Architecture of the R/3 System

1
Architecture of the R/3 System

• Chapter 14

2
Problems of Enterprise-Wide Computing

• Slow response time during peak traffic loads
• Different time zones, systems, upgrades
• Heterogeneous database problem
• Multiple platforms

3
R/3 and Enterprise Computing

• Development of middleware enables portability
  across platforms
• Technologies include
• Db replication, messaging, XML, remote procedures
• R/3 supports
• TCP/IP
• RFC
• SQL ODBC
• OLE, MAPI, EDI

4
R/3 Server Installations

• 3-tier C/S preferred
• Homogeneous - same OS on one or more platforms
• Heterogeneous - a variety of platforms ex. UNIX,
  NT, Windows on application server
• UNIX with Oracle, Informix, DB2 on db server
• R/3 solves the distributed multiple heterogeneous
  platform problem with middleware

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Benefits of Multiple Application Servers

• An alternate server can be automatically selected
  if one is unavailable
• Load balancing of clients to least busy server
• Can optimize queries and reduce load on db server
  to improve response time
• Because it is scalable, servers can be added as
  more processing capability is needed

6
C/S Scenarios

• Centralized host computer performs all tasks
  including db, applications, and presentation
• 2-tier C/S - db server is separate from thick
  client which processes apps and presentation
• 3-tier C/S - separate systems for db, apps, and
  presentation (preferred by R/3)
• N-tier C/S extension using servers on Internet

7
SAP R/3 Basis System
Data General HP (Intel) IBM (Intel)
UNIX Systems
Hardware
ATT Bull/Zenith Compaq
Sequent SNI . . .
IBM SNI SUN
Bull Digital HP
IBM AS/400
AIX Digital UNIX HP-UX
Operating Systems
SINIX SOLARS
OS/400
Windows NT
ADABAS D DB2 for AIX INFORMIX-OnLine 7 ORACLE 7
ADABAS D MS SQL Server 6.0 ORACLE 7
Databases
Windows 3.11, Windows 95, Windows NT, OS/2-Warp
Dialog SAP-GUI
Windows 3.11, Windows 95, Windows NT, OSF/Motif,
OS/2-Warp, Macintosh
Languages
ABAP/4, C, C
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R/3 Middleware Transfer Protocols

• Front-end (presentation tier)
• R/3 GUI uses resident OS resources to cut flow of
  data to 1-2 KB
• whole screens are not passed but only logical
  control information and user inputs
• DB interface (between app and db servers)
• SAP SQL within ABAP/4 environment
• then translates queries into native SQL

9
More Middleware Functions

• Interprogram communications
• synchronous vs. asynchronous
• Synchronous uses CPI-C, from IBM in the late 80s
• RFC/RPC libraries and DLLs to call R/3
  functions/modules
• SAP is closely aligned with COM from MS
• Transaction management
• ALE -distributes db availability to several sites
• routes data, maintains security
• creates IDOC master which contains info about the
  data
• SAP experimenting with XML for internal messaging

10
Application Linking Enabling (ALE)

• Allows users to set up applications and databases
  at distributed locations
• Not only routes data, but knows what data are
  needed in given situations intelligent
  middleware
• ALE checks for consistency of data, updates
• uses IDOCS to send message between loosely
  coupled systems, with possibly dif. R/3 ver.
• Asynchronous RFC means if system is down on
  target it will retry again

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R/3 Distribution Scenarios

• Initially, R/3 was designed with one centralized
  db in mind (from late 80s)
• ALE technology was developed to enable different
  integration scenarios
• Contained in Business Blueprint
• Centralized, integrated DB and application server
• Centralized by module on servers
• Completely decentralized R/3 with central db
• Next Generation architecture

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DEV
QAS
PRD
CUST
TEST
SAND
QTST
TRNG
QTST
System Landscape for SAP R/3 Implementation
13
Next Generation ERP Architecture

• What is Internet ERP?
• N-tier
• EC, K Mgt, CRM, data mining, DSS, BI
  functionality on top of back office
• Integrated tools include
• BW with OLAP
• APO
• Sales Force Automation
• CRM
• B2B
• SCM

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Enterprise Application Integration (EAI)
MS Office
Visual Basic
Java
DW environments
EAI Server
Legacy Applications
ERP Applications
CRM, etc
15
NetWeaver Adoption

• SAP anticipates that NetWeaver will redefine the
  company in a global manner
• About 3000 of more than 24,000 potential
  companies have put some portion of NetWeaver into
  play
• Early stage of maturity
• IBM and MicroSoft supporting NetWeaver
• SAP committed heavily to grow this in 2004 and
  2005

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NetWeaver Components

• SAP NetWeaver 2004 Synchronized Release as a
  single package
• SAP WAS 6.4
• SAP EP 6.0
• SAP XI 3.0
• SAP BW 3.5
• SAP MI 2.5
• (SAP MDM limited usage at this point)
• All sold and shipped together and can be
  installed in one procedure
• Still possible to run individually
• Ramp up was April 2004

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SAP MI
SAP EP
SAP BI
SAP XI
SAP WAS
SAP MDM
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Evolution of SAP App development

• ABAP SAP Basis
• Open SQL
• RFCs/BAPIs
• ALE IDocs
• Report Writer/Query
• Dynpro, SAP GUI
• ABAP Workbench

WAS and Java
Open SQL for ABAP Java
Web Services/WSDL
XI, MDM, and XML
SAP BI
Web Dynpro, EP, MI
NetWeaver Developer Studio
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mySAP.comApplication Hosting Alternative

• Application Service Providers (ASPs) integrate
  and combine
• Evaluation
• Implementation
• Operation
• Service Support
• Service offering for all kinds of outsourcing
  levels such as
• Business Operation Services
• Application Management Services
• Platform Services

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mySAP.comApplication Hosting
Applications Management
Enterprise ASP Spending
30.0
2500
25.0
2 BILLION
2000
20.0
1500
15.0
Billion
Million
1000
10.0
500
5.0
150 MILLION
0
0.0
1999
2003
1996
2001
Source IDC, 1999
Source G2

• Analysts expect explosive growth in both sectors
  over next four years
• Primary Lead Market US
• Secondary Lead Market Europe

22
mySAP.comApplication Hosting
Implementation
Continuous Improvement
Evaluation
Implementation
Cont. Improvement
Evaluation
Test Drive Your Solution Online
We Host Your Solution Online

• Financial Application Services
• HR Application Services

Compose Your Solution Online
We Build And Host Your Business Community /
Marketplace Online
We Implement Your Solution Online

• Industry Marketplaces
• Enterprise-specific Marketplaces

SAP
Partners SAP AH
SAP Partners
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SAPs Portal Play
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Growing Importance of CRM

• Based on a recent GartnerGroup survey (Aug 2000)
  on customer service e-tailing sites, there are
  many potential areas for improvements. Some are
  simple others require significant investments in
  people, processes and technology. Here are the
  top-10 pitfalls
• 1. Requiring a password to access customer
  service
• 2. Lack of a customer service tab
• 3. Lack of search engines for general customer
  service
• 4. Lack of a site map
• 5. Lack of internationalization
• 6. Lack of agent support for new channels
• 7. Lack of working channels
• 8. Lack of good customer service on the phone
• 9. Lack of coordination between click and brick
• 10. Requiring software download for access

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CRM Has Many Components
One to One Marketing

• Database Marketing

Sales Force Automation

• Customer Care

• Telemarketing

Direct Mail

• Marketing Automation

Relationship Marketing
Customer Data Warehousing

• Enterprise Relationship

• Customer Intimacy

Customer Segmentation Analytics
Front Office

• Technology Enabled Relationship

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Migrating to a New Model

• Transaction Driven
• 1-800 Access
• Limited Availability
• Stand Alone Units
• Technology Constrained
• Limited Capabilities
• Cost Centers
• Call Centers

Prior View
Future View

• Customer Driven
• Multi-Media Access
• Anytime Availability
• Fully Integrated
• Technology Enabled
• Enterprise Capabilities
• Profit Centers
• CRM Centers

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eCRM Technology Architecture
Integrated Touchpoints
Customer/ Prospect/ Employee Touchpoints
MAIL
FACE-TO-FACE
SELF SERVICE
TELEPHONY
Paper Electronic Fax
Handhelds Tablets
Web Kiosks
ACD VRU
BACK OFFICE
FRONT OFFICE
Service Workbench
Sales Workbench
Marketing Workbench
Business Applications
OrderManagement
Distribution Logistics
Manufacturing

• Opportunity Management
• Proposal Generation
• Marketing Encyclopedia
• Configuration Pricing
• Tele Sales
• Management Analytics

• Case Management
• Help Desk
• Dispatch
• Management Analytics
• Routing
• Scheduling
• Spare Parts Inventory

• Database Marketing
• Data Mining
• Campaign Management
• Content Management
• Interactive Marketing
• Management Analytics

Finance,Accounting,HR
Procurement
Billing
BACK OFFICE
FRONT OFFICE
Data Stores
DATA WAREHOUSE OPERATIONAL DATA STORES
Leads
Opportunities
Customers
Interactions
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eCRMLive

• Located in PricewaterhouseCoopers CRM Solution
  Centers, Rosemont, IL, and Philadelphia, PA,
  eCRMLive demonstrates the successful deployment
  of best-in-class multi-media customer contact
  solutions.

Specialist
Customer
Call Escalations
Call Routing
VRU
Available CSR
E-mail
Supervisory Functions
Queue and Capacity Monitoring
Telephone Call
Switch/ACD
Workforce Management
CTI Middleware
Case Management
Web Self-service Collaboration
Internet
Relationship Marketing
Content Management
Customer Database
Legacy Database
SFA
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eCRM Vendors
Vendor Demonstrated Functionality BroadVision Web
Personalization CenterCore Call Center
Furniture CNT Legacy Middleware
Integration Compaq NT servers and Desktop
PCs Genesys Computer Telephony Integration,
E-Mail Grahl Ergonomic Call Center Seating Avaya
Switch/ACD, Internet Telephony Gateway,Internet
Call Center, Call Management Server, Telephones
Headsets Microsoft Microsoft ASP Nuance
Communications Speech Recognition Siebel
Systems Customer Service and Support Application,
Sales ForceAutomation Sun Microsystems Unix
Servers Symon Communications Reader Board
Messaging Vignette Web Content Management Cisco We
b Collaboration/Integration Xchange Campaign
Management Aspect Communications Workforce
Management