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SAP S/4HANA AM/PM – Lecture 2 & 3 Roadmap of SAP Implementation Process & SAP Solution Costing for Client 📘 LEC–2: SAP S/4HANA IMPLEMENTATION ROADMAP (For AM/PM and all modules) SAP uses the SAP Activate Methodology for implementing S/4HANA. It includes tools, content, accelerators, templates, and best practices. 1. SAP Activate Phases (End-to-End Roadmap) 1️⃣ Discover Phase Purpose: Understand client requirements & confirm business value. Activities: Conduct pre-sales demos Identify client pain points Fit-to-standard analysis Prepare high-level project plan Deliverables: Project charter Solution scope proposal S/4HANA landscape recommendation 2️⃣ Prepare Phase Purpose: Prepare project team, environment & governance. Activities: Form project & steering committee Create RACI matrix Setup SAP landscape (DEV → QAS → PRD) Prepare Business Process Master List (BPML) Deliverables: Project plan Kick-off meeting System provisioning Data migration strategy 3️⃣ Explore Phase Purpose: Fit-to-standard workshops. Activities: PM functional workshops (breakdown structure, maintenance plans, notifications, work orders) AM workshops (asset classes, account determination, depreciation areas, asset master fields) Identify GAPs & WRICEFs Deliverables: Business Blueprint GAP list WRICEF inventory Design sign-off 4️⃣ Realize Phase Purpose: Build, configure, test. Activities: Finalize configuration (AM + PM) Unit testing, SIT, UAT Prepare training material & end-user tests Deliverables: Configured SAP system Test results Data migration cycle #1, #2 Cutover checklist 5️⃣ Deploy (Go-Live) Phase Purpose: Move to production. Activities: Final cutover execution Business sign-off Transport to PRD Deliverables: Go-live readiness PRD system functioning Hypercare plan 6️⃣ Run Phase Purpose: Support after go-live. Activities: Issue tracking Real-time monitoring End-user support for PM tasks Continuous improvements Deliverables: Support model Stabilized operations 🚀 IMPLEMENTATION ROADMAP SUMMARY Phase Key Output Discover Scope, value proposition Prepare Project planning, system setup Explore Blueprint, GAPs Realize Build & testing Deploy Go-live Run Support 📘 LEC–3: SAP SOLUTION COSTING FOR CLIENT (Used during S/4HANA AM/PM implementation proposals) SAP Solution Costing helps a consulting company prepare complete CAPEX + OPEX estimates for delivering an SAP project. 1. SAP S/4HANA Solution Costing: Major Components 1️⃣ License Costing (If applicable) SAP S/4HANA Enterprise license SAP EAM (Enterprise Asset Management) SAP PM module Database licenses (HANA) 2️⃣ Infrastructure Costing Cloud Deployment: SAP Private Cloud / RISE Storage, compute, backup User access & security On-Premise Deployment: HANA hardware (Appliance / TDI) Data center Security infrastructure 3️⃣ SAP Implementation Services Cost This is the main component charged by the consulting company. 3.1 Man-Days Estimation (AM/PM) Role Typical Cost (USD/Day) Mandays (Average) Project Manager 600–900 30–60 SAP PM Consultant 400–600 80–120 SAP AM Consultant 400–600 60–90 ABAP Developer 350–500 20–40 BASIS Consultant 400–600 10–30 QA/Tester 200–350 20–40 Total mandays depend on scope: Small project: 300–400 MD Medium: 500–700 MD Large: 1000+ MD 4️⃣ Data Migration Costing Asset Masters (AS91 or LTMC templates) Equipment masters Functional locations BOMs Measurement points Maintenance plans Work centers Object Complexity Costing Asset Master / FA Data Medium 5–10 MD Equipment High 10–15 MD Functional Location High 10–20 MD Maintenance Plan High 15–20 MD 5️⃣ Training & Change Management End user training sessions PM & AM departmental training Training manuals + videos Costs: $5,000 – $20,000 depending on users. 6️⃣ Annual Support Cost (Post Go-Live) Ongoing support (OPEX) includes: Functional support Technical support Patch upgrades Enhancements Can range from: ➡ $50,000 – $200,000 per year 7️⃣ TOTAL SAP PROJECT COST (Typical) For SAP S/4HANA with AM + PM full scope: Implementation Size Estimated Total Cost Small (1–2 Plants) $150k – $300k Medium (3–5 Plants) $300k – $700k Large (Multi-Plant) $700k – $2M+ 📘 Sample SAP Solution Costing Template (Client Proposal) 1. Project Scope: SAP S/4HANA AM + PM full implementation Integration with FI/CO, MM, Production 2. Project Cost Summary: Licenses: $120,000 Implementation (500 Mandays): $275,000 Data Migration: $40,000 Training: $12,000 Annual Support: $60,000 3. Total One-Time Cost: ~$447,000