XML and XBRL- compliant SAP R/3 Systems Paul Sheldon Foote California State University, Fullerton...

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XML and XBRL-XML and XBRL-compliant SAP R/3 compliant SAP R/3

SystemsSystemsPaul Sheldon Foote

California State University, Fullerton

SAP Congress, February 2001

SAP Congress, February 2001

Paul Sheldon Foote 2

Paul Sheldon FooteDepartment of AccountingCalifornia State University, FullertonPO Box 6848Fullerton, CA 92834-6848

(714) 278-2682pfoote@fullerton.eduhttp://business.fullerton.edu/pfootehttp://business.fullerton.edu/sap

SAP Congress, February 2001

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Focus

Identify how SAP and third party vendors are implementing XML and XBRL-compliant systems

Suggest research opportunities

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XML

Extensible Markup Language In 1999, SAP added XML as a format for

data interchange across its SAP Business Framework

XML, a meta language, provides developers with a standard way to describe data containers, enabling exchanges with non-SAP applications

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XML 2

Eliminates the need for custom translation code

Capable of accessing SAP’s Business APIs (BAPIs)

SAP will enable all of its major interfaces with XML

SAP Business-to-Business Procurement: example of product using XML

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XML 3

SAP’s goal is to make all IDOCS available in XML format

With IDOCS in XML format, it will be easier to integrate SAP R/3 with legacy and with non-SAP systems

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SAP’s XML SEC filing www.secinfo.com

- <filer>- <company-data>  <conformed-name>SAP AKTIENGESELLSCHAFT SYSTEMS APPLICATIONS PRODUCTS IN DATA</conformed-name>   <cik>0001000184</cik>   <assigned-sic>7372</assigned-sic>   <irs-number>000000000</irs-number>   <state-of-incorporation>I8</state-of-incorporation>   <fiscal-year-end>1231</fiscal-year-end>

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IBM’s Visual Age for Java

SAP has agreed to use IBM’s Visual Age for Java development tool for implementing business-to-business data interchange

This will provide JavaBean interfaces into SAP’s BAPIs

Server-side Java and XML integration for SAP R/3 systems

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IBM’s Visual Age for Java 2

With SAP’s BAPIs available through IBM Component Broker middleware, many tool vendors will be able to connect to SAP R/3 systems via open rather than proprietary systems

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SAP Congress, February 2001

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XBRL

Extensible Business Reporting Language Custom markup language based upon

XML Being added to accounting and financial

reporting software

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XBRL 2

XBRL-compliant software automatically and transparently translates numbers and words for viewing of segments in Web browsers, spreadsheets, and in other application software

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XBRL 3

Faster distribution of financial information Eliminate rewrites of financial reports Faster and better Internet searches

– Find desired XBRL-tagged data, not thousands of useless “hits”

Drill down Minimize reentering data

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XBRL Components

XBRL taxonomy Database tables and maps Customized XBRL tags XBRL instance documents

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XBRL Security

Security features are not built into XBRL

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XBRL Steering Committee

Not-for-profit corporation started by the American Institute of Certified Public Accountants (AICPA)

SAP is a member XBRL specifications http://www.xbrl.org

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XBRL Taxonomy Viewer XBRL Taxonomy Builder XBRL Instance Validator XBRL Instance Creator XBRL Extractor XBRL DOM

– A DLL

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XBRL Lists and Enumeration Services Training XBRL Taxonomy Creation XBRL Financial Statement Creation XBRL Style Sheet Creation Financial Information Conversion and

Financial Reporting

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http://xbrlsolutions.com Web site includes additional

documentation authored by Charles Hoffman

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SAP Congress, February 2001

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SAP R/3 Before the Internet

Within a single firm, SAP R/3 ended the problem of “islands of information.”

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SAP Business Framework

SAP supports XML as a data format for data interchange across the entire SAP Business Framework

Support of XML enables SAP R/3 to use the Internet to pass messages to receiving applications having no prior knowledge of the data formats contained in the messages

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SAP’s Business APIs (BAPIs)

XML enables access to SAP’s Business APIs (BAPIs) without custom translation code

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SAP Business-to-Business Procurement

Web-based “requisition-order-payment” solution

Use as part of R/3 or as a stand-alone component interfacing to R/3 or to legacy systems

Little or no training to use Web front end Real-time supplier integration

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SAP OLAP Consolidation

SAP has no current plans to build XBRL functionality into applications

Instead, all XBRL-tagged data will be collected in SAP’s Business Information Warehouse (BW) for use by applications

XBRL support will be in SAP’s OLAP Consolidation Tool (ConsTool), a tool built into SAP-BW

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SAP’s XBRL Templates(a future possibility?)

Reporting Financial Consolidation Modeling Simulation Planning Budgeting

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Java and XML-Based wireless applications for SAP R/3

EPIConnect: Warehouse Edition Developed using Epic Data’s eXpresso

development environment (XML and Java technologies)

Operating system independence for servers and mobile devices

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Development for all major server operating systems, including: Windows, Unix, Linux

Development for all major mobile device operating systems, including: DOS, Windows CE, Palm

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Automatic data collection (ADC) solutions for SAP R/3 customer installations

EPIConnect controls the flow of material from the receiving dock to the shipping bay

Workers with no SAP R/3 training can enter data into SAP R/3

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Intermec Technologies Corporation

RF Hand Held Data Collection Computer used by Epic Data

Weighs under 1 pound

European and Asian character sets available

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Intermec Technologies Corporation 2

Send and receive real time data with 2.4 GHz radio

Develop applications with Microsoft C/C++

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Intermec Technologies Corporation 3

Configurations– Terminal emulation– Client/server– Web-enabled for

integration into HTML applications

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Intermec Technologies Corporation 4

Data collection applications– Time & Attendance– Shipping/Receiving– Picking and Pricing

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SAP Congress, February 2001

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“We want to put ERP into every facet of our business from development through manufacturing to the maintenance, repair, and overhaul market.”--Mike Paul, Pratt

&Whitney ERP director

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SAP host computer in Connecticut

Epic Data’s ADC server in Singapore

Intermec hand held Data travels 14,000

miles each way in less than 2 seconds

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Aircraft engines worth more than $5 million can be assembled from more than 2,000 unique part numbers in 8 days, instead of 6 weeks

Single instance of SAP R/3

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All worldwide data now resides in one location

Over 20 – 30 years for each engine have:– How part

manufactured– Tests performed– Quality issues

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Manufacturer of high-quality plumbing fixtures

Fine furniture Cabinetry and tile Small engines and

generators

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SAP R/3 Epic Data for

automated data collection for SAP R/3

Intermec Antares hand-held terminals

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At month-end processing, pull data from SAP via Epic Data system to work offline with Intermec terminals while SAP R/3 is unavailable

Can continue to pack and close shipments

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Continuous Auditing

Real-time processing of transactions

Real-time auditing

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Continuous Auditing 2

Reduce time for existing audits?

Increase audits in same amount of time?

Reduce insurance costs for liabilities of CPA firms?

Less overtime to meet reporting deadlines?

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Value Added Services

Direct communication to stakeholders– Shareholders– Analysts– Investors– Employees– General information on Web sites

Regulatory reporting (SEC) Tax reporting (IRS)

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mySAP.com Internet-Business Framework

Open Internet standards (such as XML and HTTP) combined with SAP R/3’s scalable, high-performance architecture

SAP’s WebFlow technology for business communities is based upon XML-enabled Business Objects

Information exchange between companies via XML messages

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mySAP.com Marketplace

Instead of using independent buying and selling systems, companies may purchase or use mySAP.com Marketplace

An example of a live marketplace using mySAP.com Marketplace is http://www.neoforma.com

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Global electronic business-to-business supply chain exchange for the healthcare industry

Supply chain processes cost the medical industry $23 billion annually

Automating the supply chain could reduce annual costs by $12 billion

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SAPMarkets, Inc.

SAPMarkets, Inc. is SAP’s subsidiary for evolving mySAP.com e-business applications into e-marketplace services

Covisint, an XML-based buying system started by General Motors, Ford, and by DaimlerChrysler, has encountered selling side automotive exchanges led by Robert Bosch GMBH and others

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SAPMarkets, Inc. 2

With Commerce One, SAPMarkets is already offering MarketSet and EnterpriseBuyer

Commerce One and NEON (New Era of Networks, Inc.) are delivering an XML-based connector for SAP R/3 integrating Commerce One’s Buysite 6.0

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mySAP.com Strategic Enterprise Management (SEM)

Original foundations:– mySAP.com Internet-Business Framework– Business Application Programming Interface

(BAPI)

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mySAP.com Strategic Enterprise Management (SEM)2 Business Planning and Simulation Business Consolidation and Sourcing Business Information Collection Corporate Performance Monitor Stakeholder Relationship Management

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SAP SRM

SAP SRM (Stakeholder Relationship Management) function

Value-based management via communications with employees, investors, analysts, customers, and suppliers

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mySAP.com Business Intelligence

Real-time Web-enabled analytical reporting

Reporting Agent runs queries in the background with exceptional conditions reported as HTML elements

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Custom Markup Languages

Mathematical Markup Language (MathML)

Chemical Markup Language (CML) Wireless Markup Language (WML) Synchronized Multimedia Markup

Language (SMIL) Scalable Vector Graphics Markup

Language (SVG)

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Custom Markup Languages 2

Bean Markup Language (BML) Extensible 3D (X3D) Bank Internet Payment System (BIPS) Electronic Business XML (ebXML) Visa XML Invoice Specification Commerce XML (cXML) LegalXML

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Custom Markup Languages 3

NewsML Open eBook Publication Structure Extensible User Interface Language (XUL) Research Information Exchange Markup

Language (RIXML) VoiceXML Vector Markup Language (VML)

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Custom Markup Languages 4

Product Data Markup Language (PDML) Financial Products Markup Language

(FpML) XML Metadata Interchange (XMI) Trading Partner Agreement Markup

Language (tpaML)

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Custom Markup Languages 5

Small to Medium Business XML (SMBXML)

Financial Information Exchange Markup Language (FixML)