Introduction to SAP's strategic enterprise management capabilities

Mesh Record

1. General statement

2. SAP sem-Strategic Management

3. SAP sem-Performance measurement

4. SAP sem-Business Consolidation

5. SAP sem-Business Plan

6. SAP sem-Stakeholder Relationship Management

7. Appendix: SAP SEM section Customer list

1. General statement

For the senior managers of banks, the strategic management of banks is the core of all management work, the pursuit of maximizing shareholder value is the goal of management. Strategic management includes strategic planning, strategic Implementation monitoring and strategic feedback, in the whole strategic management process, can be combined with the method based on value management, strategy development and monitoring of Balanced scorecard to ensure the implementation of the strategy in the bank, improve the core competitiveness of banks, Ultimately, the maximization of shareholder value can be achieved.

the SEM (Strategic Enterprise Management) functional module of SAP, centering on all aspects of strategic management, integrates advanced strategic management ideas and methods to provide banks with a complete set of strategic analysis and strategic management tools to support a fully integrated strategic management process.

SAP SEM can enable the bank's managers to achieve strategic information collection, strategic planning simulation analysis, strategic planning from top to bottom decomposition, make it a business unit, product group, or service center business plan, for senior managers to provide a comprehensive and timely implementation of the strategy in the process of performance monitoring, Flexible integration of information from different business organizations, and stakeholder relationship management that supports strategic communication and feedback.

The SAP SEM enables seamless integration with SAP BW, including a variety of pre-defined industry strategy maps, various business templates and simulation tools, various business consolidation components, key performance indicator values, and different types of stakeholder reports. SAP SEM is also tightly integrated with business analyzers to continuously optimize business processes through a variety of analytical data.

Through collaboration with reputable consulting firms, SAP SEM provides the company with a complete set of advanced strategic management tools, many of which are industry-leading applications (such as BSC).

1. SEM-SM (Strategy Management)

Strategic management

In SAP's SEM-SM, a comprehensive set of strategic management functions based on BSC is included. The specific features include:

• The Balanced Scorecard component system can be used to realize the electronic representation of the BSC card. Including the entire balance scorecard structure and the implementation of the elements. Moreover, it can integrate scorecard data of different organization levels, and realize automatic calculation and early warning function of scorecard data.
• The causal chain integrates individual strategic objectives with strategic planning, and the status of different strategic elements can be visually reflected by the system. The composition of the causal chain can be presented through vertical strategic decomposition and horizontal strategic perspectives.
• The Balanced Scorecard analysis compares the performance indicators in the scorecard, and the system integrates all the planned and actual values. It can make the analysis of performance indicators easy for the user. Users can also compare different time series and organizational unit's Balanced scorecard.
• Performance Indicator Tree This feature can be used to decompose performance indicators, detailing the composition and calculation of the performance indicators, and all the planned and actual values involved can be listed.
• Data digging function with the help of the navigator function of the performance index tree, the user can locate the performance indicator value, and the detailed data of the performance indicator can be obtained by double-clicking the function of the data digging.
• The Balanced Scorecard monitor can be used to monitor the data acquisition and input process of the BSC, and to monitor the numerical status of the scorecard, and send the warning message to the responsible person.
• integration with other systems The business information reflected by the BSC in SEM can be obtained by integrating data from SAP and non-SAP systems through the Business Information Warehouse bw to ensure the validity and real-time of the data in the BSC.

3. SEM-CPM (Corporate performance Management)

Group Strategic Management

The CPM (Group performance monitoring) function is also included in the SAP SEM. Key features include:

• Management cockpit According to the principle of ergonomics, the bank's performance indicators are comprehensively listed to ensure that managers can easily understand and control the bank's operating conditions. The management of cockpit functions can also be achieved through a single computer screen.

• Performance Indicators Catalogue Through collaboration with research institutions and industry-leading customers, SAP summarizes and collates the performance indicators in strategic management. Performance Indicators catalog Categories list different performance indicators, including definitions, algorithms, and other annotations for different performance indicators. These pre-set performance indicators can help users easily refer to different business types and performance evaluation criteria.

• The performance indicator creator allows users to customize different performance indicators and can also refer to existing performance indicators in the performance indicators catalog for reuse and correlation.
• Benchmark Value in SAP systems, users can also set relevant industry benchmark values for evaluation of performance indicators. SAP also provides an open interface that allows direct invocation of data from other benchmark providers in SAP for data exchange.

1. SEM-BCS (Business Consolidation)

Business Consolidation

This feature evolved based on the merging capabilities of SAP R/3. By using the functionality of business consolidation, users can manage business consolidation and statutory financial consolidation. This means that banks can not only use it for the consolidation of relevant Bank statutory financial statements, such as the consolidation of statements by subordinate bodies, the issuance of financial statements in accordance with GAAP or IAS standards, and the easy merging of business data, such as the cost of management accounting or profit data. Key features include:

Merging master data definitions The merged data structure can be defined according to the business organization mode of the bank, and the different sub-branches are defined as different merging units, and the combined results are obtained. Also, you can set different versions of the report for the merged data.

The Data monitor and Merge monitor system provides an intuitive interface to track the loading and processing of merged data. This allows the user to clearly understand the process of merging and to discover problems with merging data.

flexible data acquisition capabilities data in the BCS system can be data from SAP R/3, data from other components of the SEM such as BPS, data collected through SAP BW, or data that is manually entered or loaded. The system also has the function of data verification, the user can set different check rules for data filtering, in the process of merging can also specify a different currency and exchange rate for currency conversion.

Auto Merge feature These features include inter-unit data deletion (such as transactions between different branches), Business unit equity consolidation and investment consolidation (such as the mutual investment relationship between different branches), and data re-categorization and manual posting functions. Of course, the credentials in the merge process can also be generated automatically by the system.

Merging reports in the merger process involves various changes in equity, investment changes and other data will be reflected through the system preset various reports. such as shareholder's equity or investment change report, inter-Unit Data deletion record report, System log and other specific consolidated reports. The feature of SAP BW enables the bank to meet complex consolidated business reporting requirements.

1. sem-bps (Business planning & Simulation)

Business planning and Simulation

This feature is mainly used to support the bank's short-term and medium-term business business plans and financial plans. It incorporates sophisticated planning templates and planning features, including advanced tools such as the POWERSIM Dynamic Simulation tool developed by SAP and MIT to significantly improve the efficiency of banking and financial planning functions, as well as integration with other system data. Key features include:

Planning Data Modeling A data model used to define the different organizational structures and different types of plans for a bank. Through this function, the bank can define the relationship and hierarchy of different data of different plan scope/layer/business organization, and support the consistency of data in the complex plan structure of the bank. In addition, different planning data can be stored separately as different versions.

Planning Features the BPS system supports a variety of planning functions, including data replication, data revaluation values (such as adjustments at a certain rate), re-setting (e.g., data for different sub-branches), top-down decomposition and bottom-up imputation (e.g. at different sub-branch levels), trend analysis, Predictive simulations (including dynamic simulations of Powersim, OROS, ABM), and user-defined calculation formulas.

Planning Interface Different planning units can have their own planning scope, which includes the corresponding planning level settings, the corresponding different planning functions, and permission settings. Users in the system operation, can be based on the SAPgui interface, can also be a network interface, but also through the familiar Excel interface, for planning data acquisition posting, BPS also provides a network interface creator. BPS integrates these different planning interfaces into the planning application. Lists the main various planning application interfaces.

Various planning interfaces for BPS

Plan your application the BPS Planning feature integrates the bank's business plan and financial plan to enable planning data integration across departments and applications. If the entire bank's market and sales business plan data are associated with the financial department's planned financial statement data. Different data associations and templates are preset in the system, such as cost planning, investment plan data that automatically affects monetization plans, financial statement plans, and portfolio planning data. Users can adjust these data association relationships and plan templates based on the bank's business relationships.

Planning Process Monitoring throughout the planning process, different planning levels and planners are involved, and the BPS-specific planning process monitoring function ensures efficient data flow. Through the system, the bank can understand the data flow and processing situation, the system can automatically trigger the relevant prompt mail and workflow, help the program manager better understand the planning status, such as the delivery of planned data, the completion of the lower plan data and upload, plan data received and rejected.

1. SEM-SRM (Stakeholder relationship Management)

Stakeholder Relationship Management

For banks, an important part of strategic management is to maintain good communication with investors, outside analysts, potential investors and other stakeholders, provide them with the financial data and business information they need, and proactively provide information to stakeholders on the operation of the Bank and the strategic management process. This will ensure that the market value of banks is not affected by external analysis. At the same time, the bank can collect different feedback information in this process, understand the expectation of the stakeholders to the bank, carry on the strategic feedback, so as to better formulate the bank's development strategy.

SEM SRM provides the relevant information processing function for the bank, and fully supports the management of the bank's strategic stakeholders. Key features include:

Stakeholder master Data Management including the management of various information and information of the stakeholders. such as the name, personal data, language requirements, contact information, etc. of the person's rights and interests; The system can record and analyze different stock ownership status and change situation. The system can also be recorded separately according to the actual influence of different equity holders.

Stakeholder Contact Management This part of the function is mainly used to record the bank's contact history with different stakeholders, to collect and answer e-mails from stakeholders, to issue meeting announcements and information, to create and send feedback forms, etc.

Document Management It mainly includes the management of the access records of the stakeholders ' documents, and the different documents sending process according to the requirements of different stakeholders.

Report Builder This feature can be used for bank stakeholder relationship Management manager and stakeholder self-service report creation, including through BW specifically for stakeholders to set different types of reports, such as general financial statements, the balance Scorecard data Browser used by stakeholders, web-based report generation tools that can be multidimensional analysis, and so on.

Business Information Collector through the built-in editing tools in the system, banks can carry out a variety of internal and external information collection, including various industry information from the Internet, as well as internal electronic Document information, and through the manual creation of various document information. This feature is embedded in a Web browser and Microsoft Word, making it possible to edit all kinds of information flexibly. The edited information is stored in the SEM's business Information warehouse as an information particle, making it easy for other users to invoke. The system also supports the information type setting of different information users in the bank, and can collect and transmit information according to the information requirements of different users.

The SAP SEM, which is based on the above functions, is the most complete set of strategic management tools (GartnerGroup 2002) on the market, which can be used for the strategic management of banks or other organizations. It can guarantee the coherence of the Bank's strategic management, improve the operation of strategic management, make the strategic management become an important part of the daily management of the bank, thus realize the real value-based management and maximize the value of the bank shareholder.

7. Appendix:SAP Strategic Enterprise Management segment customer list:

Suez Financial Group

Deutsche Bank

Coca-Cola Company

Nokia Corp.

First Bank of America

Allianz Insurance

Siemens Corp.

Nestle Company

Ubsag

Westlbag

Massmutualfinancial Group

Standardbank Group LTD

Barclaysbank

Abnamro Bank n.v.

Thebank of Ireland Group

Koreaexchange Bank

Busanbank

Koreaindustrial Bank

etc.

Introduction to SAP's strategic enterprise management capabilities