Upgrades and Enhancement Packs Explained

SAP Live and Local Webcast Tour ‘08

3 April, 2008

© SAP 2008 / Page 2

Plan Build Run

Upgrade DiscoveryUpgrade Discovery Upgrade ImplementationUpgrade ImplementationUpgrade

EvaluationUpgrade

Evaluation

Operations &Continuous

Improvement

Operations &Continuous

Improvement

Upgrade Project completed

Upgrade Project started

Define Business and IT requirements

Definestrategy

Minimize costs and risks of Upgrade Project

Upgrade Roadmap

ProjectPreparationProject

Preparation RealizationRealization Final Preparation for Cutover

Final Preparation for Cutover

Production Cutover &Support

Production Cutover &Support

BlueprintBlueprint

Document current solution and set-up

project

Specify implementation scope and solution adjustment needs

Implement and adjust solution

Perform integration and system tests and plan cutover

Execute production system Upgrade &

Support

Upgrade Roadmap

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Upgrade Approaches

Strategic Business Improvement Focus on functionality extension and

improvement

Enablement of new and optimized business processes and scenarios based on new ERP core functionality

Functional Upgrade New functionality to be implemented as part of

the upgrade, modification clearing

Focus on reduction of system complexity

Technical Upgrade Focus on pure technology upgrade

Retain functionality used

Review Usage of custom developments

3

2

1

Possible Upgrade Approaches

Time

Valu

e

Starting Point

1

2

3

Recommendations:• Create and evaluate your own upgrade roadmap, considering the whole spectrum• Define business justification first but start small with the technical upgrade only

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Upgrade Info Center

• Value of Upgrade

• Functional Deltas in Detail

• SAP ERP Upgrade Aspects

• Upgrade Master Guides

• SAP Upgrade Offerings

Direct access to:

• SAP Upgrade Roadmap

• SAP Upgrade Services

• SAP ERP Solution Browser

• Projects statistics (Upgrade Experience DB)

• Product Availability Matrix

Key documents:

www.service.sap.com/upgrade

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Upgrade Experience Database

SAP AG 2007, Upgrade Experiences in Upgrade Projects to SAP ECC 6.0 / 14

Reasons for Upgrades by Source Release

Main reasons for upgrades to SAP ECC 6.0Source release: SAP R/3 Enterprise

0% 25% 50% 75% 100%

Others

Reduce total cost of ownership

Integration of industry solutions

Improve usability of existing solution

Leverage latest technology

Legacy system replacement

End of mainstream / extended maintenance

Technical requirements *

Need of new functionality

based on 15 upgrades

SourceRelease

SAP R/3Enterprise

Question asked:“What was the main motivation for your upgrade project?”(Reasons could be selected from a drop-down list as well as individual reasons could be mentioned (reason others))

How to read the charts:The shown reason categories correspond to the drop-down list in the questionnaire.As more than one reason could be selected per upgrade, the different reason categories may not add up to 100%. The results for each reason category are standardized to the number of upgrades of the given sample. Example: 50% per reason = the reason was selected in every second upgraded project.

Conclusion/findings: (top three reasons)

SAP R/3 Enterprise: The “Need of new functionality” provided with SAP ECC 6.0 is named as a reason for the upgrade in nearly every second upgrade project. “Technical requirements”is the most often selected reason. And “Leveraging the latest technology” with the upgrade is an important reason in about 50% of the measured upgrades.

SAP R/3 4.6C: Similar to the findings in upgrades with source release SAP R/3 Enterprise, the “Need of new functionality”provided with SAP ECC 6.0 is a reason in every second upgrade project. “Technical requirements” is named as important reason in 1/3 of the measured upgrade projects. “End of mainstream/extended maintenance” is the most often selected reason.

Main reasons for upgrades to SAP ECC 6.0Source release: SAP R/3 4.6C

0% 25% 50% 75% 100%

Others

Reduce total cost of ownership

Integration of industry solutions

Improve usability of existing solution

Leverage latest technology

Legacy system replacement

End of mainstream / extended maintenance

Technical requirements *

Need of new functionality

based on 39 upgrades

SAP R/34.6C

* Annotation:Examples for technical requirements: aim to have all SAP software in use on the same release level, technical infrastructure, etc.

SAP AG 2007, Upgrade Experiences in Upgrade Projects to SAP ECC 6.0 / 13

Approach in Upgrades by Source Release

Approach in upgrade projectSource Release: SAP R/3 Enterprise Target release: SAP ECC 6.0

13% 87%

based on 15 upgrades

Technical UpgradeUpgrade with deploymentof new funcitonality

SAP R/34.6C

SourceRelease

How to read the charts:This diagram shows the approach in the upgrade projects

Question asked:“Please specify the upgrade type of your upgrade project”

Annotation:Technical Upgrade: Upgrade of currently used SAP software without applying new functionality during the upgrade project.

Upgrade with deployment of new functionality: Upgrade ofcurrently used SAP software, with new functionality added duringthe upgrade project.

Conclusion/findings:

Most upgrade projects to SAP ECC 6.0 were performed using the upgrade approach “Technical Upgrade.”

On the other hand, the diagrams on the next page indicate that the need for new functionality that is provided with SAP ECC 6.0 is one of the main reasons to upgrade. This is in accordance with the experiences of other SAP Upgrade projects and in agreement with SAP recommendations. A “Technical Upgrade” upgrade approach is the preferred project type in a first step (except “low-hanging fruits”), whereas new functionality is deployed in a second step.

SAP R/3Enterprise

Approach in upgrade projectSource Releaes: SAP R/3 4.6C Target release: SAP ECC 6.0

3% 97%

based on 38 upgrades

Technical UpgradeUpgrade with deploymentof new functionality

SAP AG 2007, Upgrade Experiences in Upgrade Projects to SAP ECC 6.0 / 17

Project Duration in Months by Source Release

Project duration in monthsSource release: SAP R/3 Enterprise Target release: SAP ECC 6.0

0 1 2 3 4 5 6 7 8 9 10 11 12Months

Max: 6,6Min: 1,9

based on 15 upgrades

Median: 4,0

Project duration in monthsSource release: SAP R/3 4.6C Target release: SAP ECC 6.0

0 1 2 3 4 5 6 7 8 9 10 11 12Months

Max: 6,6

Median: 5,0

Min: 3,0

based on 39 upgrades

SourceRelease

Question asked:“Please specify the duration of your upgrade project up to the initial go-live (in months).”

How to read the charts:To avoid distorting the results, 10% of the measured numbers on the left hand side of the distribution and 10% of the measured numbers on the right hand side of the distribution were cut off. Per sample, 80% of the collected data is represented by the indicated range.

Median = In a given sample, 50% of all measured numbers are less than or equal to the median, and 50% of all measured numbers are greater than or equal to the median. In symmetric distributions, the median is located in the middle of the distribution.

Conclusion/findings:

SAP R/3 Enterprise, SAP R/3 4.6C: Upgrades with source releases SAP R/3 Enterprise and SAP R/3 4.6C show similar results with a trend to slightly shorter project durations for upgrade projects with source release SAP R/3 Enterprise. But more statistics are needed to prove this trend.

SAP R/34.6C

SAP R/3Enterprise

SAP AG 2007, Upgrade Experiences in Upgrade Projects to SAP ECC 6.0 / 18

Business Downtime* in Hours

Business downtime* in hoursSource release: SAP R/3 Enterprise Target release: SAP ECC 6.0Upgrade strategy = downtime minimized, w/o Unicode conversion

0 20 40 60 80 100 120Hours

Max: 65,0Min: 20,0

Median: 34,0

based on 11 upgrades

Business downtime* in hoursSource release: SAP R/3 4.6C Target release: SAP ECC 6.0Upgrade strategy = downtime minimized, w/o Unicode conversion

0 20 40 60 80 100 120Hours

Max: 84,0Min: 31,2

based on 23 upgrades

Median: 48,0

SourceRelease Question asked:

“Please specify how many hours the solution was unavailable for your end users. Even if your upgrade was finished over theweekend, please specify how many hours the solution would have been unavailable for end users in total.”

How to read the charts:To avoid distorting the results, 10% of the measured numbers on the left hand side of the distribution and 10% of the measured numbers on the right hand side of the distribution are cut off. Per sample, 80% of the collected data is represented by the indicated range.

Median = in a given sample, 50% of all measured numbers are less or equal to the median, and 50% of all measured numbers are greater or equal to the median. In symmetric distributions, the median is located in the middle of the distribution.

Only upgrades that followed the “Downtime minimized“ upgrade strategy were taken into account. No Unicode conversion was performed.

Conclusion/findings:The business downtime was <= 48 hours (2 days)

SAP R/3 Enterprise: for 64% of all measured upgrade projects

(for 82% <= 60 hours)

SAP R/3 4.6C: for 61% of all measured upgrade projects

(for 74% <= 60 hours)

* Annotation:Business downtime = total time (planned and unplanned) that the system/solution is not available for end users. This includes the technical downtime plus the time necessary for the data backup, final tests, etc., before the productive environment is released for end users.

SAP R/34.6C

SAP R/3Enterprise

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Upgrade Roadmap - Guide

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Discover: The Solution Browser

Assess the value of upgrading by comparing functionality

enhancements between your existing solution and your desired target

releases

Activities

Discover new capabilities across different releases andenhancement packages

Filter new capabilities according to a dedicated source and target release

Benefits

Get to know all the delta functionality R/3 – ERP releases and new Enhancement Packages (EhP)

Fast identification of capabilities

© SAP 2008 / Page 8

Enhancement Packages

SAP ERP 6.0

SAP NetWeaver

2006 2008 2010 2012+

Enhancement Packages

SAP ERP Release Strategy

What Are Enhancement Packages?

Optionally installed and activated software innovations for SAP ERP 6.0

Software innovations include; UI simplifications, functional enhancements, industry specific capabilities and enterprise services

Cumulative in nature; current enhancement packages contain all contents of earlier packages

Enhancement packages are not support packages

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Enhancement Packages

Legal/Tax Changes, Corrections

Enhancement Packages

Support Packages

New/Improved Functionality

Switch Framework

Enterprise Services

Man-datory

Optional

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Discover the Concept Basic Materials for Getting Started

What IT professionals must know about SAP Enhancement Packages

SAP Enhancement Packages - Frequently Asked Questions

Lifecycle of SAP Enhancement Packages

SAP Enhancement Packages – Technology Facts

SAP Enhancement Package Strategy for SAP ERP

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Enhancement Packages - Doco

http:/service.sap.com/erp-ehp

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Typical Look of an ‘At-A-Glance’ PresentationExample

Generic Innovations (1-slider) Innovations Industry Sector 1 (1-slider)

Innovations Industry Sector 2 (1-slider) Enterprise Service Bundles (1-slider)

© SAP 2008 / Page 13

SAP Service Marketplace

SAP ERP

Homepage: http://service.sap.com/erp

Development News: http://service.sap.com/developmentnews

Release Notes: http://service.sap.com/releasenotes

Release Strategy: http://service.sap.com/releasestrategy

Maintenance Strategy: http://service.sap.com/maintenance

Enhancement Packages: http://service.sap.com/erp-ehp

Upgrade info centre: http://service.sap.com/upgrade

SAP Netweaver:

Homepage: http://service.sap.com/netweaver

Netweaver Administrator: http://service.sap.com/nwa

System Landscape Directory: http://service.sap.com/sld

Software Lifecycle Manager: http://service.sap.com/slm

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Questions?

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Our offer to you

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Free Quick Upgrade Analysis

Book in before 30th April to secure your Analysis

peter.dee@sap.com

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