Dr. William P. Wagner Villanova University SAP NetWeaver EAI Technology Framework for the Future

Dr. William P. WagnerVillanova University

SAP NetWeaver

EAI Technology Framework for the Future


Background of SAP

Founded in 1972 in Waldorf, Germany >25K companies run SAP

Approaching 60% market share in ERP Made the switch in ’90s to C/S architecture $8.4B rev in 2003 (up 12%)

License revenue declined 6% 15% increase in profits in Q2 this year

Powerful yet inflexible software Difficult to expand into SME markets

31%

36%

28%

4% 1%Licenses (-6%)

Maintenance (+6%)

Consulting (-11%)

Training (-28%)

Other (-32%)

SAP Revenue Breakdown (2003)


SAP NetWeaver: Future of SAP

What is NetWeaver and why is it a buzzword in SAP circles?


What is NetWeaver?

SAP NetWeaver provides all the technological capabilities necessary to develop, integrate, and run current and future SAP solutions.


Strategy behind NetWeaver

In 2001, SAP made the key decision to open up their proprietary technology Rewrote R/3 kernel Supporting J2EE and XML Launched on-line developer network

In Jan. 2003, they launched NetWeaver Open standards platform based on J2EE Coupled with XML and Web Services standards Separating their business solutions from their

technology platform (MySAPXXX and Basis)


NetWeaver Strategy…

Before NetWeaver, companies needed other SAP tools and middleware to web enable apps, build portals, or enable mobile devices Came up with BAPIs in 1990s Then MySAP.com in mid 1990s Cost of integration was high so they

came up with NetWeaver Pre-configured integration in SAP XI


Evolution of NetWeaver SAP R/3 included “Basis” which was technology

layer Included generic interface – SAP GUI, workflow engine SAP BW, APO, and newer products contained the same

tech layer Customers could not get the technology without buying the

application on top of it In 2000, SAP released WAS, as an extension of

Basis, to be used on its own SAP EP and XI followed

In Jan 2003, introduced NetWeaver NetWeaver is free to licensed MySAP users and cheap for

R/3 customers NetWeaver is a loss leader for its other applications


NetWeaver Strategy…

Provides a platform for standardizing integration Vendor-neutral, can run along-side

WebSphere or BEA WebLogic Addresses non-SAP integration as well Non-SAP developers can now build

enterprise level web services that can be integrated with SAP back end systems


NetWeaver Strategy… Estimated 1 million registered ABAP

developers Goal is to move them to become NetWeaver

developers Had to resolve ABAP-Java integration issues

Java has found a home in the mid-tier of the enterprise NetWeaver is designed to help connect SAP backend

to Java apps Traditionally this has been very expensive to do New developer tools are designed to make it easier for

non-SAP developers to write for SAP…>80% of Fortune 1000 firms have some SAP Tools include NetWeaver Developer Studio, Web

Dynpro, Java Connectivity Builder


NetWeaver Strategy

SAP wants developers to design and certify NetWeaver apps that enhance SAP functionality Called xApps or “composite applications” Will use pieces of existing SAP apps to

build extensions with NetWeaver Enterprise Portal is a key technology for

this


Web Service as driver…

Web service integration was harder than they thought Java and XML have become the

standards Evolving into Enterprise Services

Ex. Cancelling an order vs. checking inventory, reducing salesperson commission, and generating an amended PO


NetWeaver Adoption

SAP anticipates that NetWeaver will redefine the company in a global manner About 3000 of more than 24,000 potential

companies have put some portion of NetWeaver into play

Early stage of maturity IBM and MicroSoft supporting NetWeaver SAP committed heavily to grow this in 2004 and

2005


NetWeaver Components

SAP NetWeaver 2004 Synchronized Release as a single package SAP WAS 6.4 SAP EP 6.0 SAP XI 3.0 SAP BW 3.5 SAP MI 2.5

(SAP MDM limited usage at this point) All sold and shipped together and can be installed

in one procedure Still possible to run individually Ramp up was April 2004


…

SAP NetWeaver™SAP NetWeaver™

INFORMATION INTEGRATION

Master Data Management

Bus. Intelligence Knowledge Mgmt

Co

mp

os

ite

Ap

pli

ca

tio

n F

ram

ew

ork

PEOPLE INTEGRATION

Multi channel access

Portal Collaboration

APPLICATION PLATFORM

J2EE

DB and OS Abstraction

ABAP

Life

Cy

cle

Mg

mt

PROCESS INTEGRATION

IntegrationBroker

Business ProcessManagement

SAP EP

SAP MI

SAP BI

SAP XI

SAP MDM

SAP WAS

http://www.microsoft.com/net/


Evolution of SAP App development

ABAP & SAP Basis Open SQL RFCs/BAPIs ALE & IDocs Report Writer/Query Dynpro, SAP GUI ABAP Workbench

WAS and Java

Open SQL for ABAP & Java

Web Services/WSDL

XI, MDM, and XML

SAP BI

Web Dynpro, EP, MI

NetWeaver Developer Studio




Terms to know…

EAI ERP R/3 modules

FI/CO, MM, SD, HR, PP

SDN MySAPXXX Basis

NetWeaver 2004 ESA EP MI XI WAS BI MDM

Master data

Documents

Dr. William P. Wagner Villanova University SAP NetWeaver EAI Technology Framework for the Future