Will SAP substitute APO with some other tool ?

[Former Member]

Hi Gurus,

1) Is there any plan of SAP to substitute APO with some other Planning Tool e.g. SAP S&OP (HANA Based) in next 5-8 years?

2) Will SAP continue to support APO for near future ? (5-8 years)

If there are some links describing SAP's strategy about APO's future -- then kindly share the same.

[marianoc · Accepted solution]

Hi GIG SL,

Check this thread:

Check note: 1648480 where you can see the SAP strategy.

Check also this thread:

Kind Regards,

Marinao

[Former Member · Accepted solution]

Thanks Mariano.But I am stil not very clear on the path forward for SAP-APO Consultants.

Obviously demand will come down of APO consultants with SAP phasing it out gradually.

What tools APO consultants need to start getting mastery on ? SAP HANA based S& OP ? What else ?

Please help.

[marianoc · Accepted solution]

Hi GIG,

I am not sure what is going to happen.. I have the same doubts.

If your look at the first thread that I shared, in the last paragraph of the post made by Martin Barkman, you have this:

Will all the features in SAP APO be included in the new integrated business planning solutions? 
This is not a re-write of SAP APO on a new platform. Over time, business needs have changed, new algorithms have evolved, and technology for decision support has advanced.  SAP intends to support the current and future needs of business, taking advantage of new technologies and innovations and 20 years of learnings.  In the spirit of simplification for cloud based solutions, not all SAP APO features will be, nor even need to be, replicated.  It is also planned that additional new features and relevant industry specific requirements will be included over time to meet today’s dynamic business needs.

I am not sure what is his source, but something is going to change..

In 2020, it seems SAP will stop supporting APO, but at that time, most of the companies will still have APO in the current platform...

Now, I think that around 2020, just a few companies will start transformations and SCM consultants will be part of those projects. What is going to be the transformation, I am not sure, just I know some one will need to make that transformation, and a SCM consultant will be the most prepared person to help in such implementations.

Kind Regards,

Mariano

[Former Member · Accepted solution]

Thanks a lot Mariano.

My take of situation around 2020 is -- With APO being gradually phased out by SAP,  SCM consultants will still be required but those who have SAP APO + SAP X (New planning tool) Experience.

I am just trying to figure out what this X is ....

Whether X is HANA based S& OP or something else is not clear to me...

In my view --it will be good for experienced APO consultants to start working on X in a couple of years to be prepared for 2018 or 2020.

Key question -- What is X ?

[Former Member]

Dear GIG SL,

  Here's my two cents.

1) Is there any plan of SAP to substitute APO with some other Planning Tool e.g. SAP S&OP (HANA Based) in next 5-8 years?

Ans) No. SAP will support SAP APO until 2025. Apart from that S/4HANA platform will have SCM, ERP etc in one box and is not going to be sunset. About SAP IBP, info is there in this thread already.

2) Will SAP continue to support APO for near future ? (5-8 years)

Ans) Yes. Please see above.

If there are some links describing SAP's strategy about APO's future -- then kindly share the same.

For more information see links in the post: http://scn.sap.com/message/15749899#15749899

Regards

Satheesh

[former_member225716]

Dear GIG SL,

SAP is developing new application that is SAP integrated business planning.

Planning, budgeting, forecasting and financial consolidation in single application.

You can refer

http://www.news-sap.com/sap-introduces-sap-integrated-business-planning-solution-real-time-supply-ch...

and

http://www.google.co.in/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&cad=rja&uact=8&ved=0CCIQFjAB&url=ht...

Regards,

Sachin

[Former Member]

SAP's New SCM Strategy Puts Hana in the Spotlight

More info on above link.

Regards

Rahul Chitte

[Former Member]

Thanks Rahul but that does not answer my question -- who is APO's succesor ? For sure --some HANA based solution but which of these ?

1. SAP Integrated Business Planning for sales and operations,

2. SAP Integrated Business Planning for inventory,

3. SAP Integrated Business Planning for supply and

4. SAP Supply Chain Control Tower.

[Former Member]

Hi GIG SL,

From the presentations I've seen and the blogs, the answer is all of them. Supply Chain Planning, whoever supplies the software and by APICS definitions (don't make me provide specifics), includes forecasting (S&OP), Replensihment (Supply), Inventory and Monitoring (Supply Chain Control Tower). The functions in APO will be similar in IBP plus IBP provides a different approach and enhanced features.

These are my own opinions and not those of SAP.

Best regards,

Mike

[Former Member]

Hello Dear,

SCM Connections | Change is a coming to the planning landscape in SAP.

Please check this link, hope this answers all your questions.

Regards

Rahul Chitte

[former_member182449]

Hi GIG

SCM-APO will not be obsolete , With SAP HANA, SAP provides a product that uses in-memory computing technology to optimize your business processes. SAP HANA comprises the required hardware as well as SAP HANA appliance software (SAP HANA database and data replication tools

You can, of course, continue to use SAP SCM on other databases.

SAP will continue APO with any other platforms , SAP HANA more innovation and optimization

Regards

Rami

[Former Member]

Thanks a lot Rami.

My take of situation around 2020 is -- With APO being gradually phased out by SAP,  SCM consultants will still be required but those who have SAP APO + SAP X (New planning tool) Experience.

I am just trying to figure out what this X is ....

Whether X is HANA based S& OP or something else is not clear to me...

In my view --it will be good for experienced APO consultants to start working on X in a couple of years to be prepared for 2018 or 2020.

Key question -- What is X ?

[former_member182449]

Hi GIG ,

SAP's New SCM Strategy Puts Hana in the Spotlight

SCM on HANA has been available since 12/2012. SCM/APO consultants are still required to design and configure all of the typical APO settings and processes.

The first difference with HANA is in performance. Depending upon the process, applications will run 25% faster to 10X faster. There will be no need for a separate liveCache anymore. It will run on the HANA database. Total cost of ownership will decrease with less hardware required. HANA will  handle huge amounts of information and process it much more quickly than is presently the case. Analytically capabilities and presentation will be expanded tremendously.

Regards

Rami

[Former Member]

Hi Rami,

In the below thread -- a consultant from SAP has suggested that standard APO support will end in 2020.

I interpret this as no more design and configuration of APO beyond 2020 ?

I am not sure what is your source of info when you say -- "SCM/APO consultants are still required to design and configure all of the typical APO settings and processes." Can you please elaborate.

[former_member182449]

Hi GIG

I don't know how do you expect that SAP will be ended in 2020 !! , Hana is just platform for more faster and optimization , i already checked this thread you sent it and by the end no body say APO will be sunset , SAP does't say official any something like this , it just Rumors

• Does this mean SAP APO is going away? No, SAP APO remains an important part of SAP’s supply chain portfolio and delivers significant value to companies.  In 2014 SAP has introduced significant enhancement to SAP APO in the areas of usability, analytics, performance and total cost of ownership.  It is a proven solution and has been adopted by thousands of customers around the world.  Customers should continue to deploy and use SAP APO, considering that, in the short term, most new capabilities within SAP’s new supply chain strategy are incremental to SAP APO and will work with, not replace it.  SAP’s solutions for integrated business planning create options that otherwise would not be in available.  Now companies can continue with SAP APO, while in parallel phase in the different integrated business planning solutions as they become available and meet business requirements.  SAP APO, as part of the Business Suite, has a planned standard maintenance date of 2020.  Decisions about maintenance timeframes made for the SAP Business Suite will automatically be inherited to SAP APO.

  Regards

  Rami
  

[former_member211370]

For more information, please refer to my latest article in SAPinsider, which can be accessed through:

http://scn.sap.com/community/scm/blog/2014/10/07/integrated-business-planning-takes-off-in-the-cloud

Also, last week I hosted a webinar on this topic which can be accessed at:

Event Registration

[Former Member]

Thanks a lot Mark.

I think the main point which is creating flutters is below(taken from your article) :

SAP APO, as part of SAP Business Suite, has a planned standard maintenance date of 2020. Decisions about maintenance timeframes made for SAP Business Suite will automatically be inherited to SAP APO.

What is the meaning of this statement ?

1) In lay man's language it looks like SAP will phase out APO in 2020.(with extended support of 2-3 years if requested by client). Is it correct ?

2) Post 2023, What will happen to thousands of clients who have implemented SAP APO ? Do they have to mandatorily shift to some new tool or what ?

Can you please suggest answer of both.

[former_member182449]

Hi GIG

Please check this note 1648480

Core application releases of SAP Business Suite 7

Mainstream maintenance for SAP ERP 6.0, SAP CRM 7.0, SAP SCM 7.0, SAP SRM 7.0, SAP PLM 7.0 (delivered with SAP ERP 6.0 enhancement package 4) and enhancement packages to these releases will be extended through December 2020

This Normal for SAP to support until specific date for specific release , and if APO will end in 2020

the others core application like  ERP 6.0, SAP CRM 7.0, SAP SRM 7.0, SAP PLM  will be ended also ??!

I do respect your worry as i also i'm , and i hope if martin can response as he Head of supply chain at SAP , and he can confirm for what i said

Regards

Rami

[Former Member]

Hi Martin,

Can you please clarify the questions raised ny me and Rami.

I think the main point which is creating flutters is below(taken from your article) :

SAP APO, as part of SAP Business Suite, has a planned standard maintenance date of 2020. Decisions about maintenance timeframes made for SAP Business Suite will automatically be inherited to SAP APO.

What is the meaning of this statement ?

1) In lay man's language it looks like SAP will phase out APO in 2020.(with extended support of 2-3 years if requested by client). Is it correct ?

2) Post 2023, What will happen to thousands of clients who have implemented SAP APO ? Do they have to mandatorily shift to some new tool or what ?

Can you please suggest answer of both....

[former_member211370]

Please see this press release from earlier today titled "SAP Committed to Innovation and Choice for SAP Business Suite Applications".

http://www.news-sap.com/sap-committed-innovation-choice-sap-business-suite/

To learn more about the SAP SCM strategy, I invite you to register, with your company email address, for our webcast series through this link:  Event Registration  The webcasts are recorded and so you can listen in to them at your convenience.

[Former Member]

Hi Martin,

Great thanks for sharing the info.

http://www.news-sap.com/sap-introduces-sap-integrated-business-planning-solution-real-time-supply-ch...

As per above news there are 4 applications which will be introduced ( quoted below):

1. SAP Integrated Business Planning for sales and operations,

2. SAP Integrated Business Planning for inventory,

3. SAP Integrated Business Planning for supply and

4. SAP Supply Chain Control Tower.

Last Question before I close this thread --- Which one is likely to be used for 'Advanced Planning' the most ? My guess is the answer might be just one of them or a combination of all the 4 but can you please help and clarify...

Thanks in advance! Really appreciate your help!

[Former Member]

Hi Martin,

Can you please answer my question. Thanks in anticipation.

[former_member211370]

To date, we have already introduced the four solutions you mention above, but please refer to my latest article in SAPinsider that I posted earlier (http://scn.sap.com/community/scm/blog/2014/10/07/integrated-business-planning-takes-off-in-the-cloud) for the SAP strategy for integrated business planning and supply chain monitoring.