Integration BW-BPS Overview

Integration BW-BPS, CRManalytics andAPO-DP

Inga WieleProduct Manager BI

SAP NetWeaver PM

SAP AG 2004, Title of Presentation / Speaker Name / 2

Scope of this presentation

This session is focussing on collaborative planning in the BW environment. R/3 planning is only covered peripherally.

After attending this session you will: be able to explain the scope of the different planning tools

offered by SAP which facilitate BW functionality understand the basic concepts of integrating financial, sales and

production planning using BW-BPS and APO be aware of the opportunities and limitations in integration

scenarios know different landscape alternatives and be able to apply them

to your existing landscape take first steps towards your own collaborative planning

scenario.


Content

Scope of different planning tools*

How to achieve integration of the BW-based planning tools

Business Challenges

BW-BPS, CRManalytics, APO

Integration Features

Summary

* focus on SAP BW environment


Keeping control of strategic goals

Board of directors

Increase Return on Investment ROI = (Sales Costs) / Capital Invested

Optimize production utilization

Production

Increase sales volume

SalesFinance

Reduce overhead costs

Strategic targets must be broken down to operational goals


production planning capacities / materials

purchase planning quantity / purchase prices

sales planning quantity / revenues

product cost planning product prices / cost of

goods sold & manufactured

cost center planning activity prices / budget

Purchase

Sales

Cost Center

$Product Cost

Profit Goals

Production

St

t

Different/Competing targets

Goals of different areas may compete


Strategic Planning

Reconciliation of operational plans

with strategic targets

Strategic Targets(z.B. Operating Profit + 4%,

Market share+10%)

Integrated planning cycle

August December

Strategic Planning and Target setting on group level

Operational Planning

Operational Planning and Budgetingin the business units Plan evaluation

Headcountplanning

Sales planning

Production planning

Marketing planning


Heterogeneous planning landscapes

FinancialPlan

SalesReporting

ProfitabilityPlan

ProductionPlan

HRPlan

ProcurementPlan

Sales Plan

MarketingPlan

ProductionReporting

Financial Reporting

Different planning tasks are supportedwith different tools

Missing link between master data and transactional data

No integration between different planning applications

Many interfaces Lack of coordination tools (process control) InvestmentPlan


Content



Business Challenges




Summary


Opportunities offered by SAP planning products

SupplyNetworkPlanning

ProfitPlanning

SalesPlanning

Sales qty (unconstrained)

Sales qty (constrained)

DemandPlanning

CRManalyticsBW-BPS

SAP offers modules that complement to a closed loop planning..e.g.

APO

Cost of Goods (fix/variable)

Marketing costs

Profitability Targets


Sample Planning Scenario

1) Top-down financial target setting on business units

2) Bottom-up mid-term sales planning (sales-oriented: restrictions are not considered)

3) Bottom-up mid-term sales planning (logistics-oriented: capacity restrictions are considered

4) Rolling short-term sales planning

5) Rolling short-term Production planning

6) Link to sales order processing (Logistics & Production Execution)

7) Plan-Actual comparison


Supply Chain Planning

Planning in CRM

Sales Planning & Forecasting

Financial Planning

Marketing & Campaigns

Demand Planning

Supply Network Planning

Transportation Planning

Profit Planning

Investment Planning

Balance Sheet Planning

Value Based Planning

Cost Planning

Services

Planning across organizational boundaries

PromotionsTerritories

Opportunities

AccountsPartners

BW-BPS APO


Integrated planning across applications

SAP NetWeaver BI SAP NetWeaver BI provides provides

the the platformplatform for for integrated planning integrated planning

across heterogeneous across heterogeneous business applications for business applications for

cross functionalcross functionalbusiness planning.business planning.

mySAP ERP

mySAP ERP

SAP IndustrySolutions

SAP IndustrySolutions

Custom-builtapplications

Custom-builtapplications

mySAP CRM

mySAP CRM

Legacy System Legacy System

SAP SAP NetWeaver NetWeaver

BIBI

SAP ...SAP ...


What is BW-BPS?

With BW-BPS (Business Planning and Simulation), SAP delivers tools for generic planning supporting a planning process that allows to build a planning model which integrates global strategic planning and specific operational planning problems in a closed loop process, with a strong focus on business processes across the enterprise.

This functionality brings together planning, budgeting, and forecasting with monitoring, reporting, and analysis, bundled into one software installation and one support package cycle.

BPS helps you to plan, budget, and forecast by providing functions such as: Top-down planning and bottom-up contribution with a rich set of planning

functions A planning framework that lets you create and maintain planning models An user interface for manual planning and analysis Tools for process control (i.e. status tracking and monitoring)


CRMa: Analytical Scenarios

Analytical Scenarios provide you with predefined packages and content,

which contribute the appropriate Insights to drive customer-centric processes


CRM Analytics - Overview

Strengths of Analysis and Planning with mySAP CRM

CRM Analytics is based on an established and scalable BI solution Prepackaged analytical applications cover all relevant business questions

relating to CRM Portal integration together with strong web publishing functionality support

easy distribution of information Data reliability and consistency is guaranteed by a common world of metadata

and extractors Comprehensive predictive intelligence supports prospective analysis A broader perspective of corporate data helps you to connect and link your

insights beyond CRM with SCM, Financials, HR, and so on Tight business process integration with operational CRM Ready-to-run Business Content CRM Analytics is embedded in a company-wide business planning solution,

as well as in a business analytics and strategy management solution


How do BW-BPS and CRManalytics work together?

BW-BPS offers generic functions to Modelling Manual planning Automatic planning Process coordination

BW-BPS is the planning platform for CRManalytics CRManalytics delivers preconfigured planning content additional CRM specific functionalitybased on the modelling and processing features of BW-BPS


What is SAP APO?

SAP Advanced Planner and Optimizer (APO) Supports network-oriented planning and optimization Provides flexible and adaptive advanced planning capabilities that

support the full spectrum of supply planning requirements Integrates and synchronizes supply planning and execution information

for timely decision-making Integrates supply planning with other network processes (e.g., CRM,

SRM, PLM)

Main SAP APO planning applications: Demand Planning (DP) Supply & Distribution Planning (SNP & CTM) Production Planning & Detailed Scheduling (PP/DS & CTM) Transportation Planning & Vehicle Scheduling Global Available to Promise (GATP)

APO-DP is the integration point

to BW based planning


APO-DP: Overview

APO Demand Planning helps you match required supply with demand through state-of-the art capabilities that include: Multilevel planning support: View, forecast and plan product demand at

any stage, from initial concept to final manufacturing. Complex forecasting support: Leverage onlinge analytical processing to

handle your most complex forecasting challenges. Create, manage and integrate multiple forecasts, promotions and budget plans.

Data analysis: View demand data in planning tables or graphics, using slice and dice and bill of material explosion options.

Statistical forecasting support: Use a comprehensive toolbox of proven forecasting methods and develop forecasts based on up to the minute data.

Promotional support: Plan, track, manage and support trade promotion programs to improve effectiveness and predictability


APO-DP - Summary

Business benefits / value: Planning of complete supply chain incl. partners (e.g. retailer, supplier) Planning based on business structures (Bill of material, worklist) Inventory reduction Resource balancing Cost reduction Increased customer satisfaction

Planning methods: Network-oriented (e.g. Bill of material) Forecasts based on historical data Promotion planning


BW-BPS Architecture: Overview

Planning Area, Planning Level, Planning Package

OLAP Database

BPSPlanning Workbench

Frontend Clients

PlanningFolders

PlanningFolders

WebInterfaces

WebInterfaces

Interface for CRManalyticsInterface for

CRManalytics

Planning Methods (Layouts, Functions)

SAP Enterprise Portal

API

SAP BW-BPS

Master DataMaster DataPlan DataPlan Data

SAP BW


BW-BPS Architecture: Overview

Planning Area, Planning Level, Planning Package

OLAP Database

BPSPlanning Workbench

Frontend Clients

PlanningFolders

PlanningFolders

WebInterfaces

WebInterfaces

Interface for CRManalyticsInterface for

CRManalytics

Planning Methods (Layouts, Functions)

Planning Area covers 1 InfoCube, multi planning

area groups several planning areas

Transactional InfoCube

Planning methods work in all types of planning areas and may e.g. copy data from one planning

area to another

Planning Area can read and write on

transactional InfoCubes and just read from non-transactional InfoCubes


API

SAP BW-BPS

API allows to enhance standard BPS user

interfaces or to build own user interfaces


SAP BW


Comparison aspects: BW-BPS

The main benefit of BW- BPS is its generic nature: almost any planning application may be built.

Compared to APO it offers value based planning (incl. calculation with prizes), simulation with independent KPIs and currency translation.

BW-BPS is the integration basisfor sales planning in the financial plan.

In addition BW-BPS offers workflow coordination and monitoring of the overall planning process.

Compared to APO-DP the main difference is that there is no network typical calculation (e.g. Bill of material explosion).

Task Planning Tool

Bottom-up mid-term sales planning (sales-oriented: restrictions are not considered

CRMa /BW-BPS

APO

CRMa/ BW-BPSAPO

APO

Plan-actual comparison

Bottom-up mid-term sales planning (logistics-oriented: capacity restrictions are consideredRolling short-term sales planning

BW

Rolling short-term Production planning

Link to sales order processing (Logistics & Production Execution

BW-BPS is the basis for CRM analytics (CRMa).


CRManalytics (CRMa) Architecture: Overview


SAP CRM Application Server

Opportunity Planning


CRM / BW Mapping

SAP BW

BW-BPS Planning Workbench BPS Layouts


Trade Promotion Planning


Marketing &Campaign Planning


SAP BW-BPSStrategic Service

Planning

Strategic Service

PlanningSales Planning &Forecasting

Sales Planning &Forecasting

CRMa Planning Services Enhanced Layouts


CRManalytics (CRMa) Architecture: Overview


SAP CRM Application Server



CRM / BW Mapping

SAP BW

BW-BPS Planning Workbench BPS Layouts






SAP BW-BPSStrategic Service

Planning

Strategic Service

PlanningSales Planning &Forecasting

Sales Planning &Forecasting

CRMa Planning Services Enhanced Layouts

Planning applications (BW-BPS preconfigured for sales

planning purposes)

CRManalytics specific user interface embedded

in CRM application

Additional CRM specific planning

functionality


Comparison aspects: CRM analytics

CRManalytics delivers preconfigured planning content focussing on display and planning of the market point of view based on BW-BPS.

Additional CRM specific functionality includes frontend distribution functionalities and complex customer hierarchies (Business Partner).

Direct integration to CRM business partner master data.

The enhanced BPS planning layouts of CRManalytics are embedded in the CRM promotion management(campaign planning).

CRManalytics is fully based on the modelling and processing features of

BW-BPS.

Task Planning Tool


CRMa /BW-BPS

APO

CRMa/ BW-BPS

APO

APO



BW




CRManalytics: BW-BPS + CRM specific functions

CRManalytics is fully based on BW-BPS architectureCRManalytics offers additional functionality

focussing on CRM related tasks (enhanced BPS-Layouts, additional planning services) on top of BW-BPS Integration between CRManalytics and APO works

through BW-BPS


Planning Area

liveliveCacheCache

Time Series

Orders

BUSINESS

WAREHOUSE

APO Extractors

ReleaseInfoCubes

RemoteCube

R/3CIF /

PIInfo Structures Orders

BW Staging Engine

R/3 Extractors

APO-Architecture: Overview


Planning Area

liveliveCacheCache

Time Series

Orders

BUSINESS

WAREHOUSE

APO Extractors

ReleaseInfoCubes

RemoteCube

R/3CIF /

PIInfo Structures Orders

BW Staging Engine

R/3 Extractors

APO-Architecture: Overview

APO Planning areas can either read from BW-Cube or LC but

write only to LC

liveCache is used in APO-DP (time-series) and APO-SNP, PP/DS, TP/VS, GATP (Orders)

Frontend: Planning books

The liveCache (LC) is the main data storage for APO


SAP APO contains an embedded SAP BW for technical Reasons : The SAP BW within SAP APO is NOT meant to replace a separate

external SAP BW for reporting purposes You may also have an external, separate SAP BW in your mySAP SCM

landscape :No release synchronization is required between the external SAP BW and

the SAP BW inside SAP APO. Only the extractors must be compatible.

APO-Architecture: Important Notes


z BW is the data storage for BW-BPS data

z From non-transactional InfoCubes BW-BPS can only read data

z BW-BPS can read and write data from/to transactional InfoCubes

z The liveCache (LC) is the data storage for APO

z On a direct way APO can only read data from BW

z Data can be transferred from the liveCache back to BW by using the extractor technology from BW

BW-BPS/APO: Integration Features

BPS-Cube

APO-Cube

Read Data from APO

liveliveCacheCacheExtract Data from BW

Multi Planning Area

Multi-Planning areas can read from multiple BW-

Cubes.

BPS and APO can work remote together with other BWs

Extract Data from LC

BW-BPS APO-DP

and use BPS- functions to move, map, convert data between source and target (copy, planning language(FOX), exits)

APO Planning areas can either read from BW-Cube or

LC but write only to LC

APO- Planning Area

Read Data through APO Planning Area


Comparison aspects: APO

APO-DP is the integration module of APO-SNP to BW-based planning. APO-SNP evaluates the feasability of the sales plan based on capacity restrictions.

Additional planning functionality such as Bill of material explosion and special forecast functions.

The market view is reduced to the location as the most important characteristic in order to reduce data volume and redundant customer master data.

Task Planning Tool


CRMa /BW-BPS

APO

CRMa/ BW-BPSAPO

APO



BW



APO is a planning tool dedicated to logistics planning. It represents the

product related view through its proximity to the ERP master data.


SAP BW-BPS

Conclusion

SupplyNetworkPlanning

ProfitPlanning

SalesPlanning

Sales qty (unconstrained)

Sales qty (constrained)

DemandPlanning

CRManalyticsplanning application

Custom built planning application

APO

Cost of Goods (fix/variable)

Marketing costs

Profitability Targets

BW-BPS is the integration module in a collaborative planning scenario.


Content



Business Challenges



Summary



no additional interfaces necessary

Repetition up to this Point

BW-BPS Uses BW as data storage Reads from and writes to

transactional BW InfoCubes Reads from non-transactional

BW InfoCubes

APO-DP APO-DP reads data from BW

InfoCubes APO-DP writes data to

liveCache Extracts data from liveCache

to BW InfoCubes

Exchange of plan data between BW-BPS and APO aided by BW technogy

simple, stable integration


Challenge: Data Transformation

Master Data Management BW-BPS: BW is the one and only master data server -> integration via

reference APO-DP: Has its own master data management but can copy master data

from BW -> integration via copying APO-SNP: Has its own master data management and works on fixed

characteristics -> real-time integration to R/3 Challenge:. Heterogeneous system infrastructure causes the need for

mapping and transformation functionality between system borders

Currency Handling BW-BPS: Multiple currencies and currency transformation supported APO: Data is kept in one currency for each planning area (ad hoc currency

translation is available for display purposes)

Unit Handling BW-BPS: Multiple units supported (but no transformation of non-

compatible units APO: No multiple units -> One unit for each planning area


Data Transformation between BPS and APO

How to achieve data transformation

Alternative 1: BPS pushs and pulls data from/to APO Multi Planning Area in BW for BPS and APO InfoCube

Data structures equal: Use Copy Function Data structures different: Use Fox Fomula to map structures

Alternative 2: APO pulls data from BPS / BPS pulls data from APO Data from transactional BW InfoCube can be read by APO Changed data in APO is extracted to non-transactional InfoCube Multi Planning Area in BPS for BPS and APO InfoCube

Data structures equal: Use Copy Function Data structures different: Use Fox Formula to map structures

Note: APO-InfoCubes should consist at least of the following InfoObjects

9AVERSION (Planning Verision) 9ALOCNO (Location) -> only if APO-SNP is used 9AMATNR (Product) -> only if APO-SNP is used

If data should be available in an InfoCube it has to be extracted from Live Cache (non-transactional InfoCube)


Data Transformation: Mapping in BW-BPS

Key Figures BW-BPS:z Sales quantity (0COPASLQTY)z Revenue (0COPAREVEN)z Sales Discounts (0COPADISCT)z Net sales (0COPANETSL)

Characterisitics BW-BPSz Plant (0PLANT)zMaterial (0MATERIAL)z Version (0VERSION)zCalendar Year/ Week (0CALWEEK)

Key Figures APO-DPz Sales quantity (0COPYSLQTY)z Revenue (0COPYREVEN)z Sales Discounts (0COPYDISCT)z Net Sales (0COPYNETSL)

Characterisitics APO-DPz APO Location (9ALOCNO)z APO Product (9AMATNR)z APO Planning Version (9AVERSION)z Calendar Year/Week (0CALWEEK)

Transformation from Product18 to Product40

(different technical attributes)

Mapping of data in Planning Area APO1 and BPS1. # marks characteristics that dont

exist in the corresponding InfoCube.

One mapping rule for each key figure

Mapping example: APO data is in planning area APO1, BPS data is in planning area BPS1 Multi planning area APOBPS groups the two basic areas Characteristic for product in APO1: 9AMATNR Characteristic for product in BPS1: 0Material Product 18 in planning area APO1 = Product 40 in planning area BPS1

Formula in multi planning area:{0COPASLQTY,Product40,#,BPS1}={0COPYSLQTY,#,Product18,APO1}


Challenge: Aggregation, Disaggregation, Derivation

Different Planning Levels BW-BPS: Planning Level can be set up in a flexible way based

on characteristics and key figures in BW BW-BPS: disaggregation (function) not mandatory APO-DP: Planning Level can be set up in a flexible way based

on characteristics and key figures in BW APO-DP: data always disaggregated to lowest level APO-SNP: Fixed planning level (Location / Product) Challenge: Aggregation/Distribution/Derivation of

characteristic dimensions between components

Different Time Dimensions BW-BPS: Can work on different time dimensions in parallel. No

predefined conversion function between time dimensions. APO: Can work on different time dimensions in parallel.

Predefined conversion function between time dimensions

Version Management BW-BPS: Version is a characteristic. No automatic version

management available APO: automatic version management available

Set up time conversion in

BW-BPS according to APO time conversion

Location and Product are the

limitations in APO. Define mapping and

distribution rules accordingly

Workaround: Create automatic planning

functions in BW-BPS in order to automate

version management.


BW-BPS and APO-DP: Commonalities and Differences

Common:

BW is available for read access

Different:

User Interfaces Planning functions / Planning Services Master Data Concept Planning Applications

Redundancies in maintenance of functions,

user interfaces, master data may occur

Evaluate what to do where. Develop integration concept

which features the right functions according to your

business needs.


Content



Business Challenges




Summary


Custom built profit planning: Initial top-down target setting on business units

CRManalytics planning application:Bottom-up mid-term sales planning (sales-oriented)

Bottom-up mid-term sales planning (logistic-oriented)

Rolling short-term sales planning


Link to sales order processing (Logistics & Production Execution)

SAP APO SAP R/3SAP BW BPS

1

2

3

Scenario: BW-BPS/CRManalytics & APO & R/3

1


Landscape for Integration Scenario

BW-BPS APO

liveliveCacheCache

APOData

Planning Area Multi Planning Area

T = Transactional Cube

Extractor

BPSData

Planning Area (local)

BPS-Planning Area (remote)

T

Back


Type 1: BPS -> APO

Copy data to non-transactional APO InfoCube Data extraction: BW-Update Rules may be used for mapping and flexible

adaptation

APO planning area reads data from non-transactional APO InfoCube APO planning area writes to liveCache

Back

BW-BPS APO

liveliveCacheCache

APOData



Extractor

BPSData



T

BPS pushs data to APO

BPS must provide data on right aggregation level Data distribution: Use BPS distribution

function -> Top Down Data aggregations: Define a specific

Planning Level -> Bottom Up to achieve the right aggregation


Type 2: APO -> BPS

BPS pulls data from APO Data is extracted from liveCache to

non-transactional APO-Cube BPS reads data from non-

transactional APO InfoCube (remote) direct access

(Note: BPS may also read data from local APO InfoCube in this case the data must be copied from the remote APO InfoCube in advance)

Back

BW-BPS APO

liveliveCacheCache

APOData



Extractor

BPSData



T

Copy data to transactional BPS InfoCube Data structures equal: Use BPS Copy Function to Data structures different: Use BPS Fox Formula to map structures BW-Update Rules may be used for flexible adaptation


Type 3: APO-DP -> APO-SNP (R/3)

Release APO-DP to APO-SNP

Transfer of data supports conversion of time dimensions and distribution on locations and products

Back


Content



Business Challenges



Summary



Take action

Set up round table integration team involve: Project sponsor from board Controlling Production Sales

Discuss integration opportunities: landscape (depends on your companies situation) master data concept must be designed for integration needs

Build small prototype for a single product or product group Evaluate and improve prototype Deploy to a broader scope

Keep in mind: Integration is not a matter of system support only it is a continous effort of people collaborating across departmental boarders and may involve cultural changes.

Keep in mind that targets may be competing

Project success depends on management support!

Continously evaluate and improve collaborative planning process!!!


7 Key points to take away.

Planning across departmental boarders becomes vital for the overall success of companies in turbulent environments

SAP enables closed-loop collaborative planning through BW-BPS, CRManalytics and APO

BW-BPS is the platform for CRManalytics APO is delivered with a BW for data storage and analysis BW-BPS is the main basis for stable integration of the different

planning tools in the BW environment Integration through BW-BPS does not require additional

interfaces

Collaborative and integrated planning requires committment of all affected parties


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Copyright 2004 SAP AG. All Rights Reserved

Integration BW-BPS, CRManalytics and APO-DPScope of this presentationContentKeeping control of strategic goalsDifferent/Competing targetsIntegrated planning cycleHeterogeneous planning landscapesContentOpportunities offered by SAP planning productsSample Planning ScenarioPlanning across organizational boundariesIntegrated planning across applicationsWhat is BW-BPS?CRMa: Analytical ScenariosCRM Analytics - OverviewHow do BW-BPS and CRManalytics work together?What is SAP APO?APO-DP: OverviewAPO-DP - SummaryBW-BPS Architecture: OverviewBW-BPS Architecture: OverviewComparison aspects: BW-BPSCRManalytics (CRMa) Architecture: OverviewCRManalytics (CRMa) Architecture: OverviewComparison aspects: CRM analyticsCRManalytics: BW-BPS + CRM specific functionsAPO-Architecture: OverviewAPO-Architecture: OverviewAPO-Architecture: Important NotesBW-BPS/APO: Integration FeaturesComparison aspects: APOConclusionContentRepetition up to this PointChallenge: Data TransformationData Transformation between BPS and APOData Transformation: Mapping in BW-BPSChallenge: Aggregation, Disaggregation, DerivationBW-BPS and APO-DP: Commonalities and DifferencesContentScenario: BW-BPS/CRManalytics & APO & R/3Landscape for Integration ScenarioType 1: BPS -> APOType 2: APO -> BPSType 3: APO-DP -> APO-SNP (R/3)ContentTake action7 Key points to take away.Copyright 2004 SAP AG. All Rights Reserved

Integration BW-BPS Overview

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