Without an understanding of data?

Once the target operating model is set, the business glossary is the next to be agreed upon. Often there are issues already on this level: systems and solutions have similar names for entities, which does not mean the same in real life. Master data management and maintenance might be scattered in the organization, and responsibilities and standard operating procedures are unclear.

One good approach is to think from right to left – from the target state to the source. What are we measuring, what are the KPIs, what is needed? The data model and data flows should be analyzed backwards to offer exactly the required dimensions, aggregations, distributions, allocations, and measures. If we are not there even with the basics, with the business glossary, this is quite impossible.

Self-service cannot happen without a sufficient understanding of what we have. Usually, the understanding of data content and data lineage has been limited, and low-code and no-code approaches may move even more responsibility to key users. They are expected to survive in the business environment as they are surviving in their free time with apps, streaming and soon virtual reality. However, usually for businesses, the tools have not been on a sufficient level.

Why has the emphasis on the understanding of data been so low in ERP programs? There are a plenty of reasons. One is the idea of migrating legacy systems in the lean way, one is cost-cutting, and one is the lack of resources. One is concentrating on master data on SAP only, and looking into partial processes. However, in the world of hybrid architectures, the need for corporate-level data models and understanding is in higher demand.

Enhanced SAP offering and partnerships

SAP is now offering more to overcome these very common issues. SAP Datasphere has a data catalog, which contains Business Glossary. SAP has announced a partnership with Collibra, which provides even more capabilities for data catalog, governance, quality, and lineage. For a business user who wants self-service, understanding what is available and what it means is imperative. Without understanding, you cannot create business value.

SAP Datasphere has analytical modeling capabilities – but even before creating analytical models in the system, the organization structure, the finance data model, and all other relevant data management deliverables should be defined. Without a common agreement on data, we cannot implement a solution fulfilling your business needs.

Now SAP Business Technology Platform (BTP), including SAP Datasphere, data catalog, analytical modeling, and other capabilities, will give unheard-of possibilities within the SAP landscape to tackle the expectations of business users. These should be explored without bias and prejudice when planning S/4HANA transformation and revising how SAP solutions are built.

Think and plan end-to-end

  • Do not cut corners. You may get lost and will not find your way home.
  • Don’t underestimate the power of data, and make sure your organization has an aligned understanding before you start to build.
  • Do all phases and levels rigorously: target operating model, business glossary, data catalog, data model, and data flows. Not forgetting processes, functions, and non-functional requirements.
  • Do not think only ERP and S/4HANA, but think of end-to-end processes and the full SAP system landscape in a world with hybrid architectures and new challenges.

Author: 

Tapani Tuoma
Senior Business Advisor, BearingPoint Finland

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