introducing sap enterprise performance management (epm) ondemand
TRANSCRIPT
Introducing SAP Enterprise Performance
Management (EPM) OnDemand The revolution of performance management
David Williams and Bryan Katis, SAP
September 19, 2012
© 2012 SAP AG. All rights reserved. 2
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© 2012 SAP AG. All rights reserved. 3
4%
22%
32%
30%
12%
Where is your finance organization today on the road to becoming a more highly valued partner to the
business?
Where's the road?
Recently started and hopeful
Making some progress but facingobstacles
Gaining traction and overcomingsome obstacles
Rolling along with confidence andlearning more about this journey
Is Finance making progress to becoming a better partner
to the business?
Source: APQC. 2012
© 2012 SAP AG. All rights reserved. 4
47%
30%
23%
Financial Analyst time
Collecting and validatingdata
Administering theprocess
Providing value-addedanalysis
Less than a quarter of Finance’s time is being spent on
providing value-added analysis to the business!
Source: APQC. 2012
© 2012 SAP AG. All rights reserved. 5
Performance management projects highest priority on
CFO’s initiatives list for business analytics
Source: Gartner. John Van Decker. CFOs See the Importance of Business Analytics Improvement, Gartner Study Finds. June 2012.
0% 20% 40% 60% 80%
Statistical analysis
Predicitive modeling
Data warehouse
Customer and productprofitability
Financial consolidation andreporting
Planning, budgeting, andforecasting
Performance measurement,scorecard, and dashboard
Percentage of respondents
Components to be updated in 2012
0% 20% 40% 60% 80%
Statistical analysis
Predicitive modeling
Data warehouse
Financial consolidation andreporting
Customer and productprofitability
Performance measurement,scorecard, and dashboard
Planning, budgeting, andforecasting
Percentage of respondents
Components to be updated in 2013
© 2012 SAP AG. All rights reserved. 6
0% 20% 40% 60% 80% 100%
Plan, budget,forecast/analyze, re-plan
Close/consolidate/report
General accounting (anysub-process)
AP transaction mgmt.(any sub-process)
Working capital mgmt.
Most popular targets for financial process improvement
Source: APQC Survey Results. APQC. 2012
© 2012 SAP AG. All rights reserved. 7
Growing demand for cloud apps
We believe that the right application
strategy for most organizations is a
hybrid (configured) approach that can
accommodate integrated suites, departmental point
solutions and ad hoc custom applications, with a
mix of on-premises and cloud
deployment. – Source: Gartner. Neil Chandler.
Applying Gartner's Pace Layer Model to Business
Analytics. December 2011
Technology platforms, like mobile computing
and the cloud, are secondary in the mind of the
CFO (see Figure 6). We expect this to change in the
2013 study, since the inquiries we received in the first
six months of 2012 from end-user clients show that
these are growing areas of investigation
and potential investment in the finance
organization. – Source: Gartner. John E. Van
Decker. CFOs see business analytics as important,
Gartner Study Finds. June 2012
© 2012 SAP AG. All rights reserved. 8
SAP Enterprise Performance Management OnDemand The revolution of performance management
Built for business In the cloud Anytime, anywhere
Purpose-built packaged apps based on best-
practice
Extreme performance delivered through the SAP HANA Application Cloud
Mobile-first and Microsoft Office ready
© 2012 SAP AG. All rights reserved. 9
Built for business Purpose-built packaged apps based on best-practice
Get up and running fast with
best practice-based,
preconfigured apps that solve
specific business problems
Break-down barriers to user
adoption with mobile-ready
apps that look and feel like
consumer apps and run on any
device
Improve organizational agility
with real-time variance
analysis and the ability to
iterate and adapt on the fly
© 2012 SAP AG. All rights reserved. 10
In the cloud Extreme performance delivered through the SAP HANA Application Cloud
Plan better and act faster with
instant insight and real-time
planning capabilities powered
by the SAP HANA Application
Cloud
Lower your cost of ownership
leveraging existing on premise
investments combined with
native cloud-based apps
Reduce upfront costs with
software as a service based on
subscription pricing
SAP
solutions
for
EPM 10.0
Real-time
P&L
Analysis Future
Future
Sales and
Operations
Planning
Capital
Project
Planning
Expense
Insight
© 2012 SAP AG. All rights reserved. 11
Anytime, anywhere Mobile-first and Microsoft Office ready
Increase engagement with
simplified, intuitive mobile
interfaces for business users
and executives as well as
Microsoft Office (Excel) for
Finance
Tap into the information you
need wherever whenever
Analyze, iterate and adapt on
device or on the desktop
© 2012 SAP AG. All rights reserved. 13
SAP EPM OnDemand First three applications
Expense Insight Capital Project
Planning
Real-time P&L
Analysis
Empowers department
managers to understand
details of anything charged
to their cost center and
dispute/resolve miscoded,
incorrect, or duplicate
expenses
Packaged solution for
establishing the complete
picture of the financial
consequences of capital
investment projects and
optimizing the use of capital
Delivers P&L reporting at
any level of detail by
allocating costs based on
consumption of resources
© 2012 SAP AG. All rights reserved. 14
Accelerating the “speed of intelligence,” as Ms. Hughes
puts it, is the finance function’s fundamental challenge
“The benefit of being able to push data quickly is if you get the
right data and the right collection of data to the decision maker
more rapidly, you’re going to speed up decisions that change
that outcome…”
— Hazel Hughes, SVP of finance and business
control for the Education Group at Houghton
Mifflin Harcourt, in ―Accelerating the Speed of
Intelligence for Fast and Flexible Forecasting.‖
(CFO Research Services, 2011).
Source: CFO Research Services, 2011
Right data at right time increases organizational agility
© 2012 SAP AG. All rights reserved. 15
Engaging beyond Finance for better results and greater
accountability
“The new devices that are coming on
the market, like the tablets and
iPhones, will enable us to build a
system in the future that will more
easily take advantage of the input
from every employee.”
— Anders Pehrsson, Vice President and Group
Controller, Atlas Copco
“This should not be only the finance
department; people sometimes
believe that budgets or rolling
forecasts are only done by finance. It
should be done by [all] the people
involved.”
— Troy Parwata, Finance Director of Tigaraksa Satria
Source: CFO Research Services, 2011
The information is filtered to display all types of travel expenses. Peter has three options now: He can select Back to go back to the overall total expenses for Travel; He can select the particular travel expense Sub-Type he would like to review, for example Business Travel; He can close the All Expense Types pop-up to see the breakdown of travel expenses (by travel Sub-Type).
Here, Peter has closed the All Expense Types pop-up. He can see the breakdown of all travel expenses
Each expense item is displayed with some details. Peter reviews the expense item and he checks the total. He can sort (for example by type, date, cost center). He can search for information (for example Travel Emit Smith with show details of all travel expenses for that person). Peter selects the 3rd item (Office Supplies) because it has the exact same details as the 4th item.
All details for the expense item Peter selected are displayed. Peter checks the details and realizes that they are the exact same for both Office Supplies expenses. Peter decides to ask his assistant to investigate this.
Peter is curious about the expense item so he selects Additional Information to display the details of the office supplies expense line item.
Peter goes back to Expense Items by selecting Back twice. He selects the travel item for Emit Smith.
He knows Emit moved department since January so there is the potential of wrong expenses. Peter checks Emit’s cost center and he knows it is not correct.
Caroline views Expense items (her Home Page) and notices comments for Travel line item and Office Supplies line item (blue icon). Caroline selects the Travel Item for Emit Smith.
Caroline responds 'Hi Peter, This is definitely a wrong expense. I will start dispute as it needs to be fixed immediately'
Caroline notes that the status of the dispute is Not Resolved (which is accurate). Caroline adds a comment and selects Send Dispute. She sends the dispute to Fred. She expects Fred to check the issue and resolve it. Expense Insight sends an email to Fred about the dispute.
Fred's homepage is set as the Expense Disputes page. He notices the dispute submitted by Caroline and selects it.
© 2012 SAP AG. All rights reserved. 49
Additional Resources
Website: http://www.sap.com/solutions/cloud/enterprise-
performance-management-on-
demand/highlights/index.epx
SAP Analytics TV (EPM Featured Playlist): http://www.youtube.com/playlist?list=PLB3220A8798
56DD4E&feature=plcp
Blogs:
CFO Knowledge:
http://cfoknowledge.wordpress.com/
The Decision Factor:
http://www.the-decisionfactor.com/home/
Analytics from SAP:
http://blogs.sap.com/analytics/