Project Proposal Sample From Capgemini

SAP IMPLEMENTATION AND ROLL OUT SERVICES FOR

MAHARASHTRA STATE POWER GENERATION CO. LTD.

RESPONSE TO REQUEST FOR PROPOSAL

This Document is Confidential.

Version 1.3

Published on November 10, 2008

MSPGCL SAP Implementation & Roll out Services Response to RFP i

Notice to the Recipient of this Proposal The information contained herein is considered proprietary and confidential information of Capgemini Consulting India Pvt. Ltd. (“Capgemini”), and its release would offer substantial benefit to competitors offering similar services. This material includes descriptions of methodologies and concepts derived through substantial research and development efforts undertaken by Capgemini. Therefore, the use or release of the information contained in this proposal for purposes other than an evaluation of its contents as a basis for contract award is prohibited, and it is the position of Capgemini that the materials herein are not considered subject to release under the Right to Information Act, 2005 if applicable.

Copyright 2008 Capgemini India Pvt. Ltd.

All rights reserved. No part of this proposal may be reproduced by any means or transmitted without the prior written permission of Capgemini except with respect to copies made or transmitted internally by you for the purpose of evaluating this proposal. All copies of this proposal (or any portion hereof) and any accompanying electronic copies should be returned to Capgemini or, at Capgemini’s option, destroyed at the end of the proposal evaluation period if Capgemini is not selected.

Neither submission by Capgemini nor your acceptance of this proposal, in whole or in part, constitutes acceptance by Capgemini of any contractual terms contained in your Request for Proposal, if any, and shall not form a binding agreement between the parties. Such an agreement shall only exist upon the execution of a mutually acceptable contract by both parties. Except as otherwise set forth in such a contract, Capgemini makes no representations or warranties to you.

The term "Capgemini" appearing elsewhere in this proposal may refer to Capgemini India Pvt. Ltd., or to one or more of its global affiliates (which expression shall unless it be repugnant to the content or meaning thereof mean and include its successors and assigns). However, this proposal is being submitted only by Capgemini India Pvt. Ltd., which is solely responsible for its contents, and Capgemini India Pvt. Ltd. shall be the contracting entity if its proposal is selected.

Capgemini India Pvt. Ltd.

MSPGCL SAP Implementation & Roll out Services Response to RFP ii

Date: 10th November, 2008

Office of the General Manager (I.T.), Maharashtra State Power Generation Co. Ltd., Prakashgad, 3rd Floor, Plot No. G-9, Anand Kanekar Marg, Bandra (E), Mumbai – 400 051.

Dear Sir,

It is a pleasure to introduce Capgemini as one of the largest IT consulting and technology service provider companies in the world. We are one of the largest service partners of SAP and the leading provider of IT related services to the Energy and Utilities vertical globally. In India, we are a team of 20,000+ technology professionals based across multiple locations in India, making us an MNC with a global face and a local base. With over 5000 professionals based out of Mumbai, we believe that we are best qualified, technically and realistically, to help MSPGCL in their envisaged SAP project.

We are presenting to the Maharashtra State Power Generation Company Ltd. our bid for your organization for SAP Implementation and Rollout Services. We have highlighted our strengths, capabilities and experience across various technologies, specifically in the verticals utilities & public sector and also SAP implementation and application development across the globe. Having working with leading organizations in both the government and private sector, Capgemini combines a plethora of utilities and SAP implementation services experience and global best practices to offer value added services in consulting, audits and implementations of large scale ERP implementation and support projects.

In addition to this document which is the covering letter of the bid document set, please also find enclosed Annexures 1-10 with ready references. We have enclosed the required number of references and some additional references which will add value to our solution for your specific project. We have strived hard to provide the reference details (purchase orders, client references) and have provided most of the publicly available details which fulfill the bid requirement. In some cases this information was highly sensitive and hence masked. However, our qualification is taken care of by the information provided in selected cases. We look forward to your response on our bid. Please contact the undersigned for any further clarifications on this document.

Yours truly,

For Capgemini India Pvt. Ltd.,

Neeraj Balani.

Capgemini India Pvt. Limited. SEP2-B3, Godrej Industries Complex, Eastern Express Highway, Vikhroli (W) Mumbai – 400079. [email protected] Cell: +91-9930493828

mailto:[email protected]

MSPGCL SAP Implementation & Roll out Services Response to RFP iii

TABLE OF CONTENTS

1 Executive Summary.............................................................................................................1

2 Project Background.............................................................................................................3

3 Capgemini Proposal ............................................................................................................5 3.1 Project Scope................................................................................................................................5

3.1.1 Organizational, Process & Functional Scope........................................................................5 3.1.2 RICEF Development Scope ................................................................................................11 3.1.3 Technical Scope..................................................................................................................14

3.2 Solution Approach.......................................................................................................................16

MSPGCL SAP Implementation & Roll out Services Response to RFP 1

1 EXECUTIVE SUMMARY Capgemini India is pleased to submit its proposal for implementation and roll out of SAP ECC 6.0 for MSPGCL. The objective of this proposal is to showcase our understanding of your requirements and how Capgemini India is well placed to offer the solution efficiently and cost effectively.

We understand the importance placed by MSPGCL on the selection of the ERP service provider, who can demonstrate a capacity for managing a high quality, cost effective project delivery with adequate experience in the utilities vertical and SAP technology at the global level.

We believe our approach and credentials will clearly demonstrate key points of differentiation for Capgemini to deliver high quality IT projects. We propose to deliver this project over 18 month’s duration with first 12 months being the pilot implementation followed by rollouts spread over a period of 6 months.

Our deep industry knowledge and vast SAP implementation and roll out experience positions Capgemini to confidently deliver the desired results to MSPGCL. Having implemented some of the largest SAP projects in the world, a few of our projects in Utilities have been studied and awarded as benchmarks (Canada based power generation, transmission & distribution company) for project management and quality standards by leading IT industry experts. A team of over 22,000 professionals based in India means Capgemini will be truly be able to leverage its global experience and channel it effectively for your envisaged project. Our empanelment as a consultant for the prestigious APDRP initiative is a testimony of our qualification and experience as a service provider of business oriented technology services to global IT giants across the world.

We plan to depute a team which brings a blend of Power generation experience with SAP roll out expertise to ensure complete coverage of business needs in business blueprint to be followed by a disciplined approach during roll out. Our proposed solution will help MSPGCL to attain;

Financial and operational procedure streamlining & effectiveness. Real time access to information and analytics to ensure efficient, transparent decision

making at the highest levels. Improved operational efficiencies due to process re-engineering, improvements and

automation. Supply chain and value chain optimization resulting in reduction of inventory, consumable

and logistics costs. Efficient data management to avoid duplication of effort, accuracy, timeliness and

comprehensiveness of management information. We look forward to work with MSPGCL on this exciting project. In responding to your RFP, we feel there are three keys factors that differentiate Capgemini:

Our Collaborative Business Style Our People and Approach Our Energy & Utilities Experience


Capgemini will team closely with you to work towards jointly defined the results and the means to achieve them. How we work together is as important as what we achieve is together. Capgemini is eager to address your project goals and our collaborative style is one way we achieve this.


2 PROJECT BACKGROUND MSPGCL plans to Implement SAP ECC 6.0, Business Warehouse, PI, SAP Payroll and SAP ESS for its 2 Head offices, 1 coal office, 10 Power Stations, 2 Hydro divisions and 7 hydro divisions over a period of 18 months in two phases.

The breakup of phase 1 and phase 2 is given below:

1)

2)

Phase 1 – Pilot – 12 months Mumbai, Chandrapur, Pophali, Koyana Uran Gas Power Station Coal office, Nagpur

Phase 2 – Rollouts – 6 months 6 Power Stations Bhusaval, Koradi, Khaperkheda, Nashik, Paras and Parli 2 Hydro Monitoring cell at Pune & Nashik, 6 Hydro divisions located at Bhira, Panshet,

Tillari, Vaitarana, Veer & Bhatghar and 1 Yeldari Hydro Power Stations MSPGCL, from its initiative expects to: Improve operational efficiencies in all the plants by increasing information availability and

adopting process improvements. Reduce working capital requirement by optimising the inventory of spares, fuels and other

consumables across the plants. Increase the availability of plants and improve equipment utilisation by adopting scientific

maintenance management practices and techniques. Set in place a system to capture information to build accountability for performance across

organisational levels at the corporate office and plants. Integrate systems to address issues relating to data management to avoid duplication of effort, accuracy, timeliness and comprehensiveness of management information.

Streamline the accounts functionalities for efficient cash flow management & enable profit-centre accounting.

Ensure that the right incumbent is selected, allotted the right job at the right time and address career grooming / job enrichment of MSPGCL employees. Ensure that the IT systems are ready for the future competitive environment

During our various interactions and through the tender document, we have understood the above objectives for this project from a process perspective. In defining the project plan and solution, we have identified all the core business processes, limitations & expectations across all the Locations. We have also carried out detailed evaluation and a plan for leveraging the functionality of PPMS (Power Plant Monitoring System)

Currently MSPGCL Group companies have very less automation or no automation in most of the core business processes. With SAP implementations it is expected that most of the business processes will be mapped to SAP and as a result some of the legacy applications would be retired. At the same time the Generation Control Room, E-Tendering system, Exchange server and the CPF system will continue to function and a roadmap for their upgrade/retirement (by mapping them into higher dimension SAP modules be mutually discussed between MSPGCL and Capgemini at the end of this project).


Based on our experience in similar projects, we believe that the business case for implementing SAP solution is strong and that the overall cost of ownership of these business processes can be reduced.

Broadly MSPGCL has 2 Head offices, 1 coal office, 10 Power Stations, 2 Hydro divisions and 7 hydro divisions which are considering for SAP implementation.

The core processes at MSPGCL (indicated as per the tender document) include:

Corporate Planning Engineering and Quality Assurance Contracts Procurement of materials and fuel HR & Payroll Maintenance Commercial Finance and Accounting Payroll Managerial Accounting Document Management Projects Environment Health and Safety

Currently we understand MSPGCL has decided to implement the core SAP ECC 6.0 along with BI, EP and PI which will cover most of the business processes envisaged.

This proposal is aimed to provide detailed solution and implementation approach for the entire MSPGCL Group. Based on our study of MSPGCL business processes we plan to form a dedicated teams as:

SAP Implementation and Roll out team SAP Solution Support team

These project teams would be governed by common project management principles and governance approach and based on the timelines there would be an overlap. They would observe separate timelines and have separate set of resources. The resources would come with appropriate skills required in respective phases of the project.


3 CAPGEMINI PROPOSAL

3.1 Project Scope We have organized the Scope into the following areas:

Organizational, Process & Functional

RICEF Development

Reports and Forms Scope

Interface Scope

Data Conversion Scope

Technical Enhancement Scope

Workflow Scope

Technical

Technical Infrastructure Scope

3.1.1 Organizational, Process & Functional Scope

Organizational Scope

Languages Supported: English

Phase-1 Work Location – Mumbai Power Plant sites in scope for Phase-1

Mumbai, Chandrapur, Pophali, Koyana Uran Gas Power Station

Coal office, Nagpur

All the business blue-print and configuration work will be done at Mumbai

Core user training will be done at Mumbai

End-user training for phase-1 will be done at Mumbai and Nagpur sites


Organizational Scope

Phase-2 Work Locations Phase-2 – Mumbai Power Plant sites in scope for Phase-2 rollouts

6 Power Stations Bhusaval, Koradi, Khaperkheda, Nashik, Paras and Parli

2 Hydro Monitoring cell at Pune & Nashik, 6 Hydro divisions located at Bhira, Panshet, Tillari, Vaitarana, Veer & Bhatghar and 1 Yeldari Hydro Power Stations

For Rollout in phase-2, the gap analysis for rollout will be done at Mumbai. Guidelines for End user Training

Based on our past experience for carrying out such implementation and indicated number of users, we propose train the trainer approach. Capgemini recommends the batch size shall not exceed 20 participants.

Capgemini team will prepare detailed how-to guides for future use of the MSPGCL.

Capgemini proposes a cluster based training approach for end-users to cover all the eleven location via three training sites, viz Mumbai, Nagpur and Nashik (any other location as per MSPGCL convenience)

Change Management − Capgemini will assist MSPGCL in change management activities while implementing

SAP

Process Scope Procure to Pay Inventory Management and contracts Quality assurance Finance Accounting and controlling Project Management Human Resource management Power Plant Maintenance Environment Health and Safety Document Management Energy Data Management


SAP ERP Functionality Material Management

Purchasing

Inventory Management

Services Management

QM interface for inventory

Master Data management

Invoice Verification

Contract Management

Goods receipt processing

Quality Management Inbound quality check

Calibration of Equipments

Finance & Controlling General Ledger

Accounts Payable

Accounts Receivables

Bank Accounting

Cost center Planning

Marketing Expenditure

Period End Activities

Asset Accounting

Real Estate Management

Travel Management


SAP ERP Functionality Project Systems

Project structuring

Resource planning

Material Planning

Scheduling

Cost planning

Budgeting

Execution

Settlement

HR Organizational Management

Personnel Administration

Time Management

Payroll

Personnel Development & Career and succession Planning.

Recruitment

ESS/MSS

Personal Cost Planning

Plant Maintenance Structuring of Technical Systems

Preventive Maintenance

Breakdown Maintenance

Calibration Maintenance

Work Clearance Management.

Environment Health and Safety Industrial Hygiene and Safety

Waste Management

Occupational Health

Product Safety


SAP ERP Functionality Document Management System

Document info record

Document distribution

Display and assignment of documents

Energy Data Management Recording energy data

Energy data reporting

SAP BI/PI/EP Scope

BI reports in following functional areas would be created using Business Content: Financials

GL

Accounts Payable

Accounts receivable

Supply Chain Procurement analysis

Quality Management

Inventory analysis

Plant Maintenance Analysis of notifications and causes and maintenance orders

Planned/actual deviations

Outstanding tasks and orders and MTTR and MTBR

Project Systems Actual and Planned cost, actual and planned work for selected projects

Project Progress and cost

Project Claims and Payments


SAP BI/PI/EP Scope Human Capital Management

Personnel Administration/Personnel Development:

– Head Count (Average/change in staffing levels/Average Age/Avg LOS/Headcount FTE)

– Entries and Leavers – Personnel Actions – Annual comparison of Qualifications – Appraisal reports

Recruitment:

– Applications and Applicants – Hires/Contracts

Organizational Management:

– Vacant Positions per job – Staff positions

Based on the RFP document and subsequent responses we have also identified the exclusions from the scope. These are based on our experience from the Utility sector.

HR module: Following sub-modules are out of scope for HR implementation for MSPGCL.

Budget Management Benefits Training and Event Management Learning Solutions Compensation Management E- Recruitment Management of Global Employee Concurrent Employment

FI/CO module: Following sub-modules are out of scope for FI/CO implementation for MSPGCL.

Profitability analysis Plant Maintenance and EHS: Integration with Mobile devices and 3rd party systems.

BI development:

Drill down capability from SAP BI to non SAP systems Business Planning and Simulation Report creation in any other system other than SAP BI Regional reporting requirements for each power plant Open Hub reports

Enterprise Portal: Integration with existing E-Tendering system is out of scope


Document Management System:

Custom Object linking to DIR. Scanning of hard copies to Soft copy of documents Converting Soft copies of document to SAP acceptable format

Project System: Standard project system functionality would be implemented. Since we don’t have a compliance matrix like other modules, the relevant portions of this module as applicable to MSPGCL would be decided during the blueprint phase

3.1.2 RICEF Development Scope We aim to implement standard SAP solution as much as possible. In the process we do feel that certain areas would need customized development efforts to map the business processes. In our proposal we have accounted for the development work shown in the RICEF calculation which includes functional specification, coding effort, unit testing & implementation.

We have drilled down the scope and have estimated number of RICEF’s required for this project;

Reports

High 02

Medium 16

Low 04

Total 22

Conversions

High 05

Medium 05

Low 10

Total 20

Primarily conversions would be required for master data migration

Open items, Master data etc. - AP, AR, GL, AA, Cost centers, Profit centers

Enhancements


High 10

Medium 20

Low 10

Total 40

Enhancements are required for customer specific changes to standard SAP screen, user-exits etc.

Forms

High 6

Medium 8

Low 6

Total 20

It would include various documents printing (e.g. Purchase order, Check Printing, Payroll slips etc)

Interfaces

High 2

Medium 3

Low 1

Total 6

Interfaces would be required to be built from GRC , e-tendering and CPF systems to SAP ECC using SAP XI. Apart from these, 3 more interfaces are envisaged for Bio-metric attendance, exchange server and other applications.


Data Conversion

This shall include the following tasks:

Training and facilitating the MSPGCL’s team that will actually carry out the data cleaning effort

Assistance in Base Data preparation, Checking data quality and Integrity Identification & development of the data upload/download programs Guidance for creating data extraction programs in the legacy systems to convert into the

format as required by SAP Providing data migration tools to Client Integration testing of the configured system using the populated master and transaction data

Data Migration objects identified

For FI:

Load Asset balances Open G/L balances Load Reconciliation account balances.

For MM:

Material master data Vendor master data Purchasing info records Source list Initial stock uploading Open purchase order Open purchase requisition if required Open contracts and scheduling agreements Condition records for taxes

For PM:

Load Historical Maintenance work orders of last 5 years. Load all Equipments Load Preventive Maintenance task lists Load Preventive maintenance plans

For PS:

Load all open PO’s: PO’s for which no GR is done Load all Vendors


For HR:

Organization Units Positions Jobs Tasks Employee Master data Employee Leave balances Uploading Payroll related information (History) Capturing attendance in Time Management directly from excel/flat files

3.1.3 Technical Scope Overall

Single instance

Versions/Modules Included SAP ECC 6.0 SAP BI 7.0 SAP EP 7.0 SAP PI 7.0

Proposed Landscape Sandbox Development Quality Assurance / Testing Production


Only the development hardware for the initial 8 months would be provided by Capgemini. After this period, the entire development application would be ported to MSPGCL servers.


3.2 Solution Approach

CE v6.3

SAP Enterprise Portal (SAP EP)SAP Enterprise Portal (SAP EP)

SAP XI/PI 7.0 integration layerSAP XI/PI 7.0 integration layer

SAP BI 7.0SAP BI 7.0

ReportingReporting

AnalyticalsAnalyticals

webservicewebservicewebservicewebservicewebservicewebservice

MSPGCL Solution Architecture

Legacy ApplicationsLegacy Applications

E-Tendering SystemE-Tendering System

GCRGCR

CPFCPF

SA

P

So

lutio

n

Man

ag

er

SA

P

So

lutio

n

Man

ag

er

webservicewebservice

E-LearningE-Learning

SAP ECC 6.0SAP ECC 6.0

FI/COFI/CO

MM/QMMM/QM

PSPS

Management EmployeesExecutives

CollaborationCollaboration

HRHR

Biometric Attendance System

Biometric Attendance SystemEHSEHS

Exchange ServerExchange Server

Weigh bridgesWeigh bridgesPMPM

SAP ECMSAP ECM

DMSDMS

The above diagram highlights the Solution overview that we propose for MSPGCL.

SAP ECC 6.0 version will be the ERP central component and supported by SAP BI for analytics, SAP PI for Information integration and SAP Enterprise Portal.

The following systems at MSPGCL will be retained after SAP implementation and hence need to be interfaced with SAP:

GCR (Generation Control Room) System – For Analytics E-Tendering system CPF System – Provident fund details to centralized system. We expect this to be a batch

upload and appropriate decision of whether to go for interface or a programmed batch job will be taken during the blueprint phase.

The system will also have a provision to interface with the following systems as and when they are fully operational

Exchange Server – Communication channel Biometric Attendance System – HCM component for Time Entry


As part of our study, we identified the important processes which need to be addressed when we implement SAP. We have devised our strategy to group your SAP implementation into two phases. Phase-1 will cater to base-line implementation at pilot sites identified by MSPGCL. Phase-2 would be roll out of the solution developed in phase-1 at different power plant sites.

Following discussion outlines broad level requirements and brief solutions proposed for each process at MSPGCL. The detailed discussion and solution definition for these processes would be part of our implementation strategy.


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Project Proposal Sample From Capgemini