38
IBM Global Business Services ibm.com/bcs IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader IBM Global Business Services

IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

Embed Size (px)

Citation preview

Page 1: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

ibm.com/bcs

IBM SCM/SAP Practice in China- Sean Ryu, GCG SCM Leader

IBM Global Business Services

Page 2: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20072 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice Overview

GBS in China

IBM SAP practice in China

IBM China Experience on Localization

Appendix IBM GBS SAP Implementations in China

Page 3: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20073 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice OverviewGBS in China

IBM SAP practice in China

IBM China Experience on Localization

Appendix IBM GBS SAP Implementations in China

Page 4: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20074 © Copyright IBM Corporation 2007

Continued pressure on margins through growth &

cost containment

Changing market boundaries and new channels

Aggressive global competition

Shortening product lifecycles

SupplyChain

Management

Source: Value Chain Study, IBM Institute for Business Value

Industry consolidation and alliances

Increased reliance on specialization and

partnerships

Supply Shocks Demand Shocks

Various issues are forcing change and innovation in Supply Chain Management

Page 5: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20075 © Copyright IBM Corporation 2007

IBM draws on its full breadth of SCM capabilities to address the challenges that clients in all Industries are facing

Program Management

Change Management

Supply Chain Strategy

Supply Chain Operations ProcurementLogistics

Supply Chain Enterprise

Applications

Product Lifecycle Management

Supply Chain Planning

Page 6: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20076 © Copyright IBM Corporation 2007

The credentials of the IBM SCM Services’ practitioners are exemplary and resources span all geographic regions

1900+ SCM Consultants

E u r o p e

800+ SCM Consultants

A s i a / P a c

3000+ SCM Consultants

A m e r i c a s

Over 25% have advanced degrees; 200+ with PhD’s

Average staff experience in SCM field is 9.5 years

40% of staff has over 10 years supply chain experience

Current staff holds 14 supply chain related patents, e.g.:“Decision Support System for the Management of an Agile Repair Supply Chain”“Fast inventory matching algorithm for the process industry”“Virtual sales person for electronic catalog”

Over 45 books and articles have been written by our consultants on a wide range of topics such as:

“Transforming Government Supply Chain Management”“Information Technology At Work Today in the Energy Industry”“Multi-facility Location and Routing Models to Minimize Hazardous Material Transport Accidents”

Page 7: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20077 © Copyright IBM Corporation 2007

SCM Service collaborates extensively with IBM Integrated Supply Chain group, IBM Research and leading universities

IBM Integrated Supply ChainIBM SCM Services has had significant involvement in multiple IBM Integrated Supply Chain (ISC) Transformation initiatives

GBS / ISC skills and best practices are available to IBM Clients

ISC has been continuously ranked as one of the top 25 Supply Chain Operators (AMR Research, 2007)

China Research LabAs one of IBM’s 8 global research labs, China Research Lab has developed the OSCAR analytics asset repository to solve SCM problems

- SCPM- SNOW

Center for Business OptimizationIBM CBO builds asset-based solutions to tackle clients’ most complex challenges. Its supply chain-related assets include:

- Dynamic Inventory Optimization- Available to sell

UniversityIBM has established Supply Chain Research Labs with leading universities to create an end to end, e-Supply Chain Research, Simulation and Computing Platform.

Universities engaged:

- GPSE- TOMA

*OSCAR: On-demand Supply Chain Analytics ResourceSCPM: Supply Chain Process ModelerGPSE: General Purpose Simulation EnvironmentSNOW: Supply-chain Network Optimization WorkbenchTOMA: Transportation Operation Models Analysis

Page 8: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20078 © Copyright IBM Corporation 2007

IBM SCM Service has partnered with best-of-breed alliances to address the diversity and complexity of this area

Supply Chain Planning

Product Lifecycle Management

Logistics

Supply Chain Operations / Asset Management

Procurement

Supply Chain Planning

Product Lifecycle Management

Logistics

Supply Chain Operations / Asset Management

Procurement

Page 9: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 20079 © Copyright IBM Corporation 2007

Magic Quadrant for SCM Consulting and Integration Service Providers, 2006

Gartner, Inc. has listed the IBM GBS SCM practice in the Leader Quadrant of their SCM C&SI Magic Quadrant

This Magic Quadrant graphic was published by Gartner, Inc. as part of a larger research note and should be evaluated in the context of the entire report. The Gartner report is available upon request from IBM.

The Magic Quadrant is copyrighted August 2005 by Gartner, Inc. and is reused with permission. Gartner permission to reprint its Magic Quadrant should not be deemed to be an endorsement of anycompany or product depicted in the quadrant. The Magic Quadrant is Gartner’s opinion and is an analytical representation of a marketplace at and for a specific time period. It measures vendors against Gartner-defined criteria for a marketplace. The positioning of vendors within a Magic Quadrant is based on the complex interplay of many factors. Well-informed vendor selection decisions should rely on more than a Magic Quadrant. Gartner research is intended to be one of the many information sources and the reader should not rely solely on the Magic Quadrant for decision-making. Gartner expressly disclaims all warranties, express or implied of fitness of the research for a particular purpose.

Source: Gartner (December 2006)

Page 10: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200710 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice Overview

GBS in ChinaIBM SAP practice in China

IBM China Experience on Localization

Appendix IBM GBS SAP Implementations in China

Page 11: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200711 © Copyright IBM Corporation 2007

Invest to Learn

Establish presence in ChinaOffshore operation

Single city

Sales only

Invest to Grow in China

Broader presence - Multi-cities

- Multiple relationships

- Multiple line of business

Invest to Grow for IBM

Leverage on China's strength

- Growth

- Revenue

- Cost

- Quality

1979 1989 2000 - Present

Strategic Experiment

Strategic Investment

Full Integration

IBM’s development journey in China

Page 12: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200712 © Copyright IBM Corporation 2007

Currently IBM is operating in almost all major cities of China and continues growing…

Harbin

Shen Yang

TianjingBeijing

Ji Nan

Nan JingShanghai

Hangzhou

Fuzhou

Guangzhou

Shenzhen

Kunming

Changsha

WuhanChongqing

Xi’an

Chengdu

UrumqiNorth China

East China

South China

Branch and office

North ChinaCRLCSDLCBICSC

East ChinaChina HQ of IGSBranch of SW Development Center

Retail Innovation CenterSystem Technology Development Lab

South China

ISTCISSCCenter of Command and Technology Support

Open Partner Center

Service Center

Page 13: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200713 © Copyright IBM Corporation 2007

As of 2007, GBS has around 1300 Business Services Professionals in GCG

Our Principal Offices are in : - Beijing - Shanghai - Guangzhou - Hong Kong - Taiwan

Our clients are comprised of a range of diverse companies in six sectors: Communication, Distribution, Finance & Services, Industrial, Public, Small & Medium Business

We can provide comprehensive end-to-end solutions, from strategic change through operate.

Our MNC, SOE and other domestic clients are leaders in the industries important to China.

Page 14: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200714 © Copyright IBM Corporation 2007

24.8%

5.1%3.8%

2.8% 2.8% 2.6% 2.5% 2.3% 2.3% 2.2% 2.2%-0.1%

0.1%

0.9%

0.4%

0.0%

-0.2%-0.2%0.1%

-0.2%-0.4%

2.8%

0%

5%

10%

15%

20%

25%

30%

Oth

ers

IBM

Digi

talc

hina

Tsin

gHua

Tong

Fang

Sie

men

s

CS

&S

Asi

a In

fo

Acc

entu

re

INDR

A

Eric

sson

Alc

atel

2006

Mar

ket S

hare

-1.0%

-0.5%

0.0%

0.5%

1.0%

1.5%

2.0%

2.5%

3.0%

2005

>200

6 Y

tY S

hare

Cha

nge

2006YtY Share move

GBS is the No. 1 consulting and systems integration company in China, and have further extended our lead in the last year…

Source : Gartner Group, IT Services Market Metrics Worldwide Market Share, April 2007 – category : “Consulting” (which includes business and IT consulting) plus “Development & Integration”

China

2.8%24.8%Other Services Vendors

0.0%2.2%47Alcatel

0.4%2.2%47Ericsson

-0.2%2.3%50INDRA

0.1%2.3%50Accenture

-0.2%2.5%54Asia Info

0.1%2.6%56CS&S

-0.1%2.8%59Siemens

-0.2%2.8%60TsingHuaTongFang

-0.4%3.8%82Digitalchina

0.9%5.1%110IBM

YtYShift

2006 Share

2006 (reported)

Rev (US$m)

Page 15: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200715 © Copyright IBM Corporation 2007

GBS China is the top performing country in Asia Pacific and alsoachieving the largest increase in market share…

GBS is being challenged by Fujitsu for a place in the top-5NCS-2.2pts4Singapore

TCS has a dominant position in this marketTCS+0.1pts7India

GBS is competing well against the local playersIBM+0.9pts1China

ACN is only 1pt of share from challenging GBS in the top-5Samsung-0.6pts4Korea

ACN took the lead position from EDS in 2006Accenture+0.6pts5Australia

GBS is in a position to gain position within the top-3 playersFujitsu-0.2pts4Japan

Amongst the MNC’s GBS has lost ground to ACNSamsung-0.1pts4AP ex J

CommentLeader2005 - 2006 YtYshare movement

Rank

Page 16: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200716 © Copyright IBM Corporation 2007

IBM GBS is the Best Supply Chain Consulting Partner in ChinaIn Oct. 2007, IBM for Haier Procurement Transformation was awarded for ‘Best Supply Chain Consulting Partner 2007 in China’ from China Supply Chain Council

The Award for Best Supply Chain Consulting Partner in China was awardedfor the first time to IBM Global Business Servicesfor the procurement transformationof Haier Group in Qingdao.

Page 17: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200717 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice Overview

GBS in China

IBM SAP practice in ChinaIBM China Experience on Localization

Appendix IBM GBS SAP Implementations in China

Page 18: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200718 © Copyright IBM Corporation 2007

IBM SAP Implementation Team in China and Asia Pacific Region

Australia

South Korea

Japan

Malaysia

Singapore

Indonesia

India

Thailand

Hong Kong

Philippines

China Mainland

Taiwan

New Zealand

> 400

> 500

> 80

> 20

> 15

> 75

>15

>200

>30

>15

>200>80

>150

IBM SAP team is the No.1 SAP service provider in the China marketAs of mid 2007, IBM China has around 50% SAP service market shareIBM has a very solid and stable SAP core team, 10+ years of SAP experience for each core team member

5+ Go-Live35%

4 Go-Live30%

3 Go-Live25%

2 Go-Live5%1 Go-Live

5%

GCG10

Other

400302022090

TotalABAPBasisLogistics (MM/PP/SD)FI/CO

Page 19: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200719 © Copyright IBM Corporation 2007

300+ Successful SAP Projects in Mainland China Client List by Industry Sector (1)

Communication

• Alcatel Jiangsu

• China Netcom

• East Communications

• Ericsson Beijing

• Nokia

• Guangdong Nuclear

• Guangxi Laibin Electricity

• Synergie

• Zhejiang Power

• Lucent Shanghai

• Hua Neng Power

Automotive

• Chery Auto

• Daimler-Chrysler Beijing

• DCJ Motor

• Jeely Auto

• Hafei Auto

• Jiangling Motor

• Piaggio Foshan

• Fujian Installation

• Shanghai GM

• SGM Wulin

• Jinbei-GM

• YuTong Auto

• Futong

• Wuxi Weigu

• Goodyear

Chemical & Oil Gas

• BASF• Bayer• BP Shanghai• BP Zhuhai• CALTEX• Chevron Philips• GuangZhou Chemical• IFF• King Ring Group• Krupp• Nanhai oil• Secco• Shanghai Jinshan Petro• Shell China• Sinochem

Page 20: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200720 © Copyright IBM Corporation 2007

300+ Successful SAP Projects in Mainland China Client List by Industry Sector (2)

Electronics (1)

• Amoi Xiamen

• ASMC

• Bird-Sagem

• Bird NingBo

• BOSCH Suzhou

• BYD Shenzhen

• Comba Communication

• Compaq ShenZhen

• CSMC

• Kaifa Shenzhen

• Primax

• Philips Lighting

• Hejian Semiconductor

Financial Services

• New China Life Insurance

• Taikang Life Insurance

• Sinosafe Insurance

Electronics (2)

• Jiuzhou Panasonic

• SAE Dongguan

• Siemens China

• SONY China

• Suntek

• TCL

• Thomson Foshan

• Thomson OKMCO

• UAES

• WAC Lighting

• Xianqu Shunde

• Konka

Page 21: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200721 © Copyright IBM Corporation 2007

300+ Successful SAP Projects in Mainland China Client List by Industry Sector (3)

Distribution (1)

• COSCO Group

• China Sinochem

• China Aviation Oil Supply

• China International Trade

• Group (Lotus Super Center)

• East Abroad

• Nansha Cargo Park Company

• Super Brand Mall

• B&Q SAP Rollout & HHT

• Capital Airport Group

• Suning

• Xinghua

Distribution (2)

• 999 Co.

• AVENTIS Medicine

• Ba Medicine

• Novo Nordisk – China

• Roche Shanghai

• Xian-Janssen

• Bird Mobile Phone Retail

• Cadbury China

• Yang Sheng Tang

• TSL

• Guangzhou Daily

• High Education Press

• Sichuan Xin Hua Book Stores

• Book Store Group (TW)

Industrial - Other

• ABB Xiamen Switchgear

• ABB Beijing High Voltage

• Agfa Film

• Chenming Paper

• Chuangxin Shoes

• Eagel Foshan

• Far East Textile

• Northpole Xiamen

• Trespa

• Zhongshan Fookyik

• Shanke (Shunde) Furniture

Page 22: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200722 © Copyright IBM Corporation 2007

IBM China SAP Application Management Services Capability

SAP Application Management Service• 20+ Accounts • 250+ SAP Support Consultants• Across all major industries incl. CPG/Retail,

Chemicals/Petroleum, Electronics• Core competencies

•SAP Financials (FI/CO)•SAP Human Resource (HR)•SAP Logistics (SD/MM/PP)•SAP Basis•SAP Development (ABAP) •SAP Net Weaver (EP,XI, BW)

AUSTRALIA

JAPAN

ASEAN

GCG KOREA

Page 23: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200723 © Copyright IBM Corporation 2007

IBM as a Trusted SAP Partner recognized externally in China…Capability Maturity Model - Integrated (CMMI)

GCG AMS achieved CMMI Level 5 Certification in 2004 There are other organizations reached level 5 but we are unique in GCG in the wide coverage of locations & range of application support services.

Certified SAP Hosting PartnerBesides Global Hosting Certification, IBM China SAP Hosting Certification was awarded in 2005.One of the 5 certified SAP Hosting Partners in China.

Page 24: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200724 © Copyright IBM Corporation 2007

Application Management Service Key Offerings

Offering 1 - Application SupportHelp Desk Level 2/3 End User SupportTroubleshoot and ResolveEnhancement and DevelopmentUser Training

Offering 2 – SAP HostingSAP System MaintenanceSAP Basic ServiceSAP Optional Services (like DR)

Offering 3 – System Migration & Transition

Offering 4 - System Upgrade

Offering 5 – SAP data Archiving

Offering 6 – Application AssessmentSAP System ReviewSAP Development ReviewSAP Business Process Review

Page 25: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200725 © Copyright IBM Corporation 2007

SAP Application Management Approach

Application Support Desk

Security Administration

Service Desk

Application SupportL3 (Technical)

OperationsLead

Performance Management

IBM SAP Hosting

BusinessArchitects

Application SupportL2 (Functional)

Inci

dent

Man

agem

ent

Business

Ope

ratio

ns M

anag

emen

t

Serv

ice

Man

agem

ent

ServiceManagement

Cha

nge

Coo

rdin

atio

n

Con

figur

atio

n M

anag

emen

t

Rel

ease

Man

agem

ent

End User Support

Bus

ines

s Pr

oces

sSp

ecia

lists

IBM Responsibilities

Leve

l 1Le

vel 2

Leve

l 3O

ther

Stra

tegi

c D

irect

ion

ChangeManagement

Application Infrastructure Specialist

Problem and Query ManagementSupport Organisation

Application Support Desk

Security Administration

Service Desk

Application SupportL3 (Technical)

OperationsLead

Performance Management

IBM SAP Hosting

BusinessArchitects

Application SupportL2 (Functional)

Inci

dent

Man

agem

ent

Business

Ope

ratio

ns M

anag

emen

t

Serv

ice

Man

agem

ent

ServiceManagement

Cha

nge

Coo

rdin

atio

n

Con

figur

atio

n M

anag

emen

t

Rel

ease

Man

agem

ent

End User Support

Bus

ines

s Pr

oces

sSp

ecia

lists

IBM Responsibilities

Leve

l 1Le

vel 2

Leve

l 3O

ther

Stra

tegi

c D

irect

ion

ChangeManagement

Application Infrastructure Specialist

Problem and Query ManagementSupport Organisation

IBM

Client

Page 26: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200726 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice Overview

GBS in China

IBM SAP practice in China

IBM China Experience on LocalizationAppendix

IBM GBS SAP Implementations in China

Page 27: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200727 © Copyright IBM Corporation 2007

Key Challenges in SAP implementation in China

Regulation Local statutory financial statements in Chinese Golden tax invoice printingImport/export process and bonding management

LanguageSimplified Chinese for mainland China and Tradition Chinese for TaiwanUnicode solution for multi-language requirement in one system

ResourcesWW users

– more ERP knowledge and experience

China User– little ERP knowledge and practice

– willing to change and use new technology

Page 28: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200728 © Copyright IBM Corporation 2007

IBM China is well experienced in local regulation and build solution template to support customer in following area

1. Golden Tax – compliance to tax regulation

2. Local Accounting Report

3. Foreign Exchange And Claim Management

4. Import/Export And Bonding

Page 29: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200729 © Copyright IBM Corporation 2007

金税系统SAP

SAP序列号 客户税号 客户地址/电话 我方税号公司名称银行帐号货物名称单位单价税率数量开票人日期发票号发票类别备注…

XXX XXX XXX XXX XXX XXX XXXX XXXX X XX XX XX XXX XX XXX

ExFapiao.txt

SAP序列号 客户税号 客户地址/电话 我方税号公司名称银行帐号货物名称单位单价税率数量开票人日期发票号 发票类别 备注…

XXX XXX XXX XXX XXX XXX XXXX XXXX X XX XX XX XXX XX 01354263 3300014140 XXX

ImFapiao.txt

Export

Import

读 入

输 出

增值税专用发票打印

分配发票号,加密,打印

Step 1: Export SAP billing documents to Golden Tax flat file formatStep 2: Import file into Golden Tax system, which reads the file, prints VAT invoice and assigns VAT invoice number.Step 3: Export from Golden Tax system a file with SAP billing information and assigned VAT invoice number.Step 4: Import the file back into SAP system and update the SAP billing with Golden Tax VAT invoice number.

Local regulation – Golden Tax Requirement

Page 30: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200730 © Copyright IBM Corporation 2007

Local regulation – Accounting Regulation Fixed format of reports (balance sheet, Profit and loss, cash flow) according to Chinese accounting principle

Regulation of fixed assets’ depreciation

Chinese government and tax bureau have regulations on the calculation of fixed assets’ depreciation

Regulation of cost accrual

Sales expense has the limit (2% of sales revenue)

Taxable income should be calculated according to regulation, not the actual value

Page 31: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200731 © Copyright IBM Corporation 2007

Local regulation – Bonding Management

Customs Emphasis•The use of bonded goods•Quantity correctness of bonded stock•The rate of production lose•Documents flow of storage transactions

Customs Emphasis•The use of bonded goods•Quantity correctness of bonded stock•The rate of production lose•Documents flow of storage transactions

Business Problems•Uniqueness of data source (Integration)•Data quality and correctness•User interface problems•Completeness of information

Business Problems•Uniqueness of data source (Integration)•Data quality and correctness•User interface problems•Completeness of information

IBM Bonding Solution•Bonded applying•Bonded approval•Bonded change approval•Bonded close•Reports

IBM Bonding Solution•Bonded applying•Bonded approval•Bonded change approval•Bonded close•Reports

Value to Our Clients•Integrated with SAP MM, can provide bonded data vs. stock quantity report in time•Export and import documents submitted to customs can match SAP material document•Provide all demanded data•Identical user interface (SAP)

Value to Our Clients•Integrated with SAP MM, can provide bonded data vs. stock quantity report in time•Export and import documents submitted to customs can match SAP material document•Provide all demanded data•Identical user interface (SAP)

According to government regulation, enterprises can get import tax returned if the import materials are used to produce export products. So there are process and rules to make sure the quantity of materials consumed is estimated correctly.

Page 32: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200732 © Copyright IBM Corporation 2007

Objective: To make sure that the business processes and system solutions of client’s HQ template are consistently implemented in China !Objective: To make sure that the business processes and system solutions of client’s HQ template are consistently implemented in China !

Legal requirements- Legal setup w/ overall trade flow- Focus on Accounting, asset management, cost calculation, VAT and other tax policies

Critical local business requirements- Local bank interface- Logistics process handling- Pricing calculation and rebate settlement

- Discrepancies of local and global reporting

Data Conversion- To define relationship between global and local master data

- To support ongoing data maintenance and individual responsibilities

System landscape– Potentially support AP region

Knowledge Transfer Strategy– Strategy is developed during blueprint phase with description of knowledge transfer approach to be used in rollout

User Documentation- All deliverables will be in English, but user documents will be translated into Chinese

Language strategy– To cover of UI, documents output, support and master data

Localization key Considerations

Page 33: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200733 © Copyright IBM Corporation 2007

Discussion Topics

IBM SCM Practice Overview

GBS in China

IBM SAP practice in China

IBM China Experience on Localization

Appendix IBM GBS SAP Implementations in China

Page 34: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200734 © Copyright IBM Corporation 2007

The SAP implementation in … has been a great success in several ways. It demonstrated the importance of approaching projects in a collaborative manner to take advantage of existing expertise, both internal and external, such as PwC(IBM) Consulting in our project, to reduce risk, increase project speed and reduce the overall cost of a project. Second, by focusing on a transfer of knowledge” rather than relying on outside parties to “implement” our project, … is fully capable of managing and configuring SAP internally. Lastly, the …implementation serves as a template that can be utilized in other implementations.

160 users; one R&D center, one manufacturing plant with bonded and non-bonded material warehouse, three distribution centers, and two plants in Xiamen and Thailand

SD (Sales and Distribution), PDM (BOM, ECR, ECO, Document), PP (Flexible planning, Demand Management, MRP, Shop-floor management), MM (Purchasing, subcontracting, Inventory management), FI (GL, AR, AP, Asset Management), CO (Cost Center, Internal Order, Product Costing, Profit Analysis), EC (Profit Center), and Basis (Workflow in ECR, Purchasing)

8 months

Success Stories in China – Industrial ElectronicA Leading Lighting Gear Manufacturer

Ascendant

The leading lighting gear manufacturing company in Asia, as well as the headquarter of its BU Lighting Electronics

BackgroundBackgroundBackground

ScopeScopeScope

Functional Scope

Functional Functional ScopeScope

DurationDurationDuration

MethodologyMethodologyMethodology

Client StatementClient StatementClient Statement

Page 35: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200735 © Copyright IBM Corporation 2007

8 months; Started April 16, 2001. Go live January 2, 2002.

Ascendant

The largest multi-national pharmaceutical company in China, manufactures and markets 20+ pharmaceutical products with an annual sales of 2.5 billion RMB in year 2000. Headquartered in Beijing with a manufacturing plant in Xian and atrading company called Qinsen. It also runs a distribution network with four regional distribution centres in Beijing, Shanghai, Guangzhou and Wuhan and 20+ sales offices throughout China.

BackgroundBackgroundBackground

Functional Scope

Functional Functional ScopeScope

DurationDurationDuration

MethodologyMethodologyMethodology

Client Statements

Client Client StatementsStatements

PwC team was expected to assist them in SAP FI (GL, AR, AP, AM, CM, LC), CO• (CCA, OPA, PA, PC, ABC), SD, MM, WM and PP implementation, project • management, process improvement, technical infrastructure management and • technical development to replace their legacy BPCS system which no longer supports • its future business growth. In addition, PwC team is expected to assist them to • integrate the SAP system with in-house grown BW system, EDI with logistics • providers, Citibank, bar code and VAT Tax processing system.

7 sitesScopeScopeScope

“We chose PwC(IBM) mainly because they have largest SAP consulting practice in China. Size does matter. It has been proven by on occasion: one of the lead consultant had to take one month sick leave and the replacement was on board in just three days.”

“PwC(IBM) team is very strong and our staff learned a lot from them, not only SAP knowledge, but also business processes, working approaches and professional behavior.

Success Stories in China – PharmaceuticalThe Largest MNC Pharmaceutical Company

Page 36: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200736 © Copyright IBM Corporation 2007

13 Months , From Jan. 4, 2002 to Feb. 28, 2004

Ascendant

The Client is a 50/50 Joint Venture between GM and our Chinese partner Brilliance Automotive.The assembly plant is located in Shenyang China (northeastern mainland China). Jinbei GM builds four different models based on the GM do Brazil S-10 Blazer and Crew Cab platform.The plant runs at 7 JPH designed for a max capacity of 30,000 vehicles per year for one shift.Jinbei is using a semi CKD kit production model in that all the sheet metal is shipped from Brazil and the vehicle is welded, painted and assembled in Jinbei.

BackgroundBackgroundBackground

Functional Scope

Functional Functional ScopeScope

DurationDurationDuration

MethodologyMethodologyMethodology

Client Statements

Client Client StatementsStatements

This project is AMS (Application Support contract to cover the Sales and Distribution (SD) module, Materials Management (MM) module, Production Planning (PP) module, Human Resources (HR) Module, Finance and Controlling (FI/CO) module, Basis and ABAP development

1 siteScopeScopeScope

“We Choose PwC Consulting (IBM) to take over previous consulting team because we had higher expectation on business process enhancement, PwC Consulting (IBM) helped us on: • Build JBGM internal consulting team• Enhancement on Data Accuracy, Engineering Change Process, Planning Process, etc.• Shorten Financial Monthly Closing period from 14 days to 1 day.• Implemented CFPM (GM Common Financial Process Module)• Implemented Financial reporting system (Hyperion)

Success Stories in China – AutomotiveAn Automotive JV

Page 37: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200737 © Copyright IBM Corporation 2007

1 Year in two phases

Ascendant

No. 4 insurance company in China. The company was established in 1996, and grow their premium from zero to 2 billion RMB in 8 years. The company’s major business is in life insurance, but plan to build an insurance group, with general insurance and life.

BackgroundBackgroundBackground

Functional Scope

Functional Functional ScopeScope

DurationDurationDuration

MethodologyMethodologyMethodology

SAP FI/CO/TR/MM/HR.Focus on four parts in finance management: Risk management, Costcontrol, Profit Analysis, Report exposureFocus on two parts in HR: HR database, HR cost control

1 siteScopeScopeScope

Success Stories in China – Financial ServicesA Leading Insurance Company

Page 38: IBM SCM/SAP Practice in China - :: DBguide.net :: 데이터 … · 2007-12-26 · IBM SCM/SAP Practice in China - Sean Ryu, GCG SCM Leader ... Supply Chain Process Modeler GPSE:

IBM Global Business Services

| 200738 © Copyright IBM Corporation 2007

Food Industry Business Model Roll-out - Nestlé GLOBE

Client OverviewNestlé is the world's largest food company with more than 253,000 employees in 479 factories around the world.Sales at the end of 2003 were CHF 88bn with a net profit of CHF6.2bn. The company is Switzerland's largest industrial company, and ranks in the Global 500.

Contact personResponsible IBM BCS-Partner: Ronald HafnerAustralian change management resources have led the change initiatives

Scope & ChallengeThe GLOBE solution includes the following pillars:Roll-out of the GLOBE solution including SAP R3 core, HR, MDR, CRM, APO, EBP, BW, ITS, Workplace and middleware tools into all Nestlé markets worldwide. The expected duration of the Program is 5 years.Global implementation of Best Practices to unlock potential business benefits by harnessing the power of the e–world with a focus on customers, channels and consumers Consolidation of Information Technology operations, systems and Data with Shared Data Centers in Sydney, Phoenix and Frankfurt. In addition, two data centers, one for company consolidation and the other for development, will be installed in Bussigny, Switzerland.

ApproachThe Program is based on a dedicated methodology called GLOBE Roadmap. This methodology is a blend of the most valuable parts of both ValueSAP and IBM’s ascendant methodology.Core Template design and prototyping in order to facilitate an accelerated SAP roll-out in all countries. The Template contains all newly harmonized processes and all „end-to-end“ processes.Definition and operation of globally used data objects supported by a Master Data Repository (MDR) and respective Data procedures.Regional shared GLOBE Centers to drive the Market implementations together with market resources.Creation of a truly global customer care organization with service desk facilities providing 1st, 2nd and 3rd level application and infrastructure support at the local, regional and global levels respectively

Business benefits deliveredOverall tangible benefits of the Program are estimated in the region of CHF 3.0 billion p.a. when a complete implementation is achieved in most markets (i.e. by 2006).Intangible benefits from being a company that is well integrated globally yet flexible, united and aligned on the inside and competitive on the outside, presenting one face to the customer.