‹ BEx Queries, BEx Templates

Tools for building queries on diverse

data sources
„ Templates for OLAP and relational
queries: Ranking, Variance, Trend..
„ Wizard for freeform OLAP and
relational queries: joins, filters, sorting
„ SQL Editor
„ MDX Editor

© SAP AG 2005, SAP Analytics launch / 19

 INNOVATIVE USER EXPERIENCE
Integrating Macromedia Flex
Data Source
Data Source
Data Source
.
Web Services
BW, BAPI’s, R/3, etc.

Data Source Connectors

(provided by SAP)

SAP BSG or Customer

Defined Model

MXML &
Macromedia Library Action
MXMLc
(provided by
of Flex Components Script Macromedia)
SWF
MXML
Venn Files Files
Pie Chart Grid Diagram

Box Flat Line

Visual Composer
Rotation
Graph Graph

Bar Flow 3-D

Graph Chart Column

Black Box Extension

(provided by SAP)

MXML &
SAP developed Action
Components Script

Generated
Custom
Pyramid CRM Int
er Data

SAP
Table Timeline
Temp
Analytical
Dashboard
MXML &
Customer developed Action
Components Script
Sales Custom
Recording
Chart er Data

Sales Internal
Workflow
Org Order

© SAP AG 2005, SAP Analytics launch / 20

 SAP ANALYTICS’ KEY MESSAGES

SAP Analytics delivers value to the business

user by covering the complete value network

SAP Analytics delivers strategy-guided insights

in the context of the business processes

SAP Analytics enables composite business process

covering analytic, collaborative and transactional steps

SAP Analytics is Powered By SAP NetWeaver

© SAP AG 2005, SAP Analytics launch / 21

 SAP ANALYTICS
SAP Ensuring Success

SAP Analytics “productization”

„ Unveiling at SAPPHIRE, Copenhagen
„ Product will begin ramp-up in late 2005
„ Incorporating design validation in pre-release phases

SAP Analytics focus

„ Empowering business users
„ Spanning the full value network which SAP addresses today
‹ Industry- and function-specific analytic applications
„ Eliminate “islands of intelligence”
„ Deliver true actionable insights
„ Permit easy deployment, customization and development

Unified analytic responsibility across SAP

„ Single team with Board support and visibility
„ Complete design, development, validation, and GTM responsibility
„ Create, nurture and over time incorporate analytics into all SAP
solutions
© SAP AG 2005, SAP Analytics launch / 22
 SAP ANALYTICS
SAP Ensuring Success

SAP Analytics System Integrator enablement

„ SI involved in early product validation
„ SI taught the methodologies and given access to tools

SAP Analytics Independent Software Vendor enablement

„ Provide same access to tools as SAP (based on PBNW certification)
„ Select ISVs already building on the tools and functionality

SAP Analytics field enablement

„ Working with each region to develop analytic expertise
„ Unified product strategy
‹ Pre-sales

‹ Sales

‹ Implementation

„ Teaching and enabling teams across SAP to leverage and incorporate

analytic applications into their solutions

© SAP AG 2005, SAP Analytics launch / 23

 SAP ANALYTICS
Empowering the Business User

© SAP AG 2005, SAP Analytics launch / 24

 SAP ANALYTICS… THE FUTURE

Intelligent, composite business processes

seamlessly merging analytic, transactional and
collaborative steps built on the Business
Process Platform (BPP) leveraging SAP and
non-SAP components delivering on the
Enterprise Services Architecture (ESA) promise

© SAP AG 2005, SAP Analytics launch / 25

 Definition Analytics
Definition Business Intelligence
Business intelligence (BI) is a broad category of applications and technologies for gathering,
storing, analyzing, and providing access to data to help enterprise users make better business
decisions. BI applications include the activities of decision support systems, query and
reporting, online analytical processing (OLAP), statistical analysis, forecasting, and data
mining.
Business Intelligence is a category name for the technology and approaches which aggregate,
integrate, and present data for analysis on the basis of which business decisions can be made.

Definition (Operational) Reporting

Query and Reporting is a set of applications for the definition, execution and presentation of
granular and aggregated business data, typically from a data warehouse
Another technological capability.

Definition of Analytics / Analytic Application

Analytic Applications / Analytic Composites are business-user applications that provide our
customers with the ability to define strategic objectives and measurements then take
appropriate action guided by strategic insights in the context of their business functions and
roles. (SAP Analytics aggregate all relevant business data from internal, external, syndicated, and
real-time sources to deliver the comprehensive view of the organization, its execution, and its ability to
meet goals. SAP Analytics place the actionable insight in the context of the business process thereby
permitting seamless integration of analytics, transactional and collaborative steps.)

© SAP AG 2005, SAP Analytics launch / 26

 Business Intelligence versus Analytics

Business Intelligence is all about

technology and is sold to IT

Analytics are about applying that

technology to address and solve
business needs and is sold to
business users
© SAP AG 2005, SAP Analytics launch / 27
SAP ANALYTICS

http://www.sap.com/analytics