S/4HANA Conversion@Westfalia – ein Erfahrungsbericht

March 07, 2019

Christian Walters Managing Director Finance & Controlling, Westfalia Metal Hoses

Reimund Lips Head of Global Digital Practices, itelligence AG

Agenda

• Westfalia: Customer Presentation

• S/4HANA Transition and S/4HANA Conversion

• Westfalia Conversion Project

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Westfalia Metal Hoses & Itelligence – Together on the road

Member of the HEITKAMP & THUMANN GROUP

55 OEMs We supply more than 55 On- and Off-Road Vehicle Producers from single components to complete routing systems.

Facts & Figures

30% Market

ShareEvery third commercial vehicle worldwide is equipped with one of our products.

65 Years

Experience65 years of experience in the design, development and production of decoupling elements and exhaust routings.

3 Mio. InvestmentsWe invest more than 3 million Euro every year in the enhancement of capabilities and capacities.

1,5 Mio.

ComponentsIn 2018, we manufactured nearly 1,5 million Stripwound or Gastight Hoses for commercial vehicles.

507 EmployeesWe employ more than 500 employees across the globe in Germany, Czech Republic, USA, China.

Global and regional key players apply our products

Serving all main commercial vehicle markets

Chicago, USALyon, France

Mumbai, India

Tokyo, Japan

Seoul, Korea

Westfalia Metal Hoses locations

Sales Representations

Shanghai,China

Bristol, CTUSA

HilchenbachGermany

Hustopece,Czech

Republic

Europe:• Supply chain across both plants – significant intercompany transactions• Both plants in Europe run SAP• Go-live in CZ 2009, DE 2017• Version ECC 6.0 EHP7• Same system, same client, 2 company codes• Hosted by Itelligence in Poznan, Poland

S/4HANA Transition and S/4HANA Conversion

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SAP S/4HANA Transition | What has to be considered

SimplifiedFunctionality

S/4HANA Enterprise Management

ProcessRedesign

OLAP&OLTPFIORICDS

Virtual Data ModelsRole based / exception

based user experience

Functional Scope Technical & MethodologyChanges

New Customer/Partner

Development

Framework

Principle of

OptimizationsCustom Code Refactoring ProjectsHANA Optimization

SAP ActivateONE

ModificationClearing

Custom Code

Optimizations

CompatibilityDatabase Migration& Unicode

SyntaxCorrections

Transition

ReleasedIndustry

Solutions

ReleasedAdd on´s

Simplificationdatabase Installation &

Landscape

Management

System conversionactivities & SUM

Relevant for System Conversion only

Relevant for New Install and System Conversion

BRF+

Pre-Transition Workshops - Verification - POC | Traditional Model

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Initial Assessment (WS0)

ReadinessCheck (WS1)

Business ProcessReview (WS2)

Value Discovery (WS3)

SandboxConversion (Pre-Project)

Transition StrategyProposal(WS4)

Roadmap (WS5)

Evaluatecurrentsituation

andcustomer

expectations

Check system

readinessfor

conversion

Evaluatebusinessprocess

quality andS/4HANA

compliance

Discoverpotential improve-

ments andbenefits

POC: Verifysystem

readinessfor your

transitionstrategy

Decide yourtransition

strategy on reliablefacts

Design yourlongterm IT Roadmap

Need to describe:• Content• Timeline• Ressources• Input• Output• Customer benefit• Step-by-step deliverables

„Value Check“

„S/4 Roadmap“

Pre-Transition Workshops | Accelerated Model

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Initial Assessment (WS0)

ReadinessCheck (WS1)

Business ProcessReview (WS2)

Value Discovery (WS3)

SandboxConversion (Pre-Project)

Transition StrategyProposal(WS4)

Roadmap (WS5)

Evaluatecurrentsituation

andcustomer

expectations

POC: Verifysystem

readinessfor your

transitionstrategy

Conversionpowered byConversion

Factory

Design yourlongterm IT Roadmap

Need to describe:• Content• Timeline• Ressources• Input• Output• Customer benefit• Step-by-step deliverables

System Requirements

Your Basic Sequence for the S/4HANA Conversion

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Realize Phase

t

Maintenance Planner

Pre-ChecksCustom Code

Migration WorklistSoftware Update Manager (SUM)

Application specificfollow-on activities

Discovery Prepare Phase

4 5

Simplification ListSAP S/4HANA, on-premiseedition

Database Migration

Software Update

Data Conversion

0

Readiness Check

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ERP 6 on any EHP version

Unicode system

AS ABAP only (dual-stack systems are not supported)

Discovery Prepare Phase

System Requirements

System clean-up

Archiving

Customer Vendor Integration

HDB Migration

New GL migration

Optional subprojectsSystem Requirements

Westfalia Conversion Project

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Westfalia | Project Objectives

S/4HANA 1809 Conversion (POC) of SAP ERP Production Copy (“Sandbox Conversion”)

Check system readiness: Is the SAP ERP System ready to convert?

Identify obstacles and show stoppers: How can possible pitfalls be removed?

Calculate effort and timeline: How long does a system conversion really take?

Non-disruptive move from Business Suite on HANA to S/4HANA.

No functional optimizations or changes of business processes.

No usage of new user interface (UX, Fiori), but classical GUI.

No extensive enduser trainings.

Short Project timeline.

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S/4HANA Conversion | Sandbox Conversion (POC)

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RUN 11. Prod to Sandbox (SBX) Copy2. SBX Conversion3. SBX Functional Testing(UT)

SBX

PRDQASDEV

SBX

Any DB Platform

HANAPlatform

1

2

3

SAP ERP

SAP S/4HANA

Westfalia | System Landscape, Products, Interfaces

SAP ERP 6 EHP7 on HANA

Database Size: 200 GB

Users: 350

Implementation Year: 2009

No. of Company Codes: 5

SAP BW

SAP Business Connector (WSH tax officecommunication)

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Interfaces:

EDI (Seeburger)

e-banking (Multicash)

SFDC (Fastec)

BAPI (WCZ Barcode system)

CAQ (WSH quality system)

LN databases (file exports)

HR (Perm– employees import)

SMTP (relay to mail server)

Network fileshare mirroring (betweenPoznan hosting center and Hustopece andHilchenbach LANs)

Westfalia | ERP Core Modules

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Westfalia | S/4HANA Facts

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S/4HANA FACTS

HANA migration already executed

ABAP Stack only

UNICODE

EHP 7

New GL Migration already done

Number of active Company Codes: 5

Data History: 9 Years

Westfalia | Project Milestones

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Milestone for Signoff

Project Phase Task Description

Month

Date

Week 1 2 3 4 5 6 7 8 9 10

Prepare Sandbox Server Preperation

Test Source Environment Ready

Realize Sandbox Pre-Conversion Activities

Transactional Data Consistency

Sandbox Technical Conversion

Sandbox Post Conversion Activities

Target Platform Ready for Testing

Functional Testing & Issue Resolution

Functional Testing Signoff

itelligence Conversion Factory: Communication and Collaboration Model

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• PM / System Architect

• System Admin• Consultant LOG• Consultant FIN

• PM • System Admin• Keyuser LOG• Keyuser FIN• Keyuser N.N.• Keyuser N.N.

CONVERSION FACTORY

Flexible Cluster

Peo

ple

To

ols

ONSITE TEAM CLIENT

Westfalia | S/4HANA Workshops

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Kick-Off

WS LogisticsWS Finance

WS Changesin S/4HANA

Finance Data Model Changes in Finance and General Ledger

Universal Journal Benefits in Finance and General Ledger

Process Changes in GL Account.

Key Changes in Bank and Cash Management

Asset Accounting Changes in S/4HANA

Key Changes in CO-PA and Material Ledger

Migration and Reports for project Validation Phase

Logistics Business Partner

FSCM

Settlement Management

New MRP Run

SD Pricing Data Model

Field Length Extensions

ECC vs S/4HANA

Important Changes

General Ledger

Bank Accounting

Asset Accounting

Controlling

Production Planning

Westfalia | Weekly Information Exchange

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Project work

betweenCalls

Prepareand

presentissues

Analyzeissues

Discuss and find

best solution

Track progress, timeline,

cost

Presentprogress

Presentissuesand

Tasks

Provideand

explainoptions

Take decisions

Resolveissues

Westfalia | Mandatory Simplification Items

22

New General Ledger(Yes)

New Asset AccountingClassic Asset Accounting

(Yes)

Material LedgerUsing Multiple Currencies

Material Ledger(No)

Basic S/4HANA Credit Management

Credit Management AR/SD (Yes)

Bank Account Management (BAM) Lite

ECC Bank Accounting(Yes)

Settlement ManagementRebates Management

(Yes)

Foreign Trade (Yes)

Foreign Trade – Letter of Credit, INTRASTAT

New General Ledger

Business Partners

ERP SYSTEM S/4HANA SYSTEM

Customers / Vendors(Yes)

Westfalia | Gros and Net Project Timeline

Pre-Conversion: 30 days / 6 weeks

Technical Conversion: 30 days / 6 weeks (36 hours net)

Post Conversion: 10 days

Testing

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Pre-Conversion Tech.-Conversion Post-Conversion

2018/10/11 2019/01/21

t

• Long Material Number• BW Interface• Material Valuation

2019/01/112018/11/26

Westfalia | Lessons learnt

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Excellent communication between all involved parties.

itelligence Conversion Factory accepted as a trusted partner.

Most issues in FI and AA, local FI consultant mandatory.

Simplification Item Check: all issues to be removed before technical conversion.

Simplification Item Check versus Readiness Check:

Readiness Check best use in Presales Phase („first indication“).

SI Check more detailed with better results.

10 – 12 weeks runtime for an Sandbox Conversion realistic.

OSS issues clearing as a potential hurdle (1809 frontrunner?)

Q&A

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Wir machen mehr aus SAP®-Lösungen!

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