epm for saudia

© 2013 SAP MENA. All rights reserved. 1

BUSINESS ANALYTICS SESSION

SAUDI ARABIAN AIRLINES AND SAPPARTNERING FOR SUCCES


15 of the Top 23largest European Carriers run SAP *(by scheduled passengers carried)

7 out of the Top 10* largest airlines run SAP*(by scheduled passengers carried)

1.6 billion of the world’s passengersflown by SAP Customers

16 out of 29 Airlines with over 100 destinations run SAP

SAP Presence within the Airline Industry


Strong SAP Presence Within the Major Alliances

One World Star Alliance Skyteam

http://www.oneworld.com/satellite/satellite.cfm?teamcode=ay

http://www.oneworld.com/satellite/satellite.cfm?teamcode=ib

http://www.oneworld.com/satellite/satellite.cfm?teamcode=la

http://www.oneworld.com/satellite/satellite.cfm?teamcode=qf

















CONFIDENTIAL

Business Analytics Solutions from SAP for Airlines

CENK KIRAL

VP of EPM and Finance Solutions CoE

EMEA

© 2011 SAP AG. All rights reserved. 5

Lack of Accurate Insight Impairs Business Performance


Improved Insight Drives Smart Decisions


A Seamless Closed-Loop Business Analytics Approach is Required to Enable Organizations to Know, Decide and Act

Analyze volumes of customer data to drive cross-sell campaigns

Improve customer loyalty

Reduce operational costs and optimize performance

Analyze finances faster Know Decide Act

Your Business With Confidence Boldly

An immediate view of resources and assets

More timely information for customers


SAP Business Analytics Solution Platform

Analyze volumes of customer data to drive cross-sell campaigns

Improve customer loyalty

Reduce operational costs and optimize performance

Analyze finances faster

An immediate view of resources and assets

More timely information for customers

Analytic Applications for

Industries& LoBs

Enterprise Performance Management

Governance, Risk, and

Compliance

Business Intelligence

Enterprise Information

Management

DataWarehousing

Industry’sLeading Business Analytics Platform


The SAP Business Analytics Portfolio

BusinessIntelligence

Reporting Query, Reporting, and Analysis

Dashboards and Visualization

Search and Navigation

Advanced Analytics

Enterprise Performance Management

Strategy Management

Planning, Budgeting and Forecasting

Profitability andCost Management Consolidation

Spend and Supply Chain

Governance Riskand Compliance

RiskManagement

Access Control

Process Control

Global Trade Services

Environment, Health and Safety

Data Integration

Data Quality Management

Master Data Management

Metadata Management

Information Management


Business Analytics Solutions from SAP – Customers in Airlines


Flight Route Profitability

Goals Having information that allows utilisation of capacity in the best way Providing important input for Network decisions, Pricing, Marketing,…

Challenges Complexity of data flows, calculations and allocations of costs and revenues Complex operating costs – 100’s suppliers – 100’s contracts Multiple source systems Accurate forecasting requires complex financial model

Business Requirements A solution that can manage the complexity in a structured way Automation of process Flexibility of the model – easy to change Timeliness of information Reliable information to support Strategic, Tactical and Operational decisions


What Determines Route Profitability?


What has Saudia planned?

What?To implement a strategic initiative to deliver process change and solutions

to deliver a state of the art approach to; Flight Route Profitability Complex Budgeting Cost Management

Why? Improved management information to enable better informed business

decisions More efficient processes To become more agile To differentiate from other airlines


Dashboard Example


Example Output


SAP Profitability and Cost Management

Rapid, user friendly and efficient modeling Predefined logical data structure and point and

click assignments for rapid model build and low TCOI

Model complex allocations across multiple periods and versions using any methodology

Model calculations based on activity price * volume

Scalable enterprise-class solution Speedy deployment, training and user adoption;

centralized model admin; Web books for collecting non system data from remote users

Ability to process high data volumes without compromising accuracy

Multi-currency and multi-language aliases with full enterprise class security, traceback and audit

On-demand what-if analysis and scenario modeling

Unique on-demand query and what-if analysis

Manage costs and optimize profitability


User friendly, rapid and efficient model building

Pre-defined dimensionality for cost allocation and ABC

Versions, periods, cost centres,

currencies

Up to 5 output dimensions

Revenue types

Flexible rules engine

GL Account or Line Item


User friendly, rapid and efficient model building

Rapid point and click assignments

Select a cost and cost centre / station

Optional override by Version and Period

Either “cascade” costs to Cost Objects in a user defined order

OR

Assign the cost multi-dimensionally to the exact intersection of cost objects in a single step

Select the driver from the available list – and override by Responsibility Center if required

Select the Cost Objects either individually or

simply assign to all


SAP PCMC

oll

ec

t

Understand what drives costs

PCM helps optimize costs and maximize profit through superior business information and agility

Know exactly where profit is made

Effective and accurate measurement - route profitability and process costs

Optimize resources Understand what drives cost inside

the organization, Align capacity with demand

Collect and collate system and non system data using web-based data entry

Ide

nti

fy &

A

na

lyze

Analyze results to develop a deep insight into where profit is made and what drives costs

Rapidly build models using best practice methodology

Mo

de

l a

nd

U

nd

ers

tan

d CostsCosts

Cost ObjectsCost Objects

Test out scenarios to assess the impact of possible changes – then act

Tes

t o

ut

an

d

Imp

rov

e


PCM solutions for Route Profitability:Value proposition

Configurable dimensions to accommodate the specific requirements of the airline business

Route / Flight / Segment / Leg / Journey Booking Class / Cabin Class / ‘Product’ Aircraft Type / Sub-type / Owner / Age / Registration Sales Area / Channel Day of week

Transparency of cost assignments Understanding within the business community how costs are allocated Ability to trace back to source of cost Accurate allocation of remote station costs Support for alliances and service agreements

Support for calculated costs and weighted drivers Catering costs / Overflying fees / Landing fees typically calculated from activity price *

volume Need for weighted drivers to support cost allocation


SAP PCM in summary

Powerful Modelling functions

Model complex allocations

Flexible modeling capabilities

Faster Deployment

Easy to do “What If” simulations

Enhance Decision making process

Scalability to suit your enterprise needs

Handle Business Growth

Ease-of-use for all levels of users

Low Training Costs


Transportation & Logistics customers

SOUTHWEST

http://www.flysas.com/en/

http://www.akzonobel.com/index.asp

http://www.xpedx.com/

http://www.postoffice.co.uk/portal/po

http://www.porty-lotnicze.pl/

http://www.depolabo.fr/index2.htm


SAS runs SAP PCM for Cost Management and Profitability

29m passengers/year

1200 flights/day

• Costing of 350,000 flights per year

• 19m input records processed - 50m results record

• Monthly actual, annual budget and bi-annual forecast financial reporting

• Network development

• Aircraft investments

• Aircraft allocation

• Product and service evaluation

• Profitability comparisons and evaluations


Government(s)

Partners

Clients

The Strategy Management Process

Execution level(operative)

Heads of departments(tactical)

EXECUTIVES(strategic)

Finance

LogisticsSales

Marketing

CEO

One integrated system for all management processes

Strategic planning

Execute the strategy down at all operative units

Example: Increase Customer Satisfaction!KPI?

Global strategy

Feedback from all departmental organizational units

Result• Strategic decisions in the context of actual

performance • Execution in the context of strategy


SAP Strategy Management Integrates Goals, Initiatives, and Metrics

How will we reach our objectives?

Are we measuring what matters?

Are we spending time on the right projects?


Dep

loy

Mo

nit

or

Man

age

Alig

n

KPI Monitoring and Management

Integrates with SAP and non-SAP systems

Initiative Management to ensure execution toward goals

Integrates goals, initiatives, and metrics

Strategy Management

Clearly communicate business goals Help companies improve performance and align execution with strategy

Connects goals, initiatives, and metricsDrive operational alignment

Cascade strategy across departments and divisionsEnsure that individuals understand how they can impact key business goals

Monitor outcomes and resultsShow how an organization is performing towardits strategic goals

Measure performanceQuickly assess strategic performance and execute on areas that require action


SAP Strategy ManagementCommunicate plans and objectives, align business units, prioritize resources, monitor and report progress, and proactively address issues

Manage initiative portfolios, goals and KPIs more efficiently

Manage budgeted initiatives (best practices), tasks (milestones) and sub-tasks (sub-milestones)

iPad option allows remote manage performance

Measure and monitor scorecards easily Determine performance through easy-to-interpret

scorecards and drill into more detailed screens for additional analysis and exception management

Gauge each business units contribution to overall performance or to compare performance against peer-group benchmarks

Better align on common goals, more effectively collaborate and communicate

Vertically and horizontally align organizations with hierarchies of contexts.

Communicate with comments (add and reply) associated with objectives, KPIs and initiatives

Respond to time sensitive alerts (homepage and email)


SAP Strategy Management Solution demo

CONFIDENTIAL

All Information to All People in One PlatformBusiness Intelligence

April 6th, 2013Othman mohammad

© 2013 SAP AG. All rights reserved. 31Confidential

In 2006 – 2007…

US Airlines

Lost > 10 Bi. $

Let go 1000s double digit growth for the 14th straight year!


Airlines seek new ways to…

Differentiate themselves to customers

Leverage new opportunities that arise

Reduce operating costs whilst maintaining and improving service levels

Retain customers through loyalty programs and new services

Improve customer insight to focus marketing campaigns


Means…

Airlines need to be able to access

MASSIVE amount of valuable operational data for quick, decisive,

fact-based action

Current, actionable, integrated operational information must be delivered directly to the front line


Objectives

Boost Revenues

Contain Costs

Improve Operational Efficiency

Manage Assets Effectively


Challenges

Increasingly needs from more informed more diverse consumers

Competition from niche players

Rising fuel prices

Lower utilization rates from congestion at airports


4 Exabytesof unique information in 2011

70%of people in China access Internet with handset

>500million social media members

>1,000 +regulations and policies

Double Digit budget cuts

Mega trends transforming business today

$241B global cloud market by 2012 *

* http://www.simplysecurity.com/2011/04/29/forrester-cloud-market-to-hit-240-billion-by-2020/


HAVING INFINITE KNOWLEDGE

CL

AR

ITY

WISEA

WA

RE

INTELLIGENTRUN BETTER

MEANINGALL KNOWING UNLIMITED

KNOWLEDGE

OMNISCIENCE

UNDERSTANDING

WISDOM

RUN BETTER

CLE

VE

R


Access all relevant information across your business network– anywhere, anytime

Know and trust the quality of your information

Understand information in the context of your industry and role, quickly and easily

Define plan and align on performance goals and metrics

Understand business impacts, then model and predict future directions

Proactively balance risks and opportunities

Respond instantly toevents as they unfold

Collaborate and take coordinated action on the best decision

Learn from best practices, adapt and continually improve over time

Know Your Business Decide With Confidence Act Boldly

Business analytics solutions from SAP


Meaning for everyone, everywhere, anytimeO

PE

RA

TIO

NS

l

HR

l

FIN

AN

CE

|

IT

|

SA

LES

l

MA

RK

ET

ING

MANUFACTURING l RETAIL l HEALTHCARE l BANKING l UTILITIES l TELCO | PUBLIC SECTOR

Tom Davenport International Institute for Analytics

How and whydid it happen?

What is the risk if it does/doesn’t happen?

How do you prevent / ensure it happens again?

Whathappened?

What is happening now?

What willhappen?


Business Analytics from SAPMost Complete Offering to Deliver Vision

EnterprisePortals

MS Office

On Demand Services

Browsers

Mobile

Other Application/ Data Sources

SAP

Data Sources/Warehouses Analytic Capabilities Access

Social Media Content

Unstructured Content

OLAP Servers, Data Warehouses & Marts

Dashboard/Report

Services and Best Practices

Performance Management

Risk and Compliance Management


Data Foundation

Industry & LOBAnalytic Applications

Performance Management

Risk and Compliance Management


Enterprise Information Management

Data Warehousing


SAP BusinessObjects BI 4.0 Focus Areas

Click icon to add picture

All UsersEngaging new user experience across the BI suite

Deeper analytical insight for all users

Greater interoperability and workflow efficiency

All DataAll data, more easily available for BI

Trusted Information for better decisions

Information governance

One PlatformGlobal readiness and scalability

Comprehensive system monitoring and diagnosis

Expanded deployment options

ALL INFORMATION

ALL PEOPLE

ONE PLATFORM


BI Platform

Dashboards

CrystalReports

WebIntelligence

Analysis

Explorer

Trusted Data

One Unified BI Suite

AnalysisAnalysis

Web Intelligence

Web Intelligence

Explorer Explorer

Use the Right Tool for Every Business RoleAll Integrated in One BI Platform

Casual Users

Power Users

Analysts

Crystal ReportsCrystal Reports

Static

DashboardsDashboards

Search and dataExploration

OLAP Self Service BI Query& Reporting DASHBOARDS

ENTERPRISEREPORTING

InteractivityDynamic

Information Consumers

Information Experts


Common Visual Experience Across the BI Suite

Modern styling and look

New ribbon bar Access provides easier access to common features

New unified charting options

Improved workflows


Semantic Layer

Business LayerBusiness Layer

Data Foundation Single or Multi-sourceData Foundation Single or Multi-source

Data Federation EngineData Federation Engine

Query and Calculation Engine

Servicing Data

Query and Calculation Engine

Servicing Data

DashboardsCrystal Reports

ExplorerWeb Intelligence

Live Office

Info

rmat

ion

Des

ign

To

ol

Info

rmat

ion

Des

ign

To

ol

SAP BW OLAP Sybase IQ OLTPs

DatawarehouseText XML Web

Service

Highlights

Multi-source perspective

New Information Design Tool

Hierarchical access OLAP data without “flattening”

Consistent business user experience

Heterogeneous access overall sources

In-Memory

SAP HANA


Right Scale Deployment

Multilingual BI delivery across geographic locations

Enhanced scalability with virtualization and 64-bit support

Continued heterogeneous platform and database support

Multilingual BI delivery across geographic locations

Enhanced scalability with virtualization and 64-bit support

Continued heterogeneous platform and database support

Global Readinessand Scalability

Global Readinessand Scalability


Monitor | Diagnose | Audit

New system monitoring

Server metric and user-defined watch condition

Probe for workflow simulation

New visualization dashboardin the management console

Integration with SAP Solution Manager, Tivoli, and JMX compatible tools


Crystal Report

Creation Viewing

& Refresh

Access, format, and deliver information to large populations of user

Pixel perfect reports

CR

http://www.google.fr/imgres?imgurl=http://www.labo-microsoft.org/n/27933/ie8-logo.png&imgrefurl=http://www.labo-microsoft.org/news-27933-IE8-Blocker-toolkit.html&usg=__72Aaxp3yn589vjwIIXP950h-Hjo=&h=200&w=200&sz=135&hl=fr&start=3&zoom=1&um=1&itbs=1&tbnid=8xv2QvfPDw_8mM:&tbnh=104&tbnw=104&prev=/images?q=internet+explorer+8&um=1&hl=fr&sa=N&tbs=isch:1&ei=7nRnTY7WJY2XOofP-ZoL




Web Intelligence

Creation Viewing

& Refresh

Single interface to create and consume interactive documents

Query, analyze and report all in one tool

Bring self-service capabilities to broad set of users

WebI








Analysis, edition for OLAP or Microsoft Office

Creation, Viewing & Refresh

Analytical question can be immediately pursued

Optimized for highly interactive analysis

Connectivity to SAP BW, MSAS, EssBase

A





Dashboard (Xcelsius)

http://experience.sap.com/experience/html/Pages/2010SAP5O5/race3.html

Creation Viewing

& Refresh

Create Flash based dashboards

Guided navigation through your data

Dash

http://experience.sap.com/experience/html/Pages/2010SAP5O5/race3.html





Explorer

Creation,Viewing & Refresh

Search and navigation tool for casual users to access business data

Support massive data volumes via BWA/HANA

Smart visualization capabilities

Exp





BI Launch Pad

Log on to the BI platform to navigate, open, create and refresh reports.

Dash WebI ExplACR





Semantic LayerMulti-Source Universes

Orange tables are from MSFT SQL serverBlue tables are from SAP BW


Mobile Usage

Targeted BI Content

Search & Exploration

In-Memory AcceleratedExploration of Any Data Source


SAP BusinessObjects Mobile

Viewing & Refresh

iPad Mobile BI client Show WebIntelligence

reports as ‘Dashboards on you iPad

Offline Capabilities Share by email

WebI


SAP BusinessObjects Explorer Mobile

Viewing & Refresh

Search and navigation tool for casual users to access business data

Support massive data volumes


Exp


SAP BusinessObjects Experience

Viewing & Refresh

Search and navigation tool for casual users to access business data in a preformatted way

Support massive data volumes


Offline Capabilities

Exp


59

Questions ?

Run Betterfly…

Thank You!

Appendix / backup slides

© SAP 2008 /

Data layer

SAP PCM Solution Architecture

Single open database

Oracle or MS SQL

Swift

GL, Data Warehouse, CRM, Other transaction systems

Extract, Transform, LoadData Integration Tools

Applicationlayer

PROFITABILITY AND COST MANAGEMENT

Presentationlayer Single user

interfaceWeb or LAN

Model buildersModel structure / rules

MDX connector to

SAP N/W, 3rd party OLAP MS Excel 2007

BusinessObjectsUniverse

Export results to an external

Data Warehouse

RadarFMS


Return

Planning and Consolidation

Click icon to add picture

Current Customer Situation Streamline the planning and budgeting processes Multiple incompatible planning systems create

lengthy planning cycles

Description Meet your bottom-up and top-down financial and

operational planning requirements Includes complete consolidation and reporting

Value Proposition Industry specific plan inputting schedules Industry specific reports, KPIs, management reports Industry specific processes, procedures and

calculations Combine with SAP ERP for end-to-end solution

Outcome Opportunity Faster, lower cost implementation Streamlined planning processes

SAP BusinessObjects Planning and Consolidation


The SAP Difference

Lightning Fast EasyTrusted

Anytime Industry/LoB Expertise

Collaborative


Why SAP as Your Trusted Strategic Partner for Business Analytics Solutions?

Solutions are designed to complement and extend your existing IT environment

Vibrant ecosystem of over 7,000 partners with proven track records of success

Best practices derived from close collaboration with industry leaders around the globe

In-Memory driven performance, multi-data source semantic layer support, complex event processing, unstructured data analysis, user managed data quality profiling, mobile insight delivery

Industry’s first fully unified administration environment

On demand, on premise and on device

Industry’s first fully integrated business analytics platform

Portfolio of industry- and LoB-specific business analytic solutions

Best integration with SAP business process applications and heterogeneous data environments

Over 80% of Fortune 500 companies rely on business analytics solutions from SAP

Over 18M users of SAP BusinessObjects products around the globe

Analysts rate on business analytics solutions from SAP as #1 overall

InnovationMost Comprehensive Portfolio

Lower Risk Proven Value

Thank You!

Othman MohammadSolution Consultant

SAP KSA

M +966 505 782 184

E [email protected]

www.sap.com

epm for saudia

Technology