Sap Event Management

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    OPERATE BETTER with SAP

    SAP EVENT MANAGEMENT

    Andrea Ricciarelli, Business Development Director EMEA CoE LoB SCM

    Tel Aviv, 13th July 2011

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    Need to coordinate acrossmultiple IT environments

    Multiple ERP, WM, TM systems

    Multiple Government and 3rd party

    systems

    Multiple technologies and architectures

    Visibility is Key in Todays Complex Supply Networks

    Goal: Manage by exception reduced time to action & less fire-fighting

    with SAP Event Management (SAP EM)

    Interconnected Operations ofBusiness Partners

    Increasing cross-company dependencies

    requires advanced IT

    Not just shipment status, but operational,

    inventory, POS and demand data

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    SAP Event Management

    VISIBILITY &CONTROL

    SAP Event Management offers visibility on processes, assets as well as

    performance along your entire supply chain. Extensive tracking & tracingfunctionalities allow process monitoring, automated exception resolution, proactive

    alerting as well as extensive reporting - in one single solution.

    Suppliers

    Subcontractors

    Retailers 3 PLs

    monitor adjust analyzenotify

    Legacy

    system

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    SAP Event Management: Understand, Adapt, Respond

    2. notify

    3. adjust

    Learn

    1. monitor

    Collaborate

    4. analyze

    ADAPTIVE

    Control

    Simulate

    Plan/Schedule

    Partner

    Performance

    Alerts

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    Easy to use,

    comprehensivedata access

    Secured by a thorough

    authorization and

    filter

    concept

    Role-based access

    allows viewing the

    business process from

    various points of view

    Providing the Right Information, to the Right People, at the

    Right Time

    Tracking ID

    Status

    Planned vs.

    Mi lestones

    Actual

    Events

    Unexpected

    Manual reporting of milestones

    besides A2A and B2B integration

    Supports Graphical Document

    Flow and Hierarchies

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    Outbound/Inbound Delivery Process: Example

    EWM

    SAP ERP

    Site 2 (Customer)

    Purchase Order

    Adv. Ship

    NotificationCust.

    Order

    Post

    Goods Issue

    Create HU

    Pack /

    Load

    SAP

    EventMgmt

    AII

    AssociateItems / Pallet /Tags

    Scan IDs

    Site 1 (Supplier) Pick orProduce

    Issue Goods(Loading)

    Build HU

    Event Handler for

    Delivery

    Handling Units

    Pick / GI / ASN

    SAP ERP

    Receive Goods

    (Unloading)

    Purch.

    Order

    HUHU

    Inb.

    Deliv.

    Outb.

    Deliv.

    AII

    Scan IDs

    UnloadPost

    Goods Receipt

    GR / POD

    Auto-ID Infrastructure

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    Shipper Port of LA Chicago

    Rail Yard

    Arrival/Load

    Arrival

    Order Execution

    Booking Pick Up

    Port of Tokyo

    Discharge/Departure

    Feeder Port

    Trans-shipment

    Arrival/Departure

    Order Management

    Consignee

    SAP Event

    Management

    SAP NW BI /Business Objects

    Reporting/

    Statistical Analytics

    Events

    Container

    Yard

    CustomsClearance

    DELAY

    Dashboard

    Integration with Transportation Management:

    Shipment Execution example

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    Event Management Integrate Business and Real World

    Data for Insight-to-Action

    PI

    SAP EM

    Data Tracking

    Service Provider (ocean,

    train, road..)

    Mobile

    Message & Alerts

    Voice Integration

    sensor data

    RFID

    GIS

    (ESRI / PTV providers)

    Backoffice

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    Example: Truck Driver Reports Delay / Customer

    Checks Status

    On-line update

    statusTRAFFIC

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    SAP EM Technology Proven architecture for

    performance, availability and reliability

    Scalability & PerformanceCanada Post > 1 bn Events p.a.>

    2,000 Users

    ArchitectureSAP EM standalone system

    Out-of-the box integration to SAPIntegration to other Systems via AII

    Support of industry standards

    =EDIFOR, Odette, RosettaNet,

    OpennessSource code provided

    Support of all major operating systems

    Support of all major databases

    Security

    Single Sign On

    Logging / Archiving

    SAP EVENT MANAGER

    Process / Event Sequence

    Rule Set

    Workflows

    Master Data

    Other Systems

    WMSOMS TMS

    EAI(e.g. SAP PI)

    Web UI Mobile Device EM Client

    SAP Systems

    TM EWMERP

    Presentation

    Layer

    Application

    Layer

    Integ

    r.

    Layer

    Legacy

    Systems

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    AGENDA

    Domain of Event Management Business Drivers

    SAP Event Management Solution Capabilities & Outlook

    How Customers Use and Benefit from SAP EMWrap-Up

    SAP EVENT MANAGEMENT

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    SAP Event Management @ Green Cargo

    Project Scope

    Implementation of a Wagon / OrderTracking & Tracing Solution based onSAP Event Management (SAP EM)

    Event Management TrackingHierarchy

    Customer Order

    Railcar

    Container / Unit Load

    Customer satisfaction andadded value

    Interaction with the customer reduceswork/time/costs...

    Customer can easily reportstatus/actions like Free for

    Disposition or other

    Customer interaction can changeobjects in source system

    Effort reduction due to directcommunication with customer insteadof Mail, Fax or Phone

    QUICK FACTS

    Green Cargo AB

    Industry: Logistics Service Provider

    Based: Solna, Sweden

    Revenue: 6.2 billion

    Employees: 3,050

    Green Cargo offers efficient green logistics

    with rail transports as its foundation.

    Road transports and various logisticsservices are increasingly integrated into rail

    solutions and are also offered as separate

    products.

    web site: www.greencargo.com

    Implementation partner: Leogistics

    Green Cargo will be the leading

    logistics company that builds on

    and contributes to sustainable

    development nationally and

    internationally

    Green Cargo Vision

    Project Achievements and

    customer valueCustomer Service Level

    Customers are able to see informationin SAP EM, which increases customervalue and transparency.

    Customer have the possibility to followup their Orders, Trains, Containers...

    Process control and visibility

    Internal process control andimprovement as well as increasedvisibility across different lines of

    businesses.

    Flexible Status Management / Control

    Possibility to measure process leadtimes

    Ability to optimize internal process steps

    Active process management Solution developed for rail business

    including:

    Order-based tracking- and tracingsolution

    Tracking and reporting on multiple levels(order, wagon and container level)

    Status management and Alerting

    http://www.greencargo.com/http://www.greencargo.com/
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    Greencargo Process Scope

    Sales Order in

    SAP ERPTrackingObjects

    Railcar

    Container

    Tracking Events

    Sales Order

    created

    Sales Order

    confirmed

    ETA Empty

    Wagon

    Consignment

    Note

    Ready to

    Pull

    Left Origin

    Arrival

    Notification

    Delivered

    Free for

    Disposition

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    Greencargo Tracking Hierarchy

    Sales Order

    Railcar

    Container / Unit

    Load

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    Watch it on SAP TV: http://www.sapphirenow.com/index.aspx#

    http://www.sapphirenow.com/index.aspxhttp://www.sapphirenow.com/index.aspx
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    SAP Event Management @ Arvato Logistics Services

    Project Objective

    To establish a global enterprisesystem to support the growth of thebusiness

    To deploy a system from a providerthat can deliver worldwide support

    To establish high-quality, actionablemanagement information

    To create a single source of

    information for all trading partners intheir clients extended value chains

    Customer Pain Points

    Poor visibility to freight and shipmentactivity across business segmentsand suppliers

    Need for multi-user track and trace

    for all trading partners Fragmented shipment data making

    standard reporting difficult and timeconsuming

    QUICK FACTS

    Arvato Logistics Services

    Industry: Logistics Service Provider

    Based: Germany

    Revenue: 1.1 billion

    Employees: 10.500

    Arvato services involve not only the co-

    ordinated and controlled forwarding and

    delivery of products to the customer, but also

    their production, procurement, warehousing,

    order-entry and distribution, in addition to a

    complete range of financial services.

    web site: www.arvato-services.de

    Implementation partner: SAP Consulting

    Business Value Realized

    Establishment of real-time access toshipment information for all tradingpartners inArvatos client tradingnetworks

    Enhanced customer satisfaction

    Enhanced carrier managementprocess

    On-line track and trace

    Web-based reporting for strategicand operational management

    Strong and effective carriermanagement resulting in highercustomer satisfaction

    SAP solutions

    SAP Event Management (SAP EM)

    SAP Business Warehouse (SAPBW)

    SAP R/3 for Logistics Management

    SAP R/3 for Financial Management

    http://www.arvato-services.de/http://www.arvato-services.de/http://www.arvato-services.de/http://www.arvato-services.de/
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    Scenario: Customer orders a material - Arvato does the distribution

    Outsourcer Arvato

    Customer

    Order

    EH created

    Customer Order Plan Shipment

    CarrierDelivery and HUsEHs created

    POD

    POD

    Invoicing

    SAP Event Management @ Arvato Logistics

    Services - process

    Tendering

    Ship

    Shipment

    Pick

    Palletize

    Load/GI

    SAP EM

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    SAP Event Management @ BASF

    Challenges and Opportunities

    Lack of accurate shipping statusacross ocean-freight logisticsnetwork

    Difficult to adjust shipments inreaction to unplanned events

    Lack of open and standardized dataacross the ocean shipping industry,creating information gaps

    Implementation Highlights

    Implementation and rollout of SAPEvent Management follows 6 monthsof using prototype from SAPConsulting

    SAP Event Management nowimplemented worldwide

    Successful integration of all BASFsmaritime logistics partners

    QUICK FACTS

    BASF AG

    Industry: Chemical

    Based: Ludwisghafen, Germany

    The global chemical company BASF

    implemented SAP Event management

    application to monitor its ocean-transport

    supply chain and improve the transparency

    of its ocean-freight logistics process

    web site: www.basf.com

    Implementation Partners: SAP consulting;

    SAP Hosting organization. IDS Scheer

    SAP Event Management helped us

    avoid damage to shipments worth

    millions of dollars.

    Margie Pierce, Director NAFTA Foreign

    Trade and Logistics Compliance,

    BASF AG

    Why SAP?

    Real-time notification of local andglobal events so customer servicecan respond proactively

    Ability to track goods in transit

    Key Benefits

    Ability to meet customer deliveryschedules

    Improved visibility into oceanfreight logistics process

    Real-time notification of criticalevents to aid proactive response

    Improved reporting to identifyareas for supply chain optimization

    Successful management of ocean-freight logistics throughout

    disruptions of Hurricanes Katrinaand Rita maintained customerservice levels and avoided damageto valuable shipments

    http://www.basf.com/http://www.basf.com/
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    BASF Success Story

    SAP EM for ocean-freight logistics process

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    Project Example: Geo-Spatial Spare Parts Tracking

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    Example: Event Posting from an Android Mobile Phone

    2.

    Details

    1. Task

    List

    3. Single Tip

    Confirm

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    Supply Chain Visibility Event ManagementSummary

    Enables process visibility,monitoring and control by

    managing events within

    and between companies Improved customer service

    Increase visibility and

    efficiency

    Allow for management by

    exception

    Proactive issue resolution

    Reduced time to action

    Tight integration between

    events and schedules

    Less need to buffer

    inventory

    Fewer lost sales Built-in benchmarks and

    performance indicators

    Key benefits

    Track planned vs. actual events

    at various levels

    Automated exception resolution

    by notification and workflow

    Extended process metrics and

    analytics for performance

    analysis and compliance

    Pre-configured, out of the box

    business scenarios

    Solution highlights

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    demo: Container Shipping LineDashboard

    http://localhost/var/www/apps/conversion/tmp/scratch_7/02_Container_Shipping_Lines.swf
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    AGENDA

    Domain of Event Management Business Drivers

    SAP Event Management Solution Capabilities & Outlook

    How Customers Use and Benefit from SAP EMWrap-Up

    SAP EVENT MANAGEMENT

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    SAP Event Management Strengths

    Track&trace a process or object instance along well-known milestones

    High volume instance level processing & reliable storage

    (including archiving, etc.)

    Web UI tailored for collaborative usage, in- and

    outside the company walls

    Standard interfaces for B2B connectivity

    Reflect relationships (hierarchy/document flow)

    Monitor expected and unexpected events,

    detect overdue ones

    Flexible rule set to trigger follow-up activities

    Strong integration with and preconfigured, ready-to-use

    content for SAP Business Suite and extraction to SAP NW BW / SAP

    Business Objects tools

    Tailored to processes with a medium to long runtime

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    Improved customer service

    Increase visibility and efficiency

    Allow for managing by exception

    Reduced time to action

    Less fire-fighting

    Tight integration between events

    and schedules

    Less need to buffer inventory

    Effectively outsource non-core, or

    even core processesFewer lost sales and more

    accurate order promising

    Built-in benchmarks and

    performance indicators

    Proven Value of SAP Event Management

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    SAP Event Management Implementation

    Recommendations

    1) Large part of the effort is on the business side rather than IT: the quality of theevent data determines the benefits that can be received

    2) Less is more: Understand the level of visibility thats really required - dont over

    engineer, and dont overuse alerts and notifications. Level between near-real

    time monitoring and reporting

    3) Consider large coordination effort required with carriers or other 3rd parties

    providing event data

    4) Make sure you have the right resources at hand: business people, application

    and EM consultants (ABAP skills), analytics consultants

    5) Follow a phased approach: implement the most beneficial scenario for the mostcritical region in close interaction with the business teams.Roll out to other regions/scenarios over time.

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    TODA RABA!

    Contact information:Andrea Ricciarelli

    Business Development Director EMEA CoE LoB SCM

    andrea ricciarelli@sap com

    Visibility is an on-going journey that requires neworganizational skills and many midcourse adjustmentsas trading partners and business strategy evolve.The sooner you start the better you will become at it.

    Aberdeen Group

    mailto:[email protected]:[email protected]