SAP operational excellence and

the journey to ERP modernization

Produced by:

Interview with

Ravi Ravikoti

HEAD OF ENTERPRISE APPLICATIONS

Leading Electronics Manufacturer

Can you share how the move to SAP S/4HANA has affected your organization and where you currently stand in your migration journey?

SAP's decision for the S/4HANA has had a significant impact on our organization. Even before the official announcement in 2022, we recognized the need for a better ERP system due to our rapid business growth and evolving needs. Our existing ERP systems had served us well, but we couldn't continue to expand with them. That's when we started considering the shift to SAP S/4HANA.

We have been working on a detailed plan to take our ERP systems to the next level. It's not just about upgrading to the latest versions, but also about combining multiple ERP systems, incorporating new technologies, and aligning with our evolving business requirements. We are at an advanced stage in our migration journey and have made significant progress in preparing for the transition.

We are at an advanced stage in our migration journey and have made significant progress in preparing for the transition.

We are already moving towards hyperscalers and leveraging cloud solutions for our existing SAP and ERP footprint. This enables us to ensure uptime, scalability, and operational efficiency.

Balancing the demands of SAP operations and modernizing legacy systems can be quite challenging. How are you approaching this and ensuring your organization is strategically evolving to support your future business needs?

It's definitely a complex task, but we have a multi faceted approach to address these challenges. On the technology side, we are already moving towards hyperscalers and leveraging cloud solutions for our existing SAP and ERP footprint. This enables us to ensure uptime, scalability, and operational efficiency.

However, it's not just about the technical aspects. We also consider the business value and benefits that come with modernization efforts. This involves enhancing functionality, embracing new technologies, and adapting to new industry trends. By combining both operational and business perspectives, we aim to strategically evolve and support our organization's future needs.

People may feel apprehensive about automation. It's essential to address their concerns honestly and provide reassurance about career options. By involving and educating employees, we can turn them into ambassadors for the change instead of facing resistance.

Can you provide an overview of the phases covered so far in the S/4HANA migration process, and any pain points and risks you are mitigating?

Our SAP S/4HANA migration is divided into several phases. The first phase is the preparation phase, where we focus on our business and internal readiness. This includes allocating resources and ensuring proper data preparation. We assess if we have the right people and alignment with our business leaders. Currently, we are in the design phase, conducting workshops for process design. This phase is critical as it helps us incorporate industry best practices whilst addressing any specific gaps between those practices and our unique requirements.

There are several pitfalls to be aware of in such a large-scale project. One crucial aspect is addressing the change management process. People may feel apprehensive about automation and fear potential job risks. It's essential to address their concerns honestly and provide reassurance about career options. By involving and educating employees, we can turn them into ambassadors for the change instead of facing resistance.

Another critical factor is focusing on the business benefits and engaging with both customers and suppliers. We analyze how the customer experience can improve, how vendor negotiations can be enhanced, and how to shift from manual to electronic interactions with suppliers. By actively involving stakeholders throughout the project and aligning their expectations, we can mitigate risks and ensure a smoother transition.

Data challenges can also be a significant concern during migration projects. How do you address these challenges and ensure the accuracy and relevancy of data during your migration?

Data plays a crucial role in the migration process. Over time, organizations accumulate large amounts of data that may not be as clean or relevant. When transitioning to a new system, it's important to carefully evaluate and determine which data should be migrated and how to ensure its accuracy.

We prioritize data cleansing and take into account what information is necessary to bring into the new system, as well as what can be left behind. By applying data management best practices and involving data experts, we ensure the integrity and relevance of our data during the migration process.

We prioritize data cleansing and take into account what information is necessary to bring into the new system, as well as what can be left behind.

By providing opportunities for upskilling, recognizing and rewarding achievements, and fostering a culture of continuous learning, we aim to retain our talented resources and ensure their long term commitment to our organization.

Talent and resource management are crucial for successful SAP operations. Do you face any talent or resource challenges within your organization, and how do you retain talent?

We have a talented team within our SAP operations, but at times we face bandwidth limitations. To address this, we utilize external consulting services as a flexible capacity solution. This allows us to fill any gaps and manage the workload without the need to hire a significant number of permanent staff members.

We also focus on creating a supportive and engaging work environment that promotes growth and development. By providing opportunities for upskilling, recognizing and rewarding achievements, and fostering a culture of continuous learning, we aim to retain our talented resources and ensure their long term commitment to our organization.

I'd like to discuss hyperautomation and AIOps. Are you familiar with these concepts, and what are your thoughts on their effectiveness for SAP operations?

Yes, I'm familiar with hyperautomation. Previously, our focus was on automating individual functions using robotic process automation and workflows. However, we now understand the importance of end to end automation. By automating the entire process instead of just isolated tasks, we can avoid creating bottlenecks and achieve greater operational efficiency.

In terms of AIOps, the integration of machine learning and AI has been instrumental in our automation strategy. With SAP HANA and its built in automation capabilities, we can streamline processes and simplify user interactions. Machine learning helps the system learn from past actions, making subsequent transactions easier and more efficient.

By automating the entire process instead of just isolated tasks, we can avoid creating bottlenecks and achieve greater operational efficiency.

Ravi Ravikoti is Head of Enterprise Applications at a leading Electronics Manufacturer. His role involves overseeing all ERP (Enterprise Resource Planning) systems, including SAP and other systems, as well as CRM (Customer Relationship Management) systems and data. Additionally, he is responsible for managing business intelligence within the organization.

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