First successful experience of sap erp implementation in iran

1. ‫سمينار‬‫اولين‬‫موفق‬ ‫تجربه‬‫پياده‬‫سازي‬
SAP‫در‬‫ايران‬
‫سيد‬‫محسن‬‫رياستيان‬
‫دانشگاه‬‫صنعتي‬‫شريف‬،23‫ارديبهشت‬1387

2. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

3. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

4. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

5. Sharif University of Technology ,1387.02.23 , Riasatian
ERP
Enterprise
 Multi-national, multi-divisional, multi-functional
 Integrated business processes
 Based on knowledge and Best Practices
 Free DB, Free OS, Free Language
Resource
 Looks all of the organisations’ resources
– Material ,Man, Time, Money,Machine
Planning
 Plans and controls where these resources are consumed to meet the
organisational goals
– Material Requirement Planning
– Production Planning

6. Sharif University of Technology ,1387.02.23 , Riasatian
Necessity for ERP
 Competition
 Enhancement & Development
 Disipline
 Resource Constraint
 Information Volume
Process Complexity

7. Sharif University of Technology ,1387.02.23 , Riasatian
Solution-Hierarchical
Where is your company going?
What is the future?
What are the goals and metrics?
How do we get there?
What is the operational roadmap?
What is the shape of teams and
how should we organize?
What is the methodology
and detail action plan?
What are the business practices?
What are the technology
and support requirements?
Measures
Strategy
Strategy
Activities
Process, Technology, and Support
Organization
Vision

8. Sharif University of Technology ,1387.02.23 , Riasatian
Solution-Integration
People /
Skills
Strategy
Process Technology
Organization
Strategy People Technology
Process
Sales
Marketing
Production
Organization
+ + + +
A Best Practice based
ERP system should
coherently and
efficiently integrate all
major components of
a business enterprise

9. Sharif University of Technology ,1387.02.23 , Riasatian
This is what a previous client looked like pre-SAP…..
Accounts Payable
Index to systems map
Existing legacy system i/f s
BACSWAY
Cheques &
Remittances
EDI VANs
TRADANET, IBMIN,
BTNET
Prism
Factored Brands
Asset Management
General Ledger
PRICE
Purchase Ordering
PROBE
Project Managmnt
CARMS
Accounts Receivable
MRO
Promotions Call Rota
Telesales
Orders on
Suppliers
Stock
Reconciliation
Load PlanPickingMother Depot
Delvery Note
Print & Action
Receipting
Payroll
Pensions
Bristol
PAYSLIPS
P60, P45
CASHIERS PC
/ Cheques
Norton Waugh
EXPENSES PC
Norton Waugh
HYPERION
PRIDE
(with Retro)
PRODUCT DB
CUSTOMER DB
Stock Accounting
SWIFT LOANS Sales Statistics
FOCUS
(M/F)
COMMON
EXTRACT
WALKER
SYSTEMS
TADIS
DIPS
DAMS
TAMWORTH
TAKE HOME
TAKE HOME
ELDRIDGE
POPE
MURCO
Blue Track
CTS
AS400 Delivery
Note Printing
SPEX
EDI
OTHERS
DISCOVERR
Quick Scheduler
Crystal Reports
Eric
Comet
OPUS
Mercia foreasting
COGNOS
LOANS Notes
Time Recording
TATAP T&A
Chris HR
Oracle Sales &
Financials
Linx
Schedule X
POMS
Forest &
Trees Reports
Deal Maker
Customer Info
System
Account Activity Sales Info System
Mobile Extract and build
PHD
Mailing
Microlise
TELESALES
MIS
ELDRIGE POPE
BREWMASTER
Returns
RMDS CMA Spool
Natwest Payaway
& Bankline
Great Plains
Handhelds

10. Sharif University of Technology ,1387.02.23 , Riasatian
Index to systems map
Existing legacy system i/f s
Cheques &
Remittances
EDI VANs
TRADANET, IBMIN,
BTNET
Prism
MRO
HYPERION
Blue Track
COGNOS
Deal Maker
Customer Info
System
Account Activity Sales Info System
Mobile Extract and build
PHD
Mailing
Natwest Payaway
& Bankline
…..and post-SAP

11. Sharif University of Technology ,1387.02.23 , Riasatian
Before and After ERP

12. Sharif University of Technology ,1387.02.23 , Riasatian
Major ERP Benefits
As a concept, all ERP applications provide the following:
 Process Integration
 Data Integration
 People Integration
 Security
 Availability
 Re-Enginereeing
 Re-Organization
 Prevention for Redundant data, User errors
 JIT management
 Real-time Insight & Response
 Relationship Management
 Continuous Re-Invention
 Planning
 Controlling
 Best Practice Processes
 Reduce TCO for I.T.
 Stable Technologies
 Substructure for Decision Making Systems

13. Sharif University of Technology ,1387.02.23 , Riasatian
Return On Equity
Return on Equity : percentage of profits that were obtained from investment in a
company's shares over a given period of time (measure the efficiency of the use of
funds from shares)

14. Sharif University of Technology ,1387.02.23 , Riasatian
Where has ERP come from?

15. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Intoduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

16. Sharif University of Technology ,1387.02.23 , Riasatian
SAP’s Strengths are:
SAP grew from a manufacturing environment
 Oracle came from Finance
 PeopleSoft came from HR
 Baan came from high-tech and aerospace
 Sieble came from Insurance system
 JDE came from, well, who cares anymore
 Sage, Axepta,IFS,… are for small business
 Anything else just isn’t on the radar…..
Finance, HR etc processes are all relatively standard, therefore they
don’t add competitive advantage
Production is where most companies derive their advantage, hence the
strongest application in Production and related activities is often the
best choice…..

17. Sharif University of Technology ,1387.02.23 , Riasatian
The Competition
Sage
Oracle
SAP
LEADER
CHALLENGER
FOLLOWER
0
Performance
Presence
July 2006
Microsoft
AcceptaSSA
Intentia
IFS
Infor Global
Solutions

18. Sharif University of Technology ,1387.02.23 , Riasatian
SAP Competitors
SEBL
76
53
16 16
8 5
303
JDE PSFTVeritasORCLSAP CA
SAP
59%
SEBL
11%
ORCL
15%
ITWO
2%
PSFT+
JDEC
15%
SAP‘s Main Competitors
by License Revenues
The World‘s 7 Leading Software
Companies By Equity Market
Capitalization

19. Sharif University of Technology ,1387.02.23 , Riasatian
SAP Customers
Oil & Gas
Poewr Generation Industry

20. Sharif University of Technology ,1387.02.23 , Riasatian
SAP R/3 Solutions

21. Sharif University of Technology ,1387.02.23 , Riasatian
SAP University

22. Sharif University of Technology ,1387.02.23 , Riasatian
SAP Modules
Business
processes
Open
system
Client / server
architecture
Business
Engineering
Designed
for all types
of business
Multinational
Comprehensive
functionality
Over 100,000
installations around
the world
ABAP/4
FI
Financial
Accounting
CO
Controlling
AM
Fixed Assets
Mgmt.
PS
Project
System
WF
Workflow
IS
Industry
Solutions
MM
Materials
Mgmt.
HR
Human
Resources
SD
Sales &
Distribution
PP
Production
Planning
QM
Quality
Manage-
ment PM
Plant Main-
tenance

23. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

24. Sharif University of Technology ,1387.02.23 , Riasatian
Methodology
Achieve your
implementation
goals through
leveraging SAP
experts, services,
methodology,
content and tools.
Methodology
People
and
Expertise
Content
and
Tools
Consulting
Services

25. Sharif University of Technology ,1387.02.23 , Riasatian
Project Team
+ =
• Commercial Flexibility
Project Team
• Strong Team
• Business Knowledge
• Management Commitment
• Process Knowledge
• Defined Requirements
• Desire for Change
• Desire to Succeed
• Best Practice
• Program Management
• SAP Training
• Change Management
• Knowledge Transfer
• Quality Management
• Value for Money
• Joint Team
• Shared Objectives
• Clear Responsibilities
• Best Practice Standard
• Reduce Cost & Risk
• Support Handover
• Foundation for Growth
Customer
SAP Consultant

26. Sharif University of Technology ,1387.02.23 , Riasatian
Description
http://service.sap.com/asap
AcceleratedSAP methodology is proven, repeatable and successful
approach to implement SAP solutions across industries and
customer environments.
AcceleratedSAP provides content, tools and expertise from
thousands of successful implementations.
More info
ASAP Methodology

27. Sharif University of Technology ,1387.02.23 , Riasatian
ASAP Methodology
BlueprintBlueprint Benefits RealisationBenefits RealisationProject PreparationProject Preparation
SAP Best
Practice IBP
Review
Business
Process
Workshops
Public Sector
Best Practice
= =
As-Is Review
Identified
Benefits
Card
Validated
Benefits
Card
Benefits
Measurement
Process Redesign
Organisational
Change
Continuous
Improvement
Programme
=
Budgeted
Benefits
Card
+
+
Financial
InternalCustomer
Growth & Innovation
Objective
Objective
Objective
ObjectiveMetric
Metric
Metric
Metric
1. Budget Control
2. Project ROI
3. Project payback
4. Cash neutrality
Actual / plan
Benefit / cost
Time / month
Net £ position
1. Benefit achievement
2. User Mobilisation
3. Quality Solution
1. On time delivery
2. Project Efficiency
3. Risk Mgmt
1. Team Member
Capability
2. Team Morale
£ benefit
% score
% score
Index
Survey
Attrition
% sick days
% milestone
achievement
Project Mgmt days /
delivery days
Risk Index Cost
TfL
Vision
TfL
Vision
BlueprintBlueprint Benefits RealisationRealisationProject PreparationProject Preparation
SAP Best
Practice IBP
Review
Business
Process
Workshops
Public Sector
Best Practice
= =
As-Is Review
Benefits
Measurement
Process Redesign
Organisational
Change
Continuous
Improvement
Programme
=
+
+
Financial
InternalCustomer
Growth & Innovation
Objective
Objective
Objective
ObjectiveMetric
Metric
Metric
Metric
1. Budget Control
2. Project ROI
3. Project payback
4. Cash neutrality
Actual / plan
Benefit / cost
Time / month
Net £ position
1. Benefit achievement
2. User Mobilisation
3. Quality Solution
1. On time delivery
2. Project Efficiency
3. Risk Mgmt
1. Team Member
Capability
2. Team Morale
£ benefit
% score
% score
Index
Survey
Attrition
% sick days
% milestone
achievement
Project Mgmt days /
delivery days
Risk Index Cost
TfL
Vision
TfL
Vision
Financial
InternalCustomer
Growth & Innovation
Objective
Objective
Objective
ObjectiveMetric
Metric
Metric
Metric
1. Budget Control
2. Project ROI
3. Project payback
4. Cash neutrality
Actual / plan
Benefit / cost
Time / month
Net £ position
1. Benefit achievement
2. User Mobilisation
3. Quality Solution
1. On time delivery
2. Project Efficiency
3. Risk Mgmt
1. Team Member
Capability
2. Team Morale
£ benefit
% score
% score
Index
Survey
Attrition
% sick days
% milestone
achievement
Project Mgmt days /
delivery days
Risk Index Cost
TfL
Vision
TfL
Vision
Confirm The Vision,
Methodology & Scope
Confirm The Design Build & Test the
Solution
Confirm The DesignConfirm The Vision,
Methodology & Scope

28. Sharif University of Technology ,1387.02.23 , Riasatian
ASAP Methodology
Realisation Final Preparation Post Go-live Support
SAP SUPPORT
COMMAND CENTRE • SAP Support Team
• Rapid issue Resolution
• Support Management
• Reporting
• Escalation
• Master class assessment
• Issue Resolution
• Coaching
• Ad-hoc training
• Monitoring
• Key User Support
• Key Users
• Support Consultants
Daily ‘Prayer Meetings’
• Status
• Key Issues
• Key Messages
• Training Updates
System Test
UAT
Support Risk
Assessment
Go-Live Decision
Meetings
Middle Manager Role & Process
Education
Cascade Role Education to
Functional Teams / 1:1’s
End User Training
Deliver Critical
Behaviour Education
Count
Down
Roadmap
& Plan
• Management Letter
• Role Materials
• SAP Training Materials
• Support Processes
• Go-Live Visualisation Aids
Count-Down Communications
Feedback / Status
Communications
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Post Go-Live
Review
SAP Cafe
Planning & Set-up: SAP Café & SAP Support
Command Centre
FLOORWALKERS
Master Classes
Realisation Final Preparation Post Go-live Support
SAP SUPPORT
COMMAND CENTRE
SAP SUPPORT
COMMAND CENTRE • SAP Support Team
• Rapid issue Resolution
• Support Management
• Reporting
• Escalation
• Master class assessment
• Issue Resolution
• Coaching
• Ad-hoc training
• Monitoring
• Key User Support
• Key Users
• Support Consultants
Daily ‘Prayer Meetings’
• Status
• Key Issues
• Key Messages
• Training Updates
• Key Users
• Support Consultants
Daily ‘Prayer Meetings’
• Status
• Key Issues
• Key Messages
• Training Updates
System Test
UAT
Support Risk
Assessment
Go-Live Decision
Meetings
Middle Manager Role & Process
Education
Cascade Role Education to
Functional Teams / 1:1’s
End User Training
Deliver Critical
Behaviour Education
Count
Down
Roadmap
& Plan
• Management Letter
• Role Materials
• SAP Training Materials
• Support Processes
• Go-Live Visualisation Aids
Count-Down Communications
System Test
UAT
Support Risk
Assessment
Go-Live Decision
Meetings
Middle Manager Role & Process
Education
Cascade Role Education to
Functional Teams / 1:1’s
End User Training
Deliver Critical
Behaviour Education
Count
Down
Roadmap
& Plan
• Management Letter
• Role Materials
• SAP Training Materials
• Support Processes
• Go-Live Visualisation Aids
Count-Down Communications
Feedback / Status
Communications
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Feedback / Status
Communications
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Mgmt
Status
Post Go-Live
Review
SAP Cafe
Planning & Set-up: SAP Café & SAP Support
Command Centre
SAP CafeSAP Cafe
Planning & Set-up: SAP Café & SAP Support
Command Centre
FLOORWALKERSFLOORWALKERS
Master ClassesMaster Classes

29. Sharif University of Technology ,1387.02.23 , Riasatian
Project Management expertise
Management of the implementation project
Aligned with industry standards and procedures (PMI PMBOK®)
Specific to implementation of SAP solutions
Methodology Tools
Aligns customer’s business
requirements to SAP
solutions
SAP Solution Composer
Offers AcceleratedSAP
roadmap composed to fit
specific project needs
SAP Roadmaps
Facilitates efficient solution
design, documentation,
configuration, testing and
operations
SAP Solution Manager
AcceleratedSAP toolset

30. Sharif University of Technology ,1387.02.23 , Riasatian
How it all breaks down
In my experience in a typical SAP R/3 implementation, if you look at
the traditional ASAP methodology, the time spent in each phase
looks something like this:
 Project Preparation – 11%
 Business Blueprint – 14%
 Realization – 50%
 Final Preparation – 19%
 Go Live and Support – 6%

31. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

32. Sharif University of Technology ,1387.02.23 , Riasatian
Enforcing Standards
Methodology alone will not make your project successful. You need to
enforce it – appoint methodology champion for the project.

33. Sharif University of Technology ,1387.02.23 , Riasatian
Change Management
Change TasksChange Tasks
Change RolesChange Roles
Change
Structure
Change
Structure
Change
Behaviour
Change
Behaviour
Change
Culture
Change
Culture
Easy to Do
(visible)
Hard to Do
(invisible)
Increasing
Benefit
Organisation Design
Job Design
Process Design

34. Sharif University of Technology ,1387.02.23 , Riasatian
Emotional reactions of employees to changes
Preparation Realization
Decision
100%
Time
Profits in project productivity Losses in project productivity
2. Shock,
fear
1. Apprehension,
concerns
4. Defense,
annoyance
5. Emotional
acceptance
6. Opening
curiosity,
enthusiasm
7. Integration
self-confidence
3. Rational
acceptance
Business
Blueprint
Final
preparation
Going
Live

35. Sharif University of Technology ,1387.02.23 , Riasatian
Value Proposition/ Benefits
With change management
Without change management
D
Benefits:
1. Lower resistance of the employees
against the necessary changes
2. Higher acceptance of the new
software solution
3. Fewer workarounds and adoption
of standard processes
4. Harmonized implementation from
project into line organization
5. Accelerated realization of revenue
potential by an earlier involvement
6. Reduction of TCO by lower start up
costs and costs of proceeding
ProjectPerformanceProjectPerformancec
Time
Time
And, what benefits can the customer expect?
GoLive
„Valley of
tears“
KickOff

36. Sharif University of Technology ,1387.02.23 , Riasatian
Change Management

37. Sharif University of Technology ,1387.02.23 , Riasatian
Change Management Approach – Holistic View

38. Sharif University of Technology ,1387.02.23 , Riasatian
Three Phases to Delivering Change Management
Preparing for Change: Understanding the Mission, Vision, and Objectives of
Tuga and the SAP implementation project. Analyse the gap between the
current situation and the future goals and set realistic expectations. Allows a
customised approach to implementing change for Tuga.
Implementing Change: Doing what we say we are going to do during the
preparing for change stage.
Reinforcing Change: Checking that our initial expectations have been
met.

39. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction of Mapna
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

40. Sharif University of Technology ,1387.02.23 , Riasatian
We can
 Do BPR without buying an ERP solution,
– unusual
 Implemented ERP solution without doing any BPR(Implementation
normally involves BPR but depends on…
The question is not whether ERP functions or not without BPR
Key question: whether every company that implements ERP has to
reengineer its processes
 At first BPR implemented then ERP
 At first ERP implemented then BPR
 ERP & BPR implemented simultaneous
ERP & BPR

41. Sharif University of Technology ,1387.02.23 , Riasatian
BPR Steps
Understanding
Preparation:Understa
nd the existing
systems associated
with all the
functionalities by
chose the Best Key
User
Simplifying &
Improvement
Automation
Blue Print: Draft &
frame the
possibilities & ways
to simplify or
Improve or eliminate
the processes by
chose of Best
Practice
Realization: Implement
with the help of Best
ERP
1
3
2
Improvement
Enhancement:Certain
ly after a while we
can improve the
process again
Upgrade
4
5
Support: install new
Patch or new
version
BPR & ERP

42. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

43. Sharif University of Technology ,1387.02.23 , Riasatian
Prerequisite For ERP
 Vision
 Mission
 Maturity of the Management
 Organizational Acceptence
 Infrustructure
 Suitable Team
 Policy
 Business Process
 Management Commitment

44. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

45. Sharif University of Technology ,1387.02.23 , Riasatian

46. Sharif University of Technology ,1387.02.23 , Riasatian
Sample of Status Report CW 18/2007
Milestones
Riasatian,Axt
Topic: Date, Reporter:
Project Status
Project Phases:
Integration Test
Decisions
Chart covers only the 1st stage of the project
Overall Project Status
Progress: 100% To Be: 100 %
Out of control
Risks ahead
In control
Solution Timeline
Project Start 2006/07/17
A.1 Preparation 2006/08/24
A.2 Business Blueprint 2006/09/30
A.3 Realization Baseline 2006/11/30
A.4 Int.Test Stream 1 2007/02/15
A.5 Final Prep.Stream 1 2007/03/10
A.6 Go-Live Sup.Stream 1 2007/03/30







TUGA RUNS SAP
FI,CO,SD,MRP,PU,LE,
IM,PP(SF),PS
Have been gone Live

47. Sharif University of Technology ,1387.02.23 , Riasatian
Sample Of Status Report
 Integration Tests stream 2 SAP/TUGA
 Migration Preparation SAP/TUGA
 Master Data corrections TUGA
 After Go-Live support st.1 SAP/TUGA
 Setup tasks for stream 2 SAP
 FI FARSI development TUGA
 FI farsi development support SAP
Task, worked on
Actual Critical Points / Risks*:
Next steps
Overall Risk Monitoring
Deliverables Integration Test
 Final preparation stream 2 SAP/TUGA
 Data migration SAP/TUGA
 Go / no go decision Go-Live 2 TUGA
 Cut-over activities SAP/TUGA
Risk Impact Prob.of Occurence
Masterdata delivery 5 90%
Riasatian
Topic: Date, Reporter:
Project Status
Project Phases:
Integration Test
Open Items
 Job role TUGA
 Asset Master data TUGA
 TDM Development TUGA
 Barcode Printing and
Processing
TUGA/SAP
SI(SF,IM)
 New material status needs
to be clarified
TUGA (PLM)
 print out for Reservation
and Purchase requisition
needs to be defined
TUGA
 Clarification for Spare part
process
SAP SI
 Invoice verification only
based on unrestricted
stock type
SAP SI
(PU,IM,QM)
Stage 2
 Report for quantity goods
on the way
SAP SI (PU)
* For further information see the TUGA risk register.

48. Sharif University of Technology ,1387.02.23 , Riasatian
Sample of Status Report CW 43/2007
Riasatian,Piotrowski
Topic: Date, Reporter:
Project Status
Project Phases:
Go-Live Support
Chart covers only the 2nd stage of the project
Overall Project Status
Progress: 100 % To Be: 100 %
-
Milestones
Out of control
Risks ahead
In control
Solution Timeline
 Kick Off 2007/04/04
 A.1 Preparation 2007/05/01
 A.2 Business Blueprint 2007/05/31
 A.3 Realization Baseline 2007/06/30
 A.4 Integration Test 2007/08/31
 A.5 Final Preparation 2007/09/30
 A.6 Go-Live Support 2007/10/31


Decisions
PM, CS, QM, DMS,
WM,PP(CL)
Have been gone live






49. Sharif University of Technology ,1387.02.23 , Riasatian
Agenda
Introduction
ERP
 SAP
ASAP Methodology
Change Management
ERP & BPR
Prerequisite for ERP
TUGA SAP Project
Q&A

50. Sharif University of Technology ,1387.02.23 , Riasatian
Question?
Tel : 0261 6630010
Mobile : 0912 1791087
Email : Riasatian@Mapnaturbine.com
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