SAP Simple Finance

SAP Simple FinanceMeet SAP Simple Finance

Henner Schliebs, Head of Finance Audience MarketingFebruary 6, 2015

@hschliebs

© 2015 SAP SE. All rights reserved. 2

@hschliebs

TECHNOLOGYTRENDS

The CFO’s New Reality for Achieving Financial ExcellenceKeeping Up with the Accelerating Pace of Business

Increasing complexity of

external conditions

Pressure to support global

growth initiatives

Requirement to reduce the

cost of finance

Accelerated adoption of

technology innovations

Millennial work style enabled

by networks and mobility

Explosion of Big Data

BUSINESSTRENDS


@hschliebs

87%of finance executives say

that the finance function

will need to improve its

capabilities and

performance to support

profitable growth

(The Next Stage in the Creating Value-Added

Finance Function, CFO.com, 2014)

CFOs have spoken: Finance executives see the need to transform their own finance organizations

58%say that their company’s

line-of-business managers

have difficulty using finance

information systems to

identify and understand

the data they need to make

effective decisions




@hschliebs

SAP’s Response: Helping Finance Run Simple

We attacked complexity in finance by

re-building our global, comprehensive

solution to take advantage of SAP HANA.

With the resulting simplicity, IT enables

finance to operate more strategically.

SAP CEO Bill McDermott announces SAP Simple Finance

at the 2014 SapphireNOW conference


@hschliebs

Scope: the entire portfolio for finance

Innovation: driving finance with instant insight

Deployment: full choice of options

What is SAP Simple Finance?


@hschliebs

Innovations of SAP Simple Finance help drive

Finance with instant insight

Drive one common understanding of finance data

to ensure enterprise-wide consistency to minimize

reconciliation and errors

Use prediction, simulation and analysis

to evaluate financial implications of strategic

business options

Enable real-time finance processes for instant

insight timely to make timely and relevant decisions


@hschliebs

Drive one common understanding of finance data to ensure

enterprise-wide consistency

87%of finance executives say

they need to analyze

financial and performance

data much more

quickly to meet targets

for profitable growth

(The Next Stage in the Creating Value-Added Finance

Function, CFO.com, 2014)

Consolidation of financial,

managerial and operational data

Single financial data source for

transactions, analytics and planning

Reduction of duplication and

the need for reconciliations


@hschliebs

Personalized, instant insight across finance and controlling

• Leverage the same information

for external disclosures and for

management reporting

• One logical view across finance

(FI) and controlling (CO)

• Aggregation on the fly across all

balances and dimensions based

on transactional data

• Personalized reports across

finance, controlling, and operations


@hschliebs

Enable real-time finance processes for instant insight

timely to make timely and relevant decisions

83%of finance executives agree

that better information

reporting and data

visualization capabilities

would help line-of-business

managers make better

decisions

(The Next Stage in the Creating Value-Added Finance

Function, CFO.com, 2014)

Real-time processes to

allow finance to transform their

organizations

Personalized self-service access

to KPIs with granular drill-down

Business and social networks

for collaboration with teams,

customers and partners


@hschliebs

Real-time processes enable Finance transformation

Financial Planning

and Analysis

Accounting and

Financial Close

Collaborative Finance

Operations

Enterprise Risk and

Compliance Management

Treasury and Financial

Risk management

Provide advice on

M&A and divestitures

with unlimited

simulations

and what-if analysis

Improve managerial

group reporting and

processing across

matrix organization

Enable a “soft close”

by solving issues

throughout the

month

Leverage integrated

managerial and

financial accounting

to reduce

reconciliation

Instant visibility into

working capital to

support real-time

liquidity planning

Make investment

decisions to fund

corporate growth to

manage financial risk

Real-Real-time

receivables and

payables reconciliation

for better collaboration

with customers and

partners

Immediate reaction to

collection

Identify and predict

potential fraud and

define strategies for

fraud prevention

Ensure compliance

and improve audit

management

efficiency


@hschliebs

Example:Real-time processes enable a “soft close” anytime

Processes designed for real-time

operations eliminate close bottlenecks

Local close processes involve >100

tasks with multiple batch bottlenecks

Traditional Close Close enabled by SAP HANACloseBatches

ConsolidationBatches

Initial Period Close & Consolidation

Reporting on-demand

Close & ConsolidationInitial Period


@hschliebs

Role-based, personalized dashboards

with granular drill-down

Role-based dashboards

• General Ledger Accountant

• Accounts Payable Manager

• Accounts Receivable Manager

• Collection Specialist

• Credit Manager

• Cost Center Manager

• Cash Manager

Additional roles are planned


@hschliebs

Identify strategic business options through prediction,

simulation and analysis

91%of finance executive say that,

to meet targets for profitable

growth, the finance function

will need to become better at

providing managers with

forward-looking, predictive

analytics



Instant financial analytics

across multiple dimensions

of finance and operations

Modeling and prediction

to evaluate business options

Planning and simulation

across finance and operations


@hschliebs

Integrated Financial Planning across an organization

Production

Planning

Strategic

PlanningSales

Planning

Price

Planning

Investment

Planning

Procurement

Planning

Headcount

Planning

Marketing

Planning

Cost

Planning

Revenue

Planning

Balance Sheet

and

Profit & Loss

PlanningProfitability

Planning


@hschliebs

Prediction and simulation enable better business decisions

• Drill-down on drivers of profitability including

customer, product, geography and channel

• Full access to financial master and

transactional data in SAP ERP for planning

and what-if analysis

• Identification of trends using prediction

• Simulation and prediction to determine the

financial impact of business options


@hschliebs

Benefits: Drive financial transformation with instant insight

• Reduce reconciliations and errors with

built-in consistency with one common

view of financial and operational data

• Enable timely and relevant decisions through

real-time processes with personalized instant

insight

• Provide strategic value to the business

with prediction, simulation and analysis

to evaluate business options


@hschliebs

Early adopter success by the numbers

>65%Faster financialclose processes*

>50%Faster foreign

currency revaluation*

1,000XFaster reporting

(from 15 minutes to 1 second)*

>400 hoursCut from close processes

86% fasterReal-time analytics

91% fasterAutomatic maintenance revenue accruals


@hschliebs

SAP Simple Finance early adopter success

“Deloitte has been collaborating with SAP on

the next generation Finance solutions and we

have significant experience with SAP HANA,

as we use it within our own financial systems.

The role of the CFO and the CFO’s team

continues to evolve, and this new wave of

innovation will allow finance professionals to

access information in new ways enabled by the

speed and power of SAP HANA. This will help

to drive ongoing finance transformation as

we see it at Deloitte.”

Jan Waals, principal and global SAP practice

leader, Deloitte Consulting LLP

“Our first experience with SAP Simple

Finance powered by SAP HANA has proven to

be the right solution to drive our key financial

processes and reporting in real-time. Our

finance users were really impressed by the

ability to perform reporting and analytics on

item levels. Reconciliations of costs and

financial accounting can now be done at any

time. I’m fully confident this is the way forward

to run finance at DSB.”

Ken Kastrup Nielsen, IT Finance Specialist,

DSB (Danish State Railways)

“Zurich wanted to be one of the first customers

to evaluate the financials innovation delivered

with SAP HANA. Deployed as a simple add-on

for SAP Business Suite powered by SAP HANA,

we are really impressed by the results in terms

of the performance, simplification, and agility

it could bring to our finance community”.

Wilco Boosman, Director SAP Convergence,

Zurich Insurance Group


@hschliebs

SAP Simple Finance early adopter success (2 of 2)

“The financials add-on for SAP Business

Suite powered by SAP HANA was deployed

in less than two months without any disruption

to our business. We now have one common

platform for both regulatory and managerial

accounting as well as on-the-fly financial

processes. This innovation will help us deliver

stronger financial leadership through better

advice on strategic and operational plans

that impact the business performance and

effectiveness of SAP.”

Luka Mucic, Chief Financial Officer, SAP SE

“Our students live in a technological era,

and we must provide a consistent environment

so that their learning life and their social life

can seamlessly blend. Our teaching staff and

researchers must also have administrative

overhead lifted from them so they can

concentrate on their core activities. As an

example, with SAP Simple Finance, our

finance organization will be able to focus on

the most essential tasks and get the job

done in real-time.”

John Dewar, President & Vice Chancellor,

La Trobe University (AUS)

“As a leader in high security technology,

innovation is critical for us, which includes

implementing our internal processes, such as

finance, on the latest technology platform. SAP,

with its SAP HANA technology, is definitely

ahead of the competition with its database

technology and speed. We have run SAP ERP

since 2002, and will now change our platform to

SAP HANA, to enable us to take advantage of

SAP’s continuing innovations such as SAP

Simple Finance, to meet our goal of being a

technology leader both in our own business,

as well as in our internal support processes.”

Christian Helfrich, CFO,

Bundesdruckerei (Germany)


@hschliebs

Why SAP?

• 40+ years of finance experience across 50+

countries and 25+ industries

• Market-leading software with 57,000+ SAP

ERP Financials customers and 10,000+ SAP

EPM customers

• Innovations that help transform finance

organizations with instant insight


@hschliebs

Your Journey to Simple Finance without disruption

Journey Map for SAP Simple Finance: simplefinance.sapjourneymap.com

Take 5 steps to identify the scope of

SAP Simple Finance, determine your scope,

and manage your deployment

Investigate the non-disruptive ways

to move towards SAP HANA in any

deployment mode

5

4 Deploy

3 Try

2 Identify

1 Explore

Experience

http://simplefinance.sapjourneymap.com/


@hschliebs

For more information

SAP Simple Finance

www.sap.com/simple-finance

Journey Maps

• SAP Simple Finance

simplefinance.sapjourneymap.com

• SAP Business Suite on HANA

soh.sapjourneymap.com

• SAP HANA Enterprise Cloud

hec.sapjourneymap.com

Line of Business for Finance

www.sap.com/financialsexcellence

http://www.sap.com/simple-finance

simplefinance.sapjourneymap.com

soh.sapjourneymap.com

hec.sapjourneymap.com

http://www.sap.com/financialsexcellence


@hschliebs

Henner SchliebsHead of Finance Audience Marketing

@hschliebs

henner

[email protected]

hschliebs

https://twitter.com/hschliebs

http://www.linkedin.com/in/henner

mailto:[email protected] ?subject=nice meeting you

http://bit.ly/HS-YT

Appendix


@hschliebs

Finance executives are still hampered by complexity

Uncertain Economy

• Margin pressure

• Working capital

• Financial risk

Globalization

• Increasing regulation

• Process standardization

• Diverse cultures

New Business Models

• Business partnerships

• Collaboration with customers

and vendors

Explosion of Data

• Structured & unstructured

• Viral content

• Analysis paralysis

Millennial Work Style

• Collaboration

• Mobility

• Continuously connected


@hschliebs

Controller

FINANCIAL PLANNING AND

ANALYSIS

Head of Corporate

Reporting

ACCOUNTING AND

FINANCIAL CLOSE

Head of Finance Operations

COLLABORATIVE FINANCE

OPERATIONS

Chief Compliance Officer

ENTERPRISE RISK AND

COMPLIANCE

MANAGEMENT

SAP Simple Finance enables all finance processes

Corporate

Treasurer

TREASURY AND FINANCIAL

RISK MANAGEMENT

Chief Financial Officer


@hschliebs

Finance Value Map – Achieve Financial Excellence

Accounting and

Financial Close

Financial Planning and

Analysis


Risk Management

Collaborative

Finance Operations

Enterprise Risk

and Compliance

Management

Collaborative

Invoice to Pay

Travel Management

Receivables ManagementEnterprise,

Risk Management

Controls and Compliance

Management

Access Governance

Accounting

Entity Close

Corporate Close

Develop and Translate

Strategy

Planning, Budgeting and

Forecasting

Profitability and Cost

Management

Payments and Bank

Communications

Cash and Liquidity

Management

Debt and Investment

Management

Monitoring and Reporting Reporting and Disclosure

Financial Close

GovernanceCommodity Risk Management

Real Estate ManagementFinancial Risk

Management

International Trade

Management

Fraud Management

Audit Management

Financial Shared Services


@hschliebs

Financial Planning and Analysis

Accounting and Financial Close


Risk Management

Collaborative Finance

Operations Enterprise Risk and

Compliance Management

Transforming Finance with predictive and real-time

processes

Unlimited simulation of business options with what-if

and predictive analysis

Advise the business on M&A, product introductions

Instant visibility into working capital, enterprise-wide

liquidity and financial risks

Make investment decisions to fund corporate growth

Real-time receivables and payables reconciliation for

better collaboration with customers and partners

React immediately to invoice disputes

Controls and pattern-based prediction of increased

potential risks and fraud events

Identify and define strategies to prevent fraud

Continuous intra-period soft close with pre-close simulations

Solve issues through-out the month, not only month-end


@hschliebs

Full choice of deployment

Cloud

Subscription licensing with deployment

in private cloud and maintained by SAP

Hybrid

Combine on-premise and cloud capabilities

to meet specific, modular needs

On Premise

Traditional licensing with customer

control of deployment and maintenance


@hschliebs

SAP’s proven market leadership across portfolios

supports finance goalsEnterprise Resource Planning

Top 10 ERP Software Vendors

by Total Software Revenue, Worldwide,

2011-2012 (Millions of U.S. Dollars)

2012 MarketShare %1

Administrative ERP: Financial

Management Systems

Financial Management System (Millions

of U.S. Dollars) 2012 MarketShare %1

Business Intelligence, Analytics

and Performance Management

BI, CPM and Analytic Applications/Performance

Management Market Revenue, Share and Growth

by Vendor, 2010-2012 (Millions of Dollars) 2012

MarketShare %2

1 Gartner Research, "Market Snapshot: ERP Software, Worldwide, 2012", Chris Pang, 29 April 20132 Gartner Research, “Market Share Analysis: Business Intelligence, Analytics and Performance Management, 2012” Dan Sommer, Bhavish Sood, 7 May 20133 Gartner Research, “Magic Quadrant for Corporate Performance Management Suites” by John E. Van Decker, Neil Chandler, Christopher Iervolino , February 14, 20134 Gartner Research, “Magic Quadrant for Enterprise Governance, Risk and Compliance Platforms", French Caldwell and John A. Wheeler Oct. 4, 20125 Gartner Research, “Vendor Rating: SAP” Donald Feinberg et al, 13 August 2013

SAP is positioned in the Leaders Quadrant of Gartner Inc.’s Magic Quadrant for Corporate Performance Management Suites3 and

for Enterprise Governance, Risk and Compliance Platforms4

SAP is rated as “Strong Positive” for Operational ERP Products and as “Positive” for Administrative ERP Products.5

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11.49.9

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14.9

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@hschliebs

SAP has 40+ years of financial expertiseSAP Simple Finance takes SAP’s 40+ years to the next level

The Finance Ecosystem

• 57,000+ SAP ERP Financials customers

• 10,000+ SAP EPM customers

• 60,000+ SAP Analytics customers

• GRC

• 7,000+ partners with proven track records

• Multiple communities, partners and user groups

Companies adapt to technology Software adapts to technology Software centers around people

1999/2000 2004 2012+199219791972

R/1

R/2

mainframe

R/3

client/server

mySAP.com

NetWeaver

Mobile

SAP HANA

Cloud

Analytics

Industry Solutions

Business Suite


@hschliebs

Innovating the Portfolio with SAP Simple Finance If you simplify everything you can do anything

Social

Networking Collaboration

Real-time

monitoring

Managing

cash flow

Buying & selling

materials & Services

Online news

Banking

Shopping

@

Personal Computing Business Computing

$

SAP Simple Finance

Economy & Finance

finance executives

finance processes

finance fi

finance organizations58

finance functionwill

finance information

finance run simplewe

advantage of sap hana