Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition

ǀ References

SAP Value Paper ǀ PUBLIC

Transform High Tech with SAP® Solutions

Business Value with Intelligent ERP
© 2018 SAP SE or an SAP affiliate company. All rights reserved.
 Content

Overview

Strategic Priorities

E2E Scenario

Deep Dives

SAP Strategy

SAP Solution Portfolio

SAP Value Proposition

References
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

HEWLETT PACKARD
How Intelligent Is Your ERP System? ENTERPRISE
9 ERP solutions consolidated into
a single source of truth
Although high tech is finding itself in nearly every product and service across all industries, high-tech companies are
not themselves immune to disruption. Factors such as new entrants, blatant IP theft, and knowledge leakage due to “SAP S/4HANA affords a unique
key employee turnover accelerate the rate of disruption. So, how does the incumbent not only defend itself but also opportunity – it is a great
become the disrupter? paradigm-busting opportunity
for us to completely rethink
Plan less, experiment more Make every meeting a decision-making meeting experiences, processes, and
the way we work.”
Many refer to the high-tech industry as dynamic, Most meetings are best described as information-sharing
Dave Carlisle, HPE IT CTO,
however, it is better characterized as frenetic. Product sessions. Participants often spend most of their time Hewlett Packard Enterprise
launch delays, yield losses, and IP disputes can all lead preparing and reconciling reports yet often end up with Company (HPE)
to unexpected events that can throw off a perfectly poor meeting outcomes due to a lack of current informa-
crafted plan. However, for some, this also represents tion. With the unprecedented speed of competition within
an advantage. Those who can leverage their data and the industry, executives need real-time information to
incorporate more simulation and other sophisticated make prompt decisions. Adopting innovative solutions to OCLARO
analytic techniques to model their environment will support rapid and informed decision-making can shift the
respond much faster to unforeseen events.1 focus from reporting to achieving outcomes. Real-time Reporting and
forecasts that used to take a
week or more to generate
Harness the intelligence of the network Liberate the knowledge worker
” We should be gathering
High-tech companies have a long-standing history of Arguably, the most valuable asset for a technology information 10% of the time
developing complex supply chain networks to enable company is the productivity of the knowledge worker. Far and making decisions 90% of
high efficiency, which keeps prices down and quality too often, these employees are straddled with excessive the time. With our SAP system
high. These networks have evolved to handle more than data preparation tasks involving spreadsheets and must on SAP S/4HANA, we have
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

just physical goods; they are now conducting commerce,
distributing IP, and contain component pricing awareness.
The data required for sophisticated decision-making has
now shifted to the network, providing the next frontier for
data exploration.
spend precious time filtering through extraneous data. more time to make the calls
This leaves little time to focus on business outcomes. that differentiate us from the
Decision support tools have evolved to take the burden competition.”
of data preparation off individuals and provide them with Pete Mangan, CFO, Oclaro Inc.
predictive capabilities – accelerating productivity.

The intelligent ERP 1) Hopkins, Michael S., Steve LaValle, and Fred
Balboni. "10 Insights: A First Look at The New
Bringing SAP S/4HANA® and SAP®Leonardo technologies together as a digital core will result in a more flexible and Intelligent Enterprise Survey." MIT Sloan
intelligent enterprise. To achieve next-generation business processes, companies need an intelligent ERP solution that Management Review. October 10, 2010.
Accessed July 23, 2018.
can be continuously enhanced and extended with innovative business services and applications built on emerging https://sloanreview.mit.edu/article/10-insights-a-
technologies, including machine learning, blockchain, and the Internet of Things (IoT). High-tech organizations that first-look-at-the-new-intelligent-enterprise-
survey/.
have big innovation appetites or prefer to be early adopters have already begun this journey.
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Strategic Priorities in a Digital Economy

The digital economy is disruptive. High-tech companies need strategic priorities that drive transformation. SAP supports a reimagined set of E2E business scenarios
to support the strategic priorities of working in a digital environment

Subscribing to outcomes
High-tech companies are shifting from selling products and services to selling measurable results that are relevant to their customers. Becoming an
outcome provider requires a different business model – one where customers can pay for the outcome. As high-tech companies realize this, they are
increasingly acquiring, building, and joining the platforms and ecosystems that are needed for the outcome economy.
E2E scenario: Quote to revenue – Provide the ability to efficiently provide outcomes to customers from quote to revenue.

Realizing a digital supply chain

Transform your supply chain into a responsive network. Companies everywhere face volatile customer demand and heightened expectations of
responsiveness. Innovative technologies can help resolve these issues by providing vital business information across the network, improving real-
time analysis, and enabling better collaboration across departments and trading partners – thus making the supply chain more responsive.
E2E scenario: Digital supply network – Transform your traditional, linear supply chain into a responsive, digital supply network.

Providing digital smart products

Digitally connect your products and transform them into solutions. Enabling products to provide intelligence about their usage and to be upgraded
remotely any time with the latest features required by customers allows for differentiation in an industry where products get rapidly commoditized.
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Data-based services can be monetized, and individualized offerings can be provided cost-effectively. Leverage IoT technology to connect products
to R&D and sales processes.
E2E scenario: Desire to manufacturing of personalized products – Address the need to serve customers with individualized products.

Achieving customer intimacy

Putting the end customers‘ point of view at the center of every decision is a key prerequisite for success in the digital age. This does not stop in the
sales department but also applies to what products are built and what services are offered.
E2E scenario: Market to order – Automate the market-to-order process with a real-time, integrated, and automated multichannel system.

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Reimagine Quote-to-Revenue
Multiple
Traditional scenario Invoices

HW Reoccurring
SW Charges
Services
Manual configure-price-quote Fulfillment of solution Several invoices for one Vastly different revenue
process for specific offers components is handled in solution, with no integration for recognition methods for each
unrelated processes, one-time and recurring charges solution component, resulting in
Various quotes for hardware, software
making it difficult to quickly deferred revenue becoming
and services leading to No high-volume invoicing
complete orders more prominent for added
inconsistencies and errors capabilities
services and subscriptions

A new world with SAP

Pay for Outcome

New business models are Top value drivers*
enabled: pay for outcome and
subscription of services faster quote-to-order
process when quotes are
Order Orchestration
(instead of buying products)
Consolidated Invoicing
95% configured by an AI based
Order orchestration
One consolidated configurator
happens in a unified
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

manner invoice for one solution

fewer customer
46% complaints when real-time
order, billing, and
Intelligent Configuration Hard- Soft- Revenue Recognition invoicing are available
ware ware
Using an AI-based configuration Smart revenue recognition that
to configure, price and quote one Services assigns revenue where it belongs,
solution results in fast and defers it when it has to and enables
accurate quotes. full understanding of profits

*Benefits are based on results from early adopters of SAP S/4HANA or are conservative outside-in estimates of the benefits of moving from a traditional ERP system to enhanced SAP S/4HANA
with line-of-business and cloud capabilities. As each enterprise is at a different level of maturity, our recommendation is that you work with SAP to determine the value proposition for your enterprise. 5 / 19
 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Reimagine Digital Supply Networks

Traditional scenario
Disconnected departments and limited access
Manufacturing
to the business network, prohibiting responsive
R&D
planning: !
• When plans are not consistently created and Sales
shared, information cannot flow quickly. R&D, ! !
sourcing, sales, manufacturing, and planning Finance Procurement
! ! !
Contract Component Raw material
are not aligned – wasting time and money. OEM manufacturer supplier supplier

• When companies rely on a few external !

Sourcing
partners and communicate manually with Supply chain
planning DELAY DELAY DELAY
suppliers, visibility is limited, collaboration is
difficult, delays are inevitable, and the risk of
error is high.
$ $ $

A new world with SAP

One plan that can be shared with all critical
Contract Component
resources and partners to achieve visibility, manufacturer supplier
agility, and responsiveness: Contract Raw material
supplier
• Collaboration between R&D and sourcing, Manufacturing manufacturer

accelerating time-to-market
• Insight into future demand for manufacturing Sales R&D
and procurement, optimizing inventory Component
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Live business supplier

• Alignment of sales, manufacturing, and Finance Sourcing Collaborative
delivery, improving customer satisfaction OEM
platform
• Linear supply chains that transform into digital
SAP Ariba® solutions
supply networks Procurement Supply chain Raw material
supplier
• Simultaneous collaboration with all relevant planning

stakeholders
• Your company at the center
SAP® Integrated Business Planning solution
SAP S/4HANA®: Digital Core

Top value drivers: Topline revenue growth Improved inventory turns Improved Customer Service Reduced Logistics Costs
Level and Customer Retention
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Reimagine Desire-to-Manufacturing of Personalized Products

With SAP S/4HANA at their digital core and using the SAP S/4HANA Cloud solution for intelligent product design and SAP Ariba® Strategic Sourcing Suite, high-tech
companies can provide their customers with individualized products faster and at a lower cost.

Traditional scenario

Product variants Variant product Every variant exists Unique design and Unique manufacturing BOMs and Inefficient,
predefined by catalog with limited independently as a product, engineering systems and routing for each predefined variant, expensive, and
marketing and number of variants resulting in inconsistency bills of materials (BOMs), requiring manual handling of BOMs, error-prone variant
product management available and errors in variant making it impossible to routings, and engineering changes manufacturing
management downstream simulate costs early

A new world with SAP

© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Customer Product and Variant configuration Integrated design, Automatic updates of High customer satisfaction
requests unique production interface between engineering, and BOM and routing after with personalized products
product features engineering of all point-of-sale and sales sourcing, allowing engineering changes delivered quickly at the same
variants managed system, allowing early product cost price as an off-the-shelf
by system rules tailored product simulations product
specifications

Top value drivers: Faster time-to-market Lower R&D costs Increase in revenue from new products

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Reimagine Market-to-Order

SAP solutions for customer engagement help organizations streamline the market-to-order process with real-time data and fully integrated and automated workflows.

Traditional scenario
• Disparate legacy CRM applications
and data silos that make it
impossible to focus on customer
experience
• Messaging, offers, and
recommendations that are not
relevant to customers
• Uncertainty of the performance
impact of all marketing investments
CRM, Web content management system, mobile, marketing,
order management system, stores, contact centers

A new world with SAP

Put customer experience at the center
of CRM:
• Create a single view of a first-party
customer profile, and gain insight into
their motivations and intent
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

• Leverage machine learning to deliver

individualized experiences across
channels
• Measure both online and offline in
one view, and understand the
incremental impact to optimize the
marketing strategy

Top value drivers: Improve customer satisfaction Reduce sales and service cost Increase revenue growth

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Deep Dives Along the High-Tech Value Chain

The benefits of improving E2E business processes are significant. However, realizing those benefits requires capabilities found in the detailed solutions for each line
of business. Primary capabilities where value can be achieved through SAP S/4HANA, LoB solutions, and SAP Leonardo are as follows.

Product innovation Multichannel sales

and sourcing Supply chain Manufacturing and marketing Customer services

• Product portfolio and
project management
• Product development
and compliance
• Strategic sourcing
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
• Demand management
and insights
• Sales, inventory, and
operations planning
• Response and supply
planning
• Supply chain execution
• Manufacturing operations
• Manufacturing networks
• Asset management
• Marketing with speed • Omnichannel customer
and agility support
• Omnichannel commerce • Field service
management
• Sales and channel
automation • Service process and
operations
• Solution business
• Professional services and
• Subscription billing and
engagement and delivery

revenue management

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References
Product Innovation and Sourcing
Typical
Challenges
• Lack of a complete,
integrated view of
cyberphysical products
• No leveraging of tests and
Product Development
simulations in the early
design phases
• Inability to get product
costs under control
• Complex and costly
product configuration
modeling
• Lack of access to all
Compliance
compliance obligations
Product
• Inability to directly
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
communicate on product
sustainability information
with suppliers and
customers
• Lack of robust sourcing
Sourcing
Strategic
execution process
Current State
with ERP
• Integration of mechanical
and electrical disciplines
in end-to-end design
process
• Requirements that are not
managed centrally
• Collaboration managed
with e-mail
• Ability to release
engineering changes for a
unique lot number and
release date
• Manual effort for simple
costing estimates
• Handling of variant
configuration through the
complete business
process
• Product safety and
stewardship solutions that
automate compliance
determination and embed
compliance metrics in the
R&D environment
• Cumbersome to do
sourcing
Capabilities of
SAP S/4HANA
• Enhanced CAD
integration with market-
leading authoring tools to
support cross-discipline
product definition
• Management of
embedded software
versions
• Single multidisciplinary
product definition
enterprise-wide, reducing
development errors and
improving product
lifecycle management
• New, optimized
configuration engine in
the SAP HANA® business
data platform
• Real-time product
compliance processes
and analytics
• Native integration to the
SAP Ariba sourcing
solution to initiate
sourcing events and
process sourcing awards
Capabilities of
Cloud-Based LoBs
and SAP Leonardo Business Benefits
• Efficient definition,
structuring, and • Faster time to market
management of customer • Reduced engineering
requirements change costs
• Traceability and impact • Ability to meet target
analysis of requirements costs
change implications • Increased revenue from
new products
• Early calculation of costs • Reduced compliance
and other dimensions for management costs, fines,
new products to quickly and recalls due to
identify cost drivers and noncompliance
easily simulate and • Higher sourcing savings
compare alternatives
from unit-price reduction
• Integrated configurator
supporting single-level
variant configuration
models
• Simplified, streamlined,
and automated product
compliance processes
• Sourcing award and
contract integration using
material master data to
create POs and outline
agreements
• Sourcing event execution
and analysis
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References
Supply Chain
Typical
Challenges
• Inability to include real-
management
and insights
time, changing demands
Demand
in planning, leading to
outdated and inaccurate
plans
• Lack of visibility into the
Sales, inventory
and operations
end-to-end supply chain,
planning
leading to poor decision
support and slow
corrective actions
• Inefficient strategies to
and supply
Response
planning
manage orders and
allocations, leading to
fulfillment issues
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
• Inability to promise
Supply chain
accurate and reliable
execution
order dates, leading to
customer dissatisfaction
and revenue loss
Current State
with ERP
• Basic demand planning
features with limited ability
to sense or predict short-
term demand
• Supply chain analytics
only possible using an
online analytical
processing engine, so
data is not real time
• Forecasts generated
in a separate system
with no direct supplier
communication
• Difficulty of analyzing
different future demand
and supply scenarios
Capabilities of
Capabilities of Cloud-Based LoBs
SAP S/4HANA and SAP Leonardo
• Demand changes visible • Short-term demand
without lengthy batch prediction with demand-
processes sensing algorithms and
forecasts for medium-to-
long-term demand
• One live and harmonized • Direct sharing of forecasts
MRP process for all and orders generated by
materials the SAP Integrated
• Embedded analytics for Business Planning
ad hoc simulations with solution with suppliers via
real-time data the SAP Ariba Supply
Chain solutions
• Back-order processing • Rapid and collaborative
with ranking of demand- S&OP, including “what-if”
to-consider priorities analysis and scenario
planning
• Real-time order • Supply planning beyond
confirmation that MRP in conjunction
accounts for allocation with S&OP to provide
constraints unconstrained and
constrained supply plans
Business Benefits
• More-accurate forecasts
• Reduced costs for
demand planning and
forecasting
• Reduced overall supply
chain planning cost
• Faster sales and
operations planning
cycles
• Reduced revenue loss
due to fulfillment issues
• Fewer cancellations of
back-ordered items
• Reduced revenue loss
due to stock-outs and
fulfillment issues
• Improved supply chain
planning and FTE
productivity
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References
Manufacturing
Typical
Challenges
• Long and overnight batch
Manufacturing
runs resulting in planning
operations
inefficiencies
• Inflexibility to include real-
time, changing demands
in the planning run,
leading to inaccurate
planning
• No integration with
Manufacturing
suppliers
networks
• Delivery performance
• No real-time view into
ongoing maintenance
management
activities and asset KPIs
Asset
• Limited ability to analyze
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
data by machines and
sensors
Current State
with ERP
• Planning runs at
predefined times
• Separate manufacturing
planning processes
• Inventory management
and planning systems not
integrated with ERP for
MRP
• Sophisticated analytics
that are disconnected
from real-time operational
data, reducing the
transparency of strategy
changes
• Difficulty in gaining a real-
time view of maintenance
activities
• Analysis based on past
performance and lagging
indicators
Capabilities of
SAP S/4HANA
• Single run that supports
detailed scheduling and
MRP
• Constraint-based
planning
• End-to-end process
integration from sales
order to shop floor
• Integration for sourcing
and procurement
• Transparency and
traceability needed to
connect manufacturing
with the supply network
• Simplified process to plan
and schedule maintenance
tasks
• Quick access to KPIs
Capabilities of
Cloud-Based LoBs
and SAP Leonardo Business Benefits
• Alignment with demand-
driven planning • Faster manufacturing
• SAP Business Suite cycles
software, providing • More-efficient
solutions for make-to- manufacturing planning
order scenarios • Less revenue loss due to
fulfillment issues
• Lower total manufacturing
costs
• Collaboration with • Increase in on-time
manufacturers, operators, delivery performance
and service suppliers
• Increase in return on
across the network
• Enablement of scenarios
assets
specific to domains, • Decrease in unplanned
customers, or service asset downtime
providers • Greater operational
efficiency
• One network channel for
• Lower service and
electronic handover of
technical asset and
maintenance costs
maintenance data to
OEMs, service providers,
and procurement vendors
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References
Multichannel Sales and Marketing
Typical
Challenges
• Difficulty in getting all
Marketing
customer information
in one place, leading to
customer churn and a
subsequent loss of
revenue
• Inability to configure
complex solutions or
Sales
outcomes consisting of
products and services
Commerce
• Lack of ability to handle
billing for subscription and
usage-based services
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• Inability to see and
manage one single quote,
Billing
contract, and invoice
statement listing all
provided services,
projects, and products
Current State
with ERP
• Little consolidation of
customer information
• Inaccurate, outdated
customer data without
integration to other
solutions
• Several unrelated orders
– sales order, service
order, service contract,
and work order – created
by several people
• Responsible employee
who has to check multiple
reports to get a holistic
view
Capabilities of
SAP S/4HANA
• Single consolidated view
of customer information
• Prioritized list with key
characteristics of
outstanding sales orders
• Offerings, subscriptions,
and usage-based
services in one contract
• Generation of one single
invoice in SAP S/4HANA
that combines goods and
services on a single bill
• Real-time postings to
recognize revenue and
support different revenue
recognition methods
Capabilities of
Cloud-Based LoBs
and SAP Leonardo Business Benefits
• SAP Marketing Cloud
• Improved customer
solution: provides
customer with information satisfaction
from all company-owned • Reduced cost of sales
and external sources • Increased sales
productivity and on-time
delivery
• SAP Sales Cloud • Greater business model
solutions: trigger sales flexibility
activities and leads • Improved compliance
according to customer • Higher contract
signals
management efficiency
• Reduced revenue loss
• SAP Commerce Cloud due to underbilling
solutions: provide an
omnichannel digital sales
presence
• SAP Sales Cloud
solutions: allow the rapid
launch of customer-
centric subscription offers
with business-to-business
and business-to-consumer
billing applications
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Customer Services

Capabilities of
Typical Current State Capabilities of Cloud-Based LoBs
Challenges with ERP SAP S/4HANA and SAP Leonardo Business Benefits

• Disparate contract • Service master data and • Offerings, subscriptions, • Service ticket intelligence
Omnichannel

• Greater process
customer

management and renewal agreement management and usage-based

support

process services in one contract • Contract management automation and optimized

and renewal workflows in scheduling functions to
• Network for collaboration SAP Service Cloud make best use of
on equipment data
resources
• Increased productivity for
• Service analytics to • Back-office capabilities in • Mobilized and • SAP Service Cloud field engineers through
management
Field service

improve service efficiency customer service empowered teams mobile information access
• Multiresource scheduling • SAP Sales Cloud • Improved productivity with
• Quick as-built equipment service scheduling and
information handover to • Core systems
incident and problem
aftermarket services
tracking
• More-automated and
• Disrupted E2E service • Service operations and • Personalized E2E service • Predictive maintenance compliant complaints,
Service process
and operations

process
• Need for new service
business models by
embracing new service
technology
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
processes parts process
• Network for collaboration
on equipment data
• Performance based on
and service asset returns, and in-house
intelligence network repair management
• Streamlined contract and
• Machine learning
capabilities
warranty processing
• Increased contact-center

service and “products as • SAP Sales Cloud and efficiency and lower
a service” real-time reporting for service costs
service through • Greater customer
SAP HANA satisfaction

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

SAP Strategy – Deliver the Intelligent Enterprise Intelligent ERP is the

Digital Core of an
Intelligent Enterprise

An intelligent enterprise
can be continuously
enhanced and
Manufacturing Digital People
extending with
& Supply Chain Core Engagement business services and
applications built on a
Customer Network & Spend digital platform to
Experience Management
create transformative
business value.
Intelligent
Suite High-tech organizations
that have big innovation
Intelligent Technologies appetites or prefer to
be early adopters have
already begun this
journey.
AI/ML | IoT | Analytics
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

Digital
Platform

Data Cloud
Management Platform

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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

The Intelligent Enterprise in High Tech Enabled by the SAP Cloud Portfolio

This intelligent, integrated, and modular enterprise portfolio that includes LoB solutions helps ensure processes run smoothly and effectively while balancing supply
and demand, driving sustainable revenue growth, and maintaining margins.​

SAP® Cloud
Analytics Internet of Things SAP Leonardo Machine learning Blockchain
Software Innovation Training and Inventory and Subscription Inventory and
entitlements development operations and billing warehouse
Quotation Product Embedded Opera- Pay
Sales portfolio software Payroll
and Talent tions Supply for Invoice
order Customer Product People chain and Net- out- and
works come Finance Procurement
engagement Travel manu- pay-
experience agility Account-
and Supply facturing ables
Service R&D External ing
Marketing mobility planning Compli-
talent Asset ance
Commerce Contingent Supplier
Development management Consolidation management
management workforce

In-memory computing SAP HANA® SAP Cloud Platform

OEM Software Component manufacturer Fabless-semiconductor Consumer electronics Medical devices
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 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

SAP’s Value Proposition for High-Tech Companies

SAP S/4HANA provides high-tech companies with a proven framework to adopt industry best practices while attaining operational excellence across the full value chain.

Strategy enablement Business benefits*

• Accelerate creation of new business models • 10%–30% increase in on-time delivery
• Enter new markets and industries • 25%–30% reduction in inventory levels
• Accelerate synergy for mergers and acquisitions • 10%–20% increase in customer satisfaction
• Run live (SAP Digital Boardroom) • 10%–12% reduction in days of inventory
• Reorganize on the fly • 10%–15% reduction in revenue loss due
• Achieve greater speed and agility Strategy to stock-outs
enablement
• Run simply (master complexity) • 10%–12% reduction in total logistics cost
• Manage risk and ensure compliance Business
• 3%–5% reduction in supply chain planning cost
benefits • Reduction in order-fulfillment lead time

Empowered employees Empowered IT benefits and total cost of ownership (TCO)

• Higher productivity with a new, role-based way of employees • Reduced data footprint
working with the responsive, intuitive SAP Fiori® user • Merging of OLAP and OLTP
IT benefits
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC

experience on all devices • Elimination of many desktop clients

and TCO
• Role-driven, user-centric processes and self-service • Lower testing costs
business intelligence for user empowerment • Simplified landscapes
• Actionable insights on unified, real-time data and • Native integration
processes, with built-in system suggestions for
decision support

*Benefits are based on results from early adopters of SAP S/4HANA or are conservative outside-in estimates of the benefits of moving from a traditional ERP system to enhanced SAP S/4HANA with line-of-business
and cloud capabilities. As each enterprise is at a different level of maturity, our recommendation is that you work with SAP to determine the value proposition for your enterprise. 17 / 19
 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Customers Are Achieving Value form SAP Solutions

CEITEC Beijing GeoEnviron Engineering & Technology

Industry
High tech – integrated
circuit (IC) design and
manufacturing
SAP Solution
SAP S/4HANA
Customer Web site
www.ceitec-sa.com
Click here to read
the business
transformation study.
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Brazil-based CEITEC S.A. Semiconductors needed Industry As the first environmental protection enterprise in
a better ERP solution for running its integrated High tech – China to deploy SAP S/4HANA, Beijing GeoEnviron
circuit design and manufacturing business. Today, environmental Engineering & Technology lnc. (BGE) is dedicated
CEITEC uses SAP S/4HANA, SAP Fiori, and the protection technology to using cutting-edge technology to promote a
SAP Best Practices package for Semiconductor and healthy, safe planet for generations to come.
Photovoltaic Companies for the entire IC business – SAP Solution With SAP S/4HANA at its core, BGE is seeing
from purchasing, finance, and accounting to factory SAP S/4HANA radical changes in the way the business operates
shop floor and contract management. By choosing and its people work.
SAP S/4HANA, CEITEC cut costs while improving
Customer Web site
internal and external integration, strengthening www.bgechina.cn
business processes, and delivering more-accurate Click here to read
data in real time. the business
transformation study

“Our use of SAP S/4HANA will definitely help our company grow faster.” “SAP S/4HANA supports BGE’s IT systems, organizational processes, and
Ireneo Alfaro Demanarig Junior, CIO, CEITEC S.A. Semiconductors business strategies. It is making BGE more efficient as the core of a
future-proof environmental service ecosystem platform.”
Weiguo Li, President, Beijing GeoEnviron Engineering & Technology lnc

18 / 19
 Overview ǀ Strategic Priorities ǀ E2E Scenario ǀ Deep Dives ǀ SAP Strategy ǀ SAP Solution Portfolio ǀ SAP Value Proposition ǀ References

Customers Are Achieving Value form SAP Solutions

Hewlett Packard Enterprise Oclaro

Industry Hewlett Packard Enterprise Company (HPE) is a
High tech US$50 billion high-tech company. Today, it needs
to manage more data per day than in the entire
SAP Solution history of the company. HPE needs to orchestrate
SAP S/4HANA and monitor a multicloud environment fueled with
innovations happening at lightening speed. HPE is
Customer Web site
running on SAP S/4HANA to optimize one of the
www.hpe.com
most complex supply chain operations in the
industry. Being an early adaptor of SAP HANA
Click here to watch
the video. allows it to make decisions in the moment to
manage costs and customer expectations.
© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC
Industry Oclaro Inc. is a leader in optical components,
High tech modules, and subsystems for optical transport and
metro networks, enterprise networks, and data
SAP Solution centers. As the market need for speed and bandwidth
SAP S/4HANA and continues to skyrocket, Oclaro knew it had to prepare
many more for massive growth and new business models. To
unify the enterprise on a single digital platform,
Customer Web site
Oclaro replaced an Oracle system and deployed a
www.oclaro.com wall-to-wall SAP software landscape with SAP
Click here to read S/4HANA at its core. The project was completed
the business in 11 months. The result is “one Oclaro” that can
transformation study. continue to grow and innovate to meet the world’s
expanding telecommunication and computing needs.

“SAP S/4HANA affords a unique opportunity – it is a great paradigm “We should be gathering information 10% of the time and making decisions
busting opportunity for us to completely rethink experiences, processes 90% of the time. With our SAP system on SAP S/4HANA, we have more
and the way we work.” time to make the calls that differentiate us from the competition.”
Dave Carlisle, HPE IT CTO, Hewlett Packard Enterprise Pete Mangan, CFO, Oclaro Inc.

19 / 19
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