next generation business architecture at basf · quick wins related to sap simplifications as far...

Next Generation Business Architecture

at BASF

The Internal Partner Engagement Design Phase

Dr.-Ing. Frank Jenner

17 October 2018

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► Internal

IPE in a Nutshell - An overview of Internal Partner Engagement

As an important part of the BASF Senior Project NGBA, IPE activates Internal Partners across all relevant entities and integrates

them in a series of workshops and other activities that help generate future value while safeguarding business continuity.

Tim

elin

eV

alu

e

Pu

rpo

se

Ap

pro

ach

What

✓ Nominate and integrate Internal Partners from OD, FU, Regions, Verbund in NGBA

✓ Engage them to prepare for new Enterprise Architecture

✓ Collect and cluster business needs, requirements and design principles

✓ Extract current needs to keep daily processes alive whilst preparing for conversion

✓ Focus on Must Dos, re-engineering of existing processes and design of new solutions

Why

Need for Next Generation Business Architecture based on current and

future needs of BASF, still supported after 2025. Shift from current platform

(R/3) to SAP S/4HANA technology with minimal risk while gaining benefits

along the journey together with all Internal Business Partners.

Key activities

❖ Engage Internal Partners through workshops series per E2E process & Enabling Topics

Short- and long-term benefits

IPE Design Phase

Collect and cluster

what we do before

and after conversion

Short-term: Must Dos, Clean Ups

Mid-term: Innovation topics, Go for Standard

Wo

rkin

g

Str

uctu

re BPTT

IPE Process Manager,

Process Owner, Enterprise

Architect, SAP Lead Architect,

DevOps, EY SME

IPE Coordinators

Coordination Functions

Coordination Businesses

Focal Points / Experts

Regional / Verbund

Site Coordinators

> Support validation of IPE

workshop results

> Involved in preparing IPE

workshops

❖ Collect and cluster business needs, elaborate use cases for quick wins

❖ Assess and prioritize Must Dos, Clean Ups, Go for Standard for SAP and major BASF satellite systems and Innovations


► Internal

During the IPE Design phase we worked towards a clear alignment on the roadmap for the IT adjustments considering all NGBA phases

2019 20202018 2021-24

Conversion

timeline

► Preparation for major

architectural changes by IPE

(CRM, planning, SCM and 3rd

party integration)

► Preparation for conversion and

demonstration of first new

functionalities by Design Phase

► Sequential realization of Must

Dos, Clean Up, Go for Standard

and Innovation

► Strong interaction between IPE

and IT adjustment team to

elaborate implementation

roadmap

Conclusion

IPE

IT a

dju

stm

en

ts

Overall

value

Must Do Must Dos due to SAP roadmapMust Dos Must Dos in S/4HANA

Clean Up Very limited Business driven Clean Up (e.g. Sales)Data & settings

Go for

StandardQuick wins related to SAP Simplifications As far as possible by SAP innovation

Innovation Quick wins (e.g. FIORI) Business driven innovationQuick wins

Timeline R/3 vs

S/4HANA

system

coding, redesignE.g. no/low used BASF

Satellite Transformation

Post Go-LiveConversionPreparation

Design Phase with elaboration of

IT adjustments, satellite systems and quick wins

BASF live in S/4HANA

Testing ofConversionS/4HANA

BASF live in R/3 and technical adjustments in R/3

1st focus at BASF and SAP 2nd focus at BASF and SAP 3rd focus at BASF and SAP


► Internal

Internal Partner Engagement covers the following 12 End-to-End Processes and 7 Enabling Topics

End-to-End Processes

► Market to Order

► Order to Cash

► Manufacturing

► Engineering & Maintenance

► Site Logistics

► Transport Management

► Planning

► Procure to Pay

► Book to Report

► Hire to Retire

► Non Conformance Management

► Research & Development

Enabling Topics

► Master Data

► Digital Customer Experience

► EH&S

► Reporting & Analytics

► Tax Operations

► Business Process Networks

► Cross Topics

Integrated to MTO

Covered by

several E2E

Processes

IPE Finance 2.0


► Internal

Detailed

design

Our IPE approach clusters different transformation needs and opportunities and applies ‘fit for purpose’ methods to drive solutions

Prepare and Rectify Innovate and Design Implement

Phase 3

Phase 4

Conversion

Process

mining

insights SAP S4

oppor-

tunities

Business

needs

Must

Dos

Adapt code

No change

Obsolete

Innovate

Re-engineer

Design

thinking

Use case

library

Showroom

Use

case library

Solution

sprint

Business

Validation

Sprint cycles/

business validation

Design

sprint

Business

Validation

Brown paper

workshops

High level

process design

Must Dos

RoadmapArchitecture

Clean

Ups

Inno-

vation

Go For

Standard


► Internal

The IPE Design approach brought to life - outtakes from an End-to-End Kick-Off Workshop


► Internal

The number of business needs collected by the end of the IPE Preparation Phase increased by 370%


► Internal

What the next six months at Internal Partner Engagement will look like

Q4 / 2018 Q1 / 2019

October November December January February March

Genera

l IP

E Preparation of Conversion

Process Adaptions

Satellite Conversion

Global Roadshow

Major MilestonesS/4HANA Releases

MTO

OTC

PL

MFG

SL

TM

NCM

E&M

BTR

HTR

PTP

R&D

EH&S

R&A

MDM

CT

Tax

Distribution Price InformationIndividual Dash Boards

Predictive Price

Aspire: Fast Track Topics

Others (Pricing, UI, ATP, R/M, DEL, etc.)Aspire: Other Strategic Requirements

Across ProcessKick.Off.Demand, Supply, Produc. Planning,

S&OP*

Yard ManagementWarehouse Management

Tech. Material Supply

Com. Bus. Spec. Bus.

Kickoff Asia

Requisitioner User Experience OptimizationSSC EnablementE2E Process Harmonization & Simplification (RM)

Enabling Package 1 - Large Capital Projects, Technical Expertise, TSS & TARM Enabling Package 2 – Init. WS Enabling Package 3 – Init. WS

NGBA @ Finance SP1

Data AnalysisData Maint. Workflows

ICTPInd. Tax

EU Sites Regions Regions

Go/NoGo Decision

(Quality Stage Gate)

Board Meeting

Approval Conversion

Detailed IT

Target Picture

Mobile Solutions

FillingInterface R&A Interface

EC

Kickoff S. A.Kickoff N.A Wrap Up Global

Digitalization & Collaboration

Working Sessions: Real-time Reporting / Embedded Analytics, Functional Improvements, Value Flow, etc.

KM2, AC, Plant St, EHS & Trade Control, PBG-RD-ART, Authorisation, QM, Lean SAP – will follow soon

will follow soon

will follow soon

will follow soon

Data & Rep. Governance Forecast, budgeting, simulation, adv. analyticsUnified Reporting Layer

Material Master Date ModelSAP MDG for Business PartnerSAP MDG for Financials

Tax Analytics

Global Tax Reporting Tool

Batch Handling Physical Regional Workshops

9 functional, conversion relevant Must Dos

1 functional, conversion relevant Must Do






4 functional, conversion relevant Must DosBasic Decisions Basic Decisions



► Internal

What we achieved so far covering all 19 global BASF End-to-End Processes and Enabling Topics

Outcomes Value created

We created a high level of Internal Partner Engagement

across functions and business while raising awareness for

NGBA across BASF

We collected and consolidated input from a variety of

business and functional sources to boost depth and breadth

for IPE Design Phase

We structured, clustered and validated topics together with

the business to enable a scoping of tangible work packages

for the IPE Design phase

We initiated and orchestrated cross-process and cross-BPTT

alignment to kick start collaborative efforts unrevealed by

prior BASF projects

We generated business excitement and the explicit desire to continue the in-depth collaboration on re-engineering and innovation topics

From 150 topic

library items to 562

to 2.078

From 229 BPTT

members to 813

From 34 planned

meetings to 109 IPE-related sessions

From 402 involved E2E

Kickoff participants to

1.414 session

participants

From 2 topic library input

sources to 25


► Internal

Contact me to find out more

Dr.-Ing. Frank Jenner

Global Chemical Leader

Willy-Brandt-Platz 5

68161 Mannheim

Tel: +49 621 4208 18000

Mobil: +49 172 9450920

[email protected]

EY | Assurance | Tax | Transactions | Advisory

Ernst & Young LLP

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next generation business architecture at basf · quick wins related to sap simplifications as far...

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