Transform Your Business

Using SAP Enhancement Packages For SAP ERP

Christian Oehler SAP Business Suite Solution Management Version 2.1 Page 1 SAP 2008 / (August 2009)

Legal Disclaimer

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.
SAP 2008 / Page 2 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Agenda

AGENDA
1

Overview SAP Enhancement Packages For SAP ERP News with SAP Enhancement Package 4 For SAP ERP Outlook And Further Information

SAP 2008 / Page 3 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Agenda

AGENDA
1

Overview SAP Enhancement Packages For SAP ERP News with SAP Enhancement Package 4 For SAP ERP Outlook And Further Information

SAP 2008 / Page 4 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

CIOs Dilemma: Deliver Innovation without Disruption

Once my system is up and running, you can touch my core processes once every 5 years ...

and it needs to be a Saturday

and my CEO wants me to innovate every quarter

CIO, Fortune 1000 Manufacturing Company

Enhancement Packages = Innovation + Stability

Enhancement Packages reduce conflict between stability and innovation ENHANCEMENT PACKAGES = INNOVATION + STABILITY
Installation of enhancement packages as part of routine maintenance
Selective, non-disruptive activation of innovation at any time - driven by business needs

INNOVATION
Fast and easy introduction of business innovation at any time when needed

STABILITY
Stable and robust business processes for maximum efficiency and low TCO
Routine deployment of support packages to sustain compliance

SAP 2008 / Page 6 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Improved Software Lifecycle

In previous days: Upgrades

Business Requirements / System Functionality

and now: SAP Enhancement Packages

Business Requirements / System Functionality Business Requirements

Business Requirements

R/3 4.6c Implementation = innovation gap

ERP Upgrade

Time

ECC 6.0

EHP 2

EHP 4

Time

= R/3 4.6c standard = ERP 6.0 standard

= innovation gap

= ERP 6.0 standard = EHP functionality

Upgrade as a major business activity every 5-6 years to fulfill business requirements.

New functionality implemented in digestible portions via SAP enhancement packages.

Permanently decrease functional gap With SAP enhancement packages for SAP ERP continuous provisioning of new functionality is possible.
SAP 2008 / Page 7 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

How is this possible?

SAP recommends to include the latest Enhancement Package in case you upgrade to SAP ERP 6.0

Cost

Traditional SAP Application Innovation Lifecycle

EHP

New SAP Application Innovation Lifecycle

Upgrade

Upgrade
Support Package Support Package Support Package

EHP Support Package Support Package

EHP Support Package

SAP System

Time

Release Upgrade

Maintenance: Support Package Stack

Legal/Tax Changes, Corrections, Mandatory

New: SAP enhancement Packages for SAP ERP

New & improved functionality Optional, new Software Components Activate new functionality in Switch Framework via Business Function

SAP ERP (ECC 6.0)

Technically a set of Support Packages and patches

Install SAP enhancement packages combined with Support Pack Stack as a maintenance activity with only minor additional effort (ABAP).

SAP 2008 / Page 8 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Roadmap SAP Enhancement Packages for SAP ERP

SAP ENHANCEMENT PACKAGES FOR SAP ERP

EHP1 Delivered

EHP2 Delivered

EHP3 Delivered

EHP4 Delivered

We follow our roadmaps and keep promises

First four generations of SAP enhancement packages for SAP ERP delivered and adopted in the market Proven by the high number of 3340+ live customers

SAP 2008 / Page 9 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Growth Of Productive EHP Customers

In total: 3340 productive EHP customers

General availability of EHP 3

General availability of EHP 4

2900 new productive EHP customers within the last 12 months (+750%)

Benefits of SAP Enhancement Packages

Further Customer Proof Points

Within an extremely short timeframe, we managed to implement functional enhancements around Real Estate Management. We went live after only a few weeks.

Innovate Just in Time

Stability and Access to Innovation activate new functionality on demand.

Martin Kling, Head of Group Financials, TreuHandStelle GmbH

We were delighted that no side effects occurred at all outside the activated new functional capability. The EHP concept allowed us to fulfill requirements years before we will start our next release upgrade. The end-user reactions were very positive and no critical issues occurred.
Stephan Polster, Project Manager, ThyssenKrupp Steel

Cost reduction
Lower effort to install functional enhancements, ideally silent as part of system maintenance Easier testing with standard test case templates
SAP 2008 / Page 11 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

The implementation of SAP enhancement package 2 for SAP ERP 6.0 was much easier than upgrading a full release. We installed all the software components that we could get in order to be open to implement further innovations at minimized cost at any time.
Thomas Muhler, Technology Consultant, cormeta ag

We implemented enhancement package 2 in order to use the new capabilities for Bank Relationship Management. No critical issues occurred. The implementation was very easy.
Joerg Engel, System Engineer, Wuerth-Group

Upgrade vs. Enhancement Package Installation - Summary

Criteria
Business Downtime Total Project Duration Duration of Project Phases in weeks

Upgrades
48 hours 21 weeks Preparation: 3 w Blueprint: 3 w Realization: 8 w Prep for cutover: 3 w Prod. Cutover & support: 2 w

SAP Enhancement Packages - 50%

24 hours 7 weeks Preparation: 1 w Blueprint: 1 w Realization: 2 w Prep for cutover: 1,5 w Prod. Cutover & support: 1 w

- 67%

- 50 to 75%

Based on current statistics of EHP 2 and EHP 3, enhancement package installation projects are easier and faster than upgrade projects.

1 Based on 140 upgrades from SAP R/3 4.6C to SAP ERP 6.0. Source: Upgrade Experience Database Based on 51 enhancement package installations to SAP EHP 2 and 3. Source: Enhancement Package Experience Database

What the Ramp-Up Showed

Installation

Perceived as smooth and straight forward

Customer should plan for some additional technical preparation and execution effort with new EHP installation tool (EHPi)

Implementation
Turned out to be much simpler than customers expected

Effort
Large effort savings if compared with upgrades

We were 3 times faster than in our upgrade project.

Business Function Concept

System behaviour indeed only changed where a business function was activated
Capsulation of business functions using the Switch Framework works very well

Key Message: The enhancement package concept works.

SAP 2008 / Page 13 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Agenda

AGENDA
1

Overview SAP Enhancement Packages For SAP ERP News with SAP Enhancement Package 4 For SAP ERP Outlook And Further Information

SAP 2008 / Page 14 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

New With EHP4 for SAP ERP: SAP Enhancement Packages for SAP NetWeaver
Improvement Benefits

EHP

EHP

EHP

SAP ERP 6.0

EHP EHP

SAP NetWeaver 7.0

BUSINESS SUITE - Stable Core

EHP 4 components for SAP ECC Server 6.0 always require* SAP enhancement package 1 for SAP NetWeaver 7.0 Optional deployment of SAP enhancement package 1 for SAP NetWeaver 7.0 usage types, e.g. Portal

Clear separation of new functionality in enhancement packages and corrections in support packages Reduced effort for testing and no enduser training required when applying SAP enhancement packages Adding new functionality predictable and controllable

SAP 2008 / Page 15 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

*Installation will be automatically performed altogether.

At-A-Glance: SAP Enhancement Package 4

Financials
Treasury & Risk Management
Exposure & Hedge Mgmt for Commodities and FX Correspondence monitor with automatic matching IFRS 7 Reporting

Sales and Service

End-to-end support for supplier and customer returns Sales order entry via CRM Incentive and commission management

HCM
Talent Management: New capabilities for E-Recruiting Performance Management : UI, Functionality and Integration Enhanced Compensation Management Integrated Talent Management Processes (incl. Nakisa) Enriched learning solution HCM processes & forms for mass processes

Master Data Governance: Central Maintenance for Chart of Accounts Financial Supply Chain Management
New enterprise services and new web UIs Collections Management: Support of several backends and collections from subsidiaries

Financial accounting and New General Ledger Information Life Cycle Management for Tax Auditing Simplified Reporting and Power Lists

Concurrent Employment Management

Additional HCM Localizations Employee Interaction Center

Corporate Services
Enterprise Asset Management New standard solution for Recycling Administration (REA) Project Management Handling large projects Real Estate Management New capabilities for Travel Management Quality Management Q-Notifications Cross SAP ERP: Coverage of all common business cases with PDF-Based Forms

Product Development and Manufacturing

Highlights
Procurement and Logistics Execution
Extended Service Procurement Procurement Multiple Account Assignment Supplier Managed Inventory (SMI) and Vendor Managed Inventory (VMI) Extended Warehouse Management integration with Kanban and repetitive manufacturing

Outsourced manufacturing scenario: Work order integration Product Life Cycle Management new functions, UI and integration to iPPE Manufacturing Execution (Configurable dashboard and more) Flexible and adaptive manufacturing processes with order-split functionality Cross systems tracking of all batch related objects Integration to SAP LPO

Comparing SAP Enhancement Packages for SAP ERP and SAP NetWeaver
SAP Enhancement Package 1 for SAP NetWeaver supports SAP Enhancement Package 4 for SAP ERP SAP Enhancement Packages for

Installation Procedure

Impact of Installation

Selective Activation

SAP ERP

New functions are switched on selectively (ABAP switch framework) Both: Efficient and fast installation with EHP installer based on proven SAP software lifecycle management tools Both: No UI or process change for end users after installation of SAP enhancement package. NW EHP adds new functionality, but does not replace existing functionality SAP provides an impact analyzer tool and test case templates

SAP NetWeaver

Switching procedure between old and new UI screens is provided

SAP 2008 / Page 17 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

SAP Enhancement Package Installer

New Standard Installation Tool

New Installation Tool

SAP enhancement package Installer

RELIABLE & INTUITIVE

Mature, stable and optimized system switch procedure
Improved user experience due to intuitive guided procedure Streamlined installation process
SAP 2008 / Page 18 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

MINIMIZED DOWNTIME
Risk mitigation due to isolated shadow system Plan for some additional technical preparation and execution runtime

Agenda

AGENDA
1

Overview SAP Enhancement Packages For SAP ERP News with SAP Enhancement Package 4 For SAP ERP Outlook And Further Information

SAP 2008 / Page 19 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

SAP Business Suite 7 Outlook

Accelerated Innovation
Composite Applications

Increasing flexibility through composition SAP Business Suite 7 core applications: EHP 4 for SAP ERP 6.0

CE 7.1

SAP NetWeaver

PI 7.1

Continuous Innovation
Non-SAP
EHP EHP EHP EHP CRM SRM SAP Business Suite 7 EHP EHP SCM PLM EHP EHP

SAP CRM 7.0

SAP SRM 7.0

SAP SCM 7.0 SAP PLM 7.0 SAP enhancement packages across the SAP Business Suite 7 planned for 2010

ERP

SAP NetWeaver 7
(foundation for the SAP Business Suite)

SAP 2008 / Page 20 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

Summary

Gain stability and access to innovation Upgrade only the enhancements applicable to your business Reduce risk and downtime Speed implementation and test less Reduce training effort

SAP 2008 / Page 21 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler

New version of SAP Enhancement Package Must Know Guide available

What IT professionals must know about SAP enhancement packages for SAP ERP

service.sap.com/erp-ehp
SAP 2007 / Page 22

Get Started - Enhancement Package Infocenter

http://service.sap.com/erp-ehp

SAP Enhancement Package Strategy for SAP ERP SAP Enhancement Packages Frequently Asked Questions

What IT professionals must know about SAP Enhancement Packages & How to Install EHP4: A Practical Guide

SAP EHP Info Center SAP EHP Info Center

ERP@BPX: EHP Forum & Wiki

Lifecycle of SAP Enhancement Packages SAP EHP Technology Facts

Thank you for your time.

Questions?
Christian Oehler Solution Manager Solution Management SAP Business Suite
SAP AG Dietmar-Hopp-Allee 16 69190 Walldorf Germany Mobile Fax E-Mail +49/160/3603621 +49/6227/78-31120 christian.oehler@sap.com

SAP 2008 / Page 24 / Introducing SAP enhancement package 4 for SAP ERP / Christian Oehler