Transcript The SearchSAP.com Conference Europe

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Alternatives to SAP –
building the e-business
platform
Philip Carnelley
Software Research Director
[email protected]
www.ovum.com
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TINA?
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Business pressures on the IT
function
Do more with less
Reduce risk
Exploit innovations
SAP’s value proposition is to
help with all this.
How does it stack up?
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ERP legacy
~15 systems
But …
ERP non-SAP
~25 systems,
different versions
SAP R/3
~30 systems,
Versions 3.11 – 4.6B
E-Procurement
10 units
Technical
systems
SAPMarkets
Enterprise Buyer
Professional Edition
Trading
Source: SAP
e-Sales
Collaborative
Engineering
… complexity and heterogeneity are increasing
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New platforms, multi-channel delivery and
What’s
increasing
complexity?
web-centric applications
Need to link businesses across the supply
chains : creating the ‘extended enterprise’
Organisations are trying to move to a
services-oriented
You’re
trying to build architecture
an e-business platform
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What makes an e-business
Aggregation
Co-ordination
platform?
Portal
Workflow
User
interactions
Process
Management
Process
Management
Application
processes
Application
Server
EAI
Data access
middleware
Data
replication
Transactions/
functions
Data
Pitched by the largest “platform” players… including SAP
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Fragmentation reigns …
Ascential
250
BEA
Business
Objects
Cognos
eXcelon
200
FileNET
Hummingbird
100
BUT...
Mercator
• Struggling
SeeBeyond
Staffware
Stellent
Sybase (eBD)
TIBCO
Vitria
0
webMethods
Q401
Q102
Q202
Q302
• Ambitious and aggressive
Interwoven
Plumtree
50
Most independent
integration-focused
vendors are…
• Small
• Pathologically averse to
making money from services
• “scalability” & market valuation
is the focus
• the dot.com hangover at work
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How to decide if SAP
can meet your needs
for an e-business
platform …
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You might not want / be
able to run
mySAP/Netweaver as your
e-business platform
everywhere
For knowledge
management across the
heterogeneous environment
you may need to take a
neutral third-party offering
You may have several
solutionsKey
today
and how
be
issue:
considering whether to
mySAP Solutions
mySAP Business Suite
SAP NetWeaver
But…
I assume you have core ERP from
SAP …
mySAP
SRM
mySAP
SCM
mySAP
FIN
mySAP
HR
mySAP
PLM
mySAP
CRM
SAP R/3 Enterprise
SAP Web Application Server
People Integration: SAP Enterprise Portal, Collaboration, …
Information Integration: BI, KM, MDM, ...
Process Integration: XI, Business Process Mgmt.
Source: SAP
to decide about the platform ?
How IT is meeting the core
business needs
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Four classic IT initiatives today
1) Improving information access and worker
collaboration
2) Taking control of unstructured data
3) Better business monitoring and control
4) Managing business processes and transactions –
even across the stovepipes
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Theassessment:
Ovum Evaluations
 Capability
• Build a model of an ideal world
offering based on need and
possibility
•
Examine the offerings and how
they compare
approach
Inter-enterprise
Process Integration
Throughput
Management &
Monitoring
Web Enablement
Modelling
 Assess the robustness,
potential and the future of
the supplier
 Characterise the offerings to
show how they fit into reallife scenarios
• Which scenarios correspond to
your own?
This is a toolkit of techniques,
not a regimented process
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Basic initiative 1 —
Improving access and
worker collaboration
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1) user interface
What we
look for in Portals
2) search and categorisation
3) structured information access
4) unstructured information access
5) data and content management
6) integration
7) workflow and task management
8) collaboration and groupware
These are fairly plug-and-play
Supplier robustness is important
9) portal component development
10)Portal management
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The leading portal providers
Leaders
2002 Market share
Plumtree
IBM
17%
Others
48%
Microsoft
10%
IBM Oracle
Microsoft
SAP
Sun
Hummingbird
Market
position
Oracle
10%
Sybase
CA
SAP
People
8%
Soft
7%
Emerging
Ovum estimates
‘All in’
Framework
Breadth of portal scope
Source: Ovum
Source: Ovum Evaluates
Portal Software
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Issues to consider with SAP’s
portal
You’re
largely on your own with
interfacing to other enterprise
applications
• But a great interface to mySAP !
Drag&Relate technology is very
impressive, but not magic
• you need to have consistent database
definitions and it can be hard work to
set up
Unix/J2EE support only recently
arrived
So the usage scenario – SAP-centricity – is key
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Basic initiative 2 —
Managing unstructured
data
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CapabilityStorage
assessment
of
CM
and
systems control
Internationali
sation
Applicati
on
develop
ment
Web
publication
Knowledg
e
Document
management
Web authoring
and design
Workflow
support
Integration with
other business
applications
A CMS can do all of this – but
what do you need?
managem
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The leading ECM providers
Leaders
IBM/Lotus* **
Microsoft*
IBM
Documentum
Open Text
FileNet
FileNet
Documentum
Interwoven
Vignette
IXOS
BancTec
Market
Interwoven
Stellent
position
Hummingbird
Stellent
Microsoft
Open Text
Hummingbird
Vignette
Emerging
0
50
100
150
200
$million
Narrow
* Ovum estimated revenues
Source:
Ovum
** IBM figures include revenues from both IBM DB2 Content Manager and Lotus
Domino.Doc
Broad
Breadth of ECM scope
Source: Ovum (Ovum Evaluates: Content Management/Market forecast)
Source: Ovum Evaluates Content Management
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Issues to consider with SAP and
content management
Provides basic storage and archiving of R/3
content only
Partners with IXOS, FileNET and Documentum to
provide full back-end content management
Solution spread between basic R/3 features and
portal features
Not intended to manage external content
You designed
almost certainly
will want
to augment mySAP here
Not
for web
publishing
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Basic initiative 3 —
Business monitoring
and control
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Today’s What
businessto
needs
support
look
for for:
in
BI
End-to-end BI process
Realtime data analysis
Analytical applications
Scalability
Globalisation
Actionable
decisions
Transform
and load
Reporting
and analysis
Data warehouse
& marts
Transaction
Data
Timely
information
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The leading BI providers
Approx revs from BI software
- - OLAP - Business Objects
Leaders
IBM
Microsoft
Hyperion
Cognos
Oracle
SAP
Cognos Corp
SAS
- - ENTERPRISE REPORTING - -
Business
Objects
Crystal Decisions
Actuate Software Corp
SAS
- - DATA MINING - Ascential
Informatica
Market
position
HNC
SPSS
Microstrategy
ETI
Brio
- - ETL - Informatica
Acta
Ascential
- - PLATFORM PROVIDERS - IBM
Oracle Corp
Microsoft Corp
Emerging
Sybase
Niche
Breadth of BI scope
Infrastructure
provider
Teradata (NCR)
Peoplesoft
Source: Ovum Evaluates BI
Source: e-Knowledge@Ovum
SAP AG
0
Even within BI, the market’s fragmented
100 200 300 400 500 600 700
Source: Ovum estimates
$ million
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Issues to consider with mySAP as
a complete
solution
Heavily
focusedBI
on data
within the SAP
environment
• Good (e.g. pre-configured templates) within this
• Specially tailored versions for some vertical industries
• Not good in a multi-vendor multi-database environment
Partner products needed to boost standard
functionality, e.g.
• Ascential for ETL
• Crystal Decisions for reporting
Advanced functions (data mining etc) also need
solutions
This ispartner
one of the
easiest technical areas to ‘plug and play’
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Basic initiative 4 —
Managing, monitoring
and controlling
business processes
What processes are you looking to
manage?
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Ad hoc collaborative
High
Pure application to application business
system
integration Production
E-process
Internal
App2App
B2B
Marketplaces
Internal
P2P
Low
workflow
EAI
B2C
Low
Complexity of processes
Formal structured person to person
High
Transactional throughput
technology
Business
management
software
Messaging/
routing
(IT infrastructure)
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The leading business process
solution providers – four
From four backgrounds …
philosophies
Pure plays
(very small!)
Bizapps providers
Asera
Savvion
SAP
Oracle
Siebel
BPM/EAI/
Workflow
IBM
Microsoft
Tibco
Platform providers
Traditional
Workflow providers
Filenet
Staffware
Orchestrating process, people, applications
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Issues with to consider with SAP’s
It’s designed to automate processes within SAP
workflow
•
Interfacing to other systems is on SAP’s terms
It’s not designed for ‘lite’ or ad-hoc processes
Also not designed for classical high-throughput,
image –heavy document or case handling (eg in
insurance)
But there is also the Exchange Infrastructure
• Two solutions can be a bit confusing but ultimately v
powerful
•
Also plays in the EAI space – big overlap
What really is your need?
Focused on creation of ‘composite applications’
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Issues to consider with SAP as a
BPM provider
It’s becoming a strong point of the SAP platform
But how much do you need to create “composite
cross applications”?
How easy is it to fold in processes from other
systems – and indeed from your partner
companies?
This is often an area driven by your SI – how do
they want to play it?
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ERP legacy
Is
an
EAI
solution
the
answer?
~15
systems
EAI solutions offer:
 developer tools
 adapters and
connectors
• For functions, data
ERP non-SAP
~25 systems,
different versions
Technical
systems
SAPMarkets
Enterprise Buyer
Professional Edition
Trading
e-Sales
 heterogeneity
 synchronous and
asynchronous
E-Procurement
10 units
EAI
hub
translation, process control
 runtime quality of
service
SAP R/3
~30 systems,
Versions 3.11 – 4.6B
Collaborative
Engineering
160.0
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EAI market leaders
140.0
Consolidating on a few
majors
•
IBM*
100.0
TIBCO*
80.0
A few tier 2 players
A lot will fall away
Microsoft*
webMethods
MS, IBM really taking
control
•
•
120.0
SeeBeyond
Mercator
BEA*
Sun*
60.0
Sybase*
Vitria
Microsoft is the
company driving change
20.0
.Net brings EAI to the
masses
M
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pNo 02
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40.0
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Issues with Netweaver as an EAI
Netweaver is not really intended to
solution
address the classical EAI scenario
• Though it includes much EAI capability, repository
based
It will probably change (and improve) a
lot over the nextmySAP
12 months
application
So – what are you trying to achieve?
Marketplaces
etc
Partner
apps
Customer
apps
Other
applications
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So – what to do?
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You need to assess:
Building
the e-business platform
Can the SAP offering meet your needs within the
mySAP context?
How strong is your need outside the SAP
environment?
If you are looking elsewhere and need a thirdparty offering, will the SAP offering also help or
just increase your costs?
Use the three evaluation techniques
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Type conclusion
statement
Going with here
the flow is not
the only alternative –
check out the others!