Jan 15, 2015

Give us 60 minutes we will save you 40% in your HANA Migration.

An Introduction to our revolutionary IQDCT process.
Any partner can increase quality, but it will normally come with a larger budget. Any partner can decrease costs, but it will normally come with lowering the overall quality of deliverables. However, what the maturity of SAP HANA and our experience brings to you is the IQDCT methodology for implementing SAP HANA.



The IQDCT methodology was the result of what was termed as  the 'Mission Impossible' goal by most of my SAP colleagues. My goal was to define a scientific methodology + a repeatable Process as to how to decrease the Cost of a HANA migration, Plus -decrease the time for migration, Plus -  enhance the data-quality of the new SAP HANA environment, when compared to the legacy environment. It took 19 HANA implementations to come to the Eureka moment. It actually took a very large SAP BW customer to crystalize the concept.
Participate in the 2015 HANA IQDCT Audit and enhance your foundation

A. Mission Impossible Components:
1. SAP mostly has a fixed, not-negotiable price for SAP HANA SW license. There are various types of license types but the price thereafter was relatively fixed.
2. SAP HANA HW Appliances price was rather fixed and relatively high compared to legacy HW. One reason may have been that HANA was still maturing and all HW components went through a rigorous SAP qualification process of certification.
3. The HANA Appliance model was and still is a 'Black Box' that commands fixed Service and Maintain costs as annual contracts. However, as HANA is maturing SAP is relinquishing their rigidity of  approved HANA platforms an in mid 2014 introduced the TDI (Tailored Data-Center Integration) process which allows customers to chose the best-of-best partners for the HANA components. For example a customer can today procure Compute from Cisco (fastest growing X-86 server supplier in North America)  , Storage from EMC (World leader in Storage); HANA and IoE network from Cisco (World Leader in Network and communications); and so on. The customer no longer need be tied to the whims and fancies of a single black box appliance.
4. Skilled HANA resources are hard to find: SAP HANA resources along with the rest are a premium too. According to my estimates worldwide there are over 15,000 HANA certified resources. Around 7,000 of them have done HANA installations. However when it comes to optimization, this comes with extensive experience,  there are probably a handful in each region.
 
So the question became where then is the wiggle space. Where does one begin
 
At the same time there were serious Customer Concerns for both BoH (BW-on-HANA) and SoH (Suite-on-HANA = ERP, SCM, CRM)
 
B. Customer Concerns  (What we have heard from Customers):
1. Sticker Shock: The first hurdle is the sticker shock that customers experience when planning to migrate to SAP HANA. This blog is all about mitigating that one concern. The HANA costs are distributed across SW, HW, SI and migration costs. We have consistently targeted a 40% reduction in initial and annual SLA costs and exceeded it with 5 out of 5customers we have worked with.
2. HANA needs considerable Landscape Readiness: Because HANA is a net new  Platform it also needs net new HW. With over 8 customers we have held one day workshops and made solid benefit proposals to Landscape optimization. With one of the worlds largest US CPG customers we achieved our IQDCT target in this one-day workshop alone. The HANA HW has to be new that is not negotiable, however with the TDI approach we can reuse your existing partners and bring in world class providers and assist to considerably reduce Landscape costs thereby directly impacting TCO. We are so confident of this approach that we are willing to give your migration totally Free-of-Cost if the customer will just pay us 20% of the money we save them.
3.HANA is evolving very rapidly: This was true around one year ago when there could be multiple patch upgrades in a single month. Now HANA has around 1 patch per quarter recommended. With the right partner, i.e. one placing experienced SAP HANA resources on your projects and support the HANA patch is a few hours effort today. If your environment is cluster edit can even become a zero-downtime evolution with one cluster at a time approach. At the same time as HANA I a new platform each Patch represents the effort SAP is undertaking to enhance the functionalities and capabilities of their HANA Platform.
4. Show me the business Benefits: Our statement since 2010 and the launch of HANA has always been 'HANA is a business solution and not simply a technical install or upgrade'.  The August ASUG poll results always garner questions from proactive customers. My response is detailed in this blog. However, let us not forget that our prime reason for implementing any new technology is Business-Benefits. So companies that forget the Business Benefit audit and planning and treat their HANA initiative simply as a technical install will get exactly that. We encourage customers to keep their eyes focused on 'Strategic Business Benefits' and choose their partners accordingly. They must consider Big-Data, Cloud, IoT, IoE and HANA in conjunction to make the right strategic business decision.
5. Scarce Access to Knowledgeable HANA resources: See section A.4 above as that answers this question. However, it all depends on the partner you choose. Here are some points to consider:-
i. HANA is a brand new SAP Platform so resources with knowledge will be difficult, resources with experience will be rare, and resources with multiple HANA projects still more rare. Resources with HANA Optimization experience are like Unicorns.
ii. Your Big-SI partners would like to up-skill their thousands of legacy resources at your projects.
iii. We are spending more time optimizing HANA environments that were built by legacy resources, on legacy best practices, that simply do not work or apply in HANA.
iv. Just as an example we have built our company from the ground up with SAP HANA as our foundation, skill and competency. We are also North America's leading TDI partner for SAP HANA.
6. How can we enhance Business Benefits: Part one of this goal is to ask the partners - Show me the business benefit (section B3 above) . Part Two of this endeavor is to ask 'what do you have in your pocket to enhance our BVA (Business Value Attainment score). Just as an example we have a process we call the RBS (Rapid Business Solution). This process has delivered 100% custom business solutions for companies in a fixed bid, as-a-service, offer. Customer satisfaction scores are stellar in every one of these RBS solutions. The RBS is a scientific process that is repeatable across time and space.  
7. Should we migrate our SAP BW 'As-Is' to HANA: More than one customer has asked us this question because their triad partner has recommended this path to them. Our answer to this is a solid and absolute NO!. In 2012 Gartner reported that over 2,500 CIO's indicated that 'Fewer than 30% of global BI initiatives would met business expectations'. Our translation of this is that 'Over 70% of the reports in your BW Production environment are not being used, or will never be used, by your business users'. Note: I have asked this to every CIO and BI manager since 2010 and 100% of them have agreed to this translation of ours.

So my question to you as a SAP HANA key Stakeholder is these two. Answer in True or False
1. Less than 50% (Gartner's 2003 report) of  the reports in your Production Bi environment are not being used by your business users'  (True/False)
2. There is Zero benefit in improving the performance of a report from 817 seconds to less than 1 second if business will never use it. (True/False)
then go an take the IQDCT audit above

The IQDCT methodology
1.Is a proprietary methodology consisting of automation tools, partners and solutions that has a target of decreasing your db by 40%by cleaning your database
2. A 40% reduction in db represents a 40% reduction in your initial SW, HW and migration costs (TCO Saving 1)
3. A 40% reduction in db represents a 40% faster SLA turnaround
4. A 40% reduction in db represents a 40% reduction in annual SW,HW and support costs
5.Target is 40%,probability of achieving it is 90%. last 5 customers success is 100%

The ball is now in your court

1 comment:

  1. Great post!
    Thanks for sharing this information.
    Post more articles like this......
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