Implementation of SAP ERP in Yes Chemist Pty Ltd

This project plan outlines the implementation of SAP ERP in Yes Chemist Pty Ltd, including the rollout strategy, project scope, schedule, resources, budget, risk management, and communication strategies.

VUIS CONSULTING PTY LTD
PROJECT PLAN [INSERT VERSION NUMBER]
[Implementation of SAP ERP in Yes Chemist Pty Ltd]
[5/28/2019]
[INSERT AUTHOR NAME HERE]
[INSERT AUTHOR JOB TITLE HERE]
[INSERT AUTHOR EMAIL HERE]
The following template is for educational purposes only.

CONTENTS
Table of Contents
Glossary............................................................................................................................. 2
Introduction......................................................................................................................... 3
Project scope......................................................................................................................3
Project Schedule and Approach (Rollout strategy)..............................................................3
Resources........................................................................................................................... 3
Budget................................................................................................................................ 3
Risk..................................................................................................................................... 3
Communication................................................................................................................... 3
Summary............................................................................................................................ 3
Bibliography........................................................................................................................ 3
Glossary
Term Definition
SAP These days one of the most widely using business intelligence technique
and solution
CRM The CRM system is used to establish accurate relationship between the
clients and service providers
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Introduction
Rollout strategy is referred to as a strategy that should be measured by the project lead and
associate members of any organization during the implementation of any product or
services. It is responsibility of any business organizations to follow the best suited rollout
strategy. In this report the SAP rollout strategy that needs to be followed by Yes Chemist is
elaborated. Victoria University Information System consulting company will develop the
S/4HANA SAP CRM services for the Yes Chemist for improving the current business system
so that they can obtain competitive advantages and global economic profit. The current
weaknesses in the business management approach of Yes chemist are identified in this
report as well as respective rollout strategies that should be used to implement the SAP
S/4HANA by Victoria University are illustrated in this report.
A Statement of Work (SOW), project schedule, resources, budget details, and risk
management plan and communication strategies is also elaborated for the Yes chemist. It is
assumed that if all the approaches are professionally followed by the company associates
then Yes chemist would be able to meet the expectation of both consumers and owners at
the same time. The SAP S/4HANA will successfully replace the HR, inventory, finance and
accounting system of the company. For resolving the project delivery risks S/4HANA
standard consideration is beneficial.
Project scope
The project scope is to develop appropriate rollout strategy to successfully execute SAP
S/4HANA in the Yes chemist Pty Ltd. by taking consultation from VUIS. The total time,
budget and resources assigned to the project are also planned and it is the responsibility of
the lead and project members to accomplish the activities within the assigned timeline and
budget. The total budget predicted for implementation of this project is $150,000 and the
fixed cost of $15,000 to modify the system. The scopes to be followed are mentioned in the
below section:
 To implement SAP S/4HANA system as well as CRM to establish clear relationship
between the service providers and clients
 To identify and resolve the current operational and functional risks Yes Chemist is
facing due to lack of technical support
 Replace the existing inventory, HR and accounting system of Yes Chemist
It is determined that if all the development specifications are successfully followed by the
planning manager and all other members then company would be able to create a
successful relationship between the customer and service providers. SAP S/4HANA will be
used as an all in one system that may merge the application of finance, HR and the
inventory management system. In order to produce instance of system a physical server will
be used and the technical officer of VUIS will take a complete day to install technical
software as before going live the technical software installation should be accomplished.
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Business case
The Yes Chemist has signed a contract to (VUIS), for implementing a SAP S/4HANA to
merge the current business processes together by replacing the finance, accounting, HR
and inventory management system. Throughout the project development period the life cycle
phases are to be followed by the project manager and project team members are
requirement specification, data conversion, integration and testing documentation and
training and acceptance testing and project signoff. In addition to this, a virtual server is also
required to be developed by the project stakeholders to keep the information stored in the
server completely secured from the external attackers.
Expected benefits Status Measurement process
Scalability and activity collaboration Gained Tracking Gantt
Competitive efficiency Gained Tracking Gantt
Integrity of information Gained Resource management and [project tracking
approach
List of dis-benefits Expected outcomes
The system needs very highly trained project
staffs
Yes chemist has to invest more for staff training
Internal team conflict It will cause delay in project implementation
Implementation of this system is costlier than
others
The budget will exceed the primary estimation
SAP rollouts new version in every 6 months It will make the current system an obsolete
system
Implementation of this system will take longer
time phase
The primary budget and time both will exceed the
primary estimation
Project Schedule and Approach (Rollout strategy)
WBS Task Name Duration Start Finish
0 Rollout strategy implementation for Yes Chemist 60 days Mon
10/12/09 Fri 1/1/10
1 Project initiation phase 13 days Mon
10/12/09
Wed
10/28/09
1.1 Identification of current risks facing by Yes
Chemist Pty Ltd 1 day Mon
10/12/09
Mon
10/12/09
1.2 The ongoing business processes in Yes Chemist 1 day Tue Tue
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10/13/09 10/13/09
1.3 Analyzing the customer requirements and
owners need 1 day Wed
10/14/09
Wed
10/14/09
1.4 Development of potential technical solution for
the company 1 day Wed
10/14/09
Wed
10/14/09
1.5 Developing project charter and project scope
statement 1 day Thu
10/15/09
Thu
10/15/09
1.6 Identification of hardware and software details 1 day Fri
10/16/09 Fri 10/16/09
1.7 Identifying hardware elements (Frontline
hardware reseller) 1 day Mon
10/19/09
Mon
10/19/09
1.8 Purchasing software elements 1 day Tue
10/20/09
Tue
10/20/09
1.9 Development of a comprehensive project plan 1 day Wed
10/21/09
Wed
10/21/09
1.10 Resource identification 1 day Thu
10/22/09
Thu
10/22/09
1.11 Requirement gathering 1 day Fri
10/23/09 Fri 10/23/09
1.12 Requirements analysis 1 day Mon
10/26/09
Mon
10/26/09
1.13 Analyzing system efficiency: SAP S/4HANA 1 day Tue
10/27/09
Tue
10/27/09
1.14 Service Level Agreement design (SLA) 1 day Wed
10/28/09
Wed
10/28/09
1.15 Milestone1: Submission of Statement of Work
(SOW) 0 days Wed
10/28/09
Wed
10/28/09
2 Project infrastructure and equipments
identification phase 30 days Thu
10/29/09
Wed
12/9/09
2.1 Project life cycle development phases 1 day Thu
10/29/09
Thu
10/29/09
2.2 Replacing accounting, HR and current inventory
system 1 day Fri
10/30/09 Fri 10/30/09
2.3 Server room modification 1 day Mon
11/2/09
Mon
11/2/09
2.4 development and connection with virtual server 1 day Tue 11/3/09 Tue 11/3/09
2.5 Testing the equipments before purchasing 1 day Tue 11/3/09 Tue 11/3/09
2.6 Production of instance of systems 1 day Wed
11/4/09
Wed
11/4/09
2.7 Project design and development phase 1 day Thu 11/5/09 Thu 11/5/09
2.8 Data conversion 1 day Fri 11/6/09 Fri 11/6/09
2.9 Automated process setup 1 day Mon
11/9/09
Mon
11/9/09
2.10 Legacy data extraction 2 days Tue
11/10/09
Wed
11/11/09
2.11 Understanding the legacy data structure 3 days Thu Mon
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11/12/09 11/16/09
2.12 Automated data extractor script development 2 days Tue
11/17/09
Wed
11/18/09
2.13 Data validation and cleansing efforts 2 days Thu
11/19/09 Fri 11/20/09
2.14 Development of automated script for loading B1
instance 2 days Mon
11/23/09
Tue
11/24/09
2.15 Real time instance testing 2 days Mon
11/23/09
Tue
11/24/09
2.16 Rectification of defect 2 days Wed
11/25/09
Thu
11/26/09
2.17 Data migration analysis 1 day Fri
11/27/09 Fri 11/27/09
2.18 Manual data rectification 7 days Mon
11/30/09 Tue 12/8/09
2.19 Final modification 1 day Wed
12/9/09
Wed
12/9/09
2.20 Milestone 2: Completion of project planning
phase 0 days Wed
12/9/09
Wed
12/9/09
3 SAP system integration and testing 5 days Thu
12/10/09
Wed
12/16/09
3.1 Integrating SAP with E-gate 1 day Thu
12/10/09
Thu
12/10/09
3.2 Completion of comprehensive end to end testing 1 day Fri
12/11/09 Fri 12/11/09
3.3 Testing with a live e gate instance 1 day Mon
12/14/09
Mon
12/14/09
3.4 Returning posting in the journal ledger 1 day Tue
12/15/09
Tue
12/15/09
3.5 Milestone 3: Submission of compliance report
to the client 1 day Wed
12/16/09
Wed
12/16/09
4 Project monitoring and control phase 5 days Thu
12/17/09
Wed
12/23/09
4.1 Analyzing other possible risks associated to the
system 1 day Thu
12/17/09
Thu
12/17/09
4.2 Formal signoff of the application of the system 1 day Fri
12/18/09 Fri 12/18/09
4.3 Installation of additional changes needed for the
project 1 day Mon
12/21/09
Mon
12/21/09
4.4 Implementation of change management plan in
Yes chemist company 1 day Tue
12/22/09
Tue
12/22/09
4.5 Updated project schedule 1 day Wed
12/23/09
Wed
12/23/09
4.6 Milestone 3: Completion of project expected
project change program 0 days Wed
12/23/09
Wed
12/23/09
5 Project testing phase 4 days Thu
12/24/09
Tue
12/29/09
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5.1 Unit testing of the project 1 day Thu
12/24/09
Thu
12/24/09
5.2 Integrated testing 1 day Fri
12/25/09 Fri 12/25/09
5.3 User acceptance testing of the project 1 day Mon
12/28/09
Mon
12/28/09
5.4 Milestone 4: Completion of project testing
phase 1 day Tue
12/29/09
Tue
12/29/09
6 Project closure phase 3 days Wed
12/30/09 Fri 1/1/10
6.1 Stakeholders signoff 1 day Wed
12/30/09
Wed
12/30/09
6.2 Submission of final project draft 1 day Thu
12/31/09
Thu
12/31/09
6.3 Milestone 5: Completion of project closure
phase 1 day Fri 1/1/10 Fri 1/1/10
Resources
Resource Name Max. Units Std. Rate
Project manager 100% $195.00/hr
Business analyst 100% $130.00/hr
Technical writer 100% $95.00/hr
trainer 100% $115.00/hr
system integrator 100% $105.00/hr
application programmer 100% $95.00/hr
technical officer 100% $85.00/hr
data entry officer 100% $60.00/hr
administrative officer 100% $50.00/hr
tester 100% $40.00/hr
Hardware purchase cost $5,000.00
hardware installation cost $3,000.00
Cost for six virtual server $6,500.00
software cost $9,340.00
Complete modification cost $15,000.00
Budget
WBS Task Name Duration Resource Names Cost
0
Rollout strategy
implementation for Yes
Chemist
60 days $150,000.00
1 Project initiation phase 13 days $63,720.00
1.1 Identification of
current risks facing by
1 day Project manager ,Business
analyst
$2,600.00
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Yes Chemist Pty Ltd
1.2
The ongoing
business processes in
Yes Chemist
1 day Hardware purchase
cost[1],Business analyst $6,040.00
1.3
Analysing the
customer requirements
and owners need
1 day application programmer,
Business analyst $1,800.00
1.4
Development of
potential technical
solution for the company
1 day technical officer, Project
manager $2,240.00
1.5
Developing project
charter and project scope
statement
1 day technical officer, Technical
writer $1,440.00
1.6
Identification of
hardware and software
details
1 day Hardware purchase
cost[1],software cost[1] $14,340.00
1.7
Identifying hardware
elements (Frontline
hardware reseller)
1 day Hardware purchase cost[1] $5,000.00
1.8 Purchasing software
elements 1 day software cost[1] $9,340.00
1.9
Development of a
comprehensive project
plan
1 day Technical writer, technical
officer $1,440.00
1.10 Resource
identification 1 day technical officer $680.00
1.11 Requirement
gathering 1 day administrative officer $400.00
1.12 Requirements
analysis 1 day Complete modification
cost[1] $15,000.00
1.13
Analyzing system
efficiency: SAP
S/4HANA
1 day Business analyst,
administrative officer $1,440.00
1.14 Service Level
Agreement design (SLA) 1 day Project manager,
administrative officer $1,960.00
1.15
Milestone1:
Submission of Statement
of Work (SOW)
0 days Project manager ,Business
analyst $0.00
2
Project infrastructure
and equipments
identification phase
30 days $69,720.00
2.1 Project life cycle
development phases 1 day
administrative
officer ,Business analyst,
Project manager
$3,000.00
2.2
Replacing
accounting, HR and
current inventory system
1 day application programmer $760.00
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2.3 Server room
modification 1 day Business analyst,
administrative officer $1,440.00
2.4
development and
connection with virtual
server
1 day Cost for six virtual server [1] $6,500.00
2.5
Testing the
equipments before
purchasing
1 day data entry officer, technical
officer $1,160.00
2.6 Production of
instance of systems 1 day hardware installation cost[1] $3,000.00
2.7 Project design and
development phase 1 day Hardware purchase cost[1] $5,000.00
2.8 Data conversion 1 day data entry officer $480.00
2.9 Automated process
setup 1 day
Project manager,
administrative
officer ,application
programmer
$2,720.00
2.10 Legacy data
extraction 2 days data entry officer, technical
officer $2,320.00
2.11 Understanding the
legacy data structure 3 days data entry officer $1,440.00
2.12
Automated data
extractor script
development
2 days trainer, Project manager $4,960.00
2.13 Data validation and
cleansing efforts 2 days data entry officer $960.00
2.14
Development of
automated script for
loading B1 instance
2 days system integrator $1,680.00
2.15 Real time instance
testing 2 days
hardware installation
cost[1],Hardware purchase
cost[1]
$8,000.00
2.16 Rectification of
defect 2 days Cost for six virtual server [1] $6,500.00
2.17 Data migration
analysis 1 day Technical writer, technical
officer $1,440.00
2.18 Manual data
rectification 7 days data entry officer $3,360.00
2.19 Final modification 1 day Complete modification
cost[1] $15,000.00
2.20
Milestone 2:
Completion of project
planning phase
0 days Technical writer, technical
officer $0.00
3 SAP system
integration and testing 5 days $5,000.00
3.1 Integrating SAP with
E-gate 1 day system integrator $840.00
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3.2
Completion of
comprehensive end to
end testing
1 day tester, Technical writer $1,080.00
3.3 Testing with a live e
gate instance 1 day trainer, tester $1,240.00
3.4 Returning posting in
the journal ledger 1 day Business analyst,
administrative officer $1,440.00
3.5
Milestone 3:
Submission of
compliance report to the
client
1 day administrative officer $400.00
4 Project monitoring
and control phase 5 days $3,920.00
4.1
Analysing other
possible risks associated
to the system
1 day application programmer $760.00
4.2 Formal signoff of the
application of the system 1 day Business analyst $1,040.00
4.3
Installation of
additional changes
needed for the project
1 day technical officer $680.00
4.4
Implementation of
change management plan
in Yes chemist company
1 day Technical writer $760.00
4.5 Updated project
schedule 1 day technical officer $680.00
4.6
Milestone 3:
Completion of project
expected project change
program
0 days trainer $0.00
5 Project testing phase 4 days $4,240.00
5.1 Unit testing of the
project 1 day Project manager $1,560.00
5.2 Integrated testing 1 day administrative officer $400.00
5.3 User acceptance
testing of the project 1 day Business analyst $1,040.00
5.4
Milestone 4:
Completion of project
testing phase
1 day data entry officer, Technical
writer $1,240.00
6 Project closure phase 3 days $3,400.00
6.1 Stakeholders signoff 1 day Project manager $1,560.00
6.2 Submission of final
project draft 1 day system integrator $840.00
6.3
Milestone 5:
Completion of project
closure phase
1 day technical officer, tester $1,000.00
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Risk
Risk Id Risk name Impact Possibilities Risk score Risk
mitigation
technique
R1 Scope creep High 4 Most likely 5 Extreme 20 Before
initiating the
project
manager
requires to
estimate the
total budget
that would be
need to
successfully
accomplish
the project
activities
R2 Inadequate
technical
infrastructure
and technical
support
High 4 Likely 4 High 16 Before
adopting and
installing SAP
S/4HANA and
CRM, the
company
should
develop
technical
infrastructure
in Yes
Chemist
R3 Resource over
allocation
Catastrophic 5 Rare 1 Low 5 Based on
project
requirements
the resources
should be
identified an
assigned to
each project
activity
R4 Delay in
implementation
of project
High 4 Unlikely 2 Medium 8 Based on
complexity of
each activity,
time should be
assigned to
individual
activity
R5 Improper High 5 Possible3 High 15 The project
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estimation of
project budget
manager
should
conduct a
feasibility
study to make
sure no delay
Communication
Purpose of
communication
Who when Reporting
format to be
used
Frequency Medium of
communication
To share the
project scope and
objectives
Project
manager and
project team
members
Project
initiation
phase
Project
status
reporting
format
Weekly Face to face
communication,
presentation,
conference and
email
To develop risk
management
program for the
identified risks
Project
manager and
system
developers
Project
initiation
phase
Monitoring
and project
progress
report
Monthly Face to face
meeting, email
and conference
To use the most
suitable system
development life
cycle (SDLC)
Project
manager and
sponsors
Project
planning
phase
Project
status report
Weekly Face to face
meeting, email
and conference
To discuss about
the infrastructure
and equipments
those to be
installed
Project
sponsors and
resource
manager
Project
planning
phase
Monitoring
and project
progress
report
Monthly Email, conference
and face to face
meeting
Discussion on
details budget
estimated for the
project
Project
manager and
finance
manager
Project
initiation
phase and
project
planning
phase
Monitoring
and project
progress
report
Monthly Face to face
meeting, email
and conference
Summary
After detail analysis of the system it has been determined that successful implementation of
the system will deliver flexibility, scalability, security and reliability to the project owners and
project clients.
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