How to Successfully Implement SAP AMI

Annemarie Groenewald
City Of Cape Town

A collaboration of:
What I’ll Cover
• The Cape Town Journey
• Project AMI Background
• SAP AMI Implementation
• Success Factors
• Project Closure
• Key points to Take Home
• Questions
Cape Town – South Africa
Significant Political Events in South Africa during the
past decades have changed City administration.
 Pre- 1994: South Africa internationally isolated and
communities segregated on racial grounds.
 Cape Town administered by 64 local municipalities.
 April 1994: first democratic election and government of national
unity established.
 3-Tier government structure: National, Provincial and Local
Government – Consolidation of Local Authorities.
 December 2000: Restructuring Local Government cont:
 Mergers of 7 previous autonomous Municipalities into a
single Metropolitan Uni-City for Cape Town.
The City of Cape Town was established in 2000
TODAY:
Population: 3.7 million

Share of National GDP: 15.9 %

Share of Provincial GDP: 82 %

Area: 2461 km2

Rateable Properties: 933 608

Employees: 23 579

City of Cape Town annual budget 2013/14:

Operating: R26 billion ($3 491 103 548.86)
Capital: R 5.45 billion ($731 789 013.13)
 City of Cape Town Achievements
• Winner of the Computer World Honors 21st Century Achievers Award as the Best IT
Project in Government and Non Profit Organization –Washington DC – June 2004.

• The City received an Impact Award for Innovation in the Public Sector at the AFSUG
2010 conference for the C3 Notification system - an internal process that is used to
record, track and report complaints and requests from residents and ratepayers

• Cape Town maintains clean financial record - 9th consecutive unqualified audit opinion
from the Auditor-General of South Africa (2011/2012 Annual Report)

• City receives highest municipality credit rating from Moody's International (2013)

• Special Achievement in GIS (SAG) award at the 2013 ESRI International User
Conference whereby they recognized outstanding work with GIS technology
 SAP ECC6 & ISU Foot Print - 2003
- Billing to sundry debtors
- Financial Accounting
SD FI
Sales & Financial
Distribution Accounting
MM CO - Management Accounting
Materials
- Procurement & SCADA* Mgmt.
Controlling

Inventory Management PP
Production
ECC6 and AM
Fixed Assets
Mgmt
Planning
IS-U/CCS
EDI
QM PS
- Plant Maintenance Quality Project - Asset Management
Management System
PM WF
Field Plant
Workflow
Service Maintenance
Support HR IS IS-RE - Project Accounting
Work Human Industry
Clearance* Solutions
Resources
IS-U /
SM CAD GIS FERC
- Real Estate
- Human Resources & Service AM/FM
Payroll
Mgmt IS-U/ Management
CCS
- Industry Solution for Utilities
- Customer Care & Revenue
ERP Programme – largest SAP implementation in Management

Local Government in the world

SAP ECC6 & ISU Foot Print - 2003
SAP Fact Sheet
 420 end-to-end Business Processes
 Cost: R354mil (2001-2003)
 Single Instance
 10 000 Users
 > 500 SAP Sites City Wide
 3,2 mil ISU contracts
 1,2 mil consolidated invoices per month

ERP Programme – largest SAP implementation in

Local Government in the world
 The SAP Journey: 2002-2013
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Citizen Portal
AMI

E-Leave BObj
1
ESS MSS
6
SSM
ITSM

LUM

PSRM
CRM
Benefit
4.7 Upgrade Corporate
Realisation Business ERP6 Upgrade
Performance Flexible
Warehouse
Management RE
SAP Production System Landscape
Mobile Assets
ISIS for Utilities Custom
Relationship
Supplier
Mng
Relationship
Mng
Solution
SAP ECC6 e-Recruitment
Manager
SAP GRC
Integration
Hub

Citizen Portal
Business Internal
Public Sector (eExternal
Warehouse Portal
Records Mng Services)

Business Strategy
Objects Management City of Cape
Business Town External
Planning & Portal
TREX / Consolidation MAXDB
MAXDB
Content S
Database
• Oracle 11
• Netweaver Stack 7.3
• EHP5 (Upgrade in November to EHP7)
• BW 7.3 (Upgrade in November to 7.4)
• ECC6 - 22 Terrabyte
• BW - 5 Terrabyte
• 11 Production systems
• Overall 100 systems – eg DEV, QA, Training

Slide 12
Project AMI Background

• Maximise the current investment in “Smart Meters

• Efficiently manage energy usage and cost by providing
commercial and industrial consumers with relevant
and accurate information timeously
• Comply with the legal requirements, access to
information requirements, as well as the requirements
specified by SANS 474: Code of practice for electricity
metering, as prescribed by NERSA.

Slide 13
 SAP AMI Implementation
• Phase 1: Standard functionality and enhancements
• Device processes – installation, removal, creation
• New Connections
• Move-in/out
• Meter Reading processes
• Phase 2: New functionality
• AMI Event Management
• AMI Monitoring
• EASIM (Rate comparison)
• Portal Integration
• Device Location information

Slide 14
 CCT High level Landscape
SAP Environment MDUS Environment AMI Environment

Consumption
E-Services Custom Built Link Graph
E-Services Portal
Illustrations

Meter Commands
IS-U Outbound Integration
IS-U Meter Data and Meter Responses Meter
IS-U Inbound Integration
Consumption

Meter Commands

Meter Responses Meter Events

PSRM
PSRM Inbound Integration

Meter Event Meter

Filters
BRF+ Event Management Inbound Integration
SAP Netweaver Event Management Outbound Integration
Meter Events
 SAP AMI Benefits
• Establishment of two way communication of the meter and SAP and free flow of
information
• More reliable communication through AMI and SAP
• Automation of the entire meter reading process without any manual intervention.
• Provide commercial and industrial consumers relevant and accurate information timeously,
regarding electricity costs and usage, in order for them to efficiently manage energy usage
and cost
• Automate time-consuming and expensive manual tasks such as disconnecting /
reconnecting a meter, uploading profile data from a meter and uploading discrete meter
readings
• Read meters remotely – thus eliminating issues of premise access, travel time, incorrect
readings
• Offer billing services based on actual consumption data and meter reading
• Connect real-time consumption data to electronic customer self-services
• More effectively identify faults and rapidly restore service on the basis of real-time
readings
• Improve the service delivery for City of Cape Town Energy consumers
 AMI Project Scorecard
Planning, Governance
 Project plan included 3rd party activities
 Signoff processes worked well
 Due to shortened timeline, only one steering
committee meeting was held
 Document development and review process
work well
Budget
 Original approved SAP budget was tight and
had to be extended
 MDUS worked as part of tender
Risks
 Risk assessment was part of Project
Preparation and then included in ongoing
governance, reporting and communication
Scope mgmt
 Proof of Concept approach worked well
 Having processes defined as input into Blueprint
worked well
 Initial assessment/alignment workshops between
SAP and business worked well
 Scope changes were well managed and agreed
Resources,
Stakeholders
 Central location at ESC together with business,
SAP, MDUS, PI worked well
 Team was away from day-to-day activities
 Improvement areas: additional knowledge transfer
to ESC and business team
 Decision makers and implementers worked well
together
Communication
 Updates happened as part of status meetings and
informal discussions
Timeline, execution
 Start date was delayed by 2 months
 Project activities/processes were always ahead
of the next milestone
 Testing involved ESC teams (regression)
 Solution Manager could not be used due to City-
internal constraints
 Project went live one month ahead of schedule!
Quality
 AMI Solution Architect was involved onsite and
remotely for support and QA
 Great commitment by all team members and
stakeholders
 Constructive attitude to conflict
Procurement
 City procurement processes delayed start date
 AMI Functional and Data Scorecard
Testing Data End user training
 Serial numbers had to be standardised - impact is  Overview and subsequent one-on-ones worked
 Test landscape management was complex in
on procurement of devices (MM) well
order to include 3rd party system (MDUS)
 Serial number conversion became part of cutover  Doing training in their environment worked well
 Functional Sign Off must be extended to
 AMI uncovered unknown manual interventions  No specific tools used
additional stakeholders
 MDUS online help provided
 Train closer to go-live

Infrastructure Resources, Support

 Various elements had to be considered and
managed – early identification of action items users  ESC support team received knowledge transfer
was crucial: early on
 Network  Users could have been brought in earlier, even to  Support team was involved in document
 Firewall verify processes or design reviews, testing and cutover
 Telecommunications  Project manager with functional background in IS-U  Assisted users on the live system during go-live
 Service provider issues worked really well
 MDUS  ESC support team received knowledge transfer
 SAP...
 Disaster Recovery
Development Configuration
Authorisations
 Manual meter reading entry for AMI devices had to  AMI was setup from scratch
 Technical roles (PI was new) were more be created  Device management had to be enhanced (and
complex than business roles  For integration, standard Enterprise Services were then tested to compatibility/regression)
 Business users tested with their real profiles used
Project Closure
 2412 AMI devices live
Live operations  Found and resolved some issues with previous processes/readings
 Very few functional queries, no solution issues

 Established platform for future phases (EDM)

Overall
 Good acceptance by the users
satisfaction
 ESC self-sufficient with support for the solution
with delivery
 Delivery/overall satisfaction rated as 9 out of 10

 Objectives achieved:
• Manual process automated (bi-directional communication with meters) – reduced workload
for Validations and Master Data departments (moving in/out, device installation/removal)
Value delivery • Automated creation of Service Notifications for Meter Events
• Electronic Storage of Electricity documentation on PSRM
 Implementation of Customer-facing Portal with Integration
Key Points to Take Home
1. Business involvement and ownership:
 Constructive scope discussions and attitude towards conflict
 Project team co-location: ESC team, business, MDUS, PI, SAP and support – all sitting close
together. Most team members allocated full time
 Decision Makers and Implementers worked closely together, clarified/standardized
2. Scope “Crimp” instead of Scope Creep
 If it is not in scope it is out
 New requirements moved to Phase 2/ Roadmap
3. Project Planning and Execution:
 Planning happened ahead of team mobilisation
 Execution/governance was always ahead of milestones - pre-empting next steps
Bottom line: Project Success Factors have not changed over the years.
If a project is set up for success, managed with appropriate governance
and with joint commitment to one goal – it will be a success.
 Questions

Slide 22
 Annemarie Groenewald
City of Cape Town
annemarie.groenewald@capetown.gov.za

A collaboration of: