1 sap em overview

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Business MaturityQ DATA GROUP

SAP Event Management

An Overview

April 10, 2023

Exception Management

Status Management

Process Monitoring

Process Visibility

Process Analytics / KPIs


Q Data SAP EM Webinar Series

4 Tuesdays at 1pm CST• 1 – EM Overview (Today)• 2 – EM Use Cases (4/26)• 3 – Mobile Track and Trace using the OER (5/3)• 4 – Exception Management in the Supply Chain (5/10)

Other Webinar series on Thursdays at 11am CST• May - Reduce maintenance, shipping costs and labor costs and gain

Business Maturity• June - Middleware Technologies• July - SAP PI System upgrades and Performance Monitoring• August – SAP Event Management• September - Reduce Inventory and MTTR by finding the right part,

first time, every time using an Integrated Product Catalog• October - SAP Meets the iPhone and iPad

http://www.qdatausa.com


Agenda What is SAP Event Management

• An Overview• The components• What comes pre-delivered?• Understanding events

What can SAP EM do for you? Walking through a sample process An SAP EM implementation

• Team Wrap-Up


Supply Chain Event Management

• “Supply Chain Event Management is an application that supports control processes for managing events within and between companies. It consists of a set of integrated software functionality that supports five business processes: monitor, notify, simulate, control and measure supply chain activities.” AMR Research, January 2000


What is SAP Event Management?

SAP’s implementation of “Supply Chain Event Management” A SAP standard tool to:

• track the status of processes• measure compliance with process plans – Uncover & report exceptions• give visibility of your processes to all involved

Found where?• SAP EM as part of SCM (standalone option)• SAP EM as add-on (using EM functionality with an existing app):

SAP AII 2007 (Auto-ID Infrastructure) SAP SNC 2007 (Supplier

Network Collaboration) SAP TM 6.0 (Transportation

Management) SAP ERP 6.0

• SAP EM as the core component (OER) SAP AII 2007 (Auto-ID Infrastructure)

SAP EM was released for general availability in June 2004 as part of the SCM application


Business drivers for SAP EM

Risk mitigation• Increased regulations

Track and Trace with authentication• Real-time exception notification – Proactive notification &

resolution Visibility

• Increase customer satisfaction• Reduce costs

Minimize uncertainties• Reduce time to action• Transparency across dispersed supply chain

Process improvement• Analytics / KPI• Partner performance


Components of SAP EM

ECC

Application Interface

SAP EM

Control Channel

Comms Layer

Reporting Layer

BW

SCM

Application Interface

`

Event Senders

Application System (AS)• Execute data processing in

Application system. E.g. ECC Application Interface (AI)

• Value add: Fast deployment• Basis Plug-in

SAP Event Management (SAP EM) • React to Events / rules based

Business Warehouse (BW) • Supply data for analysis• Value add: Tight integration

Event Senders• Create event messages


Visibility

Process

Customers

Suppliers

Internal Ops

Management

Each relevant business process is represented in SAP EM as an Event Handler (EH)• Includes attributes

Tracking IDs Parameters

• Planned milestones and measurements “The Plan”

Actual events posted against the EH• Measurements• Attachments (digital signature)• Changes to the plan• “The actual”

A little more detail

“The Plan”

“The Actual”

Exception


Understanding Events

Regular Event

Actual Events

Reg

ular

EE

Reg

ular

Early / Late event

Reg

ular

EE

Late

Eve

nt

Ear

ly e

Ven

t

Unexpected Event

Une

xpec

ted

Unreported event

Unr

epor

ted

EE

Planned / Expected Events

2 types of events:• Events that you

expect to happen - Milestones

• Events that actually happen

These can be broken down further:• Regular event• Early / Late event• Unexpected Event• Unreported event


What comes pre-delivered?

Visibility Processes• Configuration / Development

SAP AS, SAP EM, SAP NetWeaver BI extraction SAP Web UI (classic and standard)

• Content SAP NetWeaver BI &

SAP NetWeaver PI

• Documentation Scenario Description Configuration guide


SAP EM and TM

TM Challenges• How can I increase transparency and reduce risk?• How can I reduce my supply chain operational costs?• Can I respond quickly to unexpected supply chain events and ensure

customer SLA is maintained?• Are we compliant with regulations and compliance policies?

Order Management• Receive and create transportation

requirements Freight Planning & Tendering

• Load, mode, schedule, route• Select carrier

Freight execution / monitoring• Documents, transport• Track & Manage

Freight Settlement• Charges, Pay, Invoice

Integrated SAP EM Freight execution tracking

• Freight units, orders, bookings• Events: Loading POD• Pre-defined shipper, carrier, consignee views

Event Notification• WebUI, Mobile, RFID• Rules-based follow on activities• Alert triggering – Email, SMS, Fax, B2B• Overdue event monitoring• Analytics SAP BW

Integrated Exception status in SAP TM cockpit


SAP TM – Ocean Carrier Booking

Book capacity on a ship for sea transportation• use SAP EM to track the

individual process steps• Available exclusively for

Transportation Management in Extended Warehouse Management (EWM).

Tracks the following events• Container loaded on vessel• Departure of vessel• Arrival of vessel• Container unloaded from

vessel

Visibility• View booking requests and

shipments by status• Track transportation events

Container level Communication with

external partner• Track receipts,

confirmations, rejects from partners

• Track unexpected events Change to booking order Change to shipping

instructions


SAP EM and SNC

SNC Challenges• How well are my suppliers

performing? Delivery PO management All suppliers are not

equal…• Automation• Low performance

• Are we collaborating with our suppliers? Exception messaging

Integration with SAP EM• Exception management

Alert framework• Direct to supplier

• Performance management On time delivery

• Visibility Processes Responsive Replenishment PO Process


Object Event Repository

Track and Trace• Serialized items• Authentication

SAP OER

SAP PI

Line Controllers

Mobile for error handling(Online UI)

Data Center

SAP AIILocal Sites

Forklifts and other Warehouse Equipments

Mobile for Shipping / Receiving etc.

SAP AII


Current SAP EM Uses

Order to Cash (Insight, HD Supply, Siemens) Production Order process (Eclipse Aviation) Procurement process (Movie Studio, HD Supply) Returnable Transport Item (Large chip manufacturer) Ocean freight logistics (BASF) Supply Chain (Amanco) Track and Trace (BAT, Green Cargo, Canada Post)

If it’s a business process worth tracking at an instance level then it’s a SAP EM candidate. If regulations restrict it… If visibility and analytics on the process are key… then it can be SAP EM enabled


SAP EM vs. BPM

• BPM is more aligned with ccBPM and SAP Business Workflow• SAP Business Workflow Automation of

business processes within 1 SAP systems• ccBPM Automation of business

processes spanning several SAP systems• BPM Automation of business processes

spanning several disparate systems• SAP EM monitors any business process

• Tight integration to extract events from SAP systems

• Tight integration with SAP NW BW for analytics

• Provides Web Services to add or query data





• Team Wrap-Up


What can SAP EM do for you?

Exception Management Manage processes by exception

• With full visibility to process Planned vs. Actual Events

• Planned vs. Actual Partners, Locations and Measurements

• Proactive alert management Alert Framework integration Workflow integration

• Reduced time to action• Reduce costs

Minimizing uncertainties

STEP 1

STEP 2

STEP 3

Planned Sequence: Step 1,2,3

STEP 4Actual Sequence: 1,3,4 => ALERT!!!



Status Management Monitor processes by status

• With full visibility to process Overdue, Early, Late, Unexpected events

• Proactive alert management If an undesirable status is reached a proactive alert can be issued

• Enabler for exception management



Performance Monitoring Analytical Reporting Capabilities

• “How have my processes been performing?” Process Improvement

• SAP NetWeaver BI integration Measure internal and partner performance KPI Reporting

• E.g. Average delay by carrier, Order to Cash cycle time by Order Type

Operational reporting capabilities• “How is my process performing right now?”• Directly done within SAP EM



Visibility Standard / Custom SAP EM Report

• WIMO• Status visibility

Analytics in SAP NW BW• KPI visibility

Average cycle duration• Partner scorecards

% on time vs. early vs. late Deviations as a % of total count

Alert & Workflow Inbox• Exception Management


Summary

Exception management + Status management + Performance monitoring + Visibility

Process ImprovementReal Value!!!





• Team Wrap-Up


Sample process described


“The Plan” in SAP EM


“The Execution” in SAP EM


Standard event


Unreported event


Standard event


Late event


Unexpected event


Parameter exception


SAP EM reporting





• Team Wrap-Up


A SAP EM Implementation To Do List!!!

ECC – Application System• Set up comms to SAP EM• Implement BAdI (AI)• Define Event Manager• Configure the following:

Business Process Type (BPT) Application Object Type (AOT) Event Types

• Code the following: Relevance function Extractor functions ID extractors Parameter extractors Expected event extractor Business Object extractor BAdI for calling SAP EM

SCM – SAP EM• Set up comms to AS• Define Application System• Configure the following:

Event Handlers / sets Tracking / Query Ids Parameters Status profiles Expected / unexpected events Event codes Rules and Rule sets Locations Partners WCL / Web UI layout BW Config Archive Config


Typical Project Team

Design: 1 x SAP EM Architect Configure: n x SAP EM functional expert Develop: n x ABAP developer with SAP EM knowledge Develop: 1 x BI developer – Queries and dashboard 1 x UI developer 1 x Project Manager


Customer Implementation: Procurement Process

• The Challenge• Track changes to Purchase Orders• Track PO acknowledgements, Goods

Receipts and Invoice Receipts with changes• React immediately to changes outside

tolerances• Track untimely or non-receipt of process

events• Have the visibility to non-compliance of the

process by supplier• Track supplier EDI success / failure• Understand how the procurement process

is performing• Have the ability to set KPIs for the

procurement process

We want to be able to track PO’s and any subsequent discrepancies caused by suppliers changing the PO requirements, and immediately react to these in order to keep our PO plan on track…


The Solution

Enhanced the standard Procurement Visibility Process

Expected events• PO created

PO transmitted PO mapped to 850 OK PO 850 received at vendor

• PO acknowledged PO created + 2days

• PO goods receipt (GR) Based on PO schedule

• PO invoice receipt (IR) PO GR date + 7days

Unexpected events• PO delivery date or quantity change

Based on tolerance• PO acknowledged, GR, or IR amount,

quantity, or date change Based on tolerance


Visibility and Status Management

SAP EM Web UI


Exception Management

Alert Framework Integration

Overdue Monitor Report


Performance Monitoring KPIs

Process cycle count Deviations as a % of

total count• PO Acknowledgements

received with changes• PO GR not matching PO• PO IR not matching PO

Average cycle duration• Total cycle• PO create PO

Acknowledged• PO GR PO Invoice Receipt

% on time vs. early vs. late• PO acknowledged• PO goods receipt• PO invoice receipt• Invoice received





• Team Wrap-Up


BUSINESS VALUE

COLLABORATION

PROCESS RULES

DATA INTEGRITY

Real-time transactions Data cleansing Inside the system System communications Partner and system

cooperation Data accuracy Data accountability Process accountability User confidence

Plan in the system Communications with

your partners Master data rules Define service levels –

Internal and external Business measurements Define exceptions Status definition Data grouping Standard processes

Real-time operational exception management

Integrated notifications through workflow, alerts

Adaptive collaboration with partners

Proactive process realignment

Partner performance Track and Trace Status management Visibility – Process, data,

performance Analytics

Reduced risk Improved service Reduced cost Reduced time to action Improved process

compliance Visibility to performance

goals, process, data Improved collaboration Improved cycle times Fewer exceptions Improved reliability

gained through trusted processes

HOUSEKEEPING

Manage by exception, adapt processes,

realize benefits, set new VALUE targets

MEASURE and ADAPT

Take control of your processes through

monitoring, collaboration and automation

SENSE and RESPOND

Get your data (Master and Transaction) clean with consistent processes adopted to maintain it.

Get your processes integrated and into the system. Refine your process points , set measurement goals

PLAN and EXECUTE

FUNCTIONALITYINTEGRATION

SAP EVENT MANAGEMENT

1 2 3 4

BUSINESS VALUE

Supply Chain Maturity


Q Data Group - SAP EM Practice

Just starting out with SAP EM?• Self Assessment

Online questionnaire – Are you ready for SAP EM? (http://www.qdatausa.com/selfassessment/register.asp)

• 1 Day Readiness Assessment Helps companies make the correct decision as to whether SAP EM

matches the need. Also checks if your organization is ready for SAP EM.• 5 Day Assessment

An Overview presentation on what SAP EM and what it can do for you (½ day)

Detailed generic training covering the configuration of SAP EM (1 ½ days)

Standard EM Scenario Implementation (requires a working SAP EM system prior to on-site arrival) (1 day)

Conducting an analysis of your business processes (1 day) Executive presentation covering opportunities and a project plan to

realize those opportunities (1 day)

http://www.qdatausa.com/selfassessment/register.asp


More Info

http://www.qdatausa.com/Webinar series on SAP EM – Tuesdays 4/19 – 5/10

“SAP Event Management – SAP’s best kept secret” available at Amazon.com or Genie Press at http://www.geniepress.com/qdata

http://www.geniepress.com/books/sapem.htm


Questions???

Kevin WilsonSAP EM Practice [email protected] 1495

www.qdatausa.com

John D. McMahonClient Services – SAP [email protected] 6685

A few of QData’s Clients