TEC103 SAP S/4HANA

Overview, Strategy, and Road Map

Public
Speakers

Las Vegas, Oct 19 - 23 Barcelona, Nov 10 - 12

Rudolf Hois Rudolf Hois

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Disclaimer

This presentation outlines our general product direction and should not be relied on in making a
purchase decision. This presentation is not subject to your license agreement or any other agreement
with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or to
develop or release any functionality mentioned in this presentation. This presentation and SAP's
strategy and possible future developments are subject to change and may be changed by SAP at any
time for any reason without notice. This document is provided without a warranty of any kind, either
express or implied, including but not limited to, the implied warranties of merchantability, fitness for a
particular purpose, or non-infringement. SAP assumes no responsibility for errors or omissions in this
document, except if such damages were caused by SAP intentionally or grossly negligent.

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SAP framework for digital business
Adapting to the digital economy requires a simple and powerful strategy framework

Every company can develop a

Workforce Supplier Collaboration
Engagement Business Networks digital strategy across these 5
pillars:
1. Outcome based customer
experience
SAP FIORI 2. Re-platform core business
processes for high throughput
Digital Core and combine business process
and analytics
3. Smarter and engaged workforce
across all employees and
contractors
4. Supplier collaboration to
accelerate growth and innovation
HANA CLOUD
Big Data & Customer Experience 5. Harness internet of things and
PLATFORM
Internet of Things Omni-Channels big data to drive real-time
insights and new business
SAP HANA PLATFORM models

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 Simplification User Experience & Work Patterns

Choice of Deployment Configuration & Flexibility

SAP S/4HANA
On-Premise
Edition
Migrate-ability
Cloud Edition

SAP S/4HANA

* On-Premise Edition

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Architecture, editions, & landscapes
Simplified data model

De-normalized Data Models

Traditional normalization in
relational DB saved data
volume but incurred duplication
and performance loss (needed
joins, unions, replication, )
Columnar store compresses
per column and changes the
fundamental need for
normalization
Result: Performance gains (no
joins ), multidimensional
analysis, simpler code and
data models, hierarchy
simulation capabilities

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SAP S/4HANA massively reduces complexity in IT landscape

SAP Finance
S/4HANAwith
Finance
aggregates and indices SAP Logistics
S/4HANA Supply
with aggregates
Chain and indices
MSEG Master
BKPF BSEG
ACDOCA BSIS BSIK BSET MSEG MARC MSTB MSKU MSSQ MSSA MSKA MARDH MKOL MSTBH
New Data

MKPF MARD MSTQ MSPR MSTE MSLB MCHB MSKAH MCHBH

LFC1 GLT0 COBK COEP COSP

MSTQH MSLBH MSTEH MSKUH MARCH MSPRH MKOLH MSSQH MSSAH

Simplified data model

Semantically rich data model
Drop performance workarounds
Keep all information
Overcome locking and increase throughput
Enable simulation

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Investment protection
Non-disruptive with compatibility views

Program Reading Program Reading

Aggregate Aggregate

Compatibility
views calculate on
the fly

Aggregate / Index Header Item

Aggregate
Aggregate

DB Tables

Suite on HANA SAP S/4HANA

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SAP S/4HANA
Data footprint reduction

Compression in
columnar storage

Traditional DB on HANA S/4HANA Actual

Database Footprint
593 GB
Reduction in
SAP Simple Finance Data Aging
5 fiscal years in the
118.6 GB system, 1 year aging
frequency

Replace totals with on-the-fly aggregation. 42.4 GB

Replace secondary indices with dynamic
projection and selection.
8.4 GB

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SAP S/4HANA real-time analytics architecture
Foundation for new class of applications
Applications
(incl. insight-to-
Operational action)
SAP S/4HANA
applications Reporting Query
Tools

Zero latency!

SAP NetWeaver PLATFORM

SAP HANA Views (Virtual Data Model)

Core Data Services (CDS)
ABAP Layer

Physical Tables
SAP HANA Database Layer

Atomic Instantaneous Pre-defined

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Virtual data model as enabler for multiple consumption types

Generic SAP BI clients and Analytical Built-In Analytics:

Apps Hybrid Transactional and Analytical
e.g. SAP BusinessObjects Analysis Office, Design Studio, Applications
SAP Lumira, Smart Business Cockpits e.g. SAP Smart Business cockpits

Enabler for
Extraction to SAP BW*

Virtual Data Specific Models (Analytical Queries, Search Models, ) Customer Extensions
Model
Virtual Data Model Customer
For Search, operational and analytical processing Extensions

SAP HANA Platform

Application Tables External Sources / IOT

*This way SAP enables existing BW extractors to also support Simple Finance and other Innovations in SAP SAP S/4HANA

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SAP S/4HANA Suite
Introducing the next generation core & lines of business solutions for the digital economy

Suite
SAP S/4HANA SAP S/4HANA
Human Resources Finance

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

Sourcing and Procurement Marketing Sales Service

SAP S/4HANA SAP S/4HANA SAP S/4HANA SAP S/4HANA SAP S/4HANA
Manufacturing Supply Chain R&D and Engineering Sustainability Asset Management

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Key innovations in logistics
Material Requirements Planning
Fast MRP run, and new working model for MRP
controllers based on decision support.
Inventory Management
Simplified data model resulting in increased through-
put, flexible analytics at the most granular level.
Available To Promise & Backorder processing
Enhance ERP by advanced ATP capabilities in APO,
new coding to make it better, innovation benefit as
functionality will be refreshed.
Capacity Planning
New deployment option for bringing PP/DS on ERP,
reducing integration efforts, allowing seamless master
data & UI harmonization.
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Material Valuation
Principle of One, scalable material valuation capabilities, utilizing
Material Ledger, that way customers can use multi-currencies,
valuation methods per different accounting laws like GAAP.
Order Management & Billing
Enable monitoring of end-to-end order-to-cash process & take actions for
any exceptions, information on the exceptions to resolve the issues,
lower TCO due to data model simplification, support for the most recent
versions of business features such as FSCM Credit Management, GTS
Foreign Trade, SAP Simple Finance Revenue Accounting, new analytical
capabilities.
Procurement
Increased efficiency in the Procure-to-Pay processes, new
Analytical Apps & Spend KPIs, Ariba Network Integration for PO
Order and IV.
Industry to Core
Discrete industries functionalities such as Just-in-Time & Just-in-
Sequence available for wider cross industry adoption through the
Core.
This is the current state of planning and may be changed by SAP at any time.
Public 13
Simplicity for users: specific, efficient, responsive

Fiori

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Intuitive user experience and a responsive design

Today Target
Functional-based applications Role-based applications

from: One transaction for multiple roles with too much & to: Decomposed apps for each role with simple functions
complex functionality

from: Multiple entry points for the user & inconsistent user to: One entry point for the user & UX following common design
experience directions

This is the current state of planning and may be changed by SAP at any time.

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Key capabilities of a responsive design with SAP FIORI

Example: SAP S/4HANA Finance Consolidation of activities, Example: SAP S/4HANA Manufacturing - MRP Cockpit -
Intelligent navigation patterns, Intuitive usability Material Shortage

Contact data Credit data: Personalized Trends & analytics at

UKM_BP post-it notes a glance

Simulation

Full customer
contact history
Personalize layout Context-dependent Decision
variants actions Support

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SAP S/4HANA
Simplification list overview

Simplification Item
Simplification List
Basic Information
Area S-Item ID Short Description Area / AKH Edition / Release Simpl. Category

Simplification Item
Simplification Item Impact
Simplification Item Technical Impact

Area Custom Code Pre-Check XPRA

Simplification Item Business Impact

Simplification Item Impact Description Obsolete TRX Actions/ Recommendation Related Sol. Capabilities
Simplification Item

Area Related Services

Customer Effort Service Offering
Simplification Item

Describes mandatory and strategic change requirements

Describes impact on project effort and end users
Tool based analysis will be provided

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Your way to SAP S/4HANA
Scenario 1 System conversion

Scenario description
Customers who want to change their current
system into a SAP S/4HANA system. Software Update
SAP S/4HANA
On-Premise Edition
Database, NetWeaver and Application
Manager (SUM)
with Database
transition in one step. Migration Option
SAP GUI (DMO) (SAP GUI) / SAP Fiori

Benefits SAP ERP Core * SAP S/4HANA Core

+ Migration without reimplementation AnyDB / SAP HANA SAP HANA

+ No disruption for existing business processes
+ Re-evaluation of customization and existing
process flows

Further information in S/4HANA Cookbook What How

Rapid Database Migration of

Installation SAP Business Suite to SAP
* and migration S/4HANA (all one step migration)
using SUM with DMO

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Overview of the extensibility capabilities of SAP S/4HANA

SAP S/4HANA Side-by-side extensibility with SAP HANA Cloud

Platform:
In-app extensibility:
Learn from the outside, weave external content into your
Context-aware extensions, focus on tight integration
solutions

On-
+ On-
Key User Extensibility Premise Cloud Premise Cloud

Extensibility based on SAP HANA Cloud Platform

Custom fields and tables, analytics and forms
extensibility Enable an SAP Fiori and mobile user experience
Integrate with other cloud solutions (for example, from
Change or add business rules and business logic
SuccessFactors and Ariba, both SAP companies) and
(cloud ABAP Web editor)
third-party solutions
Managed Extensibility On-
Premise Cloud Take advantage of application services for SAP HANA
Designed with ABAP programming language Cloud Platform (cloud portal, mobile documents, output
to be cloud lifecycle-stable management, etc.)
Classic Extensibility On-
Premise
Use a full-fledged development platform to build
Full access to ABAP (for example, Eclipse) extension applications (Java, SAP HANA native
development)

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SAP HANA Cloud Platform: Simple extension and agility layer for
customers and partners

RUNTIME FOUNDATION DEVELOPMENT PLATFORM

SCOPE EXTENSIONS CLOUD INTEGRATIONS

WEB INTEGRATED
Integrate non-SAP Functions DEVELOPMENT ENVIRONMENT Concur

SuccessFactors
Application SAP HANA SAP HANA
Build your own capabilities services Cloud Portal Cloud Ariba
Integration
Run extensions in cloud hybris
or on-premise SAP HANA Cloud Platform Fieldglass

On-premise Cloud Hybrid

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Simplicity for implementation

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The solution road map
Supply Chain side-by-side and integrated with S/4HANAS/4 HANA

Supply Chain Planning Integrated Business Planning (IBP) Supply Chain Execution Platform
(On-Premise Deployment) (New, Unified Platform for Cloud Deployment) (On-Premise Deployment)

Advanced Planning & Optimization Supply Chain Control Tower Transportation

Warehouse
(APO - DP, SNP, PP/DS, GATP) Management Management
Sales & Operations Planning

Supply Network Collaboration (SNC) Supply &

Demand Inventory Track & Trace
Response
SAP HANA Platform SAP HANA Platform SAP HANA Platform

S/4HANA
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The solution road map
Migration options for CRM functionalities Sales, Service, Marketing

Cloud- Edition
SAP SAP
SAP S/4HANA yMkt Cloud for
ERP Cloud Edition Customer

Cloud or
On-Premise
On-Premise Edition

SAP yMkt
SAP S/4HANA
CRM 7 On-Premise SAP CRM 7
Edition on HANA

Recommended for fast adoption

Business Suite 7 S4HANA

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Key take-aways

1. SAP S/4HANA is built for the era of digital business

2. SAP S/4HANA is available on-premise and in the cloud

3. The path from an existing ERP to SAP S/4HANA is feasible

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Where to go for more information

SAP S/4HANA, Co-Innovation @ SAP S/4HANA

Discover SAP S/4HANA SAP S/4HANA, cloud edition trial on-premise edition trial

How to get there Detailed SAP S/4HANA road map:

Joint the Community Top Questions and Answers S/4HANA Cookbook SAP Service Marketplace

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SAP TechEd Online
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Further information

Related SAP TechEd sessions:

BA214 - Reporting with SAP S/4HANA: From Operational Reporting to Insight-to-Action
TEC803 - Road Map Q&A: SAP S/4HANA
TEC111 - Build Smart, Run Simple with SAP S/4HANA
TEC113 - SAP S/4HANA Integration and Hybrid Deployment Models
TEC114 - SAP S/4HANA Migration and Upgrade Paths
TEC116 - Key Use Cases for SAP S/4HANA and How to Enable Them Technically
TEC206 - Architecture and Components of SAP S/4HANA
TEC207 - Built-in Operational Real-Time Analytics with SAP S/4HANA
TEC208 - Extensibility Concepts for SAP S/4HANA
ITM230 - Data Migration to SAP S/4HANA with SAP Landscape Transformation
ITM 111 - Easy Transition to SAP S/4HANA with Data Volume Management
DEV105 - Extensibility Framework for SAP S/4HANA: An End-to-End Scenario

SAP Education and Certification Opportunities

www.sap.com/education

Watch SAP TechEd Online

www.sapteched.com/online

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Feedback
Please complete your session evaluation for
TEC103.
Contact information:
Rudolf Hois
Vice President - P&I S/4HANA Innovation Delivery
r.hois@sap.com
T: +496227741554 I M: +491702200099

Thanks for attending this SAP TechEd session.

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In particular, SAP SE or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop
or release any functionality mentioned therein. This document, or any related presentation, and SAP SEs or its affiliated companies strategy and possible future
developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP SE or its affiliated companies at any time
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