UPGRADE TO SAP ERP AND MOVE INTO THE WORLD OF ENTERPRISE SOA - White paper Van applicatiecompl naar een businessgerichte architectuur

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UPGRADE TO SAP ERP AND MOVE INTO THE WORLD OF ENTERPRISE SOA - White paper Van applicatiecompl naar een businessgerichte architectuur
UPGRADE TO SAP ERP AND
               MOVE INTO THE WORLD OF
               ENTERPRISE SOA

               White paper
               Van applicatiecompl naar een businessgerichte architectuur

white paper ESOA-1.indd 1                                                   27-04-2007 10:54:14
UPGRADE TO SAP ERP AND MOVE INTO THE WORLD OF ENTERPRISE SOA - White paper Van applicatiecompl naar een businessgerichte architectuur
CONTENTS
               MAXIMIZE MANUFACTURING TOGETHER - MMT                                                                                                  3

               SAP ERP IS NO LONGER “JUST ERP” - IT FORMS THE BASIS
               OF AN ENTERPRISE SOA COMPOSITION PLATFORM                                                                                              4

                        3.1   Enterprise SOA - What’s all the fuss about?                                                                             4
                        3.2   Enterprise SOA delivers                                                                                                 4
                        3.3   What are the Business Drivers and Benefits of eSOA                                                                      5
                        3.4   eSOA within an Enterprise Architecture Framework                                                                        7
                        3.5   Why you should upgrade                                                                                                  7
                        3.6   SAP ERP - the go to release                                                                                             8
                        3.7   Getting started                                                                                                         9

               ATOS ORIGIN AND SAP                                                                                                                  10

               Written by: Gary Dunn Global Alliance Director SAP Andy Brown Principal Consultant Enterprise SOA UK Hans Diepstraten Principal Consultant Enterprise SOA NL

               2

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MAXIMIZE MANUFACTURING
              TOGETHER - MMT
              Manufacturing isn’t getting easier. Enterprises are under      In addition, Atos Origin and HP have also joined forces to
              constant pressure to deliver innovative products, respond      offer manufacturing companies SAP-based IT solutions
              to customer demands more quickly, and improve efficien-        which were launched for the first time at SAPPHIRE ’06
              cies. Furthermore, the challenges of globalization,            in Paris.
              increasing regulatory demands, mergers and acquisitions,
              complex supply chains and operational costs are ever             MMT - ‘Maximize Manufacturing Together’ -
              present.                                                         MMT is designed to help manufacturing companies
                                                                               consolidate their infrastructure and align software while
              In response to this, Atos Origin has aligned with SAP’s          implementing world class pre-configured SAP
              IBU’s for the Process and Discrete Industries to jointly         solutions in order to streamline the IT landscape and
              offer the Maximize Manufacturing Together (MMT)                  reduce its cost.
              approach. MMT empowers enterprises with information,
              dependability, and industry-specific functionality through a   The MMT approach leverages and improves operational
              single set of solutions enabling them to innovate, adapt,      application landscape infrastructures and is developed
              and succeed in today’s market.                                 together with you for your business. It provides recog-
                                                                             nized thought leadership around a number of key areas
                                                                             that support the following strategic priorities:
                                                                             • Innovation
                                                                             • Reducing TCO
                                                                             • Optimizing Operation and Service Delivery
                                                                             • Developing an innovative Integration Model and
                                                                                Common Process Definition
                                                                             • Standardizing an innovative platform
                                                                             • Maximizing the value of
                                                                                Innovation / New solutions

                                                                             Based on Atos Origin’s strong global manufacturing
                                                                             heritage and customer base, the MMT approach is
                                                                             aligned with SAP’s Industry Business Units. It targets
                                                                             manufacturing companies in the key industries of Auto-
                                                                             motive, Chemical, High Tech and Oil & Gas.

                                                                                                                                       3

white paper ESOA-1.indd 3                                                                                                              27-04-2007 10:54:15
SAP ERP IS NO LONGER “JUST
               ERP” - IT FORMS THE BASIS OF AN
               ENTERPRISE SOA COMPOSITION
               PLATFORM
               Based on the NetWeaver platform, all SAP ERP’s functional enhancement packages will be enterprise service-enabled
               and, just as importantly, will have the ever increasing industry specific composite applications being developed by
               SAP xApps Certified partners contained within.

               In other words these will replace “old processes”. When the eSOA enhancement packages are installed, all “old”
               enhancements in those areas become obsolete and the SAP NetWeaver Enterprise SOA environment, including life
               cycle management, is activated.

               The first SAP ERP eSOA Enhancement package has recently become available and includes hundreds of enterprise
               services that enable functional enhancements for human capital management and financials applications, as well as
               specific industry enhancements for the retail and manufacturing industries.

               For the manufacturing sector, the package contains innovations for adaptive manufacturing. Specifically, the integration
               of manufacturing execution systems (MES), manufacturing work instructions, and quality management into the ERP
               system, providing real-time visibility into production processes across the globe.

               3.1 ENTERPRISE SOA – WHAT’S ALL THE FUSS ABOUT?

               The Enterprise Service Orientated Architecture (SOA) from SAP provides an approach for implementing service-based,
               enterprise-wide business solutions that offer the increased levels of adaptability, flexibility and openness required to
               reduce TCO and drive innovation.

               This approach combines SAP’s experience in enterprise applications with the flexibility of enterprise services and other
               open standards to fulfill business requirements. It is supported by an adoption program and tools that enable an evolu-
               tionary transition from a varied architecture of SAP solutions, SAP NetWeaver® and non-SAP systems into a homoge-
               neous, business-driven Service Oriented Architecture landscape.

               3.2 ENTERPRISE SOA DELIVERS

                     •      An integrated platform for Enterprise Services
                     •      A mature Business Process Management tool for process-composition and orchestration: the Business
                            Process Platform
                     •      An Enterprise Services Repository from which business services can be called and composed into applications
                            and processes
                     •      A simple toolset and product mix with clearly defined roles

               4

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N

                  3.3 WHAT ARE THE BUSINESS DRIVERS AND BENEFITS OF
                      ESOA

                  So what, in the context of the ERP marketplace, is             This commoditization process is described by Geoffrey
                  Enterprise SOA? Firstly, Enterprise SOA is not a prod-         Moore in his book Living on the Fault Line, where the
                  uct. It is a design principle for software development,        notion of ‘core’ and ‘context’ processes are explained.
                  deployment and maintenance, founded on the prin-               Moore describes a business reality in which invention,
                  ciples of the service oriented architecture (SOA).             innovation, standardization and commoditization are
                                                                                 essential ingredients to categorizing business processes
                  Enterprise SOA is founded on four basic principles or          as either core or context.
                  pillars. These are:
                        • Service Oriented Architecture – provides the           Any process that helps a company differentiate itself
                            technology architecture                              from its competition in order to grow is a core process
                        • Business context – provides business logic,            and those that improve productivity are context pro-
                            integrity and integration                            cesses.
                        • Enterprise services – provides re-usable
                            application functionality                            The key point is the cyclical nature of the business
                        • Pragmatic application – use of the services            process lifecycle: any process that has successfully
                            where it makes sense                                 set a business apart from the competition (core) will
                                                                                 inevitably be copied by the competition and in due
                  But before looking at how you can move your company            course become context, forcing an organization to
                  towards Enterprise SOA, it is worth considering the            invent or innovate to re-capture that differentiation.
                  business drivers that could prompt your company’s
                  decision to undertake this.

                  If we look at companies that have invested in ERP
                  systems, we can see that these companies now have
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                  disposal which they can use as differentiators to gain a
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                  those same ERP systems, with those same best-
                  practice processes, thus cancelling out the differentia-
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                  “The radical of one century is the conservative of the next.
                  The radical invents the views. When he has worn them out
                  the conservative adopts them.” Mark Twain, (1835 - 1910)
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                                                                                                                                                              5

    white paper ESOA-1.indd 5                                                                                                                                 27-04-2007 10:54:15
It is clear that successful businesses are maintaining a             which is intended to support and enable the cyclical
              set of core processes which are clear differentiators,               nature of the core/context model through the use of an
              while standardizing as many processes as possible in                 open, standardized architecture.
              order to reduce cost and improve productivity.
                                                                                   With Enterprise SOA, it is possible to accurately relate
              One of the key enablers of differentiation in a competi-             IT landscapes to business models and to quickly re-
              tive market is innovation, and from Moore’s model we                 configure such landscapes to match changing business
              can see that there are two distinct paths to innovation              needs. Some may say that we have seen all this before
              within a business. Firstly, the migration of an inventive            with the Service Oriented Architecture, as it offered the
              solution through to a mission critical activity within the           potential to deliver the IT flexibility that companies were
              ‘core’ family, and secondly, the composition of innova-              looking for and was also based on a distributed soft-
              tive solutions from a set of standardized processes in               ware model.
              the ‘context’ family.
                                                                                   Enterprise SOA uses SOA as its foundation, but adds
              For businesses to remain competitive, they must                      business context to the processes by ensuring that the
              establish differentiation quickly, effectively and cheaply –         enterprise services themselves are based on business
              all of which is difficult to achieve with the architectures          processes. For example, an Enterprise SOA service for
              seen in most companies today.                                        ‘cancel order’ should not only delete the order from the
                                                                                   required system, but also deal with all other conse-
              The method of process migration can only be effectively              quences (systems) throughout the enterprise of that
              achieved if all the processes are made available on the              order being cancelled. Moving to an Enterprise SOA
              same deployment platform. Services Oriented Architec-                landscape is a good option for organizations who want
              ture principles can be used to design this platform,                 to maintain their competitive advantage.

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               6

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3.4 ESOA WITHIN AN ENTERPRISE ARCHITECTURE FRAME-                   3.5 WHY YOU SHOULD UPGRADE
                  WORK
                                                                                  Your SAP system represents a significant investment for
              As we have seen, Enterprise SOA leads to a completely               your company, and the upgrade strategy that you
              different SAP product portfolio and architecture and                determine will undoubtedly have a significant effect on
              brings substantial business benefits. However to make               the future of your IT infrastructure and your business
              the transition to eSOA the transition needs to be                   performance. Therefore any upgrade strategy has to be
              managed from an Enterprise Architecture approach.                   based on a thorough and complete understanding of
                                                                                  your company’s specific business process innovation
              In Enterprise Architecture five dimensions are developed            requirements.
              concurrently - Business Case, Competences, Gover-
              nance, Process and Content, each containing different               In the past SAP upgrades have traditionally consisted of
              views - Interaction, Process, Information, Application              large stepping stones that encouraged companies to
              and Technology. The transition to Enterprise SOA is                 upgrade so as to enjoy the benefits of extensive new
              executed at strategic and tactical levels in a planned EA           functionality and support. However, with the arrival of
              development process and is implemented through                      SAP ERP, all this has changed and now you have the
              stable intermediate plateaus. The focus of the analysis             flexibility and transparency required in order to continu-
              and design for eSOA is based on autonomous IT                       ously adapt to business innovation.
              domains. Furthermore, Enterprise SOA is intrinsically not
              SAP centric.

              To help enterprises move seamlessly to this model,
              Atos Origin has taken its industry leading Atos Enter-
              prise ArchitectureTM approach and combined it with the
              SAP eSOA Adoption Program to create the Atos Origin
              eSOA Master Plan - a unique and powerful toolset
              which truly encompasses the complete lifecycle of a
              business transformation.

              Using the eSOA Master Plan, Atos Origin can guide
              manufacturing companies through this step-by-step
              process towards a highly flexible, tailored eSOA service
              portfolio.

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                                                                                                                                              7

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3.6 SAP ERP – THE GO TO RELEASE

               The SAP ERP solution enables companies to take an evolutionary approach for the next technology shift toward eSOA,
               thus protecting and leveraging the investments customers have already made in SAP R/3 software. (SAP R/3 function-
               ality is now found in SAP ERP.) Embracing many of the technologies that comprise the SAP roadmap for Enterprise
               Services Oriented Architecture (eSOA), SAP ERP helps organizations gain increased productivity through new user
               interfaces and roles, integrated analytics in all business processes, and the flexibility to create differentiated business
               processes to satisfy their customers.

               For the first time the core SAP platform will remain stable and continue unchanged until at least 2010. Upgrades will
               now consist of focused functional, industry specific enhancement packages, 2 per year, that can either be turned on or
               off with a new switch framework.

               Quite simply, this means that once on the SAP ERP platform you are protected from the complexity and cost of large
               system upgrades and your business is free to innovate, knowing that these innovations will not become obsolete in
               the future.

               With SAP releasing these smaller functional enhancement packages, it also becomes far easier to build an upgrade
               business case within your organization. By effectively being able to select those future enhancements that align with
               your business needs, any upgrade will become far less costly in terms of both money and resources.

               There are the four key areas of change with SAP ERP:

               •     User Productivity
                     User productivity is enhanced by pushing process execution to the end user wherever possible and providing
                     them with self-service scenarios and embedded real-time analytics at their fingertips. Routine tasks are automat-
                     ed, and more complex processes are supported by specific (composite) applications and dashboards available to
                     smaller groups of expert users.

               •     Analytics
                     In SAP ERP analytics are achieved by integrating SAP BI with Visual Composer and the Composition
                     Environment. This brings the value of business intelligence to wider groups of users across the enterprise.

               •     Deployment
                     SAP ERP enables the consolidation of BI, Portal, knowledge management etc into one consolidated, not
                     distributed, system landscape.

               •     Enterprise Services enablement
                     The Enterprise Service Repository sits within SAP ERP, giving you the flexibility to move forward at your own pace
                     and enhance the value of your ERP systems in incremental stages. The ESR will also be able to include enterprise
                     services developed by independent software vendors (ISVs) specifically for SAP ERP, as well as enterprise services
                     from 3rd parties. This will bring major improvements in flexibility and agility.

               8

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3.7 GETTING STARTED

              As a strategic SAP partner, Atos Origin has built a tailored eSOA services portfolio based on individual customer
              needs. Atos Origin offers services which include eSOA opportunity workshops, a Business Case or Total Cost of
              Ownership (TCO) discovery sessions. Importantly, we also build a tailored eSOA roadmap specifically for you, imple-
              ment the offering and carry out the “go live”. Finally, we enable you to fully harness the value of eSOA through continu-
              ous improvements delivered during managed operations.

              In order to achieve true customer benefits, our specialists are fully equipped to support you in moving from an IT to a
              process/innovation architecture. Furthermore, Atos Origin’s consultants are continuously updated in the very latest
              expertise and maintain a thorough and professional understanding of the business benefits delivered through such an
              architecture.

              Through the combined services of Atos Origin and the products of SAP, you can realize fast and effective business per-
              formance improvements and cost savings.

                                                                                                                                        9

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ATOS ORIGIN AND SAP
               Atos Origin is an official partner of SAP with over 20
               years experience working with SAP applications. It is an
               SAP Global Services partner, an SAP Global Hosting
               Partner, a member of the SAP NetWeaver® Partnership
               Initiative and a leading member of the Enterprise SOA
               adoption program.

               In 2006, Atos Origin won the SAP Pinnacle award in the
               hosting SAP applications category and was also a
               finalist in the 2006 Netweaver Showcase category.
               In addition, Atos Origin is a finalist in the 2007 SAP
               Pinnacle awards in the Enterprise SOA - Migration
               Excellence and Hosting categories.

               Atos Origin has a long-term relationship with SAP and
               in-depth knowledge of the SAP portfolio and SAP-
               certified solutions enabling it to provide a service tailored
               to its customers, with advice and implementation by a
               dedicated team of experts.

               Atos Origin has established a wealth of knowledge and
               skills in SAP and the underlying IT infrastructure through
               implementing and managing complex, integrated global
               solutions for some of the largest corporations in the
               world. It has over 4,400 SAP consultants around the
               globe and operates SAP Certified Datacenters in all
               geographical regions ensuring the continuous availability
               of business critical applications and systems.

               With Atos Origin’s Maximize Manufacturing Together
               initiative, this expertise is specifically focused on the
               Chemicals, High Tech, Oil & Gas and Automotive
               industries, in order that Manufacturing companies can
               realize the full benefits of eSOA awareness and
               adoption.

               10

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                                                                                                                                              11

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Atos Origin
               Corporate Village
               Da Vincilaan 5
               B-1930 Zaventem
               Belgium

               Tel: +32 (0) 2712 3699
               email: more-info@atosorigin.com
               www.atosorigin.com
                                                                                                                                                                                       © Global Marketing 04/07

               Atos, Atos and fish symbol, Atos Origin and fish symbol, Atos Consulting, and the fish symbol itself are registered trademarks of Atos Origin SA. April 2007

white paper ESOA-1.indd 12                                                                                                                                                 27-04-2007 10:54:17
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