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2013 OTM EU SIG: Integrating SAP with OTM Presentation

  1. Integra(ng  SAP  with  OTM     2013  European  SIG  Conference   Neil  Hatcher   Rob  van  Haaster   Monday  28  January  2013   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  2. Agenda   §  SAP  /  OTM  IntegraLon  Background   §  Design  Approach   §  High  Level  architecture   §  Lessons  Learnt   §  ImplementaLon  Details   •  SAP  EnLLes   •  Sample  use  cases   •  Best  PracLce  elements   §  ParLng  Thoughts   §  QuesLons       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  3. SAP  /  OTM  History   §  OTM  is  designed  and  supported  as  a  stand  alone  best  pracLce   enterprise  TMS   §  Majority  of  OTM  users  in  Europe  are  SAP  clients                   §  OTM  allows  common  view  of  mulLple  SAP  instances   §  Single  global  model  in  co-­‐ordinaLon  with  single  SAP  instance   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  4. SAP/OTM  Integra(on  Background   §  IntegraLng  OTM  with  SAP   •  Can  be  done   •  Has  been  done  successfully   •  Challenges  are  the  same  as  will  occur  when  integraLng   SAP  to  any  TMS  soluLon  that  handles  real  world   transportaLon.   §  In  this  presentaLon,  we  aim  to     •  Highlight  some  design  consideraLons  and  best  pracLce   •  Present  Real  life  use  cases  in  ProducLon   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  5. Agenda   §  SAP  /  OTM  IntegraLon  Background   §  Design  Approach   §  High  Level  architecture   §  Lessons  Learnt   §  ImplementaLon  Details   •  SAP  EnLLes   •  Sample  use  cases   •  Best  PracLce  elements   §  ParLng  Thoughts   §  QuesLons       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  6. Key  Design  Considera(ons   §  SAP  ECC  as  with  other  ERP’s  has  no  concept  of  Order  /   Shipment  relaLonships  in  comparison  with  TMS   •  One  to  many  /  many  to  one  Order:Shipment  not  standard   §  SAP  LogisLcs  concept  is  Orders:Deliveries  but  is  limited   •  Deliveries  cannot  be  split  across  shipments   •  Triggers  funcLonality  in  SAP  –  assigns  Stock   •  Typically  based  on  stock  /  inventory  available   §  Hence  the  need  for  an  Enterprise  TMS  for  true  LogisLcs   Management   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  7. Typical  Perceived  Challenges   §  Which  SAP  object  should  we  use  for  the  order  release  in   OTM?   §  When  should  we  send  the  order  releases  to  OTM?   §  OTM  likes  to  split  orders  across  loads  but  the  OTM  order  is  an   SAP  delivery  and  SAP  does  not  like  that  to  be  split.   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  8. Real  Challenge   §  Get  end  to  end  clarity  of  the  supply  chain  business  process   and  business  needs.   §  Then  define  the  system  support  required  to  enable  that.   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  9. Who  owns  each  segment  in  the  supply  chain  process?   Challenge:   Clarifica(on  Achieved:   Define  which  business  area   Which  system  in  the  IT   (and  therefore  IT  system)  owns   landscape  owns  the   the  overall  business  process  for   overall  business  process   the  supply  chain  segment.   for  the  supply  chain     MulLple  business  process  models   segment   can  be  handled  in  a  single  OTM     Most  o_en  this  is  not  the   instance  giving  end  to  end     Transport  organisaLon.   Examples  of  segments:   visibility  across  the  supply  chain     Instead  it  is  sales  or   Demand  planning  driven.   segments   manufacturing  or  an  external   Customer  order  driven.     customer   Manufacturing  driven         Some  companies  will  have   mulLple  supply  chain  segments       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  10. Business  pressure  on  IT  landscape   Challenge:   Clarifica(on  Achieved:   Is  there  a  business  desire  for   Other  challenges  need   each  end  user  to  only  work  in   to  be  addressed   one  system  for  the  whole  of   depending  on  which   their  working  day,  or  is  there  a   approach  the  business   drive  to  have  business   require   funcLonality  handled  in            (trade  off  between  end  user       training  on  mulLple  applicaLons   and  Single  Sign  On  umbrella  vs   messaging  backwards  and   forwards  with  duplicated   visibility  informaLon  and   funcLonality  in  mulLple  places)   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  11. TMS  load  op(misa(on   Challenge:   Clarifica(on  Achieved:   Should  the  TMS  be  allowed  to   If  the  answer  is  yes  then   opLmise  loads  by  splibng   the  message  flow  should   orders  and  or  changing  pickup   be  SO  /  STO  /  PO  from  SAP   and  delivery  days?   to  OTM  and  OTM  to  plan     and  integrate  the  deliveries     back  to  SAP.     If  the  answer  is  No.    Then   SAP  should  define  the   Inbound  and  Outbound   deliveries  and  those  should   be  integrated  towards   OTMs  order  release  object.         ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  12. Details  of  supply  chain  interac(ons   Clarifica(on  Achieved:   Challenge:   Understanding  of  :   Have  understanding   What  acLons  should  be   across  the  business   allowed  or  blocked  at  each   funcLons  what  the   stage   impact  of  any  acLon  at   What  system  support  for   any  point  in  Lme  would   modificaLons  is  required     be.           Example:     At  what  point  do  you  allow   the  sales  department  to   change  add  or  remove   items  from  an  order.           ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  13. Agenda   §  SAP  /  OTM  IntegraLon  Background   §  Design  Approach   §  High  Level  architecture   §  Lessons  Learnt   §  ImplementaLon  Details   •  SAP  EnLLes   •  Sample  use  cases   •  Best  PracLce  elements   §  ParLng  Thoughts   §  QuesLons       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  14. SAP  -­‐>  OTM  Integra(on   iDoc GLogXMLElement SAP PI TransmissionReport SYSTAT ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  15. OTM  -­‐>  SAP  Integra(on   GLogXMLElement iDoc SAP PI ALEAUD TransactionAck ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  16. Agenda   §  SAP  /  OTM  IntegraLon  Background   §  Design  Approach   §  High  Level  architecture   §  Lessons  Learnt   §  ImplementaLon  Details   •  SAP  EnLLes   •  Sample  use  cases   •  Best  PracLce  elements   §  ParLng  Thoughts   §  QuesLons       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  17. Relevant  SAP  modules   Key modules within SAP ECC for Transportation Process Integration: LE   LogisLcs   ExecuLon   MM   SD   Materials   Sales  &   Management   DistribuLon   SAP  ECC   Enterprise   PP   Core   FI   ProducLon   Component   Financial   Planning   AccounLng   QM   CO   Quality   Management   Controlling   MavenWire  (Europe)  CavenWire  (Europe)  Proprietary   Reserved   ©  Copyright  2013  M opyright  Company   Ltd  All  Rights  
  18. SAP  Documents  &  Flow   §  End  to  End  Supply  Chain  Documents  within  SAP  Modules   independent  of  enterprise  TMS   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  19. Master  Data   Best Practice Logistics Master Data Management Sample Mapping All other Logistics Data using MavenWire evolvTM Data Loader ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  20. Outbound  Use  Cases   §  We  will  walkthrough  two  different  Outbound  Use  Cases,  applicable   depending  on  the  perspecLves  of  Orders  /  ProducLon  Scheduling  and     Inventory….   §  These  samples  provide  for:   •  Order  /  Delivery  splibng   •  Delivery  creaLon  from  OTM  Shipment  plan  or  SAP  creaLon  process   •  Shipment  creaLon  in  OTM  with/without  SAP  Shipments   •  Dynamic  producLon  plans   §  Scenario  1   •  Discrete  Manufacturing  model   §  Scenario  2   •  Process  Manufacturing  model   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  21. Sample  Outbound  Scenario  I  (Discrete  Mfg)   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  22. Sample  Outbound  Scenario  II  (Process  Mfg)   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  23. Inbound  Use  Case   §  OTM  /  SAP  can  equally  be  deployed  for  Inbound  LogisLcs   §  SAP  Purchase  Order  control   §  OTM  inbound  logisLcs  management   §  Allows  for  Factory  Gate  pricing  model   §  LogisLcs  part  of  PO  payment  process  control  (ASN,  ePOD)   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  24. Sample  Inbound  Scenario  I   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  25. Agenda   §  SAP  /  OTM  IntegraLon  Background   §  Design  Approach   §  High  Level  architecture   §  Lessons  Learnt   §  ImplementaLon  Details   •  SAP  EnLLes   •  Sample  use  cases   •  Best  PracLce  elements   §  ParLng  Thoughts   §  QuesLons       ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  26. Par(ng  Thoughts   §  OTM  can  be  integrated  to  the  SAP  ordering  modules  in  many  ways.   •  The  "right"  way  is  not  simply  a  case  of  which  business  verLcal  your  organisaLon  belongs   to.   §  Transport  is  not  required  unless  another  part  of  the  organisaLon  is   requesLng  it.   •  Take  a  partnership  approach  with  the  ordering  business  area  (whether  it  be   manufacturing  or  sales  or  something  else)   §  Don't  make  decisions  as  to  overall  business  process  alone.   §  Don't  get  lost  in  theoreLcal  nirvana.       •  In  a  real  world  supply  chain  things  change  on  a  daily  basis,  strive  for  supply  chain   stability  but  don't  put  blinkers  on  and  ignore  reality.   §  There  is  no  such  thing  as  a  "handover  point"  at  which  one  area  completely   ceases  to  touch  the  order  and  another  area  takes  over.   •  have  sessions  with  the  relevant  parLes  round  a  table  to  drill  into  the  details  and  to   define  real  world  applicable  processes.   §  Buy  in  at  a  strategic  level  is  a  must   ©  Copyright  2013  MavenWire  (Europe)  Ltd  All  Rights  Reserved  
  27. Ques(ons?     e: LearnMore@MavenWire.com
  28. Thank-­‐You!         e: LearnMore@MavenWire.com
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