AcceleratedSAP

Project Charter
Walt Super Foods (WSF)

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Table of Contents
Project Charter...............................................................................................................................1

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Introduction
Overview Walt Super Foods (WSF) have made the decision to replace the existing systems with SAP R/3 integrated software. The objective of this charter is to agree the foundation of the project by documenting the objectives, implementation strategy, project organization and roles, and the project plans necessary to achieve WSF's objective. Signing off this charter gives approval for the SAP project to proceed. Statement of Work Conflicts The statement of work is the definitive contractual arrangement agreed between WSF and SAP. Where disputes arise with regard to scope items or implementation guarantees, the statement of work will be the only reference. All other areas such as the project schedule, project organization, resourcing and implementation approach will be superceded by this project charter. Project Objectives The main project objectives and business drivers behind WSF's decision to replace its existing systems are: Replace systems that are inadequate or endangered. This will be accomplished by replacing existing system functionality without unnecessary overheads. Most divisions need to replace their systems urgently their existing systems are grossly deficient. Cereal needs to replace their software because it is written in an obsolete, nonsupported language. Year 2000 processing: Since most WSF computer systems use only the last two digits of the year, with the advent of the year 2000, the year number will revert to 00 and date dependent systems (most) will not be able to cope going from 99 to 00. The group needs to be year 2000 compliant by the end of 1999 to cater for future dates held in the system. General productivity gains to enable competitive advantage through: Lowest cost transaction processing, resulting from process improvement, for example, using EDI to reduce the costly paper flow and speed up transactions Rationalization of multiple systems to a single common solution The use of common approaches to processes across WSF, such as a common chart of accounts, customers, vendors and numbering where possible Replacement of the existing system functionality without unnecessary overheads Continuous improvement to provide a fully integrated and flexible solution which allows WSF to change and evolve processes and structures without technical constraints World class reporting, resulting from improved data collection, database and reporting tools. Introduction of ABCs and Executive Information System (EIS) reporting for more informed decision making Adopting best practice processes and systems. SAP C&A budget is very large and their stated objective that the software will be maintained as "best practice" provides comfort that this will allow the use of best practice business processes and procedures.

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Increased customer satisfaction satisfy customers, by using improved procedures, processes and performance information Flexible reporting structures use the system to facilitate aggregation/desegregation of divisions/business units into any desired hierarchies and the integration of acquisitions The ability to identify the profitability of a products sale to a specific customer after discounts, rebates and other associated costs

Benefits The focus of benefits will be to provide common business systems across WSF that will: Enable more effective use of resources Support business growth Leverage administration costs The primary benefits expected to accrue from the SAP implementation are: Support of a flexible, evolving and responsive business environment Elimination of non value adding activities such as data entry duplication Adoption of best practices where possible Simple and shortened close at month and year end Improved ability to service customers Reduction in administrative overhead, enabling staff to concentrate on analysis rather than transactional issues, implying a focus on the present and future as opposed to reconciling and reporting the past Providing an integrated solution to the shortfalls of the current systems Streamlining processes and reducing waste Support of information sharing and access Simple and easy to use interfaces Optimized management of inventory Providing a feed of enterprise transaction data to any future data repositories and decision support tools

Implementation Strategy
Scope The project scope is defined in two domains: 1. Functional Scope: defined by the business functions proposed for implementation. 2. Geographic and Organizational Scope: defined by the locations within WSF where these functions are to be implemented.

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Functional Scope The following table indicates the SAP modules in the scope of this project, which will be required to meet WSF's business objectives. The precise details and processes will be determined, documented, and agreed on during the Blueprint phase. Application Level FI - Financials GL Module level General Ledger Master data G/L accounting Postings manual / recurring Foreign Currencies BS & P&L reporting AR Accounts Receivable Master data customer/ groups Customer postings Down payment processing Credit Mgmt Dunning customer AP Accounts Payable Master data vendor / groups Vendor postings Payment run LC AA - Assets AA Consolidation Asset Accounting Master data / classes Multiple depreciation books
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Main Process

AcceleratedSAP
Application Level Module level Main Process Postings Low Value Assets Assets under Construction CO - Controlling OM Overhead Cost Management Cost center accounting Internal Orders

PA EC - Enterprise Controlling TR - Treasury SD - Sales / Dist PCA CM BD

Profitability Analysis Profit Center Accounting Cash Mgmt Basic data Master Data Material determination Products Pricing

Liquidity forecast Electronic banking

SLS

Sales Sales documents Customer inquiry Customer quotation Order processing / backorders

SHP

Shipping Delivery Picking / packing

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Application Level Module level Main Process Goods Issue BIL Billing Invoice creation Credit memos Rebate agreements Logistics General Batch management Material variants

Other

Sales Support Credit Management Transportation

Sales Logistics

Sales Order processing Third party order processing Direct sale to consignment receiver Direct sale to industrial customer Direct sale to retail company Presales processing

MM - Materials PUR Purchasing Purchasing master data Outline agreements Source administration Quotations
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AcceleratedSAP
Application Level Module level Main Process Output determination PRO Procurement Stock materials Consumable materials Material procurement data processing IM Inventory Management data conversion Stock master data Goods receipt / issue Physical inventory Consignment Stock WM IS Product Development & marketing Product definition Trading Goods Finished and semi finished non variants Processing Quality Inspection Packaging Raw materials Logistics planning Consumption based planning Master data planning
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Warehouse Management Purchasing Info System

AcceleratedSAP
Application Level Other AC Module level Main Process Authorization Concept Security Data conversion all modules Interfaces BC Basis system EDI

Out of Scope PM QA PP Plant Maintenance Quality Management Production Planning

Technical Scope
Local Area Network The rollout of the Local Area Network (LAN) is the responsibility of each of the sites. All LANs will be upgraded to the specification published by WSFIS. It is the sites responsibility to organize the LAN The PCs will be set up with a common desktop operating system and with a specified configuration. This will be done by WSFIS. Wide Area Network The Wide Area Network (WAN) will be designed by WSFIS, and this configuration will then be confirmed by BBB. The networks design will also take into account recovery procedures if it fails. Basis The basis work will be part of the technical team and will involve: 1. SAP software upgrades 2. Security administration 3. Performance tuning and monitoring 4. Data base configuration, administration and tuning 5. Release change management 6. Change management and transport / correction 7. General problem resolution 8. Job scheduling
1 Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
9. Printer environment configuration 10. Computer Center Management System (CCMS) Online Software Support WSF will use the Online Software Support, which is a remote system that allows customers to access all problem solutions that are known to SAP. WSF will provide a communication link to this service. SAP EarlyWatch Service EarlyWatch will be used to proactively monitor the system performance. It will be used at strategic points during the implementation. This will be determined after the project plan has been accepted. WSF will provide a communication link for this service. Hardware Hardware will be supplied by BBB. The sizing and type of hardware is based on configuration exercises completed by BBB, SAP and WSF.

Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP
Geographic and Organizational Scope
The SAP R/3 implementation will involve a rollout to the following locations: Division United States of America Branch Name Millers Food Co. Baker Mills Fisher Bakeries Co. Cereal Super Cereal Super Cereal Super Cereal . Dairy Super Dairy Super Dairy Cookies Super Cookies Super Cookies Project Constraints The proposed SAP implementation must use existing approved corporate communication standards. Processes and data standards must conform to regulatory and corporate standards where applicable. Examples of regulatory standards include the Code of Good Manufacturing Practice and ISO 9000. The proposed system will be run from hardware that is centrally located at the corporate data centers. Local Area Networks (LAN's) and workstations will conform to corporate standards. The project budget is approved by the WSF Board. Phase 1 of this project must be completed by 30/6/2000. This is broken up as follows: Finance (FI/CO) completed by December 98 Sales and Distribution (SD) and Materials Management (MM) completed by 30/6/2000 Project Assumptions
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Location Seattle Trenton New York

Seattle Boston New York

Seattle Boston

New York Seattle

AcceleratedSAP
To benefit from an accelerated implementation, the WSF' s SAP project will be implemented using ASAP Methodology. An accelerated implementation assumes the following: 1. The project team must be committed with adequate time allocated to the project. Key team members must be available full-time. Only experienced people should be chosen. 2. The scope must be vigorously controlled. 3. Where possible, standard SAP solutions will be sought. The WSF philosophy of "continuous process improvement" will be adopted after the SAP implementation 4. The business change will be driven by SAP. There will be process changes that result from implementing standard SAP functions 5. The complexity must be kept as low as possible. The project must focus on objectives and outcomes, not on old processes. The aim should always be to keep solutions simple. 6. WSF will be committed to the project's success and will ensure that issues which may affect progress are resolved promptly. 7. Conversions for numbering and barcode identification of products must conform to the guidelines for the American industry. 8. Twenty medium complexity reports are allowed (refer to Special Developments). Standard SAP reporting will be used where possible. 9. The SAP EarlyWatch system will be used for remote diagnostics and performance monitoring. 10. The SAP System will be installed by Feb 9 1998 to support the Blueprint phase of the project. 11. SAP will be able to use at least 30% of the "to-be" business model without modification. 12. SAP will be able to use at least 50% of the workshop outputs. Many business decisions will have been debated and decided and SAP will incorporate those decisions wherever possible. 13. WSF team members are empowered by the business to make decisions about the configuration of SAP and how they will use it. 14. The AcceleratedSAP implementation methodology and approach will be adopted and managed by both SAP and WSF project managers. 15. The change management responsibility for the project will be accepted by WSF and resourced accordingly. 16. WSF will ensure the integrity of all data supplied for conversions. 17. WSF will work closely with SAP in matching the conversion data from legacy systems to SAP. 18. WSF will adopt a "train-the-trainer" approach where key project personnel are trained via the SAP training program. These key personnel will then train the WSF staff to use the SAP System. 19. No manufacturing is in scope until Phase 2. However, some time is set aside in this phase for planning. There will be some configuration on the PP module to interface to existing WSF systems and processes within the SAP System.

Project Organization and Roles

The project organization chart is as follows: Project Sponsor The project sponsor "owns" the project with overall strategic responsibility for the project. The project sponsor has the responsibility for ensuring that the business brings the necessary commitment to the project. Time requirements for this role are normally on an "as needed" basis. The responsibilities of the project sponsor are to:
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AcceleratedSAP
Take personal senior executive responsibility for the project. Communicate the importance of the project to the business. Maintain regular and visible contact with the project, as required by the project directors Approve and monitor the project budget and expenditures. Make business decisions on issues escalated by the project directors Accept deliverables on behalf of the business. Assist in clearing organizational obstructions to the project especially those of a political nature.

Project Directors The project directors act as conduits between the project and senior management, business functions, technology and third party vendors. The SAP project director is a senior SAP consultant responsible for ensuring that Best Consultants (BC) and BBB provide superior advice and performance to the project. The SAP project director will also provide the WSF project director with guidance in implementing an SAP R/3 project. During the project, lifecycle issues will need to be escalated by the project directors to the project sponsor for a decision. The joint responsibilities of the project directors are to: Manage project operations according to ASAP methodologies. Control project scope and monitor project work plans. Provide leadership and direction to all members of the project team. Review project plans and deliverables. Approve significant changes to project plans. Control costs and expenses to the agreed budget. Analyze the project progress. Locate and secure resources for the project. Ensure good communication between teams within the project. Ensure that deliverables are completed on schedule and are presented to the project sponsor for signoff. Coordinate the review of the design and configuration of the SAP R/3 software to ensure compatibility with the business requirements. Ensure timely issue resolution or appropriate escalation of issues. Report project status to the project sponsor on a regular basis. Ensure contractual obligations are met with all project vendors. Manage the improvement of business processes. Ensure effectiveness of the project structure and roles. Specific responsibilities of the SAP project director are to: Transfer knowledge and experience in the implementation methodology and tools to the WSF project director. Manage the relationship and any contractual issues between SAP America, SAP business partner and WSF on a day to day basis.
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AcceleratedSAP
Advise the WSF project director on all aspects of the project requirements including project team organization and training, SAP R/3 configuration and testing, technical infrastructure requirements, system migration issues and requirements, interface and data conversion planning, process improvement opportunities and change management opportunities. SAP will provide a resource for the project duration to fill the role of SAP project director. WSF will provide a resource for the project duration to fill the role of WSF project director. Application Project Managers This will be a joint role where a senior BC consultant will assist the WSF project manager. The application project managers are responsible for the day-to-day management for each of the project teams. The application project managers will link the technology with the business and will provide significant input to the change management process. The responsibilities of the application project managers are to: Directly manage the application project teams. Manage project operations according to the project management methodology. Control project scope and monitor project work plans. Provide leadership and direction to project team leaders and project teams. Assign tasks and coordinate resources. Control costs and expenses to agreed budget. Identify critical resources. Report project status to the project directors. Manage project operations according to ASAP methodologies. Ensure that deliverables are developed and completed on schedule. Ensure all testing is completed according to the testing methodology. Ensure that all integration issues are handled and that adequate integration testing is completed. Propose changes of planned activities and schedules to the project directors. Review design and configuration of the SAP R/3 software to ensure compatibility with the business requirements. Assist in the improvement of business processes. Ensure timely issue resolution or appropriate escalation of issues. Implement the SAP R/3 System according to the approved schedule Provide input on the form and content of all essential project activities: 1. Project Charter 2. Business Blueprint 3. User Documentation 4. User Training 5. Conversion plan 6. Project plan 7. Support the implementation team on issues related to User Documentation, Training, User Acceptance Testing, and Conversion.
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AcceleratedSAP
8. Facilitate the collection and analysis of requirements for reports, interfaces, forms, and implementation strategies as per the project plan. 9. Responsible for creation of integration testing plan and actual conduct of the tests. 10. Management of all change control items. 11. Management of issue log. 12. Be in charge of coordinating SAP resources throughout the project 13. Provide expertise in the ASAP implementation methodology, train WSF personnel in its use, tailoring the methodology to WSF requirements, and ensure that the appropriate documentation is completed. Best Consultants will provide a resource for the project duration for the SAP application project manager. WSF will provide a resource for the project duration for the WSF application project manager. Project Office The project office will provide administrative support to the project team. This ensures that project team members can remain focussed on delivering project objectives and are not sidetracked on administrative duties. The project office will be involved in everything from logistical support to document production, publication of meeting minutes, tracking schedules, developing presentations, interview confirmations, and conference/meeting room bookings. Three resources will be provided by WSF. Application Team Members The application team will be led by a WSF business specialist and assisted by a lead functional consultant from BC. The balance of each team will include personnel from both WSF and BC. Under the management of the application project managers, these teams will work closely with all the other development teams. The change management team will rely heavily on this team providing the information required for change and training. The responsibilities of the application teams are to: Determine functional requirement definitions through analysis of current and targeted business processes. Map requirements to SAP R/3 functionality. Determine detailed design of the "standard" SAP R/3 solution and non-SAP System solutions. Determine how the new system will support required processes. Develop detailed configuration of the SAP R/3 software. Identify and resolve functional voids. Determine master file and table configuration. Develop and conduct testing according to the testing methodology. Identify and integrate ultimate process owners into the team to ensure knowledge transfer. Ensure that security controls are configured in the new system. Provide knowledge transfer to WSF. Provide input into the training and documentation deliverables. Special Development Team
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AcceleratedSAP
The special development team will be led by a WSF business specialist and assisted by a lead functional consultant from SAP. The balance of each team will include personnel from both WSF and BC. Under the management of the application project manager, these teams will work closely with all the other technical teams. The responsibilities of the special development team are to: Map requirements to SAP R/3 functionality. Determine master file and table configuration. Develop specifications to meet reporting requirements. Develop and conduct testing according to the testing methodology. Develop ABAP reports and add-ons to WSFs specification. Develop and test interfacing and conversion software. Develop and test procedures for interfacing between the new system and existing WSF systems. Develop and test procedures to populate the new system master files and tables. Investigate the use of third party tools. Special developments include the following: All interfaces as outlined in the scope of the functional requirements. All conversions of master data from WSFs existing systems to the SAP System, as required. Twenty medium complexity reports. Standard SAP reporting will be utilized where possible. All formatted printing interface requirements will be output from SAP. The formatted printing document processing will be the responsibility of WSF. Integration Team The integration team will be responsible for ensuring standardization across the SAP modules implemented. As well as this, the integration team will liaise with WSF on Year 2000 compliance for WSFs existing legacy systems and provide advice on any further SAP integration issues. The integration team consists of application project managers & team leaders. Their function will be to assist with the iterative baseline confirmation and final confirmation approach of the ASAP methodology. Technology Project Manager This will be a joint role where a senior hardware vendor consultant will assist a WSF technology project manager. The technology project manager needs a thorough understanding of the WSF IT infrastructure. The technology project manager will be responsible for providing technical support to the project, and for the daily management of the technology teams/groups. The technology project manager will provide the linkage between the following teams: Hardware installation Network services Basis consulting Administration Implementation The responsibilities of the technology project team are to:
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AcceleratedSAP
Provide relevant resources for the system administration processes. Build a comprehensive live support program. Identify and deliver adequate technical training and documentation for the new system. Report project status to the project directors. Assist the other project teams in delivering their systems through expert advice and guidance.

Hardware Installation Team The hardware installation team will install the required hardware, communications, database, technical tools and SAP R/3 software. The team will be managed by the technology project manager to ensure the technical environment is maintained and supports each project stage (i.e. development, training, and production). The team will consist of technical resources from WSF, BC and BBB. The responsibilities of the hardware installation team are to: Manage the installation of the required hardware and communication network. Manage the installation and tuning of the SAP R/3 software. Establish and maintain the technical environments to support development, training and production. Develop migration procedures and utilities. Provide ongoing system support. Network Team The network team will ensure that all the necessary network provisions are in place for all stages of the project. The team will be managed by the technology project manager and will consist of technical resources from WSF. Basis Team The basis team will consist of technical resources from WSF and BC. This team, which will work closely together with the special development team, will be responsible for the following tasks: SAP software upgrades Initial security administration System performance monitoring and tuning Database configuration, administration and tuning Release change management Change management and Transport & Correction General problem resolution Job scheduling Printer environment configuration Computer Center Management System (CCMS) Administration (Security) Team The administration (security) team will consist of technical resources from WSF and BC. The prime responsibility of this team will be to ensure that the correct security profiles are built for the
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AcceleratedSAP
new system. It is envisaged that this team will supplement WSFs current system security processes. WSF Change Manager The change management project manager will be a WSF manager responsible for providing guidance and direction to the business. The change management project manager will provide the linkage between best practice, user training, documentation, and organizational change. The project directors, the application project managers, the technology project manager and their teams will work with and support the change management team. Responsibilities of the change management team are to: Produce a comprehensive change management plan End User Support Document. Identify areas that provide opportunities for business process improvement and then implement the best practice. Implement change to business processes where appropriate, and manage the effect of this change on the business. Analyze the "as-is" and "to-be" job roles to assess the skills and knowledge gap for user training. Develop a role based training curriculum to meet the project training needs either by utilizing SAPs training programs or by the train-the-trainer" programs. Schedule and communicate the project end user training. Schedule regular communication to the WSF generally. Prepare training facilities, including the development of the project training database. Design materials for the project end user training. Deliver training to the project end users. Plan a post-implementation program consisting of the further introduction of best practice into each site, ongoing user training and the further development of training and documentation. Audit the preparation and readiness of WSF divisions and sites before the implementation. Design and prepare a competency center to support the system when it is productive. Prepare end user documentation to meet project user needs.

Change Implementation Strategy

This section defines the change management implementation strategy for each of the 40 WSF implementation sites. From a change management perspective, this strategy includes all essential steps that must be conducted to support a successful implementation. The responsibility for each step is defined, the timing identified and specific tools are referenced where required to support the completion of each step. Identify Division Implementation Teams

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AcceleratedSAP
Each division will establish an SAP implementation team sponsored by a senior manager (e.g. financial controller or operations manager), with a division SAP implementation manager (e.g. MIS Manager) who will be full-time on this project during the division implementation phase. The implementation team is guided and supported by the central project team, and in particular by the change management and technology groups. WSF Division SAP Implementation Managers SAP implementation managers will be appointed for each of the divisions of WSF. Responsibilities include: Development of the divisions implementation plan, guided and supported by the central project team Management of the divisions readiness for the SAP system Leading the divisions SAP implementation steering committee Ownership of SAP implementation site activity through site coordinators Project communication for the division Feedback on training and overall divisions readiness to the change management team. Identify Site Implementation Teams As sites vary in size and complexity of operation, site implementation teams will also vary in size and responsibility. In some instances, the division implementation team will assume full responsibility for the site, and in others, a site sponsor (e.g. general manager) will be required. WSF Site Coordinators A site coordinator will be appointed for each site of WSF. The resourcing and planning of this function will be performed during the Blueprint phase. Responsibilities will include: Developing a site implementation plan, guided and supported by the divisional SAP implementation manager and the central project team Management of the site readiness for the SAP System Leading the sites SAP implementation group Project communication for the site Feedback to the change management team on training and site readiness Conducting reviews of communication and training effectiveness for the change management team.

Project Plan and Methodology Overview

Proposed Implementation Strategy The project will use the AcceleratedSAP (ASAP) implementation methodology. AcceleratedSAP was built from SAPs best implementation practices and will empower WSF with tools, templates, questionnaires and the skills to reap the full benefits of the R/3 models already built into the R/3 system. The following is a brief outline of the phases of the AcceleratedSAP Roadmap: 1. Project Preparation This phase will "kick off" the project and includes the following tasks:
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AcceleratedSAP
Review and refine implementation strategy Establish the project team working environment Determine project organization Define project management standards and procedures Define implementation standards and procedures Define system landscape strategy Kickoff meeting Project team standards meeting Identify technical requirements Procure hardware This phase produces the following deliverables: Deliverable ASAP Ref Project Charter 1.1.1 Project Plan 1.1.5 Training Plan 1.2.2.2 Perform Quality 1.5 Check - (SAP Review Program) Responsibility Project Managers Project Managers Change Manager SAP America Review by Project Directors Project Directors Project Directors Project Directors Sign off by Project Directors Project Directors Project Directors

2. Business Blueprint In this phase we will define WSFs business practices and parameters, understand the business goals and business structure, and discuss how SAP will realize those processes. The resulting design will be a "blueprint" of the business future state. Tasks in this phase include the following: Review and refine training plan Set up development environment Initial set up of system landscape Systems administration Initialize IMG (Implementation Guide) Conduct business process workshops Conduct detailed requirements workshops This phase has the following deliverables: Deliverable ASAP Ref Responsibility Review by Sign off by Create Technical Design 2.3.1 Tech. Project Mgr. Project Directors Project Directors Business Blueprint 2.5 Project Managers Project Directors Project Directors Perform Quality Check 2.6 SAP America Project Directors (SAP Review Program) 3. Realization In this phase, the system will be configured to WSF's requirements as defined in the Blueprint. This is also a major opportunity for knowledge transfer from SAP consultants to the WSF project team members. There will be multiple iterations of Realization, Final Preparation and Go Live, as Financials and Logistics are repeatedly rolled out. Tasks in this phase include:
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AcceleratedSAP
Initial planning for production support (creation of a competency center) Conduct team training Baseline configuration and confirmation System management including test plans, service level commitments, QA & Production environment setups and system administration functions Develop conversion programs Develop interface programs Develop enhancements Create reports and layout sets Establish authorization concept Establish archiving management End user documentation and training material This phase has the following deliverables: Deliverable Final configuration and confirmation Rollout Group 1 Final configuration and confirmation Rollout Group 2 Final configuration and confirmation Rollout Group 3 Final Integration Test Perform Quality Check (SAP Review Program) ASAP Ref Responsibility 3.3.3 Project Managers 3.3.3 3.3.3 3.13 3.15 Project Managers Project Managers Project Managers SAP America Review by Project Directors Project Directors Project Directors Project Directors Project Directors Sign off by Project Directors Project Directors Project Directors

4. Final Preparation In this phase, we will prepare the implementation of the system. There will be multiple iterations of Realization, Final Preparation and Go Live, as Financials and Logistics are repeatedly rolled out. Tasks within the phase include: Prepare and conduct end user training Refine system management Refine cut over plans and production support Cut over to production system Perform quality check This phase will produce the following deliverables: Deliverable ASAP Ref Responsibility Review by Cut over to production 4.5 Tech. Project Mgr. Project Directors system Rollout Group 1
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Sign off by Project Directors

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AcceleratedSAP
Cut over to production system Rollout Group 2 Cut over to production system Rollout Group 3 Go / No Go decision Perform Quality Check (SAP Review Program) 4.5 4.5 4.5.2 4.6 Tech. Project Mgr. Project Directors Tech. Project Mgr. Project Directors Site Managers SAP America Change Manager Project Directors Project Directors Project Directors Project Directors Project Directors

5. Go Live and Support In this phase we will ensure that the end-users requirements are met. There will be multiple iterations of Realization, Final Preparation and Go Live, as Financials and Logistics are repeatedly rolled out. Tasks in this phase include: Production support Follow up training Define long term plans Perform project review Scope Management The scope of the project is defined in section 3 of this document. It is a vital requirement that the project is restricted to this scope. Any development outside this agreed scope will threaten the project. As the project progresses, the necessity may arise to change the scope of the project. Any change will be governed by strict scope control procedures. These are intended to reduce the impact of the work on the project teams and the schedule. All scope change requests must be submitted to the project directors. They will investigate the change in terms of its impact on the project workload and schedule. If the change is outside the scope of the project, the costs will also be determined. Input from SAP product experts and WSF business people will be required to determine these costs and impacts. The project directors will then present their findings to the project sponsor who will approve the change or reject it. Issue Management Issues that are not related to scope changes will be tracked via the notes database. Complexity Management The implementation of the SAP System at WSF will be kept as simple as possible. This means not only sticking to standard SAP by limiting customizations and ABAP development but also using SAP as simply as possible. All members of the project team need to be vigilant in keeping project complexity as low as possible. Risk Management A project of this nature always entails various risks. The management of these risks is a critical factor in ensuring the success of the project. Below you can find a list of potential risk factors and strategies for managing and minimizing them.

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1. Commitment of user community WSF employees that may be affected by the implementation of SAP must be involved and informed of the changes to ensure their commitment and ownership. This will be addressed by the End User Support Document. 2. Complexity of requirements business requirements should be kept as simple as possible. As stated in section 4 (Scope) of this document, the implementation will be kept simple. A special review will be carried out early in the project. This review is to ensure the timely resolution of issues regarding the following functional gaps that have been identified so far: Promotions Route planning Catchweights Telesales 3. Cooperation of the divisions to achieve a common SAP solution, with only minor adjustments for each business. Configuring multiple solutions would expand the project effort and cause delays. 4. Interfaces the development of interfaces as outlined in the technical plan entails a potential risk and is a critical path in the course of this project. In order to manage any risks and to define detailed requirements at an early stage of the project, an interface team reporting to the project manager will be established. To ensure that appropriate resources are allocated and that development is completed before integration testing, interface development will be given a high priority during the project. 5. Impact on computer operation as the objective is to install the proposed computer hardware at the head office, it is necessary to review the impact of the new system on corporate IT operations. Therefore, a strategy should be devised to minimize the potential impact of the installation, e.g. by means of staffing, support and so on. 6. Knowledge of methodology the AcceleratedSAP methodology will be applied for this project. One of the project manager's main responsibilities will be to ensure that the methodology is followed appropriately. To ensure this, the project manager will also educate WSF staff on this methodology. 7. Project sponsor the project has one project sponsor who has a stake in the project to ensure a clear and timely decision making process. His ongoing support must continue. 8. Loss of project team staff before June 2000. Maintaining a knowledge base within WSF is a high priority for the ongoing success and support of the project. 9. SAP upgrade to SAP R/3 X.x during the project during the project, the risks or justifications will be assessed and the decisions will be made whether to upgrade. Project Planning and Monitoring (Review Meetings) This section defines the types of review meetings and reporting which will occur, as well as their purpose and their frequency. Regular meetings include: Meetings of the project directors and the sponsor weekly. The purpose is to keep the sponsor aware of issues affecting the project, and to make prompt decisions on those issues. Meetings of the project directors weekly. The purpose is to manage and identify issues and to make prompt decisions on those issues.

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Meetings of the project management team weekly. These meetings include all project managers, and others upon invitation. Meetings of the site management team, consisting of the divisional site manager and site staff as required. Meetings of the project team leaders, including project managers as required. Meetings of the project team with the user community to keep them appraised of the project progress as required. Regular reports include: Weekly project management report, and project plan status review Monthly project management report, and project plan status review Quality Assurance The quality assurance process for the project will be two-tiered with internal quality assurance using the ASAP methodology, and external quality assurance by SAP specialist consultants providing formal project health checks. In short, the quality assurance support will provide: A comprehensive project health check at milestones Greater awareness of potential implementation issues and risks Recommendations for alternate implementation options Consistent reporting across all phases of the project Increased confidence in project delivery by both the project team and WSF management A link to WSF quality and audit initiatives An audit trail of the project decision process. Internal QA 1. Management and project team will review the Project Charter 2. Project team and project management will review Business Blueprint design. 3. User documentation will be reviewed by the project team, project management, user community (site managers). 4. Training program review by project team 5. Integration test plan review by project team 6. Acceptance test plan review by project team 7. Site implementation manager is responsible for reviews of acceptance criteria. 8. Where technical specifications are produced, peer reviews will always be conducted. External QA 1. External QA reviews (SAP Review Program) to be performed by SAP America at the indicated project milestones. 2. Special developments require specific attention to ensure that the performance of the system is not degraded in any way. All special developments will be subjected to rigorous reviews for performance and compliance with the recommended standards. 3. Use of SAPs EarlyWatch to provide online systems diagnostics. 4. Possible reviews of organizational readiness, fit for purpose, risk assessment or other specific QA reviews as required by WSF. 5. External QA reviews of functional areas to be performed by SAP America as directed by the SAP project director.
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Project Plan Business functions identified, as part of the Blueprint must be fully supportable by the new systems solution as of 30/6/2000. Full implementation at all plants, state offices and head office is expected by 30/6/2000. The interface to corporate systems is also expected by 30/6/2000. More details for the implementation strategy will be defined in the Business Blueprint Design document. Training Plan To provide initial training on SAP, SAP training courses will be conducted throughout the project duration for available members of the application and change management teams. The documentation and training implementation will be assisted by a third party specialist consulting group. Knowledge Transfer During the project, the knowledge transfer to WSF staff is an important goal of the SAP consultants involved. Transfer of knowledge will occur: From the SAP project manager to the corporate and WSF management of the project. This will be one of the main consultancy objectives of the SAP project manager. From the SAP Basis consultants to WSF's technical staff. Much of the SAP basis role is to advise the client on how to manage the new system. From the SAP product experts to business users, business analysts and other project team members. This will occur particularly in the joint design sessions and prototyping sessions. Knowledge transfer is an explicit goal of these sessions. Business users involved in the project will also return to the workplace both during and after the project where their detailed knowledge of the system will be invaluable. They will consciously engage in activities aimed at spreading knowledge about the system. Change Management Walt Super Foods is responsible for the change management program. To achieve acceptance of SAP, the project team will incorporate business users into relevant phases of the project and conduct awareness sessions throughout the project, culminating in "just in time" user training. Issues of change management that are relevant to the success of the project but outside the authority of the project team will be directed to the project directors and to the project sponsor for resolution within defined timeframes. A detailed End User Support Document will be produced for the Phase 1 Signoff in March 1998 and will supplement this charter. This document will provide details about the activities required to support the change management activities of the project, including communications, impact analysis, end user training and online documentation. End User Training and Documentation Before the design phase at the beginning of the project, members of the entire project team will attend the SAP training courses.

Copyright 2000 SAP AG. All rights reserved

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The approach of End User Training and Documentation will be explained in detail in the End User Support Document. Formal SAP training will be required for WSF's SAP systems administrator. An SAP basis person will advise on requirements. The need for further formal training of other members of staff will be assessed during the project. Project Management Standards and Procedures Project Monitoring The project managers will monitor progress via the ASAP toolkit and the project plan. The Implementation Guide (IMG) will be used to monitor configuration progress throughout the project. System Configuration Applications The project team will use the ASAP Question and Answer Database (Q&Adb) during the Blueprint to determine the required processes and to define the scope of the project. During the Realization phase, they will use the Business Process Master List (BPML) and the IMG to control configuration and document configuration decisions with SAP itself. System Configuration Special Developments A detailed plan encompassing all interfaces, the system architecture and interface issues has been devised. Communication Plan A method of keeping the user community informed of the projects impacts will be maintained. System Landscape A plan for the rollout of all infrastructures has been developed. A schematic overview of the planned hardware configuration is illustrated. A detailed plan encompassing all interfaces, system architecture and interface issues has been issued.

System Authorization Standards

System Problems and Error Handling System Enhancement and Modifications Approval System modifications will be subject to project management approval via the change control process. Sign Off Charter Approval Signing this document records your agreement on the contents of the project charter, and confirms the order of how to proceed with the remainder of the project. Resource Title Date Signature Andrew Gallo Project Director (WSF) Steven Huber
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Project Director (SAP)

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Copyright 2000 SAP AG. All rights reserved

AcceleratedSAP

Copyright 2000 SAP AG. All rights reserved

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