Design Your Strategy for Digital Transformation with SAP … · 1/8/2016 · Design Your Strategy for Digital Transformation with SAP S/4HANA ... the technical complexity. Source:

Design Your Strategy for Digital Transformation

with SAP S/4HANAAllen Li, SAP Greater China

July 25, 2016

© 2016 SAP SE or an SAP affiliate company. All rights reserved. 2

Why Digital transformation ?Adapt or die

MILLS AND MINING • O&G

CHEMICALS • EC&O

UTILITIES

LIFE SCIENCES / HEALTHCARE

SERVICES / TRANSPORTATION

CONSUMER GOODS / AFS

PUBLIC SECTOR • AUTO • IM&C

A&D • HIGHER EDUCATION

BANKING / INSURANCE

RETAIL / WHOLESALE

TELCO • MEDIA

HIGH TECH

SPORTS AND ENTERTAINMENT

DEFENSE AND SECURITY

HURRICANESEVERE STORMHIGH WINDS

Digital technologies

are here to stay.

Mobile

Social

In-memory

computing

Machine

learning

Cloud

Internet

of Things

Big Data

Hyperconnectivity


81% Of executives surveyed believe simplification is

important for their organization and 88% admit IT

investment is important to achieve simplification Source: SAP benchmarking

36 Enterprise apps per billion US dollars in revenue

for the average company. This is driving most of

the technical complexity.Source: SAP benchmarking

$50 billionIncremental revenue available through simplification

in the United States, United Kingdom, and Germany

combined.Source: S+G Global Brand Simplicity Index 2013

Complexity is an Obstacle to DigitizationComplexity is a barrier to simplification, innovation, and the transition to digital


Innovator’s dilemma: How to take measured risk and build the future now

Digital Capabilities Design Thinking Cross Functional

• Big Data Platform

• Data Scientist & UX expert

• Data Quality

• Real-time Business Process

Platform

• Embrace Cloud

• Re-imagine

• Pilot, Standardize, Scale

• Value Creation Focus

• New Cross Functions

Collaboration

• New Digital Territories (R&D,

Marketing, Machine, …)

Change Management

Budget // Risk Taking // Lead by Example


Digital Business is a Paradigm ShiftIt is about doing things differently and re-inventing your business

RE-IMAGINE

Business Models

• New ways to reach

customers & prospects

• Outcome based business

• Platform business

• Enter new industries &

markets

RE-IMAGINE

Business Processes

• Collapse cycle times

• Accelerate innovation cycles

• Intelligent processes

• Lean processes

• B2B collaboration

RE-IMAGINE

Work

• Consumer grade user experience

• Self services

• Real-time collaboration

• People-Machine Collaboration

• Cognitive world & AI


SAP Digital FrameworkEnd 2 End solution for digital innovation

Digital Business strategy needs to take into

accounts 5 pillars of digitization:

- Customer Experience

- Core Business Processes

- Supplier Collaboration

- Workforce Engagement

- Machine Data and Big Data

This simple framework is helping many

companies develop a pragmatic approach to

developing a digital strategy.

Business

Networks

Customer

Experience

Workforce

Engagement

Internet of Things

and Big Data

SAP HANA Cloud PlatformSecurity

SAP HANA Platform

Digital Core


Digital CoreStep change in value creation and business simplification

Internet of

Things

Business

networks

Social

networks

Devices

Big Data

People

Live dataGranular I Responsive I Accurate

Empowered usersInstant insight I Contextual information I Personalized experience

Segmentof 1

Lot size of 1

Live

At

sca

le

Digital

core

Digital

economy

Digital

transformation

SAP S/4HANA

CloudSAP S/4HANA

Enriched processesScalability I Real time I Prediction I Simulation


SAP S/4HANA SimplificationsIn-memory computing drives a paradigm shift in TCO and business innovation

Analytics &

PredictionSimulation

Decision

SupportText Mining

Native HANA Capabilities Work Patterns

Footprint Reduction

User ExperienceSAP S/4HANA

On-Premise Edition

Cloud Edition

Choice of Deployment


Infinity Model SAP is Leading the Change with In Memory

Computing

Digital Boardroom

Marketplace


SAP S/4HANA only one year after the launch

180live customers3,200+

licensed customer scenarios

830+active customer projects

in all 25 industries and 67 countries

Status: As of May 17, 2016


New

ImplementationLandscape

Optimization

Conversion

SAP S/4HANA

（On-Prem）SAP S/4HANA

Cloud

SAP

Best Practice

Methodology

Guided

configuration

SAP Activate


Strategy

Enablement

Risk

Management

Business

Benefits

Employee

Engagement

Digital Transformation is all About Business Value

Step change in:

• Productivity increase

• Cycle-time reduction

• Asset utilization

• Profitable growth

Total workforce engagement:

• Rich working experience

• Elimination of menial work

• Attract and retain talent of the

future

Business agility:

• Business model change

• New revenue streams

• New partnerships

Real-time transparency:

• Risk and fraud management

• Finance compliance

• Supplier risk management

• Operational risk management


Value based innovation portfolio

OPTIMIZE EXTEND

VALUE INNOVATE

• Consolidate legacy system

• Master data clean-up

• Reduce customization

• Eliminate non value add work

• Improve UX

• Reduce TCO

• Omnichannel

• Cloud solutions

• Big Data & analytics

• Simplified Finance

• Real-time extended supply chain

• Customer 360o

• Business Model change / expansion

• IoT & Big Data

• New channels & new offerings

• Compete as an ecosystem

(extend value chain)


Innovation Options

System of Innovation

System of Differentiation

System of Record SAP Applications 'basic functions

SAP Industry Solution, BI & Predictive

Analytics, Best Practice

Design Thinking, Co-Innovation, Innovation

Ecosystem

设计思维 API 管理

商务智能行业方案

最佳实践生态体系


We are ready

Documents

Design Your Strategy for Digital Transformation with SAP … · 1/8/2016 · Design Your Strategy for Digital Transformation with SAP S/4HANA ... the technical complexity. Source: