Sappress Service With Sap CRM

Marcus Kirchler, Dirk Manhart, Jrg Unger
Service with SAP CRM
Bonn Boston
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Contents at a Glance
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Introduction to CRM . .................................................. 19
Service with SAP CRM Overview of Functions ......... 65
Service with SAP CRM Processes and Customizing .. 121
Critical Success Factors for CRM Projects ................... 277
Example from the Automotive Industry ...................... 329
Summary ...................................................................... 357
Operating a CRM System with ITIL ............................. 363
References .................................................................... 371
Authors . ....................................................................... 373
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Contents
Introduction................................................................................... 13
1 Introduction to CRM .................................................... 19

1.1
1.2
1.3
1.4
1.5
1.6
Key Concepts and Control Mechanisms in Customer

Relationship Management .............................................
1.1.1 Customer Focus . .................................................
1.1.2 Customer Satisfaction ..........................................
1.1.3 Customer Retention ............................................
1.1.4 Customer Lifecycle ..............................................
1.1.5 Control Mechanisms in CRM ...............................
Service Management as Part of CRM .............................
1.2.1 Service and Service Management ........................
1.2.2 Service Portfolio as a Differentiation Factor .........
1.2.3 Challenges in Service Management . ....................
Software Support for CRM .............................................
1.3.1 The Future Significance of CRM Solutions . ..........
1.3.2 Benefits to Companies of Integrated CRM
Systems ...............................................................
Customer Relationship Management with SAPCRM ......
1.4.1 SAP CRM Roadmap .............................................
1.4.2 Overview of SAP CRM . .......................................
Service Management with SAP CRM . ............................
1.5.1 Service Sales and Marketing ................................
1.5.2 Service Contract Management .............................
1.5.3 Installed Base Management . ...............................
1.5.4 Customer Service and Support . ...........................
1.5.5 Field Service Management ..................................
1.5.6 Depot Repair . .....................................................
1.5.7 Warranty and Claim Management .......................
1.5.8 Service Parts Management ..................................
Service with SAP CRM or SAP ERP CS a Comparison ...
1.6.1 Service Operations ..............................................
1.6.2 Service Sales . ......................................................
1.6.3 Other Functions and Processes ............................
19
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Contents
1.7
1.8
1.6.4 Conclusion .......................................................... 61

Architecture of SAP CRM Systems . ................................ 61
Summary ....................................................................... 64
2 Service with SAP CRM Overview of Functions . ........ 65

2.1
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9
User Interface ................................................................

2.1.1 UI Configuration Tool ..........................................
2.1.2 Component Enhancement ...................................
Master Data and Basic Functions ...................................
2.2.1 Master Data ........................................................
2.2.2 Basic Functions . ..................................................
Service Order Management ...........................................
2.3.1 Process Flow .......................................................
2.3.2 Service Quotations ..............................................
2.3.3 Service Orders .....................................................
Warranty Processing ......................................................
Complaint Processing ....................................................
2.5.1 Process Flow .......................................................
2.5.2 Special Functions . ...............................................
2.5.3 Follow-Up Functions ...........................................
2.5.4 Supported Scenarios . ..........................................
2.5.5 Communication Channels ....................................
Product Service Letters and Recalls ................................
2.6.1 Product Updates .................................................
2.6.2 Recalls . ...............................................................
Service Contracts ...........................................................
2.7.1 Process Flow .......................................................
2.7.2 Functions in SAP CRM . .......................................
2.7.3 Functions Available Through Integration With
OtherSAP Components ......................................
Service Resource Planning .............................................
2.8.1 Process Flow .......................................................
2.8.2 Functions ............................................................
Mobile Service . .............................................................
2.9.1 Organizational Support . ......................................
2.9.2 Service Order Processing .....................................
2.9.3 Service Support Functions ...................................
65
65
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Contents
2.10 SAP Business Communication Management . .................

2.10.1 Overview and Functionality . .............................
2.10.2 Interaction Center .............................................
2.10.3 Softphone .........................................................
2.10.4 User Administration ..........................................
2.10.5 Routing Management . ......................................
2.10.6 Organizational Tools . ........................................
2.10.7 System Administration ......................................
2.10.8 Monitoring and Analysis . ..................................
2.11 Summary .......................................................................
109
109
111
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115
116
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118
120
3 Service with SAP CRM Processes and Customizing ... 121

3.1
3.2
3.3
3.4
3.5
3.6
3.7
Basis Customizing ..........................................................

3.1.1 Organizational Plan ...........................................
3.1.2 User Role ..........................................................
3.1.3 Customer ..........................................................
3.1.4 Product .............................................................
Service Order Management ...........................................
3.2.1 Process Display .................................................
3.2.2 Customizing in the System ................................
Service and Repairs Processing (In-House) .....................
3.3.1 Process Display .................................................
Service and Repairs Processing (FieldService) ................
3.4.1 Process Display .................................................
Reactive Complaints Management .................................
3.5.1 Process Display .................................................
3.5.3 Intelligent Solution Database ............................
Proactive Complaints Management . ..............................
3.6.1 Process Display .................................................
Service Case Management .............................................
3.7.1 Process Display .................................................
121
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Contents
3.8 Service Resource Planning .............................................

3.8.1 Process Display . ..................................................
3.8.2 Customizing in the System . .................................
3.9 Service Contract Management .......................................
3.9.1 Process Display . ..................................................
3.10 Warranty Management ..................................................
3.10.1 Process Display . ..................................................
3.11 Summary .......................................................................
235
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4 Critical Success Factors for CRM Projects ................... 277

4.1 General Success Factors .................................................
4.2 Critical Success Factor Procedure Model .....................
4.3 Critical Success Factor Change Management ...............
4.3.1 Introduction to Change Management ..................
4.3.2 Reasons for Change Management . ......................
4.3.3 Ideal Change Management Procedure Model ......
4.4 Critical Success Factor Data Quality . ...........................
4.4.1 Duplicate Handling in the Standard SAP System . ..
4.4.2 Integrating Address Management Software
into SAP Systems . ...............................................
4.4.3 Data Quality Activities in the CRM Project ..........
4.5 Critical Success Factor Test Strategy . ...........................
4.5.1 Test Model ..........................................................
4.5.2 Test Phases ..........................................................
4.5.3 Test Preparation ..................................................
4.5.4 Test Implementation . ..........................................
4.6 Summary .......................................................................
278
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320
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327
5 Example from the Automotive Industry . ..................... 329

5.1 Fundamentals of the Automotive Industry .....................
5.2 Customer Interaction Center ..........................................
5.2.1 Overview ............................................................
5.2.2 Functional Areas . ................................................
329
332
332
332
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Contents
5.3 Complaints Management ...............................................

5.3.1 Customer Case/Task in Complaints
Management . .....................................................
5.3.2 Creating a Case/Task ...........................................
5.3.3 Processing a Case/Task ........................................
5.3.4 Closing a Case/Task .............................................
5.3.5 Proactive Complaints Management .....................
5.4 Recall Management .......................................................
5.4.1 Preparing for a Recall ..........................................
5.4.2 Conducting a Recall . ...........................................
5.4.3 Recall Reports .....................................................
5.5 Summary .......................................................................
336
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6 Summary ....................................................................... 357
Appendices ......................................................................... 361

A Operating a CRM System with ITIL . ........................................ 363
B References .............................................................................. 371
C Authors . ................................................................................. 373
Index.............................................................................................. 375
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This chapter explains the basic business concepts underpinning

CRM in the service area and provides initial insight into the functions of SAP CRM.
Introduction to CRM
This chapter begins by providing a general introduction to the concepts

and control mechanisms of customer relationship management. It then
focuses specifically on the role of service management as part of customer relationship management (CRM). After familiarizing you with
these basic business principles, this chapter turns its attention to the
ways in which CRM is supported by software solutions and, in particular,
by SAP CRM 2007. The range of options available is illustrated by a brief
introduction to the functions of this software and a comparison with the
Customer Service (CS) component in SAP ERP. Chapter 1 closes by taking
a look at the system architecture of SAP CRM.
1.1
Key Concepts and Control Mechanisms in

Customer Relationship Management
To help you understand the CRM approach, we will begin by explaining the objectives behind CRM and a number of concepts that are frequently discussed in relation to this concept. These include customer
focus, customer satisfaction, and customer retention. We will then provide
an overview of the customer lifecycle, which plays a particularly important role in relation to a companys service processes. In this section, we
also explain the basic mechanisms that a company can use to control
and improve customer relationship management within the individual
functional areas of the CRM approach, namely operational, strategic, and
analytical CRM.
Key concepts and

control
mechanisms in
CRM
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1Introduction to CRM
1.1.1
Customer Focus
A paradigm shift in
companies
The implementation of CRM leads to a significant paradigm shift in a

companys focus. The transition from a sellers market to a buyers market described in the introduction underlines the necessity of this paradigm shift, which moves a companys focus from the product to the customer and to the customers current and potential future needs (Holland
2004). A customer focus at all employee levels is often accompanied by
a transformation of the corporate philosophy. In the automotive industry, for example, presumed customer requirements were only taken into
account when designing vehicles in the past. Now, however, a new focus
on customer-related activities goes above and beyond product features,
to include, for example, customer-focused services.
The strategic level
As part of strategic decision-making processes, the analytical function

of the companys IT solutions are used to provide decision makers with
the information they need to make decisions based on the data stored
in the system. This data includes, in particular, information that is available in a data warehouse and can be evaluated using data mining analysis
techniques.
The operational
level
The operational level of CRM encompasses both the supporting function

of CRM information technology and the customer focus of the organizational processes and structural organization (Raab, Werner 2008). A company that places its customers center-stage must also strive to enhance
the expertise of its customer-facing employees so that these can fulfill
their tasks to the best of their abilities.
One way to do this is to give these employees greater decision-making
powers. In this way, process efficiency is no longer based on procedures
for dealing with and reaching agreement with levels that are higher up
in the hierarchy. Instead, it is ensured by giving individual employees
the ability to make customer-focused decisions at their own level (Link
2001). In addition to this decision-making authority, it is also essential to provide these employees with all of the information required to
reach their decisions. Employees can access this information by looking
through a complete history of interaction with a customer or using an
analytical CRM system.
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Key Concepts and Control Mechanisms in Customer Relationship Management1.1
1.1.2
Customer Satisfaction
A high level of customer satisfaction, which means a high level of customer loyalty, brings strategic benefits by raising the barriers to market
entry for any potential competitors. Customer satisfaction is the direct
result of customers subjective perceptions of the shortfall between
their expectations and the degree to which these expectations are met
by the companys provision of services. A company must therefore
strive to ensure that their customers experience of the companys services exceeds their expectations and leaves the customer with a positive
impression. If we apply the CRM approach to this concept, the objectives
in relation to customer satisfaction become, first, to pinpoint customer
expectations and the underlying level of customer requirements, and,
second, to determine the level of customer satisfaction in relation to the
services provided.
1.1.3
Customer Retention
We can distinguish between two fundamental types of customer retention, namely, customer attachment and customer binding. In this context,
attachment refers to a voluntary attachment of customers to a brand or
company that is not bound by practical constraints. Binding, meanwhile,
means that circumstances bind the customer to a company in a way
that is no longer voluntary. Customer binding may be based on contractual, economic, or technical or functional constraints. Examples include
long-term cooperation agreements, contractually agreed sales quantities,
or a current lack of alternatives. In the case of customer attachment, the
connection is predominantly a psychological one, and is based on customer satisfaction, personal relationships, habits, or even tradition.
The benefits of customer retention are largely economic, and are particularly evident in long-term customer relationships. We can identify
three key benefits to a company of a high level of customer retention
(Homburg, Krohner 2003):
EE
Three key benefits
Sales-related benefits
These result from a potential increase in the volume of sales to a
customer. Companies who maintain long-term relationships with
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their customers can become ever better at meeting customer-specific

requirements and, in this way, reduce the likelihood of customer
defection, as well as make their own range of services more attractive
than the competition. In addition to acquiring knowledge of the customer as part of the customer relationship, long-term business relationships also allow companies to achieve greater success in terms of
cross-selling.
EE
Cost-related benefits
These result from a reduction in transaction costs and coordination
costs as the customer relationship develops. The alternative costs of
acquiring new customers are also reduced.
EE
Stability-related benefits
These benefits are achieved if negative market influences on the company can be offset by long-term customer relationships.
1.1.4
Customer Lifecycle
One focal point for the CRM approach is a holistic view of the customer
lifecycle. This enables a clear vision of the phases during which a company must apply certain CRM instruments to their relationship with a
customer (see Figure 1.1). The customer lifecycle also demonstrates the
economic potential that can be achieved through long-term customer
retention (Mller 2004). Customer retention starts in the initiation phase
with the first contact between the company and the customer. The objective of using a CRM system must be to support the relationship with the
customer through information analysis and control to enable long-term,
profitable customer retention.
Overcoming
periods of risk
Throughout the customer lifecycle, the relationship with the customer

progresses through various phases in terms of the intensity of the customers loyalty. Each of these risk phases involves a threat to the company
of losing the customer.
However, the overall benefit to the company of customer retention
increases the longer the customer can be retained. Within this lifecycle,
CRM therefore plays a decisive role in helping companies overcome these
periods of risk and prevent a potential loss of the customers loyalty.
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Key Concepts and Control Mechanisms in Customer Relationship Management1.1
Intensity of Relationship
(e.g. Customer Value)
Former
Customer
Existing
Customer
Potential
Customer
Degeneration
Phase
RevitalizationPhase
Initiation
Phase
Develop
Customer
Potentials
Customer
Acquisition
Socialization
Phase
Risk
Phase
Growth Risk
Phase Phase
Maturity Risk
Phase
Phase
Cancellation
Phase
Abstinence
Phase
Time
Utilize Customer Potentials
Customer Retention:
Retention and Penetration
Regaining Customers,
Termination of
Customer Relationships
Figure 1.1 Customer Lifecycle Management (from Stadelmann et al. 2003, S.35)
It also provides a basis for the efforts of a company to retain customer

loyalty at a late stage in a relationship with a customer. This is particularly useful because, when we weigh up the costs and benefits, maintaining an ongoing relationship with the customer is much more efficient
than trying to win the customer back at a later stage or trying to acquire
new customers to maintain business volumes. An extension of the customer relationship, which is often very beneficial for companies, is only
possible if the effective benefits of a continued business relationship can
be clearly demonstrated to the customer even at a late stage in the relationship. The services a company can offer its customers therefore take
on a special significance.
Extending the
customer
relationship
Service is a key factor that enables companies to effectively extend the

customer lifecycle and to increase the profitability of their customer relationships. Therefore, customer relationship management must also seek
to enable a quality of service that delivers added value to the customer
based on the continued business relationship. Within a companys CRM
Service as a key
factor
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process, it is of key importance to the service area that the CRM IT solutions allow the company to achieve the desired level of service quality.
1.1.5
Control Mechanisms in CRM
The overall CRM process in a company can be divided into various functional areas, listed below:
1. Analytical CRM
2. Strategic CRM
3. Operational CRM
The complex relationships between these functional areas and their control mechanisms in customer relationship management are shown in
Figure 1.2.
Relationship Optimization
in operational CRM:
Knowledge gained from analyses can help to initiate personalized actions
Data
Reporting and Analysis Methods:

Support the transparency and analysis of customer relationships
Knowledge
Actions
Analytical CRM:
Helps to enter customer data and
to integrate the data into a 360degree view of the customer
ge
ed
wl
o
Kn
Goals
Relationship Planning:
Supports the coordination of actions and leads employees to focus
on universal goals
Figure 1.2 Functional Areas and Control Mechanisms in CRM

1 Based on the current situation, the details of which can be deduced
from the existing data by means of analysis (analytical CRM). 2 Knowledge can be gained that can be used for the strategic planning (strategic
CRM) of goals. These goals, together with the findings of the analysis,
produce 3 specific actions and measures, for example, for optimizing cus-
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Service Management as Part of CRM1.2
tomer relationships (operational CRM). The effects of these actions have

an impact on the data basis, which, if the company takes a 360-degree
view of the customer, will ideally result in renewed optimization of the
corporate strategy in relation to customer relationships. In this way,
these control mechanisms enable ongoing improvement of customer
relationship management in a company.
To ensure that these complex interactions of information and control
mechanisms can be implemented in companies in practice, a comprehensive and flexible system is essential to provide support for CRM processes. This system must provide a sufficiently broad view of all customer-relevant information, enable strategic and timely implementation
of measures, and allow the effects of these measures to be monitored
directly.
1.2
Service Management as Part of CRM
Customer satisfaction is considered to be a decisive factor in determining customer loyalty to a company. An active influence is exerted on
customer satisfaction during each phase of contact. An analysis of the
customer lifecycle clearly shows that various measures allow a company
to come into direct contact with a customer in the after-sales phase. In
this context, the sales area is particularly effective in exercising a positive
influence on customer satisfaction.
Up to this point, we have looked at the management of customer relationships from a generic perspective. Taking a 360-degree view of a
customer and taking account of the entire customer lifecycle are two
approaches that are particularly effective ways for companies to create a
sound basis for embedding the service area within customer relationship
management (see Figure 1.3).
The services and service management offered must always be economically efficient and must not be at odds with the profitability criteria for
the provision of services.
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Internal
System
Fields of Competence Affected by CRM

in an Enterprise
Stakeholders
External
System
Competition
Vision/Mission
Strategic
Goals
Strategic Planning
Marketing
Sales
After-Sales/
Service
Structural Organization
Process Organization
Technology
Figure 1.3 Service as Part of Customer Relationship Management

Target criteria for
the service area
At this point, it should be pointed out once again that a service does not
represent an end in itself. Rather, it must help the company achieve the
following goals:
EE
EE
Quantitative goals
EE
Revenue target
EE
Profitability target
Qualitative goals
EE
Increased customer satisfaction
EE
Increased customer loyalty
These generally applicable goal criteria overlap with some of the goal criteria for customer relationship management as a whole. In many phases
of a customer relationship where sales transactions are placed centerstage, the term service can be applied to additional services relating to the
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product itself. Here, however, the focus is on the services that become
relevant after the product is sold, that is, at the after-sales stage, even if
services that go above and beyond the mere provision of a product may
also be offered at the pre-sales and sales stages (see Figure 1.4).
Focus on Service
Pre-Sales
Sales
Service
After-Sales
Service Offerings
Figure 1.4 Focus on After-Sales Service
Examples of the services that a company may offer its customers before
or during the sale of a product include sending information material
and flyers, product samples, and a hotline to handle customer inquiries.
Services offered after the sale of a product relate in particular to the following areas:
EE
Complaint handling
EE
Maintenance and installation
EE
Provision of product add-ons
EE
User helpdesks
EE
Service centers
EE
Field service employees
1.2.1
Services before,
during, and after
the sale of a
product
Service and Service Management
The concept of service was a hot topic at the end of the 1980s and the
start of the 1990s in the context of the service wave. Back then, initial
considerations regarding the introduction of service concepts provided
an important starting point for recognizing the necessity of providing
customers with services. Services were already being identified as an
important distinguishing feature of companies, and nothing has changed
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in this regard since then. For example, Samuel J. Palmisano, CEO of IBM,
described the service area as the most important area in his company in
2003.
In 2006, services earned companies in the mechanical engineering industry approximately 43.3 billion euros. More than one-third of all services
relate to after-sales service offerings. The most profitable after-sales areas
in this context are service parts, which account for about 18% of companies EBIT (earnings before interest and taxes), consulting and valueadded services (around 16%), and repair and maintenance (about 12%)
(Mercer Management Consulting 2006).
1.2.2
Service Portfolio as a Differentiation Factor
The services provided by a company have various benefits, both for customers and for the company itself. The benefits to the customer are
based on the following factors:
EE
Breadth and depth of services offered compared with customer

expectations
EE
Accessibility of services
EE
Service prices
EE
Degree of performance of services
EE
Short waiting times
EE
Completeness
The service portfolio can be divided into three areas, namely, Must have,
Need to have, and Nice to have (see Figure 1.5). It is impossible to make
generalizations about which specific services will fall into which of these
areas at any given time because this depends on various developments:
EE
Technological developments
EE
Standardization developments
EE
Consolidation of services in the market due to the adaptation of all

competitors
EE
Consumer habits
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Differentiation Range
Service Offerings
Must have: rudimentary services
Need to have: services geared toward competition
Nice to have: services differentiating from the competition
Figure 1.5 Differentiation Range of Customer Satisfaction
The Must have area includes service offerings that customers expect at
all events and therefore must be offered. These include legally binding
warranties or the availability of replacement parts for repair.
Must have
The Need to have area includes all services that are offered by competitors
and can therefore be regarded as a necessity. Customers often assume
that the same services will be offered by direct competitors, and the
only factor that impacts on their satisfaction in many cases is the nonexistence of these expected services.
Need to have
The Nice to have area is of particular significance in relation to differentiation. Companies can exercise a positive effect on customer satisfaction
by offering services in this area. If they succeed, they will create a unique
selling point that will set them apart from the competition.
Nice to have
1.2.3
Challenges in Service Management
Up to this point, we have described how services can increase customer

satisfaction and improve customer retention by serving as a differentiation factor that gives companies a competitive edge. However, in this
role as a key differentiation factor, both the services themselves and
how they are perceived by customers are particularly sensitive to market dynamics and increasing customer requirements. Competitors will
Competition in the
service area
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also take advantage of any opportunities to gain an edge in the market

through the provision of services. This means that companies are constantly competing for customers by continuously improving the scope
and quality of their services. If a company is to survive in the market
and hold on to its customers, it must continually improve its services and
adapt to market conditions.
As shown in Figure 1.6, the opportunities for differentiation decrease
over time as competitors adapt to the higher service level and customer
expectations continue to rise.
old
new
Diminution of
differentiation range
in terms of time
Service Offerings
Decreasing opportunities for

differentiation
- Cause:
a) Adaption of service offerings by the
competition
b) Increasing customer expectations
Challenges derived
- Identify new differentiation features
- Optimize existing differentiation features
(quality, responsiveness)
- Instruments:
a) Technology
b) Process Optimization
c)
Figure 1.6 Market Dynamics Decreasing Opportunities for Differentiation
A company must be able to respond to this change by identifying new

differentiation features and incorporating these into their service portfolio, or by improving the quality of their existing differentiation features
to gain a fresh competitive edge.
Three main instruments can be used for this purpose:
Interplay between
the three
instruments
EE
Technology and systems
EE
Service processes
EE
Service employees
However, none of these can be examined in isolation. To establish a certain level of quality in terms of service processes and to improve this on
an ongoing basis, you first require technologies and systems that enable
a very high level of process quality. In addition, service employees not
only require adequate education, training, and motivation to carry out
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Software Support for CRM1.3
their duties, but also rely on process quality and on optimized technologies and system design.
In this context, the choice of supporting technology and systems is critical to the company because it has a direct effect on the other instruments
of processes and employees. One thing a company must be able to do to
withstand the competition for customers in the service area is to select
the right technology and systems that can create the conditions necessary for establishing an excellent quality of services compared with the
competition and retaining this leading edge. In the following sections,
we demonstrate how CRM systems and their service functions can help
a company to do just that.
1.3
Critical role of
technology and
systems
Software Support for CRM
In the market for systems that support business processes, the development of CRM solutions has become very dynamic only recently, compared with generic enterprise resource planning (ERP) or supply chain management (SCM). Systems referred to as sales force automation (SFA) systems
or, in Europe, as computer aided selling (CAS) systems, became established
in the early days as a primary support for sales. These were primarily
intended to help sales employees complete the following key tasks:
EE
Manage customer contacts
EE
Organize sales activities
EE
Classify sales opportunities
EE
Analyze developments in sales
EE
Collect information about customers and products
Dynamic
development
However, as part of this dynamic development, customer requirements

arose that could not be met by these early systems, for example, the
need to access all previous outcomes of contact with a customer any
time that communication with this customer is required. More complex,
integrated systems were needed to enable the newer CRM strategies.
To practice successful and far-reaching customer relationship management, systems are now required that enable a process-oriented view of
the customer. This can only be realized if large volumes of data can be
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structured and processed and if the systems can be tightly integrated

with the systems used in other areas of the company, such as logistics
and finance.
1.3.1
The Future Significance of CRM Solutions
In many cases, the level of development that allows processes to be systematically mapped in integrated IT systems, which is already complete,
or at least at an advanced stage in the area of ERP and SCM solutions,
is yet to come for customer relationship management. Many companies
have, by now, acknowledged the importance of CRM to their future
survival and, taking a medium-term view, are aware of the necessary
investment in IT solutions that will fulfill the companys requirements
in terms of implementing and supporting CRM processes. In many cases,
one of the key tasks for IT in a company is to offer business departments
a modern, highly integrated IT solution for CRM.
This trend is well documented, for example, by a study by the Economist
Intelligence Unit (2005). This revealed that customer relationships and
customer service was by far the number 1 business area (62%) where IT
is to play a decisive role in the medium term. This was followed by sales
and marketing (34%) and new product and service development (31%).
1.3.2
Benefits to Companies of Integrated CRM Systems
Customer relationship management is a complex, holistic approach that

strives to enhance a companys profitability by improving its relationships with its customers. Individual, preliminary objectives and methods
can be identified, which together allow this overall goal to be achieved.
The implementation of an integrated CRM solution requires an investment by a company that must yield a range of additional benefits that
go above and beyond the companys basic requirements in terms of a
CRM strategy and CRM processes. In this way, companies can benefit
from the overall added value of a modern CRM system, in addition to its
basic operational functions.
360-degree view of
the customer
Customer data provides a starting point for any CRM activity. If a significant improvement is to be made in customer relationship management,
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Software Support for CRM1.3
it is not sufficient to manage only some of this customer data. Rather,

a complete, holistic view of all available customer data and the relationships between this data, in other words, a 360-degree customer view,
serves as an essential starting point. This can incorporate the following
features:
EE
Transparency of all customers and customer requirements
EE
A unified picture of complex customer and object structures in a central, universal model (and therefore system)
EE
A complete history of interactions with the customer across all business departments
EE
Documentation and retention of important customer knowledge

from customer-facing processes (for example, price agreements or
call reports)
EE
Assessment of the success of customer care measures (for example,

acquisition, campaigns, contact intensities, lead times for customer
complaints)
EE
A feedback system, whereby knowledge about a customer gleaned

from past interactions with that customer is fed into current or future
interactions (for example, reasons for rejecting past offers are taken
into account when determining future interaction)
The complexity reflected by this type of 360-degree view of the customer

can only be mapped by IT using the latest CRM software solutions. The
design of the solutions is therefore of particular importance in determining whether a company is in a position to use this type of holistic view
of its customers to achieve its CRM objectives.
Increasing customer loyalty is another goal for CRM. Customer loyalty is
another important factor in the overall profitability of the lifecycle of a
customer relationship (see Section 1.1.4 Customer Lifecycle). The following tools are particularly effective in enhancing customer loyalty:
EE
Personalized contact and personalized services based on a complete

interaction and information basis
EE
Unified, strategic communication (one face to the customer) across all

departments
Increasing
customer loyalty
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EE
A constant presence and constant availability (24/7) to customers

using all communication channels
Importance of an
integrated CRM
system
In relation to these measures for increasing customer loyalty, it also

becomes clear that these can only achieve a corresponding process quality if an integrated CRM system allows the company to integrate all relevant information, technologies and functional areas so that information
is exchanged and all subprocesses are linked in virtual real-time.
Additional
potential for
increased sales
This type of system support for processes also allows companies to leverage additional potential to increase sales or reduce costs:
EE
Faster, more streamlined customer-facing processes thanks to

greater efficiency, for example, by establishing customer self-service
processes
EE
Performance differentiation (prices, discounts, advertising material, and so on) or a cost-efficient enhancement of customer care (for
example, call centers)
EE
Increased sales through cross- or up-selling
EE
Reduced costs through the use of new contact channels
EE
Reduced costs through the transfer of functions from the company

itself to customers, partners, or vendors
EE
Reduced costs in outbound campaigns thanks to suitable target

groups
EE
Reduced costs in the supply chain due to a clearer focus of investment

in the most profitable customers
EE
Strategic analysis and development of potential by linking customer

and market data (lead management and opportunity management)
EE
Increased customer lifetime values thanks to greater customer loyalty
EE
Integration of partners into the process chain, for example, as part of

sales promotions campaigns (channel integration)
In addition to the benefits for the company itself, account must also be
taken of the fact that customers should benefit from the companys use
of a CRM solution. This is essential to the establishment of sustainable,
stable, and mutually beneficial business relationships.
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Customer Relationship Management with SAPCRM1.4
1.4
Customer Relationship
Management with SAPCRM
Section 1.4.2 Overview of SAP CRM, provides an overview of the functions provided by an SAP CRM system. First, however, we provide a
short introduction to SAPs CRM Roadmap to briefly explain the recent
development of the various releases.
1.4.1
SAP CRM Roadmap
Figure 1.7 shows the current situation with regard to the individual
releases of the SAP CRM system.
The SAP CRM 2005 system was released in 2005. SAP CRM 2005,
together with its predecessor, SAP CRM 4.0, currently represents by far
the greatest number of SAP CRM live installations.
SAP CRM Product Release Roadmap

2005
2006
2007
2008
2009
SAP CRM
2005
RAMP-UP
UNRESTRICTED SHIPMENT
SAP CRM
2006s/1
SAP CRM
2006s/2
PHASED
INTRODUCTION
SAP CRM
2007
RAMP-UP
RAMP-UP
UNRESTRICTED SHIPMENT
SAP CRM 7.0
RAMP-UP
UNRESTRICTED
SHIPMENT
Figure 1.7 SAP CRM Roadmap
The subsequently developed 2006s/1 and 2006s/2 systems were preparatory releases, which a limited number of customers used to jointly
develop Release 2007 with SAP. Starting in early 2008, SAP CRM 2007
was available to a broad range of customers as part of a ramp-up phase.
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Introduction to CRM
Since the middle of 2008, customers have been able to use this release
without any restrictions, and the introduction of release 7.0 is planned
for 2008/2009.
Developmental
leap
Overall, the development from Release 2005 to Release 2007 can be

regarded as the greatest progress made in the recent history of SAP CRM
systems. The most obvious change is undoubtedly the new user interface
(UI), which is based on web standards and is easily personalized by the
user and more user-friendly than any previous SAP CRM system. With
this new UI, it is very easy to integrate external Web services, such as
news feeds, and so on. Many functions are integrated into the interface
as web client popups.
With the new-look interface (see Figure 1.8) and the high level of usability,
SAP has made a decisive leap forward in the area of CRM systems. Back in
the days of Release 2005, the main argument in favor of using SAP CRM
was its high level of integration with the SAP ERP system. With Release
2007, however, the SAP CRM system can now also hold its own in the
market in terms of both usability and functional scope. Meanwhile, this
integration has also been enhanced. (For more details, refer to Section 1.7
Architecture of SAP CRM Systems.) As a result, the need for users from
the marketing and sales areas to weigh integration against usability will
soon be a thing of the past because the new CRM release offers both.
Figure 1.8 The New Look of SAP CRM 2007
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1.4.2
Overview of SAP CRM
The SAP Customer Relationship Management (CRM) solution offers an endto-end range of functions to cover the entire lifecycle of customer relationship management, as well as instruments for analysis and planning.
Customer relationship management can be roughly divided into the following phases:
Phases of CRM
1. Engagement
This phase involves identifying possible customers and acquiring
them for an initial sale.
2. Transaction
This phase involves establishing business agreements and processing
sales.
3. Fulfillment
This phase involves delivering the promised services to customers
and billing for services rendered.
4. Service
This phase involves offering and delivering additional, product-based
after-sales services.
Various functions are also available across all four phases, which allow
the phases to be planned (analysis and planning) and help the business
departments and management make decisions affecting customer relationship management.
This book focuses on the service area, which we introduce in Section
1.5 Service Management with SAP CRM, and discuss in more detail in
subsequent sections. First, however, we will briefly introduce the first
three CRM phases and the more important functions assigned to these
in the SAP CRM system. This introduction is by no means exhaustive,
and we will limit ourselves to just some of the functions provided as
part of the very extensive functional scope. We will then move on with
a more detailed and comprehensive discussion of the topic of this book,
that is, service.
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Engagement
The engagement area largely covers the following functions: marketing,
lead management, customer segmentation, quantity assignment, product
proposals, and communication.
Marketing
The Marketing Planner is a particularly useful tool for marketing. This

maps and hierarchically structures a companys marketing activities in
the form of corresponding plans, organized, for example, by customer
categories, countries, or products. It supports the exchange of data both
within the CRM system and between the CRM system and external applications such as Microsoft Outlook or Project. Marketing campaigns can
also be planned in SAP NetWeaver Business Intelligence (BI), if it is used,
which means that corresponding key figures are generated there also.
Lead management
Lead management allows you to identify and classify sales opportunities

with a view to tracking down market opportunities and sales opportunities. The SAP CRM system allows you to manage all relevant data,
manage the development of the sales opportunity into a customer, and
transform a lead into a customer in the system directly, together with all
of the assigned information.
Segment Builder
Another key function in this area is the Segment Builder, which supports
customer segmentation. This allows activities and campaigns to be aimed
directly at customers that are likely to respond positively to these, based
on specific characteristics, such as product preferences in the past. As a
result, campaigns can be designed in a more strategic and cost-effective
manner.
Quantity
assignment
Quantity assignment allows for the distribution of a possibly limited product capacity among various customers. For example, a company can
allocate the largest available quantities of a product that is to be newly
launched in the market to the customer that generated the greatest revenue in the past because this customer is also more likely than others to
want to buy large quantities of this product.
Product proposals
An extensive product proposals function is also provided, which uses

product association rules to generate product proposals from the data
stored about a customers past transaction behavior. These proposals are
particularly likely to lead to a sale to the customer in question. This sup-
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ports the conventional tools used to boost revenue with customer crossselling and up- and down-selling.
Finally, the functions provided for communication are also worthy of a
mention. In the past, a major shift took place in marketing from generic
mass communication to increasingly individual and personalized communication with customers. This personalization or individualization
of customer communication would be impossible without a CRM system that can offer the relevant capabilities, because these processes frequently require a high degree of automation, a large data volume, and a
correspondingly high level of data quality if the time and effort involved
are to be kept within reasonable limits. SAP CRM provides the user with
support in relation to all relevant communication channels.
Communication
Transaction
In this area of customer relationship management, tools are provided
to support the organization of sales, for example, tools to manage sales
territories or sales activities. In addition, this CRM phase maps the sales
activity cycle, which includes the planning and management of business
partners and sales opportunities, order acquisition, and the analysis of
sales key figures.
The organizational elements of this functionality (territory management and
activity management) support the modeling of organizational structures
and corresponding functions, such as reporting, and the management
of specific sales activities, such as the scheduling of sales negotiations
and the allocation of sales resources. For example, all customer-specific
activities, such as on-site sales negotiations and telephone inquiries, are
recorded. As a result, the latest status of interaction in a customer relationship is transparent to all sales employees. This makes it easier for a
sales employee to work temporarily on a customer account that is normally the responsibility of another sales employee, for example.
Territory and
activity
management
If used in conjunction with SAP NetWeaver Business Intelligence, these

sales activities can also be analytically evaluated. This creates transparency regarding which sales activities were particularly efficient and which
did not succeed in meeting the target set. This allows the company to
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optimize its sales activities over time and to develop greater efficiency
of sales.
Business partner
and opportunity
management
Business Partner and Opportunity Management enables the management

of information about business partners and about sales opportunities.
Whereas the business partner cockpit provides a comprehensive view of
business partners and all data relating to them, Opportunity Management
records sales opportunities and helps sales employees convert these
opportunities into real sales. For example, it allows sales opportunities
to be compared on the basis of their expected likelihood of success or
their expected volume, which allows sales efforts to be focused on the
most promising and profitable sales opportunities.
Order acquisition
Order Acquisition represents the next phase, in which a sales opportunity

has been turned into an actual sale, and sales documents such as requests
for quotation, quotations, and orders are created, which can be managed
as part the order acquisition process. Functions that may be familiar to
you from the Sales and Distribution (SD) SAP ERP model are also integrated into order acquisition to enable efficient order processing. These
include the preparation of organizational data, partner determination in
the relevant partner roles, product determination and selection, pricing,
availability check, and date management.
In the order document flow, the individual sales documents can be converted into other sales documents in accordance with the predefined
sequence (for example, a quotation is converted into an order) to reduce
unnecessary additional effort, such as duplicate entry of document data.
Extensive copy functions are available for this purpose if similar sales
transactions are to be initiated.
The transaction area also includes functions for managing contracts
and business agreements, which define specific pricing and conditions
between two business partners, and which can then be copied into the
relevant orders between the partners.
Fulfillment
Once the sales transaction is confirmed and the order created, this order
must be fulfilled by the provision of the corresponding service. SAP CRM
helps companies do this with functions for checking availability, billing
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(including credit management and payment processing), and shipping

and transportation.
First, an Availability Check (also known as the Available-to-Promise [ATP]
check) allows you to schedule the order quantity based on the defined
dates and planned capacities. This function can also be used as a simulation, for example, to agree on delivery dates with the customer in
advance. If the desired delivery date cannot be met with backward
scheduling, forward scheduling is used to give alternative target dates.
The aspects of shipping and transportation can be integrated into the
date calculation, and can take account of other customer preferences,
such as partial or full deliveries.
Availability check
For Billing and Payment Management, SAP CRM supports a very wide
range of payment methods, from conventional billing to billing based
on agreed payment terms, and electronic payment forms, which are primarily used in business-to-customer (B2C) scenarios involving a large
number of mostly unknown business partners. Payment processing also
includes credit management, which allows customers to be granted certain lines of credit or customer classification to be used to influence the
sales transaction so that, if customers exceed defined credit lines, warnings are displayed (depending on the customer classification) or sales
documents (such as orders or deliveries) are locked and can only be
released by employees with sufficient authorization.
Billing and
payment
management
All processes through which a product passes from finishing to goods

issue are mapped in shipping. These include the creation of deliveries
with the corresponding delivery documents (delivery notes and so on)
and, where relevant, the necessary foreign trade documents, as well as
picking, packing, and goods issue. If an SAP CRM system is also used,
these functions are enhanced with an extensively automated shipping
process, which also enables deadline monitoring and the integration of
storage capacities, for example. When the goods issue is posted at the
end of the shipping process, the product leaves the company. At this
point, the necessary stock postings, including all value changes, are made
in the companys accounting system.
Shipping
An extensive range of functions is provided in relation to transportation.

These allow you to group the various deliveries together in shipments,
Transportation
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select the best transportation service provider and routes, and create the
necessary shipment documents. Also included are functions to calculate
the transportation and shipment costs, taking account of the product
and packing information in the delivery documents (for example, weight
and size).
Global functions:
analysis and
planning
The next phase of customer relationship management, namely, service,

is discussed in Section 1.5 Service Management with SAP CRM, in more
detail than the previous phases described here. First, however, we take
a look at the global aspects of customer relationship management, that
is, Analysis and Planning.
To monitor order processing and services, and to provide starting points
for possible improvements, SAP CRM includes a range of reports and
analyses that can indicate process quality and efficiency in this area. In
this context, a range of key figures can be generated (for example, for
delivery reliability or the occurrence of returns). Thanks to the considerable flexibility of these potential reports, each company can define its
own key figures for its own analyses and reports.
1.5
Service Management with SAP CRM
As illustrated in the SAP CRM Roadmap in Section 1.4.1 SAP CRM Roadmap, the enhanced functions in SAP CRM Release 2007 make it perfectly
equipped to cover the service area. We examine these functions in detail
with specific reference to the system in Chapter 2, Service with SAP CRM
Overview of Functions, before explaining the options these provide in
terms of process design in Chapter 3, Service with SAP CRM Processes
and Customizing. In the next section, we start by providing an initial
overview of the service areas in a company that are supported in terms
of the structuring and fulfillment of tasks in SAP CRM Release 2007.
Putting service
into an overall
CRM context
Figure 1.9 provides an overview of how the topic of service fits into the
overall context of customer relationship management. Here, service is
shown on the same level as the other two major process categories in CRM.
Like sales and marketing, service is connected to the customer through
various communication channels, such as the Internet or call centers.
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Service Management with SAP CRM1.5
As shown in Figure 1.10, the functional service areas in a company can

be divided into the following three categories, which make up a service
management cycle:
EE
Collaborate
EE
Analyze
EE
Optimize
These three categories, in turn, are composed of a total of eight different

service segments, which are described in detail in the sections below.
We also describe how these service areas are implemented in SAP CRM
2007.
Customer
Mobile
MARKETING
Partner
Channel
Internet Call Center
SERVICE
Sales
ANALYTICS
End-to-end,
Industry-specific
Processes
Powered by
SAP NetWeaver
Figure 1.9 Service as Part of the Portfolio of the SAP CRM Solution
The following sections provide an initial overview of the business

requirements for service in the various areas of the service management
cycle, and explain how these requirements are addressed in SAP CRM
Release 2007.
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Collaborate
Service
Parts
Management
Service
Sales &
Marketing
Service
Contract
Warranty
& Claim
Management
Management
CUSTOMER
pt
im
Customer
Service &
Support
al
Field
Service
Management
yz
e
Installed
Base
Management
e
iz
An
Depot
Repair
Figure 1.10 Service Management Cycle
1.5.1
Service Sales and Marketing
Services also need to be advertised in the market using marketing and

turned into revenue through sales. SAP CRM 2007 supports these business functions for service management in a similar way as the higherlevel areas of sales and marketing.
The following aspects are mapped as part of the sales and marketing of
a companys services:
EE
Service marketing and campaign management
EE
Service lead and opportunity management
EE
Service quotation management
EE
Service solution sales: order, contract, and bundling of products and

services
We can essentially distinguish between three different types of service

based on their characteristics and objectives. Each of these three service types have different goals and use different tools supported by SAP
CRM.
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Reactive services represent the companys reactions to customer expectations, for example, the provision of information about a product in
response to a customer inquiry. The objectives of reactive services are to
maintain and enhance customer satisfaction (see Section 1.1.2 Customer
Satisfaction). SAP CRM provides relevant tools in the form of account
and contact management, a customer database, and the integration of
customer-related service processes.
Reactive service
Active services address the quality of the customer relationship, and serve
to sustain this relationship, improve customer loyalty, and enhance the
customer relationship in terms of profitability and lifecycle (see Section
1.1.4 Customer Lifecycle). As part of these proactive services, the customer is offered additional services, such as maintenance offers, discounts on additional products, and so on. These requirements are covered by SAP CRM with relationship marketing, campaign management,
and process integration.
Active service
Selective services seek to enhance the profitability of a customer. Relevant

analyses are used to determine the customer segment for which it can
be assumed that the company can increase its profits by implementing
selective services. SAP CRM supports selective services with customer
value analysis, advanced analysis tools, and optimization of the service
portfolio.
Selective service
1.5.2
Service Contract Management
It may prove beneficial to both a company and its customers to establish

service contracts because a long-term service relationship offers advantages to both. Service contracts usually specify the following service
properties, among others:
EE
Response times for the service
EE
Availability times of a product or service
EE
Availability and costs of service parts
EE
Service and maintenance intervals
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Benefits for
companies
Benefits for
customers
SAP CRM
functionality
The advantages of these kinds of service agreements for companies

incude:
EE
The establishment of a service business with its own sustainable business model as an independent profit center within the company
EE
Increased customer loyalty based on long-term service contracts
EE
Enabling individual approaches to meeting customer requirements in

terms of service
EE
Precise tailoring of services to suit customers (in the sense of service

packages)
EE
Definition of conditions for warranty to improve risk management
EE
Optimized contract profitability
Benefits to the customer can also be identified, in particular, in the case

of products that require a high level of maintenance:
EE
Stable, uninterrupted use of the product thanks to regular maintenance
EE
Maximized product availability thanks to minimized maintenance

and repair phases
EE
High level of service availability due to guaranteed response times in

a service case
EE
Forecasted service costs
SAP CRM 2007 supports service contract management with the following functions:
EE
Creation of service agreements
EE
Creation of service contract quotations
EE
Management of service contract lifecycles
EE
Service level management
EE
Management of quantity and value contracts
EE
Definition of the form of the contract based on level of usage
EE
Management of proactive maintenance measures
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1.5.3
Installed Base Management
In SAP CRM 2007, installed base management not only refers to the
management of data that is directly related to the customer, but also
incorporates the management of the products currently used by the customer, including all service-related information about these products.
Transparency regarding the product configuration currently used by a
customer is essential, in particular in the case of technology-intensive
products that are shipped in several different configurations or with different components over the course of their lifecycle. Past service measures involving a change to the configuration or the replacement of components can also be mapped.
Product
configuration
lifecycle
Figure 1.11 shows the typical lifecycle of a product configuration as part

of an installed base.
Starting with order management, the agreement defines which product
the customer purchases in which configuration, and possibly also how
this product is installed at the customer site. The agreement also specifies whether the customer purchases the product or whether it is to be
made available to the customer for a limited period only (rental/lease
contracting and so on).
Quotation &
Configuration
Order Management
Procurement or
Production
On-Site
Installation
Installed Base
Scrapping/
Re-Sell
Inhouse
Repair
On-Site
Repair
Contract
Management
Figure 1.11 Lifecycle of the Installed Base of a Customer
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The conditions governing service and maintenance and rental conditions

(where relevant) are agreed later as part of contract management.
Provision can be made for on-site repairs or repairs in the service department as part of the repair cycle. In both cases, the system provides the
relevant configuration data for the customer product.
In addition, agreements can also be put in place specifying that resale or
disposal of the product is supported by the vendor, who can similarly
select the relevant product information and therefore also the resale conditions and disposal measures in this case.
SAP CRM
functionality
SAP CRM 2007 supports all of the following business requirements:

EE
Precise and up-to-date installed base and product configuration data
EE
Management of product status information (for example, counter

readings)
EE
Tracking of the product configuration across the entire maintenance

lifecycle (for example, the use of replacement parts)
EE
Management of changed or updated safety regulations and instructions for use
EE
Identification of up-sell sales opportunities in the customer context
EE
Management of the entire lifecycle and product history (for example,

in relation to the serial numbers of components)
EE
Support for remote monitoring of product statuses and service cases
1.5.4
Customer Service and Support
Customer service and customer support cover the following business

requirements:
EE
Receipt of service requests from the customer: Planning, processing, and monitoring of the relevant activities performed by service
employees
EE
Access to all relevant customer information, such as customer master

data, customer product data, contracts, and warranties (360-degree
view of the customer)
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EE
Triggering and monitoring of any necessary follow-up actions: Which

follow-up actions are required and when must they be completed?
EE
Availability of technical information to complete service tasks and,

where relevant, information specifying how the configuration of the
customer product has been changed by the service tasks
EE
Management of a status description of the product that is serviced
EE
Documentation of service activities
SAP CRM offers both operational and analytical functions to help companies meet these requirements in the customer service area:
EE
EE
SAP CRM
functionality
Operational functions
EE
Tools for customer self-service (online help, product information)
EE
Service request management
EE
Complaints management
EE
Management of service activities
EE
Complaints and returns management
EE
Service quotation and order management
EE
Escalation management
EE
Solution database
Analytical functions
EE
Measurement of interaction times
EE
Analysis of the proportion of problems solved at each support

level
EE
Monitoring of missed deadlines
EE
Identification of problematic customer situations or accounts
1.5.5
Field Service Management
Field service is an area that is constantly increasing in volume in serviceoriented business environments. Customers value the provision of an
on-site service, and companies are increasingly discovering this form
of direct customer contact to be an effective differentiation factor to set
them apart from their competition.
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Against this backdrop, a CRM solution must also be able to support a

range of requirements relating to field services. Typical requirements in
this context are as follows:
SAP CRM
functionality
EE
Analysis of service performance in the field service compared with

objectives and customer commitments
EE
Analysis of the effectiveness of field service personnel
EE
Identification of typical problem scenarios to improve quality
EE
Comparison of the companys service costs with profits from the corresponding customer contracts
EE
Analysis of the service parts used in order to optimize the equipment

available to field service personnel
SAP CRM supports these requirements with the following functions:

EE
Management of preventative and corrective maintenance measures
EE
Service order management
EE
Resource planning for field service employees
EE
Management of service order confirmations
EE
Management and re-ordering of service parts
EE
Mobile access to relevant system information
1.5.6
Depot Repair
Depot repair refers to a scenario where repair or servicing does not take
place at the customer site. Instead, the product that requires maintenance is returned to the company, where the repair is then carried out.
Due to the differences in terms of logistics, capacities, and the maintenance situation, a different set of service process requirements arise in
this case than in the case of field service maintenance:
EE
Utilization planning
Transparency of the repairs to be expected, requirements forecast for
service parts, and monitoring of service commitments
EE
Management of the repairs cycle

Checking of the service case against the contractually guaranteed services, escalation management, emergency release of service parts,
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installation of upgrades and product changes and, if necessary, granting of discounts or credit
EE
Execution of repairs
Checks to determine that the repair is justified, management of check
lists and solution databases, management of maintenance history,
development of best practices
EE
Completion of repairs
Documentation of the relevant measures and possibly also withdrawal
and disposal of the product if the repair is not practically possible or
economically viable
These processes are implemented in the following functions in the SAP

CRM system:
EE
Returns management
EE
Repair quotation and order management
EE
Monitoring of the repairs process
EE
Management of repair confirmations
EE
Integration of services from other providers
EE
Management of payment conditions such as discounts or credit
SAP CRM
functionality
Analytical functions are also provided in addition to the purely operational functions to support repairs processing:
EE
Optimization capacity utilization based on forecast functions
EE
Identification of typical repair scenarios to improve quality
EE
Documentation of potential improvements to repair processes
EE
Monitoring of the companys own on-time delivery performance and

the customers payment history
EE
Repair costs analysis as a basis for making decisions to upgrade or

withdraw products
1.5.7
Warranty and Claim Management
Like the general increase in service level, the granting of warranties or

guarantees has increasingly become a factor that differentiates compa-
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nies from competitors in recent years. It is also becoming clear that the
general legal requirements in most markets tend to demand that companies provide increasingly comprehensive warranties.
Due to the growing market significance of the subject of warranty, the
following developments must be taken into account in this area:
SAP CRM
functionality
EE
Warranties are being increasingly used for marketing and sales

purposes.
EE
Stricter legal conditions give rise to increased requirements.
EE
A higher volume of warranties justifies the use of more extensive

checking to determine who is liable for repairs under the terms of
the warranty.
EE
Service and warranty are being increasingly viewed as profit centers,

which need to be able to predict service costs with greater accuracy.
EE
Complex products involve many suppliers, all of whom need to be

included in the warranty.
These developments are acknowledged in SAP CRM 2007, which provides the following functions to support the service area of companies:
EE
Management of warranty agreements for both the customer and the

vendor
EE
Management of product registrations: multi-channel, web-based

customer self-service, advertising of service contracts, customer data
entry
EE
Support for checking of warranty claims
EE
Control of warranty claim processing
1.5.8
Service Parts Management
Unlike production of the actual product, service parts management makes

high demands of companies, which need to be incorporated into the
companys corresponding processes. The essential differences between
service parts management and the manufacture of finished products are
listed below:
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Service with SAP CRM or SAP ERP CS a Comparison1.6
EE
The demand for service parts is very fluid, and the quality of forecasts
is poor due to unforeseen service and repair requirements.
EE
Demand must be controlled at the component level because there is

no fixed relationship between the components to be provided, as is
the case in production (using bills of material [BOMs], for example).
EE
Many vendors are involved, and all of these experience the same difficulties with the forecasting of demand in the service parts market.
EE
Service parts may be interchangeable; various specifications of a service part may be suitable replacements for the original part.
SAP CRM 2007 includes extensive service part management functions to

meet the challenges, in particular, when used in conjunction with SAP
SCM. These include the following:
EE
Supply Chain Management for service parts
EE
Supply Chain Collaboration with vendors and customers
EE
Functions for sales and distribution, requirements planning, repeat

orders, pricing, and storage of service parts
1.6
SAP CRM
functionality
Service with SAP CRM or SAP

ERP CS a Comparison
Customers can choose between two alternatives when it comes to service

processes in an SAP system, namely Customer Service (CS) functions,
which are already available in the SAP ERP system, or the service area of
the CRM solution. This section compares both variants due to the very
wide range of potential requirements companies may have in terms of an
IT solution in the service area. Therefore, we will list and briefly describe
various functions and processes and explain whether and to what degree
these areas are covered by either SAP ERP CS or SAP CRM Service.
The analysis is conducted at a general level and represents a global evaluation. Since it is impossible to take individual process steps into account
in this case, deviations may arise in the analysis of company-specific
detailed processes.
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1.6.1
Service Operations
Service operations represents a key functional area of the solutions compared here. It is concerned with all aspects of the planning and implementation of service activities. These functions are offered by both SAP
ERP CS and SAP CRM. We will therefore focus on the different ways in
which these support this area.
Maintenance Planning
Maintenance planning means the fulfillment of contractually agreed obligations to carry out preventive maintenance measures. This includes efficient scheduling of service activities to avoid interruptions to customer
processes. The timely availability of the necessary resources (personnel,
material) is essential here. The objective is to achieve a high level of
customer satisfaction through contract fulfillment and a low error rate.
In addition, the effectiveness of the preventive maintenance measures
is increased through the optimization of resource planning and time
scheduling.
Both SAP ERP CS and SAP CRM Service offer maintenance plans with
and without a contract reference for this purpose. However, these are
not automatically generated from service items in the case of SAP ERP
CS. In the SAP CRM system, all required data is defined in the contract (object, product, release list, and service plan data). Both variants
offer flexible control options and planning delivery schedules that can
be automated.
Tickets for Unplanned Services
Tickets for unplanned services are intended to ensure efficient and correct
processing of incoming service requests from customers. This requires
fast identification of the customer, location, and defective equipment to
guarantee fast processing of the service requests, leading to increased
customer satisfaction. Data gaps in the IT system are also closed. Yet
another benefit is the fact that leads can be identified and forwarded to
the service sales team.
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With SAP ERP CS, message-based and order-based entry options are
available, whereas SAP CRM Service supports order-based only. Both
alternatives allow for fast identification of customers, objects, contracts,
and warranties. With SAP ERP CS, however, restrictions apply in the
areas of ticket routing, lead generation, and text entry. SAP CRM Service
provides enhanced maintenance functions such as a knowledge database
and escalation.
Explanation of Unplanned Services
The subsequent service steps are maintenance, diagnosis, and, possibly, a direct solution of the problem. In other cases, the information
gathered is used to dispatch a suitable technician or the required material, for example. Possible sales leads are forwarded directly. This can
increase profitability and efficiency through direct problem resolution.
In addition, unnecessary journeys and wait times are minimized, which
produces a cost saving. Shorter response times and increased first call
resolution also improve customer satisfaction.
Whereas SAP ERP CS only provides restricted options in this area based
on assisted help resources, SAP CRM Services offers advanced functions
based on the use of question catalogs and guides. In addition, the documentation area includes extensive options (such as error classification
based on service catalogs). Direct lead generation for sales is only possible with SAP CRM Service.
Sales Installation Order
In many cases, the installation of systems is anchored in the sales order
as an independent item. The purpose of this is to trigger a service order
for the installation directly. As a result, the installation of sales objects is
automatically added to the pool of service orders. This means that it is
taken into account in overall planning. The advantage of this is that the
sales department has a clearer overview of order progress in the implementation phase.
This is a standard scenario in SAP ERP CS, which is globally implemented
using service products as installation items in the sales order. SD service
items can be used to configure services for the installation. SAP CRM
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Service does not support this function directly, although it can be implemented using customer enhancements.
Service Planning
The goal of service planning is to create the groundwork for an efficient
and effective implementation of services. This requires the assignment of
suitable personnel and the necessary materials and tools. This can significantly improve the efficiency of planning in terms of both personnel and
material resources. In addition, an awareness of priorities and of open
issues and work already begun helps increase customer satisfaction. This
optimizes the response to new service requests. Tracking of transactions
can also be improved, and confirmations made more effective.
Some limitations apply to this function in SAP ERP CS (planning of personnel resources, taking account of qualifications, integration of external resources). However, these gaps can be closed if the Multi Resource
Scheduling (MRS) component is used. SAP CRM Service, on the other
hand, offers enhanced planning options (for example, the inclusion of
external resources and graphical planning tools). Neither variant allows
for cross-plant planning.
Execution of Services and Reports
The Service and report execution function is intended to make service
activities more efficient. Relevant data is confirmed for settlement and,
in some cases, updates of the technical object. Meanwhile, the return of
parts not required is initiated without delay. The result is an effective,
customer-based execution, which has a positive impact on customer satisfaction. Fast and correct confirmations also speed up the settlement
and billing processes. Moreover, forwarded sales leads generate additional results in the service area. All requirements are covered by both
SAP ERP CS and SAP CRM Services.
Service Billing
Service billing checks and posts the service report. Sales leads and opportunities entered in the report are recorded and forwarded. This results in
correct updating and cost assignment based on the service agreement or
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warranty cover. Additional results are also generated by sales leads. In

addition, the information recorded about the customer and equipment
enables strategic improvement and retrofitting measures. Here, too, all
requirements are covered by both SAP ERP CS and SAP CRM Service.
Evaluations
Completed service activities, product performance, and root cause analyses are evaluated. Cause analyses are forwarded to product development,
and can help improve products and enhance maintainability. The analysis of service activities can be drawn upon when providing customers
with quotations for similar services. Bottlenecks are also identified and
kept to a minimum. Both SAP ERP CS and SAP CRM Service offer only
limited evaluations as standard. These can only be enhanced by using
SAP NetWeaver BI.
1.6.2
Service Sales
Companies for which service represents a strategic business area take

a proactive approach to the sale of services. Various channels are used
to identify business opportunities (for example, sales campaigns and
installed bases). These opportunities are qualified and converted into
quotations in a standardized process flow, which may lead to the closing
of sales contracts. Once a contract has been successfully concluded, service begins with the transfer of documents from sales to service. Service
sales therefore represent an upstream process step for the actual service.
All requirements in this area are covered by SAP CRM Service. SAP ERP
CS also offers many relevant functions. However, it has some weak points
in relation to lead generation, acquisition, and contract negotiation.
1.6.3
Other Functions and Processes
Outside of the core functions of the two solutions that we have examined so far, additional functions or processes are also provided to support users in the service area. Below, we provide a brief discussion of
these additional features of the CS component and of SAP CRM.
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Technical Objects and Installations

Technical information about products is mapped in the system in the
form of objects. These objects are of central importance because the quality of the object information determines the cost-effectiveness and the
capabilities of service processing. Relevant information (for example,
equipment, object structure, or BOMs) needs to be accessible at all
times.
SAP ERP and SAP CRM use different structures to represent the objects.
Both systems also use specific information content. If the two systems are
connected, it is therefore usually necessary to store the technical assets in
both applications. This necessitates the use of bidirectional replication.
In SAP ERP CS, technical objects are converted into combinations of
equipment and functional locations, which enables the mapping of complex structures and the incorporation of material and object BOMs. Classification characteristics are used for flexible mapping of customer-specific characteristics. A range of options is available for the mapping of
technical objects.
In the SAP CRM system, these are represented as installations. The structural elements in this case are products, individual objects, texts, and
installations. Product BOMs can also be used. Customer-specific characteristics can be implemented using set definitions. If an SAP ERP system
is connected, it is important to ensure consistency between the object
data in the two systems. As of SAP CRM Release 5.0, a bidirectional
equipment download function is provided as standard to do just that.
Service Contracts
Service contracts represent fixed agreements with the customer. In
addition to conditions and validity periods, these contain details of
the services that are to be provided, service level agreements (SLAs),
and warranties. Part of service processing involves checking whether
a contractual relationship is in place and which requirements are to be
met. Long-term agreements ensure that the service business has plannable results.
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Both SAP ERP CS and SAP CRM Service offer a wide range of options
relating to service contracts. However, SAP CRM Service offers enhanced
functions when it comes to setting the parameters of SLAs and contract
changes, as well as the option of creating usage-dependent contracts.
SLA Monitoring and Escalation
Contractually agreed SLAs guarantee the availability of customer objects.
Adherence to SLAs is observed and monitored during the entire operation. If these are violated, the case is escalated in accordance with defined
rules. Compliance with SLAs results in the avoidance of contractual penalties, plus a simultaneous increase in customer satisfaction.
Whereas SAP ERP CS includes some basic options for mapping SLAs, its
weaknesses become evident in relation to the assignment of SLA conditions to process steps, the handling of parallel conditions, and escalation
mechanisms. SAP CRM Service, meanwhile, scores high points with the
functions it offers in this area.
Mobile Service Processing
Mobile devices provide support for service processing by service technicians, allowing them to organize their work. Information about customers is directly available, as is information about installations and
assets or service contracts. Mobile devices are also used for working
time recording. Efficiency is ensured by a well-directed service performance, fast processes and confirmations, and a correct dataset. At the
same time, administrative time-wasting is avoided, and the quality of
service is improved.
Whereas SAP ERP CS only allows service technicians to connect to the
system using laptops, SAP CRM Service also supports mobile hand-held
devices.
E-Service
Web access allows customers and employees to use a range of functions, such as service requests, transaction tracking, checking of warranty
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claims, and product registration. An immediate and personalized service

has a positive impact on customer satisfaction. In addition, customer
behavior can be recorded more effectively, and a reduced volume of telephone calls ensures a reduction in costs.
Both alternatives support e-services. However, SAP ERP CS offers only
limited options for the provision of customer-specific activities.
Complaints Processing
The correct processing of complaints is of key importance to a customer
relationship. The individual process steps consist of the recording, analysis, processing, and evaluations of complaints. The benefits are a structured complaints process, improved customer satisfaction through return
material authorization (RMA) processes and precise feedback. Automated
process flows also have the potential to save costs.
In SAP ERP CS, complaints processing is not a complete standard scenario with integrated functions. The necessary follow-up processes
have to be triggered individually. SAP CRM Service, however, supports
a range of functions (such as contracts checks, including warranty and
SLA/escalation, availability check, invoice correction, release process,
and so on).
Case Management
Case management enables the processing, management, and consolidation of information relating to a specific problem. Various objects (products, transactions, business partners) are incorporated into the case for
this purpose. Service orders can then be assigned to a case or generated
from a case. This produces a global exchange of information, which,
above all, simplifies the decision-making process in complex cases.
Moreover, case management provides a business-oriented overview of
each case. An efficient allocation of processing resources can also help
reduce costs.
Case management is not available in the SAP ERP system. SAP CRM
Service, on the other hand, offers a large functional scope. A range of
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Architecture of SAP CRM Systems1.7
standard cases is predefined in the system (for complex products, for

example), for which services can be provided.
1.6.4
Conclusion
In the comparison drawn here, the SAP CRM Service functions offer
clear benefits over those provided in the SAP ERP CS component. SAP
ERP CS offers most standard processes and functions are provided. However, SAP CRM offers many additional options and is the more complete
alternative overall. This system enables a 360-degree view of the customer, and optimizes the link between sales and service. SAP CRM 2007
offers additional functions and an intuitive, user-friendly interface.
When deciding whether to use SAP CRM Service or SAP ERP CS, the
two most important factors to consider are, first, the companys service
orientation and, second, the question of whether SAP ERP CS is already
in use or whether the company is venturing into the service business
area for the first time.
It generally only makes sense to change over to SAP CRM Service if service already is or is to become a strategic business area for the company
or if the non-service functions in marketing and sales are also to be used.
In this case, the costs of a changeover would be justified by the strengths
of SAP CRM described above. If the company is entering this area for the
first time, on the other hand, there is barely any justification to choose
SAP ERP CS over SAP CRM Service.
1.7
Architecture of SAP CRM Systems
Now that we have provided an overview of the functions of the SAP

CRM system, we will turn briefly to the SAP CRM system architecture.
As already mention in Section 1.4.1 SAP CRM Roadmap the market for
SAP CRM solutions has experienced many innovations in recent times,
and these are reflected in the architecture of the SAP CRM systems. To
begin, Figure 1.12 shows the familiar architecture from Release 2005.
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Figure 1.12 Architecture of SAP CRM 2005
The CRM Core has a 1:1 connection with the SAP ERP system, and is
integrated with SAP NetWeaver technology. Functions such as on-demand
and on-promise are already integrated at this point. A choice of interface
is available, namely, the PCUI interface or the conventional SAP GUI
from SAP R/3. Several changes have been made in the current release,
Release 2007, as shown in Figure 1.13.
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Architecture of SAP CRM Systems1.7
Figure 1.13 Architecture of SAP CRM 2007
Now, for the first time, an SAP CRM system can be integrated with more
than one SAP ERP system. The CRM Core is largely preserved in the
familiar functions such as the Business Objects but has also been enhanced
with new design options. Customer-specific business logic can now also
be implemented as part of the Enhanced Workbook. In addition, a number
of SAP core components have been enhanced. The most obvious change,
however, is the new interface. The new UI is based on web technology
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and can also be personalized to a high degree with the new UI Configuration Tool. External content such as web applets and RSS feeds can also be
integrated. Finally, the whole look and feel of the user interface can be
customized to tie in with the companys corporate design.
1.8
Summary
This chapter has explained the basic business aspects of working with
CRM, and provided an initial insight into the functions of SAP CRM
2007. You are now familiar with the central concepts and control mechanisms of customer relationship management and understand the role of
service management within CRM. In addition, a detailed comparison
of SAP CRM Service functions and the Customer Service component in
SAP ERP (CS) has also illustrated the range of options provided by these
SAP solutions. To close, we provided a brief introduction to the system
architecture of SAP CRM.
The next chapter provides a detailed overview of the functions of SAP
CRM 2007 in the service area.
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Service Order Management
3.2
group. Figure 3.31 illustrates the example of a Service Resource service

product.
Figure 3.31 Service Product Service Resource
3.2
Service order management is arguably the most central service process

in a company deploying SAP CRM 2007. Similar to the role that the
sales order in the Sales and Distribution component (SD) of SAP ERP
plays when selling products, the service order in the CRM system maps
any service conducted in the service area within a company. The service
order, which is a system process, can be created in reference to numerous other relevant service processes and forms the basis for invoicing
customers for services performed.
3.2.1
Process Display
Figure 3.32 provides an overview of the service order management process, which is divided into five steps as follows:
1. Create a quotation.
2. Create a service order.
3. Confirm the service order.
4. Conduct the service.
5. Create an invoice.
The sections below explain other service processes that use SAP CRM
2007. Here, service order management is used repeatedly as an integral
part of advanced processes.
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Service with SAP CRM Processes and Customizing
Process
Step
Create
Quotation
Role
Create
Service Order
Service Employee
1. Customer requests
quotation
2. Quotation is
created
3. Quotation is sent
to customer
Confirm
Service Order
Service Manager
Service order
Once the customer
is confirmed
has accepted the
quotation, the quotation
is converted into
a service order.
Conduct
Service
Create
Invoice
Service Technician
Service Employee
Service is conducted
and confirmed
Invoice creation is
initiated
Figure 3.32 Processes and Roles in Service Order Management

Step 1: Creating a
quotation
A service quotation is frequently created before a service order, even if

this is unnecessary. The service quotation is generally created in response
to a customer inquiry (see Figure 3.33). However, it can also be used as
a proactive marketing technique. A service quotation already contains
all of the information that a customer requires, for example, the product
that will be affected by the service, the price for providing the service,
and a possible schedule for conducting the service. Once the service
employee creates the quotation, the customer is informed.
Figure 3.33 Creating a Service Order Quotation
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Once the customer has accepted a service quotation, the service employee
creates a service order that references the relevant service quotation (see
Figure 3.34). Consequently, the system copies all of the important information contained in the quotation to the service order. Here, users also
have the option to categorize the service order using a predefined category catalog, which can also be supplemented and customized.
3.2
Step 2: Creating a
service order
When you enter items in a service order, you can use several item categories such as service items, service parts items, sales items, or costs associated with expenses. In the case of service parts or sales items, an ATP
check (available to promise, ATP) is performed if SAP ERP has been integrated accordingly. Similar to the sales order, a credit limit check can also
be activated for a service order. Furthermore, when you create a service
order, the system determines whether service contracts or warranty agreements exist for this customer and the corresponding product. If so, the
conditions attached to the order automatically take them into account.
Figure 3.34 Creating a Service Order
Depending on the required process characteristics, the role of service

manager can also be used as a supervisory role for service employees.
If implemented in this way, this control instance must first confirm the
service orders before the actual order content can be processed and the
necessary resources made available.
Step 3: Confirming
the service order
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Step 4: Conducting
the service
If the service order is released, the service technician can conduct the
services contained in the order for the customer. This may mean that the
service employee repairs a product that the customer has returned to the
company, or he repairs the product on-site at the customer location. The
sections devoted to service and repairs processing describe in greater
detail the differences between a service conducted within the service
department of a company and a service conducted on-site at the customer location (see Section 3.3 Service and Repairs Processing (In-House)
and Section 3.4 Service and Repairs Processing (Field Service)).
Once the service technician has conducted the service, he confirms the
service order and documents the fact that the service has been conducted
by creating a service confirmation in the system (see Figure 3.35) and
completing a questionnaire (see Figure 3.36).
Figure 3.35 Creating a Service Confirmation

Step 5: Creating an
invoice
Once the service order has been confirmed, the service employee initiates the process of issuing an invoice to the customer. Here, the system
also takes account of the possible diverseness of services, depending on
the item in the service order (for example, services covered by warranty
agreements are conducted at no extra cost to the customer).
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3.2
Figure 3.36 Service Confirmation Questionnaire
3.2.2
Customizing in the System
The following sections describe Customizing for the service order process
in the CRM system.
Customer-Specific Customizing
All of the functions and entries below whose names begin with Z are always copies of SAP standard functions that have been adjusted to include
customer-specific changes. Here, the underlying SAP standard functions are
described as an introduction.
The abbreviation IMC within the Customizing names denotes specific Customizing for a fictitious company called IMC, for which we are implementing
the CRM system.
Transaction Types
When you follow the IMG path Customer Relationship Management
Transactions Basic Settings Define Transaction Types, you access
the maintenance screen for transaction types (see Figure 3.37).
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Figure 3.37 Maintaining Transaction Types
A transaction type defines characteristics and features of a business transaction (for example, a service order or service order quotation) and specifies the control attributes (for example, text determination procedure,
partner determination procedure, status profile, and organizational data
profile). These transaction types, in turn, control how these business
transactions are processed.
A transaction type is assigned to one or more business transaction categories (for example, Service or Sales). The business transaction category
determines the business context in which a transaction type can be used
(for example, Service or Sales). Consequently, one business transaction
category is the leading business transaction category. This does not represent a hierarchical relationship with other business transaction categories, but rather a preference.
The business transaction category influences the various Customizing
settings that you have to make at the header level. For example, you
define settings such as the goal of the activity or the subject profile for
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Service Order Management3.2
the business transaction category Activity, the document pricing procedure or the payment plan type for the business transaction category
Sales, the subject profile for the business transaction category Service,
and the budget posting transaction type for the business transaction category CRM Budget Posting.
The transaction type settings are configured in five steps (see Figure
3.37):
Configuring the
transaction types
1. Define transaction types (Definition of Transaction Types).

2. Assign business transaction categories (Assignment of Business Transaction Categories).
3. Customizing at the header level (Customizing header).
4. Assign blocking reasons (Assign Blocking Reasons).
5. Permit channels for transaction types (Channel).
You can then create a new transaction type or copy a transaction type
that has already been defined. However, when you copy a transaction type, you must ensure that you adjust the transaction type
accordingly.
Service Order Quotation SAP Standard Used
The transaction type used in this example (ZSAA) is a copy of the SAP standard transaction type SRVQ.
The customized partner determination procedure shown (ZIMC006) is a copy
of the SAP standard 00000042, and the customized organizational data profile ZSVR00000001 is a copy of the SAP standard 000000000008.
As the first step, you must define details such as a description of the
transaction type and the relevance of contract determination for the
transaction type ZSAA (see Figure 3.38). The leading business transaction category must be defined as a service process.
Step 1: Defining
transaction types
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Figure 3.38 Creating and Configuring Transaction Type ZSAA Service Order
Quotation IMC
Step 2: Assigning
business
transaction
categories
Now that you have defined the transaction type ZSAA, you must assign
the associated business transaction categories. These are influenced by
the business context in which a transaction type or item category can
be used (for example, Service, Sales, or Activity). Figure 3.39 shows the
business transaction categories defined for the transaction type ZSAA.
Figure 3.39 Assigning Business Transaction Categories to Transaction Type ZSAA
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3.2
You must now define Customizing header data for every business transaction category that you have defined. This header data includes, for
example, the Sales business transaction category, in which a link to the
relevant pricing is established, among other things (see Figure 3.40).
Step 3:
Customizing at
header level
Figure 3.40 Transaction Type ZSAA (Sales Customizing at Header Level)
In the Customizing header for the service area (see Figure 3.41), you
can maintain the relevant subject profile for the service and possibly the
existing transaction type for the confirmation.
Figure 3.41 Transaction Type ZSAA (Service Customizing at Header Level)
The last business transaction category to be defined for the transaction

type ZSAA is the business transaction category Activity. Even though this
business transaction category is known as Business Activity in the list of
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business transaction categories (see Figure 3.39), detailed information

for the activity area is entered here (see Figure 3.42).
Figure 3.42 Transaction Type ZSAA (Business Activity Customizing at Header Level)
Defining categories
On the Details screen, you can define various categories, among other
things. These categories define the functions available for each activity
type.
Service Order SAP Standard Used
The transaction type used in this example (ZSVO) is a copy of the SAP standard transaction type SRVO.
The status profile shown (ZSRV_ST1) is a copy of the SAP standard status
profile SRV_ST01, and the action profile ZIMC_SERVICEORDER_HEADER is
a copy of the SAP standard action profile SERVICE_ORDER.
In terms of Customizing, the transaction types ZSVO and ZSAA (from the
previous section) differ only in terms of the entries shown in Table 3.3.
Field
Value
Status profile
ZSRV_ST1
Date profile
SRV_HEADER
Action profile
ZIMC_SERVICEORDER_HEADER
Table 3.3 Differences Between Transaction Types ZSAA and ZSVO
The business transaction categories assigned are almost identical to those

for transaction type ZSAA (see Figure 3.39). They differ only in Custom-
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izing at the header level for the Service and Activity areas (see Tables 3.4
and Table 3.5, respectively).
Field
Value
Transaction Type
Confirmation
ZSVC
Table 3.4 Differences Between Transaction Types ZSAA and ZSVO in the Service
Area Customizing at Header Level
Field
Value
Category
202 Telephone call
Priority
1 Very high
Subject Profile
Act000001 Activity reason
Table 3.5 Differences Between Transaction Types ZSAA and ZSVO in the Activity
Area Customizing at Header Level
Service Confirmation SAP Standard Used

The transaction type used in this example (ZSVC) is a copy of the SAP standard transaction type SRVC.
Table 3.6 highlights the differences between transaction types ZSVC and
ZSAA.
Field
Value
Leading Transaction Category
BUS2000117 Service Confirmation
Status Object Type
COH
Contract Determination
No entry
Agreement Determination
No entry
Partner Determination
Procedure
00000024 SAP Confirmation Header
Organizational Data Profile
000000000021 SAP Org. Data Profile for

Confirmations
Date Profile
SRV_RM_ITEM1
Action Profile
SERVICE_CONFIRMATION
Table 3.6 Differences Between Transaction Types ZSAA and ZSVC
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The business transaction categories assigned are almost identical to those

for transaction type ZSAA (see Figure 3.39).
Partner Determination Procedures
Basic Functions Partner Processing Define Partner Determination Procedure, you access the maintenance screen for partner determination procedures (see Figure 3.43).
Figure 3.43 Maintaining Partner Determination Procedures
In this activity, you define partner determination procedures, and the

system automatically assigns partners to the business transactions. Furthermore, the partner functions and access sequences are combined
here.
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Caution: Copy the SAP Standard

We recommend that you either use the Customizing Wizard to create a new
partner determination procedure or that you copy an existing procedure and
then change the copy accordingly. You can therefore access the SAP standard
as a template at all times. Avoid changing SAP standard procedures that already exist. Otherwise, you risk losing templates that have been perfected.
If you define a new procedure, assign it to a transaction category or an

item object type and specify mandatory partner functions. The system
searches for these partner functions in transactions. If you later assign
the procedure to a transaction type or item category, the settings that
you make here apply to transactions of this type or for items of this
category.
Using the Wizard to Create Partner Determination Procedures
In SAP CRM 2007, you can use a wizard to create partner determination
procedures. You can access this wizard by following the IMG path Customer
Relationship Management Basic Functions Partner Processing Define
Partner Determination Procedure and select Create Partner Determination
Procedure.
Once you have created a new procedure (either using the wizard or
manually), check it for errors. To do this, select Check Partner Determination Procedure.
Once you have defined the partner determination procedure, you must
maintain the following areas:
EE
List of procedure users
EE
Definition of partner functions in the procedure
EE
Description of the interface settings
Service Process Header Partner Determination Procedure SAP

Standard Used
The partner determination procedure used in this example (ZIMC006) is a
copy of the SAP standard partner determination procedure 00000042.
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In the partner determination procedure definition, assign this procedure

to one or more transaction categories or item object types (see Figure
3.44).
Figure 3.44 Procedure Users for Partner Determination Procedure ZIMC006
You then add or change the partner functions contained in this procedure. Some settings need to be made for each partner function, for
example, minimum and maximum number of partners for each transaction, the type of new partner determination, which access sequence the
system uses for the partner determination, and whether manual entries
are permitted (see Figure 3.45).
Figure 3.45 Partner Functions in the Procedure ZIMC006
To complete the partner determination procedure definition, enter details

about the interface settings (see Figure 3.46). Here, you can influence the
partner functions to be displayed in the individual partner fields (for
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3.2
example, contact person). Depending on the customer-specific requirements, an entry may be required here.
Figure 3.46 Interface Settings in the Procedure ZIMC006
Service Process Item Partner Determination Procedure SAP

Standard Used
The partner determination procedure used in this example (ZIMC007) is a
copy of the SAP standard partner determination procedure 00000043.
In contrast to the procedure users listed in Figure 3.44 for the partner
determination procedure ZIMC006, the procedure users listed in Table
3.7 are defined in the partner determination procedure ZIMC007.
Procedure Users
BUS2000117 Service Confirmation
BUS2000140 ServiceProductItemCRM
BUS2000142 ServMatConfirmItem
BUS2000146 ServMaterialItemCRM
Table 3.7 Differences Between Partner Determination Procedure ZIMC007 and
Partner Determination Procedure ZIMC006
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The partner functions entered for the partner determination procedure

ZIMC007 are almost identical to those for the partner determination
procedure ZIMC006 (see Figure 3.45).
Date Profile
Basic Functions Date Management Define Date Profile, you access
the area in which you define and maintain dates (see Figure 3.47).
Figure 3.47 List of Previously Configured Date Profiles
Date management enables you to process any number of dates in a transaction. It is used, for example, in contracts (for example, cancellation
date, term) and quotations (valid-to date).
In this work step, you define durations (duration types), date types, and
date rules. The system uses all of the above, which are grouped into a
specific date profile, to display and automatically determine dates in a
transaction. Using the date profile, the system controls the date types,
durations, reference objects, and date rules that can be used in a specific
transaction type or item category.
Depending on the date profile, you also define (in this activity) the properties of the date types and durations (for example, the time unit, reference object, duration, and date rule).
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3.2
SLA Data in Position Date Profile SAP Standard Used

The date profile used in this example (ZSV_SLA_ITEM: SLA Data in Position
IMC) is a copy of the SAP standard date profile SRV_SLA_ITEM.
In the first step of this example, you assign one or more reference objects
to the date profile (see Figure 3.48). You use the reference object to control the relevant time zone for the transaction dates. The reference objects
determine, among other things, the factory calendar, which is important
for determining dates (for example, taking account of public holidays).
Step 1: Assigning
reference objects
Figure 3.48 Reference Objects for Date Profile ZSV_SLA_ITEM
You then configure one or more date rules for this date profile (see Figure
3.49). Date rules have version management to ensure that date rules used
in unfinished transactions can remain unchanged. You can use these date
rules to create a new version that is valid as of its creation date and time.
Only the current version is used in new transactions. The word Standard
always identifies the current version in the list of date rule versions.
Step 2: Configuring
date rules
Figure 3.49 Date Rules for the Date Profile ZSV_SLA_ITEM
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Step 3:
Determining
date types
In the third step, you create one or more date types for the date profile
(see Figure 3.50). Date types refer to specific times such as First Response
By, Notification Receipt, or Billing Document Created On.
Figure 3.50 Date Types for the Date Profile ZSV_SLA_ITEM

Step 4: Specifying
the required
duration
To complete the date profile definition, you can specify the required
duration, if necessary. This can be, for example, a contract term, a processing time, or a warranty term.
Action Profiles
You define action profiles by following the IMG path Customer
Relationship Management Basic Functions Actions Actions in
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3.2
Transaction Change Actions and Conditions Define Action Profiles and Actions (see Figure 3.51).
The maximum number of actions permitted for a transaction type is
determined in an action profile. Here, you also determine general conditions for the actions contained in the action profile. Examples include
the time when the system starts the action (for example, saving the document) or the way in which the system performs the action (for example,
workflow, method call, or Smart Forms).
Figure 3.51 List of Previously Configured Action Profiles
In this activity, create an action profile and templates for actions.

Using the Wizard to Create Action Profiles
In SAP CRM 2007, you can use a wizard to create action profiles. You can call
this wizard by following the IMG path Customer Relationship Management
Basic Functions Actions Actions in Transaction Use Wizard to
Create Actions (see Figure 3.52).
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Figure 3.52 Action Profile Wizard Using a Wizard to Create Actions
Control SLA Dates Action Profile SAP Standard Used

The action profile used in this example (Z_SERVICE_ORDER_ITEM_SLA_IMC:
Control SLA Dates IMC) is a copy of the SAP standard action profile SERVICE_ORDER_ITEM_SLA.
Action profiles are configured in the same way as date profiles, using
several steps as follows:
1. Definition of the action profile
2. Description of the action definitions
3. Processing types for the action definitions
Step 1: Defining
the action profile
In the first step, you must describe and define the action profile (see Figure 3.53). At the same time, you must link the action profile to the date
profile described above.
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3.2
Figure 3.53 Details for the Action Profile Z_SERVICE_ORDER_ITEM_SLA_IMC
After that, specify one or more associated action definitions for each
action profile (see Figure 3.54).
Figure 3.54 List of Action Definitions for Z_SERVICE_ORDER_ITEM_SLA_IMC
Here, you can specify additional details (see Figure 3.55). Below are some
sample options that can be defined on the Details screen. For Processing
Time, you can determine, for example, whether immediate processing
is necessary. The action is then started as soon as the start condition is
fulfilled. Another option is to start the action immediately after you save
the transaction.
Step 2: Describing
the action
definitions
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Figure 3.55 Details for the Action Definition Z_COMPLETE_PSL_ITEM
If you select the Partner-Dependent checkbox, you can define a partner function or partner function category that will apply to the action.
This may be relevant, for example, if reminder emails are to be sent to
all partners involved in the process or if an email is to be sent to the
employee responsible.
If you select the Changeable in Dialog checkbox, the user can change the
actions condition and processing parameters in the document.
If you select the Executable in Dialog checkbox, the user can manually
trigger the action in the transaction. Finally, if you select the Display in
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3.2
Toolbox checkbox, the action is displayed as an icon in the transaction

toolbar, and the user can schedule the action from there.
Under Action Merging, select Max. 1 Action for Each Action Definition
if you want to execute the action once only. Select Max. 1 Unprocessed
Action for Each Action Definition if you want to be able to execute the
action several times.
To complete the action profile definition, you describe one or more
processing types for each action definition (see Figure 3.56). Here, you
can choose from the method call, workflow, or Smart Form processing
types.
Step 3: Processing
types for the
action definitions
Figure 3.56 Overview and Details for the Processing Types for the Action Definition
Z_COMPLETE_PSL_ITEM
We do not discuss the action definitions Z_SERVICE_ORDER_ITEM_

SLA_START and Z_SERVICE_ORDER_ITEM_SLA_END in further detail
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because they are created in the same way as the action definition Z_
COMPLETE_PSL_ITEM and differ only in terms of the time of processing (1 Processing using Selection Report instead of 4 Processing When
Saving Document) and the partner function (New: ZIMC002 Person
Responsible).
Unlike the processing type Method Call for the action definition Z_COMPLETE_PSL_ITEM, the processing types for the action definitions Z_SERVICE_ORDER_ITEM_SLA_START and Z_SERVICE_ORDER_ITEM_SLA_
END are both Smart Forms Mails (see Figure 3.57).
Figure 3.57 Overview and Details for the Processing Types for the Action Definition
Z_SERVICE_ORDER_ITEM_SLA_START
In turn, the action definitions Z_SERVICE_ORDER_ITEM_SLA_START

and Z_SERVICE_ORDER_ITEM_SLA_END differ only in terms of the different forms (see Table 3.8).
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Action Definition
Form Name
Z_SERVICE_ORDER_ITEM_SLA_START
CRM_SERVICE_SLA_MAIL_RF
Z_SERVICE_ORDER_ITEM_SLA_END
CRM_SERVICE_SLA_MAIL_RR
Table 3.8 Differences Between Z_SERVICE_ORDER_ITEM_SLA_START and Z_

SERVICE_ORDER_ITEM_SLA_END
Service Order Header Action Profile SAP Standard Used

The action profile used in this example (ZIMC_SERVICORDER_HEADER: Service Order IMC Header) is a copy of the SAP standard action profile SERVICE_ORDER.
Tables 3.9 to 3.11 highlight the differences in relation to the action profile Z_SERVICE_ORDER_ITEM_SLA_IMC (described above).
Action Profile
ZIMC_SERVICORDER_HEADER
Object Type Name
BUS2000116
Date Profile
No entry
Context Class
CL_DOC_CONTEXT_CRM_ORDER
Table 3.9 Details for the Action Profile ZIMC_SERVICORDER_HEADER
Action Profile
Action Definition
ZIMC_ADHOC_REMINDER1
Table 3.10 Details for the Action Definitions for the Action Profile
Action Definition
Processing Type
Smart Forms Mail
Table 3.11 Details for the Processing Type for the Action Definition
Conditions
Basic Functions Actions Actions in Transaction Change Actions
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and Conditions Define Conditions, you access the area in which you
define and maintain conditions (see Figure 3.58).
Figure 3.58 List of All Actions and Details for the Conditions
Here, conditions include (a) the exact definition of the schedule condition
and (b) the start condition for each action definition (using transportable
conditions). You can also specify whether the action is automatically
scheduled when the schedule conditions take effect. One example of a
possible start condition is four weeks before the contract end date.
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3.2
Control SLA Dates Start Condition SAP Standard Used

The start condition used in this example (Z_SERVICE_ORDER_ITEM_SLA_
IMC: Control SLA Dates IMC) is a copy of the SAP standard action profile
SERVICE_ORDER_ITEM_SLA.
If you double-click the action Z_SERVICE_ORDER_ITEM_SLA_IMC, the

system displays the list of defined action definitions on the upper-right
half of the screen and the details for the corresponding action definitions
on the lower half of the screen (see Figure 3.59).
Figure 3.59 Detailed Overview of the Action Definitions for the Action Z_SERVICE_
ORDER_ITEM_SLA_IMC
The Start Condition tab page on this detailed overview screen contains an
overview of the start conditions for each action definition selected (see
Figure 3.60). Here, you can create conditions for each action definition.
You can select Edit Condition to access the screen for editing parameters.
Here, you must assign the relevant date profile for the condition.
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Figure 3.60 Summary of the Start Condition for the Action Definition
Z_COMPLETE_PSL_ITEM
If you double-click the Condition Definition field, the system opens the
wizard for creating each condition (see Figure 3.61). You can select the
values in the Expression 1 column from the complete list shown. You can
also choose from other operators shown. You can also select Expression 2
from the list provided, or you can enter Expression 2 as a constant. You
can then link the conditions in a logical manner.
Figure 3.61 Editing Start Conditions for Z_COMPLETE_ITEM
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3.2
The following applies to the start conditions for the action definition Z_SERVICE_ORDER_ITEM_SLA_START for the action
Z_SERVICE_ORDER_ITEM_SLA_IMC:
&CRM Service Product Item.System Status& I1005
and
&To Do By&
< &Current Date&
In addition, the following applies to the start conditions for the

action definition Z_SERVICE_ORDER_ITEM_SLA_END for the action
Z_SERVICE_ORDER_ITEM_SLA_IMC:
&CRM Service Product Item.System Status& = I1002
and
&First Response By&
< &Current Date&
Service Order Header Start Condition SAP Standard Used

The start condition used in this example (ZIMC_SERVICORDER_HEADER:
Service Order IMC Header) is a copy of the SAP standard action profile SERVICE_ORDER.
No start conditions are defined for the action ZIMC_SERVICORDER_

HEADER.
Item Category
Transactions Basic Settings Define Item Categories, you access
the area in which you define and maintain item categories (see Figure
3.62).
Figure 3.62 List of Previously Configured Item Categories
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An item category defines characteristics and features of a transaction

item and therefore controls item processing. First, the item category is
assigned to an item object type. The item object type determines the
business context in which an item category is used. Similar to the transaction type, the item category is assigned to one or more business transaction categories.
Service Item Item Category SAP Standard Used
The item category used in this example (ZSVP: Service Item IMC) is a copy of
the SAP standard item category SRTP.
Configuring the
item categories
Item categories are configured in several steps as follows:

1. Definition of the item category
2. Description of the business transaction categories
3. Customizing the item
Step 1: Defining
the item categories
In the first step, you must describe and define the item category (see
Figure 3.63). In addition to assigning a name to the item category, this
is where you also define important control attributes such as the item
object type, the text determination procedure, the partner determination procedure, the status profile, the organizational data profile, and the
number range assignment. Depending on its status, the status profile can
be used, for example, to transfer the transactions to the ERP system.
Figure 3.63 Defining the Item Category ZVSP

Step 2: Describing
business
transaction
categories
The business transaction categories belonging to the item category ZVSP

are defined in the next step (see Figure 3.64).
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3.2
Figure 3.64 Overview of the Business Transaction Categories Assigned to the Item
ZSVP
To complete the item category definition, you must adjust the business
transaction categories (see Figure 3.65).
Step 3:
Customizing the
item
Figure 3.65 Service Business Transaction Category Customizing the Item
In the Service business transaction category, you can use the Resource
Plng Relevance checkbox to determine whether the item is relevant to
resource planning. If an item is relevant to resource planning, a resource
requirement will be generated for the item. Furthermore, you can use
the Relevance to Costs checkbox to control whether confirmed information such as times and material are to be distributed to backend
systems.
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In the Sales business transaction category, you can use the Pricing-rel.
checkbox (see Figure 3.66) to determine the extent to which an item is
pricing-relevant (Pricing Data section) and the extent to which the item
is transferred to follow-up documents (Quotation Data section, Subsequ.
processing checkbox).
Figure 3.66 Sales Business Transaction Category Customizing the Item
Item Category Determination

Transactions Basic Settings Define Item Category Determination,
you access the area in which you define and maintain the item category
determination (see Figure 3.67).
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3.2
Figure 3.67 List of Previously Configured Item Category Determinations
In this work step, you can determine the item categories that the system
proposes during transaction processing for each transaction type and
item category group. At the same time, you can determine which item
categories you can manually enter as alternatives to the system proposals. A maximum of three alternative item categories is possible.
Order Quotation Item Category Determination SAP Standard Used
The item category determination used in this example (ZSAA: Order Quotation IMC) is a copy of the SAP standard item category determination SRVQ.
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As part of Customizing, you must configure separate item category determinations for all previously used transaction types. As described at the
outset, several item category groups or item categories can be assigned
to each transaction type. This results in a matrix of setting options that
cannot be described in detail here. Instead, we show you the example below (see Figure 3.68), which is representative of all item category
determinations, and for which the SAP standard was adjusted. During
item category determination, in particular, you assign the relevant transaction type and item category. The other item category determinations
are similar to the SAP standard transaction type SRVQ.
Figure 3.68 Example of Item Category Determination for Transaction Type ZSAA
Order and Confirmation Item Category Determination SAP

Standard Used
The item category determination ZSVO (Service Order IMC) is a copy of the
SAP standard item category determination SRVO, and the item category determination ZSVC (Service Order IMC) is a copy of the SAP standard item
category determination SRVC. For both item category determinations, we
refer to the example provided in Figure 3.69.
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3.2
Copying Control
Transactions Basic Settings Copying Control for Transactions
Copying Control for Transaction Types, you access the area in which
you define and maintain the copying control (see Figure 3.69).
Figure 3.69 List of Previously Configured Copying Control Definitions for Transaction
Types
In this area, you determine the copying control for transaction types
and item categories. For this purpose, you create a source transaction
and item type and a target transaction and item type and determine the
corresponding conditions for these combinations. In each case, you then
create a source item category and a target item category and determine
the corresponding conditions.
Service Order Quotation Copying Control SAP Standard Used
The copying control used in this example (Service Order Quotations IMC),
which references transaction type ZSAA, is a copy of the SAP standard copying
control, which references transaction type SRVQ.
Similar to the copying control settings for the SAP standard item category determination SRVQ, the source and target transaction type combination changes from the SAP standard SRVQ SRVO to the customerspecific pair ZSAA ZSVO.
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3Service with SAP CRM Processes and Customizing
Service Order Copying Control SAP Standard Used

which references transaction type ZSVO, is a copy of the SAP standard copying
control, which references transaction type SRVO.
Similar to the service order quotation, it is necessary to determine the

copying control settings for the transaction type ZSVO. This also depends
on the SAP standard transaction type SRVO (see Table 3.12).
Source Transaction Type
Target Transaction Type
ZSVO
CLMA
ZSVO
CRMC
ZSVO
CRMR
ZSVO
ZRVC
ZSVO
ZSVO
ZSVO
SRVT
Table 3.12 Overview of the Copying Control Setting for Transaction Type ZSVO
Confirmation Copying Control SAP Standard Used

which references transaction type ZSVC, is a copy of the SAP standard copying control, which references transaction type SRVC.
It is then necessary to determine the copying control settings for transaction type ZSVC. Because none of the entries listed is a relevant target
transaction type for this example, we do not discuss this in further detail
here (see Table 3.13).
Source Transaction Type
Target Transaction Type
ZSVC
CRMC
ZSVC
SRMR
ZSVC
FANF
Table 3.13 Overview of the Copying Control Setting for Transaction Type ZSVC
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Index
360-degree view, 25, 33, 61, 118
A
Abstract prototype, 283
Acceptance procedure, 327
Acceptance test, 323
Account
create, 136
detail maintenance, 137
search, 138
Account overview, 68
Action definition
describe, 167
processing types, 169
Action profile, 164, 189, 194, 206, 268
define, 166
wizard, 166
Active service, 45
Activity
planned, 84
Address format standardization, 307
Address list, 351
Address management software, 302,
305, 306, 310
After-sales, 27
After-sales activity, 329
After-sales service, 27, 28
Analysis and planning, 42
Application Management, 283, 363
Approval process, 85
Assembly, 139
ATP check, 149
Attribute
customer-specific, 142
Attribute assignment, 123
Authorization, 244
Authorization object
CRM_CONFIG, 66
SCMG_LVL, 233
S_SCMG_CAS, 233
Authorization profile, 244, 245
Automotive industry, 329

Availability check, 41, 149
B
Basic data, 135
Basis configuration, 121
Billing, 69, 188
Billing and payment management, 41
Billing error, 87
Bill of material, 139, 143
Business address services, 305, 313
Business object, 63
Business partner
create, 124, 126
Business partner and opportunity
management, 40
Business partner data, 301, 302
Business transaction categories
describe, 210
Business transaction category, 152
assign, 154
describe, 176, 273
sales, 178
service, 177
Business transactions, 324
Business transaction type
complaint, 211
Buyers market, 20
C
Call center, 34
Campaign
concluded, 355
trigger, 353
Campaign management, 349
Case attribute, 230
Case closing profile, 234
Case management, 60
Case/Task, 334
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Index
Case type, 228

Catalog, 213
Change charter, 294, 295
Change management, 279, 284, 290,
294, 364, 366
instruments, 286
procedure model, 292
Change plan, 295
Change process, 287
Change programs, 295
Closing a case/task, 345
Code and code group, 213
Code group profile, 214
Communication, 39
Communication channel, 87
Interaction Web Client, 87
Internet-based Customer Self-Service,
87
SAP Mobile Service, 87
Complaint
close, 198
create, 197
evaluate, 199
process, 198
Complaint process, 82
Complaint processing, 80
process flow, 81
Complaint scenarios
identify, 222
Complaints management, 336
closing a case/task, 344
creating a case/task, 337
customer case/task, 336
facts, 342
fast entry, 337
proactive, 221, 347
processing a case/task, 343
reactive, 195
Complaints mangement
transaction data, 341
Complaints processing, 60
Component enhancement, 66
Computer aided selling (CAS), 31
Concentration efforts, 329
Condition, 171, 189, 195
Configuration management, 364, 367
Contact Event Manager (CEM), 110

Contact person, 137
create, 137
Contact routing, 109
Contract management, 48
Controlling, 69
Control mechanisms, 19, 24
Copying control, 181, 190, 195, 212,
258, 275
Corporate account, 143
Corporate philosophy, 20
Credit limit check, 75, 149
CRM, 19, 329
analytical, 24
operational, 24
strategic, 24
CRM phases
engagement, 37, 38
fulfillment, 37, 40
service, 37
transaction, 37, 39
CRM strategy, 279
CRM vision, 279
Cross-selling, 34
Customer, 135
Customer dissatisfaction, 347
Customer-facing organization, 135
Customer Factsheet, 334
Customer feedback, 346
Customer focus, 20
Customer Interaction Center, 111, 332
functional areas, 332
user interfaces, 332
Customer lifecycle, 22, 23
risk phases, 22
Customer loyalty, 21, 33
Customer retention, 21
cost-related benefits, 22
customer attachment, 21
customer binding, 21
sales-related benefits, 21
stability-related benefits, 22
Customer satisfaction, 21, 348
Customer Self-Service
Internet-based, 88
Customer service, 48
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Index
Customer support, 48
Customizing, 151, 188, 194, 199, 223,
228, 238, 250, 261
header level, 155
D
Data
classifying, 300
cleanse, 305, 313
Data errors, 300
Data mining, 20
Data quality, 279, 299, 300, 313
project phase, 314
standard, 318
Data warehouse, 20
Date profile, 162, 189, 194, 204, 267
Date rules
configure, 163
Date type, 240
determine, 164
Debit memo
send, 261
Delivery of a different product, 87
Depot repair, 50
Design, 316
Detailed data, 137
Development and implementation
phase, 296
Development test, 322
Differentiation factor, 28
competition, 29
Differentiation range, 29
Direct link, 133
Dropdown list, 135
Duplicate pairs, 303
Duplicate record, 304
Duplicates
check, 312
identification of, 311
potential, 302, 309
Duration
specify, 164
E
Enhanced Workbook, 63
Escalation model, 340
E-service, 59
External list management (ELM), 313
F
Field service, 49, 183
Field Service, 190
Follow-up phase, 297
Forwarded, 335
Framework enhancement, 66
Fuzzy search, 307, 310, 311
G
Goal criteria
qualitative, 26
quantitative, 26
Goodwill, 346
Goodwill costs, 342
Gradual implementation, 279
H
Heuristic rules, 308
Hierarchy creation, 68
I
ID, 137
Implementation
gradual, 279
methodical, 281
Incident management, 364, 365
Infotype
Business Role, 129
In-house, 183
Initial priority, 340
Input help, 135
377
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Index
Installation, 58
Installed base, 47, 67, 139
Installed base management, 47
Integration of measuring devices, 76
Integration test, 322
Intelligent Solution Database, 218
Interaction Web Client, 87
Internet-based Customer Self-Service
Center, 88
Invoice
create, 150, 188, 194, 250
send, 261
Invoice correction, 85
Item
Customizing, 177, 211, 273
Item category, 175, 176, 189, 195, 209,
272
define, 176, 210, 272
Item category determination, 178, 189,
195, 211, 256, 274
Item level, 67
ITIL, 363
IT Infrastructure Management, 363
K
Key performance indicator (KPI), 78
L
Lead management, 38
Lemon Law, 222
Letter campaign, 351
Level
operational, 20
strategic, 20
Link
for work center, 133
group of direct, 133
logical, 133
Location, 242
Logical link, 133
Logistical integration, 75
Lotus Notes, 106
M
Maintenance planning, 54
Marketing, 38
Market stagnation, 330
Mass manufacturer, 330
Mass processing, 115
Master data, 67
Material flow, 81
Mentoring strategy, 291
Methodical implementation, 281
Microsoft Outlook, 105
Mobile service, 104
Mobile service order management
process flow, 106
Mobile service processing, 59
Mobilization phase, 295
Must have, 28, 29
My Group, 335
My Tickets, 335
N
Namespace, 128
Navigation bar profile, 132
Need to have, 28, 29
Nice to have, 28, 29
Notes, 69
Number range, 137
O
Object description
enhanced, 129
Object list, 95
Objects, 241
Online integration interface (OII), 110
Operational level, 20
Order acquisition, 40
Ordering of an incorrect product, 87
Order management, 47
Organizational model, 121
Organizational model maintenance, 129
Organizational node, 126
378
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2/3/09 9:32:19 AM
Index
Organizational plan, 121

Organizational structure, 121, 123
sales, 123
service, 123
Organizational unit, 121
Original Equipment Manufacturer, 330
Over-delivery, 87
P
Parameters for the interaction history,
351
Parsing, 308
Partner determination, 67
Partner determination procedures, 158,
188, 194, 203, 253, 263
Partner function category, 241
Partner functions, 159
Personal Task, 335
PFCG, 127
Planned activity, 84
Planning to Implement Service
Management, 363
Position, 122
Postal directory, 305
Pre-sales, 27
Price accumulation, 68
Price error, 87
Pricing, 68
Priority, 339
Problem
log, 184, 196, 237
Problem and solution type, 218
Problem management, 364, 366
Problem subtype
define, 219
Problem type
define, 219
Procedure model, 279
defined, 281
Process
complaint processing, 81
complaints management, proactive,
222
complaints management, reactive,
196
mobile service order management, 106

product update, 90
product update with product service
letters, 90
service and repairs processing (field
service), 191
service and repairs processing (inhouse), 183
service case management, 226
service contract management, 248
service contracts, 93
service order management, 70, 148
service resource planning, 98, 236
warranty management, 259
warranty processing, 78, 79
Process and documentation flow, 325
Processing type
method call, 170
Product
register, 248
return, 187
Product configuration management, 47
Product proposal, 68
Product proposals, 38
Product service letter (PSL), 88
process flow, 90
Product update, 89
process flow, 90
Progress monitoring, 326
Project definition, 315
Project plan, 314
Project risk management, 291
Prototype
detailed, 283
horizontal, 284
vertical, 283
Q
Qualification management, 243
Qualification scale, 243
Qualifications catalog, 244
Quality gate, 284
Quantity assignment, 38
Quantity check, 83
Quantity confirmation, 83
379
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2/3/09 9:32:19 AM
Index
Quantity determination, 83
Quotation
create, 148
R
Rapid prototyping, 283
Reactive service, 45
Recall, 90, 91
prepare, 350
Recall Cockpit, 350
Recall management, 348
Recall report, 355
Reference documents, 83
Reference object, 67
assign, 163
Release management, 364, 366
Repair cycle, 48
Repair request
accept, 191
Repairs processing, 150, 183
Requirements analysis and definition,
315
Return authorization, 84
Role
bill-to party, 137
employee, 130
payer, 137
service manager, 149
ship-to party, 137
sold-to party, 137
Role configuration key, 131
Rollout
parallel, 314
Routing management, 116
RSS feed, 64
Runtime Repository, 66
S
Sales, 27
Sales force automation (SFA), 31
Sales installation order, 55
Sales order, 147
Sales stage
after-sales, 27
pre-sales, 27
sales, 27
SAP Business Communication Center,
109
SAP Business Communication
Management (BCM), 109
integration with, 114
integration with SAP CRM, 110
softphone, 112, 113
SAP CRM, 35, 53
architeture, 61
SAP CRM 2005, 35, 62
SAP CRM 2006s/1, 35
SAP CRM 2006s/2, 35
SAP CRM 2007, 35, 63, 147
SAP CRM Roadmap, 35
SAP CRM Service, 42, 43
SAP CRM system, 349
SAP ERP, 31, 147
SAP ERP CS, 53
SAP ERP Financials, 188
SAP Mobile Service, 88
SAP NetWeaver Business Intelligence
(BI), 57, 69, 96
SAP SCM, 31
SAP standard function, 188, 194
Satisfaction survey, 297
SD, 147
Search, 335
Search criteria, 138
Search function, 139
Security Management, 363
Segment Builder, 38
Selection time range, 240
Selective service, 45
Sellers market, 20
Seller warranty, 68
Service, 329
conduct, 150, 186, 193, 250, 259
Service and report
execution, 56
Service billing, 56
380
206_Book.indb 380
2/3/09 9:32:19 AM
Index
Service case
analyze and classify, 227
close, 227
evaluate, 228
open, 227
process, 227
Service confirmation, 187
Service contract, 45, 58, 92, 93, 149
create, 248
determine, 237
process flow, 93
release, 250
Service contract determination, 74
Service contract management, 45, 94
Service Delivery, 363
Service desk, 364
Service employee, 185, 191
Service level
defined, 95
Service management, 25
Service management cycle
analyze, 43
collaborate, 43
optimize, 43
Service marketing, 44
Service operations, 54
Service order, 72, 147
confirm, 149
create, 149, 237
Service order management, 69
process flow, 70
Service order processing
analysis of service processes, 78
resource-oriented analysis, 77
Service parts management, 52
Service plan, 73
Service planning, 56
Service portfolio, 28
Must have, 28, 29
Need to have, 28, 29
Nice to have, 28, 29
Service process, 121
Service processing, 150
mobile, 59
Service product, 144
Service profile, 239
Service quality, 78
Service quotation, 71
expiration analysis, 72
pipeline analysis, 72
success analysis, 72
Service quotation and service order
create, 185, 192
Service resource
implement, 238
plan, 237
Service resource planning, 97, 122
analysis of qualifications, 103
analysis of service orders, 104
process flow, 98
resource-based analysis, 103
Service sales, 44, 57
Service Support, 363
Service technician, 150, 250
Service type, 44
active service, 45
reactive service, 45
selective service, 45
Set type
customer-specific, 142
Shipping, 41
SLA, 58
escalation, 59
monitoring, 59
Solution Database, 218
intelligent, 218
Solution subtype
define, 220
Solution type
define, 220
Sources of error, 299
Spare part, 139
Stakeholder analysis, 289, 291
Standard interface, 303
Start condition, 173
Status, 339
Status management, 69
Strategic level, 20
Strategy for growth, 330
Subject, 215
Success factors
critical, 277
general, 278
381
206_Book.indb 381
2/3/09 9:32:19 AM
Index
T
Technical objects, 58
Technical support, 327
Templates, 68
Territory and activity management, 39
Test cases, 325
Test concept, 323
Test environment, 323, 324
Test implementation, 324, 325
Test management, 324
Test model, 321
Test phase, 323
Test preparation, 324
Test scripts, 325
Test strategy, 279, 320
Text determination procedures, 216
Training aids, 296
Training materials, 296
Transaction
BP, 125
BSP_WD_CMPWB, 66, 130, 135
COMM_ATTRSET, 142
COMM_HIERARCHY, 139
CRMM_UIU_PROD_CONFIG, 142
EEWB, 135
PFCG, 128
PPOCA_CRM, 122
PPOMA_CRM, 122, 126, 129
PPOMA_CRM or PPOCA_CRM, 122
SU01, 125, 128
Transaction type, 151, 152, 188, 194,
200, 250, 261
define, 153
Transportation, 41
U
UI, 36, 63, 65
UI configuration, 142
UI Configuration Tool, 64, 65
Under-delivery, 86
Unique selling point, 331
Unplanned service
explanation, 55
ticket, 54
Up-selling, 34
User
create, 124, 125
User assignment, 245
User role, 121, 127
V
Validation
postal, 307, 311, 312
Vehicle, 334
Views
adjust, 130
VIN, 350
V-Model, 322
W
Warranty
confirm, 261
create, 260
register, 248
send, 261
Warranty agreement, 149, 188
Warranty and claim management, 51
Warranty case, 342
Warranty processing, 78
process flow, 79
Warranty product, 144
Warranty service, 74
Web applet, 64
WebClient, 332
Web GUI, 135, 246
Wildcard search, 303
WinClient, 332
Wizard, 159
Work center, 133
Worklist, 335, 343
X
XIF interface, 76
382
206_Book.indb 382
2/3/09 9:32:19 AM

Sappress Service With Sap CRM

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Sappress Service With Sap CRM

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Marcus Kirchler, Dirk Manhart, Jrg Unger

Service with SAP CRM

Introduction to CRM . .................................................. 19

Service with SAP CRM Overview of Functions ......... 65

Service with SAP CRM Processes and Customizing .. 121

Critical Success Factors for CRM Projects ................... 277

Example from the Automotive Industry ...................... 329

Summary ...................................................................... 357

Operating a CRM System with ITIL ............................. 363

References .................................................................... 371

Authors . ....................................................................... 373

1 Introduction to CRM .................................................... 19

Key Concepts and Control Mechanisms in Customer

1.6.4 Conclusion .......................................................... 61

2 Service with SAP CRM Overview of Functions . ........ 65

User Interface ................................................................

2.10 SAP Business Communication Management . .................

3 Service with SAP CRM Processes and Customizing ... 121

Basis Customizing ..........................................................

3.8 Service Resource Planning .............................................

4 Critical Success Factors for CRM Projects ................... 277

5 Example from the Automotive Industry . ..................... 329

5.3 Complaints Management ...............................................

6 Summary ....................................................................... 357

Appendices ......................................................................... 361

This chapter explains the basic business concepts underpinning

This chapter begins by providing a general introduction to the concepts

Key Concepts and Control Mechanisms in

Key concepts and

The implementation of CRM leads to a significant paradigm shift in a

The strategic level

As part of strategic decision-making processes, the analytical function

The operational level of CRM encompasses both the supporting function

Key Concepts and Control Mechanisms in Customer Relationship Management1.1

Three key benefits

their customers can become ever better at meeting customer-specific

Throughout the customer lifecycle, the relationship with the customer

Key Concepts and Control Mechanisms in Customer Relationship Management1.1

Utilize Customer Potentials

It also provides a basis for the efforts of a company to retain customer

Service is a key factor that enables companies to effectively extend the

Control Mechanisms in CRM

Reporting and Analysis Methods:

Figure 1.2 Functional Areas and Control Mechanisms in CRM

Service Management as Part of CRM1.2

tomer relationships (operational CRM). The effects of these actions have

Service Management as Part of CRM

Fields of Competence Affected by CRM

Figure 1.3 Service as Part of Customer Relationship Management

Increased customer satisfaction

Increased customer loyalty

Service Management as Part of CRM1.2

Figure 1.4 Focus on After-Sales Service

Maintenance and installation

Provision of product add-ons

Field service employees

Service and Service Management

Service Portfolio as a Differentiation Factor

Breadth and depth of services offered compared with customer

Degree of performance of services

Short waiting times

Consolidation of services in the market due to the adaptation of all

Service Management as Part of CRM1.2