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Speakers Name, SAP
Month Year
SAP Cloud for Utilities
Helping Create the Energy of Tomorrow – L1
NOTE: Delete the yellow stickers when finished.
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Go Green @
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP.
Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other service
or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any related
document, or to develop or release any functionality mentioned therein.
This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions and
functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this
presentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is provided
without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a
particular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAP
assumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intentional or gross
negligence.
All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from
expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates,
and they should not be relied upon in making purchasing decisions.
Disclaimer
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Global market trends are changing the business environment in the energy
sector substantially
Consumer
becomes Prosumer
Renewable
Energies
New Competitors
enter the Market
E-Mobility
Legal
Requirements
New Product
Ideas
Environmental
Awareness
Smart Homes
Energy Management
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The Energy Revolution is a
large transformation program …
… from centralized … … to decentralized
Customer investment areas:
Power generation
@home
Connectivity security
Charging Energy Management
Smart Appliances Comfort & Lightning
Heating & Cooling Energy Storage
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Non-commodity growth rates offer huge opportunities for Utilities
The global Smart Home market is worth US$ 56 billion
in 2018 and is expected to grow even bigger¹.
¹CAGR: Compound Annual Growth Rate / average growth rate per year Source: Statista Digital Market Outlook 2019
Control and Connectivity Energy Management Smart Home Appliances Comfort and Lighting
Forecasted growth from 2018 to 2023:
22%
AVERAGE
22,3%
AVERAGE1
25,4%
AVERAGE1
28,9%
AVERAGE1
2018
11,9
2020
20
2023
32,1
2018
4,1
2020
6,8
2023
11,2
2018
15,7
2020
26,8
2023
48,6
2018
4,3
2020
7,9
2023
15,2
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Customer Experience
SAP Cloud for Utilities focuses on four KPI’s to enable the efficient Full Service Provider
Design business from
Consumer’s perspective
Introduction of
New Offerings
Time-to-Market
Revenue of
Products and Services
Revenue Growth
Simplified Processes
and Digital Channels
Cost-to-Serve
Engaging
Customers
Customer
Satisfaction
SAP Cloud for Utilities drives commodity and non-commodity growth simultaneously
Must have practices for
efficient Utilities
Creating Market Relevance & Customer Stickiness
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Utilities need a market differentiating strategy to win customers in a
competitive environment
Agile Product Innovations
Process Quality & Speed
Best in Class Customer Experience
Business Networking
Cost Efficiency
Regulatory Compliance
Real-time Business Insights Performance & Finance Management
Security of Supply
Personalized Customer Journeys
Accuracy in Billing
Individual Product Offerings
24/7 Service Availability
Energy
Prosumer
Re-Imagined
Utilities Business
Identity Management & GDPR
Creating Market Relevance &
Customer Stickiness
Must have practices for
efficient Utilities
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Winning Utilities require a set of business capabilities to establish
cost leadership and stay relevant in the market
Market Winning
Themes
Cost Leadership
Themes
Required Business Capabilities
Topics
Best in Class Customer
Experience
Single View of Customer
Holistic Customer
Experience
Customers for Life
Agile Product Innovations
Personalized and
proactive Offers
Product Development &
Catalog
Flexible Product Bundles
Business Networking
Transparency in Order
Fulfillment
Utilities Marketplace Crowd Sourcing
Real-time Business Insights Utilities Market insights Margin Assurance
Business Planning &
Simulation
Utilities Best Practices Process Integration Master Data Quality
Process Quality & Speed
Process Automation Process Intelligence Exception Management
Cost Efficiency
Market Process
Management
Market Communication Regulatory Reporting
Regulatory Compliance
Performance & Finance
Management
Revenue Management Margin Assurance Financial Management
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SAP Cloud for Utilities – a strategic Investment into the Utilities
Industry by SAP
Energy
Prosumer
SAP Cloud for Utilities helps you unlock the
business potential of the future:
§ Full focus is on the end consumer
§ Differentiate through additional products and services
§ "Time to Market" is the decisive factor
§ Processing costs must be minimized.
§ Efficiency in sales, distribution network and metering
operation
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The SAP Cloud for Utilities Program
Initial
Focus
SAP
C4U
Core ERP Processes
Process Orchestration
Finance
Analytic Services
Procurement
HR & Partner
Order Execution
Customer Service
Service Fulfillment
Market Communication Billing & Revenue
Management
Energy Data Management
Customer Journey Experience
Customer Acquisition
Multi Channel Selling
Product Modelling
Customer Analysis
Multi Channel Marketing
Energy Logistics
Energy Data Management
for DSO/MOP
Energy Settlement Metered Data Management
Market Communication DSO
Enterprise Asset
Management
PdMS Utilities
Device Management
Asset Lifecycle
New Connections WFM
E2E Integration
Master Data Management
E2E Business Process Monitoring
E2E Business Process Automation
Customer Data Trust
Security and Audits
SAP Program to accelerate the delivery of the new SAP Utilities Suite in the Cloud to address the E2E Utilities processes for Retail,
Distribution and Integrated Utilities; and for Energy, Water and Services.
The first release of the SAP Cloud for Utilities Suite will cover the Lead to Cash Utilities Retail-specific E2E Scenario.
SAP Cloud for Utilities Program key focus is to grow the Utilities Industry Features in the Individual Cloud Components that conform the Suite,
and secure the seamless integration among them.
SAP Cloud for Utilities can be consumed as a whole Suite or in a modular way.
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With SAP’s next Generation Cloud Suite Utilities can achieve both,
Cost Reduction and Market Leadership
" With SAP Cloud for Utilities we aim to establish the next generation global
Market standard for Utilities in commodity and non-commodity services."
FROM LEAD… …TO CASH
Market Communication – Intercompany Data Exchange
Customer Experience
Analytics & Process Monitoring & Integration
Customer
Request
Search
Products
Sign
Order
Market
Analysis
Product
Definition
Launch &
Marketing
Orchestrate
Order
Order
Execution
Fulfillment
Conclusion
Consumption
& EDM
Billing
& Invoicing
Payment
Handling
Order Fulfillment Billing & Revenue
Management
Selling
Product Definition
& Marketing
Retail
SAP Cloud for Utilities
Cloud4Utilities is
the integrated yet
modular service
platform to transform
the energy retail
business.
Best
practices
inside
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New and changing business models are demanded by the market
• Direct to consumer
• Multi-channels
• New market segments
• Expanding business
and diversify
• Digital Products
• Installation Services
• Maintenance services
• Loyalty points / rewards
programs
• IoT services
• Sell through
• Sell with
• Resell
• Bill on behalf of
• White label Services
• Fixed price
• Installation fees
• Recurring fees
• Usage-based
• Outcome-based
• Prepaid models
• Digital payment
• Pay per use
• Flexible payment
models
Monetize multi-sided
business networks
Deliver new
integrated value
proposition
Build new customer
relationships
Sell mix of
outcomes, usage
and subscriptions
Flexible payments
and automate
financial process
Serve more
sustainable & eco-
friendly products
• Green energy
products
• Prosumer
technology
• Efficiency services
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Lack of transparency
in customer
satisfaction
Missed opportunity
to serve customer
demand
Inflexible and high
maintenance tariff
model
Significant resources
bound to non-value
generating tasks
Increased agent
effort operational
cost
Commodity
Customer
Win
Lack of
comprehensive digital
services and proactive
customer notifications.
Utility bills the
customer
Complex and historically
grown billing and tariff models
require high maintenance
and avoid flexibility.
Utility measures
consumption
Manual meter reading and
plausibility handling lead to
high manual efforts.
Utility delivers
commodity service
Lack of transparency
about reliability and quality
of service delivery
Communication with
market participants
Keeping business processes
and market messaging up to
date without compromising
process and service quality.
ŸCustomer closes contract
for Point of Delivery
Lack of ability to offer
meaningful and
relevant additional
products to customers.
Challenges
Utility responds to
customer request
Increased cost-to-
serve due to high
volume
Traditional processes are not good enough any longer
Example: Traditional Lead-to-Cash for commodity services
Outcomes
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VALUE
POTENTIAL
10% - 15% reduced
time to market for
new products*
10% - 15%
Increased revenue
from cross/upsell*
Up to 10% reduced
customer service
and support costs*
25%-30% reduction
in inventory levels*
40% - 50% reduced
accounts
receivables
management cost*
30%-40% decrease
in cost to meet
regulatory
compliance
Intelligent
technology
outcomes
Improved product
portfolio through
real-time market
insights
Individualized,
context-driven
customer offerings.
24/7 availability of
comprehensive
self-service portfolio.
Efficient request & ticket
processing with ML.
Identify the best
supplier & minimize
safe stock with
just-in-time material
availability
Identify the best skilled
service provider and
increase order
fulfillment quality
Accelerated bill-to-
cash for all types
products and services.
Reduced effort for
adoption to regularly
changing market
requirements
Market Analysis
and Product Design
Key
capabilities
delivered
Targeting relevant
Customer Group
Omnichannel
Customer Journeys
Order Delivery
and Fulfillment
Management of
Service Provider
Billing & Revenue
Management
Regulatory
Efficiency
• Customer Demand
Analysis
• Simplified &
accelerated Product
Design
• Central Product
Catalog
• Free Product
Bundles
• Utilities Marketplace
• Segmentation of
customer groups
• Launching
marketing
campaigns
• Enabling individual
customer journeys
• Monitoring
campaign success
in real-time
• Omnichannel
customer
experience
• Individual customer
offerings & services
• Customer service
automation
• ML-supported
resource planning
• Crowd sourcing
• E2E Integration of 3rd
Party Service Provider
• Order Status
Management
• Fulfillment
Performance
Monitoring
• Flexible Billing
Engine – Pay-per-
Use, Subscriptions,
etc.
• Consolidated
customer invoicing
• Backoffice
Automation for Bill-
to-Cash
• Regulatory
Compliance
Adoption
• Market
Communication as
a service
• Process Content
Delivery
• Commerce & Order
Management
• Service & Sales Order
Management
• Sales Contract
Management
• Orchestrate fulfillment
of product bundles
Intelligent Processes generate better Customer Experiences and improve Efficiency
Example: The Intelligent Lead-to-Cash for Energy Service Provider
* Note: These benefits have been estimated based on SAP benchmarks and customer proof points.
5%-10% reduction
in service and
support cost*
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SAP Cloud for Utilities for Commodity AND Non-Commodity
Investment Priorities for the Cloud for Utilities Program
Investment Priorities
1 Co-Innovation - FOR and WITH our customers
2 Extension of the Utilities functionality in the blocks
3 End2End Process integration
4 Master data management in hybrid landscapes
5 End2End Business Process Monitoring
6 End2End Cloud Operation of SaaS Components
7 Development of transformation services
8 Simplification of the pricing model
9 KPI control to increase efficiency
10 Simplifying the transformation from today to tomorrow
SAP Cloud for Utilities
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SAP Cloud for Utilities – empowering Utilities with essential Capabilities
to deliver exceptional Customer Experience
Customer Experience
Service Fulfillment & Business Networking
Products & Services
Performance Management
Service Partner
Integration
Ecosystem
Management
Contract
Management
Omnichannel
Customer Exp.
360° Customer
View
Preferences &
Consent Mgmt.
Segmentation &
Targeting
Central Product
Catalog
Simplified Product
Design
Product Bundles
Marketing &
Campaigns
Individualized
Customer Journey
Utilities Market
Insights
Margin
Assurance
Forecasting &
Simulation
Process
Performance Mgmt.
Real-time Business
Analytics
Utilities Digital Core
Product
Billing
Revenue
Management
Invoicing
Energy Data
Mgmt.
Best
Practices
Process
Intelligence
Process
Automation
Management of
Assets & Devices
Regulatory
Management
Model
Company
Process
Monitoring
Order
Management
Service Provider
Management
Service
Fulfillment
Product Lifecycle
Management
Customer Self-
Services
Sales Performance
Management
Energy Analysis
Home Energy
Management
Geo Enablement
Order & Delivery
Orchestration
Mobile Workforce
Management
Predictive Asset
Analytics
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Building Blocks for the SAP Cloud for Utilities Suite
End-to-end available: February 2021
Marketing Sales
Commerce Customer Service
Customer Engagement -
Intelligent Front-Office
Customer Data
Management
E2E Process Monitoring Master Data Management Real-Time Analytics
Customer Delivery -
Service Delivery Platform
Integration
Energy Data
Billing Revenue
Management
Market
Communication
Innovative Technology
Order
Fulfillment
2021
Available in
Q1
CONSOLIDATE & GROW THE CUSTOMER EXPERIENCE
NEW BACKOFFICE
ONE C4U SUITE TO ORCHESTRATE, INTEGRATE, DATA MANAGEMENT AND OPERATIONS
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SAP Cloud for Utilities - Key Features per Building Block
Commerce
• Simple Product Offerings
• Bundled Product Offerings
• Product Content Mgmt.
• B2C Commerce
• B2B Commerce
Marketing
• Dynamic Customer Profiling
• Segments, Campaigns and
Journeys
• Impactful Marketing Analysis
• Commerce Marketing
• Lead Management
• Build Loyalty and Advocacy
Sales
• Intelligent Sales with
Machine Learning
• Config, Price Quote
• Sales Performance
Management
• Sales Forecasting
Billing
• Subscription Billing
• Pay-per-Use Billing
• Service Billing
• Rate Plans
• AI supported exception
handling
Revenue Management
• Convergent Invoicing
• Contract Accounting
• Invoicing
Customer Data
• Single, unified profile
• Enterprise preference &
consent management
• Customer profile and
preference mgmt.
• GDPR readiness
Market Communication
• Regulatory Processes
• Market Communication
• Market Formats
• Process Management &
Monitoring
Customer Service
• Utilities self services
• AI chatbot
• Intelligent recommendations
• Order Distribution
• Crowd & Field Service
Management
Intelligent Front-Office
Energy Data
• Meter Data Management
• Validation Estimation & Editing
• AI supported Meter Data Validation
• Billing Determinants Calculation
• Meter Data Analytics
• Master Data Synchronization
Service Delivery Platform
Order Fulfill
• Sales Order Fulfillment
• Service Order Fulfillment
• Business Networking
• Sales Contract Mgmt.
• Sales Billing
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SAP Cloud for Utilities provides a number of Key Differentiators
7. Open Platform and Community
§ Flexible extension concept enabling partner apps and customer extensions
§ Flexibility to extend, build and adapt
§ Strong ecosystem of applications to complement and extend SAP’s industry
solutions
6. Continuous Innovation
§ Supporting major industry trends with continuous innovation roadmap
§ Machine learning and AI built into business processes
§ Regulatory changes delivering compliance needs
§ Architecture & deployment options supporting individual customer
transformation
1. Customer Experience-first Approach
§ Supporting the complete customer journey from lead to cash
§ Meaningful, individualized end-to-end experiences on all channels
§ Continuous feedback loops to optimize experience
§ Listen, Understand, and Act using Operational and eXperiential data
4. Build your own Business Network
§ Build your own commerce market place for Utilities offering own and
partner products
§ Orchestration of fulfillment of service and product order
§ ML-supported resource planning of own and partner resources
§ E2E integration of 3rd party service provider
4. End-to-End Business Processes
§ Seamless Integration between Front- and Backoffice
§ Industry best Practices (Model Company)
§ Reduce complexity in lead-to-cash through modularization, simplify
and drive adoption
§ Fully embedded regulatory framework and integrated market
communication as a service
5. Adoption Support and Accelerators
§ Model company to provide business content out-of-the-box
§ SAP eco-system to deliver and extend the solution
§ Value Assurance Services from SAP to provide advisory and delivery
support
2. Full Industry Capability Coverage
§ Providing an E2E solution portfolio for Retail Utilities
§ Enabling cost leadership through process standardization, automation
& intelligence in meter-to-cash
§ Extensive industry roadmap including all market roles and market
segments
3. Matching the Need for Business Innovation
§ One solution suite enabling business model innovation for commodity
& non-commodity business
§ High flexibility in product design and product lifecycle management
§ Increased flexibility through modularized, service based architecture
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SAP Cloud for Utilities Options
SAP Cloud for Utilities with SAP S/4HANA for Utilities Cloud 1
SAP S/4HANA for Utilities Cloud addresses the Meter-to-Cash process, with process
and data orchestration performed by BPM and EDOM.
SAP Cloud for Utilities1
SAP Cloud for Utilities Suite orchestrated by BPM and EDOM as backbones of the
end-to-end scenario.
SAP Cloud Platform
Integration & BPM &
EDOM2
Market
Communication
Contract
Accounting
Metering
Convergent
Invoicing
Energy
Billing
Subscription
Billing
Cloud
for Energy
Sales
Commerce
Marketing Services
S/4HANA for Utilities Cloud
SAP Cloud Platform
Integration & BPM &
EDOM2
Market
Communication
Subscription
Billing
Cloud
for Energy
Sales
Commerce
Marketing Services
Revenue
Management
Field Service
Management
1 Labs Preview. This is current state of planning and may be changed by SAP at any time without notice.
² EDOM = Energy Domain Model, SAP models utilities business objects within EDOM for the usage in decentralized hybrid and cloud-only architectures for SAP Cloud for Utilities
2021
Available in
Q1
2021
Available in
Q3
21
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SAP Cloud for Utilities Options
SAP Cloud for Utilities with SAP S/4HANA for Utilities Cloud 1
SAP S/4HANA for Utilities Cloud addresses the Meter-to-Cash process, with process
and data orchestration performed by BPM and EDOM.
SAP Cloud for Utilities1
SAP Cloud for Utilities Suite orchestrated by BPM and EDOM as backbones of the
end-to-end scenario.
SAP Cloud Platform
Integration & BPM &
EDOM2
Market
Communication
Contract
Accounting
Metering
Convergent
Invoicing
Energy
Billing
Subscription
Billing
Cloud
for Energy
Sales
Commerce
Marketing Services
S/4HANA for Utilities Cloud
SAP Cloud Platform
Integration & BPM &
EDOM2
Market
Communication
Subscription
Billing
Cloud
for Energy
Sales
Commerce
Marketing Services
Revenue
Management
Field Service
Management
1 Labs Preview. This is current state of planning and may be changed by SAP at any time without notice.
² EDOM = Energy Domain Model, SAP models utilities business objects within EDOM for the usage in decentralized hybrid and cloud-only architectures for SAP Cloud for Utilities
2021
Available in
Q1
SAP Cloud for Utilities is available. Start your Journey now!
Solution available and in productive use at Utilities customers
2021
Available in
Q3
22
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SAP leverages a unique offering for the Utilities Market – Cloud for Utilities is
offering all Capabilities for the Utility-of-Tomorrow Transformation
Intelligent Asset
Management
SAP Cloud for Utilities
Lead-to-Cash for
engaged Prosumer
Full-service
Execution Suite
Market Collaboration
and Energy Insights
Built-in
Machine Learning
Responsive UX
Performance &
Analytics
Guided
Transformation
Agile Business
Development
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SAP offers a complete suite for lead-to-cash enabling
Utilities to transform customers into prosumers
Single view of customer
Customers at the center of the
business based on trusted
customer data
Holistic Customer Experience
Seamless integration of first-class
customer experience and efficient back-
office across all business units
Cloud4Utilities
Complete and modular
solution suite to manage
utilities business processes
end-to-end.
Full Service Provider
Fully integrated order fulfillment to ensure
a seamless procurement, delivery, service
and payment experience
Business Innovation
Agile implementation of new business
models with short time-to-market
enabled by a modular cloud portfolio
• Accelerated launch of new products and services through an agile platform approach
• Creating customer stickiness through personalized customer experiences across channels
• Gaining a holistic view on customers, products and orders
• Improved time to market through a flexible, extensible and modular business platform
• Accelerated transformation of your customers to become prosumer
Benefits for your business
Lead-to-Cash for
engaged Prosumer
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Use Case: Lead-to-cash for engaged prosumer transition
Marketing creates campaign
and proposes the new offering
Marketing analyses customer data
suitable for a new e-mobility product
bundle
Customer requests further
information about the offer
Customer closes contract for
new e-mobility product bundle
SAP Commerce
Cloud
SAP Customer Data
Cloud
SAP Marketing
Cloud
SAP Service
Cloud
Utility asks customer to choose
delivery and installation dates
SAP Service
Cloud
Utility coordinates service provider for
asset installation and informs customer
SAP Service
Cloud
SAP S/4HANA
Cloud
Newly installed services gets
activated and prosumer can use,
control and monitor them
Prosumer gets combined invoice for
asset usage, electricity consumption and
solar compensation
Customer is being asked to
rate his experience
SAP Service
Cloud
SAP S/4HANA
Cloud
SAP Service
Cloud
Transforming consumers… … to digital prosumers
Lead-to-Cash for
engaged Prosumer
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Cloud for Utilities is supporting our customers to establish
new revenue streams fast and efficient
Electricity Gas & Heat Water
+
Commodity Services Non-commodity Services
Solar & Storage Charging Stations
& Roaming
Efficiency
Services
Insurances
Smart Home
Agile Business
Development
Maintenance &
Installation
E-Mobility
& Sharing
IoT Service
& Big Data
Analytics
Crowd
Sourcing
Workforce
Management
Marketplace Rental Services ….
Infrastructure
Services
White-Label
Electricity/Gas
ü Providing all required
functional modules to
explore, design and
deliver products to end
customers
ü Proven solutions, also
established in other
industries, are used and
adopted to address the
specific needs of the
Utilities industry
ü E2E value chain allowing
new non-commodity
business models in an agile
and efficient way
ü Capabilities to establish
Platform Business
Models and Business
Networks are part of the
solution suite
FROM LEAD… …TO CASH
Market Communication – Intercompany Data Exchange
Customer Experience
Analytics & Process Monitoring & Integration
Order Fulfillment
Billing & Revenue
Management
Selling
Product Definition
& Marketing
Best
practices
inside
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SAP offers an efficient multiservice platform for a timely
delivery and installation of services and equipment
Service Excellence Platform
• Utilities Best Practices and Model Company are driving process
standardization, scalability and stability
• High efficiency in meter-to-cash through process automation and
built-in process intelligence reduce exceptions and manual activities
• Utilities service bots and omnichannel self-services decrease
manual agent interaction significantly
• Utilities Master Data Management to ensure harmonized and
correct process data
Self-Running Utility
• Accelerate order delivery and issue resolution by harmonizing
customer engagement and operational processes
• Provide more accurate answers quickly & automatically, using
24/7 customer service platform with a top rated AI Chatbot
• Automated, AI-based scheduling & dispatching for optimized
service delivery & resource utilization
• Orchestrate and accelerate service execution with integration
of partners, service providers, or freelancers through crowd
sourcing
• Increased loyalty and low churn rates due to a best in class service delivery
• Reduced cost-to-serve through high process automation
• Utilities Best Practice, standardization and automation result in stable business processes and high process quality
• Higher automation frees up capacity for value-generating tasks
• Real-time steering leads to improved business results
Benefits for your Business
Full-Service
Execution Suite
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How leading Utilities redefine the Customer
Experience to serve the Digital Prosumer
Winning the Digital Prosumer
Activation of Services
and Equipment Operations and Service
RESEARCH & PURCHASE INSTALL & ENERGIZE USE & GENERATE
GET PERSONALIZED
SUPPORT
• Manage customer preferences
and consent
• Deliver personalized offers,
pricing and education based
on customers individual
situation
• Attract and retain loyal
customers by way of bonuses,
promotions, attractive
packaging
• Let customers purchase a
wide variety of products and
service
• Transparent order fulfilment
and installation for the entire
order
• Timely delivery and installation
of equipment and services
• On-time energizing of
equipment & meters
• Activation of contracts and
devices according to terms
and conditions
• Capture feedback from
customers on the installation
• Transparency and
accuracy in billing of all
services
• One utility invoice as a way
to pay for everything
• Support flexible payment
terms and methods
• Continuous feedback
collection during usage to
adjust customer
interactions
• Send proactive personalized
notifications reg. bills, usage,
generation, storage, etc.
• Send communications in
accordance with
customers’ preferences
• Self Service and intelligent
bots as a way to act and
react conveniently anytime
• Contact Center as a way to
resolve complex or high
value service request
Full-service
Execution Suite
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Use Case: Orchestrated Service Delivery through Crowd
Sourcing
Customer has ordered e-mobility
product bundle with equipment and
services
Solution Order incl. products, services
& subscriptions is dispatched to
provisioning and fulfillment systems
AI- based crowd dispatching is executed,
service provider is selected and receives
the order, Customer sees real-time status
SAP Service
Cloud
SAP Commerce
Cloud
SAP Customer Experience
Foundation
Customer has chosen preferred
installation date and requested
further information
SAP Service
Cloud
Purchase order has been executed and
equipment ordered for service provider
delivery
SAP S/4HANA
Cloud
Service provider installs the equipment.
He receives and captures all relevant
information in his mobile app
Newly installed services gets activated
and prosumer can use, control and
monitor them
SAP Service
Cloud
Utility monitors prosumer and
activates predictive asset analytics
Prosumer gets combined invoice for
asset usage, electricity consumption and
solar compensation
SAP Service
Cloud
SAP S/4HANA
Cloud
SAP Service
Cloud
SAP Predictive
Analytics
Order Orchestration with Cloud4Utilities
Physical
Products
Commodity
Services
Subscription-based
Services
Digital
Products
Pay-per-Use
Services
Full-service
Execution Suite
SAP Field Service
Management
SAP Field Service
Management
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP’s offering for market collaboration allows Utilities to
focus on their business priorities
SAP Market Communication Cloud
Cloud On-premise
Benefits for your business
• Significant reduction of in-house development and maintenance of regulatory process releases capacity in business and IT
• Fast adoption of latest regulatory changes
• Transfer of operational tasks for monitoring and exception management of market communication to SAP
Market Process
Management
Market
Communication
Utilities
Business
Process
Market
Process
Master Data
Cloud Integration
Fulfillment of regulatory requirements and market communication in liberalized markets through a
standardized public cloud service
Market Participants
Provisioning and operation of market process and related market communication in the cloud, including
business operations outsourced to SAP
Generic process framework, containing market process templates delivered by SAP, ensuring seamless integration into
backend business processes
Complete operation of the communications through SAP, including updates of the regulatory format
Market Collaboration
and Energy Insights
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SAP offers an energy data platform providing information to
business user, customer and the market
Users of
Data
Build
Apps, Data
& Processes
Extend
Cloud &
On-Prem Apps
Integrate
Differentiating
Digital Apps
Business Agility
SAP Cloud Platform
Azure
Data Integration
Business Process
Integration
Sources of
Data
SAP Cloud for Energy
Master Data
Synchronization
SAP for Utilities
Import of time series data
(CIM-interface; market
communication)
Billing Determinant
Calculation and Integration
Validation, Estimation, Editing
(VEE) time series data
Energy
Analytics
SAP Market Communication Cloud
Market Process
Management
Market
Communication
Market Participants
Market Collaboration
and Energy Insights
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SAP Cloud4Utilities powered by SAP Analytics Cloud delivering
intelligent insights across the suite
SAP Marketing Cloud
Market with Intelligence
in the Moment
SAP Customer Data Cloud
Build Customer Trust and Loyalty
SAP Commerce Cloud
Personalized Shopping
Experience across Touchpoints
SAP Service Cloud
Effortless service
experiences with end-to-end
Interaction-to-Resolution
SAP Sales Cloud
Build Relationships and
guide Customers throughout
their journey
SAP S/4HANA for Utilities
Efficient Utilities Back-Office
with built-in Intelligence.
Powered by
SAP Analytics Cloud
SAP Cloud4Energy
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SAP offers a complete suite for finance & performance management
Machine Learning intelligence to boost process automation in Revenue Management and redirect forces on
strategic development
One single source of truth for revenue & finance management supporting business innovations from business
model design to digital payment and financial performance analysis in real-time
Supporting business growth through integrated business planning, forecasting and budgeting
• Reduction of losses through extensive financial insights in real-time
• Minimized effort and time for financial consolidation and closing
• Sustainably planning and budgeting new products and services
Benefits for your business
Gain real-time visibility into profitability of customers, assets and products and focus on business areas
where most value is generated
SAP CX Customer Experience SAP S4/HANA Cloud
Business
Model Design
Subscription
Order Capture
Subscription
Order Mgmt.
Subscription
Monetization
Consumption
Billing & Invoicing
Contract
Accounting
Finance
Digital Payments
Add-On
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Value Proposition for Utilities Experience Management
Customer & Product Experience
Marketing Commerce Agent Service Self-Services
Employee Experience
Unified User Experience
Brand Experience
Strengthen Utility Branding White-label Services for Partner
Increase revenue by identifying
untapped revenue opportunities through
context driven customer analysis & targeting
Reduced time-to-market
for new products through simplified
product definition + free commodity
& non-commodity bundles
Reduce service cost by
leveraging comprehensive
omnichannel self-service portfolio
Reduce service and support cost
through process automation with 24/7
service bots
Increased revenue from new
products/services by facilitating
business model innovation with a
strong ecosystem established on your
own Utilities marketplace
Reduce customer churn of
offering a consistent and personalized
buying experience
Reduced customer churn by
providing omnichannel services and
lowering issue resolution time
Increase cross-sell/up-sell by
leveraging automated service desk
processes enabled with 360° customer
view
Improve service agent
productivity by giving agents access
to all relevant customer processes and
data
Increased customer satisfaction
with proactive service notifications and
24/7 service availability
Faster service delivery
through seamless front- & back-office
integration incl. feedback loop
Increase effectiveness of marketing
promotions by leveraging Machine
Learning capabilities. Maximize the opening
rate of emails by using ‘Best Sending Time’
ML capability
Improved employee productivity with easy access to
business KPIs that cover holistic view of business processes
execution
Reduced manual effort with role-specific,
personalized and unified user experience
Reduce customer churn by enabling strong
customer relationship
Increase market share with highly efficient
and scalable E2E retail services offered to
incumbent utilities and new market entrants
Strengthen brand experience by offering
market leading products and services
Reduce marketing cost by
streamlining processes for designing and
executing digital marketing programs across
digital channels
Cost2Serve Revenue
Time2Market Cust. Satisfaction
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Value Proposition for Utilities Backoffice Operations
Efficient Utilities Backoffice
Metering Billing Revenue Management Order Fulfillment
Reduced manual clarification
and correction effort for bulk meter
reading plausibility through process
embedded machine learning.
Enabling business model
innovation through a flexible billing
model that supports energy rates of all
types as well as non-energy products
and services
Accelerated bill-to-cash
due to process embedded machine
learning in invoice validation and
payment allocation
Accelerated time-to-market due
to fast creation of new products and
related billing models
Reduced bills outstanding
through real-time analytics based on
operational billing data without latency
time
Increased customer satisfaction
due to rightly skilled workforce
staffed from 3rd party service
provider / crowd sourcing
Maximized revenue and profits
through a holistic management of
partner and supplier
Achieving business growth and
diversification through business
networking and outsourcing.
Accelerated bill-to-cash due to
process embedded machine
learning for invoice validation and
payment allocation
Improved process efficiency
through real-time monitoring and
optimizing Order-to-Cash process
performance and sales analysis
Improved customer satisfaction
through fewer customer complaints
due to consolidated invoicing for all
consumed services
Increased customer satisfaction
due to more efficient role-based
process management and
exception management for metering
specialist
Enabling business model
innovation due to more flexibility
in capturing of metered data and
calculation of billing determinants
Contributing to faster time-to-
market for new services and
products due to big data analytics of
customer consumption behavior
Improved cashflow by increasing
speed in resolving exceptions and
hence bill creation by leveraging
machine learning
Cost2Serve Revenue
Time2Market Cust. Satisfaction
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Value Proposition for the Business Technology Platform
Intelligent Process Automation Master Data Management
End-to-End Integration
End-to-End Process
Orchestration
Embedded Analytics
Improved decision making
through cross-application
business insights.
Reduced TCO due to
seamless application integration
via aligned APIs and domain
models.
Higher flexibility
and agility
through openness & extensibility
to integrate with 3rd party
application
Reduced effort to manage
master data via centralized
master data services
Higher customer
satisfaction
through accelerated resolution of
exceptions and customer
requests
Improved decision making
through true real-time business
insights and insights to actions
without latency
Reducing manual
clarification and correction
processes due to process
embedded machine learning,
e.g. in metering, billing,
invoicing, agent service
Lower TCO due to higher
efficiency and reduced
process execution effort in
front- and back-office
Reduced cost-to-serve
due to reduced human
interaction and data
reconciliation in operational
processes
Higher customer satisfaction
due to E2E process performance
management and fast resolution
of process exceptions
Driving process quality
through real-time data
reconciliation between SAP and
Non-SAP systems
Improved decision making
based on consolidated business
data from various sources
Reduced TCO due to a high
number of pre-configured ready-
to-use Utilities analytics reports
and KPI’s
Increased agent productivity
with process embedded KPI-
framework helping to prioritize
back-office tasks
Reduced cost-to-serve
based on digitized workflows and
automated business processes
across SAP and Non-SAP
applications
Cost2Serve Revenue
Time2Market Cust. Satisfaction
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Cloud for Utilities - High Level Target Architecture for Hybrid
SAP Cloud Platform – Integration and Extension Framework
Business
Process Management
Cloud Integration Energy Domain Model
SAP
MaCo Cloud
Regulatory Processes Management
Market Communication
SAP
Cloud for
Energy
Energy Analysis
SAP
Subscription
Billing
Non-commodity Billing
SAP
S/4HANA
any premise /
private cloud
Convergent Invoicing Revenue Management
Meter & Energy Data
Management
Commodity Billing Order Fulfillment
Sales
SAP
Customer
Experience
Marketing
Commerce
Service
Self-Services
2021
Available in
Q1
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SAP Cloud for Utilities – Hybrid
Product Road Map Overview – Key Innovations
Q4 2020 1
Recent Innovations 1 Q3 2020 1 Q1 2021 MVP Release*
Manage Existing Customers’
Subscriptions: Start & End of Supply,
Readings, Master Data Changes in MaCo
E2E billing incl statistical an partial bill
BB Plans through Convergent Invoicing
Financials Overview and Details,
Premise Overview in Customer Service
Financial Scoring, IS-U Objects
(Premise, Installation) in Marketing
Web sales and fulfillment of bundles
Product Change and Termination of
subscriptions, full contract life cycle
Status Management and fulfillment
process visibility
Commodity pricing in shopping cart
EU Tax compliance for customer credit
balance
Contract Details in Customer Service
Bundle product definition in
Commerce/TUA
Web sales and fulfillment of commodity
subscriptions – New Customers
Premise lookup in sales process
BP and Contract Account Replication in
Customer Service
Segmentation using Contract Account and
Utility Contract data, in Marketing
Mass process monitoring in Market
Communication (MaCo)
Integration with Subscription Billing:
Periodic Billing based on consumption
from Smart Meters or conventional meters
Integration to SEW: Integration of
customer notification preferences (beta),
Integration of consumption graph (beta)
BP Replication (new) MDM Service Cloud
Creation of non-commodity subscription
with Pay-per-Use
E2E Offer to Cash process for simple
measurements
Campaign automation for supply switch
and price change
E2E billing for B2C incl. out sorting and DE
and US budget billing through Convergent
Invoicing
Essential customer agent- and self- service
processes: master data changes, bill history
& correction, budget bill mgmt., meter reading,
payment hub
Innovative self services, e.g. smart home
integration, energy profiler, payment hub
E2E DPP and GDPR compliance
Advanced Bundle pricing and discounts
Simple services definition, sales and
fulfillment
Flexible fulfillment and orchestration rules
1 This is current state of planning and may be changed by SAP at any time without notice.
Product modeling for commodity
products with S/4Utilities
Commodity product integration between
Commerce/TUA and S/4HANA incl. price
changes
Customer service basic processes
searches and overviews by contract
account & POD
Commodity product definition in
Commerce/TUA
Web sales of (non-)commodity
subscriptions and physical products for
new customers
Fulfillment of physical products
Segmentation using Contract Account and
Utility Contract data in Marketing
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SAP Cloud for Utilities - Hybrid
Product Road Map Overview – Key Innovations
Inbound Grid Usage Bill and Energy Balancing in
MaCo
US Budget Billing Plans via CI
Service management incl. quotation, order, FSM
Creditworthiness by 3rd parties
Non-customer centric market processes:
scheduling, grid usage and meter operation bills
Unbilled Revenue
Contract cancellation, renewal and transfer, contract
and bundle comparison in commerce/TUA
Contract lifecycle management in customer self and
agent service
Creditworthiness by 3rd parties
Enhanced Metering Scenarios
Chatbots, landlord persona, mobile-only scenarios
in Customer Self Service
More Campaign automation: retention, renewal,
cross- and upsell, customer value scoring, financial
hardship in Marketing
Product recommendation
Competitive pricing
Integration with 3rd party market place
Customer surveys
Intelligent security deposit calculator
Revenue Recognition
Repair Order, FSM in service mgmt
Work Management and Integrated Maintenance and
Service Management, FSM
Central Product Catalog
3rd party sales and channel mgmt
Offer to Cash for SME and B2B
Increase Process Automation
1 This is current state of planning and may be changed by SAP at any time without notice.
H1 2021 H2 2021 > 2021
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Cloud for Utilities - High Level Target Architecture for Cloud Only
SAP
Customer
Experience
Marketing
Commerce
Service
Self-Services
SAP Cloud Platform – Integration and Extension Framework
Business
Process Management
Cloud Integration Energy Domain Model
SAP
S/4HANA
Cloud
Order Fulfillment
Convergent Invoicing
Revenue Management
Sales
SAP
MaCo Cloud
Regulatory Processes Management
Market Communication
SAP
Cloud for
Energy
Energy Analysis
Meter & Energy Data
Management
SAP
Subscription
Billing
Non-commodity Billing
Commodity Billing
2021
E2E AVAILABLE
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SAP Cloud for Utilities – Cloud
Product Road Map Overview – Key Innovations
Q4 2020 1
Recent Innovations 1 Q3 2020 1 Q1 2021 MVP Release*
Web sales of (non-)commodity
subscriptions and physical products for
new customers
Fulfillment of non-commodity
subscriptions and physical products
Commodity subscriptions: elec & water
with month-end billing
Allowances and advance billing in SB
Month-end billing of elec & water in C4E
and SB
Disconnection/reconnection process
incl. Monitoring and Cash Security
Deposits in FI-CAC
Commodity product definition in
Commerce/TUA
Segmentation using Contract Account and
Utility Contract data in Marketing
Validations and issue solving in C4E
Subscription details from SB in customer
service
Localizations: Austria & Australia in FI-CAC
Advanced Bundle pricing and discounts
Simple services definition, sales and
fulfillment
Flexible fulfillment and orchestration rules
Periodic billing of elec & water based on
usage record requests in C4E and SB
Bundle product definition in
Commerce/TUA
Web sales and fulfillment of commodity
subscriptions – New Customers
Premise lookup in sales process
BP and Contract Account Replication in
Customer Service
Mass process monitoring in Market
Communication (MaCo)
Enhanced APIs for Product Definition
and Bill Simulation (UPIL) - support for
time-slices and reuse of rate and register
fact groups
Sales Order creation for physical products
using 3rd party
Creation of non-commodity subscription
with recurring charges
Manage planned reading dates for non-
equidistant meter readings
Self readings, SLP management,
reading details display, versioning in
C4E
Loose coupling between C4E and SB for
simple scenarios (separate consumption
determination from billing)
Regional pricing for concession fees and
grid usage
Localizations: NorAm and DE in FI-CAC
Web sales and fulfillment of bundles
Product Change and Termination of
subscriptions, full contract life cycle
Status Management and fulfillment
process visibility
Commodity pricing in shopping cart
EU Tax compliance for customer credit
balance
1 This is current state of planning and may be changed by SAP at any time without notice.
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SAP Cloud for Utilities – Cloud
Product Road Map Overview – Key Innovations
Unbilled revenue and Complex Revenue Recognition
Gas procedures
Localizations: Brazil, NL, Belgium, Sweden, S’pore in FI-
CAC
TOU, Bill Correction across C4E, SB and CI
Non-customer centric market processes
Product recommendation
Competitive pricing
Integration with 3rd party market place
Customer surveys
Intelligent security deposit calculator
Repair Order, FSM in service mgmt
Gas meter readings in C4E
Self Readings in C4E
Loose coupling between C4E and SB for simple
scenarios (separate consumption determination from
billing)
Periodic billing of elec & water based on usage record
requests in C4E and SB
Proration, estimation, forecast, simulation, TOU and
limits, budget billing, outsorting in C4E and SB
Unbilled revenue reporting with SB
Essential customer agent- and self- service processes
& financials overview and processes based on FI-CAC
in Customer Service
Localizations: UK in FI-CAC
Contract cancellation, renewal and transfer, contract
and bundle comparison in commerce/TUA
Contract lifecycle management in customer self and
agent service
Creditworthiness by 3rd parties
Enhanced Metering Scenarios
Localizations: Italy, Denmark, France, Spain,
Argentina in FI-CAC
Central Product Catalog
3rd party sales and channel mgmt
Work Management and Integrated Maintenance and
Service Management, FSM
Offer to Cash for SME and B2B
Increase Process Automation
1 This is current state of planning and may be changed by SAP at any time without notice.
H1 2021 H2 2021 > 2021
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SAP Cloud for Utilities – with SAP S/4HANA Utilities Cloud
Solution Components
SAP Cloud for Market Communication
Intelligence & Analytics
SAP COMMERCE CLOUD
SAP MARKETING CLOUD SAP SELF-SERVICE
ACCELERATOR by SEW
SAP Subscription
Billing
SAP SERVICE CLOUD
SAP S/4HANA
Cloud Extended Edition
CONTEXTUAL INTELLIGENCE SELF-SERVICE MANAGEMENT
OMNICHANNEL COMMERCE HIGH TOUCH EXPERIENCE
CUSTOMER FOR LIFE
Dynamic Customer Profiling
Segmentation, Campaigns & Journeys
Commerce Marketing
Lead Management & Nurturing
Marketing Planning & Performance
Self Service
Product Content Management
Omnichannel commerce and Order
Management
Non-Energy Billing
Contract Management
Customer Service & Support
Payment and Bill Presentment
Experience + Operational Data Suite Intelligence & Analytics
Convergent Invoicing
Marketing Analytics
Payment and Bill Presentment
Customer Service & Support
SAP Cloud Platform / EDOM / BPM
Contract Accounting
Revenue Management
Business & Master Data Services Order Management
Meter Reading Management
Contract Management
Energy Billing
Business Process Management for Deregulated Markets
Telco and Utilities Accelerator
Utilities Storefront
Meter Reading Management
Bill Correction and Reversal
Sales Billing
SAP Cloud for Energy
Process Integration Process Monitoring Extension Framework Data Management
Subscription Billing
Energy Analysis
Market Messaging
2021
Available in
Q1
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Cloud for Utilities
Solution Components
S/4HANA
Cloud Essential Edition
Intelligence & Analytics
SAP COMMERCE CLOUD
SAP MARKETING CLOUD SAP SELF-SERVICE
ACCELERATOR by SEW
SAP Subscription
Billing
SAP SERVICE CLOUD
SAP Cloud Platform
CONTEXTUAL INTELLIGENCE SELF-SERVICE MANAGEMENT
OMNICHANNEL COMMERCE HIGH TOUCH EXPERIENCE
CUSTOMER FOR LIFE
Dynamic Customer Profiling
Segmentation, Campaigns & Journeys
Commerce Marketing
Lead Management & Nurturing
Marketing Planning & Performance
Self Service
Product Content Management
Omnichannel commerce and Order
Management
Experience + Operational Data Suite Intelligence & Analytics
Marketing Analytics
Payment and Bill Presentment
Customer Service & Support
Cloud for Energy
Meter Data Management Billing Determinants
Telco and Utilities Accelerator
Utilities Storefront
Meter Reading Management
Bill Correction and Reversal
Contract Management
Customer Service & Support
Field Service Management
Payment and Bill Presentment
Process Integration Process Monitoring Extension Framework
Energy Data Management
Convergent Invoicing Contract Accounting
Revenue Management
Business & Master Data Services Order Management Contract Management
Validation, Estimation, Editing
Data Management
Energy Billing
Non-commodity Billing
2021
E2E AVAILABLE
SAP Cloud for Market Communication
Business Process Management for Deregulated Markets Market Messaging
Sales Billing
Subscription Billing
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Designed with our Customers for our Customers – You can join the Co-
Innovation Initiative today!
SAP Cloud for Utilities
Co-Innovation Work Streams our Customers are welcome to participate in:
Product Definition &
Marketing
Product Definition &
Marketing
Selling
Selling Order Fulfillment
Order Fulfillment
Billing & Revenue
Management
Billing & Revenue
Management
Customer Service
Customer Service
Market
Communication
Market
Communication
Product Definition &
Marketing
Selling Order Fulfillment
Billing & Revenue
Management
Customer Service
Market
Communication
1 2 3 4 5 6
Architecture & Integration
7
Some of our Co-Innovation Group Members:
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
US
UK
PT
HK
BE
One
Major
UK
Utility DE
/
+ 4 major US Utilities
The
major
HK
Utility
Our global Cloud for Utilities Co-Innovation customers1 as of January 2020
1. Some companies are by policies not allowed to be published here – more information can be received in direct communications
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Together with our Co-Innovation customers, we work on
common goals to drive the next generation market standard
Business Goals of the SAP Cloud for Utilities Program
§ Simplify Pricing for Subscription
§ Simplify Offering for Transition Services
§ Minimize Business Disruption to Ease Stepwise Transitions
§ Cloud Operation Services (SLA on end2end)
§ Reduce Cost to Serve
§ Reduce Cost of Change
§ Reduce Change Management Effort
What How
Enabler Tools to be discussed with Co-Innovation Group
§ Define seamless pricing model
§ Define seamless transition model
§ Build modular business transformation services
§ Define operations SLA-packages tailored to customer need
§ Define and automate best practice processes
§ Define customer extension methods
§ Provide Learning Platform
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
What’s the value of co-innovation for you as a customer?
Ÿ Active participation in scope definition
Ÿ Influence the new market standard for utilities
Ÿ Speed-up time to market through early adoption
Ÿ Share experience with industry peers and potential collaboration
partners
Ÿ Direct access to development resources and development support
during go-live
Ÿ Leverage hybrid landscape models to catalyze transformation
Ÿ Capitalize of new technologies and the relevance to the industry (i.e.
ML, AI, Blockchain, ...)
Ÿ Prepare your transformation and build internal multipliers for the
change management process and being able to scale fast
SAP Cloud4Utilities
Solution Details
SAP Cloud4Utilities
Product Definition & Marketing
FROM LEAD… …TO CASH
Market Communication – Intercompany Data Exchange
Customer Experience
Analytics & Process Monitoring & Integration
Customer
Request
Search
Products
Sign
Order
Market
Analysis
Product
Definition
Launch &
Marketing
Orchestrate
Order
Order
Execution
Fulfillment
Conclusion
Consumption &
EDM
Billing
& Invoicing
Payment
Handling
Order Fulfillment Billing & Revenue
Management
Selling
Product Definition
& Marketing
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Disruption is fundamentally changing the Customer Relationship.
The Prosumer journey focuses on consuming, generating, storing, and
trading energy and services.
Single faceted
Relationships:
Traditional
Multi-faceted
Relationships:
Prosumer Centric
Utility delivers commodity Utility measures
consumption
Utility bills the customer Utility responds to
customer requests
Customer closes contract
for Point of Delivery
Consumes, generates
and stores energy
Desires a smart home to
increase comfort and
reduce risks
Trades energy via distributed
ledger (Blockchain)
Relies on e-Mobility for
sustainable transportation needs
Requires automation
to aid decision-making
and optimize behavior
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“Today customers
buy experiences
from energy
suppliers”.
Source: IDC Energy Insights White Paper, 2017
Disruption is changing Customer Expectations
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Customer Experience Mandate
New Products and
Services
Blockchain Digital
transformation
Fast time to market
for Electric Vehicles
Promote Energy
Independence
Disruption is changing the Business Model
to serve the Digital Prosumer
Rethink entire business from
Prosumer’s perspective
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The Age of Utilities as Intelligent Solution Providers
Move to “as a service”
and Subscription Model
Acting as a Trusted
Advisor and Partner
Upselling
Cross Selling
Prosumer self service
covering all
subscribed products
Customer Experience
as a differentiator
Intelligent recommender
Manage broad set of
offerings using marketplaces
Offer turn-key solutions
rather than complex options
Utility Company
as a Consumer Brand
Packages of commodity-
and non-commodity services,
equipment and
connected devices
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The New Energy Consumer Handbook,
page 9
Business challenges
§Evolving utility service model
§Bundling of commodity and non-
commodity products
§Growing competition from other players
§Regulatory pressure
§Dynamic customer preferences
Increasing competition
for energy-related products and services
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Product
Manager
creates Product(s)
in an excel spread
sheet or some
document
Product
Manager/
IT Expert
Sets up Product(s)
in sales system
(CRM, online portal
etc.)
Billing
Expert
Sets up the Billing
and Invoicing to
make the products
billable
Integration
Expert
Sets up integration
between sales
systems and the
billing system
Product becomes
available for sale
No Central Product
Management
Dependency on IT
Cumbersome
Integration
Idea to Market Time – 2 weeks to 3 Months
Several Challenges
slow down the time-to-market
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Faster
time-to-market
is key to staying
competitive
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Faster time-to-market
for new products and
services
Equip Product Managers with an
intuitive, business-user-friendly tool to
quickly define new products, service and
bundles without dependency on IT
Faster time-to-market
for new products and
bundles
Seamless integration
with billing & sales
systems
Central Product
Management – No
Dependency on IT
Integration with
Marketplaces
Product Definition
Vision
Competitive Market
and Product
Performance Analysis
58
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Product Definition
Defining & Bundling of Commodity & and Non-Commodity Products
COMMODITY PHYSICAL
SUBSCRIPTION
SERVICE
59
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5 years in a row, Gartner Magic
Quadrant Market Leader
Take care of your customers’ orders
across all channels with one system.
SAP Commerce Cloud
Built-in agility layer
Feature-rich
commerce platform
Industry-flavor
Commerce
B2C, B2B, or B2B2C
Pre-built integrations
60
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Minimize risk with a proven commerce
platform specifically designed to offer
ways for a quick Go-to Market with new
products and services (commodity and
non-commodity) and deliver an omni-
channel customer experience that
streamlines the purchasing process.
Start to offer, or come up with, new and
innovative ways for your customers to
shop and purchase bundled product and
service offerings they want - driving
higher customer lifetime value and
customer advocacy.
Simplify and streamline operations with
a modern and proven data model with
full backoffice administration and
support. Lower customer service costs
with unified customer view, strong
personalization and predictive
capabilities.
Empowering Utilities with
essential tools and processes to
deliver an exceptional and
simplified omnichannel
customer experience for their
customers
SAP COMMERCE CLOUD FOR UTILITIES
Business View and Benefits
61
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SAP COMMERCE CLOUD TELCO AND UTILITIES ACCELERATOR
Product Content Management
62
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Commodity Billing and Order Fulfillment
SAP S/4HANA Utilities IS-U (C4U Hybrid)
SAP Subscription Billing (C4U Cloud-Only)
SAP S/4HANA Cloud
Non-Commodity Billing and Order Fulfillment
SAP S/4HANA Cloud
SAP Subscription Billing
Commodity and non-
commodity Product
Integration APIs
SAP Cloud Platform
Commodity and non-
commodity Order
Integration APIs
Product Definition
High-Level Architecture
SAP Commerce Cloud (Telco and Utilities Accelerator)
Product Content Management Utilities Storefront
63
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Commodity Product Definition and Fulfillment (C4U Hybrid)
SAP S/4HANA Utilities
Utilities Product Integration Layer (UPIL)
Billing
Configuration
IS-U Contracts
Technical
Master Data
Bill Simulation
Product Integration
Utilities Product
S/4 Product
SAP Cloud Platform Integration
SAP Commerce Cloud (Telco and Utilities Accelerator)
Product Content Management Utilities Storefront
SAP Multichannel Foundation for Utilities (MCF)
Utilities Sales Contract
Customer Management
OR
64
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
More Information
SAP API Business Hub
SAP Innovation Discovery
SAP S/4HANA Utilities 1909
Product Assistance
65
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Product Definition roadmap is part of overall SAP and industry roadmaps
Current roadmaps are available at sap.com
https://www.sap.com/products/roadmaps/finder-all.html
https://www.sap.com/products/roadmaps/finder-industries.html
Roadmap
66
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Product
Marketing
67
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Consumers are extremely critical of a key
aspect of the customer experience –
Personalization
IDC Study:
CUSTOMER EXPERIENCE
68
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
2.8 billion personalized
interactions
Trusted source of business
SAP Customer Experience
Deep Marketing
Insights
Optimized Marketing
Orchestration
Best-Run Customer
Experience
Perfect Customer
Profile
69
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Deliver personalized offers, pricing, education
based on individual consumption and generation
patterns, installed equipment and devices with
SAP MARKETING CLOUD
THE TOOL FOR
LISTENING AND AUTOMATED
ENGAGEMENT WITH THE
CUSTOMER
CONTINOUSLY BUILDS
CUSTOMER PROFILES FOR
MARKETING
70
CONFIDENTIAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Marketing
Vision
Deliver personalized
offers, pricing,
education based on
individual
consumption and
generation patterns,
installed equipment
and devices with
SAP MARKETING
CLOUD
71
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Integrated Platform supporting the end-to-end Marketing process…
Merge, match &
enrich
Events &
interactions
Campaign execution
in all channels
Plan, measure & optimize
Contexts, interests &
predictions, powered
by machine learning
Personalized
targeting &
orchestration
Capturing responses
Loyalty data
Market data & events
Sales & service data
Financial data
Premise, Contract,
Usage/Generation(*)
Social media,
mobile, IoT
Mobile &
social channel
Digital channel
Personalized
commerce
Interaction center
Lead, opportunity
E-mail, sms
(*) planned enhancements for Utilities
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…through preconfigured Marketing scenarios
*These scenarios requires an additional license
Consumer and Customer
Profiling
Segments, Campaigns,
and Journeys
Commerce Marketing
Marketing Analytics Marketing Planning
and Performance
Lead Management
and Nurturing
Loyalty Marketing* Customer Attribution*
SAP and other
1st Party Applications 3rd Party Applications
(for data & execution)
Commerce
ERP – S/4HANA
Sales
Service
Social providers
Mobile providers
Ad Providers
Data going
in & out
Data going
in & out
73
CONFIDENTIAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA
Utilities
SAP Cloud Platform
SAP Marketing for Utilities Integration Package
SAP Marketing Cloud
SAP
Commerce
Cloud
SAP
Service
Cloud
SAP
Sales
Cloud
§ Utilities-industry-specific segmentation
§ Customer 360° Profile with utilities-specific
attributes
§ Predictive analytics and scores (e.g. churn
propensity)
§ Trigger-based communication
Utilities-Specific Integrations with
SAP Marketing Cloud
SAP
Subscript
ion Billing
SAP
S/HANA
Cloud
SAP
Cloud for
Energy
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Utilities Specific Segmentation
SAP Marketing Cloud
75
CONFIDENTIAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Utilities Specific Segmentation
SAP Marketing Cloud
76
CONFIDENTIAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Not in current C4U
focus
Inherited from cross-
industry
Commerce
Management
B2B
Commerce
Bundling,
Configuration
& Subscription
Mgmt.
Commerce
Integration &
Extensibility
Commerce
Platform
Operations
Headless
Commerce
APIs
Omnichannel
Content
Management
Pricing &
Promotions
Search &
Navigation
Contextual
Personaliz
ation
Context-Driven
Customer
Recovery
Context-Driven
Foundation
Context-Driven
Merchandizing
Context-Driven
Segmentation
Product
Content &
Data
Management
Data
Aggregation
and Validation
Localization
and
Internationaliz
ation
Media
Management
Product
Content and
Catalog
Management
Product Data
Transformation
and
Syndication
Product
Reporting and
Analytics
Workflow and
Collaboration
Commerce
Marketing
Marketing
Recommendati
ons
Remarketing
Lead and
Account-
Based
Marketing
Account-
Based
Marketing
Marketing
Lead
Management
Marketing
Planning &
Performance
Digital Asset
Management
Marketing
Collaboration
Marketing
Planning and
Budgeting
Segments,
Campaigns
& Journeys
Audience
Targeting and
Segmentation
Campaign
Management
and
Optimization
Cross-Channel
Engagement
Social
Campaigns
and
Engagement
Real-time
Audience
Profiling
Marketing
Profile
Real-Time
Predictions
and Scoring
Marketing
Analytics
Insights and
Performance
Management
Sentiment and
Interest
Analysis
Customer
Data
Management
Customer
Identity
Management
for B2B
Customer
Identity
Management
for B2C
Customer
Profile
Management
Enterprise
Preference
and Consent
Management
Product Definition and Marketing for Utilities
Cross-industry +
Industry specific
enhancements
Business Capability View
77
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Cloud for Utilities – Product Definition
Product Road Map – Key Innovations
Q4 / 2020 1
Recent Innovations 1 Q3 / 2020 1 Q1 / 2021 1
1 This is current state of planning and may be changed by SAP at any time without notice.
SAP S/4HANA 1909 FPS2
Utilities Product Integration Layer (UPIL)
Commodity Product Definition
• Utilities Product Device Measurement
Capability
• Configurable Product Attributes
• Capture Product Configuration as part of
commodity order capture
• Product Transport
Commodity Product Definition in SAP
Commerce Cloud TUA
Commodity Product Integration of SAP
Commerce TUA & SAP S/4HANA Utilities
• Integration Content on SAP API Business
Hub
Enhanced APIs for Product Definition
and Bill Simulation (UPIL) Commodity
Product Definition
• Support for Time Slices
• Reuse existing rate category (new Rate
Fact Group)
• Reuse existing rate category (new
Register Fact Group)
OData APIs
• Change Product Process (in Customer
Management)
Product Import Interfaces for Non-
Commodity Products
• Inbound replication of Physical Products
and Service Products from SAP
S/4HANA Cloud
• Inbound Replication of Subscription
products with SAP Subscription Billing
Simple Bundling of Commodity & Non-
Commodity
• Bundling of Imported Physical, Service
and Subscription products with
commodity (Simple bundling without
complex logic)
Integration with Marketing
• Utilities sales contract
• ISU Objects - Installation, Premise,
Contract, Contract Account, Other
Enhanced Bundling with simple rules
and discounts
Composite Pricing
Definition of Subscription Terms &
conditions for commodity products
Ÿ contract term, extension, cool-off,
notice, price guarantee
Enhanced MCF Sales Contract API
Ÿ capture additional commodity order
attributes (as key-value pairs)
BP MDM integration of Marketing
Definition of Commodity Contract Terms
Advanced Bundling with Complex Rules
and Discounts
UPIL support for FI-CA postings (e.g. for
Joining Bonus).
UPIL API for IS-U Price
Replication/Upload into TUA
Enhanced MCF Sales Contract API to
capture additional commodity order
attributes (as key-value pairs) – S/4
Ÿ S/4 - Definition of Subscription Terms &
conditions for commodity products
(contract term, extension, cool-off, notice,
price guarantee).
Commodity Contract Period Regime
Ÿ Definition of Subscription Terms &
conditions for commodity products
(contract term, notice, price guarantee
period).
Multi-division product classification
concept (model company)
Sales of bundle product
Ÿ Multi-division bundling
78
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SAP Cloud for Utilities – Product Definition
Product Road Map Overview – Key Innovations
1 This is current state of planning and may be changed by SAP at any time without notice.
H1 2021 H2 2021 > 2021
Sales of bundle product
• Advanced Bundling of Commodity & Non-Commodity
Products (with discounts/price alterations & complex
compatibility rules).
• Distribution of Products and Bundles to Sales
Channels beyond Online, i.e. Call Center (C4C) and
Self-Service (SEW).
Definition of Subscription Products, Physical
Products and Service Products in TUA PCM and
export to respective fulfillment/billing systems i.e. SB
and S/4HANA
Import of Simple Service Products from S/4HANA into
TUA
Enhanced Bundling of Commodity & Non-Commodity
Products (with compatibility rules and policies)
Definition of discounts on commodity products (e.g.
discount on usage/kWh charges or recurring
charges).
Definition of Product-Meter Compatibility for
Commodity Products
Integration with Market Places, e,g. Verivox, uSwitch.
Commodity Contract Period Regime part II
• Definition of Subscription Terms & conditions for
commodity products (extension, cool-off, notice, price
guarantee by end date).
79
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SAP Cloud for Utilities – Marketing
Product Road Map – Key Innovations
Q4 / 2020 1
Recent Innovations1 Q3 / 2020 1 Q1 / 2020 1
1 This is current state of planning and may be changed by SAP at any time without notice.
Integration with
SAP S/4HANA Utilities
§ Commodity Product
§ Sales Contract (CM)
§ Installation Facts
§ Etc.
Customer Profiling and Segmentation
– Capture device and appliance data
§ Deliver new “Appliance/Device”
Business Object in Marketing to cater
to service industry needs
§ BO to model devices such as a
electric meter, EV charging station,
Solar/Batter (Utilities) or
modem/smartphone (Telco)
KPI’s & Scores
§ Supplier Switch Propensity
§ Consumption Classification
§ Peer Group consumption
classification
Customer Profiling and Segmentation
using Contract Account and Utility
Contract data
§ Deliver new segmentation content for
service industry (utilities, telco,
insurance)
Campaign Automation
§ Change of Supplier Scenario
§ Commodity Product Price Change
Scenario
KPI’s & Scores
§ Financial hardship
(bill payment) identification
§ Customer Value/Profitability Score
Integration with C4U Cloud Components
e.g. Subscription Billing
§ Integration with Business Partner from S4
HANA Cloud
§ Integration with Contract Account from S4
HANA FICA Cloud
§ Integration of Contract with Subscription
Billing
§ Integration of Technical Objects like
Premise, Connection Object etc. with
Cloud For Energy
Commerce Cloud for Utilities Integration
§ Integration into S/4 HANA Utilities via
UPIL for ISU Contract Integration
Cloud only Scenario for integration with
Billing/Contract Management
Callidus Support
Campaign and journey orchestration:
Personalize e-mails with utilities-
specific data
§ Enablement of the Content Studio 1:N
framework for Marketing Agreements
Integration with
SAP S/4HANA Utilities
S/4HANA 2009 SP0
§ More attributes from Utilities data
model
Financial Health Score
80
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SAP Cloud for Utilities – Marketing
Product Road Map Overview – Key Innovations
1 This is current state of planning and may be changed by SAP at any time without notice.
H1 2021 H2 2021 > 2021
Campaign Automation
• Utilities Contract term expiry approaching scenario
• Bill shock scenario
Intelligent product creation:
• Recommendations for new product creation based on
existing product performance compared to
competitor products
• Outcome based product creation
Realtime monitoring and analysis of product/bundle
market performance
Integration with C4U Cloud Components e.g. Subscription Billing
• Integration with Business Partner from S4 HANA Cloud
• Integration with Contract Account from S4 HANA FICA Cloud
• Integration of Contract with Subscription Billing
• Integration of Technical Objects like Premise, Connection Object etc. with Cloud For Energy
Integration with Other Systems:
• Marketplaces, e.g. Verivox (price comparison with competitors)
• Qualtrix (customer surveys)
Customer Data Cloud Integration
• Customer Communication Preference Management
Predictive/Next Best Action
• Intelligent Product recommendations for scenarios:
win-back, cross/up sell, price change
81
CONFIDENTIAL
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Product Integrations
Inbound and Outbound Replication into and from TUA PCM
SAP Commerce Cloud
Telco & Utilities
Accelerator
SAP Subscription
Billing
Commodity Products
Subscription Products
SAP S/4HANA Cloud
Physical Products
Service Products
SAP S/4HANA Utilities
82
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© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ
• Commerce Mktg: Product Recommendation – Demo Store – April 1st 2020
• Commerce Mktg - Product Offers – Demo Store
• Commerce Mktg: Retargeting – Demo Store
• Utilities E2E - Save in the Sun - Utilities Sunroof Program – Demo Store
• Marketing Campaign – Sharepoint
• Product Definition UPIL - Sharepoint
Available Demos
Product Definition and Marketing
83
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© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
• Marketing
• FirstEnergy Services Company
• Mercury NZ Limited
• Electricity Supply Board
• MVV enamic GmbH
• Product Definition
• MVV enamic GmbH
Customer References
Product Definition and Marketing
SAP Cloud4Utilities
Selling
FROM LEAD… …TO CASH
Market Communication – Intercompany Data Exchange
Customer Experience
Analytics & Process Monitoring & Integration
Customer
Request
Search
Products
Sign
Order
Market
Analysis
Product
Definition
Launch &
Marketing
Orchestrate
Order
Order
Execution
Fulfillment
Conclusion
Consumption &
EDM
Billing
& Invoicing
Payment
Handling
Order Fulfillment Billing & Revenue
Management
Selling
Product Definition
& Marketing
85
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Take care of your customers’ orders
across all channels with one system.
SAP Commerce Cloud
5 years in a row, Gartner Magic Quadrant Market
Leader
Built-in agility layer
Feature-rich
commerce platform
Industry-flavor
Commerce
B2C, B2B, or B2B2C
Pre-built integrations
86
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Attract and retain loyal customers by way of bonuses, promotions,
attractive packaging with
SAP COMMERCE CLOUD FOR UTILITIES
87
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Minimize risk with a proven commerce
platform specifically designed to offer
ways for a quick Go-to Market with new
products and services (commodity and
non-commodity) and deliver an omni-
channel customer experience that
streamlines the purchasing process.
Start to offer, or come up with, new and
innovative ways for your customers to
shop and purchase bundled product and
service offerings they want - driving
higher customer lifetime value and
customer advocacy.
Simplify and streamline operations with
a modern and proven data model with
full backoffice administration and
support. Lower customer service costs
with unified customer view, strong
personalization and predictive
capabilities.
Empowering Utilities with
essential tools and processes to
deliver an exceptional and
simplified omnichannel
customer experience for their
customers
SAP COMMERCE CLOUD FOR UTILITIES
Business View and Benefits
88
PUBLIC
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SAP COMMERCE CLOUD
Utilities Storefront
• Device
Compatibility
• Easier to manage
and maintain
• Cost Effective
• Improved user
experience
• Single URL
enhances Search
engine optimization
(SEO)
89
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SAP Commerce Cloud - Telco and Utilities Accelerator
Your Path to Digital Business
• Maximize productivity, agility and flexibility for
quick time-to-market
• Realize higher Average revenue per user (ARPU),
greater customer satisfaction and increased
customer lifetime value
• Lower TCO with an open, flexible and extensible
architecture
• Single system for managing complex product
offerings, web content, commerce operations and
channels
• Reduce administrative effort and operational costs
• Lower customer support costs
90
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Benefitting from Service Industries
Standardized Data Model Supports service provider
selling processes (tariff
change, retention,
acquisition…)
Full cross-channel backoffice
administration and support
The SAP Commerce Telco and Utilities Accelerator
BOOSTS the commerce platform to make Service
Providers run best.
91
CONFIDENTIAL
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Telco and Utilities Accelerator | Key Capabilities
Deliver great experiences
• Consistently provide flexible, contextual,
personalized shopping experiences across any
channel and on any device.
• Gain insight into your customers buying
behavior
• Deliver a more enjoyable customer experience
through a guided selling journey
Adopt global standards
• Compliance with TM Forum standards allows
the commercial product catalog to be
mastered across all channels and across
systems (OSS/BSS).
• The Customer Inventory data model enables
customer retention process flows and eligibility
Empower your customers
§ Full account visibility and maintenance with
feature-rich, self-care capabilities
§ Full control over their customer journeys
§ With consent management, customers have
full control over their personal data, storage
and usage
Provide exceptional service
• With the Assisted Service Module, customer
support agents can provide real-time sales and
service support with a 360⁰ view of customers
and service ticket integration.
Optimize process flows
• Support of acquisition and retention flows
• Enhanced shopping cart and checkout
Simplify your front office
• Create, maintain and support rapidly
changing complex product offerings,
bundles, pricing, price overrides, content,
rules and promotions with backoffice
administrative tools.
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Product Offerings
• Simple Product Offerings (SPO)
• Bundled Product Offerings (BPO)
• Full backoffice support
Product Specifications
• Product Specifications
• Product Characteristics
• Customer Facing Service Specs
• Resource Facing Service Specs
Pricing
• Flexible price row structure
• Process Based Pricing
• BPO Price Overrides
• Full backoffice support for
pricing maintenance
Telco and Utilities Accelerator | Key Features
Customer Product Inventory
• Subscribed Product Offerings
• Account Hierarchy
• Billing Arrangements
• Average Usage
Compatibility
• Cardinality, Dependencies &
Auto Pick
• Supports complex conditions
• Based on: Product Offerings,
Product Offering Groups,
Product Specification
Characteristic Values
Process Flows
• Acquisition
• Retention
• Tariff Change
• Prepaid to Postpaid
TM Forum API’s
TMA features exposed as REST
API’s complaint with TM Forum
Open API standards
• Product Offering
• Product Inventory
• Self-Care
Eligibility
• Customer-centric content and
pricing
• Leverages Customer Product
Inventory
• Personalizes storefront behavior
93
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Product Offering Variants
• Ability to offer variations of a
product offering with
• Color and Storage Size
• Supports multiple configurations
and pricing
Utilities Storefront
Full support for commodity and
non-commodity product offerings
with complex pricing, bundles,
configurable guided selling and
self-care
SmartEdit Support
• Visual editing - Web Content
Management Tool
• Designed for non-IT users
• Easy to use & efficient
• Personalization Capabilities
Telco and Utilities Accelerator | Self-Care and Customer Support
Media Storefront
Full support for digital product
offerings with complex pricing,
bundles, configurable guided
selling and self-care
Consent Management
• Capture explicit user consent
• Customer control over personal
data
• Right to be forgotten
Assisted Service Mode
• Seamless out of box integration
• 360⁰ view of customers
• Support Tickets
• Order placement on behalf of
customers
Self-Care
• Display CPI
• Display Average Usage
• Cross-Selling / Up-Selling
• NBA / NBO
Configurable Guided Selling
• Product Offering Groups
• Storefront Updates
• Preconfigured Bundles
94
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Commerce
Management
B2B Commerce
Cart and
Checkout
Commerce
Chatbots
Commerce
Integration &
Extensibility
Commerce
Platform
Operations
Commerce
Storefront
Customer Order
Sourcing
Headless
Commerce APIs
Omnichannel
Content
Management
Search &
Navigation
Contextual
Personalization
Context-Driven
Customer
Recovery
Context-Driven
Foundation
Context-Driven
Merchandizing
Context-Drive
Segmentation
Customer Data
Management
Customer Identity
Management for B2B
Customer Identity
Management for B2C
Customer Profile
Management
Enterprise Preference
and Consent
Management
Partner Channel
Sales
Channel Analytics
Channel Sales
Partner Channel
Management
Partner Order
Management
Quote, Order &
Contract
Management
Commodity Sales
Customer Master
Data Governance
Order Capture
Quotation
Management for
Energy and Water
Sales Master
Data
Management
Sales Quotation
Management
Sales Force
Support
Account and
Contact
Management
Activity
Management and
Visit Planning
Mobile Sales
Opportunity and
Pipeline
Management
Productivity and
Personalization
Retail Execution
Sales Analytics
Sales
Collaboration
Sales Lead
Management
Incentive and
Commission
Management
Sales Lead
Management
Not in current C4U
focus
Inherited from cross-
industry
Selling
Cross-industry +
Industry specific
enhancements
Business Capability View
95
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SAP Cloud for Utilities – Selling
Product Road Map – Key Innovations
Q4 / 2020 1
Q1 / 2020 1 Q3 / 2020 1 Q1 / 2021 1
1 This is current state of planning and may be changed by SAP at any time without notice.
Simple web sales process
• For integrated utilities: Validation of
premise and utilities installation data
(continued)
• Display sales process exceptions to
business users
• Search & filter products based on
consumption, smart meter (y/n),
new/returning customer etc.
• Dynamic Price Determination based on
Grid Charges
Web sales of different product types
• Commodity (energy) products: electricity,
gas, …
• Subscription services
• Simple physical products
Simple web sales process (guided
procedure)
Ÿ For integrated utilities: Validation of
premise and utilities installation data
Ÿ …
Interface to customer contract
management (commodity contracts)
§ Trigger move-in process / preparation for
rating
§ Very basic status management
§ Display contract details
Integration with C4E
• Meter lookup based on premise address
Simple web sales process
• Identification and matching of customer
data
• Customer onboarding: returning customer
shopping experience
• Get total price for the whole shopping cart
• View details of product bundles
• Select product bundles & add to shopping
cart (Enable sales of Product bundles
combining any or all of the product types)
• Display contract details (continued)
• Different contract terms’ determination
during sales process
• Trigger product change and termination of
subscriptions
Simple web sales process
• Simple status management (including status
changes’ communication)
• Sell products depending on regions
• Region lookup during signup process
• Bundle comparison
• Discounts on bundles
Sell very simple service products (no FSM)
Simple call center sales process
• Enable first version of simple sales process
for use in call center (end customer calls in
and agent sells products to him/her)
Integration with MaCo Cloud
Customer contract management (commodity
contracts for liberalized utilities) supporting
supply switch and Annex processes)
Integration with S/4 HANA on premise
Region lookup during signup process
Ÿ Mandatory because Utilities Sales Contract
requires it
96
INTERNAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Cloud for Utilities - Selling
Product Road Map – Key Innovations
Simple web sales process
§ For liberalised utilities: enable validation and management of premise and utilities
installation data (call external API towards central hub like in NZ/NL)
§ Cross-selling and up-selling products
§ Offer products from third parties
Sell simple service products (including FSM)
Interface to customer contract management
§ Trigger cancel, move, renewal, …
B2C Selling
§ Product serviceability: propose products based on measurement capabilities at
customer’s premise (e.g. meter type…) - for integrated utilities or liberalized markets
with central data hub
§ Intelligent product recommendation for simple sales process
§ Churn risk calculator integration with intelligent product recommendation
§ Intelligent security deposit calculator integration with simple sales process
§ Automated sales exception handling
§ Integration with 3rd party market place
1 This is current state of planning and may be changed by SAP at any time without notice.
H1 2021 H2 2021
97
CONFIDENTIAL
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Products and Integrations – Selling starts the Offer to Cash process
98
PUBLIC
© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ
• Commerce System
• Assisting a customer in the ordering process – Video
• New Cloud Portal Overview – Video – June 1st 2018
• Simplifying Administration with Self-service Cloud Portal – Video
• Campaign to Cash with CPQ – Demo Store
• Campaign to Cash with Ticketing – Demo Store – September 10th 2019
• Telco and Utilities Accelerator – Sharepoint – November 26th 2018
Available Demos
Selling
99
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
• Mercury NZ Limited
• Aksa (Kazanci Holding A.S.)
• REWAG Regensburger Energie- u.
• TMVW
• Jemena Limited
Customer References
Selling
SAP Cloud4Utilities
Order Fulfillment
FROM LEAD… …TO CASH
Market Communication – Intercompany Data Exchange
Customer Experience
Analytics & Process Monitoring & Integration
Customer
Request
Search
Products
Sign
Order
Market
Analysis
Product
Definition
Launch &
Marketing
Orchestrate
Order
Order
Execution
Fulfillment
Conclusion
Consumption &
EDM
Billing
& Invoicing
Payment
Handling
Order Fulfillment Billing & Revenue
Management
Selling
Product Definition
& Marketing
101
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Order Orchestration
Physical products: Sales order created in
S/4HANA Cloud – Sales
Commodity service: Commodity contracts created
in S/4HANA on Premise (hybrid option)
or in SAP Subscription Billing (public option)
Services provided by technicians: Installation
service order and service contract created in
S/4HANA Cloud - Service
Subscriptions, Digital Products and Pay-per-
use Services: Subscription contract created in
SAP Subscription Billing
The customer places an order in the web shop. The order includes the physical products, and
services like commodity services, installations services or pay per use services. Captured
centrally the order gets dispatched to the execution systems.
Order
Items
10 Boiler
20 Thermostat
40 Boiler Installation Service
60 Smart Home App Subscription
1 PC
1 PC
2 HOURS
2 USER, monthly fee
$580
$100
$120
$5
Execution systems:
50 Maintenance Service monthly Fee $10
30 Energy Contract KWH 30ct
Order Fulfillment of Physical Products –
SAP S/4HANA Cloud - Sales
103
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
On any Device, use
role based cockpits
with digital assistant
Embedded analytics for
simulation, prediction &
insight-to-action
Machine learning for
automated processing &
decision support
SAP S/4HANA Cloud - Sales
…will run your order fulfilment business for physical products different than before
It offers you to analyze and resolve order issues in Sales Order Fulfillment, combined with Track Sales Order for maximizing “no-touch”
order rate. Fast access to all daily tasks via My Sales Overview page
Predictive Delivery Delay
104
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Sales ManagementOverview Sales Order Fulfillment
Delivery Performance
It offers you to analyze and resolve order issues in Sales Order Fulfillment, combined with Track Sales Order for maximizing “no-touch”
order rate. Fast access to all daily tasks via My Sales Overview page
Sales Order Management and Processing
Exception-based sales order handling
105
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Sales Processing using 3rd Party with Shipping Notification BD3
*Additional license - **Additional installation and license
Sales Order Fulfillment Issue
– Analyze and Resolve Issues
Receive
Supplier
Invoice (EDI)
Bill
Customer
Send Purchase
Order to Supplier
(Option: EDI)
Automatically Create
Purchase Requisition and
Convert to Purchase
Order
Receive Order Confirmation of
Supplier (EDI) and Update Order
Send Order Confirmation to
Customer
Create third-party
Sales Order
Order fulfillment using 3rd Party to ship products to the customer
Business Benefits:
• Fulfill customer requirements while reducing stock and cost
• Transfer customer requirements directly to external suppliers
• Increasing efficiency by integration of sales and purchasing process
• Data exchange with suppliers using EDI or via the Ariba Network are
options for process automation
• Utilities has full control over process and customer relations and sends
invoice to customer based on quantities from supplier.
This ready-to-run business processes enables you to
forward orders to third-party vendors who ship the goods
directly to customers and then bill you directly. The standard
sales order automatically creates a purchase requisition.
Once vendors have sent a shipping notification, a statistical
goods receipt can be posted. Once this has taken place,
invoices to the customer can be created.
Receive Shipping Notification of
Supplier (EDI)
Send Shipping Notification to
Customer
Post Statistical
Goods Receipt
EDI Option: Integration of Procurement with External Suppliers 2EJ
Sales Overview Track Sales Order
Option: Automation of Source-to-Pay with Ariba Network (42K)
106
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Sell from Stock BD9
Sales Management Overview
Sales Order Fulfillment Issue
– Analyze and Resolve Issues
Billing
Optional: Proof
of Delivery
Picking
Create Delivery Goods Issue
Optional: Check Batch,
Splitting outbound
Delivery, Freight Cost
Create Sales
Order
Order Fulfillment by delivering products from own stock
Business Benefits:
• Highly automated process to deliver products from stock
• Fulfill customer requirements efficiently
• Determine shipping point automatically
This ready-to-run business process describes the entire process
sequence for a standard sales process (Sale-from-Stock) with a
customer. The business process encompasses all the steps to
deliver what has been ordered.
Track Sales Order
Order Fulfillment of Subscriptions and
Pay-per-Use Services –
SAP Subscription Billing
109
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP Subscription Billing
Order Fulfillment of Subscriptions and Pay-per-Use Services
Selling
Usage Data
Consumers
SAP Subscription Billing
Subscription
Capture
Subscription
Management
Business Model
Design
Subscription
Monetization
Billing and Revenue
Management
110
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Basic Subscription Business
§ Basic rate plans
§ no rate plan templates required
§ mainly recurring charges
Pay-per-Use Scenario
§ Rate Plans with multiple metric-based price elements
§ More sophisticated rate plans (e.g. volume pricing)
§ Requires definition of metrics and usage based rate plan elements
§ Requires technical resource ID management
§ May require order orchestration for technical resource ID
§ Requires usage data collection
Digital License Business
§ Requires definition of subscription parameters
§ Use of rate plan and subscription snapshots
§ Complex rate plans (advanced proration, custom amounts, percentage rates)
Typical Use Cases and Examples for Services
• yearly fee for a Smart Home App
• monthly fee for a Fitness Center Membership
Card
• e-charging card for e-car with one time fee
for each charging activity and fee per KWH of
charged electricity
• using an e-scooter and pay per minute
• Mobility Card for Public Transport and pay
per km/mile of linear distance between start
and target
Examples
• Software License
111
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Pricing Models Supported
• One-time fees
• Recurring fees
• Usage fees
• Block pricing
• Volume pricing
• Tiered pricing
• Percentages
• Overage fees
• Free periods / amounts
• Proration
Subscription
Example:
Product: Print on Demand
Rate Plan: ABC
Pricing Parameters:
• Installation Fee : 100€
• Monthly Fee : 50€
• Price Per Block Col : 2€
• Price Per Block BW: 1€
112
PUBLIC
© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Feature
Description
§ "Bills
Overview" for
last 12 months'
bill amount for
default market.
§ "New
Subscriptions"
created in last
14 days.
§ "Expiring
Subscriptions"
in coming 14
days
Home Page – Overview Data of the Subscription-Based Business
Order Fulfillment:
Service Fulfillment
L1_Cloud_for_Utilities_Sep20 (1).pdf
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L1_Cloud_for_Utilities_Sep20 (1).pdf

  • 1. PUBLIC Speakers Name, SAP Month Year SAP Cloud for Utilities Helping Create the Energy of Tomorrow – L1 NOTE: Delete the yellow stickers when finished. See the SAP Image Library for other available images. Go Green @
  • 2. 2 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any related document, or to develop or release any functionality mentioned therein. This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this presentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intentional or gross negligence. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions. Disclaimer
  • 3. 3 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Global market trends are changing the business environment in the energy sector substantially Consumer becomes Prosumer Renewable Energies New Competitors enter the Market E-Mobility Legal Requirements New Product Ideas Environmental Awareness Smart Homes Energy Management
  • 4. 4 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The Energy Revolution is a large transformation program … … from centralized … … to decentralized Customer investment areas: Power generation @home Connectivity security Charging Energy Management Smart Appliances Comfort & Lightning Heating & Cooling Energy Storage
  • 5. 5 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Non-commodity growth rates offer huge opportunities for Utilities The global Smart Home market is worth US$ 56 billion in 2018 and is expected to grow even bigger¹. ¹CAGR: Compound Annual Growth Rate / average growth rate per year Source: Statista Digital Market Outlook 2019 Control and Connectivity Energy Management Smart Home Appliances Comfort and Lighting Forecasted growth from 2018 to 2023: 22% AVERAGE 22,3% AVERAGE1 25,4% AVERAGE1 28,9% AVERAGE1 2018 11,9 2020 20 2023 32,1 2018 4,1 2020 6,8 2023 11,2 2018 15,7 2020 26,8 2023 48,6 2018 4,3 2020 7,9 2023 15,2
  • 6. 6 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Customer Experience SAP Cloud for Utilities focuses on four KPI’s to enable the efficient Full Service Provider Design business from Consumer’s perspective Introduction of New Offerings Time-to-Market Revenue of Products and Services Revenue Growth Simplified Processes and Digital Channels Cost-to-Serve Engaging Customers Customer Satisfaction SAP Cloud for Utilities drives commodity and non-commodity growth simultaneously Must have practices for efficient Utilities Creating Market Relevance & Customer Stickiness
  • 7. 7 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Utilities need a market differentiating strategy to win customers in a competitive environment Agile Product Innovations Process Quality & Speed Best in Class Customer Experience Business Networking Cost Efficiency Regulatory Compliance Real-time Business Insights Performance & Finance Management Security of Supply Personalized Customer Journeys Accuracy in Billing Individual Product Offerings 24/7 Service Availability Energy Prosumer Re-Imagined Utilities Business Identity Management & GDPR Creating Market Relevance & Customer Stickiness Must have practices for efficient Utilities
  • 8. 8 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Winning Utilities require a set of business capabilities to establish cost leadership and stay relevant in the market Market Winning Themes Cost Leadership Themes Required Business Capabilities Topics Best in Class Customer Experience Single View of Customer Holistic Customer Experience Customers for Life Agile Product Innovations Personalized and proactive Offers Product Development & Catalog Flexible Product Bundles Business Networking Transparency in Order Fulfillment Utilities Marketplace Crowd Sourcing Real-time Business Insights Utilities Market insights Margin Assurance Business Planning & Simulation Utilities Best Practices Process Integration Master Data Quality Process Quality & Speed Process Automation Process Intelligence Exception Management Cost Efficiency Market Process Management Market Communication Regulatory Reporting Regulatory Compliance Performance & Finance Management Revenue Management Margin Assurance Financial Management
  • 9. 9 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – a strategic Investment into the Utilities Industry by SAP Energy Prosumer SAP Cloud for Utilities helps you unlock the business potential of the future: § Full focus is on the end consumer § Differentiate through additional products and services § "Time to Market" is the decisive factor § Processing costs must be minimized. § Efficiency in sales, distribution network and metering operation
  • 10. 10 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The SAP Cloud for Utilities Program Initial Focus SAP C4U Core ERP Processes Process Orchestration Finance Analytic Services Procurement HR & Partner Order Execution Customer Service Service Fulfillment Market Communication Billing & Revenue Management Energy Data Management Customer Journey Experience Customer Acquisition Multi Channel Selling Product Modelling Customer Analysis Multi Channel Marketing Energy Logistics Energy Data Management for DSO/MOP Energy Settlement Metered Data Management Market Communication DSO Enterprise Asset Management PdMS Utilities Device Management Asset Lifecycle New Connections WFM E2E Integration Master Data Management E2E Business Process Monitoring E2E Business Process Automation Customer Data Trust Security and Audits SAP Program to accelerate the delivery of the new SAP Utilities Suite in the Cloud to address the E2E Utilities processes for Retail, Distribution and Integrated Utilities; and for Energy, Water and Services. The first release of the SAP Cloud for Utilities Suite will cover the Lead to Cash Utilities Retail-specific E2E Scenario. SAP Cloud for Utilities Program key focus is to grow the Utilities Industry Features in the Individual Cloud Components that conform the Suite, and secure the seamless integration among them. SAP Cloud for Utilities can be consumed as a whole Suite or in a modular way.
  • 11. 11 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ With SAP’s next Generation Cloud Suite Utilities can achieve both, Cost Reduction and Market Leadership " With SAP Cloud for Utilities we aim to establish the next generation global Market standard for Utilities in commodity and non-commodity services." FROM LEAD… …TO CASH Market Communication – Intercompany Data Exchange Customer Experience Analytics & Process Monitoring & Integration Customer Request Search Products Sign Order Market Analysis Product Definition Launch & Marketing Orchestrate Order Order Execution Fulfillment Conclusion Consumption & EDM Billing & Invoicing Payment Handling Order Fulfillment Billing & Revenue Management Selling Product Definition & Marketing Retail SAP Cloud for Utilities Cloud4Utilities is the integrated yet modular service platform to transform the energy retail business. Best practices inside
  • 12. 12 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ New and changing business models are demanded by the market • Direct to consumer • Multi-channels • New market segments • Expanding business and diversify • Digital Products • Installation Services • Maintenance services • Loyalty points / rewards programs • IoT services • Sell through • Sell with • Resell • Bill on behalf of • White label Services • Fixed price • Installation fees • Recurring fees • Usage-based • Outcome-based • Prepaid models • Digital payment • Pay per use • Flexible payment models Monetize multi-sided business networks Deliver new integrated value proposition Build new customer relationships Sell mix of outcomes, usage and subscriptions Flexible payments and automate financial process Serve more sustainable & eco- friendly products • Green energy products • Prosumer technology • Efficiency services
  • 13. 13 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Lack of transparency in customer satisfaction Missed opportunity to serve customer demand Inflexible and high maintenance tariff model Significant resources bound to non-value generating tasks Increased agent effort operational cost Commodity Customer Win Lack of comprehensive digital services and proactive customer notifications. Utility bills the customer Complex and historically grown billing and tariff models require high maintenance and avoid flexibility. Utility measures consumption Manual meter reading and plausibility handling lead to high manual efforts. Utility delivers commodity service Lack of transparency about reliability and quality of service delivery Communication with market participants Keeping business processes and market messaging up to date without compromising process and service quality. ŸCustomer closes contract for Point of Delivery Lack of ability to offer meaningful and relevant additional products to customers. Challenges Utility responds to customer request Increased cost-to- serve due to high volume Traditional processes are not good enough any longer Example: Traditional Lead-to-Cash for commodity services Outcomes
  • 14. 14 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ VALUE POTENTIAL 10% - 15% reduced time to market for new products* 10% - 15% Increased revenue from cross/upsell* Up to 10% reduced customer service and support costs* 25%-30% reduction in inventory levels* 40% - 50% reduced accounts receivables management cost* 30%-40% decrease in cost to meet regulatory compliance Intelligent technology outcomes Improved product portfolio through real-time market insights Individualized, context-driven customer offerings. 24/7 availability of comprehensive self-service portfolio. Efficient request & ticket processing with ML. Identify the best supplier & minimize safe stock with just-in-time material availability Identify the best skilled service provider and increase order fulfillment quality Accelerated bill-to- cash for all types products and services. Reduced effort for adoption to regularly changing market requirements Market Analysis and Product Design Key capabilities delivered Targeting relevant Customer Group Omnichannel Customer Journeys Order Delivery and Fulfillment Management of Service Provider Billing & Revenue Management Regulatory Efficiency • Customer Demand Analysis • Simplified & accelerated Product Design • Central Product Catalog • Free Product Bundles • Utilities Marketplace • Segmentation of customer groups • Launching marketing campaigns • Enabling individual customer journeys • Monitoring campaign success in real-time • Omnichannel customer experience • Individual customer offerings & services • Customer service automation • ML-supported resource planning • Crowd sourcing • E2E Integration of 3rd Party Service Provider • Order Status Management • Fulfillment Performance Monitoring • Flexible Billing Engine – Pay-per- Use, Subscriptions, etc. • Consolidated customer invoicing • Backoffice Automation for Bill- to-Cash • Regulatory Compliance Adoption • Market Communication as a service • Process Content Delivery • Commerce & Order Management • Service & Sales Order Management • Sales Contract Management • Orchestrate fulfillment of product bundles Intelligent Processes generate better Customer Experiences and improve Efficiency Example: The Intelligent Lead-to-Cash for Energy Service Provider * Note: These benefits have been estimated based on SAP benchmarks and customer proof points. 5%-10% reduction in service and support cost*
  • 15. 15 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities for Commodity AND Non-Commodity Investment Priorities for the Cloud for Utilities Program Investment Priorities 1 Co-Innovation - FOR and WITH our customers 2 Extension of the Utilities functionality in the blocks 3 End2End Process integration 4 Master data management in hybrid landscapes 5 End2End Business Process Monitoring 6 End2End Cloud Operation of SaaS Components 7 Development of transformation services 8 Simplification of the pricing model 9 KPI control to increase efficiency 10 Simplifying the transformation from today to tomorrow SAP Cloud for Utilities
  • 16. 16 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – empowering Utilities with essential Capabilities to deliver exceptional Customer Experience Customer Experience Service Fulfillment & Business Networking Products & Services Performance Management Service Partner Integration Ecosystem Management Contract Management Omnichannel Customer Exp. 360° Customer View Preferences & Consent Mgmt. Segmentation & Targeting Central Product Catalog Simplified Product Design Product Bundles Marketing & Campaigns Individualized Customer Journey Utilities Market Insights Margin Assurance Forecasting & Simulation Process Performance Mgmt. Real-time Business Analytics Utilities Digital Core Product Billing Revenue Management Invoicing Energy Data Mgmt. Best Practices Process Intelligence Process Automation Management of Assets & Devices Regulatory Management Model Company Process Monitoring Order Management Service Provider Management Service Fulfillment Product Lifecycle Management Customer Self- Services Sales Performance Management Energy Analysis Home Energy Management Geo Enablement Order & Delivery Orchestration Mobile Workforce Management Predictive Asset Analytics
  • 17. 17 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Building Blocks for the SAP Cloud for Utilities Suite End-to-end available: February 2021 Marketing Sales Commerce Customer Service Customer Engagement - Intelligent Front-Office Customer Data Management E2E Process Monitoring Master Data Management Real-Time Analytics Customer Delivery - Service Delivery Platform Integration Energy Data Billing Revenue Management Market Communication Innovative Technology Order Fulfillment 2021 Available in Q1 CONSOLIDATE & GROW THE CUSTOMER EXPERIENCE NEW BACKOFFICE ONE C4U SUITE TO ORCHESTRATE, INTEGRATE, DATA MANAGEMENT AND OPERATIONS
  • 18. 18 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities - Key Features per Building Block Commerce • Simple Product Offerings • Bundled Product Offerings • Product Content Mgmt. • B2C Commerce • B2B Commerce Marketing • Dynamic Customer Profiling • Segments, Campaigns and Journeys • Impactful Marketing Analysis • Commerce Marketing • Lead Management • Build Loyalty and Advocacy Sales • Intelligent Sales with Machine Learning • Config, Price Quote • Sales Performance Management • Sales Forecasting Billing • Subscription Billing • Pay-per-Use Billing • Service Billing • Rate Plans • AI supported exception handling Revenue Management • Convergent Invoicing • Contract Accounting • Invoicing Customer Data • Single, unified profile • Enterprise preference & consent management • Customer profile and preference mgmt. • GDPR readiness Market Communication • Regulatory Processes • Market Communication • Market Formats • Process Management & Monitoring Customer Service • Utilities self services • AI chatbot • Intelligent recommendations • Order Distribution • Crowd & Field Service Management Intelligent Front-Office Energy Data • Meter Data Management • Validation Estimation & Editing • AI supported Meter Data Validation • Billing Determinants Calculation • Meter Data Analytics • Master Data Synchronization Service Delivery Platform Order Fulfill • Sales Order Fulfillment • Service Order Fulfillment • Business Networking • Sales Contract Mgmt. • Sales Billing
  • 19. 19 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities provides a number of Key Differentiators 7. Open Platform and Community § Flexible extension concept enabling partner apps and customer extensions § Flexibility to extend, build and adapt § Strong ecosystem of applications to complement and extend SAP’s industry solutions 6. Continuous Innovation § Supporting major industry trends with continuous innovation roadmap § Machine learning and AI built into business processes § Regulatory changes delivering compliance needs § Architecture & deployment options supporting individual customer transformation 1. Customer Experience-first Approach § Supporting the complete customer journey from lead to cash § Meaningful, individualized end-to-end experiences on all channels § Continuous feedback loops to optimize experience § Listen, Understand, and Act using Operational and eXperiential data 4. Build your own Business Network § Build your own commerce market place for Utilities offering own and partner products § Orchestration of fulfillment of service and product order § ML-supported resource planning of own and partner resources § E2E integration of 3rd party service provider 4. End-to-End Business Processes § Seamless Integration between Front- and Backoffice § Industry best Practices (Model Company) § Reduce complexity in lead-to-cash through modularization, simplify and drive adoption § Fully embedded regulatory framework and integrated market communication as a service 5. Adoption Support and Accelerators § Model company to provide business content out-of-the-box § SAP eco-system to deliver and extend the solution § Value Assurance Services from SAP to provide advisory and delivery support 2. Full Industry Capability Coverage § Providing an E2E solution portfolio for Retail Utilities § Enabling cost leadership through process standardization, automation & intelligence in meter-to-cash § Extensive industry roadmap including all market roles and market segments 3. Matching the Need for Business Innovation § One solution suite enabling business model innovation for commodity & non-commodity business § High flexibility in product design and product lifecycle management § Increased flexibility through modularized, service based architecture
  • 20. 20 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities Options SAP Cloud for Utilities with SAP S/4HANA for Utilities Cloud 1 SAP S/4HANA for Utilities Cloud addresses the Meter-to-Cash process, with process and data orchestration performed by BPM and EDOM. SAP Cloud for Utilities1 SAP Cloud for Utilities Suite orchestrated by BPM and EDOM as backbones of the end-to-end scenario. SAP Cloud Platform Integration & BPM & EDOM2 Market Communication Contract Accounting Metering Convergent Invoicing Energy Billing Subscription Billing Cloud for Energy Sales Commerce Marketing Services S/4HANA for Utilities Cloud SAP Cloud Platform Integration & BPM & EDOM2 Market Communication Subscription Billing Cloud for Energy Sales Commerce Marketing Services Revenue Management Field Service Management 1 Labs Preview. This is current state of planning and may be changed by SAP at any time without notice. ² EDOM = Energy Domain Model, SAP models utilities business objects within EDOM for the usage in decentralized hybrid and cloud-only architectures for SAP Cloud for Utilities 2021 Available in Q1 2021 Available in Q3
  • 21. 21 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities Options SAP Cloud for Utilities with SAP S/4HANA for Utilities Cloud 1 SAP S/4HANA for Utilities Cloud addresses the Meter-to-Cash process, with process and data orchestration performed by BPM and EDOM. SAP Cloud for Utilities1 SAP Cloud for Utilities Suite orchestrated by BPM and EDOM as backbones of the end-to-end scenario. SAP Cloud Platform Integration & BPM & EDOM2 Market Communication Contract Accounting Metering Convergent Invoicing Energy Billing Subscription Billing Cloud for Energy Sales Commerce Marketing Services S/4HANA for Utilities Cloud SAP Cloud Platform Integration & BPM & EDOM2 Market Communication Subscription Billing Cloud for Energy Sales Commerce Marketing Services Revenue Management Field Service Management 1 Labs Preview. This is current state of planning and may be changed by SAP at any time without notice. ² EDOM = Energy Domain Model, SAP models utilities business objects within EDOM for the usage in decentralized hybrid and cloud-only architectures for SAP Cloud for Utilities 2021 Available in Q1 SAP Cloud for Utilities is available. Start your Journey now! Solution available and in productive use at Utilities customers 2021 Available in Q3
  • 22. 22 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP leverages a unique offering for the Utilities Market – Cloud for Utilities is offering all Capabilities for the Utility-of-Tomorrow Transformation Intelligent Asset Management SAP Cloud for Utilities Lead-to-Cash for engaged Prosumer Full-service Execution Suite Market Collaboration and Energy Insights Built-in Machine Learning Responsive UX Performance & Analytics Guided Transformation Agile Business Development
  • 23. 23 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP offers a complete suite for lead-to-cash enabling Utilities to transform customers into prosumers Single view of customer Customers at the center of the business based on trusted customer data Holistic Customer Experience Seamless integration of first-class customer experience and efficient back- office across all business units Cloud4Utilities Complete and modular solution suite to manage utilities business processes end-to-end. Full Service Provider Fully integrated order fulfillment to ensure a seamless procurement, delivery, service and payment experience Business Innovation Agile implementation of new business models with short time-to-market enabled by a modular cloud portfolio • Accelerated launch of new products and services through an agile platform approach • Creating customer stickiness through personalized customer experiences across channels • Gaining a holistic view on customers, products and orders • Improved time to market through a flexible, extensible and modular business platform • Accelerated transformation of your customers to become prosumer Benefits for your business Lead-to-Cash for engaged Prosumer
  • 24. 24 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Use Case: Lead-to-cash for engaged prosumer transition Marketing creates campaign and proposes the new offering Marketing analyses customer data suitable for a new e-mobility product bundle Customer requests further information about the offer Customer closes contract for new e-mobility product bundle SAP Commerce Cloud SAP Customer Data Cloud SAP Marketing Cloud SAP Service Cloud Utility asks customer to choose delivery and installation dates SAP Service Cloud Utility coordinates service provider for asset installation and informs customer SAP Service Cloud SAP S/4HANA Cloud Newly installed services gets activated and prosumer can use, control and monitor them Prosumer gets combined invoice for asset usage, electricity consumption and solar compensation Customer is being asked to rate his experience SAP Service Cloud SAP S/4HANA Cloud SAP Service Cloud Transforming consumers… … to digital prosumers Lead-to-Cash for engaged Prosumer
  • 25. 25 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Cloud for Utilities is supporting our customers to establish new revenue streams fast and efficient Electricity Gas & Heat Water + Commodity Services Non-commodity Services Solar & Storage Charging Stations & Roaming Efficiency Services Insurances Smart Home Agile Business Development Maintenance & Installation E-Mobility & Sharing IoT Service & Big Data Analytics Crowd Sourcing Workforce Management Marketplace Rental Services …. Infrastructure Services White-Label Electricity/Gas ü Providing all required functional modules to explore, design and deliver products to end customers ü Proven solutions, also established in other industries, are used and adopted to address the specific needs of the Utilities industry ü E2E value chain allowing new non-commodity business models in an agile and efficient way ü Capabilities to establish Platform Business Models and Business Networks are part of the solution suite FROM LEAD… …TO CASH Market Communication – Intercompany Data Exchange Customer Experience Analytics & Process Monitoring & Integration Order Fulfillment Billing & Revenue Management Selling Product Definition & Marketing Best practices inside
  • 26. 26 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP offers an efficient multiservice platform for a timely delivery and installation of services and equipment Service Excellence Platform • Utilities Best Practices and Model Company are driving process standardization, scalability and stability • High efficiency in meter-to-cash through process automation and built-in process intelligence reduce exceptions and manual activities • Utilities service bots and omnichannel self-services decrease manual agent interaction significantly • Utilities Master Data Management to ensure harmonized and correct process data Self-Running Utility • Accelerate order delivery and issue resolution by harmonizing customer engagement and operational processes • Provide more accurate answers quickly & automatically, using 24/7 customer service platform with a top rated AI Chatbot • Automated, AI-based scheduling & dispatching for optimized service delivery & resource utilization • Orchestrate and accelerate service execution with integration of partners, service providers, or freelancers through crowd sourcing • Increased loyalty and low churn rates due to a best in class service delivery • Reduced cost-to-serve through high process automation • Utilities Best Practice, standardization and automation result in stable business processes and high process quality • Higher automation frees up capacity for value-generating tasks • Real-time steering leads to improved business results Benefits for your Business Full-Service Execution Suite
  • 27. 27 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ How leading Utilities redefine the Customer Experience to serve the Digital Prosumer Winning the Digital Prosumer Activation of Services and Equipment Operations and Service RESEARCH & PURCHASE INSTALL & ENERGIZE USE & GENERATE GET PERSONALIZED SUPPORT • Manage customer preferences and consent • Deliver personalized offers, pricing and education based on customers individual situation • Attract and retain loyal customers by way of bonuses, promotions, attractive packaging • Let customers purchase a wide variety of products and service • Transparent order fulfilment and installation for the entire order • Timely delivery and installation of equipment and services • On-time energizing of equipment & meters • Activation of contracts and devices according to terms and conditions • Capture feedback from customers on the installation • Transparency and accuracy in billing of all services • One utility invoice as a way to pay for everything • Support flexible payment terms and methods • Continuous feedback collection during usage to adjust customer interactions • Send proactive personalized notifications reg. bills, usage, generation, storage, etc. • Send communications in accordance with customers’ preferences • Self Service and intelligent bots as a way to act and react conveniently anytime • Contact Center as a way to resolve complex or high value service request Full-service Execution Suite
  • 28. 28 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Use Case: Orchestrated Service Delivery through Crowd Sourcing Customer has ordered e-mobility product bundle with equipment and services Solution Order incl. products, services & subscriptions is dispatched to provisioning and fulfillment systems AI- based crowd dispatching is executed, service provider is selected and receives the order, Customer sees real-time status SAP Service Cloud SAP Commerce Cloud SAP Customer Experience Foundation Customer has chosen preferred installation date and requested further information SAP Service Cloud Purchase order has been executed and equipment ordered for service provider delivery SAP S/4HANA Cloud Service provider installs the equipment. He receives and captures all relevant information in his mobile app Newly installed services gets activated and prosumer can use, control and monitor them SAP Service Cloud Utility monitors prosumer and activates predictive asset analytics Prosumer gets combined invoice for asset usage, electricity consumption and solar compensation SAP Service Cloud SAP S/4HANA Cloud SAP Service Cloud SAP Predictive Analytics Order Orchestration with Cloud4Utilities Physical Products Commodity Services Subscription-based Services Digital Products Pay-per-Use Services Full-service Execution Suite SAP Field Service Management SAP Field Service Management
  • 29. 29 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP’s offering for market collaboration allows Utilities to focus on their business priorities SAP Market Communication Cloud Cloud On-premise Benefits for your business • Significant reduction of in-house development and maintenance of regulatory process releases capacity in business and IT • Fast adoption of latest regulatory changes • Transfer of operational tasks for monitoring and exception management of market communication to SAP Market Process Management Market Communication Utilities Business Process Market Process Master Data Cloud Integration Fulfillment of regulatory requirements and market communication in liberalized markets through a standardized public cloud service Market Participants Provisioning and operation of market process and related market communication in the cloud, including business operations outsourced to SAP Generic process framework, containing market process templates delivered by SAP, ensuring seamless integration into backend business processes Complete operation of the communications through SAP, including updates of the regulatory format Market Collaboration and Energy Insights
  • 30. 30 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP offers an energy data platform providing information to business user, customer and the market Users of Data Build Apps, Data & Processes Extend Cloud & On-Prem Apps Integrate Differentiating Digital Apps Business Agility SAP Cloud Platform Azure Data Integration Business Process Integration Sources of Data SAP Cloud for Energy Master Data Synchronization SAP for Utilities Import of time series data (CIM-interface; market communication) Billing Determinant Calculation and Integration Validation, Estimation, Editing (VEE) time series data Energy Analytics SAP Market Communication Cloud Market Process Management Market Communication Market Participants Market Collaboration and Energy Insights
  • 31. 31 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud4Utilities powered by SAP Analytics Cloud delivering intelligent insights across the suite SAP Marketing Cloud Market with Intelligence in the Moment SAP Customer Data Cloud Build Customer Trust and Loyalty SAP Commerce Cloud Personalized Shopping Experience across Touchpoints SAP Service Cloud Effortless service experiences with end-to-end Interaction-to-Resolution SAP Sales Cloud Build Relationships and guide Customers throughout their journey SAP S/4HANA for Utilities Efficient Utilities Back-Office with built-in Intelligence. Powered by SAP Analytics Cloud SAP Cloud4Energy
  • 32. 32 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP offers a complete suite for finance & performance management Machine Learning intelligence to boost process automation in Revenue Management and redirect forces on strategic development One single source of truth for revenue & finance management supporting business innovations from business model design to digital payment and financial performance analysis in real-time Supporting business growth through integrated business planning, forecasting and budgeting • Reduction of losses through extensive financial insights in real-time • Minimized effort and time for financial consolidation and closing • Sustainably planning and budgeting new products and services Benefits for your business Gain real-time visibility into profitability of customers, assets and products and focus on business areas where most value is generated SAP CX Customer Experience SAP S4/HANA Cloud Business Model Design Subscription Order Capture Subscription Order Mgmt. Subscription Monetization Consumption Billing & Invoicing Contract Accounting Finance Digital Payments Add-On
  • 33. 33 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Value Proposition for Utilities Experience Management Customer & Product Experience Marketing Commerce Agent Service Self-Services Employee Experience Unified User Experience Brand Experience Strengthen Utility Branding White-label Services for Partner Increase revenue by identifying untapped revenue opportunities through context driven customer analysis & targeting Reduced time-to-market for new products through simplified product definition + free commodity & non-commodity bundles Reduce service cost by leveraging comprehensive omnichannel self-service portfolio Reduce service and support cost through process automation with 24/7 service bots Increased revenue from new products/services by facilitating business model innovation with a strong ecosystem established on your own Utilities marketplace Reduce customer churn of offering a consistent and personalized buying experience Reduced customer churn by providing omnichannel services and lowering issue resolution time Increase cross-sell/up-sell by leveraging automated service desk processes enabled with 360° customer view Improve service agent productivity by giving agents access to all relevant customer processes and data Increased customer satisfaction with proactive service notifications and 24/7 service availability Faster service delivery through seamless front- & back-office integration incl. feedback loop Increase effectiveness of marketing promotions by leveraging Machine Learning capabilities. Maximize the opening rate of emails by using ‘Best Sending Time’ ML capability Improved employee productivity with easy access to business KPIs that cover holistic view of business processes execution Reduced manual effort with role-specific, personalized and unified user experience Reduce customer churn by enabling strong customer relationship Increase market share with highly efficient and scalable E2E retail services offered to incumbent utilities and new market entrants Strengthen brand experience by offering market leading products and services Reduce marketing cost by streamlining processes for designing and executing digital marketing programs across digital channels Cost2Serve Revenue Time2Market Cust. Satisfaction
  • 34. 34 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Value Proposition for Utilities Backoffice Operations Efficient Utilities Backoffice Metering Billing Revenue Management Order Fulfillment Reduced manual clarification and correction effort for bulk meter reading plausibility through process embedded machine learning. Enabling business model innovation through a flexible billing model that supports energy rates of all types as well as non-energy products and services Accelerated bill-to-cash due to process embedded machine learning in invoice validation and payment allocation Accelerated time-to-market due to fast creation of new products and related billing models Reduced bills outstanding through real-time analytics based on operational billing data without latency time Increased customer satisfaction due to rightly skilled workforce staffed from 3rd party service provider / crowd sourcing Maximized revenue and profits through a holistic management of partner and supplier Achieving business growth and diversification through business networking and outsourcing. Accelerated bill-to-cash due to process embedded machine learning for invoice validation and payment allocation Improved process efficiency through real-time monitoring and optimizing Order-to-Cash process performance and sales analysis Improved customer satisfaction through fewer customer complaints due to consolidated invoicing for all consumed services Increased customer satisfaction due to more efficient role-based process management and exception management for metering specialist Enabling business model innovation due to more flexibility in capturing of metered data and calculation of billing determinants Contributing to faster time-to- market for new services and products due to big data analytics of customer consumption behavior Improved cashflow by increasing speed in resolving exceptions and hence bill creation by leveraging machine learning Cost2Serve Revenue Time2Market Cust. Satisfaction
  • 35. 35 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Value Proposition for the Business Technology Platform Intelligent Process Automation Master Data Management End-to-End Integration End-to-End Process Orchestration Embedded Analytics Improved decision making through cross-application business insights. Reduced TCO due to seamless application integration via aligned APIs and domain models. Higher flexibility and agility through openness & extensibility to integrate with 3rd party application Reduced effort to manage master data via centralized master data services Higher customer satisfaction through accelerated resolution of exceptions and customer requests Improved decision making through true real-time business insights and insights to actions without latency Reducing manual clarification and correction processes due to process embedded machine learning, e.g. in metering, billing, invoicing, agent service Lower TCO due to higher efficiency and reduced process execution effort in front- and back-office Reduced cost-to-serve due to reduced human interaction and data reconciliation in operational processes Higher customer satisfaction due to E2E process performance management and fast resolution of process exceptions Driving process quality through real-time data reconciliation between SAP and Non-SAP systems Improved decision making based on consolidated business data from various sources Reduced TCO due to a high number of pre-configured ready- to-use Utilities analytics reports and KPI’s Increased agent productivity with process embedded KPI- framework helping to prioritize back-office tasks Reduced cost-to-serve based on digitized workflows and automated business processes across SAP and Non-SAP applications Cost2Serve Revenue Time2Market Cust. Satisfaction
  • 36. 36 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Cloud for Utilities - High Level Target Architecture for Hybrid SAP Cloud Platform – Integration and Extension Framework Business Process Management Cloud Integration Energy Domain Model SAP MaCo Cloud Regulatory Processes Management Market Communication SAP Cloud for Energy Energy Analysis SAP Subscription Billing Non-commodity Billing SAP S/4HANA any premise / private cloud Convergent Invoicing Revenue Management Meter & Energy Data Management Commodity Billing Order Fulfillment Sales SAP Customer Experience Marketing Commerce Service Self-Services 2021 Available in Q1
  • 37. 37 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Hybrid Product Road Map Overview – Key Innovations Q4 2020 1 Recent Innovations 1 Q3 2020 1 Q1 2021 MVP Release* Manage Existing Customers’ Subscriptions: Start & End of Supply, Readings, Master Data Changes in MaCo E2E billing incl statistical an partial bill BB Plans through Convergent Invoicing Financials Overview and Details, Premise Overview in Customer Service Financial Scoring, IS-U Objects (Premise, Installation) in Marketing Web sales and fulfillment of bundles Product Change and Termination of subscriptions, full contract life cycle Status Management and fulfillment process visibility Commodity pricing in shopping cart EU Tax compliance for customer credit balance Contract Details in Customer Service Bundle product definition in Commerce/TUA Web sales and fulfillment of commodity subscriptions – New Customers Premise lookup in sales process BP and Contract Account Replication in Customer Service Segmentation using Contract Account and Utility Contract data, in Marketing Mass process monitoring in Market Communication (MaCo) Integration with Subscription Billing: Periodic Billing based on consumption from Smart Meters or conventional meters Integration to SEW: Integration of customer notification preferences (beta), Integration of consumption graph (beta) BP Replication (new) MDM Service Cloud Creation of non-commodity subscription with Pay-per-Use E2E Offer to Cash process for simple measurements Campaign automation for supply switch and price change E2E billing for B2C incl. out sorting and DE and US budget billing through Convergent Invoicing Essential customer agent- and self- service processes: master data changes, bill history & correction, budget bill mgmt., meter reading, payment hub Innovative self services, e.g. smart home integration, energy profiler, payment hub E2E DPP and GDPR compliance Advanced Bundle pricing and discounts Simple services definition, sales and fulfillment Flexible fulfillment and orchestration rules 1 This is current state of planning and may be changed by SAP at any time without notice. Product modeling for commodity products with S/4Utilities Commodity product integration between Commerce/TUA and S/4HANA incl. price changes Customer service basic processes searches and overviews by contract account & POD Commodity product definition in Commerce/TUA Web sales of (non-)commodity subscriptions and physical products for new customers Fulfillment of physical products Segmentation using Contract Account and Utility Contract data in Marketing
  • 38. 38 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities - Hybrid Product Road Map Overview – Key Innovations Inbound Grid Usage Bill and Energy Balancing in MaCo US Budget Billing Plans via CI Service management incl. quotation, order, FSM Creditworthiness by 3rd parties Non-customer centric market processes: scheduling, grid usage and meter operation bills Unbilled Revenue Contract cancellation, renewal and transfer, contract and bundle comparison in commerce/TUA Contract lifecycle management in customer self and agent service Creditworthiness by 3rd parties Enhanced Metering Scenarios Chatbots, landlord persona, mobile-only scenarios in Customer Self Service More Campaign automation: retention, renewal, cross- and upsell, customer value scoring, financial hardship in Marketing Product recommendation Competitive pricing Integration with 3rd party market place Customer surveys Intelligent security deposit calculator Revenue Recognition Repair Order, FSM in service mgmt Work Management and Integrated Maintenance and Service Management, FSM Central Product Catalog 3rd party sales and channel mgmt Offer to Cash for SME and B2B Increase Process Automation 1 This is current state of planning and may be changed by SAP at any time without notice. H1 2021 H2 2021 > 2021
  • 39. 39 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Cloud for Utilities - High Level Target Architecture for Cloud Only SAP Customer Experience Marketing Commerce Service Self-Services SAP Cloud Platform – Integration and Extension Framework Business Process Management Cloud Integration Energy Domain Model SAP S/4HANA Cloud Order Fulfillment Convergent Invoicing Revenue Management Sales SAP MaCo Cloud Regulatory Processes Management Market Communication SAP Cloud for Energy Energy Analysis Meter & Energy Data Management SAP Subscription Billing Non-commodity Billing Commodity Billing 2021 E2E AVAILABLE
  • 40. 40 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Cloud Product Road Map Overview – Key Innovations Q4 2020 1 Recent Innovations 1 Q3 2020 1 Q1 2021 MVP Release* Web sales of (non-)commodity subscriptions and physical products for new customers Fulfillment of non-commodity subscriptions and physical products Commodity subscriptions: elec & water with month-end billing Allowances and advance billing in SB Month-end billing of elec & water in C4E and SB Disconnection/reconnection process incl. Monitoring and Cash Security Deposits in FI-CAC Commodity product definition in Commerce/TUA Segmentation using Contract Account and Utility Contract data in Marketing Validations and issue solving in C4E Subscription details from SB in customer service Localizations: Austria & Australia in FI-CAC Advanced Bundle pricing and discounts Simple services definition, sales and fulfillment Flexible fulfillment and orchestration rules Periodic billing of elec & water based on usage record requests in C4E and SB Bundle product definition in Commerce/TUA Web sales and fulfillment of commodity subscriptions – New Customers Premise lookup in sales process BP and Contract Account Replication in Customer Service Mass process monitoring in Market Communication (MaCo) Enhanced APIs for Product Definition and Bill Simulation (UPIL) - support for time-slices and reuse of rate and register fact groups Sales Order creation for physical products using 3rd party Creation of non-commodity subscription with recurring charges Manage planned reading dates for non- equidistant meter readings Self readings, SLP management, reading details display, versioning in C4E Loose coupling between C4E and SB for simple scenarios (separate consumption determination from billing) Regional pricing for concession fees and grid usage Localizations: NorAm and DE in FI-CAC Web sales and fulfillment of bundles Product Change and Termination of subscriptions, full contract life cycle Status Management and fulfillment process visibility Commodity pricing in shopping cart EU Tax compliance for customer credit balance 1 This is current state of planning and may be changed by SAP at any time without notice.
  • 41. 41 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Cloud Product Road Map Overview – Key Innovations Unbilled revenue and Complex Revenue Recognition Gas procedures Localizations: Brazil, NL, Belgium, Sweden, S’pore in FI- CAC TOU, Bill Correction across C4E, SB and CI Non-customer centric market processes Product recommendation Competitive pricing Integration with 3rd party market place Customer surveys Intelligent security deposit calculator Repair Order, FSM in service mgmt Gas meter readings in C4E Self Readings in C4E Loose coupling between C4E and SB for simple scenarios (separate consumption determination from billing) Periodic billing of elec & water based on usage record requests in C4E and SB Proration, estimation, forecast, simulation, TOU and limits, budget billing, outsorting in C4E and SB Unbilled revenue reporting with SB Essential customer agent- and self- service processes & financials overview and processes based on FI-CAC in Customer Service Localizations: UK in FI-CAC Contract cancellation, renewal and transfer, contract and bundle comparison in commerce/TUA Contract lifecycle management in customer self and agent service Creditworthiness by 3rd parties Enhanced Metering Scenarios Localizations: Italy, Denmark, France, Spain, Argentina in FI-CAC Central Product Catalog 3rd party sales and channel mgmt Work Management and Integrated Maintenance and Service Management, FSM Offer to Cash for SME and B2B Increase Process Automation 1 This is current state of planning and may be changed by SAP at any time without notice. H1 2021 H2 2021 > 2021
  • 42. 42 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – with SAP S/4HANA Utilities Cloud Solution Components SAP Cloud for Market Communication Intelligence & Analytics SAP COMMERCE CLOUD SAP MARKETING CLOUD SAP SELF-SERVICE ACCELERATOR by SEW SAP Subscription Billing SAP SERVICE CLOUD SAP S/4HANA Cloud Extended Edition CONTEXTUAL INTELLIGENCE SELF-SERVICE MANAGEMENT OMNICHANNEL COMMERCE HIGH TOUCH EXPERIENCE CUSTOMER FOR LIFE Dynamic Customer Profiling Segmentation, Campaigns & Journeys Commerce Marketing Lead Management & Nurturing Marketing Planning & Performance Self Service Product Content Management Omnichannel commerce and Order Management Non-Energy Billing Contract Management Customer Service & Support Payment and Bill Presentment Experience + Operational Data Suite Intelligence & Analytics Convergent Invoicing Marketing Analytics Payment and Bill Presentment Customer Service & Support SAP Cloud Platform / EDOM / BPM Contract Accounting Revenue Management Business & Master Data Services Order Management Meter Reading Management Contract Management Energy Billing Business Process Management for Deregulated Markets Telco and Utilities Accelerator Utilities Storefront Meter Reading Management Bill Correction and Reversal Sales Billing SAP Cloud for Energy Process Integration Process Monitoring Extension Framework Data Management Subscription Billing Energy Analysis Market Messaging 2021 Available in Q1
  • 43. 43 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities Solution Components S/4HANA Cloud Essential Edition Intelligence & Analytics SAP COMMERCE CLOUD SAP MARKETING CLOUD SAP SELF-SERVICE ACCELERATOR by SEW SAP Subscription Billing SAP SERVICE CLOUD SAP Cloud Platform CONTEXTUAL INTELLIGENCE SELF-SERVICE MANAGEMENT OMNICHANNEL COMMERCE HIGH TOUCH EXPERIENCE CUSTOMER FOR LIFE Dynamic Customer Profiling Segmentation, Campaigns & Journeys Commerce Marketing Lead Management & Nurturing Marketing Planning & Performance Self Service Product Content Management Omnichannel commerce and Order Management Experience + Operational Data Suite Intelligence & Analytics Marketing Analytics Payment and Bill Presentment Customer Service & Support Cloud for Energy Meter Data Management Billing Determinants Telco and Utilities Accelerator Utilities Storefront Meter Reading Management Bill Correction and Reversal Contract Management Customer Service & Support Field Service Management Payment and Bill Presentment Process Integration Process Monitoring Extension Framework Energy Data Management Convergent Invoicing Contract Accounting Revenue Management Business & Master Data Services Order Management Contract Management Validation, Estimation, Editing Data Management Energy Billing Non-commodity Billing 2021 E2E AVAILABLE SAP Cloud for Market Communication Business Process Management for Deregulated Markets Market Messaging Sales Billing Subscription Billing
  • 44. 44 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Designed with our Customers for our Customers – You can join the Co- Innovation Initiative today! SAP Cloud for Utilities Co-Innovation Work Streams our Customers are welcome to participate in: Product Definition & Marketing Product Definition & Marketing Selling Selling Order Fulfillment Order Fulfillment Billing & Revenue Management Billing & Revenue Management Customer Service Customer Service Market Communication Market Communication Product Definition & Marketing Selling Order Fulfillment Billing & Revenue Management Customer Service Market Communication 1 2 3 4 5 6 Architecture & Integration 7 Some of our Co-Innovation Group Members:
  • 45. 45 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ US UK PT HK BE One Major UK Utility DE / + 4 major US Utilities The major HK Utility Our global Cloud for Utilities Co-Innovation customers1 as of January 2020 1. Some companies are by policies not allowed to be published here – more information can be received in direct communications
  • 46. 46 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Together with our Co-Innovation customers, we work on common goals to drive the next generation market standard Business Goals of the SAP Cloud for Utilities Program § Simplify Pricing for Subscription § Simplify Offering for Transition Services § Minimize Business Disruption to Ease Stepwise Transitions § Cloud Operation Services (SLA on end2end) § Reduce Cost to Serve § Reduce Cost of Change § Reduce Change Management Effort What How Enabler Tools to be discussed with Co-Innovation Group § Define seamless pricing model § Define seamless transition model § Build modular business transformation services § Define operations SLA-packages tailored to customer need § Define and automate best practice processes § Define customer extension methods § Provide Learning Platform
  • 47. 47 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ What’s the value of co-innovation for you as a customer? Ÿ Active participation in scope definition Ÿ Influence the new market standard for utilities Ÿ Speed-up time to market through early adoption Ÿ Share experience with industry peers and potential collaboration partners Ÿ Direct access to development resources and development support during go-live Ÿ Leverage hybrid landscape models to catalyze transformation Ÿ Capitalize of new technologies and the relevance to the industry (i.e. ML, AI, Blockchain, ...) Ÿ Prepare your transformation and build internal multipliers for the change management process and being able to scale fast
  • 49. SAP Cloud4Utilities Product Definition & Marketing FROM LEAD… …TO CASH Market Communication – Intercompany Data Exchange Customer Experience Analytics & Process Monitoring & Integration Customer Request Search Products Sign Order Market Analysis Product Definition Launch & Marketing Orchestrate Order Order Execution Fulfillment Conclusion Consumption & EDM Billing & Invoicing Payment Handling Order Fulfillment Billing & Revenue Management Selling Product Definition & Marketing
  • 50. 50 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Disruption is fundamentally changing the Customer Relationship. The Prosumer journey focuses on consuming, generating, storing, and trading energy and services. Single faceted Relationships: Traditional Multi-faceted Relationships: Prosumer Centric Utility delivers commodity Utility measures consumption Utility bills the customer Utility responds to customer requests Customer closes contract for Point of Delivery Consumes, generates and stores energy Desires a smart home to increase comfort and reduce risks Trades energy via distributed ledger (Blockchain) Relies on e-Mobility for sustainable transportation needs Requires automation to aid decision-making and optimize behavior
  • 51. 51 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ “Today customers buy experiences from energy suppliers”. Source: IDC Energy Insights White Paper, 2017 Disruption is changing Customer Expectations
  • 52. 52 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Customer Experience Mandate New Products and Services Blockchain Digital transformation Fast time to market for Electric Vehicles Promote Energy Independence Disruption is changing the Business Model to serve the Digital Prosumer Rethink entire business from Prosumer’s perspective
  • 53. 53 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The Age of Utilities as Intelligent Solution Providers Move to “as a service” and Subscription Model Acting as a Trusted Advisor and Partner Upselling Cross Selling Prosumer self service covering all subscribed products Customer Experience as a differentiator Intelligent recommender Manage broad set of offerings using marketplaces Offer turn-key solutions rather than complex options Utility Company as a Consumer Brand Packages of commodity- and non-commodity services, equipment and connected devices
  • 54. 54 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ The New Energy Consumer Handbook, page 9 Business challenges §Evolving utility service model §Bundling of commodity and non- commodity products §Growing competition from other players §Regulatory pressure §Dynamic customer preferences Increasing competition for energy-related products and services
  • 55. 55 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Manager creates Product(s) in an excel spread sheet or some document Product Manager/ IT Expert Sets up Product(s) in sales system (CRM, online portal etc.) Billing Expert Sets up the Billing and Invoicing to make the products billable Integration Expert Sets up integration between sales systems and the billing system Product becomes available for sale No Central Product Management Dependency on IT Cumbersome Integration Idea to Market Time – 2 weeks to 3 Months Several Challenges slow down the time-to-market
  • 56. 56 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Faster time-to-market is key to staying competitive
  • 57. 57 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Faster time-to-market for new products and services Equip Product Managers with an intuitive, business-user-friendly tool to quickly define new products, service and bundles without dependency on IT Faster time-to-market for new products and bundles Seamless integration with billing & sales systems Central Product Management – No Dependency on IT Integration with Marketplaces Product Definition Vision Competitive Market and Product Performance Analysis
  • 58. 58 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Definition Defining & Bundling of Commodity & and Non-Commodity Products COMMODITY PHYSICAL SUBSCRIPTION SERVICE
  • 59. 59 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ 5 years in a row, Gartner Magic Quadrant Market Leader Take care of your customers’ orders across all channels with one system. SAP Commerce Cloud Built-in agility layer Feature-rich commerce platform Industry-flavor Commerce B2C, B2B, or B2B2C Pre-built integrations
  • 60. 60 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Minimize risk with a proven commerce platform specifically designed to offer ways for a quick Go-to Market with new products and services (commodity and non-commodity) and deliver an omni- channel customer experience that streamlines the purchasing process. Start to offer, or come up with, new and innovative ways for your customers to shop and purchase bundled product and service offerings they want - driving higher customer lifetime value and customer advocacy. Simplify and streamline operations with a modern and proven data model with full backoffice administration and support. Lower customer service costs with unified customer view, strong personalization and predictive capabilities. Empowering Utilities with essential tools and processes to deliver an exceptional and simplified omnichannel customer experience for their customers SAP COMMERCE CLOUD FOR UTILITIES Business View and Benefits
  • 61. 61 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP COMMERCE CLOUD TELCO AND UTILITIES ACCELERATOR Product Content Management
  • 62. 62 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Commodity Billing and Order Fulfillment SAP S/4HANA Utilities IS-U (C4U Hybrid) SAP Subscription Billing (C4U Cloud-Only) SAP S/4HANA Cloud Non-Commodity Billing and Order Fulfillment SAP S/4HANA Cloud SAP Subscription Billing Commodity and non- commodity Product Integration APIs SAP Cloud Platform Commodity and non- commodity Order Integration APIs Product Definition High-Level Architecture SAP Commerce Cloud (Telco and Utilities Accelerator) Product Content Management Utilities Storefront
  • 63. 63 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Commodity Product Definition and Fulfillment (C4U Hybrid) SAP S/4HANA Utilities Utilities Product Integration Layer (UPIL) Billing Configuration IS-U Contracts Technical Master Data Bill Simulation Product Integration Utilities Product S/4 Product SAP Cloud Platform Integration SAP Commerce Cloud (Telco and Utilities Accelerator) Product Content Management Utilities Storefront SAP Multichannel Foundation for Utilities (MCF) Utilities Sales Contract Customer Management OR
  • 64. 64 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ More Information SAP API Business Hub SAP Innovation Discovery SAP S/4HANA Utilities 1909 Product Assistance
  • 65. 65 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Definition roadmap is part of overall SAP and industry roadmaps Current roadmaps are available at sap.com https://www.sap.com/products/roadmaps/finder-all.html https://www.sap.com/products/roadmaps/finder-industries.html Roadmap
  • 66. 66 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Marketing
  • 67. 67 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Consumers are extremely critical of a key aspect of the customer experience – Personalization IDC Study: CUSTOMER EXPERIENCE
  • 68. 68 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ 2.8 billion personalized interactions Trusted source of business SAP Customer Experience Deep Marketing Insights Optimized Marketing Orchestration Best-Run Customer Experience Perfect Customer Profile
  • 69. 69 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Deliver personalized offers, pricing, education based on individual consumption and generation patterns, installed equipment and devices with SAP MARKETING CLOUD THE TOOL FOR LISTENING AND AUTOMATED ENGAGEMENT WITH THE CUSTOMER CONTINOUSLY BUILDS CUSTOMER PROFILES FOR MARKETING
  • 70. 70 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Marketing Vision Deliver personalized offers, pricing, education based on individual consumption and generation patterns, installed equipment and devices with SAP MARKETING CLOUD
  • 71. 71 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Integrated Platform supporting the end-to-end Marketing process… Merge, match & enrich Events & interactions Campaign execution in all channels Plan, measure & optimize Contexts, interests & predictions, powered by machine learning Personalized targeting & orchestration Capturing responses Loyalty data Market data & events Sales & service data Financial data Premise, Contract, Usage/Generation(*) Social media, mobile, IoT Mobile & social channel Digital channel Personalized commerce Interaction center Lead, opportunity E-mail, sms (*) planned enhancements for Utilities
  • 72. 72 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ …through preconfigured Marketing scenarios *These scenarios requires an additional license Consumer and Customer Profiling Segments, Campaigns, and Journeys Commerce Marketing Marketing Analytics Marketing Planning and Performance Lead Management and Nurturing Loyalty Marketing* Customer Attribution* SAP and other 1st Party Applications 3rd Party Applications (for data & execution) Commerce ERP – S/4HANA Sales Service Social providers Mobile providers Ad Providers Data going in & out Data going in & out
  • 73. 73 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP S/4HANA Utilities SAP Cloud Platform SAP Marketing for Utilities Integration Package SAP Marketing Cloud SAP Commerce Cloud SAP Service Cloud SAP Sales Cloud § Utilities-industry-specific segmentation § Customer 360° Profile with utilities-specific attributes § Predictive analytics and scores (e.g. churn propensity) § Trigger-based communication Utilities-Specific Integrations with SAP Marketing Cloud SAP Subscript ion Billing SAP S/HANA Cloud SAP Cloud for Energy
  • 74. 74 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Utilities Specific Segmentation SAP Marketing Cloud
  • 75. 75 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Utilities Specific Segmentation SAP Marketing Cloud
  • 76. 76 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Not in current C4U focus Inherited from cross- industry Commerce Management B2B Commerce Bundling, Configuration & Subscription Mgmt. Commerce Integration & Extensibility Commerce Platform Operations Headless Commerce APIs Omnichannel Content Management Pricing & Promotions Search & Navigation Contextual Personaliz ation Context-Driven Customer Recovery Context-Driven Foundation Context-Driven Merchandizing Context-Driven Segmentation Product Content & Data Management Data Aggregation and Validation Localization and Internationaliz ation Media Management Product Content and Catalog Management Product Data Transformation and Syndication Product Reporting and Analytics Workflow and Collaboration Commerce Marketing Marketing Recommendati ons Remarketing Lead and Account- Based Marketing Account- Based Marketing Marketing Lead Management Marketing Planning & Performance Digital Asset Management Marketing Collaboration Marketing Planning and Budgeting Segments, Campaigns & Journeys Audience Targeting and Segmentation Campaign Management and Optimization Cross-Channel Engagement Social Campaigns and Engagement Real-time Audience Profiling Marketing Profile Real-Time Predictions and Scoring Marketing Analytics Insights and Performance Management Sentiment and Interest Analysis Customer Data Management Customer Identity Management for B2B Customer Identity Management for B2C Customer Profile Management Enterprise Preference and Consent Management Product Definition and Marketing for Utilities Cross-industry + Industry specific enhancements Business Capability View
  • 77. 77 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Product Definition Product Road Map – Key Innovations Q4 / 2020 1 Recent Innovations 1 Q3 / 2020 1 Q1 / 2021 1 1 This is current state of planning and may be changed by SAP at any time without notice. SAP S/4HANA 1909 FPS2 Utilities Product Integration Layer (UPIL) Commodity Product Definition • Utilities Product Device Measurement Capability • Configurable Product Attributes • Capture Product Configuration as part of commodity order capture • Product Transport Commodity Product Definition in SAP Commerce Cloud TUA Commodity Product Integration of SAP Commerce TUA & SAP S/4HANA Utilities • Integration Content on SAP API Business Hub Enhanced APIs for Product Definition and Bill Simulation (UPIL) Commodity Product Definition • Support for Time Slices • Reuse existing rate category (new Rate Fact Group) • Reuse existing rate category (new Register Fact Group) OData APIs • Change Product Process (in Customer Management) Product Import Interfaces for Non- Commodity Products • Inbound replication of Physical Products and Service Products from SAP S/4HANA Cloud • Inbound Replication of Subscription products with SAP Subscription Billing Simple Bundling of Commodity & Non- Commodity • Bundling of Imported Physical, Service and Subscription products with commodity (Simple bundling without complex logic) Integration with Marketing • Utilities sales contract • ISU Objects - Installation, Premise, Contract, Contract Account, Other Enhanced Bundling with simple rules and discounts Composite Pricing Definition of Subscription Terms & conditions for commodity products Ÿ contract term, extension, cool-off, notice, price guarantee Enhanced MCF Sales Contract API Ÿ capture additional commodity order attributes (as key-value pairs) BP MDM integration of Marketing Definition of Commodity Contract Terms Advanced Bundling with Complex Rules and Discounts UPIL support for FI-CA postings (e.g. for Joining Bonus). UPIL API for IS-U Price Replication/Upload into TUA Enhanced MCF Sales Contract API to capture additional commodity order attributes (as key-value pairs) – S/4 Ÿ S/4 - Definition of Subscription Terms & conditions for commodity products (contract term, extension, cool-off, notice, price guarantee). Commodity Contract Period Regime Ÿ Definition of Subscription Terms & conditions for commodity products (contract term, notice, price guarantee period). Multi-division product classification concept (model company) Sales of bundle product Ÿ Multi-division bundling
  • 78. 78 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Product Definition Product Road Map Overview – Key Innovations 1 This is current state of planning and may be changed by SAP at any time without notice. H1 2021 H2 2021 > 2021 Sales of bundle product • Advanced Bundling of Commodity & Non-Commodity Products (with discounts/price alterations & complex compatibility rules). • Distribution of Products and Bundles to Sales Channels beyond Online, i.e. Call Center (C4C) and Self-Service (SEW). Definition of Subscription Products, Physical Products and Service Products in TUA PCM and export to respective fulfillment/billing systems i.e. SB and S/4HANA Import of Simple Service Products from S/4HANA into TUA Enhanced Bundling of Commodity & Non-Commodity Products (with compatibility rules and policies) Definition of discounts on commodity products (e.g. discount on usage/kWh charges or recurring charges). Definition of Product-Meter Compatibility for Commodity Products Integration with Market Places, e,g. Verivox, uSwitch. Commodity Contract Period Regime part II • Definition of Subscription Terms & conditions for commodity products (extension, cool-off, notice, price guarantee by end date).
  • 79. 79 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Marketing Product Road Map – Key Innovations Q4 / 2020 1 Recent Innovations1 Q3 / 2020 1 Q1 / 2020 1 1 This is current state of planning and may be changed by SAP at any time without notice. Integration with SAP S/4HANA Utilities § Commodity Product § Sales Contract (CM) § Installation Facts § Etc. Customer Profiling and Segmentation – Capture device and appliance data § Deliver new “Appliance/Device” Business Object in Marketing to cater to service industry needs § BO to model devices such as a electric meter, EV charging station, Solar/Batter (Utilities) or modem/smartphone (Telco) KPI’s & Scores § Supplier Switch Propensity § Consumption Classification § Peer Group consumption classification Customer Profiling and Segmentation using Contract Account and Utility Contract data § Deliver new segmentation content for service industry (utilities, telco, insurance) Campaign Automation § Change of Supplier Scenario § Commodity Product Price Change Scenario KPI’s & Scores § Financial hardship (bill payment) identification § Customer Value/Profitability Score Integration with C4U Cloud Components e.g. Subscription Billing § Integration with Business Partner from S4 HANA Cloud § Integration with Contract Account from S4 HANA FICA Cloud § Integration of Contract with Subscription Billing § Integration of Technical Objects like Premise, Connection Object etc. with Cloud For Energy Commerce Cloud for Utilities Integration § Integration into S/4 HANA Utilities via UPIL for ISU Contract Integration Cloud only Scenario for integration with Billing/Contract Management Callidus Support Campaign and journey orchestration: Personalize e-mails with utilities- specific data § Enablement of the Content Studio 1:N framework for Marketing Agreements Integration with SAP S/4HANA Utilities S/4HANA 2009 SP0 § More attributes from Utilities data model Financial Health Score
  • 80. 80 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Marketing Product Road Map Overview – Key Innovations 1 This is current state of planning and may be changed by SAP at any time without notice. H1 2021 H2 2021 > 2021 Campaign Automation • Utilities Contract term expiry approaching scenario • Bill shock scenario Intelligent product creation: • Recommendations for new product creation based on existing product performance compared to competitor products • Outcome based product creation Realtime monitoring and analysis of product/bundle market performance Integration with C4U Cloud Components e.g. Subscription Billing • Integration with Business Partner from S4 HANA Cloud • Integration with Contract Account from S4 HANA FICA Cloud • Integration of Contract with Subscription Billing • Integration of Technical Objects like Premise, Connection Object etc. with Cloud For Energy Integration with Other Systems: • Marketplaces, e.g. Verivox (price comparison with competitors) • Qualtrix (customer surveys) Customer Data Cloud Integration • Customer Communication Preference Management Predictive/Next Best Action • Intelligent Product recommendations for scenarios: win-back, cross/up sell, price change
  • 81. 81 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Integrations Inbound and Outbound Replication into and from TUA PCM SAP Commerce Cloud Telco & Utilities Accelerator SAP Subscription Billing Commodity Products Subscription Products SAP S/4HANA Cloud Physical Products Service Products SAP S/4HANA Utilities
  • 82. 82 PUBLIC © 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ • Commerce Mktg: Product Recommendation – Demo Store – April 1st 2020 • Commerce Mktg - Product Offers – Demo Store • Commerce Mktg: Retargeting – Demo Store • Utilities E2E - Save in the Sun - Utilities Sunroof Program – Demo Store • Marketing Campaign – Sharepoint • Product Definition UPIL - Sharepoint Available Demos Product Definition and Marketing
  • 83. 83 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ • Marketing • FirstEnergy Services Company • Mercury NZ Limited • Electricity Supply Board • MVV enamic GmbH • Product Definition • MVV enamic GmbH Customer References Product Definition and Marketing
  • 84. SAP Cloud4Utilities Selling FROM LEAD… …TO CASH Market Communication – Intercompany Data Exchange Customer Experience Analytics & Process Monitoring & Integration Customer Request Search Products Sign Order Market Analysis Product Definition Launch & Marketing Orchestrate Order Order Execution Fulfillment Conclusion Consumption & EDM Billing & Invoicing Payment Handling Order Fulfillment Billing & Revenue Management Selling Product Definition & Marketing
  • 85. 85 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Take care of your customers’ orders across all channels with one system. SAP Commerce Cloud 5 years in a row, Gartner Magic Quadrant Market Leader Built-in agility layer Feature-rich commerce platform Industry-flavor Commerce B2C, B2B, or B2B2C Pre-built integrations
  • 86. 86 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Attract and retain loyal customers by way of bonuses, promotions, attractive packaging with SAP COMMERCE CLOUD FOR UTILITIES
  • 87. 87 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Minimize risk with a proven commerce platform specifically designed to offer ways for a quick Go-to Market with new products and services (commodity and non-commodity) and deliver an omni- channel customer experience that streamlines the purchasing process. Start to offer, or come up with, new and innovative ways for your customers to shop and purchase bundled product and service offerings they want - driving higher customer lifetime value and customer advocacy. Simplify and streamline operations with a modern and proven data model with full backoffice administration and support. Lower customer service costs with unified customer view, strong personalization and predictive capabilities. Empowering Utilities with essential tools and processes to deliver an exceptional and simplified omnichannel customer experience for their customers SAP COMMERCE CLOUD FOR UTILITIES Business View and Benefits
  • 88. 88 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP COMMERCE CLOUD Utilities Storefront • Device Compatibility • Easier to manage and maintain • Cost Effective • Improved user experience • Single URL enhances Search engine optimization (SEO)
  • 89. 89 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Commerce Cloud - Telco and Utilities Accelerator Your Path to Digital Business • Maximize productivity, agility and flexibility for quick time-to-market • Realize higher Average revenue per user (ARPU), greater customer satisfaction and increased customer lifetime value • Lower TCO with an open, flexible and extensible architecture • Single system for managing complex product offerings, web content, commerce operations and channels • Reduce administrative effort and operational costs • Lower customer support costs
  • 90. 90 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Benefitting from Service Industries Standardized Data Model Supports service provider selling processes (tariff change, retention, acquisition…) Full cross-channel backoffice administration and support The SAP Commerce Telco and Utilities Accelerator BOOSTS the commerce platform to make Service Providers run best.
  • 91. 91 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Telco and Utilities Accelerator | Key Capabilities Deliver great experiences • Consistently provide flexible, contextual, personalized shopping experiences across any channel and on any device. • Gain insight into your customers buying behavior • Deliver a more enjoyable customer experience through a guided selling journey Adopt global standards • Compliance with TM Forum standards allows the commercial product catalog to be mastered across all channels and across systems (OSS/BSS). • The Customer Inventory data model enables customer retention process flows and eligibility Empower your customers § Full account visibility and maintenance with feature-rich, self-care capabilities § Full control over their customer journeys § With consent management, customers have full control over their personal data, storage and usage Provide exceptional service • With the Assisted Service Module, customer support agents can provide real-time sales and service support with a 360⁰ view of customers and service ticket integration. Optimize process flows • Support of acquisition and retention flows • Enhanced shopping cart and checkout Simplify your front office • Create, maintain and support rapidly changing complex product offerings, bundles, pricing, price overrides, content, rules and promotions with backoffice administrative tools.
  • 92. 92 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Offerings • Simple Product Offerings (SPO) • Bundled Product Offerings (BPO) • Full backoffice support Product Specifications • Product Specifications • Product Characteristics • Customer Facing Service Specs • Resource Facing Service Specs Pricing • Flexible price row structure • Process Based Pricing • BPO Price Overrides • Full backoffice support for pricing maintenance Telco and Utilities Accelerator | Key Features Customer Product Inventory • Subscribed Product Offerings • Account Hierarchy • Billing Arrangements • Average Usage Compatibility • Cardinality, Dependencies & Auto Pick • Supports complex conditions • Based on: Product Offerings, Product Offering Groups, Product Specification Characteristic Values Process Flows • Acquisition • Retention • Tariff Change • Prepaid to Postpaid TM Forum API’s TMA features exposed as REST API’s complaint with TM Forum Open API standards • Product Offering • Product Inventory • Self-Care Eligibility • Customer-centric content and pricing • Leverages Customer Product Inventory • Personalizes storefront behavior
  • 93. 93 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Product Offering Variants • Ability to offer variations of a product offering with • Color and Storage Size • Supports multiple configurations and pricing Utilities Storefront Full support for commodity and non-commodity product offerings with complex pricing, bundles, configurable guided selling and self-care SmartEdit Support • Visual editing - Web Content Management Tool • Designed for non-IT users • Easy to use & efficient • Personalization Capabilities Telco and Utilities Accelerator | Self-Care and Customer Support Media Storefront Full support for digital product offerings with complex pricing, bundles, configurable guided selling and self-care Consent Management • Capture explicit user consent • Customer control over personal data • Right to be forgotten Assisted Service Mode • Seamless out of box integration • 360⁰ view of customers • Support Tickets • Order placement on behalf of customers Self-Care • Display CPI • Display Average Usage • Cross-Selling / Up-Selling • NBA / NBO Configurable Guided Selling • Product Offering Groups • Storefront Updates • Preconfigured Bundles
  • 94. 94 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Commerce Management B2B Commerce Cart and Checkout Commerce Chatbots Commerce Integration & Extensibility Commerce Platform Operations Commerce Storefront Customer Order Sourcing Headless Commerce APIs Omnichannel Content Management Search & Navigation Contextual Personalization Context-Driven Customer Recovery Context-Driven Foundation Context-Driven Merchandizing Context-Drive Segmentation Customer Data Management Customer Identity Management for B2B Customer Identity Management for B2C Customer Profile Management Enterprise Preference and Consent Management Partner Channel Sales Channel Analytics Channel Sales Partner Channel Management Partner Order Management Quote, Order & Contract Management Commodity Sales Customer Master Data Governance Order Capture Quotation Management for Energy and Water Sales Master Data Management Sales Quotation Management Sales Force Support Account and Contact Management Activity Management and Visit Planning Mobile Sales Opportunity and Pipeline Management Productivity and Personalization Retail Execution Sales Analytics Sales Collaboration Sales Lead Management Incentive and Commission Management Sales Lead Management Not in current C4U focus Inherited from cross- industry Selling Cross-industry + Industry specific enhancements Business Capability View
  • 95. 95 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities – Selling Product Road Map – Key Innovations Q4 / 2020 1 Q1 / 2020 1 Q3 / 2020 1 Q1 / 2021 1 1 This is current state of planning and may be changed by SAP at any time without notice. Simple web sales process • For integrated utilities: Validation of premise and utilities installation data (continued) • Display sales process exceptions to business users • Search & filter products based on consumption, smart meter (y/n), new/returning customer etc. • Dynamic Price Determination based on Grid Charges Web sales of different product types • Commodity (energy) products: electricity, gas, … • Subscription services • Simple physical products Simple web sales process (guided procedure) Ÿ For integrated utilities: Validation of premise and utilities installation data Ÿ … Interface to customer contract management (commodity contracts) § Trigger move-in process / preparation for rating § Very basic status management § Display contract details Integration with C4E • Meter lookup based on premise address Simple web sales process • Identification and matching of customer data • Customer onboarding: returning customer shopping experience • Get total price for the whole shopping cart • View details of product bundles • Select product bundles & add to shopping cart (Enable sales of Product bundles combining any or all of the product types) • Display contract details (continued) • Different contract terms’ determination during sales process • Trigger product change and termination of subscriptions Simple web sales process • Simple status management (including status changes’ communication) • Sell products depending on regions • Region lookup during signup process • Bundle comparison • Discounts on bundles Sell very simple service products (no FSM) Simple call center sales process • Enable first version of simple sales process for use in call center (end customer calls in and agent sells products to him/her) Integration with MaCo Cloud Customer contract management (commodity contracts for liberalized utilities) supporting supply switch and Annex processes) Integration with S/4 HANA on premise Region lookup during signup process Ÿ Mandatory because Utilities Sales Contract requires it
  • 96. 96 INTERNAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Cloud for Utilities - Selling Product Road Map – Key Innovations Simple web sales process § For liberalised utilities: enable validation and management of premise and utilities installation data (call external API towards central hub like in NZ/NL) § Cross-selling and up-selling products § Offer products from third parties Sell simple service products (including FSM) Interface to customer contract management § Trigger cancel, move, renewal, … B2C Selling § Product serviceability: propose products based on measurement capabilities at customer’s premise (e.g. meter type…) - for integrated utilities or liberalized markets with central data hub § Intelligent product recommendation for simple sales process § Churn risk calculator integration with intelligent product recommendation § Intelligent security deposit calculator integration with simple sales process § Automated sales exception handling § Integration with 3rd party market place 1 This is current state of planning and may be changed by SAP at any time without notice. H1 2021 H2 2021
  • 97. 97 CONFIDENTIAL © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Products and Integrations – Selling starts the Offer to Cash process
  • 98. 98 PUBLIC © 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ • Commerce System • Assisting a customer in the ordering process – Video • New Cloud Portal Overview – Video – June 1st 2018 • Simplifying Administration with Self-service Cloud Portal – Video • Campaign to Cash with CPQ – Demo Store • Campaign to Cash with Ticketing – Demo Store – September 10th 2019 • Telco and Utilities Accelerator – Sharepoint – November 26th 2018 Available Demos Selling
  • 99. 99 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ • Mercury NZ Limited • Aksa (Kazanci Holding A.S.) • REWAG Regensburger Energie- u. • TMVW • Jemena Limited Customer References Selling
  • 100. SAP Cloud4Utilities Order Fulfillment FROM LEAD… …TO CASH Market Communication – Intercompany Data Exchange Customer Experience Analytics & Process Monitoring & Integration Customer Request Search Products Sign Order Market Analysis Product Definition Launch & Marketing Orchestrate Order Order Execution Fulfillment Conclusion Consumption & EDM Billing & Invoicing Payment Handling Order Fulfillment Billing & Revenue Management Selling Product Definition & Marketing
  • 101. 101 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Order Orchestration Physical products: Sales order created in S/4HANA Cloud – Sales Commodity service: Commodity contracts created in S/4HANA on Premise (hybrid option) or in SAP Subscription Billing (public option) Services provided by technicians: Installation service order and service contract created in S/4HANA Cloud - Service Subscriptions, Digital Products and Pay-per- use Services: Subscription contract created in SAP Subscription Billing The customer places an order in the web shop. The order includes the physical products, and services like commodity services, installations services or pay per use services. Captured centrally the order gets dispatched to the execution systems. Order Items 10 Boiler 20 Thermostat 40 Boiler Installation Service 60 Smart Home App Subscription 1 PC 1 PC 2 HOURS 2 USER, monthly fee $580 $100 $120 $5 Execution systems: 50 Maintenance Service monthly Fee $10 30 Energy Contract KWH 30ct
  • 102. Order Fulfillment of Physical Products – SAP S/4HANA Cloud - Sales
  • 103. 103 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ On any Device, use role based cockpits with digital assistant Embedded analytics for simulation, prediction & insight-to-action Machine learning for automated processing & decision support SAP S/4HANA Cloud - Sales …will run your order fulfilment business for physical products different than before It offers you to analyze and resolve order issues in Sales Order Fulfillment, combined with Track Sales Order for maximizing “no-touch” order rate. Fast access to all daily tasks via My Sales Overview page Predictive Delivery Delay
  • 104. 104 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Sales ManagementOverview Sales Order Fulfillment Delivery Performance It offers you to analyze and resolve order issues in Sales Order Fulfillment, combined with Track Sales Order for maximizing “no-touch” order rate. Fast access to all daily tasks via My Sales Overview page Sales Order Management and Processing Exception-based sales order handling
  • 105. 105 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Sales Processing using 3rd Party with Shipping Notification BD3 *Additional license - **Additional installation and license Sales Order Fulfillment Issue – Analyze and Resolve Issues Receive Supplier Invoice (EDI) Bill Customer Send Purchase Order to Supplier (Option: EDI) Automatically Create Purchase Requisition and Convert to Purchase Order Receive Order Confirmation of Supplier (EDI) and Update Order Send Order Confirmation to Customer Create third-party Sales Order Order fulfillment using 3rd Party to ship products to the customer Business Benefits: • Fulfill customer requirements while reducing stock and cost • Transfer customer requirements directly to external suppliers • Increasing efficiency by integration of sales and purchasing process • Data exchange with suppliers using EDI or via the Ariba Network are options for process automation • Utilities has full control over process and customer relations and sends invoice to customer based on quantities from supplier. This ready-to-run business processes enables you to forward orders to third-party vendors who ship the goods directly to customers and then bill you directly. The standard sales order automatically creates a purchase requisition. Once vendors have sent a shipping notification, a statistical goods receipt can be posted. Once this has taken place, invoices to the customer can be created. Receive Shipping Notification of Supplier (EDI) Send Shipping Notification to Customer Post Statistical Goods Receipt EDI Option: Integration of Procurement with External Suppliers 2EJ Sales Overview Track Sales Order Option: Automation of Source-to-Pay with Ariba Network (42K)
  • 106. 106 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Sell from Stock BD9 Sales Management Overview Sales Order Fulfillment Issue – Analyze and Resolve Issues Billing Optional: Proof of Delivery Picking Create Delivery Goods Issue Optional: Check Batch, Splitting outbound Delivery, Freight Cost Create Sales Order Order Fulfillment by delivering products from own stock Business Benefits: • Highly automated process to deliver products from stock • Fulfill customer requirements efficiently • Determine shipping point automatically This ready-to-run business process describes the entire process sequence for a standard sales process (Sale-from-Stock) with a customer. The business process encompasses all the steps to deliver what has been ordered. Track Sales Order
  • 107. Order Fulfillment of Subscriptions and Pay-per-Use Services – SAP Subscription Billing
  • 108. 109 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ SAP Subscription Billing Order Fulfillment of Subscriptions and Pay-per-Use Services Selling Usage Data Consumers SAP Subscription Billing Subscription Capture Subscription Management Business Model Design Subscription Monetization Billing and Revenue Management
  • 109. 110 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Basic Subscription Business § Basic rate plans § no rate plan templates required § mainly recurring charges Pay-per-Use Scenario § Rate Plans with multiple metric-based price elements § More sophisticated rate plans (e.g. volume pricing) § Requires definition of metrics and usage based rate plan elements § Requires technical resource ID management § May require order orchestration for technical resource ID § Requires usage data collection Digital License Business § Requires definition of subscription parameters § Use of rate plan and subscription snapshots § Complex rate plans (advanced proration, custom amounts, percentage rates) Typical Use Cases and Examples for Services • yearly fee for a Smart Home App • monthly fee for a Fitness Center Membership Card • e-charging card for e-car with one time fee for each charging activity and fee per KWH of charged electricity • using an e-scooter and pay per minute • Mobility Card for Public Transport and pay per km/mile of linear distance between start and target Examples • Software License
  • 110. 111 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Pricing Models Supported • One-time fees • Recurring fees • Usage fees • Block pricing • Volume pricing • Tiered pricing • Percentages • Overage fees • Free periods / amounts • Proration Subscription Example: Product: Print on Demand Rate Plan: ABC Pricing Parameters: • Installation Fee : 100€ • Monthly Fee : 50€ • Price Per Block Col : 2€ • Price Per Block BW: 1€
  • 111. 112 PUBLIC © 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ Feature Description § "Bills Overview" for last 12 months' bill amount for default market. § "New Subscriptions" created in last 14 days. § "Expiring Subscriptions" in coming 14 days Home Page – Overview Data of the Subscription-Based Business