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Company Information Headquarters 6280 America Center Drive, San Jose, CA 94089, USA Industry High-Tech Web site www.hpe.com Hewlett Packard Enterprise (HPE) Silicon Valley’s iconic company with ~30B annual revenue and 60,000 employees reinvents itself to help customers create their future: Offering HPE full portfolio Everything as-a-Service by the year 2022 Giving customers one unified experience across public, private and edge workloads delivered via a HPE Greenlake consumption-based pay-per-use model Empowering customers to broker their own right mix of IT services with visibility, access and control, and giving businesses a holistic, granular view of their budget, spend and location HPE has been a strategic SAP Customer, SAP Global Technology Partner and SAP Data Center Supplier since 1994: HPE runs on SAP with a single global SAP HANA and SAP S/4HANA Finance instance in production 26K HPE SAP HANA servers are deployed at customers’ data centers, supporting over 40% of SAP HANA market ~25K SAP customers run on HPE infrastructure ©2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 2 SAP S/4HANA powers HPE NEXT business transformation Hewlett Packard Enterprise Challenge The NEXT initiative HPE IT with 10 separate ERP systems, 10 core databases, complex legacy applications and to re-architect HPE fragmented processes could not enable HPE NEXT business transformation: simplify HPE is going to reduce organizational structure, redesign business processes and improve business drivers. the number of touch Solution points in the sales HPE launched internal digital transformation, built Next-Generation IT (NGIT) to simplify the IT process -- a critical tools, processes and applications by deploying SAP S/4HANA. factor in getting price quotes to Outcome customers and Game changer customer, partner and employee experience transforming customer business with closing deals faster HPE, partnering with HPE and work at HPE delivered on SAP S/4HANA platform. -- by an order of magnitude from 1,000 to just 100. Simplified Optimized Touchpoints eCommerce Business Everything From From application sales reduced by revenue up outcome as a Service 800 to 400 $1B to Antonio Neri, HPE CEO landscape processes 90% $2.5B portfolio by 2022 in 2017 ©2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 3 Project or Use Case Details HPE NEXT business transformation initiative launched in 2017 encompassed the company’s culture of change by simplifying its organizational structure and redesigning business processes to improve business drivers. With the help of HPE NEXT, the company has been able to utilize the 20% YoY growth in R&D to invest in organic innovation. Cost savings through the HPE NEXT program, along with share repurchases, have boosted company’s earnings. In support of HPE NEXT, HPE launched its own digital transformation to build Next-Generation IT (NGIT) to simplify the IT tools, processes and applications. This very intensive nine-quarter IT transformation completely revamped and refreshed HPE’s internal IT systems. The goal has been to invest in resilient, next-generation systems that can support HPE’s evolving business, both now and in the future, and provide better services and experience to customers, partners and employees. HPE NGIT program has had a broad, global scope and aggressive deployment timeline replacing over 10 ERP systems and consolidating over 800 applications to under 400. HPE has deployed Intelligent Enterprise platform running SAP S/4HANA, SAP S/4HANA for central finance foundation, SAP Supply Chain Response Management (SCM), SAP Integrated Business Planning (IBP), SAP Ariba, SAP Concur, SAP Fieldglass, SAP Billing and Revenue Innovation Management, SAP Commerce, SAP Sales Cloud, and SAP Analytics Cloud. HPE has been globally live with S/4HANA Finance (including SAP S/4HANA for central finance foundation, IBP, Treasury, Ariba payables and GRC) for a year now. Second phase includes Supply Chain and Order Management (Inventory and Warehouse Mgt. Ariba Network, Quality, Order and Contract Management, Revenue and Accounting Reporting) ©2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 4 Benefits and Outcomes Business or Social IT Human Empowerment “HPE NEXT” BUSINESS “HPE NGIT” DIGITAL TRANSFORMATION OF HPE TRANSFORMATION TRANSFORMATION EXPERIENCE • Business model transformation • Standard platform with customizations • Significantly more Face Time including rollout of new capabilities minimized to less than 10% between HPE employees, like subscription management customers and partners • 90%+ industry-best practice • Engine for HPE’s future organic processes • Self service, rapid quoting, support growth and M&A • Single master data model • End-to-end order, inventory and • Simplified and unified business demand visibility processes • 8 master data sources down to 3 • Major emphasis on speed and agility • Real time, cross functional data Selected Benefits and Outcomes Quantified 200M entry master records down to 40M 11 days month end close down to 5 days 100K product structures down to 20K $1B eCommerce rev up to $2.5B 3 hours quote time down to 15 min 10% low touch orders up to +80% 25% order recommits down to <5% 90% on time delivery up to +99.5% ©2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 5 Architecture Visual Architecture of the HW Led E2E Current State (1) Large scale systems, data and business process & business capability fragmentation ©2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ PUBLIC 6
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