Manage Your SAP Projects with SAP Activate.

Chapter 1. Introduction to SAP S/4HANA

Let's kick-start the journey of managing SAP projects with SAP Activate. We will start the discussion with an overview of SAP S/4HANA and its features. We will take a detailed look at existing SAP methodologies and compare them with SAP Activate. In this chapter, we will also talk about the three pillars of SAP Activate, and how it supports different scenarios. We will conclude the chapter with how design thinking concepts are used in SAP Activate and getting access to the SAP Activate content.

S/4HANA in a nutshell

Data volumes are growing, and the pace of this growth is unprecedented. The volume, variety, velocity, and veracity of these data coming from the sensor, social media, and other sources are far outstripping traditional business suite systems. We are living in the digital world and the exponential growth in digital information cannot be handled by just upscaling our infrastructure or revamping existing processes, as this will complicate the solution.

The paces of underlying hardware architecture advancement and computing power are way faster, and to take advantage, we need to adapt them and redesign the business suite for the digital world.

So, SAP has rewritten the complete suite, which is named SAP S/4HANA. SAP S/4HANA promises that customers can completely reimagine their business models, processes, and decision making with an enriched end user experience. Run simple in the digital economy and drive instant value across the organization.

SAP S/4HANA is a real-time enterprise resource management suite for digital businesses. It is built on the advanced in-memory platform, SAP HANA, and offers a personalized, consumer-grade user experience with SAP Fiori. Deployable on the cloud or on-premise, SAP S/4HANA can drive instant value across all lines of business, irrespective of the industry or business size:

S/4HANA as a core of the next generation of SAP offers

The salient features of SAP S/4HANA

SAP S/4HANA is built on SAP HANA, so it has all the capabilities of this powerful data management and application platform, including predictive analysis, real-time decision supports, and advanced text mining. Let's take a quick look at a few of the salient features of SAP S/4HANA, listed as follows:

Can be deployed on-premise or on a cloud or hybrid model
Contains simplified data models, reduced tables, and footprints
Is fully integrated with the SAP HANA cloud platform, allowing organizations to build faster and more cost effective business applications
SAP S/4HANA increases the efficiency of enterprise processes by embedding analytics in the transactional context and by removing visibility blackouts caused by batch processing
Overlaps and redundancy, including earlier multiple add-on applications surrounding a core (for example, SAP ERP, SAP CRM, and SAP SRM), have been completely removed in SAP S/4HANA
A brandnew user experience is delivered to improve the productivity and satisfaction of business users, bringing the interface up to a consumer-grade experience on any device
A database that supports S/4HANA (SAP HANA) can handle both OLTP and OLAP processing from a single model, and therefore, we do not need to move transactional data to a separate system

So, how can SAP Activate help us to get a quick jumpstart with SAP S/4HANA?

One of the first questions that should come to our mind is, "How does SAP Activate as a methodology help make the SAP S/4HANA implementation faster?"

The answer to the preceding question lies in the following capabilities provided by SAP Activate:

Provides you with tools needed for an assisted implementation
Facilitates sample reference solutions containing organizational and master data
Clears confusion over methodologies by providing one methodology
Suitable for any type of deployment (in terms of size, cloud/premise)
Offers continuous support in adaptation of latest innovations

The ASAP methodology

ASAP provides a proven, comprehensive, repeatable, and rich implementation methodology to streamline projects. It is a phased, delivery-oriented methodology that minimizes risk and reduces the total cost of implementation. It supports project teams with templates, tools, questionnaires, and checklists, including guidebooks and accelerators.

There was a lot of enhancement with each version of ASAP; here we will consider the latest version, ASAP 8.0.

The salient key features of SAP ASAP are:

It brings a shift in focus from project to program value
It has industry standard aligned project management processes and guidelines (PMI); ASAP 8.0 has also adapted to agile, irises, and design thinking built-in guidance
Transparency of value delivery through consistent business case reflection
It delivers content rich implementation accelerators, templates, and guides that help reduce the total cost of implementation
It enables efficient project governance and quality management
It covers the entire project life cycle from evaluation through delivery to post-solution management and operations
ASAP WBS is streamlined into three levels with prescriptive delivery attributes (accountability, delivery mode, and so on)

Let's take an example of an implementation project and see how the ASAP methodology can be used for it. An implementation project typically has the following ASAP phases and workstreams:

ASAP implementation roadmap

The implementation roadmap has six phases:

Project preparation: The project is formally initiated and planning is well under way. In this phase, it is expected to achieve the following tasks:
- Identify project objective
- Build a capable project team
- Get buy-in from stakeholders and senior management
Business blueprint: The conceptual design of solution happens in this phase, after collecting all the requirements. It results in (varies if we are using agile ASAP 8.0 or standard ASAP):
- Baseline build (in case of agile ASAP)
- Project backlog (in case of agile ASAP)
- Detailed documentation of results gathered during requirement workshops (in case of standard ASAP)
Realization: The solution is built and the integration testing is done. We also plan the performance test in this phase. It results in:
- Baseline configuration
- Fine-tuned systems
- Completed testing and integration
- Emphasized knowledge transfer
Final preparation: End user training is conducted. A final check is performed before cutover to the new system solution. It is expected that the following outcomes are delivered:
- End user training
- Mock rehearsals are successful
- Workload testing is complete
Go-live support: The solution receives confirmation, ongoing support is in place, and the project is closing.
Run: The operability of the solution is ensured.

The ASAP methodology is structured in workstreams. Each workstream has a number of deliverables that are to be produced in each phase. Some of the key project workstreams are as follows:

ASAP—Key project workstreams

The SAP Launch methodology (Implementation methodology for the cloud)

The SAP Launch methodology was launched as a replacement (rebranded) for the BizX methodology for cloud implementation in August 2014. It was launched as the methodology to be applied universally across all SAP SAAS implementation. It describes the various implementation activities that need to be performed and the resulting deliverables.

The salient key features of SAP Launch are:

The core concept of SAP Launch is the "Let us guide you" approach, which is a complete contrast to the traditional approach of, "Can I take your order?"
A Jam () group, "SAP Launch implementation methodology for cloud solution", was created to help partners.
Sample project management templates were introduced to help customers and partners jumpstart their projects. The templates also include (checklist for go-live, project closure templates, project preparation Quality Gates (Q-Gate) acceptance document for each phase and others).
Quality Gates are also included in SAP Launch for the four phases of methodology (Prepare phase | Project Verification; Realize Phase | Solution Acceptance; Verify Phase | Readiness Acceptance and Launch Phase | Go-live).
The solution-specific delivery toolkits complement the SAP Launch methodology by providing content such as workshop presentations and project accelerators. The contents of the delivery toolkits guide consultants and customers on how tasks are executed for a specific SAP solution. More specific examples of what you might find in a delivery toolkit are the project kickoff workshop presentation and the project schedule template.
SAP Launch implementation methodologies are harmonized across the success factors, Ariba, cloud for the customer, business bydesign, cloud for travel, and expense solutions.

SAP Launch is a very prescriptive and predictable methodology that is lean and fast, while at the same time it incorporates the iterative and agile approach where it makes sense, like with configuration and testing. This allows us to lead with best practices, yet involve the customer in the configuration and testing cycles to ensure that the solution fits their business.

As we dive into the SAP Launch methodology, we'll notice that there are four phases of the implementation project lifecycle, including prepare, realize, verify, and launch:

Phases in SAP Launch methodology

The following are the phases in the SAP Launch methodology:

Streams: The main components of the methodology are streams. Streams are collections of tasks required to achieve one or many deliverables. Streams can span many phases (as can be seen in the preceding diagram, for example, the project management stream spanning across all the four phases and solution adoption spanning across realize, verify, and launch).
Q-Gates: The streams are grouped into milestones called Quality Gates. The examples are the solution acceptance Q-Gates and go-live Q-Gates. Quality Gates are executed to confirm that all stakeholders of the implementation project agree that specific deliverables meet the requirements and consequently that the project can continue. They also help maintain the expectation and make sure that the project is heading in the right direction. Points undertaken as a part of Q-Gates also act as an agreement between both the project team and the steady state/release management team. They help in taking objective decisions.
Ellipsis: The streams that show an ellipsis (...), for example, which can be seen after cutover planning in the preceding diagram, indicate that other services/streams can be connected, depending on the customer's business requirements. For example, if a cloud for customer implementation has custom content in scope, then the extensibility stream would be plugged into the methodology.

The phases, streams, and Q-Gates establish the sequence of the activities. Let's dive deeper and take a closer look at the deliverable of each stream.

Project verification Q-Gate deliverables

All the deliverables for project verification Q-Gate are completed in the prepare phase:

Deliverables in prepare phase

Let's see what is done or expected to be done in streams that are part of this Q-Gate. The project management stream is the deliverables for this stream that start with the handover from the sales team to the services delivery team. The two teams together review the statement of work (SOW) scope, business drivers, goals, objectives, and relevant success metrics.

Once done, the project manager, along with the customer, finalizes the project schedule, identifies project resources, procures tenant(s), creates the project document repository, and initiates the project status calls/reports. The project is formally kicked off onsite or remotely with the entire team via a workshop:

Solution design stream: The best practices for the to-be business processes are reviewed with the customer, and configuration values are acquired. The project scope is finalized and confirmed in this stream. If the project scope varies from the statement of work, then a change order is executed.
Integration preparation: The prerequisites for integration, security, and infrastructure are prepared by the team. If there is data replication required, the necessary mapping is done.

The project verification Q-Gate confirms that all stakeholders agree on the implementation scope before proceeding with the project.

Solution acceptance Q-Gate deliverables

The deliverables for the solution acceptance Q-Gate are spread over the prepare and realize phases:

Solution acceptance Q-Gate deliverables

Here, the deliverables are focused on the realization of the agreed upon scope within the SAP solution. Let's see what is done or expected to be done in streams that are part of this Q-Gate:

Project management stream: The project execution deliverable continues as the project manager continues with project status meetings, status reports, and risk management.
Project team enablement stream: As soon as the project initiation happens, the enablement begins, as project team members receive numerous details to prepare for the project and work with the solution. Some of the enablement is delivered via workshops.
Solution configuration stream: In this stream, the system is configured and tested using sample customer data. This includes the configuration of any relevant mobile devices and connections to external service providers.
Solution walkthrough stream: It is used to demonstrate to the customer how his end-to-end process will look within his system. Many times, due to unavailability of all the components, a conceptual walkthrough can also be presented to the customer.

An agile approach allows for several iterations of solution configuration, testing, and walkthrough prior to executing the solution acceptance Q-Gate.

Readiness acceptance Q-Gate deliverables

The deliverables for the readiness acceptance Q-Gate are completed throughout the realize and verify phases. Some data migration activities begin as early as the prepare road:

Readiness acceptance Q-Gate deliverables

The readiness acceptance Q- Gate is done once the project team decides that the system, resources or people, and data are ready to proceed with the cutover into the production tenant:

Project management stream: The project execution deliverable is repeated as the project manager continues with project status meetings, status reports, and risk management.
Data migration stream: The data is first extracted from the legacy system and cleansed, then Loaded for testing.
Integration setup stream: It's started in the test tenant. Once the solution testing deliverables are successfully completed, then the setup is repeated in the production tenant.
Solution testing stream: This begins with the customer preparing all the testing documentation. Then, the customer fully tests all end-to-end scenarios using migrated data. This should include analytics, forms, user access, integration, and custom solution extensions.
Cutover planning stream: The project team begins to prepare for the cutover by identifying and scheduling the necessary tasks and resources.

An example of a plugin for the readiness acceptance Q-Gate is when a partner builds a custom solution extension for SAP cloud for travel and expense.

Here again, an agile approach allows for several iterations of data migration, integration set-up, and solution testing prior to executing the readiness acceptance Q-Gate. All testing issues must be resolved or an alternative solution identified before completing the Q-Gate.

Go-live Q-Gate deliverables

Deliverables for Go-live Q-Gate are primarily completed during the verify and launch phases. Some solution adoption activities are executed in the realize phase:

Go-live Q-Gate deliverables

It is the last Q-Gate of the launch phase and occurs at the end:

Project management stream: In addition to the daily project execution, toward the end of the project, the service delivery hands the customer over to SAP support and closes out the project.
Solution adoption stream: In this stream, the customer prepares the transition plan that will be used to roll out the new solution within the organization and with other impacted parties. This includes activities to train users, initiate the productive use of the new solution, and push adoption within the organization.
Cutover execution stream: This delivers a production system that is ready for real transactions. Once go-live Q-Gate is executed, operational transactions are entered and processed in the production environment. Additional purchases by customers (such as go-live support and training) can be also plugged into the methodology as a stream.

Q-Gates in the SAP Launch methodology

The workstreams in SAP Launch are structured into following Quality Gates (as shown in the following image):

Project verification: This Q-Gate ensures that all stakeholders agree on the implementation project scope
Solution acceptance Q- Gate: At the end of the realize phase, the solution acceptance Q-Gate confirms that all stakeholders agree that the demonstrated business processes meet the implementation project requirements and that all configuration questions are addressed
Readiness acceptance Q-Gate: This is when all stakeholders agree that the systems, data, and people are ready to execute cutover

Go-live Q-Gate confirms with all stakeholders that the cutover is complete and the organization is ready to use and support the new solution productively:

Q-Gates in SAP Launch methodology

Introduction to SAP Activate and its three pillars

The SAP Activate methodology is a modular and agile framework, which can be used for the following purposes:

Implementation or migration of SAP systems (with additional focus on SAP S/4HANA)
A unique combination of SAP best practices, methodology, and guided configuration
System conversion or a transformation of a larger landscape
It is the fastest way to simplify your operations with or without SAP S/4HANA

The salient features of SAP Activate are as follows:

It delivers ready-to-run business processes optimized for SAP S/4HANA with a reference solution
It has a set of tools for an assisted implementation, covering everything from the initial implementation of a project to running in a production environment and beyond
It accelerates the initial implementation of SAP S/4HANA and is designed for continuous innovation
It is the combination of SAP best practices, tools for an assisted implementation, and an agile methodology to simplify the adaptation of SAP S/4HANA
It facilitates different starting points for customers to move to S/4HANA—new implementation, system conversion, and landscape transformation
It uses a single methodology for all deployment modes—cloud, premise, and hybrid

Three pillars

SAP best practices, guided configuration, and SAP Activate methodology form the three pillars for SAP Activate, with each bringing special capabilities along with it. In the following diagram, we have jotted down some of the key capabilities that each of these provides to SAP Activate:

Three pillars of SAP Activate

Let's go a step further and see how these three pillars (SAP Activate overall) support customers' adoption scenarios (details of scenarios are discussed separately):

	New implementation	System conversion	Landscape transformation
SAP Activate - best practices	Supported	Migration and cloud integration	Supports use cases, such as migration and cloud integration, company code carves out
SAP Activate - methodology	Supported	Supported	Supported
SAP Activate - guided configuration	Supported	Not applicable	Applicable if SAP best practices are used for implementation

Table: Three pillars supporting different scenarios

There are three scenarios for the transition to SAP S/4HANA. Let's see the three scenarios and find out the innovation that SAP Activate brings with it for these scenarios.