Delivering Real-Time Business Value for Professional Services

Delivering Real-Time Business Value
for Professional Services
SAP Business Suite Powered by SAP HANA
July 2013 Public

© 2013 SAP AG or an SAP affiliate company. All rights reserved. 2Public
To grow profitably, professional services firms must
align every aspect of their operations to deliver
consistent quality and high-value services to their
clients
 Increase client satisfaction and retention
 Have the right people on the right projects at the right time
 Deliver quality services globally with a repeatable process
The real-time opportunity

Innovate and
optimize solutions
tailored for your
customers
 Instant analysis of customer behavior and market
trends
 Tailored solutions for customers based on real-time
detailed data
 Complete customer insight in real time
Deliver efficient
and profitable
projects and
services
 Early insight into deviations and risks, enabling timely
corrective measures and improved resource
productivity
 Real-time analysis and simulation functionalities for
headcount, organizational management, and time
management
Market
differentiation
through superior
customer service
 Real-time monitoring of service operations, service
levels, and field resource utilization
 Better customer service with faster routing of high-
volume inbound communications to the best resource
Deliver exceptional client value profitably
Align business operations with customer needs

SAP Business Suite powered by SAP HANA
The next-generation business platform
Real-time business
In-memory
Business
transactions
Digital
connections
Collaborative
business
CloudSocial
Big DataMobile
One platform bringing it all together
Advanced
analytics

Industry value map for professional services
SAP solutions that deliver client value and grow revenue
Talent Supply Chain
Talent Management
Core Human Resources and Payroll
Workforce Planning and Analytics
Business Development and Sales
Segmentation and Campaign Management
Client and Opportunity Management
Bid and Proposal Management
Project-Based and Managed Services
Delivery
Engagement Management (Time and
Expense, Controlling, and Billing)
Project Management
Resource Management
Contract Management (Time and Expense,
Controlling, and Services Centric Billing)
Finance
Financial
Performance
Management
Accounting and
Financial Close
Treasury and Financial
Risk Management
Travel Management
Enterprise Risk
and Compliance
Management
Procurement
Supplier Discovery and
Lifecycle Management
Strategic Sourcing and
Contracting
Procurement and
Order Collaboration
Collaborative Invoice
to Pay
IT Management
Application Lifecycle
Management
IT Infrastructure
Management
IT Portfolio and Project
Management
IT Service
Management
IT Strategy and
Governance
Contact Center
Customer Service and Support Management
Technology
Solutions
Analytics Consumer ExperienceData Management Enterprise Mobility
SAP HANA Platform
Application Develop-
ment and Integration

Industry value map for professional services
Real-time value for key end-to-end processes
Talent Supply Chain
Talent Management
Core Human Resources and Payroll
Workforce Planning and Analytics
Business Development and Sales
Segmentation and Campaign Management
Client and Opportunity Management
Bid and Proposal Management
Project-Based and Managed Services
Delivery
Engagement Management (Time and
Expense, Controlling, and Billing)
Project Management
Resource Management
Contract Management (Time and Expense,
Controlling, and Services Centric Billing)
Finance
Financial
Performance
Management
Accounting and
Financial Close
Treasury and Financial
Risk Management
Travel Management
Enterprise Risk
and Compliance
Management
Procurement
Supplier Discovery and
Lifecycle Management
Strategic Sourcing and
Contracting
Procurement and
Order Collaboration
Collaborative Invoice
to Pay
IT Management
Application Lifecycle
Management
IT Infrastructure
Management
IT Portfolio and Project
Management
IT Service
Management
IT Strategy and
Governance
Contact Center
Customer Service and Support Management
Technology
Solutions
Analytics Consumer ExperienceData Management Enterprise Mobility
SAP HANA Platform
Application Develop-
ment and Integration
Highest real-time
business value for
professional services
5
3
4
1
2 6

Today
KPI improvements are high-level estimates and will have to be validated for each customer situation.
Engagement management (1/2)
Business value for portfolio and project management
 Time consuming analysis and
progress monitoring of projects
 Poor resource productivity and
project profitability
 Impossible to monitor all aspects of a
project due to high volume of data and
detached analytics
 Project progress monitoring is not
sufficient or holistic enough to support
decision processes
 Deviations in costs, time, resources,
or quality are detected too late in the
process
 Decisions to mitigate risks and
opportunity costs are taken too late
 Improved run time of aggregated
project monitoring reports
 New project line item reporting
delivering faster insights
 Real-time access to large volumes of
data
 On-the-fly analysis, calculation, and
decision making
 Early insight into deviations and risks,
enabling timely corrective measures
Increase
user productivity and
end-to-end process
efficiency by
10%
Improve
Reduce
transparency of
project-related
resources by
20%
project failure
With SAP Business Suite
on SAP HANA

Today
Engagement management (2/2)
Business value for time and attendance management
on SAP HANA
 Responses to ad hoc inquiries from
management about trends of high-
volume payroll information causes
significant costs to HR IT.
 Business users have a very limited
ability to analyze payroll results.
 Addressing employee inquiries about
payroll is time-consuming and
expensive, and HR is under pressure
to increase the quality of service
provided to employees and to lower
the costs of providing those services.
 Free HR IT resources focus on the
execution of organizational strategic
tasks
 Leverage thresholds as a steering
mechanism to optimize business
performance
 Simplify payroll data analysis with
optimized representation of data
 Slash time needed to access and
analyze critical payroll information with
SAP HANA-based high-speed read
access
 Increase employee productivity and
satisfaction with faster response
times to employees
Increase
productivity of users
responsible for time
management by
5%
Improve
Reduce
employee
satisfaction
overall costs of
time processing

Today
Financial performance management (1/2)
Business value for financial and managerial reporting
 A lot of data; decision-relevant
information not readily available
 Data analysis not supported or
automated
 Long-running batch jobs/reports
 Time-intensive data analysis
 Large number of time-consuming,
and non-value-added processes
required to access and provide
accurate, up-to-date information
 Real-time availability of key
operational and financial reports
 Increased end-user satisfaction
(accurate, detailed, visualized, timely,
and actionable information)
 Acceleration of key critical-path
processes and reports
 Instant response time on most data
analysis queries
 Elimination of workarounds and data
latencies
 End user data analysis through self-
service means
Improve
service level
performance
Reduce
Minimize
month-end
closing time by
50%
operating costs
on SAP HANA

Today
Financial performance management (2/2)
Business value for planning, budgeting, and forecasting
on SAP HANA
 Planning performance limited to
OLAP, staged cubes for transactional
and master data
 Data load performance is driven by
the amount of data extracted from
SAP Business Suite
 Reporting, loading, and retraction
performance limits planning iterations
 Drilldown within OLAP cube, and
drill-through to SAP Business Suite
and OLTP data within standard times
 Seamless replication of master and
transactional data from SAP
Business Suite
 Availability of more granular data to
support planning
 Big Data challenge is negated, and
allows for faster extract and DSO
activation times
 Iterative planning and real-time
simulation are supported through
improved performance
 Improved performance for drilldown
(expand) and consolidation
(collapse)
 Fast drill-through and live view of
transactional data in SAP Business
Suite
Improve
service-level
performance
Reduce
Minimize
cycle times and
manual effort
operating costs

Today
Contact center
Business value for contact management with interaction center
on SAP HANA
 To successfully resolve customer
issues, companies need to be able to
quickly locate the right experts or
resources within the organization,
whether those experts work inside
the contact center or elsewhere
 Managers and supervisors lack
actionable reporting and visibility into
the workload of their teams.
 The high volume of customer records
and interactions results in increased
search times and greater difficulty
locating specific customer records.
Decrease
average handling
time by
4%
Improve
Reduce
service-level
agreement
compliance
service cost
 With the new SAP HANA-based
agent inbox, users can more easily
search for relevant experts – whether
in their own team or elsewhere in the
organization – in order to dispatch/
escalate issues to the most suitable
employee roles.
 A new interactive work distribution
dashboard provides supervisors with
actionable insights into the workload
of their teams and employees.
 Searches in the interaction center are
significantly faster, including account
searches, interaction history, and the
customer fact sheet.

Today
Client and opportunity management
Business value for sales
 Difficult to identify profitable
customers within the customer pool
 Inability to identify gaps in sales
pipeline, leading to missed targets
 Difficult to extract actionable
information from the enterprise-wide
customer data to maximize the chance
of a sale
 Minimal insight into buying preferences
of customers in social data context
 Easy identification of profitable
customers with account intelligence
analytics
 Faster transaction search capabilities
 Complete transparency into sales
pipeline based on real-time
information with unlimited drill-down
capabilities
 Real-time analysis of Big Data to
better understand buying patterns
 Real-time access and assembly of all
data including social/sales data
Increase
profitability by
0.5%
Increase
Improve
In-pipeline target
achievement
offer win rate by
10%
on SAP HANA

Today
Workforce planning and analytics
Business value for HR transactional analytics
* Visualizations will be delivered as part of HR renewal.
on SAP HANA
 Translation of organizational strategy
into HR metrics requires significant
effort or special expertise
 Decisions are often based on
hunches
 Difficult to zero-in on underlying
transactions from high-level key
performance indicators
 Time consuming data loads in
traditional reporting tools
 Integrated and personalized cockpits
that provide insight into metrics that
matter most*
 Leverage thresholds as a steering
mechanism to optimize business
performance*
 Powerful predefined workforce and
time management-related KPIs for
managers with the ability to navigate
into details
 Embedded analytics inside business
transactions
 Prebuilt virtual data models for
real-time transactional analytics
 Simplified architecture
Increase
revenue per employee
by
5%
Optimize
Reduce
your business with
reliable real-time
HR data
time and costs of
operational reporting
by
20%

Today
Accounting and financial close
Business value for entity close
Reduce
time to close the
entities’ books by
50%
Enhance
cost of finance
compliance and
accuracy
on SAP HANA
 Long-running processes
 Time-intensive reconciliations
 Limited time for analysis
 Inefficiencies as a result of manual
processes and low automation
 Lack of financial excellence
resulting in higher cost of equity
at the capital markets
 Difficulties in supporting parallel
financial reporting standards on a
global basis and in simulation of
scenarios
 More time for analysis, less overtime,
and earlier publishing of financial
results through faster
period-end processes and better
reconciliations
 Increased efficiency through smarter
reconciliations and reporting,
reducing operating costs and
improving stakeholder satisfaction
 Real-time analytics down to the
lowest level of detail – delivering
quality at source, transparency, and
process efficiencies
Reduce

Next step
Business scenario recommendation and value discovery workshop
 SAP offers a proven methodology and approach to
discover the customer-specific business
improvement areas and quantify value potential.
 We suggest such a workshop with your
line-of-business and IT experts.
 As starting point, we recommend a performance
and usage analysis of your current software
system.

Customer case
U.S. professional
services firm
• SAP HANA applications and SAP
Business Suite on SAP HANA
• Automated reporting
• Engagement profitability optimization
• Customer intelligence
• Spend analysis
• Audit automation
• Forensic accounting
Annual
benefit
$13M-$26M

© 2013 SAP AG or an SAP affiliate company. All rights reserved.
Thank you
Contact Information:
Jonathan Rhodes
Solution Manager
IBU Professional Services
Jonathan.Rhodes@sap.com

© 2013 SAP AG or an SAP affiliate company. All rights reserved.
Appendix
with detailed customer cases

SAP HANA Use Cases
Feasibility
BusinessvalueLowerHigher
Low High
ERP operational reporting
Real-time engagement
reporting
Engagement profitability
($1.3M-$2.6M)
Customer segmentation
($0.7M-$1.4M)
Customer intelligence
($0.8M-$1.2M)
Cash and liquidity
management
Financial reporting
Workforce and talent
analytics
Spend analysis
($2.5M-$5.0M)
Expense analysis
Partner contribution
analysis ($3.6M-$7.2M)Client audit automation
($2.5M-$5.1M)
Forensic accounting
($1.5M-$3.1M)
Customer case: U.S. professional services
Summary validated scenarios
SAP Business
Suite on
SAP HANA
SAP HANA
applications
SAP HANA
Platform
Legend

Feasibility
BusinessvalueLowHigh
Low High
Customer case: U.S. professional services
Engagement profitability
($1.3M-$2.6M)
Customer segmentation
($0.7M-$1.4M)
Customer intelligence
($0.8M-$1.2M)
Spend analysis
($2.5M-$5.0M)
Partner contribution
analysis ($3.6M-$7.2M)Client audit automation
($2.5M-$5.1M)
Forensic accounting
($1.5M-$3.1M)
SAP Business
Suite on
SAP HANA
SAP HANA
applications
SAP HANA
Platform
Legend
1 Revenue/ margin enhancement
Partner contribution: Increased transparency
drives profit
Engagement profitability: Analysis of the drivers
of profitability across the firm as a means to
improve its operating profit margin
Customer intelligence/segmentation: Improved
cross-sell and up-sell opportunities,
and improved overall sales pipeline and
opportunity management
2 Cost reduction
Spend analysis: Improved active spend
management and prevention of unapproved spend
Elimination of data marts and ETL processes:
FTE reduction
3 New client services
Client audit automation/ forensic accounting:
Additional revenue from new service lines
Other functions – To be discussed in future
discovery workshops
Annual revenue: US$11.3 billion
SAP HANA use cases mapped to
industry value map end-to-end solutions

Customer case: European IT service provider/
Feasibility
Low High
Improve cash flow
by reducing DSO
(0.21% of revenue)
Accelerated project
margin analysis
(0.15% of revenue)
SAP Business
Suite on
SAP HANA
SAP HANA
applications
SAP HANA
platform
SAP HANA platform: customer-specific
SAP HANA products: SAP NetWeaver BW on
SAP HANA, high-performance applications (HPAs),
apps powered by SAP HANA
SAP Business Suite on SAP HANA
Scenario
(business value)
Phase ‒ deployment road map
1 Short term
Accelerated project margin analysis:
Identify deviations from targets and areas to
increase the operating margin
Improve cash flow by reducing DSO:
Leverage accelerated and real-time analysis on
DSO and cash flows
2 Medium term
3 In evaluation
discovery workshops
Legend

Note: Use cases in the global use case repository are captured directly from customers and internal SAP innovation
sessions and may not be completely validated.
Innovation scope
SAP HANA products (HPAs, apps)
E2E solution
Professional services - engagement
management (time and expense, controlling
and billing)
Value potential 4
Feasibility 4
European IT service provider
– accelerated project margin analysis
Professional services
Business context and goals
This firm has a lower margin than its competitors. The group has the objective to improve its operating
margin rate to around 7.5 % of revenue compared to 6.6 % in 2012. To meet that challenges it launched
two strategic initiatives: (1) Improve operational efficiency and reduce costs to achieve better margin; (2)
Improve offering portfolio and get larger deals.
Business challenges
This service provider is using its business intelligence tool based on SAP NetWeaver BW to analyze
project margin and faces the following issues: (1) Lengthy reports, especially for consolidated views (up
to 20 minutes wait time); (2) Slow drill-downs, especially for profitability reporting, which is critical; (3)
Users in need of more flexibility and agility for report creation; (4) System slowdowns for countries in
different time zones than Europe when the BI software is updated; (5) High IT effort to optimize and fine-
tune performance (for example, create other reports).
Process innovations
Real time and accelerated reporting especially for critical reports :
 Profitability analysis, finance (closing, payroll)
 Resource management (plan vs. actual utilization, consultant availability)
 System integration monthly review
 Mobile BI for management: enable analysis and decision making anytime, anywhere
Contribution of SAP HANA Value drivers/KPIs
 Acceleration of reports
 Ability to drill down to find causes
 Near real-time analysis to improve decision making
 Create an IT scalable platform
 Operating margin
Low High
1 5
Low High
1 5

Innovation scope
E2E solution
Professional services - treasury and financial
risk management
Value potential 5
Feasibility 5
Low High
1 5
Low High
1 5
This firm has a lower margin than its competitors. The group has the objective to improve its operating
margin rate to around 7.5 % of revenue compared to 6.6% in 2012. To meet that challenge it launched
two strategic initiatives: (1) Improve operational efficiency and reduce costs to achieve better margin.
(2) Improve offering portfolio and get larger deals
Business challenges
It is using its business intelligence tool based on SAP NetWeaver BW to analyze project margin and is
facing the following issues :
 Lengthy reports especially for consolidated views (up to 20 minutes wait time)
 Slow drill-downs, especially for profitability reporting ,which is critical
 Users in need of more flexibility and agility for reports creation
 System slowdowns for countries in different time zones than Europe when the BI software is updated
 High IT effort to optimize and fine-tune performance (for example, create other reports)
Process innovations
Real-time and accelerated reporting especially for critical reports:
 Profitability analysis
 Finance (closing, payroll)
 Resource management (plan vs. actual utilization, consultant availability)
 System integration monthly review
 Mobile BI for management: enable analysis and decision making anytime, anywhere
Contribution of SAP HANA Value drivers/KPIs
 Ability to drill down to find causes
 Near real-time analysis to improve decision making
 Create an IT scalable platform
 DSO
Technology services
– free cash flow by reducing DSO

Customer case: IT service provider in APJ/
Feasibility
Low High
Development of new
service called rapid
migration services
(0.43% of revenue)
SAP HANA + BI for
optimizing HR and
CRM analytics
(0.15% of revenue)
SAP Business
Suite on
SAP HANA
SAP HANA
Applications
SAP HANA
platform
Scenario
(business value)
Phase ‒ deployment road map
1 Short term
New rapid migration services: Services contain
SAP NetWeaver BW3.x upgrade, RDB migration
to SAP HANA, and new application to improve
usability and higher insight enabled by BI or
predictive analysis
Talent supply chain: SAP HANA/BI use cases
around HR (recruitment, resource management)
2 Medium term
3 In evaluation
discovery workshops
Legend

Innovation scope
SAP HANA platform (customer specific)
E2E solution
Professional services - talent management
Value potential 4
Feasibility 4
Low High
1 5
Low High
1 5
IT service provider
– SAP HANA and BI for optimizing HR and CRM analytics
 Need for building an enterprise-wide BI platform to significantly improve operational and strategic
reporting across hire-to-retire and opportunity-to-remittance processes
Business challenges
 Hire-to-retire: High latency for operational reporting (for example, recruitment); absence of predictive
and what-if analytics in PA, compensation and payroll; real-time reporting needed in employee
lifecycle management (ELCM); Weblog and keyword search required for skills management;
standard HR reporting (leave, payroll, and so on) is not available. Opportunity-to-remittance: Demand
supply matching cost allocations
Process innovations
 Enable real-time operational reporting for HCM; adopt solutions for predictive analytics; enable real-
time reporting for ELCM process; adopt advanced search tools for keyword and log searches; unlock
standard reporting for hire-to-retire; single reporting source across the enterprise; single BI platform
across the enterprise; enterprise-wide real-time operational reporting
Contribution of SAP HANA
 Fast reporting access on all SAP NetWeaver BW data; leverage real-time replication to get up-to-the-
minute insight; planning performs calculations in-memory; loading performance pushed into SAP
HANA natively; no indexes, statistics, or DBA maintenance required; flexibly remodel cubes quickly
and reduce materialized layers
Value drivers/KPIs
 Hire-to-retire: Reduce end-to-end hiring cycle time; reduce bench buffer; improve recruitment team
productivity; improve compensation team productivity; improve leave-and-payroll team productivity;
reduce data storage and maintenance cost
Opportunity-to-remittance: Gain additional revenue from improvement in lead conversion ratio; reduce
marketing spend; improve productivity of cost allocation team

Innovation scope
E2E solution
Professional services - SAP HANA platform
Value potential 4
Feasibility 4
Low High
1 5
Low High
1 5
IT services provider – development of SAP HANA-related
rapid migration services
 Renovation of invested SAP NetWeaver BW and SAP ERP software system (customer's view);
addition of attractive new service line (company view)
Business challenges
 This firm has much experience and expertise, especially in SAP NetWeaver BW. Target is to get
more utilization and to enrich their service portfolio for upsell and cross sell purposes.
Process innovations
 This firm is under post-merger integration. It plans to combine two accounting systems and
business performance analysis into a new software system based on SAP NetWeaver BW. This
internal project will be done as a trial rapid migration. The company will then take the lessons
learned from this internal experience and use the knowledge in the external selling process.
 The company will try to adopt SAP Business Suite on SAP HANA and other SAP software to
improve business performance analysis. As a next step, it will adapt its own industry-specific
solution for the automotive industry or for mega-sized trading companies to realize systems with
no boundary between OLTP and OLAP.
Value drivers/KPIs
 Increase revenue by obtaining new service contracts from existing customers or by gaining new
customers

Customer case: service provider in APJ/
Feasibility
BusinessValueLowHigh
Low High
Resource planning
(€2.9 million)
Billing
management
(€2.69 million)
Sales reporting
(€3.12 million)
Legend
SAP Business
Suite on
SAP HANA
SAP HANA
applications
SAP HANA
platform
Phase - deployment road map
Annual revenue: €750 million
1 Short term
Resource planning: Improve remote use of
internal resources (particularly new-through-
acquisition resources); improve use of local internal
resources and reduce domestic and international
travel
Billing management: Automate billing, prompts for
hours near limits, blocks on charging to large jobs,
workflow on extensions, automated dunning on
overdue accounts; reduce domestic and international
travel by using local resources
Sales reporting: Reporting on wins and losses
by job type and industry)
2 Medium term
3 In evaluation
discovery workshops
Scenario
(business value)

Service provider in APJ
– workforce planning and analytics
Innovation scope
E2E solution
Value potential 4
Feasibility 4
Low High
1 5
Low High
1 5
 Improve remote use of internal resources (particularly new-through-acquisition resources), improve
use of local internal resources and reduce domestic and international travel
Business challenges
 Visibility and sharing of internal resources between operating centers
Process innovations
 Provide visibility into resource availability at time of job setup ‒ in operating center, in region, and
globally ‒ by skill; reduce use of subcontractor resources when internal resources are available.
 Transparency in resource utilization across regions and business units in real time
Value drivers/KPIs
 Global visibility of resource and skill availability
 Hours and salaries saved

Service provider in APJ
– client and opportunity management
Innovation scope
E2E solution
Value potential 4
Feasibility 4
Low High
1 5
Low High
1 5
 Job managers are tied up with routine jobs instead of focusing on margin and quality improvement
Business challenges
 Time-consuming and partly manual process for completion of billing and job extensions by job
managers
Process innovations
 Automate billing, prompts for hours near limits, blocks on charging to large jobs, workflow on
extensions, dunning on overdue accounts
Value drivers/KPIs
 Reduce job manager administration time for billing and extensions
 Hours and salaries saved

Delivering Real-Time Business Value for Professional Services

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