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This is sixth part of the series SAP DIY Transformation Toolset for setting your Digital Journey. In case you missed the introduction, please click here for context and links to the other selected tools sections.

SAP Value Lifecycle Manager

Why

You have been developing a good digital strategy and your plan seems to be ready for taking off. However, just like any other investment, technology investments compete with many other needs for scarce resources. You not only want to know WHAT products and services need to address your needs, but also want to answer to WHY NOW and sustain a Business Case, otherwise, it is unlikely to get investments approval from your board.

SAP Value Lifecycle Manager (VLM) helps you develop and manage sustainable SAP investments increasing your chances of delivering your project on-time, on-value and on-budget. With the quick value assessment in VLM, you can estimate business improvements for your organization based on selected business priorities quickly. The output is especially useful for executive alignments as it calculates the potential benefits for the organization or business area (including monetary benefits). The calculation of the potential benefits is based on public data (company financial information) and benchmark averages.

Important to mention that the benchmarks used by the VLM are a result of SAP global benchmarking programs where more than 8.000 organizations have participated, you can access around 50 benchmarking surveys with more than 2.500 KPI’s and over 3.5000 Best practices. Undertaking the surveys will tell you how well your organization is doing on KPI’s or how well it is adopting best practices compared to the rest of your industry.

Finally, a detailed Business Case where cost and benefit timing data can be captured to calculate your project ROI, NPV, payback period, cost of delay among other key elements to ensure your project good health. The data and KPI’s from the Benchmark surveys and templates can be transferred as benefits in the business case creation and cost estimation can be set. The tool allows collaboration where multiple users can work on the same project.

 How

All you need to do to get access to the tool is to sign up and start using VLM through this link.

Registration is required. Bear in mind that generic mails like “Gmail” or “Hotmail” are not permitted.

A quick start guide can also be found here.

When

VLM is a strategic tool which will help you over the entire lifecycle of your investment programs:

  • To identify and prioritize key areas for process improvement opportunities
  • Through the measurement of KPI’s and best practices maturity to set foundation for your program business cases
  • To monitor your value realization through the measurement of KPI’s and process while you project is flying.

Make sure you have your VLM projects in line with each and every initiative you bring into your organization and accelerate investment approvals and monitors value realization. Set VLM content with right parameters while you establish you program guiding principles, business drivers, benefits cost analysis and architecture transitions. Those are key elements for building a solid business case and substantially increase the chances of getting your digital program sponsored.

Target Audience

Value Engineers, Business Analysts, Enterprise Architects, IT Stakeholders

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