Estimating Costs for a Use Case

Objectives

After completing this lesson, you will be able to:
  • Explore the business scenario
  • Calculate the costs for a use case

Explore the Business Scenario

Example side-by-side extension

Introduction to the Use Case

As a solution architect, your role goes beyond just designing architectures. You need to have a comprehensive understanding of the potential costs associated with the architectures you propose. In this lesson, we'll delve into the intricacies of cost estimation by using a simple side-by-side extension for calculating the costs of developing and integrating applications within the SAP landscape.

Use Case Details

Let's envision a scenario where your company boasts a diverse SAP portfolio, encompassing several SAP Cloud Solutions and SAP S/4HANA on-premise. The company's need arises for an application that extends the functionalities of SAP S/4HANA, SAP Ariba, and SAP SuccessFactors. As you approach the architecture design, the choice is made to leverage SAP Build Code for application development. Next to the developer tools, this includes the Cloud Foundry runtime and the Cloud Logging Service. We do not make use of the Document Management Service. SAP Fiori Elements will be utilized for the front-end development, and the application will be deployed in the SAP HTML5 Application Repository, which comes at no extra cost. Integration into the on-premise system, SAP Ariba, and SAP SuccessFactors necessitates the use of the SAP Integration Suite, Destination, and Connectivity service. Furthermore, for data storage, SAP HANA Cloud is identified as the needed solution. The application also requires integration with the company's identity provider through the SAP Cloud Identity Services. As you can see, these components form the fundamental building blocks of the designed architecture.

Use Case Summary

To provide a more detailed overview of the estimation, let's lay out the key components that need to be factored in: the development of a full-stack application without document storage, the choice to utilize SAP Build Code as the development environment, and the procurement of essential services such as the SAP Integration Suite (in the standard edition), SAP HANA Cloud (configured in the smallest recommended sizing due to the anticipated data volume), and the SAP Cloud Identity Services. By considering these aspects, you can accurately assess the costs involved and make well-informed decisions regarding the development and integration of the application.

By leveraging the estimator tools provided, you can meticulously estimate the costs, take into account all the necessary components, and ultimately make informed decisions that align with your company's objectives and budgetary constraints.

Calculate the Costs for a Use Case

Summary

Once a use case has been established and represented by a solution diagram, a cost estimate can be created. In this lesson, we introduce the service estimator and how it can be used to create estimates.

SAP BTP Architect: Typical Use Case Journey

SAP BTP Architect: Typical Use Case Journey

There is a logical sequence of steps leading up to an estimate. The typical sequence flow is as follows:

  • Business Use Case Assessment
  • SAP BTP Capabilities Explored
  • SAP BTP Guidance Framework Consulted
  • SAP BTP Solution Diagram Created
  • Software Bill of Material (SBOM)
Business Use Case Assessment
Typically, the sequence starts with a business use case assessment where the business case for the software application is established.
SAP BTP Capabilities Explored
From there SAP BTP capabilities and how they may provide a solution to implement the assessment is explored. For example the SAP BTP Discovery Center could be used to ramp up on the different services and how they may fit the assessment.
SAP BTP Guidance Framework Consulted
The SAP BTP Guidance Framework provides a central access point for architects, developers and administrators to build and run enterprise-grade solutions on SAP BTP. The framework comprises of the following elements:
  • Decision guides, which are used to identify the technology option that best fits a scenario.
  • Reference architectures, which are used to explore how to architect solutions on BTP with the help of curated solution templates.
  • Methodologies, which offer a guided approach toward increasing an organizations cloud technology maturity level, covering both technical and organizational aspects.
  • Recommendations for different technology domains that help to evaluate and choose the right implementation option.
  • DevOps principles, which enable development and operations teams to be more efficient.
SAP BTP Solution Diagram Created
There are several solution diagrams in the SAP BTP Discovery Center, which can be used as is or adjusted as needed to comply with different use case assessments. Or new diagrams can be created from scratch. SAP BTP Solution Diagrams provide high-level, abstract illustrations of technical landscapes. They are instrumental in helping customers understand the range of BTP services and solutions that SAP provides, and how they integrate with other SAP products. They typically showcase solution scenarios across IT landscapes by depicting SAP BTP services, systems, environments and their inter dependencies. Being based on the SAP Fiori Horizon design system, they're also visually compelling. Once the diagram is created it serves as the entry point for the estimation.
Software Bill of Material (SBOM)
A bill of materials (BOM) is an extensive list of raw materials, components, and instructions required to construct, manufacture, or repair a product or service. It lists the finished product or service at the top, followed by individual components and materials. Engineering BOMs are used in the design process while manufacturing BOMs are used in the assembly process. An SBOM follows this pattern. The "components" in this case would be the components needed to build a software application. Reference architectures as just mentioned are a great visual source of the components that would make up an SBOM as the relevant pieces of an application are clearly depicted. Some of the components that a SBOM could specify are:
  • Software component names
  • Open source components used (if any)
  • Licenses used
  • Libraries created or needed
  • Authors
  • Suppliers
  • Versions of components used
  • Dependencies

Launching the Service Estimator

Launching The Service Estimator

The estimator tool provides a user interface that allows the user to create estimates of the costs of SAP BTP services based on the quota, metric, and usage of the services being considered. To facilitate access to the service estimator it can be launched from any of these locations while navigating within the SAP BTP Discovery Center:

  • SAP BTP Services Catalog
  • Missions
  • Reference Architectures
  • Control Center (if logged on as a user)

Estimator Supports the Customer‘s Cost Planning

Estimator Supports the Customer‘s Cost Planning

What an architect sees when accessing the estimator largely depends on whether they are logged in or not. If not logged in, they'll immediately see a page where they can create a local estimate. To create an estimate, all that's needed is to perform the following:

  • Give the estimate a name (the default name is Local Service Estimate, but it can be changed).
  • Select the preferred region.
  • Select the preferred commercial model.
  • Add in each service for which an estimate is needed.
  • For each estimate, add in the sizing and quantity metrics.

Creating an Estimate

To learn, how an estimate is created, watch the following simulation:

Saving Estimates

Saving estimates

In addition to the features discussed, several other features are available regarding estimates in the SAP Discovery Center. First, an estimate is automatically saved as the default estimate with the name "local service estimate". This name can be changed, if desired. In addition the estimate can be downloaded in either PDF or CSV format and can be reset if necessary.

While the aforementioned features do not require the architect to log on to the SAP Discovery Center, they can choose to do so. When a logon is done, the sequence flow of views changes slightly and several new additional features are available. Regarding the sequence flow of views, the home page now becomes a portal, with a variety of tabs and tiles to launch different SAP Discovery Center capabilities (Mission Catalog, BTP Guidance Framework, and so on). Regarding additional features several become available:

  • Multiple estimates can be created
  • Estimates can be shared with other individuals. This allows collaboration on estimates to take place​
  • Estimates can be assigned to a category (that is, Development, Production)​
  • Estimates can be duplicated
  • Estimates can be deleted

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