How to Successfully Implement SAP AMI

Annemarie Groenewald
City Of Cape Town

A collaboration of:

What Ill 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.

April 1994: first democratic election and government of national

unity established.

Cape Town administered by 64 local municipalities.

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:

Share of Provincial GDP:

15.9 %
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

MM
SCADA*
- Procurement &
Inventory Management

EDI
- Plant Maintenance

PP

- Financial Accounting

SD

FI

Sales &
Distribution

Financial
Accounting

Materials
Mgmt.

- Management Accounting

Controlling

ECC6 and
IS-U/CCS

Production
Planning

AM
Fixed Assets
Mgmt

QM

PS

Quality
Management

Project
System

PM

Field
Service
Support

Plant
Maintenance

Work
Clearance*

- Human Resources &

Payroll

CO

WF
Industry
Solutions

Human
Resources

SM
Service
Mgmt

Workflow

IS

HR
CAD

GIS
AM/FM

- Asset Management

IS-RE
IS-U /
FERC

IS-U/
CCS

ERP Programme largest SAP implementation in

Local Government in the world

- Project Accounting

- Real Estate
Management
- Industry Solution for Utilities
- Customer Care & Revenue
Management

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

Citizen Portal

AMI
BObj

E-Leave

2013

MSS

ESS

SSM

ITSM
LUM

PSRM
Benefit
Realisation

CRM
4.7 Upgrade

Business
Warehouse

Corporate
Performance
Management

ERP6 Upgrade

Flexible
RE

SAP Production System Landscape

Mobile Assets
for Utilities

ISIS

Solution
Manager

Custom
Relationship
Mng

SAP ECC6

e-Recruitment

Business
Warehouse

Internal
Portal

Supplier
Relationship
Mng

SAP GRC
Integration
Hub

Public Sector
Records Mng

Business
Objects

Strategy
Management
TREX /
MAXDB
Content S

Business
Planning &
Consolidation

Citizen Portal
(eExternal
Services)

City of Cape
Town External
Portal

MAXDB

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

Slide 14

AMI Event Management

AMI Monitoring
EASIM (Rate comparison)
Portal Integration
Device Location information

CCT High level Landscape

SAP Environment

E-Services Portal

MDUS Environment

E-Services Custom Built Link

AMI Environment

Consumption
Graph
Illustrations

Meter Commands
IS-U Outbound Integration
IS-U

IS-U Inbound Integration

Meter Data and

Consumption

Meter Responses

Meter

Meter Commands
Meter Responses
PSRM
PSRM Inbound Integration

BRF+
SAP Netweaver

Event Management Inbound Integration

Event Management Outbound Integration

Meter

Meter Event
Filters
Meter Events

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

Scope mgmt

Timeline, execution

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

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

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 Cityinternal constraints
Project went live one month ahead of schedule!

Budget

Resources,
Stakeholders

Quality

Original approved SAP budget was tight and

had to be extended
MDUS worked as part of tender

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

AMI Solution Architect was involved onsite and

remotely for support and QA
Great commitment by all team members and
stakeholders
Constructive attitude to conflict

Risks

Communication

Procurement

Risk assessment was part of Project

Preparation and then included in ongoing
governance, reporting and communication

Updates happened as part of status meetings and

informal discussions

City procurement processes delayed start date

AMI Functional and Data Scorecard

Testing

Data

End user training

Test landscape management was complex in

order to include 3rd party system (MDUS)
Functional Sign Off must be extended to
additional stakeholders

Serial numbers had to be standardised - impact is

on procurement of devices (MM)
Serial number conversion became part of cutover
AMI uncovered unknown manual interventions

Overview and subsequent one-on-ones worked

well
Doing training in their environment worked well
No specific tools used
MDUS online help provided
Train closer to go-live

Infrastructure

Resources,
users

Support

Various elements had to be considered and

managed early identification of action items
was crucial:
Network
Firewall
Telecommunications
Service provider issues
MDUS
SAP...
Disaster Recovery

Authorisations
Technical roles (PI was new) were more
complex than business roles
Business users tested with their real profiles

Users could have been brought in earlier, even to

verify processes or design
Project manager with functional background in IS-U
worked really well
ESC support team received knowledge transfer

ESC support team received knowledge transfer

early on
Support team was involved in document
reviews, testing and cutover
Assisted users on the live system during go-live

Development

Configuration

Manual meter reading entry for AMI devices had to

be created
For integration, standard Enterprise Services were
used

AMI was setup from scratch

Device management had to be enhanced (and
then tested to compatibility/regression)

Project Closure
Live operations

2412 AMI devices live

Found and resolved some issues with previous processes/readings
Very few functional queries, no solution issues

Overall
satisfaction
with delivery

Value delivery

Objectives achieved:
Manual process automated (bi-directional communication with meters) reduced workload
for Validations and Master Data departments (moving in/out, device installation/removal)
Automated creation of Service Notifications for Meter Events
Electronic Storage of Electricity documentation on PSRM
Implementation of Customer-facing Portal with Integration

Established platform for future phases (EDM)

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

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: