For more free articles and slides visit www.p6academy.com

1. 1
PRIMAVERA & SAP
A CLOSER HANDSHAKE
Denver, CO
11 April 2013

2. 2
Content
• Introduction: finally Primavera and SAP shake hands
• Corvallis & Selex-ES
• Project timeframe and evolution
• 2006 implementation
• 2008 re-engineering
• 2011 SAP MRP integration
• Follow-on

3. 3
PRIMAVERA & SAP
A CLOSER HANDSHAKE
 Handshake: dovetailing Primavera and SAP
 Why we are here:
o Share experiences
o Network in order to improve:
 Knowledge
 Business
o Swap ideas

4. 4
Company Profile

5. 55
Overview
Corvallis today
Company structure Sites
Revenues 2012 Employees 2012
62561 M€ *
12 sites in Italy
* Provisional

6. 66
Overview
Corvallis core streams
Big Data - EDM Document Handling
Regulatory Compliance Solutions Enterprise Project Portfolio & Risk Mgmt
Integrated 360°EDM TM Financial Data Reference
solutions for the Securities and Investment
management industry
Provider Data & Cost Tracking
Credit Guarantee & Risk Hub
Back-Office Process Optimizing
Outsourcing
Solvency II
Fatca
Funds Data Stream Mapping ISO20022
Digital Document OICR BI
Central Document Repository
DocumentManaging Workflow
Physical Storage & Handling
On-site and Cloud Solution
Web Portal
Oracle Primavera Suite
Multiple Connectors to ERP
Vertical Specialization Models
Skilled Planning Services

7. 77
Market and Services
Banks
Insurances
Industry and Services
Public Administration
14%
14%
19%
53%
Overview
ICT Consultancy
System Integration & Products
Application Management & Outsourcing
ICT Services
29%
44%
18%
9%

8. 88
ENTERPRISE PROJECT MANAGEMENT
Corvallis as Oracle Gold Partner
Corvallis distributes Oracle/Primavera products in Italy and has a dedicated
Competence Center which delivers products/consultancy services for Enterprise Project
Management.
Through its partnership network with private and public
organizations and the academic world, Corvallis offers to Project-
Based and/or Project Lead Enterprise companies vertical solutions
and specialized services which are constantly aligned to global
benchmarks of excellence and innovation.
Over the last 13 years, Corvallis has deployed P6 EPPM solutions
to over 300 customers in Italy. Its target market comprises
Aerospace/Defence, Engineering, Construction and Manufacturing
industries, as well as IT Divisions of financial institutions, insurance
companies and local governments.

9. 9
Our Customer

10. 10
© Copyright Selex ES. All rights reserved
FRevenue
sRevenues 2011 17.318 € billion
Helicopters
Defensive SystemsSpece Devices EnergyTransportation
Defense Electronics Aeronautics

11. 11
Strategic presence worldwide
© Copyright Selex ES. All rights reserved
Worldwide Leader in Ground and Naval Radar sensors
Key presence in the integration of Naval and Air Defense Systems, Air Traffic Control
Systems
Worldwide presence in large systems for Homeland Protection and Defense

12. 12
SELEX ES worldwide offices and plants
© Copyright Selex ES. All rights reserved

13. 14
© Copyright Selex ES. All rights reserved
The Company
ELECTRONIC and INFORMATIONTECHNOLOGIESfor
DEFENCE SYSTEMS -AEROSPACE - DATA- INFRASTRUCTURES - LAND SECURITY & PROTECTION-
SMART SOLUTIONS
Entrusted to deliver technology-enabled systems and solutions for a safer, smarter and more secure society
Key facts
17,900 people
Revenues in excess of 3.5 billion
Euros
Italy and UK as domestic markets
Strong footprint in
• US
• Germany
• Romania
• Brazil
• Saudia Arabia
• India
• Turkey
The Divisions
Airborne & Space Systems
Land & Naval Systems
Security & Smart Systems
14

14. 15
Our divisions
• Airborne radar
• Sensors
• Electronic warfare systems
• Avionics
• Integrated missionsystems
• Airborne surveillance systems
• TacticalUAS
• Targetdrones
• Simulation systems
• Space sensors and equipment
• Integrated command land and naval
command and control systems
• Land and naval radar
• Electro-opticalsensors
• Tacticalcommunication systems and
equipment
• Battlefield protectionsystems and
equipment
• Homeland and critical infrastructures’
protectionand security architectures
• Secure communications systems
• Informationtechnology
• Informationmanagementand
automation systems
• Airportsystems
• Air traffic and vesselmanagementand
controlsystems
The Chief Operating Officer function brings together the Engineering and Production activities to serve the three
divisions by creating and exploiting technology, product and systems’ synergies.
Airborne and Space Systems
Division
Securityand Smart Systems
Division
Land and Naval Systems Division

15. 16
Integrating
Oracle|Primavera and SAP
in Selex ES.
A successful story

16. 17
Project timeframe
2005
P5 – SAP R/3 via
SDK. Project = EPS
node for maximum
IPT involvement
2008
P6 – SAP BW SEM
via API and
Websphere.
Project = Project
2010
P6 – SAP MRP
2013
Improvement
continues

17. 18
Interfaces developed
• Current I/Fs include:
o Resource alignment
o WBS and Planning from P6 to SAP BW and R3
o Actual units and costs from SAP BW to P6
o Operation planning from SAP MRP to P6
o Operation forecast from P6 to SAP BW
o 1st level Milestones from P6 to TERRA and BW
o Risk Register from TERRA to P6
• All interfaces are activated via IBM Websphere

18. 19
Primavera Enterprise
SAP R/3
BW
SEM
SOLUTION 2005
Primavera EnterpriseSAP R/3
BW
SEM
Terra
SOLUTION 2008
Legenda:
Via RFC
Via Websphere
Implementation updates

19. 20
Primavera EnterpriseSAP R/3
BW
SEM
Terra
SAP MRP
Implementation updates
SOLUTION 2010

20. 21
Tailoring of standardized/templated WBS

21. 22
WBS definition, P6/SAP WP Alignment

22. 23
23
Activity Definition, Duration Estimating, Sequencing

23. 24
Cost Estimating, Cost Budgeting

24. 25
GUI Websphere,
P6 <-> BWSEM interface execution

25. 26
BWSEM copybook to add invoices and revenues

26. 27
Access to TERRA

27. 28
TERRA

28. ©2012SELEXSistemiIntegrati-CommercialinConfidence
29
FUSARO PLANT (NAPLES)
RADAR SYSTEM PRODUCTION
• Air Traffic Control
• Ground Defense
• Naval Defense
• Homeland Protection

29. ©2012SELEXSistemiIntegrati-CommercialinConfidence
30
Time and Cost control
Responsible:
– Operation Planning
Description:
- Delivery Milestones agreed with BU are
updated on the basis of MRP output and
actual data collected in SAP R/3
MRP
MRP
«Gradodi
Copertura*»
Responsible:
– Operation Planning
Description:
– On the basis of «Independent
needs» identified by MRP and
«Grado di Copertura*»
Schedule andCost update for
eachWP
INCOME STATEMENT
FINALIZATION AND
APPROVAL
Income Statement
andMilestone
Planupdating
Operation – Planning and Controlling process
Preliminary
Design
(Phase 3A)
Detailed Design
(Phase 3B)
System
Integration
(Phase 4)
System
Qualification
(Phase 5)
Production
(Phase6)
Support
(Phase 7)
Responsible:
– Finance/Admin dept.
Description:
- Income statement update
- Updated Milestone Plan
* Grado di Copertura (degree of coverage): tailor-made sw developed in order to normalize data for schedule alignment

30. ©2012SELEXSistemiIntegrati-CommercialinConfidence
31
Designing and developing an integration software for
production management in order to better plan,
monitor and control operations from a programmatic
and economic perspective
Primavera and SAP MRP integration

31. ©2012SELEXSistemiIntegrati-CommercialinConfidence
32
SELEX-SI managing model
Business
Unit 1
Business
Unit n
• Cost
• Revenue
• Invoice Mlst
• Cash is Mlst
Function 1 Production
Internal Order (IO):
• Part number
• Due date
• Cost
• Non-STD Activity
Functionsoperate as “internal suppliers” with their own income statementat zero margin
Product order
management
• Cost = Revenue
• Invoice Mlst =
Internal Order Mlst
Costtransferred equal
to internal order
milestonecost
«Order»
management
IO
Milestones

32. ©2012SELEXSistemiIntegrati-CommercialinConfidence
33
Managing model in SELEX-SI

33. ©2012SELEXSistemiIntegrati-CommercialinConfidence
34
Initial scenario
Business
Unit 1
Business
Unit n
«Order»
Management
Function 1 Production
Internal
Milestones
Production order
management
PRIMAVERA
SAP BO
SAP BW/SEM
SAP MRP : standard production*
EXCEL:Income statement and Mlst
MS PROJECT: not std activities
Invoice Mlst
Internal Mlst
delivery
* Standard production means the manufacturing of goods already where both a BOM and work cycle are
already in place.
IO

34. ©2012SELEXSistemiIntegrati-CommercialinConfidence
35
Initial scenario

35. ©2012SELEXSistemiIntegrati-CommercialinConfidence
36
Initial scenario – weaknesses
«PRODUCTION»
PROGRAM
MANAGER
INTERNAL
MILESTONE
SAP MRP
EXCEL
MS
PROJECT
Non-standardactivities
Prototype activities
Resource Management
Risk Management
Priority Management
Baseline Management
Results Analyses
EAC
Milestones Management
Non-integratedplanning
Baseline Management
PRODUCTION
PLANNING
INVOICE STATEMENT
& MILESTONES
NOT STANDARD
ACTIVITIES

36. ©2012SELEXSistemiIntegrati-CommercialinConfidence
37
Initial requests
• Identify an integrated solution
• Use tools already in place at company level :
• PRIMAVERA
• SAP BO
• SAP BW/SEM
• SAP MRP
• Obtain a unique SW environment for activity management
• Identify the most suitable EAC estimation for each order, for the
entire production portfolio
• Obtain P&L analysis
• Manage Milestone relationship between Sales Order and
Operations Business Units
• Issue income statements order by order
Detailed specifications have been identified through on-going
client / supplier collaboration

37. ©2012SELEXSistemiIntegrati-CommercialinConfidence
38
What feeds into PRIMAVERA?
SAP MRP
Production cycle (assembly/test)by Competence Centre
Lead time for material supplying
Labor Cost and Material Cost
Activities and Material Scheduling
Actualcost by Cost Nature and CC
PRIMAVERA
PROGRAM
MANAGER
Non-STDactivity planning:
• Product industrialization
• Facility realization
• Layout realization
• PrototypesSAP R/3
INTERNAL
MILESTONE
The milestone value
representingduties among
Operations and other BUs
COST INVOICE

38. ©2012SELEXSistemiIntegrati-CommercialinConfidence
39
SAP MRP PRIMAVERA

39. ©2012SELEXSistemiIntegrati-CommercialinConfidence
40
SAP MRP PRIMAVERA

40. ©2012SELEXSistemiIntegrati-CommercialinConfidence
41
SAP MRP PRIMAVERA

41. ©2012SELEXSistemiIntegrati-CommercialinConfidence
42
SAP R/3
INTERNAL
MILESTONE
PRIMAVERA

42. ©2012SELEXSistemiIntegrati-CommercialinConfidence
43
What feeds out of PRIMAVERA?
PRIMAVERA
PLANNING BASED ON:
• PRIORITY
• RESOURCES
• EQUIPMENTS
• RISK
MILESTONE
SCHEDULING
INCOME
STATEMENT
ORDERBY ORDER
STD AND NON-
STD ACTIVITY
INTEGRATED
PLANNING
Not only
MRP!!!
COSTAND
WORKLOAD
DISTRIBUTION

43. ©2012SELEXSistemiIntegrati-CommercialinConfidence
44
MILESTONE
SCHEDULING

44. ©2012SELEXSistemiIntegrati-CommercialinConfidence
45
INCOME
STATEMENT
ORDER BY
ORDER

45. ©2012SELEXSistemiIntegrati-CommercialinConfidence
46
COST AND
WORKLOAD
DISTRIBUTION

46. ©2012SELEXSistemiIntegrati-CommercialinConfidence
47
Initial scenario

47. ©2012SELEXSistemiIntegrati-CommercialinConfidence
48
Current scenario

48. ©2012SELEXSistemiIntegrati-CommercialinConfidence
49
ADAVANTAGES
• Reliable estimates of EAC order by order.
• Criticalities can be highlighted straightaway
• Unique and integrated planning of activities and milestones
• Baseline freezing and time/cost variation analysis order by order,
production order, activities, milestones
• More effective and efficient resource and equipment management
• Time-distributed workload by Competence Centre
• WIP analysis
Less effort spent on data processing allows end-users to
focus on analyzing criticalities.

49. ©2012SELEXSistemiIntegrati-CommercialinConfidence
50
FEEDBACK
• The integrated tool is used by all staff involved in planning and
managing milestones
• Income statements elaborated via PRIMAVERA are used by Finance
departments as an official document
• This implementation project is currently under review to become a
corporate level standard
• All process improvements take into account possible integration
with PRIMAVERA, our control and planning tool.

50. ©2012SELEXSistemiIntegrati-CommercialinConfidence
51
WORK IN PROGRESS
BU Milestone
FunctionMilestone
• R/3
• BW/SEM
• BO
INTERNAL ORDER

51. 52
Giusy Mainardi
giusy.mainardi@corvallis.it
Mob. Ph: +393400031836
Simone Oliva
simone.oliva@corvallis.it
Mob. Ph: +393485230506
T H A N K
Y O U !