Do you want to know if a feasibility study brings cost transparency? | leogistics GmbH

Do you want to know if a feasibility study brings cost transparency?

Henry Böhland

Henry Böhland

We will do the analysis with you – Identify the need of a feasibility study

The feasibility study is anchored as a project management tool in DIN 69901 and various process models (for example PMI, Prince2, leoprojects). It is the process of confirming that a certain plan is feasible to achieve the project goals by considering project-related risks.

This is particularly helpful and can be seen as a benefit if in the project the advantages of such an analysis is being recognized. With a software transition, fundamental questions can arise, which can be answered with the help of such a feasibility analysis:

  • What about the technical feasibility of customer specific processes?
  • What are the organizational framework conditions?
  • Which project costs can occur?

When migrating to SAP S/4 HANA and therefore also from LE WM to SAP EWM, the biggest challenges from a project engineering standpoint are the lack of cost transparency for a migration, the assessment of implementation costs and the lack of a convincing business case. These are the results of a PAC trend study (a CXP Group Company) in 2018.

Supporting the decision-making process

Completed SAP EWM feasibility studies as part of a leogistics implementation project or as a preliminary project show a clear pattern here. A detailed analysis of the goods delivery processes (from tracking to unloading and storage) as well as goods issue processes (from order tendering via route planning, picking and inventory checks for loading) helps to answer the following questions:

  • How can standard processes be mapped?
  • Which processes need to be transformed?
  • Can customer-specific developments be transformed?
  • What are general effort drivers?
  • Which implementation approach should be followed for automations?
  • What is the implementation plan?
  • What measures must be taken to reduce risks?
  • What are the costs of the project and its ongoing operation?

Analysis as a guidance

The result of the analysis is usually a recommendation for action or the development of targeted implementation options, taking into account the project goals. Thus, for example, alternatives for customer specific processes during order planning, picking and special re-stocking processes can be evaluated.

Another field of use is the creation of integration variants of subsystems for the automation of processes and the functional section between SAP EWM Logics and the control level of the automation and sensor components. Finally, options for 3PL connectivity and integration should be evaluated.

Benefits and budgeting

The transition to SAP EWM, also in the context of a S/4HANA transformation, must be calculated accordingly and planned with precision. With a feasibility analysis, the implementation strategy (for example, brownfield or greenfield approach) and solution options for technical implementation or process transformations can be decided at an early stage, whereby the analysis can be considered as a reliable basis for decision-making.

Feasibility analysis – Do the check with us!

The Fraunhofer Institute for Material Flow and Logistics has identified the business process oriented feasibility study as a key success factor for software harmonization (hyperlinked expert contribution in German only). Let’s work together to develop and evaluate your SAP EWM deployment strategy and how SAP EWM can improve your business processes. We can clarify, how to leverage the benefits of SAP S/4HANA and new technologies to accelerate your processes and data analytics for your warehouse processes.

For any further questions please contact blog@leogistics.com.

Henry Böhland
Senior Consultants SAP Logistics

Share on linkedin
Share on xing
Share on twitter

CONTACT US

GET IN TOUCH

Are you interested in state-of-the-art logistics solutions? Then I am your contact person. I look forward to your call or your message via contact form.

Stay up-to-date

Sign up now and get access to our free whitepaper and downloads.