More Related Content Similar to SAP on AWS AIG’s Journey to AWS running SAP HANA - ENT202 - New York AWS Summit (20) More from Amazon Web Services (20) SAP on AWS AIG’s Journey to AWS running SAP HANA - ENT202 - New York AWS Summit1. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved.
Carl Bachor
SAP Sales Leader, Amazon Web Services
Mick Scott, CIO, Architecture, AIG
Rajesh Salaria, Director Finance Operations, AIG
ENT202
SAP on AWS:
AIG’s Journey to AWS Running SAP HANA
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The Alliance
CustomerAdoption
2008
SAP as a
Customer
S/4 HANA
SAP IQ / ASE
SAP Business Suite
HANA One
HANA Developer Edition
A1 / B1
RDS Solutions
BOBJ
SAP HANA for B1
BW on HANA
BW on HANA (4TB)
Today
X1 (2TB)
BW/4 HANA X1 (14 TB)
X1e (4TB)
HEC on AWS
SCP on AWS
FAST Migrate
Engineering Milestones SAP on AWS
BW/4 HANA X1 (50 TB)
Hybris on Aurora
FAST Migrate ASE on MP
Nitro (C5 / M5) for SAP
NS2’s Secure HANA Cloud
HANA as a Service
SCP | AWS Interoperability
EC2 Bare Metal for HANA
2016
2017
2018
SAPGUI on Amazon AppStream
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One-way or
two-way doors…
Traditional infrastructure barriers present
significant hurdles in accelerating the
speed in which SAP customers innovate.
SAP on AWS changes the equation by
enabling you to experiment and operate
without compromises…
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Self-service platforms
without compromises
We are creating powerful self-service
platforms that enable thousands of people
to boldly experiment and accomplish
things that would otherwise be impossible
or impractical.
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The AWS SAP 360o Strategy
Transform to the SAP
Digital Core faster
Extend SAP joint
interoperability solutions
and services
Integrate SAP SaaS by enabling the
connected enterprise
Enable SAP solutions through the certified
AWS partners
Re-platform to achieve immediate cloud
benefits without disruptionBPO/AMS
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AIG’s journey to AWS
running on SAP HANA
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Disclaimer
American International Group, Inc. (AIG) is a leading global insurance organization. Founded in 1919, today AIG member companies
provide a wide range of property casualty insurance, life insurance, retirement products, and other financial services to customers in
more than 80 countries and jurisdictions. These diverse offerings include products and services that help businesses and individuals
protect their assets, manage risks, and provide for retirement security. AIG common stock is listed on the New York Stock Exchange and
the Tokyo Stock Exchange.
Additional information about AIG can be found at www.aig.com | YouTube: www.youtube.com/aig | Twitter: @AIGinsurance
www.twitter.com/AIGinsurance | LinkedIn: www.linkedin.com/company/aig. These references with additional information about AIG
have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press
release.
The AIG logo is a trademark of American International Group, Inc. All rights reserved. All other product and company names are
trademark or registered trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by
them.”
The views expressed in this presentation are those of the speakers and do not represent the views of AIG.
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Agenda
1
2
3
4
About us
Vision
Recommendations
5 What’s next
Roadmap & outcomes
9. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved.
AIG's journey to SAP HANA and AWS
American International Group, Inc. (AIG) is a leading global insurance organization.
Founded in 1919, today we provide a wide range of general insurance, life
insurance, retirement products, and other financial services to commercial and
individual customers in more than 80 countries and jurisdictions.
Mick Scott, CIO Architecture
Rajesh Salaria, Director Finance Operations
General Insurance Life and Retirement InvestmentsBlackboard
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Why are we transforming?
How are we transforming?
Improved customer experience
Data-driven insights
Increased speed to market
Operating stability and security
Cultivate skilled and engaged employees who will add value as trusted partners and subject matter experts
Emphasize data as a business asset and provide analytical platforms and tools to improve decision-making
capabilities
Deliver quality technology that will enable business capabilities, and do so in a timely
and cost effective manner
Modernize applications and infrastructure to deliver value through fit-for-purpose solutions while
ensuring operating stability
AIG’s modernization program
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cost model to flex with consumption and need
build times now 1 hour, reduced from two months
application-level disaster recovery at near-zero cost
leverage multi-data container concept to host multiple SAP instances on a single HANA database
~$8M annual run rate reduction from reduced hosting costs and elimination of DB2 runtime fees
40% increase in process performance cycles
71% reduction in SAP database size
real-time, self-service reporting
What have we done?
SAP HANA
Align to SAP’s software development
strategy
AWS
Implement a variable cost model with
greater flexibility to support AIG’s dynamic
business needs
▪ Performance:
▪ Architecture:
▪ Availability:
Improved
User
Experience
▪ Variability:
▪ Agility:
▪ Resiliency:
▪ Redundancy:
▪ Cost:
Flexible
Low Cost
Operations
“Improve capabilities at reduced costs”
AIG’s modernization program
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SAP HEC Proof of Concept
Benchmarked system performance and
network latency when hosting one of
AIG’s core SAP accounting systems in
SAP’s HANA Enterprise Cloud (SAP
HEC)
2012
BW on HANA
Acquired BW on HANA to create a
high performing analytics platform
for finance using an in-memory
HANA database
2014
Suite on HANA
Acquired SAP SoH (Suite
on Hana) to align with
SAP’s future software
development strategy
Implementation
Re-platform existing AIG
Finance Warehouse from
DB2 to HANA
[on premises]
SAP HEC Low Risk Pilot
Re-platform AIG’s SAP Governance Risk and Compliance
(GRC) system from DB2 to HANA and migrated from on
premises to SAP’s HANA Enterprise Cloud (SAP HEC)
SAP HEC Constraints
Determined SAP HEC unable to
support non-HANA components
that must be colocated with the
HANA system
Cloud Hosting RFP
Participated in Cloud Hosting RFP
lead by AIG Technology Services
Cloud Hosting Selection
Selected AWS as AIG’s SAP cloud hosting
provider despite AWS’ limited experience
hosting SAP HANA; made BIG BET AWS would
innovate at the pace AIG requires
Cloud Hosting Partners
Partnership with AWS and 2nd Watch for security,
legal and regulatory reviews
2015 2016
2014: HANA Commitment
2015: SAP Cloud PoC, Pilot, and Pivot
2016: AWS Cloud BIG BET, Contracts & Planning
2017-18: Execution
AIG’s SAP modernization roadmap
13. © 2018, Amazon Web Services, Inc. or its affiliates. All rights reserved.
2Q 2017
US CD
04/17/2017
Core Applications
Governance Systems
PORTAL
08/14/2017
GRC
07/01/2017
EMEA CD/RI
06/12/2017
Central Systems
3Q 2017
SOLMAN
06/19/2017
4Q 2017 1Q 2018
SAP-PO
10/09/2017 SAP FIORI
11/13/2017
Brazil RI
10/23/2017
13 planned migrations to HANA hosted in Amazon Web Services (AWS) over 13 months
G Ledger
03/11/2018
BW/BPC
05/14/2018
MDG
11/27/2017
2Q 2018
AIG’S SAP modernization roadmap
Legend
DB2 on premises → HANA in AWS
HANA in HEC → HANA in AWS
HANA on premises → HANA in AWS
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JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY
Portal (8/14)
US CD (4/14)
EMEA CD/RI (6/12)
GRC (7/1)
SOLMAN (6/19)
SAP PO (10/9)
Brazil Re (10/23)
SAP FIORI (11/13)
MDG (11/27)
ECC GL (3/12)
BOBJ (5/14)
BW/BPC (5/14)
2017
Legend
1
1
12
11
Cloud to AWS
On premises to AWS
Unicode
EHP Upgrade
HANA
10
DB2 on premises → HANA in AWS
HANA in HEC → HANA in AWS
HANA on premises → HANA in AWS
AWS
Announcement
NZDT
1Tb
2Tb
4Tb
2014: HANA Commitment
2015: SAP Cloud PoC, Pilot, and Pivot
2016: AWS Cloud BIG BET, Contracts & Planning
2017-18: Execution
MAY-2016 SEP-2017
2018
AIG’s SAP modernization roadmap
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Real-time analytics
Real-time applications
Real-time platform
Enable operational
reporting In-memory computing Query performance boost
Process acceleration
40% BATCH
Scalable Operational agility
Encrypted database & backups Data compression
71%
• Introduced real time reporting
(OLAP) from ECC and eliminated
BW system
• Runtime reduction in ECC of Trial
Balance report from 20 min to 8 sec
Reduced from 3 to 1
tier application platform
Real-time HA/DR Application-level DR Cold DR model
Real-time infrastructure On-demand infrastructure Automated provisioning High availability
Compliant
• 40% Reduction in daily batch
runtime for Collections &
Disbursements
• Encrypted database and backups
• 71% reduction in the database size
using SAP HANA compression
• Near-zero DR footprint – data
replication across region and DR
server build on demand using
automated scripts
• Automated provisioning of new
infrastructure (2 months to 2 days)
• Servers: 99.99% availability
• Storage: 99.999999999% availability
AIG’s SAP modernization business & technology outcomes
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Proper Prior Preparation Prevents Disaster [P4D]
• We began with proof of concepts (sandboxes) that tested HANA performance and network latency between on-premises
source system and SAP cloud applications. We then moved to an SAP production pilot supporting a non-critical system
• Our delivery method was a highly repeatable process encompassing 5 implementations per system: 4 non-production
migrations (SBX, DEV, QA, and pre-production) and then production.
Communications
• We emphasized early engagement with our business partners to gain their active endorsement and participation. Our
marketing message was “increased business capabilities at lower costs.”
Partnerships
• It was important to select the right partners to reduce execution risk, empower our internal teams to learn from industry
leaders, and apply those learnings to future public cloud initiatives (SAP MaxAttention, AWS, 2nd Watch).
Evergreen Approach
• The foundation for our success was set years before the project. Our investment in the SAP Learning Hub and internal
goal setting created highly skilled employees with HANA and cloud certifications that were able to execute the migrations
with no external consulting.
Benefits Realization
• We made the commitment to deliver the project with no additional funding – this required us to our execute initial system
early in the budget year and then use the incremental cost reductions to fund our ongoing efforts. We also prioritized our
DB2 systems to accelerated the elimination of duplicative DB runtime license fees.
What worked for AIG
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S/4 HANA
• Our SAP ECC General Ledgers contain customizations that compensate for missing sub-ledger functionality. All of the
customizations would need to be retained in the general ledger if we were to implement S/4 HANA today. For that
reason, we have elected to delay our S/4 HANA implementation until the sub-ledgers are remediated allowing the SAP
general ledger customizations to be decommissioned prior to S/4 HANA.
Leverage the scalability of the HANA in AWS Platforms
• Consolidate two SAP ECC General Ledgers (Oracle DB / on-premises) into the ECC General Ledger on HANA in AWS
• Consolidate the non-SAP Life Insurance Collections system into the US SAP Insurance Sub-Ledger on HANA in AWS
• Consolidate multiple non-SAP General Insurance Collections systems into the US SAP Insurance Sub-Ledger on HANA
in AWS
• Deploy Reinsurance Accounting functions residing in the EMEA SAP Insurance Sub-Ledger on HANA in AWS to all
countries
SAP Analytics Cloud
• Move to a flexible cost model (as a Service)
• Decision Support
▪ Accelerate business measurements and decision-making (P&Ls and KPIs) by enabling straight through processing
from source to report, and seamless drill back from summarized financial balances to source transaction details
▪ Enable self-service data exploration and visualization
▪ Publish machine insights that highlight key expense drivers
• Planning
▪ Establish a simplified and effective discipline for planning, budgeting, and forecasting leveraging predictive analytics
and driver-based scenarios
What’s next for AIG
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Conclusion
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Amazon EC2 Instances for SAP HANA
6
9
12
TBA
✓ EC2 instances in AWS
Regions and
Availability Zones
✓ Available in
Amazon VPC
✓ API driven
✓ Operate through the
AWS Management
Console &
AWS CLI/SDK
✓ Direct hardware
access in case of Bare
Metal instances
✓ Elastic Storage
Capacity with Amazon
EBSEC 2 I n s t a n c e s ( V i r t u a l )
Management,
Security, and
Monitoring
Storage
HANA Instances
Network
Hypervisor
Management,
Security, and
Monitoring
Storage
HANA Instance
Network
EC 2 B a re M e t a l I n s t a n c e s
.244 .488 1
2
4
R3 R4 X1 X1 X1e
TB
Available Now H2 2018
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AWS for SAP: The builders platform
“Build On” a Strong Foundation
Continuous Price/Performance Improvement
Optimized User Experience
Industry-Leading HANA Platforms
EC2 C5 & M5
Instance Families
• Based on Intel Xeon Platinum Processors
(Skylake)
• Powered by the Nitro system
• M5 provides 19% SAPS/vCPU gain over
M4 C5 provides 26% SAPS/vCPU gain
over C4
• SAP Certified
EC2 Instances in the Cloud
TB
• Fully managed application streaming service
• Run SAP GUI in a browser
• (macOS, Windows, Chromebook, Linux)
• Secure Setup and Configuration
• Low-latency experience
• Centrally manage and stream SAP GUI at scale
AWScloud
AvailabilityZone
Publicsubnet
Privatesubnet
SAPapplicationsSAPgateway
RFCHTTP/ s
Network loadbalancer
(Internal)
Lambdaproxy
API gateway
AppSync
Cognito
HTTP/ s
HTTP/ s
Mobilehub
HTTP/ s
MobileApps
Websites
VPClink
Other Services
Voice IoT
HTTP/ s
HTTP/ s Applicationloadbalancer
(External)
Other webservers
oData
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OLTP
SAP | AWS interop
Innovate at start-up like speed
SAP Cloud PlatformOLTPBigData
Third-Party
Applications
CORE SERVICES SECURITY & COMPLIANCE MANAGEMENT TOOLSINFRASTRUCTURE
IoT Artificial Intelligence DevOps Enterprise Apps
• Machine Learning
• Image Recognition
• Text to Speech
• Conversational
Interface
• Deep Learning
Frameworks
• Rules Engine
• Device SDK
• Device Gateway
• Registry
• Analytics
• Local Compute
• App Streaming
• Communications
• Email
• Sharing and
Collaboration
• Workflow
• Mobile Services
• API Gateway
• Build & Test
• Application Lifecycle
Management
• Containers
• Serverless Compute
Accelerating Pace of
Innovation:
1430 new features/services
launched in 2017
Most robust, fully featured SAP
technology infrastructure
platform
SAP HANA as a Service
S/4 BW/4
SAP Cloud Platform:
Build, Extend, and Innovate
SAP Applications w/ ease
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