SAP CRM Implementations and Upgrades: A Step-byStep Guide

Peter Ware BearingPoint

2008 BearingPoint, Inc. All rights reserved.

What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

Main Focus of This Session

Project management techniques, tools and lessonslearned from SAP CRM Projects All topics that are an essential part of CRM projects

Cover what works and what doesnt work

Applies to IT and project managers and team members with an imminent SAP CRM implementation Intended to inform, offer guidance, and help you negotiate the learning curve a little less painfully

Before We Start Anatomy of a CRM Project

Based on a recently completed SAP CRM 5.0 Global Service Management implementation project for a hightech manufacturer

Addressed Service Order Management, Contact Center, Technical Support, Project Cases, Scheduled Maintenance, Product Service Letters, Scheduling and Dispatch, Confirmations, Contracts Management, Billing and Service Finance, Business Intelligence and Field Service Mobility via Blackberry devices Implemented in US, EU and Asia,14 countries, 2,200 users, in 15 months

Also other valid lessons learned from 30 years project management experience

History tends to repeat itself

What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

Project Initiation

Defining the problem to be solved The importance of involving stakeholders early Defining the business requirements Determining the Return on Investment (ROI)

Defining the Problem to Be Solved

Strategic considerations

Ideally a project should evolve from strategic considerations The corporation creates a vision for the future with goals for the next 5-10 years The division determines how it will support, and what it should do to realize the vision and goals This then would include some form of business transformation with objectives defined to realize the goals A business transformation will compete for investment in the corporation If it is not a foundation of the overall strategic plan it may be at risk downstream from competition for funding A solid ROI and payback to justify the investment is necessary
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Tactical considerations

Stakeholder Management

Stakeholders set the vision, direction, and requirements for the project Get stakeholder influence inputs early in the life-cycle later in the project cycle is more costly to change Stakeholders: executives, management, users, internal and external customers 7

Building Blocks to the New Business Model

Defining the Business Requirements

When the need for the project is identified, start defining the requirements and process for the new business model Options
1. Define the current and future states of the business model 2. Minimize the current model and focus on the future

state model 3. Dont do either; use the SAP standard processes and capabilities as the guideline for the future state model of the business

Option 1: Documenting the Current State

Pros

Identifies business as usual that must be supported in addition to the new changes that must occur A framework to analyze current state process issues and translate them into the potential ROI Defining todays requirements eases the leap to tomorrow

Cons

An investment that is often judged as not required Adds time and cost to the project timeline

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Option 2: Documenting the Future State

Pros

Essential to define the requirements to support the new business model new strategic capabilities Confirms ROI by identifying processes that capture benefit Identifies business areas that require more definition Participation provides the leverage for adoption (ownership) The future state can develop beyond the basic requirements to satisfying wish lists or non-essential (to the business case) functionality Could define a model that is outside standard SAP functionality (e.g., has a high enhancement component, thus increasing risk and cost)
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Cons

Option 3: Using SAP Standard Processes As the Future State Model

Pros

Out-of-the box capability, as is, the software would require no enhancements Definitely the least cost and time to implement May offer significant change from existing processes, making it a hard change to adopt May not deliver the process improvements you are looking for in the benefits case The missing business as usual requirements are detected and require definition in design, causing delay The devil is always in the details; discovery sometimes hurts
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Cons

Criteria for Requirements Definition

Involve and or represent all stakeholders in the process Give each requirement a unique tracking number Sections

Function and sub-function: A statement summarizing the specific requirement Description: A more detailed explanation of the requirement Importance: A rating of assessed need, expressed as 1=Business mandatory, 2=Highly desirable, 3=Nice to have, 4=Not required Vendor rating: A rating or an assessment of requirements fit, expressed as S=Standard functionality, P=Partial functionality, A=Add-on (third-party), C=Custom functionality, O=Other Comments: A free-form multi-purpose field, may be used to further qualify or define requirement

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Later Purposes for the Requirements Listings

Provide traceability to the SAP functions

Tie the requirements to the SAP functions in the modules satisfying the requirement Planning: Identifies standard functions versus gaps Feedback to stakeholders: We listened Design: Provides specific information on functionality

Indicate which requirements or SAP functions are tied to planned ROI and benefits Repository for requirements and functionality for future releases never can do everything at once

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Relationship of Requirements and Process

ENTERPRISE DOCUMENTATION SCHEMA

A LEVEL

DOMAIN ABC Corp

B LEVEL

REQUIREMENTS

CALL CENTER

PROCESS
C LEVEL C LEVEL

REQUIREMENTS

CALL RECEIPT CALL RECEIPT

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Determine the ROI

Interview the leadership on their view of opportunity Piggy-back off the definition of current state process Conduct a workshop with a cross-section of the organization

Middle managers, supervisors, workers and finance

Supply a pre-prepared hit list of typical issues Ask the question What problems exist today across the organization? Identify every match, calculate an order of magnitude estimate Rank the top 20 based on results
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Determine the ROI (cont.)

Involve finance in the process (validated numbers) For each item, conduct a detailed costing using defect pricing techniques

Estimated expense, time, frequency

Also document the measures of the item Select the top 10 opportunities based on the savings realized if the problem is addressed Calculate the return over five years Estimate the proposed project costs and prepare an ROI Go get funding
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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Project Planning

High-level project life-cycle The planning process Setting the scope Technical requirements Project organization and staffing Project roadmap Budgeting

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High-Level Project Life-Cycle Planning

Planning and strategy

Project planning and kick-off Vision and principles Process scenario definition Business process validation Requirements validation Assess requirements against SAP CRM Conduct solution analysis Identify SAP functions to support business scenarios and functions
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Business process workshops

Solution analysis

Scope Design

Scope definition

Develop work packages Design documents Key design decision analysis Development specs Configuration templates Develop design documents Development specifications Configuration specifications Functional specifications

Solution design

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Build Deploy

System build

Develop configuration Develop configuration documentation RICEF development

System Configuration and Development

Business Process Procedures (BPPs)

Business Process Procedures

Develop BPPs
Testing
Integration Testing UAT

Testing

Integration testing User acceptance testing System cutover Go-live and support

Roll-out

System Cutover Go-Live!!

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The Planning Process

STATEMENT OF WORK
TECHNICAL ARCHITECTURE

SOFTWARE

BUSINESS REQUIREMENTS

SCOPE

SIZING

SAP FUNCTIONS
4/2/07 Project Start 5/21 CRP3 4/2 - 5/25 CRP 3 5/1/07 4/2/07 6/1/07 5/28 - 7/27 CRP 4 7/1/07

Project Timeline Title

TIMELINE
7/23 CRP4 9/10 IT1 9/24 IT2 10/29 11/12 UAT-C UAT-L 11/30/07 Final Cutover 2/1/08 Project complete 7/30 - 10/5 Integration Testing 8/1/07 9/1/07 10/1/07 10/8 - 11/26 UA Testing 11/1/07 12/3 - 1/6 1/7 - 1/24 Final Cutover Go-Live 12/1/07 1/1/08 2/1/08 2/7/08

H/W REQTS

4/2 Project Start

Execut ive Sponsor Advisory Com m it t ee St eering Com m it t ee
Business Archit ect

5/7 Start CRP Prep

5/25 5/21 CRP3 Start CRP3 Complete

Program Managem ent Of fice

SAP Solution Archit ect

4/9

4/16

4/23

4/30

5/7

5/14

5/21 5/25/2007

Project Management
Tracks
Organizational Change Managem ent Field Ex ec/ Com m s Business Transformation SAP Functional Business Intelligence

4/2/2007
Program Governance and Monitoring Q/A Environment Setup CRP3 Prep

Testing
Technical

CRP3

All
KPI / Metrics
SAP Business Warehouse Infrastructure

Design Integration (Business / Functional / Technical) Business Readiness

Key Act ivit ies

ORGANIZATION

Process & Procedures

CRP3 / CRP4 / IT / UAT

CRP3 / CR4 / IT / UAT

Design & Configuration
Configurations

Performance Test Lead & Team

Workforce Transition Training Custom er Readiness

Business
BPP Preparation Scenarios Configuration Baseline (60%)

Basis
Development

BPP Contact Cent er

Reporting / Analytics Com m ercial

Data Migration Lead & Team Testing Lead & Team

Service Delivery Mast er Data

Middleware Portal

PHASE, TRACKS, ACTIVITIES

SAP Technical Data Migration Change Management

SAP Functional

Configuration Docs (60%) Functional Specs (60%) Technical Specs (40%)

Development of pre-Integration Test (30%)

Data Clean-up / Data Migration planning & testing Change Management Change Agents

PROJECT PLAN

BUDGET

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Setting Scope

Total scope is a function of the overall business transformation being affected The bigger it is, the larger the risk and change components all the more difficult to manage Enterprise can absorb only a finite amount of change at one time

There is a business to run and the resources are always shared

Preferred choice should always be a series of smaller releases or successes

However, it is constrained by a number of factors

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Setting Scope (cont.)

Infrastructure

A global implementation converting a number of standalone systems to a single system allows the luxury of bringing up a region at a time much reduced risk

If the system being replaced or upgraded is already global, big-bang is the only way potentially high risk The larger the business transformation (e.g., operations, sales and marketing, and customer services) the more difficult it is to control the integration management of systems and processes across the enterprise Business dependencies create added risk
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Setting Scope (cont.)

Amount of custom work beyond standard functionality (Reports, Interfaces, Conversions, Enhancements and Forms (RICEF)), the higher the risk Technical requirements figure into scope

Bleeding edge is high risk Un-proven software releases or latest technology are risky Technical skills are scarcer on the latest release

Cost is directly related to the work and ultimately affected by the impact of risk Always consider risk when setting scope

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Technical Requirements

Scope drives technical architecture, sizing, software, and hardware requirements Within the scope, the business processes (e.g., types of transactions, volumes, and end users) are used in the sizing process The end result is the software combination required to support the solution set Hardware requirements in terms of CPU and memory are also derived from sizing

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Project Organization
Execut ive Sponsor Advisory Com m it t ee St eering Com m it t ee
Business Archit ect

Program Managem ent Of fice

SAP Solution Archit ect

Tracks

Organizational Change Managem ent Field Ex ec/ Com m s

Business Transformation

SAP Functional

Business Intelligence

Technical

Process & Procedures

CRP3 / CRP4 / IT / UAT

CRP3 / CR4 / IT / UAT

Design & Configuration
Configurations

KPI / Metrics
SAP Business Warehouse

Infrastructure

Performance Test Lead & Team

Key Act ivit ies

Workforce Transition Training Custom er Readiness

Basis
Development

BPP Contact Cent er

Reporting / Analytics Com m ercial

Data Migration Lead & Team Testing Lead & Team

Service Delivery Mast er Data

Middleware Portal

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Staffing the Project

Project staffing is in generic teams or tracks

Project Management Office, Business, Change Management, Functional, Technical and optionally Business Warehouse

There are also cross-track shared resources in purposedriven teams

Performance Test, Data Migration and Cutover and Testing

There may be special resources (e.g., SAP or business architects) Types of resources are based on the skills required Timing is based on the project plan Cost is based on activity time derived in the plan through the life-cycle phases
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CRM Project Roadmap

A roadmap is a means of delivering a methodology to the individuals who might benefit from using it The project roadmap is the framework that ties the proposed timeline to the methodology and includes:

Deliverables and ownership Stakeholder participation Milestones and phase reviews Manage the project Explain project status Set expectations on what the next steps are to stakeholders and the delivery team
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Used to:

Project Roadmap Timeline

Timeline Dates Major milestones Phase exits

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Project Roadmap Tracks and Activity by Phase

Tracks / Teams
Project Management Testing All Business
4/2 2007
Program Governance and Monitoring Q/ A Environment Setup CRP3 Prep CRP 3

4/ 9

4/16

4/23

4/30

5/7

5/14

5/21 5/25/ 2007

Each activity is timed Design Integration Business/ Functional Technical ( / ) and has a % planned completion to guide Business Readiness resource planning BPP Preparation
Scenarios Configuration Baseline (60%)

SAP Functional SAP Technical Data Migration Change Management

Configuration Docs (60%) Functional Specs (60%) Technical Specs (40%) Development of pre Integration Test (30%)

Data Clean up / -

Data Migration planning testing &

Change Management

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Put It All Together With a Little Explanation

4/2/07 Project Start 5/21 CRP3 7/23 CRP4 9/10 IT1 9/24 IT2 10/29 11/12 UAT-C UAT-L 11/30/07 Final Cutover 2/1/08 Project complete

4/2 - 5/25 CRP 3 5/1/07 4/2/07

4/2 Project Start

5/28 - 7/27 CRP 4 6/1/07 7/1/07

5/7 Start CRP Prep

7/30 - 10/5 Integration Testing 8/1/07 9/1/07 10/1/07

10/8 - 11/26 UA Testing 11/1/07

12/3 - 1/6 1/7 - 1/24 Final Cutover Go-Live 12/1/07 1/1/08 2/1/08 2/7/08

5/25 5/21 CRP3 Start CRP3 Complete

CRP3 is:
4/9 4/16 4/23 4/30 5/7 5/14 5/21 5/25/2007
Program Governance and Monitoring Q/A Environment Setup CRP3 Prep CRP3

Project Management Testing All Business

4/2/2007

Design Integration (Business / Functional / Technical) Business Readiness BPP Preparation Scenarios Configuration Baseline (60%)

SAP Functional

Configuration Docs (60%) Functional Specs (60%) Technical Specs (40%)

SAP Technical Data Migration Change Management

Development of pre-Integration Test (30%)

Data Clean-up / Data Migration planning & testing Change Management Change Agents

A validation of the configured solution at 80% complete, using endto-end business scenarios Some breaks in the system process will occur Some RICEF components will be shown as a part of the solution Core Team demonstration mode Viewed by Change Agent Team

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Each Phase Follows the Roadmap

4/2/07 Project Start 5/21 CRP3 7/23 CRP4 9/10 IT1 9/24 IT2 10/29 11/12 UAT-C UAT-L 11/30/07 Final Cutover 2/1/08 Project complete

4/2 - 5/25 CRP 3 5/1/07 4/2/07

5/28 Memorial day

5/28 - 7/27 CRP 4 6/1/07 7/1/07 8/1/07

7/30 - 10/5 Integration Testing 9/1/07 10/1/07

10/8 - 11/26 UA Testing 11/1/07

12/3 - 1/6 1/7 - 1/24 Final Cutover Go-Live 12/1/07 1/1/08 2/1/08 2/7/08

5/29 CRP4 Phase Start

7/2 Start CRP4 Prep

PTO Oppty
7/4 July 4th

7/23 Start CRP4

7/27 CRP4 Complete

CRP4 is:

6/4 5/28/2007

6/11

6/18

6/25

7/2

7/9

7/16

7/23 7/27/2007

Project Management Testing All

Program Governance and Monitoring CRP4 Prep Design Integration / Issue Resolution (Business / Functional / Technical) Business Readiness CRP4

Business

Business Process Procedures (50%) Scenarios Final Configuration (100%)

SAP Functional

Configuration Docs (100%) Functional Specs (100%) Technical Specs (100%) Development (75%) Data Clean-up / Data Migration planning & testing Change Management Cutover Planning

SAP Technical Data Migration Change Management

A validation of the final configured solution using end-to-end business scenarios Less breaks in the system process More RICEF components will be shown as part of the solution Core Team hands-on Viewed by Change Agent Team

Curriculum Development Change Agents

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Budgeting

Resource: employee or contractor Hourly rate Plan and actual hours Plan and actual cost Plan and actual expenses Summarize by department Accumulate long-term assignment cost Convert plan to actual each period

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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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The Role of SAP Solution Manager

SAP Business Suite implementation and upgrades

Accelerates implementation by providing content Speeds up blueprint, configuration, and final preparation phases Supports centralized control of cross-component implementations

Change control management

Controls all software and configuration changes with approvals Ensures traceability of all changes
Single point of access to the complete system landscape Centralized storage of testing material and test results to support integration tests

Testing

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The Role of SAP Solution Manager (cont.)

IT and application support

Helps manage incidents centralized handling of support messages

Root cause analysis

Diagnostics functions allow identification, analysis, and resolution of problems, even in heterogeneous environments Can isolate performance bottlenecks, incidents, and changes
Real-time monitoring of systems, business processes, and interfaces Automatic notifications

Solution monitoring

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The Role of SAP Solution Manager (cont.)

Service-level management and reporting

Automated reporting Makes appropriate service recommendations Includes SAP Safeguarding, SAP Solution Management Optimization, and SAP Empowering

Service processing

Administration

Tasks are executed locally but can be accessed and triggered from a central administration console Unified access to all SAP technology

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Linkage from Business to Transaction

A business scenario is a set of processes that define a business task in a comprehensive and selfcontained manner on a macro level A business process is a set of logically related activities performed to achieve a defined business outcome (cf. Davenport & Short, 1990)

Business Scenario
Contact to Log

Business Process
Contact Interaction Center

Process Step
Identify Account

A process step is an elementary activity performed to accomplish a process

Transaction(s)

CRM_IC

WebIC

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SAP Technical Feasibility Check

First step in managing technical risks for your SAP solution, in the framework of a SAP MaxAttention or SAP Safeguarding engagement Follows the risk management process of identifying, quantifying, assigning, mitigating, and then monitoring risks Delivered by an on-site team with remote access to additional SAP consultants Overall process is driven by your SAP Solution Manager

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SAP Technical Feasibility Check (cont.)

It takes time to bring the SAP team up to speed, focus on management time versus delivery time Our client signed up for it, it was a little difficult at first, but the SAP folks really dug in and validated the approach We received a completely clean sheet The validation is absolutely worth it and recommended, regardless of who the primary Systems Integrator (SI) is

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SAP GoingLive Onsite Service

Mitigate potential risks of critical go-lives React quickly to issues, due to fast access to SAP indepth knowledge Increase technical stability, performance, throughput, and maintainability of to-be solution Increase the competence of your support organization through knowledge transfer from the SAP consultants who are onsite, as well as, fast access to SAP knowledge Support the first run of critical processes at, and after, go-live, such as a period-end closing
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SAP GoingLive Onsite Service (cont.)

Document core business processes of the to-be solution Set up key monitoring functions of the SAP Solution Manager

For example: There was a problem with a J2EE engine, continually running garbage collection. As a result RPA scheduling notifications were not reaching the intended recipients and messages were queuing up within CRM. At the time there were approx 63,000 entries in the MapBox queue and slow performance for IPC (seven days since go-live) This is a key service process (dispatch notification)

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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Functional Execution

Deliverables Planning and delivering configuration User acceptance testing (UAT) UAT measures

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Functional Deliverables

Define SAP implementation strategy Define technical architecture and standards for the project Develop business process scope document Conduct business design workshops Design system solution Identify and define development requirements (RICEF) Define user roles and authorization requirements Establish development environment

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Functional Deliverables (cont.)

Prepare and conduct conference room pilot (CRP) reviews CRP1, CRP2, CRP3, CRP4 Build the SAP pilot release Gather detailed business rules and business values specifics for configuration Conduct baseline configuration, testing and shadowing with client Business Process Analysts (BPAs) Design rework as necessary to accommodate issue resolution and process exceptions Complete final configuration, testing and shadowing with client BPAs Author detailed functional specifications

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Functional Deliverables (cont.)

Author detailed configuration documents Resolve issues related to design and propose solutions Integration testing preparation, execution, and issue resolution Support business team in the creation of business process procedures (BPPs) Application role and user authorization definitions User acceptance testing preparation, execution, and issue resolution Trial and final cutovers preparation, execution, and issue resolution
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Functional Deliverables (cont.)

Go-live readiness review Go-live preparation and execution Post go-live support and issue resolution Support SAP BW functional team in activities related to design of InfoProviders and reports

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Planning and Delivering Configuration

You know when you are done when you finish Viewed as an art vs. a science

It cant be planned not! However, it is a struggle to plan for a number of reasons A configuration change that satisfies one situation can completely break an already tested and agreed upon step

SAP CRM is tightly integrated

The design has to be implemented and validated in a number of cycles, each one progressively adding functionality Most times you dont know what can be done or what will be a gap until you explore the capabilities of the system
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Planning and Delivering Configuration (cont.)

Avoid the tendency to go straight to defining a gap if the solution is not immediately obvious Configuration is implemented in a series of steps that culminate in a conference room pilot The solution, at its stage of development, is reviewed in the conference room pilot (CRP1 4) The users validate the solution and provide feedback and new requirements The later in the cycle the requirements are received, the more painful it is to include them without a schedule impact
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User Acceptance Testing

Conducted in 2x2 week workshop sessions, US and Asia About 40 people in each Representatives from every region/business group with a target of two attendees per role Prepared test scenarios made up of combined smaller test scripts around core business processes Added variations on a theme for exceptions Tracked test performance in pass/fail mode using HP Test Director Re-tested all failed scenarios and scripts following the workshops
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UAT Measures Scenarios complete Scripts executed Scripts passed

Executed scripts
120% 100% 80% 60% 40% 20% 0%
China Taiw an Singapore Japan Korea US Goal

07

07

07

07

07

07

07 /2 0 11 /2 0

/2 0

/2 0

/2 0

/2 0

/2 0

/2 0

/1 3

/1 4

/1 5

/1 6

/1 7

/1 8

11

11

11

11

11

11

Scenarios complete
90%
90% 80% 70% 60% 50% 40% 30% 20% 10% 0% China Taiwan Singapore Japan Korea US UAT Goal

Passed Scipts

80% 70% 60% 50% 40% 30% 20% 10% 0% China Taiwan Singapore Japan Korea US Goal

11 /1 3/ 20 07 11 /1 4/ 20 07 11 /1 5/ 20 07 11 /1 6/ 20 07 11 /1 7/ 20 07 11 /1 8/ 20 07 11 /1 9/ 20 07 11 /2 0/ 20 07

11 /1 3/ 20 07 11 /1 4/ 20 07 11 /1 5/ 20 07 11 /1 6/ 20 07 11 /1 7/ 20 07 11 /1 8/ 20 07 11 /1 9/ 20 07 11 /2 0/ 20 07

11

/1 9

/2 0

07

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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Technical Execution

Deliverables RICEF Rework CRM middleware Data migration and cutover Importing and migrating custom code Performance testing IT department touch-points

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Technical Deliverables

Environment setup QA, PERF, PROD Environment setup support to client for training CRP 3 support preparation and execution Author detailed technical specifications CRP 4 support preparation and execution Resolve issues related to system setup and environment RICEF development and unit testing Author technical documentation for RICEF items Manage RICEF workload distribution between client, vendor, and third-party Track RICEF allocation and delivery status in shared system
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Technical Deliverables (cont.)

Update the program plan with RICEF status Integration testing support preparation, execution, and issue resolution Application role and user authorization implementation of roles User acceptance testing support preparation, execution and issue resolution Cutovers

Trial in CRP 1 3 Final support of preparation, execution and issue resolution

Go-live readiness review Go-live preparation and execution Post go-live support and issue resolution

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RICEF

Always a critical and difficult area to manage Clear definition of scope is required up front, followed by formal change management to avoid scope creep Delivery is typically a mix of onshore and offshore The combination of managing onshore and offshore delivery is complex and potentially problematic Fortunately there are mitigation steps that can be taken

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RICEF Reports

Historical, operational performance

Export data to SAP BW daily Requires development of data extractors Requires development of data cubes Specialized design area Expensive resource, not too many around in CRM

Real-time, tactical, operational performance

Address through online reporting Keep it simple and avoid giving them ability to bring the system to its knees

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RICEF Interfaces and CRM Middleware

Most companies grow a heterogeneous environment that evolves over time

Then along comes SAP to offer a standard platform

Middleware provides standard integration between backoffice and front-office SAP systems Very few CRM implementations are standard The gaps are usually picked up by modifications to the standard middleware and custom interfaces A typical service SAP CRM project has many more interfaces in addition to the middleware supplied

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RICEF Conversions

Required to transfer the data from the legacy or source systems to the new SAP CRM system

For an upgrade it is SAP to SAP SAP R/3 to SAP CRM middleware SAP CRM SAP CRM middleware Standalone CRM or linked to SAP R/3 Legacy to SAP CRM combo of middleware and custom Key service requirement is to build the Ibase As-built Equipment has configurable components Component-level data comes from Manufacturing or build systems outside service Multi-step process: extract, clean up, build, load Middleware is useful but rarely supplies all the answers
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RICEF Enhancements

Always try to configure to meet the requirements

If you cant, it is a gap that is plugged by an enhancement

Enhancements are always a potential risk area due to complexity Complexity ranges from:

Simple: Adding and maintaining a data element on Web IC Complex: Writing a module to manage entitlement under varying conditions in the Contracts module Written by functional team and distributed to technical team who produce technical specifications, develop, and test

Functional specifications

Risk occurs in interaction between offshore and onshore resources in the development and acceptance testing process
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RICEF Forms

Typically easy and saved until the end

Usually a conversion of one type of form to a CRM form Layout, etc., is know In one SAP R/3 implementation, it was assumed that the new CRM forms would be a copy of the old However, users were not using the SAP R/3 forms They were using creative ways to extract and modify invoices, quotes, credit and debit memos

Forms require special attention

Forms deserve their own CRP and UAT sessions

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RICEF Work Distribution

High-level decision criteria

Cost Available resources Skills Complexity Criticality Physical location Knowledge

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RICEF Work Assignment Factors

Reports

Driven by the BI business with the business Much trial and error interaction BI focus onshore design onshore or offshore build Key knowledge: Legacy and SAP CRM onshore design offshore build Key knowledge: Legacy and SAP CRM onshore design offshore build Complexity very high onshore build

Interfaces

Conversions

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RICEF Work Assignment Factors (cont.)

Enhancements

Complexity very high onshore design onshore build Complexity medium onshore design offshore build Complexity low onshore design offshore build Offshore locations may have skills differences. This must weigh in where there are multiple choices CRM knowledge Seldom complex, always the last items to be fixed Onshore design offshore build testing requires data generated by end to end process execution

Forms

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Offshore Challenges

Very attractive based on cost an essential part of delivery now RICEF involves knowledge transfer from business to functional to technical resources across continents Communication must be clear and frequent, distance adds language and time delays to the mix Track progress through a shared Web-based tool workflow pushes the deliverable to the next person To meet technical requirements without error depends on more than the developer understanding of the code, understanding the impact of changes is important Rework is a fact of life and a killer of schedule
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Rework Is a Certainty Minimize It!

Offshore rework cycle

Offshore sends to onshore Four hours onshore response busy Two hours test time 16 hours time difference One hour communication Four hours offshore busy Two hours rework Offshore sends to onshore Total cycle time 29+ hours Take up to 30 cycles
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Complex developments

How do you minimize it?

Minimizing Rework

Visit vendors off-shore facilities

Assess: skills, availability, references, management, quality and infrastructure

Bring sufficient key technical people onshore during design

Ground them in the design docs team lead levels

Start technical specifications onshore and monitor quality Have the key technical people return offshore and recruit the team

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Minimizing Rework (cont.)

Review the resumes and experience Send low, medium, and some high complexity offshore as appropriate based on capability Retain very high complexity for onshore Bring the key technical resources onshore towards the end of Realization phase for acceptance testing and the inevitable rework

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CRM Middleware Capabilities

Products SAP R/3 Replicate materials from SAP R/3 to SAP CRM SAP CRM SAP R/3 is the system of record for configured products Installed Base SAP Equipment record created in SAP R/3 needs to R/3 SAP CRM trigger the creation of installed base individual object in SAP CRM Business Partners Download of customers in SAP R/3 to SAP SAP R/3 SAP CRM CRM as organizations Org Structure SAP R/3 SAP CRM Sales Order Replication SAP R/3 SAP CRM Download of organizational structure Standard sales order replication

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CRM Middleware Capabilities (cont.)

Employees SAP R/3 Standard employee replication SAP CRM Groupware VC SPA R/3 SAP CRM Pricing Config SAP R/3SAP CRM Integration to Microsoft Outlook and IBM Lotus Notes Variant configuration Pricing rules

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Data Migration and Cutover

Involves preparing and sequentially building the data that is required for the new system When the plan has been put together, we recommend at least three trial cutovers are planned

Test execution and develop the required level of detail and quality assurance

The longest most difficult part of the data migration for service is always the building the Ibase Data migration requires resources from the business who know the data they usually have other jobs to do This is a critical activity and always a potential risk area
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Sample Scope of Data Objects for Cutover

Data Object Current Source System
R/3

Target System
CRM

Migration Method
Initial download via middleware. Manually change the description of the sale org. Initial download via Middleware. Any additional information in Clarify will need to be evaluated and populated in the CRM customer master. Initial download via developed interface. Initial download via developed Interface. Initial download via enhanced Middleware interface. Business Partner relationships will need to be created in CRM based on information in R/3 and legacy HR. Initial download via middleware. Initial download via middleware. Manual data entry in CRM as Service Products.

Sale Organization Structure

Customer Contacts Employee Employee (Field Engineers, Sales Partners)

R/3 Legacy Legacy R/3 R/3, Legacy R/3 R/3 R/3

CRM CRM CRM CRM CRM CRM CRM CRM

Business Partner Relationships

Products (Materials) Products (Configurable Service Offerings) Products (Non-configurable Service Offerings)

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Sample Scope of Data Objects for Cutover (cont.)

Data Object
Spare Parts Tooling Resource Skills Resource Calendar Pricing Installed Base Top Level Tool Installed Base (As-Built) Installed Base

Current Source System

R/3 R/3 Training System N/A R/3 R/3 Manufacturing Legacy

Target System
CRM CRM CRM CRM CRM CRM CRM CRM

Migration Method
Initial download via middleware. Initial download via middleware. Manual data entry until developed interface is available in subsequent release. Manual data entry. Initial download to via middleware. Initial download via middleware. One time download and ongoing download via custom developed interface. One time extraction and load clean data via custom program.

Service Contracts

R/3

CRM

Automated initial download via custom program.

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Sample Scope of Data Objects for Cutover (cont.)

Data Object
Current Source System
R/3 Legacy Legacy Legacy R/3 R/3

Target System

Migration Method
Automated initial download via custom program. (Middleware should be the basis for the interface.) Automated initial download via custom program. Manual data entry. No data migration required. Manual data entry of open quotations into CRM service quotations. Automated initial download and conversion via custom program of open parts order into CRM service orders. Manual data entry and conversion may be required due to changes in service product offerings and invoicing process.

Warranties Open Cases (incl. FSRs) Closed Cases with DMRs Historical Cases Open Quotations Open Parts Orders Open Debit Memo Requests

CRM CRM CRM N/A CRM CRM

R/3

CRM

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Cutover Approach

First pass: Frames the skeleton plan that is inserted in the project plan with dependencies Each cutover has objectives that put flesh on the skeleton based on progressive elaboration Trial cutovers progressively explore and discover the endpoint requirements for final cutover It is a case of You dont know what you dont know when you start

For example: Number of plan line items grew from 80 250 for final cutover as understanding grew

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Trial Cutover Sequence Planned

Aug

Sept

Oct

Nov

Dec

Jan

Trial Cutover 1 (Q/A) 8/20 9/6

Test Conversion Programs ~75% success rate, small samples of data

~95% success rate -Training Sys Master Data - conversion only Ran middleware downloads

Trial Cutover 2
9/17 10/19

~99% success rate = Final Cutover Timings Performance Testing

Trial Cutover 3 10/22 11/16 Final Cutover 11/19 1/6

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Trial Cutover Sequence Reality

The planned sequences elongated due to issues, eventually running three in parallel This stretched resources to the utmost Ultimately all parts of the cutover were tested multiple times until the piece parts executed without defects Ibase conversion was complicated by the introduction of a new universal serial number Contracts conversion ran very slowly due to variant configuration copied from SAP R/3 and > 30 lines in the contract Added multiple parallel sessions to enhance performance
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Importing Custom Code

Package solution Project environment Identify re-usable source code Create transport requests in source system Import requests into target system Limitation versions have to be compatible

If versions are not compatible, still use as reference

Benefit is speed, saves time Perform functional test

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Migrating Custom Code

In an upgrade situation, development team must supervise Analyze

What is obsolete? What is re-usable?

Make a copy of the system Apply the new version Remove the obsolete code Work over the re-usable code Regression test

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Performance Testing

Objective

To prove that the designed CRM hardware, software, middleware, network, SAP R/3 and Portal solution will provide acceptable performance to support the business and be scalable for predicted growth Develop test transaction sets based on A day in the life around standard business processes Assume 80% of the work is based on 20% of the business processes Determine volumes and create virtual users on the load testing software application to simulate multiple users per test PC

Approach

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Performance Testing (cont.)

Tools

HP Load Runner IBM Rational Performance Testing solutions, Rational Performance Tester Extension for SAP Solutions Load-Injector servers connected to the WAN in the remote geographical regions containing virtual users and execution scripts 1 Gig RAM, P4, Intel Core Dual Processors 1 Virtual User is equal to approx. 10 normal users Windows NT boxes loaded with ADoW in remote geographical regions communicating to a centrally located box, monitoring and reducing trips between boxes
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Performance Testing (cont.)

ADoW

GUI doesnt usually have a response time problem Portal usually does have a response time problem SAP Application Delivery over the WAN Software Dramatically improves portal performance over the WAN Calculate a four to six times improvement with ADoW Six seconds with ADoW would be 24 to 36 seconds without Our portal applications response time was 4.1 seconds or less in Asia from the US ADoW provides an 8:1 reduction in traffic over the WAN

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Performance Testing the CRM Solution

End-to-end tests of all the parts connected by middleware

SAP R/3 CPU scalability: Max utilization >60% @ 300% load SAP CRM CPU scalability: Show excess utilization capacity SAP R/3 Main Memory scalability: Support 200% load SAP CRM Memory scalability: 20%of memory paged out @ 200% Workload sharing across servers: Show equal distribution End-user response time: Target < 6 seconds Must have the core transactions and middleware working Can make exceptions for low volume transactions or processes Concentrate on 80/20 rule and execute all processes in parallel
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Considerations

Sample Plan vs. Tested Results

Plan Transactions v. Tested
9000 8000 7000 6000 5000 Iterations 4000 3000 2000 1000 0 Service Case Release Schedule Case RPA FSR Spare Parts
Big Bang test, achieved load

2008 estimated transaction load

Business Process

Big Bang test from six regions: 200% of planned load

US, Singapore, Taiwan, Japan, China, Korea Injected load from same regions over the WAN
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IT Department Touch-Points

BASIS

Systems and middleware System performance

Security

Access and authorizations

SAP R/3 SAP CRM Portal Backup and recovery Approvals Sarbanes-Oxley (SOX)
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Systems and version management

Transport management

Desk-top services

What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Change Management

Significance Deliverables Managing stakeholder buy-in Readiness assessment Communications

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Significance of Change Management

A CRM system implementation is seldom, if ever, a pure technology swap (i.e., legacy out, SAP CRM in) The capabilities rarely stand still and are usually the drivers for the implementation New capability gives rise to policy, process, procedural, job content and required behavioral change for the stakeholders The capture of benefits associated with a CRM implementation relies on adoption of the required behavioral changes Change management is an essential CRM critical success factor, and yet it is often marginalized or ignored
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The Mission

A CRM Implementation is always undertaken to achieve an ROI ROI is gained by real people adopting the new system and processes and using it as intended Training is not enough in itself Changing behavior is critical to achieving ROI The focus of change management is changing behavior

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Change Management Deliverables

Organizational risk and readiness assessment Change strategy Stakeholder analysis Leadership action plan Global communications strategy and plan Mobilize and alignment plan Job impact assessment Work force transition plan Customer impact assessment Communications materials Organizational impact assessment
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Change Management Methodology

Assess organizational risk and readiness Articulate vision for change Assess Organizational Design change strategy Risk & Readiness Mobilize and align leaders Support Align organization Workforce Support the workforce Engage and communicate Align with stakeholders Organization

Articulate A Business Case & Vision for Change

BearingPoints Change Management Approach Focuses on User Adoption and Sustainable Change

Design Change Strategy

Mobilize & Align Leaders

Engage & Communicate with Stakeholders

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Managing Stakeholder Buy-In

You saw earlier the importance of the Stakeholder Stakeholders come in all shapes and sizes: executives, management, users, internal and external customers They all share a common trait expressed as WIIFM

What is in it for me?

Find the magic formula and they will buy-in

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Managing Stakeholder Buy-In (cont.)

Executives and management

$$$$$, corporate goals, personal goals Job satisfaction Will it make my job easier? Why am I doing this? Are you nuts? Customer Satisfaction How will my life improve because of what you are doing?

End users

Internal and external customers

You have to be able to satisfactorily answer the questions, and provide constant communications and feedback reinforcing the message

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The Role of Change Agents

Someone who affects the acceptance of change brought about by the new system and process in a positive or negative way Identify and create change agents, persons of influence who will help implement the new system Try to get the water-cooler influencers on your side, especially if they have a reputation of resistance to change

Converts are worth their weight in gold

The very same change agents can be Subject Matter Experts (SMEs) who will also double as trainers in a Train-the- Trainer strategy
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Organizational Risk and Readiness Assessment

How ready is the organization to receive the proposed systems and operational solution? Are they aware of the impact on their jobs? Are they aware of the changes in policy, process, and procedure? Do they understand what is being done? What are their reactions to the changes?

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Job Impact Analysis

Analysis documenting the changes in affected roles and responsibilities. The existing job specification is the start-point. What job specification? Dont forget policy, process and procedure in addition to system related actions. There may potential OSHA requirements.

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Customer Impact Analysis

Determine the impacts to the customer at the touch-points.

Is the delivery process changing? What are the required different behaviors? For example: You now must use a unique serial number to open a case.

Tell them what you are doing and what might happen so they are not blind-sided, keep the complaints down. What reactions will you get from customer, and your people will have to explain?

So now you have this new system your costs will go down, how about my contract price being reduced?

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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Training

Planning considerations Challenges Instructor-led training Web-based training Curriculum development options

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Planning Considerations

Who needs to be trained?

What are the job roles that are affected? What are the programs learning objectives? What processes need to be trained by job role? What are the user interfaces involved? How will you measure based on learning objectives? How will you report progress? How will you identify learning gaps? How will you close the gaps? Refresher training?

What needs to be trained?

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Planning Considerations Where, When?

Where are they located?

Are they remote? Can they get to a central location? How long will it take to train based on the delivery method? When will the system be ready for screen prints, etc.?

When do we need to do it?

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Choice of User Interface

There are a variety of technology-based solutions available to support a business process in SAP The decision regarding the best fit is not always about functionality; the end user has to be trained To present a number of user interfaces would be confusing and also greatly increase the training workload at all levels The choice of user interfaces was the subject of a business decisions document

Recommendation shown on the next slide

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Selection of User Interfaces

SL. No 1. Role / Functions Back Office Functions Installed Base Management Service Quotations Service Contracts Management Billing & Invoicing Proposed SAP User Interface Primary interface is SAP GUI. Secondary interface can be Enterprise Portals using CRM Business Packages

2.

Primary interface is SAP GUI. Secondary interface can be Enterprise Portals using CRM Business Packages Field Service Rep Portal (custom on Enterprise Portal) Blackberry Antenna Solution Interaction Center WebClient within Enterprise Portal. This will be transparent to user since it will reside in the Enterprise Portal. Resource Planning Application within Enterprise Portal. This will be transparent to the Resource Planner since it will reside in the Enterprise Portal. Enterprise Portals using CRM Business Packages Web Reporting
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3. 4. 5.

Field Resources Field Resources Mobile Interaction Center

6.

Service Resource Planners

7. 8.

Service Managers BW Reporting & Analytics

Challenges Faced in Training Development

The schedule stays the same and system delivery is late, which pushes training development Enhancements are often late, screen prints are always last minute updates Knowledge transfer

What the system does and why, has to go from the SME, to the training curriculum developer

Where they are different, the learning curve can be very painful and demands significant time of business people

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Instructor-Led Training
Pros Interactive, allows questions More satisfying for the student Allows trainer to monitor better Allows customization Is more effective than WBT Allows change aspects beyond the materials to be discussed In the language of the trainee Cons Must have trainers trained Preparation time is the same for every trainer Takes three sessions to get familiar and comfortable with the material Logistically, magnitudes greater to implement than WBT Balance lecture, demo, and hands-on No more than 15 20 minutes of lecture or lose the audience

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Web-Based Training
Pros No train-the-trainer required Reaches a wider, dispersed audience Doesnt require group scheduling unless via a WebEx Allows the student to train in off-peak times, reduces conflict with the ongoing job Cons Can only sustain interest in 30 minute bites Usually in English with local sub-titles More expensive to prepare than trainer slide materials

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Curriculum Development Options

Onshore Development Cost

Offshore Development Cost

Higher initial, saves in rework

Ease

Lower More rework/cycles Travel required for knowledge transfer More communication problems Rework and cycles higher Lowest cost Easy to manage

Facilitated knowledge transfer Fewer communication problems Option to have the business people develop the curriculum with expert guidance Less rework
Do it offshore

Ease

Production

Production

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What Well Cover

Introduction Project initiation Project planning SAP solution manager and services Functional execution Technical execution Change management Training Wrap-up

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Resources

Project Management Institute

www.PMI.org

SAP Safeguarding Reduce implementation or upgrade risk and cost and ensure proper performance

www.service.sap.com/safeguarding www.service.sap.com/MaxAttention www.sap.com/services/newsevents/press.epx?pressid=6549 www.sap.com/platform/netweaver/components/solutionmanage r/index.epx

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SAP MaxAttention comprehensive support

SAP Solution Manager

7 Key Points to Take Home

Dont forget that todays business has to be supported tomorrow define ahead of need Conduct solution reviews earlier than you are told you can If you are going to incur a delay, take it when you first detect it, waiting doesnt lessen it, it creates more work Rework will kill your schedule, use the mitigation Plan for the multi-tasking and definition that users have to do, it can delay your project Cutover always takes much longer than you think Work smarter not harder
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Your Turn!

How to contact me: Peter Ware peter.ware@servicewarellc.com

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