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Implementing SAP R/3

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Manning Publications Co.
209 Bruce Park Avenue
Greenwich, CT 06830

Implementing SAP R/3
Nancy Bancroft with Henning Seip and Andrea Sprengel

1997 | 334 pages
ISBN: 013889213X
  $46.00 Softbound print book Out of print (?)

Table of Contents

Permissions v

About the Authors xv

Preface to the Second Edition xvii

Preface to the First Edition xix

Who Should Read This Book xxi

Overview of This Book xxiii

Section 1 Approaching the R/3 Solution 1

Introduction 3

What Is SAP? 4

Description of R/3 5

Why Not Choose R/3? What Are the Risks? 5

Risk 1: 1980s Technology 6

Risk 2: Lack of Flexibility 8

Risk 3: Complexity 9

Risk 4: Possible Lack of Fit with Corporate Strategy 10

The Bottom Line 11

1 A Tour of the R/3 System 13

1.1 Key Components of SAP Software 14

1.2 One Database/One System 16

1.3 Client/Server in R/3 Applications 17

1.4 Basis Technology 22

The System Architecture 22

Systems Administration 25

1.5 R/3 System Features 27

The Data Repository 27

Tables 28

Business Workflow 29

Correction and Transport System 30

ABAP/4 Development Workbench 31

1.6 Overview of Modules 31

Financial Accounting 32

Human Resources 33

Manufacturing and Logistics 33

Sales and Distribution 34

2 Basics for Configuring the R/3 System, Training, and the UsersÕ Group 37

2.1 R/3 Basics: The Window 38

2.2 Online Help with Configuring the System 40

The Reference Model 41

The Procedure Model 43

The Implementation Management Guide (IMG) 47

2.3 Training 48

2.4 The UsersÕ Group 51

3 The R/3 Basis Technology 53

3.1 SAP R/3 System in Depth 54

Technical Architecture 54

Objects and the ABAP/4 Repository 55

3.2 System Administration 56

Computer Center Management System (CCMS) 57

Correction and Transport System (CTS) 60

User Maintenance 63

Application Data Archiving 64

Database Administration 65

3.3 ABAP/4 Workbench 66

ABAP/4 Repository 66

Application Hierarchy 68

The Object Browser 68

The Data Modeler 70

ABAP/4 Data Dictionary 71

ABAP/4 Programming Language and Editor 71

The Screen Painter 72

The Menu Painter 72

The Data Browser 73

Program Test Aids 73

4 Configuring SAP R/3 75

4.1 Configuration Concepts 76

4.2 The Client Data Structure 76

4.3 Architecture of SAP Applications 79

4.4 Tables and Data Types 81

Application Data 82

Configuration Data 83

4.5 Configurable Elements 85

Central Functions 85

Organizational Elements 86

Control Elements 90

Data Validation 92

System Control 92

4.6 Configuring an SAP Document 93

4.7 Working with Master Data 100

4.8 Working with Documents 104

4.9 Working with Reports 109

5 Plan for Reengineering 113

5.1 What Is Reengineering? 114

5.2 The Many Faces of Reengineering 115

5.3 Reengineering Process 119

5.4 The Case of HillÕs Pet Nutrition 120

5.5 The Role of Information Technology in Reengineering 122

When to ReengineerÑBefore, during, or after R/3? 123

IS and User Role Changes 126

IS Implementation Process 126

Implementation Skill Becomes a New, Distinct Competency 127

5.6 Reengineering Is Organizational Change 128

6 Implementation Guidelines for R/3 129

6.1 The Case of Battco 130

6.2 Nine Critical Success Factors 133

Understand Your Corporate Culture 134

Begin Process Changes First 134

Communicate 135

Provide Superior Championship 136

Ensure the Project Manager Is Capable 136

Choose a Balanced Team 137

Select a Good Methodology 138

Train Everyone 138

Commit to the Change 138

6.3 Unique Aspects of R/3 Project Management 140

R/3 is not a Silver Bullet 140

R/3 Does Not Support Loose Boundaries 140

Customize, DonÕt Modify 141

Be Sure You Fit within R/3 142

Training Is Only the Beginning 143

Visionary and Detail Focused 144

6.4 Implementation Time Frame 144

6.5 Implementation Approach Choices 145

6.6 Communicate to the User Organization 146

Section 2 Steps in the Process: Where Are the Pitfalls? 149

7 Phase 1: Focus 151

7.1 The Steering Committee 152

7.2 Identify R/3 Modules 154

7.3 The Project Leader 156

7.4 Structure the Project Teams 157

7.5 Integrate the Team Findings and Decisions 159

Integration Mechanisms 159

7.6 Set Objectives 161

7.7 Develop Guiding Principles 162

7.8 Develop a Detailed Project Plan 163

7.9 The Case of Agrium, Inc. 164

8 Phase 2: Create the As Is Picture 167

8.1 Analyze Current Business Processes 168

8.2 The Case of a Systems Integration Company 170

8.3 Map Business Processes into R/3 171

8.4 Identify Data and System Interfaces 172

8.5 Inventory Existing Hardware/Software 173

8.6 Install R/3 174

8.7 Begin Project Team Training 175

9 Phase 3: Create the To Be Design 177

9.1 Develop High-Level Design 178

9.2 The R/3 Hierarchy 179

9.3 Gain User Acceptance 180

9.4 Detailed Design 182

9.5 Scenarios, Scripts, and Tables 182

9.6 Iterative Prototyping Using Tables 184

9.7 User Communications 190

9.8 Gain Final Acceptance 190

9.9 The Case of a Semiconductor Company 191

9.10 The Case of a Products Distribution Company 192

10 Phase 4: Construction and Testing, and Phase 5: Actual Implementation 195

10.1 Develop a Comprehensive Configuration 196

10.2 Populate the Test Instance with Real Data 197

10.3 Build and Test Interface Programs 201

10.4 Write and Test Reports 201

10.5 Test the System 202

10.6 User Testing 203

10.7 The Case of Felix Schoeller, Osnabrueck, Germany 204

10.8 Phase 5: Actual Implementation 205

10.9 After Implementation 206

10.10 Moving into the Future 207

10.11 The Case of Chevron 208

10.12 The Case of Hydro Agri North America (HANA) 209

Section 3 Mitigating the Risk 213

11 Managing Change: The ÒPoliticalÓ Challenges 215

11.1 Why Companies Change 216

11.2 The Case of Monsanto 216

11.3 Key Principles of Change Management 219

Leadership Enrollment 219

Communications 220

Training 221

Organizational Roles and Structure 222

Performance Management 224

Management Practices 225

11.4 Change Management Learnings 225

11.5 Multinational Implementation Challenges 227

The Case of Digital Equipment Corporation 229

The Case of Samsung Heavy Industries 231

12 Team Formation and Development 233

12.1 The Essential Elements of Successful Teams 234

Choose the Right People 234

Provide Excellent Project Management 236

Establish Clear Goals 241

12.2 The Gap between Strategists and Implementers 241

12.3 Setting and Maintaining Expectations 243

12.4 Team Training 244

Section 4 Implications of the ÒNewÓ Technologies 247

13 Changes in User and IT Roles 249

13.1 The Four Challenges 250

Reduced Need for Development Programmers 251

Reliance on Complex Technological Architecture 252

Higher User Involvement 253

User Ownership of Data/System 254

13.2 Meeting the Four Challenges 254

13.3 The Case of NEC Technologies 256

14 Lessons Learned 259

14.1 The Case of Owens Corning 260

14.2 Summary of R/3 Implementation Issues 264

14.3 The Mature Installation 267

The Case of RTL Television 267

RTL and Its Relationship with SAP 270

Appendix A: Data Modeling Concepts 273

Appendix B: Content and Structure of the SAP Data Dictionary 277

Appendix C: The Development of ABAP/4 281

Appendix D: Relational Database Concepts 285

Bibliography 291

Glossary 293

Index 307

DESCRIPTION

SAP's R/3 is a robust integrated enterprise-wide system. Implementing SAP R/3 is a best seller that has significantly aided companies in meeting the challenges of implementing this complex package.

Implementing SAP R/3 focuses on the major implementation demands of R/3; issues faced by a project team in a highly complex technical, business and change management situation. It is based on an objective research study of over 30 companies that have implemented R/3. Nearly 100 people were interviewed, including executives, project managers, change management specialists, consultants in the "Big 6," and SAP employees.

To further aid the reader, the second edition has been enhanced by the addition of detailed technical information regarding the R/3 system. Two new chapters have been added: The R/3 System in Depth and Configuring SAP R/3. Understanding the system and knowing how to configure it are the concerns most often expressed by both buyers and potential SAP customers. The chapters are full of graphical examples of the concepts expressed.

In addition, material has been added throughout the book to provide greater understanding of the pitfalls that can arise when companies implement R/3. In particular, a number of international real-life examples have been added to the book in order to provide a global view of enterprise-wide systems and solutions.

Translation rights for Implementing SAP R/3 have been granted for India and Slovenia. If you are interested in learning where to buy this book in a language other than English, please inquire at your local bookseller.

ABOUT THE AUTHORS...

Nancy H. Bancroft is President of Bancroft, Brite & Associates, Inc., a consulting firm specializing in the human and organizational impact of technological change. She is recognized as an industry expert in the area of implementing enterprise-wide systems solutions and SAP in particular. Henning Seip is Chief Executive Officer/co-founder of The Consultants Network (TCN), New Canaan, Connecticut, a consulting firm providing post-implementation support to SAP's customers. Andrea Sprengel is President/co-founder of TCN with more than eight years of SAP software configuration and teaching experience.
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