The Road to SAP S/4HANA

The next generation business suite

Dr. Wieland Schreiner EVP SAP S/4HANA SAP SE

Follow me @WiSchreiner

DISCLAIMER SAFE HARBOR STATEMENT This presentation outlines our general product direction and should not be relied upon in making a This document is intended to outline future product purchase decision. This presentation is not subject to direction, and is not a commitment by SAP to deliver your license agreement or any other agreement with any given code or functionality. Any statements SAP. SAP has no obligation to pursue any course of contained in this document that are not historical facts business outlined in this presentation or to develop or are forward-looking statements. SAP undertakes no release any functionality mentioned in this obligation to publicly update or revise any forward- presentation. This presentation and SAP’s strategy looking statements. All forward-looking statements and possible future developments are subject to are subject to various risks and uncertainties that change and may be changed by SAP at any time for could cause actual results to differ materially from any reason without notice. This document is provided expectations. The timing or release of any product without a warranty of any kind, either express or described in this document remains at the sole implied, including, but not limited to, the implied discretion of SAP. This document is for informational warranties of merchantability, fitness for a particular purposes and may not be incorporated into a purpose, or noninfringement. SAP assumes no contract. Readers are cautioned not to place undue responsibility for errors or omissions in this document, reliance on these forward-looking statements, and except if such damages were caused by SAP they should not be relied upon in making purchasing intentionally or grossly negligent. decisions.

Workforce Supplier Collaboration Engagement Business Networks The entire value chain is digitized including the digital core which serves as the foundation for business innovation and optimization.

The digital enterprise interconnects all aspects of the value chain to drive and anticipate Digital core business outcomes in real-time.

Enterprises across industries can lead the digital transformation by completely reimagining business models, business processes and work. Big Data and Customer Experience Internet of Things Omni-Channel

SAP HANA, our great simplifier for enterprise applications

SAP Business SAP Business SAP Warehouse Suite powered powered by HANA by SAP HANA SAP HANA

 In-memory platform  Real-time analysis  Real-time business  Real-time reporting  OLAP and OLTP together  SAP HANA Enterprise Cloud for SAP Business Suite on SAP HANA

2011 2012 2013

in 69 countries in small, medium & large companies

33% 60% 447+ 7% <100 users 100 – 10.000 Live customers users >10.000 users

>53% through Partners 1038+ in all 26 industries 170+ active Partners go-live projects

… … 49 in HANA Enterprise Cloud (HEC)

33% 17% < 3 month

4 month 75% of customer 5 month migration projects took less 6 month than 6 month 17% 8 month 9-12 month 14% 11%

180 160 140 120 100 80 60 40 20 0

160

140

120

100

Any DB Full Leverage support of SAP HANA

SAP Business Suite, powered by SAP HANA

. real-time business via optimizations

. OLAP & OLTP merge

. Search, Text analysis, Spatial, Pattern recognition etc.

SAP Business SAP Simple SAP Business SAP Warehouse Finance Suite powered powered by powered by HANA by SAP HANA SAP HANA SAP HANA

 In-memory platform  Real-time analysis  Real-time business  Instant financial insight  Real-time reporting  OLAP and OLTP together  No aggregates  Simplified data model  SAP HANA Enterprise  Single source of truth Cloud for SAP Business  New user experience Suite on SAP HANA  Advanced processing  Choice of deployment

2011 2012 2013 2014 2015

Internet People of Things SAP Fiori UX role-based user experience for all devices

SAP S/4HANA applications and extensions instant insight-driven applications for all lines of business and industries Business Devices networks SAP HANA platform in-memory platform for all data

On-premise Cloud Social edition edition Big Data networks

Native integration for hybrid scenarios

Ariba Concur Fieldglass hybris Software SuccessFactors

12 in 49 countries Live Customers

233+ in all 26 industries Active Customer Projects … 988+ 14 in SAP HANA Licensed Customers Enterprise Cloud (HEC)

Centralize Finance Close Books in a Day Real-time financial and operational reporting Task acceleration Harmonized internal and external reporting and automation Group reporting in multi-ERP and M&A situations Intra-period reconciliation Flexible reporting in matrix organizations Soft close and simulation (planned) Centralized process execution

Plan Dynamically $ Optimize Working Capital Ensure Compliance Integrated business planning Group cash management Fraud detection and Predictive forecasting Working capital analytics prevention Budget management Continuous cash collections Audit management (planned) Invoice and discount optimization

ERP SAP Simple Financials Processing Analytics Finance Processing Analytics on classic powered by database SAP HANA HANA views on the fly

Totals & Indices Totals & Indices Universal Journal Entry FI Line Items CO Line Items

− Data redundancy + No reconciliation − Reconciliation efforts + High flexibility − Low flexibility + High performance + Reduced data volume

Comprehensive Analytics MRP runs several times Plan Dynamically Accelerate business decisions per day Better visibility into with focus on event based Analysis and identifies inventory and product reaction (like Material Shortage) disruptions in the material data. and with integrated decision and flow. simulation support.

Optimize Backorder Processing Comprehensive ATP Backorder processing with intuitive Fast and precise ATP confirmation requirement classification, simple towards customers increase service selection criteria and automatic level. exception handling.

MKPF MARD MSTQ MSPR MSTE MSLB MCHB MKOL MSTQH MSLBH MSTEH MSKUH MARCH MSPRH MKOLH

Master MSEGMSEG MARC MSTB MSKU MSSQ MSSA MSKA MSTBH MSSQH MSSAH MSKAH MCHBH MARDH New Data

SAP SimpleLogistics Logistics with aggregates and indices

no indices no aggregates no redundancies

Program Reading Program Reading Aggregate Aggregate

Compatibility views calculate on the fly

Aggregate / Index Header Item Aggregate Aggregate

DB Tables

Suite on HANA SAP S/4HANA

SAP S/4HANA SAP S/4HANA SAP S/4HANA SAP S/4HANA On-Premise Edition Cloud Edition Cloud Edition On-Premise and Cloud Edition (next shipment) (next shipment)

Quarterly innovation cycle

Yearly innovation cycle

Available Planned Future Continuous innovations Today Innovations Solution

DISCLAIMER: This map represents SAP’s current plan, but subject to change without any prior notification. Certain planning constraints such as regulatory and licensing issues are outside of our control and may impact the timelines

UPGRADE / DB MIGRATION Suite 7  Suite on HANA • 1-time DB Migration SAP Business SAP Business Suite on AnyDB • (ideally) review of custom code Suite on HANA On-Premise • 1-step upgrade to SoH On-Premise

MIGRATION any product  SAP S/4HANA Cloud Edition • Automated Migration of Business Data and Master Data • Pre-defined migration packages with various Cloud Edition UPGRADE / DB MIGRATION Industry and LOB solutions that bundle software, services (including pre-engineered SuiteUPGRADE 7  / SuiteDB MIGRATION on HANA RDS packages for integration and • 1-time DB Migration configuration) and content SAP Business • 1-time DB Migration Suite on AnyDB • (ideally) review of custom code On-Premise • 1-step upgrade to SoH

“UPGRADE-LIKE” Suite 7  SAP S/4HANA On-Premise Edition Stepwise move to S/4HANA using simplification On-Premise packages Edition

… sLOG sLOG sFIN sFIN sFIN

MIGRATION any product  SAP S/4HANA Cloud Edition • Automated Migration of Business Data and Master Data • Pre-defined migration packages with various Cloud Edition Industry and LOB solutions that bundle UPGRADE / DB MIGRATION software, services (including pre-engineered Suite 7  Suite on HANA RDS packages for integration and configuration) and content SAP Business • 1-time DB Migration SAP Business Suite on AnyDB Suite on HANA • (ideally) review of custom code On-Premise On-Premise • 1-step upgrade to SoH

“UPGRADE-LIKE” Suite 7  SAP S/4HANA On-Premise UPGRADE / DB MIGRATION Edition • 1-time DB Migration Stepwise move to S/4HANA using simplification On-Premise • (ideally) review of custom code packages Edition

… sLOG sLOG sFIN sFIN sFIN

 Example: Complete conversion of an System ERP System On-Premise Conversion existing SAP Business Suite system to SAP S/4HANA S/4HANA

ERP System - Region A - On-Premise  Example: Consolidation of current regional Landscape ERP System SAP Business Suite landscape into one Transformation - Region B - global SAP S/4HANA system ERP System Cloud - Region C -

On-Premise ERP System  Example: New or existing SAP customer New System implementing a new SAP S/4HANA system Implementation Non-SAP System with initial data load Cloud

Scenario description

Customers who want to change their current SAP S/4HANA Software Update On-premise Edition system into a SAP S/4HANA system. Manager (SUM) with Database Database, NetWeaver and Application Migration Option transition in one step. SAP GUI (DMO) (SAP GUI) / SAP Fiori SAP ERP Core * SAP S/4HANA Core

AnyDB / SAP HANA SAP HANA

Benefits + Migration without reimplementation What How + No disruption for existing business Rapid Database Migration of SAP Business Suite to S/4 Installation processes HANA (all one step and migration, including + Re-evaluation of customization and existing * migration process flows sFIN/sLOG conversion) using SUM with DMO

2 Scenario description Selective Data Migration Customers who want to consolidate their service (SLO) 1 with SLT SAP S/4HANA SAP S/4HANA landscape or carve out selected entities or On-premise Edition Cloud Edition processes into an existing SAP S/4HANA SAP GUI system. SAP ERP Core (SAP GUI) / SAP Fiori

AnyDB or SAP HANA SAP S/4HANA Core

SAP HANA

SAP GUI SAP ERP Core AnyDB or SAP HANA Benefits + Stay with current business processes and What How move gradually to S/4HANA innovations Install (and SWPM (Software 1 configure) + Harmonized business processes and shared Provisioning Manager) S/4HANA master data through consolidation Selective Data Migration + Carve out of single entities of the company service (SLO) with SLT 2 “Carve Out” to SAP S/4HANA and leverage process  Individual harmonization simplification project required

Scenario description New implementation of SAP S/4HANA e.g. Option: Initial SAP S/4HANA SAP S/4HANA On-premise Edition Cloud Edition for customers migrating a legacy system. data load from Legacy or SAP System with DMIS / MWB SAP Fiori Legacy Any customers legacy SAP S/4HANA Core system SAP HANA

Benefits for the customer What How + Reengineering and process simplification based on ready-to-run business processes SWPM (Software 1 Install S/4HANA and reference solution delivered with the Provisioning Manager) product Data MIgration Server / + New implementation of industry-leading 2 Initial data load Migration WorkBench Business Suite from source • SAP source: system system connection + Pre-defined migration objects & Best • Legacy system: file upload Practices available in a guided process

SAP S/4HANA, on-premise edition 1511

SAP S/4HANA Core (S/4HANA Enterprise Mgmt. [FIN + LOG])

Technical Procedure SAP HANA based on Software Update Manager (SUM) with Database Migration Option SAP Simple Finance, on-premise (DMO) edition 1503 The Road to SAP S/4HANA SAP ERP 6.0 Netweaver 7.40 / Enhancement Package 7 • A customer can move from SAP Business Suite to SAP Simple Finance, on-premise edition 1503. This is the currently (as of August 2015) SAP HANA available option offering simple finance functionality. • With Q4/2015 a customer can move from SAP Business Suite to SAP S/4HANA, on-premise edition 1511. This option offers simplified functionality in financials and logistics ares. Start Release • Customer with SAP Simple Finance, on-premise edition 1503 can move ERP 6.0, EhP 0-7 to SAP S/4HANA, on-premise edition 1511. SAP Netweaver 7.0x • One customer might move first to SAP Simple Finance on-premise edition 1503 and then to SAP S/4HANA, on-premise edition 1511. With AnyDB or SAP HANA that tasks are distributed over a timeline. Another customer might take a bigger step and introduce simple finance and simple logistics in one step.

Discover SAP S/4HANA SAP S/4HANA, cloud edition trial SAP S/4HANA, on-premise edition trial

Public Cloud Trial

How to get there … Further content with more detailed Joint the Community S/4HANA Cookbook roadmap on SAP Service Marketplace

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