Architecture of the R/3 System Chapter 14 C & L Chapter 8 M & W

Problems of Enterprise-Wide Computing Slow response time during peak traffic loads Different time zones, systems, upgrades Heterogeneous database problem Multiple platforms

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

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”

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

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

SAP R/3 Basis System

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

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

System Landscape for SAP R/3 Implementation CUST DEV QASPRD TESTSANDQTSTTRNGQTST

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

Enterprise Application Integration (EAI) EAI Server DW environments Visual Basic MS Office Java Legacy Applications ERP ApplicationsCRM, etc

NetWeaver Adoption SAP anticipates that NetWeaver will redefine the company in a global manner –About 5000 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

E-commerce and ERP E-commerce and ERP technologies are complements –If the competition is using the Internet effectively, then a company needs to develop an Internet strategy –Without integrated information systems, companies cannot support e-commerce effectively –In 1999, eToys.com announced a week before Christmas that it would not be able to fill all Web orders Toys were in the warehouse, but the systems were not in place to process orders

SAP’s Portal Play 3rd party services More than 40 partners Added value for business professionals Highly Personalizable

Application Service Providers An Application Service Provider (ASP) provides management of application programs over a network Companies using the ASP do not have to purchase the hardware or software or higher people to operate systems ASPs can also provide consulting services for software applications like ERP ASPs can provide access to expensive applications like ERP with much lower startup costs

Application Service Providers ASP Advantages: –Affordability: Many companies that previously couldn’t afford ERP systems can now afford to lease it through an ASP –Shorter implementation times: Implementation time is shorter because the company does not have to purchase hardware and software and train technical staff –Expertise: ASPs are more likely to be able to hire and retain competent technical personnel than a small company can

Application Service Providers ASP Disadvantages: –Security: Companies turn their critical information over to a 3 rd party ASP must be able to insure data integrity ASP may have better security and controls than a small company –Bandwidth/response time: Telecommunications channel between ASP and company must be able to handle volume of transactions –Flexibility: The ASP must be flexible in working with users and satisfying requests for modifications

Application Service Providers ASP Disadvantages: –No frills: An ASP may not be willing to support 3 rd party software or develop custom applications (e.g. ABAP programs) –Technical, not business: An ASP may know the technical aspects of the software but may not be capable of helping customers with business process and configuration decisions