Preface

19

Objective of This Book

20

Who This Book Is For

20

How This Book Is Organized

21

Acknowledgments

23

1 SAP S/4HANA Fundamentals

25

1.1 Transition into an Intelligent Enterprise

26

1.1.1 Preparing Businesses for a Fast-Changing Future

27

1.1.2 The Evolving Nature of Data

28

1.1.3 Adoption of Intelligent Technology

28

1.2 Key Technologies

29

1.2.1 SAP S/4HANA

29

1.2.2 SAP HANA

32

1.2.3 SAP Fiori

35

1.3 Deployment and Operating Models

38

1.3.1 Cloud

39

1.3.2 On-Premise

40

1.3.3 Hybrid

41

1.3.4 Deployment Considerations with SAP S/4HANA

41

1.4 Deployment Approaches

42

1.5 Summary

45

2 Introduction to SAP Activate

47

2.1 SAP Activate Key Concepts

47

2.2 Components of SAP Activate

53

2.2.1 SAP Best Practices

54

2.2.2 Methodology

56

2.2.3 Tools for Adoption and Extensibility

58

2.3 SAP Activate Phases and Project Management

60

2.3.1 Discover

61

2.3.2 Prepare

61

2.3.3 Explore

62

2.3.4 Realize

62

2.3.5 Deploy

64

2.3.6 Run

64

2.3.7 Project Management

65

2.4 SAP Activate Methodology Taxonomy

67

2.4.1 Workstreams

68

2.4.2 Deliverables

71

2.4.3 Tasks

72

2.4.4 Accelerators

73

2.5 SAP Activate Community

74

2.5.1 Registering for the Community

75

2.5.2 Accessing the Community

75

2.5.3 Structure of the Community

76

2.5.4 How to Search for Answers

78

2.5.5 How to Post a Question

79

2.5.6 How to Contribute Blog Posts

80

2.5.7 How to Upload an Asset

81

2.5.8 How to Set Up Notifications Preferences

82

2.6 SAP Activate Training and Certification

83

2.7 Summary

85

3 Accessing SAP Activate

87

3.1 Roadmap Viewer

87

3.2 SAP Best Practices Explorer

94

3.2.1 Positioning of Content

95

3.2.2 SAP S/4HANA Content Structure

95

3.2.3 Localizations and Languages

101

3.2.4 Tool Features

104

3.3 SAP Cloud ALM

107

3.3.1 Why SAP Cloud ALM?

107

3.3.2 Implementation Capabilities

109

3.3.3 SAP Cloud ALM for Operations

111

3.3.4 SAP Cloud ALM Roadmap Outlook

113

3.4 SAP Solution Manager

115

3.4.1 Application and Business Process Operations

116

3.4.2 Data Volume Management

117

3.4.3 Change Control Management

117

3.4.4 Custom Code Management

118

3.4.5 IT Service Management

118

3.4.6 Landscape Management

118

3.4.7 Process Management

119

3.4.8 Project Management

119

3.4.9 Focused Solutions

119

3.4.10 Test Suite

120

3.5 Summary

121

4 Starting with a Working System

123

4.1 SAP Best Practices for SAP S/4HANA

123

4.1.1 SAP S/4HANA Cloud

123

4.1.2 SAP S/4HANA

133

4.2 SAP Model Company

138

4.2.1 Structure of Content

139

4.2.2 Deployment Options

141

4.2.3 SAP Model Company for Multinational Corporations

144

4.3 Summary

146

5 Configuration, Data Migration, Extensibility, Integration, and Testing

149

5.1 Business-Driven Configuration

150

5.1.1 Configuration Approaches

151

5.1.2 SAP S/4HANA Cloud, Essentials Edition

151

5.1.3 SAP S/4HANA Cloud, Extended Edition

157

5.1.4 SAP S/4HANA

160

5.2 Data Migration

163

5.2.1 Data Migration Preparation

164

5.2.2 Data Migration Execution

166

5.2.3 Process Alternatives

169

5.3 Extensibility

170

5.4 Integration

174

5.4.1 Prepare

175

5.4.2 Explore

177

5.4.3 Realize

178

5.5 Testing

178

5.5.1 SAP S/4HANA Cloud, Essentials Edition

178

5.5.2 SAP S/4HANA Cloud, Extended Edition

182

5.5.3 SAP S/4HANA

183

5.6 Summary

186

6 Agile Project Delivery

189

6.1 Roles, Responsibilities, and Governance

190

6.1.1 Roles

190

6.1.2 Events

194

6.1.3 Artifacts

196

6.2 Creating and Managing the Backlog

197

6.3 Agile Realization

200

6.3.1 Defining Release and Sprint

200

6.3.2 Anatomy of a Sprint

202

6.4 Definition of Ready and Done

206

6.5 SAP Activate in a Scaled Agile Environment

209

6.5.1 Common Principles in SAFe and SAP Activate

210

6.5.2 Alignment Points for Each Level of SAFe

211

6.6 Summary

213

7 Deploying SAP S/4HANA Cloud

215

7.1 Deployment of SAP S/4HANA Cloud, Essentials Edition

215

7.1.1 Discover Your Solution

217

7.1.2 Prepare Your Project

221

7.1.3 Explore the Solution

229

7.1.4 Realize Your Requirements

244

7.1.5 Deploy Your Solution

266

7.1.6 Run Your Solution

271

7.2 Golden Rules for Implementing SAP S/4HANA Cloud, Extended Edition

275

7.2.1 Rules and Benefits

276

7.2.2 Rule 1: Foster a Cloud Mindset

278

7.2.3 Rule 2: Use Preconfigured Solutions and Leverage SAP Fiori

279

7.2.4 Rule 3: Use Modern Integration Technologies

280

7.2.5 Rule 4: Use Modern Extensibility Technologies

281

7.2.6 Rule 5: Ensure Transparency on Deviations

283

7.3 Deployment of SAP S/4HANA Cloud, Extended Edition

284

7.3.1 Deployment Approach and System Landscape

284

7.3.2 Discover Your Solution

286

7.3.3 Prepare Your Project

290

7.3.4 Explore the Solution

296

7.3.5 Realize Your Requirements

300

7.3.6 Deploy and Run Your Solution

306

7.4 Summary

309

8 Deploying On-Premise SAP S/4HANA

311

8.1 Deployment Project Overview

312

8.2 Discovering the Solution and Planning Your Journey

315

8.2.1 Strategic Planning

316

8.2.2 Trial System Provisioning

317

8.2.3 Application Value and Scoping

318

8.3 New Implementation

323

8.3.1 Prepare Your Project

325

8.3.2 Explore the Solution

332

8.3.3 Realize Your Requirements

353

8.3.4 Deploy Your Solution

375

8.3.5 Run Your Solution

379

8.4 System Conversion

383

8.4.1 Prepare Your Project

385

8.4.2 Explore the Solution

394

8.4.3 Realize Your Requirements

417

8.4.4 Deploy Your Solution

431

8.4.5 Run Your Solution

434

8.5 Selective Data Transition

437

8.6 Summary

444

9 Deploying Hybrid System Landscapes

445

9.1 What Is a Hybrid Two-Tier ERP Setup?

446

9.1.1 Headquarters and Subsidiary Setup

448

9.1.2 Corporate Noncorporate/Affiliate Setup

448

9.1.3 Central Services Setup

449

9.1.4 Ecosystem Setup

450

9.2 Move Options

452

9.3 Master Data

454

9.3.1 Data Replication Framework

455

9.3.2 Replication Based on APIs

459

9.4 Finance

461

9.4.1 Financial Planning

461

9.4.2 Financial Consolidation

465

9.4.3 Centralized Customer Payments

472

9.4.4 Treasury Payment Request Integration

474

9.5 Sales

476

9.5.1 Subsidiary as a Local Sales Office

477

9.5.2 Drop Shipping

479

9.5.3 Returns Handling

484

9.6 Procurement

486

9.6.1 Procurement Handled Directly by Subsidiary

487

9.6.2 Centralized Procurement at Headquarters

488

9.6.3 Centralized Contracting from Headquarters

490

9.6.4 Centralized Scheduling Agreements from Headquarters

494

9.7 Manufacturing

495

9.7.1 Production at Subsidiaries

496

9.7.2 Assembly at Subsidiaries with Components Provided by Headquarters

499

9.7.3 Integration with Manufacturing Execution Systems

502

9.7.4 JIT Calls

504

9.8 Integration

506

9.8.1 Integration Approaches

507

9.8.2 Monitoring and Extensibility

511

9.9 Accelerators

512

9.9.1 Download Accelerators

512

9.9.2 Master Data Handling with SAP Cloud Platform-Based Workflows

513

9.9.3 Finance Master Data Replication

514

9.9.4 Purchase Order to Sales Order Automation

516

9.9.5 Billing Document to Supplier Invoice Automation

517

9.10 Analytics and Reporting

518

9.10.1 Analytics via SAP Business Warehouse Tools

519

9.10.2 Central Analytics on SAP Cloud Platform

520

9.10.3 Central Analytics on SAP Analytics Cloud

521

9.10.4 Ad Hoc Custom Reporting

522

9.11 Summary

523

10 Organizational Change Management

525

10.1 OCM and Digital Transformation

525

10.2 OCM Activities in SAP Activate

526

10.2.1 Discover

528

10.2.2 Prepare

528

10.2.3 Explore

529

10.2.4 Realize

531

10.2.5 Deploy

532

10.2.6 Run

532

10.3 Transition to the Customer Center of Expertise

532

10.3.1 Organizational Readiness in the Customer Center of Expertise

533

10.3.2 Capabilities Framework

533

10.3.3 Roadmap for Organizational Readiness

535

10.3.4 New Roles with SAP S/4HANA Cloud

536

10.4 Team Enablement and Self-Enablement

539

10.5 SAP Enable Now

540

10.6 Summary

542

11 SAP Activate for Other SAP Products

545

11.1 SAP Activate for SAP SuccessFactors

545

11.2 SAP Activate for SAP Analytics Cloud

548

11.3 SAP Activate for SAP S/4HANA Upgrade and Integration

550

11.4 Additional SAP Activate Methodology Roadmaps

552

11.5 Summary

553

Appendices

555

A SAP Activate Certification Preparation

555

A.1 Exam Structure

555

A.2 Practice Questions

556

A.3 Practice Question Answers and Explanations

567

B The Authors

577

B.1 Contributors

579