Old
methodologies were never designed for large data volumes. Manual modeling or
optimizing of ABAP transforms cannot handle big data. Automation with a
Business Value Attainment focus is the only path to assure Business Benefits.
The chart on the left indicates that despite IT and business lowering their expectations from BI projects, Gartner reports that the 'Meet Business Expectations' score is dropping more rapidly. We now need to demand 80% and over Business User Satisfaction from our partners.
Level the playing field
Fact 1- Business Value
Attainment: See figure above. If we look as Gartner’s CIO BI reports from
2003 to 2012 we are faced with a strange trend. In 2003 customers expected a
lot from their BI investments but only 50% of BI projects met Business
Expectations. By 2012 IT and business somehow were convinced to lower their
expectations and the result was a worse Value attainment. From 2003 to 2012-14
BI projects capability to meet business expectations went down from under 50%
to under 30%.
Fact 2- HANA is a
business solution: Most customers continue to treat BW on HANA migration just like
another technical upgrade or migration. It is critical to mandate HANA as a
strategic business solution. HANA can deliver ‘Time to Information’ in 20-25
weeks as never before. Most companies have simply taken their BW environment ‘As-Is’
and simply migrated it to SAP HANA. Take Fact 1 statistics and we need to
realize that these customers will be hit with a double whammy after go live. On
one hand they will migrate a lot of junk data and objects into HANA. On the
other side someone needs to tell me the “…benefit of accelerating a 715 second
to sub seconds if business is never going to use it..”
Fact 3- HANA costs can
be reduced by over 40%: Most customers believe that the HANA migration is a rather
fixed cost. No matter how we look at HANA it is not a low cost option and one
of the biggest barriers to HANA migration remains the ‘sticker-shock’. It is
important to realize the HANA installation, migration and annual support costs
can be reduced by over 40% in most cases. In a recent BoH migration we managed
to reduce the HANA migration costs by as much as 68%. Another goal we managed
to achieve is our proposal for a ‘Near-Net-Zero’ HANA migration by keeping the FHRE
(Future HANA Run Rate) about as close to the CBRR (Current BW Run Rate). In our
final solution we actually managed to drop the FHRE below the CBRR.
Fact 4: What got you
here will not get you there: We are in the Fact 1 reality because of extremely faulty
methodologies on one side, and ‘BI Experts’ that do not adapt to new standards
and processes. The writing is clear that customers should not use current
methodologies, standards, processes, resources and in some cases even partners
if they want to succeed in SAP HANA, i.e. highest Business Value, Highest
Information Quality at the lowest cost. In the current state of BI confusion we
are witnessing a spurt of very dissatisfied customers changing from one
implementation partner to another not realizing that they are simply stepping
from one frying pan to another. Demand BVA deliverables, BVA based payments and
add BVA project reporting attributes.
Fact 5: HANA Appliance modes becoming obsolete: There is adequate evidence that the HANA Appliance model may have reached a point of obsolescence. The appliance model allows a few partners to assume a monopolistic attitude towards pricing and support. SAP's confidence in the HW architecture is demonstrated by their new TDI HANA model, where customers and data-center owners can now choose to mix- and-match their HANA components based on who does that components better than the rest and what their DC accepts. It also allows market competitive forces thereby assuring higher quality at lower costs. We have in the past month built and certified TDI devices for two customers.
Proactive
companies can and are achieving enormous financial and decision-capability
advantages by focusing on HANA BVA (Business Value Attainment) methodologies.
A.
Focus on Business
Value Attainment: BI implementations must be owned and architecture by IT.
However, not in total isolation of business stakeholders. The only way to meet
business expectations is to involve business stakeholders and users all through
the process. Ask business what they would like from HANA and then try to
deliver in accordance to their exact needs. One way is to conduct a
zero-baseline Design thinking workshop to identify pure business value. In one
project we managed to deliver a net new set of reports that increased revenues
to make the whole HANA migration break even in 8 months. Start with a 2 hour business executive HANA
workshops that comes with tips & tricks on business ownership and
checklists to ensure that the wool some partners may be pulling over your eves
is not just cotton.
B. Optimize your BW prior to moving to HANA: BoH
projects can leverage various automated options for reducing TCO, eliminating
redundancies and dead objects, rewriting the ABAP transformations, remodeling
cubes, merging multiple BW landscapes and other small things that can together
reduce TCO by 40 to 60%. In one of our recent BoH projects we managed to reduce
initial BW HW costs by 68%. Reduced HNRR below past BCRR. Targets most thought
were unachievable. We also launched the IQDCT methodology with a target to
Increase Quality, Decrease Costs and Decrease Time for migration to HANA.
C. Point
of Convergence: Our technologies are as a point of disruptive convergence. For
any technology to qualify as disruptive it needs to deliver ‘higher quality at
lower TCO’. However, if your partner, or their advisors, do not comprehend the
disruptive capabilities or continues to use old methodologies then it becomes a
lose-lose situation. We are currently at a critical point of convergence where
four disruptive technologies are coming together with tremendous capabilities
to enhance true real-time decision capabilities. With the right advisors, BVA methodologies it
is now a simple process to turn your HANA migrations into a win-win future. Find a partner that can design your future state with all these four technology convergences covered from a tactical, mid term and strategic. Find a partner with a Business Value focus and capabilities to help meander between all these convergence technologies and alternatives available.
D. Plan with the future in mind: The best migration is done that aligns to the SAP HANA
roadmap 5-10 years from today. It optimizes, models, architects and models for
the long haul. Whereas the worst SAP HANA migrations simply treat it as just
another technical upgrade or migration.
Demand
1. Get your business
stakeholders a 2 hr HANA workshop with HANA checklists by each selection and
phase
2. A minimum of 40%
reduction in your HANA TCO (initial and annual)
3. Clean your BW prior to
moving to HANA
4. Use automation for
remodeling, system mergers and ABAP optimization
5. Consider a custom RDS
solution using a ‘zero-baseline’ HANA Design Thinking workshop
6. Review if your old
standards, processes, architecture, resources or partner can guarantee HANA
Business Value Attainment.
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