RESOLUTI SAP Statement of WorkSOW for Software Upgrade L 2011 doc

RESOLUTION NO 2011

214 R

A resolution authorizing the City Manager to execute a Statement of Work with SAP Public Services Inc

to provide services for the SAP ECC 6 0 Technical Upgrade and Unicode Conversion Implementation in
an amount not to exceed 456 00 and declaring an effective date 062

WHEREAS the SAP software that the City currently utilizes is nearing the end of its stated life cycle the City is upgrading
the software to version ECC 6 0

WHEREAS City Council approved funding for a technical upgrade to the SAP software system in the Fiscal Year 2011
2012 budget

THEREFORE IT IS RESOLVED BY THE CITY COUNCIL OF THE CITY OF VICTORIA TEXAS

1

The City Manager is authorized to execute the Statement of Work to Professional Services Schedule dated March 26 1999 between SAP Public Services Inc and City of Victoria for the SAP ECC 6 0 Technical Upgrade and Unicode Conversion Implementation in an amount not to exceed 456 00 which is attached hereto as Exhibit A and 062
incorporated herein with changes to form as are approved by the City Attorney
2

This resolution shall become effective immediately upon adoption

PASSED this the 20 day of December 2011

AYES

7 0 0

NAYS

ABSTENTIONS

APPROVED AND ADOPTED this the 20 day of December 2011

Yitt
N

WILL ARMSTRONG Mayor of the ity of Victoria Texas

APPROVED AS TO LEGAL FO

ATTEST

IiET P

r City Secretary

THOMAS A GWOSDZ C

Atto

Distribution

Legal Department
Finance

Department

Copies

Sent

December 21 2011

File 2011 982

RESOLUTI SAP Statement of WorkSOW for Software Upgrade L 2011 doc

Statement of Work

dated December 6 2011 Statement of Work or SOW

to

Professional Services Schedule dated March 26 1999 Agreement

between

SAP Public Services inc SAP

and

City of Victoria Licensee

Project Name SAP ECC 6 0 Technical Upgrade and Unicode Conversion Implementation Project
This Statement of Work and the terms and conditions of the Agreement describes the Services to be provided to Licensee in

support of the Project at the rates listed in Exhibit 2 which is hereby incorporated herein by reference as authonzed by Licensee by signing this Statement of Work
1

Project Approach

Licensee requires SAP consulting Services for the duration of the Project The SAP Consultant s assigned to this Project will assist in the implementation of the SAP Software and assist Licensee in gaining a better understanding of the SAP Software
applications

Licensee is owner of the Project and is responsible for and controls the implementation scope costs resources and targeted solutions The scope of the Project is set forth in the attached Exhibit 1 which is incorporated herein by reference Exhibit 1 also includes certain Responsibilities and Assumptions and associated delivery dates that are the responsibility of Licensee In addition to the tasks specified in to Exhibit 1 hereto Licensee agrees to provide appropriate Project resources including but not limited to s Licensee
equipment access landscapes computer networks printers systems
pertinent information

workspace connectivity to access SAP networks and websites and appropriate and cooperative personnel including administrative support to facilitate the performance of the Services Licensee shall designate a Project Manager to work with the SAP Consultant s to facilitate the provision of the Services It is mutually understood that business requirements
resources and dates may change

The SAP Consultant s may assist in planning the Project selecting resources and quality checking the activities and progress
throughout project plan and execution

Licensee is responsible for revising the estimated Project plans and requesting changes to the requirements for SAP Services

SAP and Licensee will jointly prepare project plan and SAP will provide an upgrade project manager to assist Licensee

withdrawal is Tess than the Estimated Duration listed in Section 3 of this Statement of Work
2

The Project is estimated to start on January 2 2012 and has a projected completion date of May 31 2012 The Consultants will work on the Project during this time and provide support as specified by Licensee Licensee agrees to provide SAP at least fourteen 14 calendar days poor written notice of a request to withdraw the Services of any assigned Consultant when such
Assumptions and Responsibilities

Project Assumptions and Responsibilities are

a Licensee will provide a working environment and facilities adequate for SAP to perform its assigned duties This includes but is not limited to adequate conference rooms cubicle space and telephone access b SAP s Consultants will be given access to Licensees SAP environment Licensee shall provide secure dialin andor
direct access to Licensee s networks as necessary

SAP Consultants will be provided with full access to all of Licensee s s facilities necessary tor the Project including all necessary identification material badges cards etc subject to the terms and conditions of the Agreement This
includes full access to such buildings and systems during normal business hours After normal business hours on

weekends and on holidays access will be available as approved in advance by the Licensee Project Manager Limitation of SAP access during these times may reduce SAP s ability to maintain the proposed schedule
d During the Project Preparation Phase the SAP Consultants and Licensee s Project Manager will agree upon a project
work week Such work week will be defined in one of the following categories

45 3 nights 3 4 days at Licensee s location 5 day at remote location

Four days 40 hours at Licensee s location Five days at Licensee s location

Other as mutually agreed prior to the Project or as the Project progresses

Exhibit A

L RESOLUTi 2011 SAP Statement of WorkSOW for Software Upgrade doc

Additional Licensee responsibilities and Project assumptions are set forth in Exhibit 1 to this SOW Should Licensee fail to fulfill

those responsibilities and assumptions that are applicable to Licensee the estimated fees timeline and scope shall be subject
to change
3

Assigned SAP Consultants and Estimated Fees

SAP will support the Project by providing Consultant s to be located at designated U S Licensee facilities Licensee agrees and understands that the assigned SAP Consultant s will occasionally perform Services on the Project from a remote location
The Consultant type s currently assigned to Licensee to work on this Project are
Function
Labor Cateaorv K5
K5

Rate

AdjustmenttABAP Consultant
Basis

268 1 Hr 268

Estimated Start Date January 2 2012

Estimated Duration HRS

184

Total
312 49 5120 064

January

2 2012

448
480

Functional

Project Management K6 Support Consulting

Total Estimated Travel 15 Total inclusive of Travel

Hr 317
K5

Hr 268

January 2 2012 January 2 2012

280

5152 160 5 75 040 576 5396 486 59 062 S456

The estimated consulting fees for the Project are 5456 062 inclusive of expenses This estimate is for Licensee s budgetary and SAP s resource scheduling purposes This estimate is based on the following Information provided by
and scope may be subject to change

provided by Licensee be inaccurate or should SAP gain additional information dunng the Project the estimated fees timeline

Licensee to SAP and SAP s understanding of the project scope based on Licensee information Should the information

The prices herein are based upon a 40riour work week for core Project team members including those from Licensee However a Project of tits nature may have peak periods where the Project team will be expected to work outside normal business hours Fulltime Licensee core Project team members will not have responsibility for work outside the scope of the Project Other

Licensee projects that are currently underway or may start during this Project will not utilize the resources facilities or technical infrastructure required for this Project Licensee will continue to be responsible for the existing system without having a negative
impact on the Project
4

Compensation of SAP

The Services provided by SAP will be invoiced monthly on a time and expense basis The invoice wit include a summary of the hours charged by Consultant and all applicable expenses SAP may issue separate invoices for time and related expenses All payments for undisputed amounts are due 30 days from date of SAP s invoice Any undisputed fees not paid when due may accrue interest at the rate of 18 per annum but not to exceed the maximum amount as allowed by law

Any invoice discrepancies and or disputes will be documented by Licensee and forwarded to SAP within 14 days of the receipt
of the invoice

SAP will mail invoices monthly to the following licensee billing address
City of Victoria Attn Andrew Jacob Assistant Finance Director
P O Box 1758

Victoria TX 77902

Notwithstanding anything to the contrary Licensee acknowledges and agrees that 1 it must provide SAP a valid purchase

order for the Services contemplated under this SOW and SAP shall have no obligation to commence any Services hereunder until it receives such purchase order 2 such purchase order shall be governed by the terms of the Agreement and 3 should

SAP in its sole discretion elect to commence Services hereunder in advance of its receipt of a purchase order the same shall

not operate as a waiver of any of SAP s rights Including without limitation SAP s right to stop its performance of the Services
at any time dunng the period where the purchase order remains outstanding
SAP contact for invoice questions Glen Krapf aien cam 404 5129687 krapfa@saD

Licensee contact for payment questions Andrew Jacob AJacobavictoriatx orq 361 4853098
5

Non SolicitationNoHire

Neither party shall solicit or hire in any capacity whatsoever any of the other party s employees involved in this SOW during
2

Exhibit A

L RESOLUTI 2011 SAP Statement of WorkSOW for Software Upgrade doc

the term of this SOW and for a period of six 6 months from the termination hereof without the express written consent of the
other party
6 Chancres

Any change to this Statement of Work shall be subject to mutual written agreement of the parties and shall be made in
accordance with Exhibit 3 hereto Change Order which Is hereby incorporated by reference SAP shall not commence work on any such change unless and until the change has been agreed to in writing by both parties
IN WITNESS WHEREOF the parties have so agreed as of the date written above
Accepted By
SAP Public Services Inc

Accepted by

SAP

City of Victoria Licensee

By
Print name
Title Date

By
Print name Title Date

Exhibit 1
Exhibit 2

Project Definition
Rate Schedule

Exhibit 3

Change Order Procedure

Exhibit A

LRESOLUTI 2011 SAP Statement of WorkSOW for Software Upgrade doe

Exhibit 1 To Statement of Work

Dated December S 2011 Statement of Work or SOW

To

Professional Services Agreement Agreement

Between

SAP Public Services Inc SAP

And

City of Victoria Licensee

Protect Definition

This Exhibit 1 to the Statement of Work SOW addresses the Implementation Consulting Services required of the Project it is
agreed upon resources fulfill applicable assumptions and to perform the Licensee Responsibilities set forth herein or the result

mutually understood that business requirements resources and dates may change subject to the applicable terms of this Statement of Work and that any such material change requested by Licensee or as a result of Licensee inability to provide
Exhibit 3

of Licensee errors or omissions may result in a Change Order in accordance with the Change Order Procedure as defined in Licensee is responsible for overall Project ownership and is responsible for requesting changes to the requirements for Services The SAP Project Manager may assist in planning the Project and quality checking the activities and progress It is

understood by SAP and the Licensee that any material changes to scope that are requested will be addressed through a
formal change order process Material changes are those which specifically wit Impact budget scope timeline or resources
0 1

Project Approach The scope of this Project is comprised of the following

Business Process Scope describes the work activities

Organization Scope describes the people teams and departments

Location Scope describes the physical locations or facilities Application Scope descnbes specific business software applications

Data and Integration Scope describes the specific data items structures relationships and business rules for
converting and interfacing data with external systems

Customization Scope describes the customizations to the base product functionality The project is estimated at 23 4 weeks in duration with an estimated start date of January 2 2012 Below is a high
level duration by phase and estimated date
Production

Project Preparation

Upgrade Blueprint

Realization

Preparation
for Cutover

Cutover

Support

Ott 4

Meng

2W

SAW

01 02 03 04 011 06 07 OS 08 10 11 12 13 14 13 16 17 18 10 20 21 22 23 244

r
Estimated Duration

lsOortf
Estimated
Start Date

Phases

weeks Upgrade Blueprint

6 4
8 10 0 2 6 5

Estimated Finish Date

03 2 2012

Project Preparation
Realization
Final

02 1 2012

06 2 2012
23 4 2012 07 5 2072

20 4 2012 04 5 2012
08 6 2012

Preparation

Go Live and

Support
nW

ospwr

n y F

lh

a r

Exhibit A

RESOLUTI SAP L 2011

Statement of WorkSOW for Software Upgrade doc

The following scope definitions define the areas that are in scope for the Project
scope are assumed to be out of scope for the Project
1

Any areas not specifically identified as In

Tools and Technology

Name of

Project

SAP ECC 6 0 Technical Upgrade and Unicode Conversion Implementation

Nature of

Engagement

Upgrade Licensee s SAP R13 4 7 system to ECC 6 0 Enhancement Pack 5 with

Unicode

2 1

In Scope

2 Project Process Scope and Assumptions 1

Technical Upgrade Unicode Conversion and Database Migration of SAP R 34 7 non Unicode Oracle systems to
SAP ERP 6 0 with Enhancement Package 5 EHP5 SQL Server 2008 Unicode

O
o O O

SBX
D01 Q01 P01
PI

SAP R 34 7 Upgrade Project System Copy of Production System

SAP R13 4 7 Development System SAP R 34 7 Quality System SAP R 3 41 Production System 2004 4 1 70 01 R3 620 N 620 003C
2006 1 620

The following Plug insAdd ons which are installed in the current system will be considered during the upgrade
o O

0017
0000

STA P1

o o

ST PI
PI

0000 0011

BASIS

Modification Adjustment Unicode Engagement and Unit Testing of the objects listed in Appendix
Adjustment of

Modification

Text literals will be replaced by text elements

Syntax check is done on inscope objects and commercially reasonable efforts will be made to fix those
errors caused by Technical Upgrade and Unicode Conversion Technical support during testing Post Go live support

SAP will assist with the modification adjustment and unit testing of custom objects and user exits The current staffing levels for SAP are based on the estimated 1 062 custom objects and 18 modified SAP objects identified during the SAP Upgrade Assessment Additional new objects could result in the creation of a Change Order Request The ABAP modifications will be executed for these objects mentioned in either the UPS or the R3D

system only This Project includes adjustments in only one of these two systems If it is required to make adjustments on more than one system such adjustment will require additional effort and will have to be handled
via a Change Order Request

s Customer Dictionary Objects CDOIC

Customer Transactions

181
40

TRAN

Customer Exits CMOD 1

i

18
1 10

Function

Groups

Function Modules

ASAP

Programs PROD
ti

Customer Forms

3 40
2 5

1 Batch
I BAD
BAPI

Intermediate Document Types 1DOC

Input

Programs

BOG

0
0
n

tmptementertsAPNotes SNOT Repository Modifications SPAU

Data

7
12

Dictionary Modifications SPDD Single Roles

Collective Roles

8 19 0

Assist with changes to customizations that are affected by redesignediobsolete SAP transactions Technical support during testing includes Basis and ABAP support for the upgrade related issues only Post Golive support 5 6 weeks of support as requested by Licensee to assist with fixing existing issues related to the upgrade Post Golive support does not include any new enhancements Post Go Live Support Includes one 1 week of Post Go Live Support and four 4 weeks of HyperCare Support Onsite support for Basis and
Development

SAP may reassign or replace resources based on Project needs and resource availability as reasonably

Exhibit A

L RESOLUTi 2011 SAP

Statement of WorkSOW for Software Upgrade doc

determined by SAP

SAP will use commercially reasonable efforts to adhere to Licensee s project management methodology and deliverables in conjunction with SAP s ASAP methodology and PMO Standards SAP will leverage the Upgrade Roadmap contained within Solution Manager as a reference for upgrade project activities Solution Manager will be utilized during the upgrade project as a document repository or project management tool e g for scope

management issue tracking etc The SAP Project Manager in conjunction with Licensee s Project Manager will confirm that additional deliverables or tasks that are identified through the ASAP Upgrade Roadmap within
Solution Manager are incorporated into the upgrade project plan

SAP will assist Licensee in identifying potential data clean up opportunities that could enhance the downtime process if required As requested by Licensee SAP will remove unnecessary IDOCs or other log type objects
prior to the upgrade commencement Licensee will need to provide validation on those objects that will be
removed

Licensee will determine training courses required Licensee will utilize the Train the Trainer approach for the final end user training activity This training will be conducted by Licensee Licensee will be responsible for developing
the training material

A cutover contingency plan will be developed during the Project This will be a joint effort between SAP and
Licensee

Unicode conversion and migration has been included in the code remediation work effort for the Project It is assumed that the Unicode conversion exportiimport is being performed using standard SAP installation procedures Parallel exportlimport will be performed using migration monitor in the case of two server approach Licensee will provide the necessary IT functional resources as required during the upgrade to assist with user acceptance testing

Licensee will provide a full time equivalent Project Manager for the duration of the Project Licensee will provide
the necessary IT functional analysts as required to assist in testing and data validation

User acceptance testing will be executed by the Licensee s business user community and must be completed
within the timeframe that will be developed in the WBS

A Project Charter which will Include both a communication and escalation plan will be developed by both Project
teams

Any new developments that are occurring in parallel with the Project will not be considered as part of the Project and will need to be retrofitted after the Project is completed To the extent SAP provides these services such services shall be performed in accord with a mutually acceptable change order or separate Statement of Work at
s thencurrent rates In effect for such services SAP

Performance optimization or tuning is not included in the scope of this Project It is understood by Licensee that system performance could be impacted due to the upgrade and that additional work effort may be required and a Change Order Request will be required

The Project is limited to the upgrade of SAP R3 4 7 to ECC 6 0 All other non SAP systems are not included In the work effort unless explicitly mentioned in the Project Scope A change order will be required for any additional
systems

Any Screen or Transaction variants that are not carried forward by the upgrade will need to be recreated manually

All idle time for SAP resources due to Licensee delays including but not limited to pre requisites not being met
unavailability of connectivity CD s hardware software etc test schedule delays and the like may result in a
Change Order Request

2 Organizational Scope Organizations within Licensee impacted by this implementation are IT and business user 1 groups The detailed Licensee and SAP resource requirements are included in Section 6 0
3 Licensee Responsibilities 2 1
Ensure a consistent stable and fast SAP Remote connection Service connection

Provide remote connectivity with necessary user rights to the Source and the Target Operating systems Provide the software required for carrying out the upgrade activity Provide the Target operating system
Provide necessary infrastructure and support to SAP Consultants to carry out the activities as agreed Coordinate with hardware database and operating system vendors and service providers to perform various

steps required to manage the infrastructure application of patches to the operating system system breakdowns
related to hardware operating system etc

Inform the SAP team as and when it intends to change modify and upgrade the hardware operating system application software both from SAP as well as nonSAP systems in the system landscape

Responsible for management of the data center including power management with uninterrupted power supply
UPS physical and logical safety measures and environmentally conditioned facilities Set up manage and maintain the voice and data communication infrastructure between Licensee and SAP remote offices if required

Maintain adequate backups and in case of any issueerror during either the Database DES or the actual system upgrade SAP will depend on Licensee s backup strategy and the prompt execution of the restore by Licensee SAP will not be responsible for any issues arising out of Licensee s backup

Exhibit A

U2ESOLUT1 I L 201 SAP Statement of WorkSOW for Software Upgrade doc

s Development and Quality Assurance systems will be upgraded to ECC 6 Licensee 0 during the various phases
of the Project This will require that Licensee continue the process of dual maintenance for the duration of the

Project whereby all R 3 4 7 based changes must be manually introduced into the upgraded landscape by
Licensee so as to be included in the scope of the upgrade testing
maintenance process is critical for the success of the Project

This manual synchronization dual

4 Location Scope The Project work will be accomplished at the Licensees facilities in City of Victoria Texas Remote 2 1
assistance may be requried from an SAP office during the Project

5 Application Scope SAP R 2 1 34 7 Software upgrade to ECC 6 0 EHP5

6 Data and Integration Scope The upgrade migration process will convert current existing data structures from the 2 1
Source to the Target version

7 Customization Scope The following pre existing customizations will be migrated or retired as follows 2 1
Convert current transaction codes that are obsolete or redesigned to the new transaction codes
3 1

Out of Scope Any tasks and activities not included in the above Scope sections are considered out of scope for the
Project

0 2

Assumptions and Dependencies

additional assumptions made by SAP for the Project Any variations in these assumptions may impact cost and the
schedule of the Project and would require a Change Order Request
21

In addition to assumptions set out elsewhere in the SOW the following are

General Assumptions

Refer to Section 1 2 for Assumptions and Scope

No Modifications or user exits will be made under this SOW
2

Change Management

SAP and Licensee will develop a joint change management process that will include not only Project Communication plans but also the Development Change Management process
3 2

Testing

All testing will be manual and performed by Licensee Licensee will utilize detailed test steps to support the manual testing This will be conducted by the Licensee s iT functional anatysis
All test cases are available from Licensee and assumed to be correct with respect to business flow and test data

This is assumed to be 100 completed by Licensee based on the upgrade assessment report Any changes to
this percentage could result in a Change Order Request
4 2

Test Management

Test Management will be the responsibility of the Licensee Project team Licensee will provide a tool to support requirement traceability The work effort and responsibility for updating the tool will be performed by Licensees resources
5 2 Test Execution

There will be two cycles of integration testing that will be conducted This will consist of an IT integration test and
a User Acceptance Test UAT This has been set at four 4 weeks for both cycles

The IT integration testing will be conducted by Licensee s IT functional analysts over a two week period as part of
the Realization phase of the upgrade project

s Business users will be responsible for this testing during the User Acceptance Testing cycle Licensee
6 2

Technology Assumptions UpgradeMigration Strategy

SAP will utilize the Upgrade Migration Strategy in performing the Services under this SOW This strategy is a
combined Upgrade and Unicode Conversion of the current SAP R13 4 7 non Unicode systems to SAP ERP 6 0 EHP 5 Unicode as well as the performance of a Database Migration from Oracle to SQL Server 2008 The following Work Packages will be included in the scope of the Project
1

2
3

project plan Combined Upgrade Unicode Conversion and Database Migration

Upgrade Unicode Conversion and Database Migration planning technical planning as part of overall
SBX

System Copy of Production System

4 5 6

SAP R 3 4 7 Upgrade Project

Perform modification adjustments of customer modified SAP Standard objects

Adjust and Unicode enable Custom objects to function in the upgraded SAP ERP 6 0 Unicode system

Combined Upgrade Unicode Conversion and Database Migration D01 SAP R 34 7 Development System Combined Upgrade Unicode Conversion and Database Migration Q01 SAP Rf3 4 7 Quality System
7

Exhibit A

RESOLUTt l SAP Statement of WorkSOW for Software Upgrade L 201 doe

The estimated downtime for the database migration should be less than one day per system but is dependent

Combined Upgrade Unicode Conversion and Database Migration P01

SAP R 34 7 Production System

upon unknown factors which will be determined during the sandbox proofofconcept test The R 3 upgrade is currently averaging downtimes of 710 hours for the technical portion SAPup of the process this does not include post upgrade activities such as transports data validation backups etc based upon usage of the performing the process numerous times in the sandbox environment but due to the size of Licensee s database
500GB SAP estimates that the process should be accomplished within the given downtime window SAP systems are upgraded to SAP Web Application Server 6 10 and higher with the new System Switch Upgrade

Downtime Minimized methodology It is not possible to estimate the downtime for the Unicode Conversion without

procedure This procedure installs an instance of the target release the shadow system in parallel with the
operation

current source release system in the same database The parallel system contains the software of the target release and is used to perform actions on the target release while the source release is still in production

Operating two instances in parallel places increased demands on free space in the file system in the database resources
and according to the upgrade strategy
on

the

system

11 necessary some parameters in the

production system might need to be adjusted to enable Licensee to operate the production and the shadow systems in parallel No precise guidelines can be given for the duration of an upgrade The duration of the individual actions depends on the individual system the number of modifications and the number of included
Support Packages and add ons

In the production database the tables of the target release that contain both the descriptions of the ABAP Dictionary and the ABAP programs are Imported as shadow tables under an alternative name The shadow system enables Licensee to access these tables If Licensee chooses upgrade strategy downtime minimized Licensee can perform upgrade actions before downtime starts which previously had to be performed during
downtime

Original System

on

Source Release

Shadow System Activation

Data
rt Application Data

New System on Target Release

Conversion
A Application

Application
Data
Shadow

Data

Sys

Target

Release

Target Release
PRA

Installation

Target
Release

System

7 2

Technical Upgrade and Unicode Conversion Prerequisites Licensee shall ensure that the following prerequisites
are met in order for the Services under this SOW to be performed
SAP Software included in the scope of the Project

Licensee shall have licensed from SAP under the Software License Agreement between Licensee and SAP all

To perform the test upgrade the hardware to perform the test upgrade should have approximately the similar
configuration of Licensee s Production system
to the upgrade

A Solution Manager system of release 7 0 with the latest Support Package release is installed by Licensee prior

Operating System Upgradepatching to required versions are achieved by Licensee

and the Upgrade Assessment Report

Prior to confirmation of the Project appropriate SAP Upgrade CDs are to be made available by Licensee

For CPU main memory and swap space requirements Licensee will refer to the appropriate upgrade manual
Database space requirements are available in the appropriate upgrade manual Detailed Functional and technical specifications of Licensee custom objects are made available to the Project
team

All required authorizations to be provided by Licensee for all UserIDs

Licensee will provide for a stable and fast connectivity suitable hardware operating system a test sandbox

system and all layered software products to enable installationupgrade migration of SAP s suite of software as

per the mutually agreed schedules Any SAP certified third party software and interfaces found to be required for
8

Exhibit A

RESOLUTi SAP Statement of WorkSOW for Software Upgrade L 2011 doc

the Project shall be provided by Licensee Licensee will provide the target Operating System

Licensee will provide the necessary infrastructure and support the assigned SAP Consultants to carry out the
activities as agreed
O

Licensee will coordinate with hardware database and Operating System vendors and service providers to
related to hardware Operating System etc

perform various steps required to manage the infrastructure application of Operating System system breakdowns

Licensee will inform the SAP Project team as and when it intends to change modify and upgrade the hardware Operating System application software both from SAP as well as nonSAP systems in the system landscape Licensee is responsible for management of the data center including power management with uninterrupted
power supply UPS physical and logical safety measures and environmentally conditioned facilities Licensee will maintain adequate backups and in case of any issueerror during either the database or the actual

system upgrade SAP will depend upon Licensee s backup strategy and the prompt execution of the restore by Licensee SAP will not be responsible for any issues arising out of Licensee s backup problems

Any additional support requirements will be addressed through the Change Management process and may incur
an additional fee

The Security Roles and Authorizations conversions are planned and SAP will provide support for this activity
decides to implement

profile are considered out of scope for this project and will require a Change Order to this SOW if Licensee Development Consultant effort includes SAP system kernel and release upgrades SPDDSPAU and Technical
s objects adjustments Licensee
O

However for additional objects and SAP functionality in ECC 6 0 that require new authorizations and security

The effort estimation includes the effort spent on a test upgrade of the sandbox system 1 It is assumed that the Unicode Conversion export import is being performed using the SAP standard procedure
Parallel export import will be performed using the migration monitor in case of twoserver approach The modification adjustments objects listing verification and reestimation will be conducted after the upgrade of

s Development system and is expected to change the overall effort for this Project which may invoke Licensee
the Change Management process

One GoLive Functional Upgrade check will be scheduled by Licensee GoLive Check is part of Licensee s
Enterprise Support

0 3 1 3

Project Rolls Skills and Resources

SAP RollsSkills and Resources SAP will provide the following Roles and Resources
Position

Upgrade Coach Project Manager

Responsibilities Support Licensee with Project planning resource management infrastructure set up testing execution and post go live support
Unicode Conversion

Skills

ERP Upgrade Expert Basis background

Unicode Conversion Expert

Basis expert
ABAP

Developers

ABAP Code Modification for customer

specific code and other SAP code requiring

Basis Resources

QC QA

Delivery

team

change for ERP 6 0 Upgrade planning and execution Facilitate overall quality of the upgrade security Project

Basis and Upgrade experience

and

QC QA

related to code

remedlatian

2 3

Licensee RolesSkills and Resources Licensee will provide the following Roles and Resources
Position

Responsibilities
Hardware readiness OS DB Patch

Skills

Basis

Support

Upgrade System Copy Backups CD Download Temporary Production Support

Basis OSDB Network Hardware Infrastructure

Knowledge

Strategy Connectivity for Remote Project team Creation of Transport Strategy

Developer
Resources
Advise SAP team regarding the existing modifications including business context

ABAP experience knowledge of Licensees custom Z programs

will be available to provide

syntax

considerations and assumptions

knowledge and answer questions

as required throughout the project in a timely manner

Exhibit A

RESOLUTI SAP Statement of WorkSOW for Software Upgrade L 2011 doc

Position

Responsibilities

Skills

Project Manager

Project

set up Onsite ABAP and Basis

PMO experience

coordination Issue resolution Deliverable

acceptance and sign off Overall Project Management

Security
Consultant Ensure that the Security authorization model is developed based on SAP Three Tier Model approach Assist with actual

Knowledge of SAP security changes as related to R 34 7

and Role based authorizations

IT Functional

Analysts

role creation and provide guidance Assist with Unit and integration testing

Knowledge of Licensee s
Business Processes and current SAP transactions utilization

Business Users

knowledge Integration

Provide Licensee business process and requirements Assist with and User Acceptance Testing

Full understanding of Licensee Business process fa data

validation will be available to

provide knowledge and answer

questions as required throughout

the project in a timely manner
0 7

Project Governance The purpose of Project governance Is to establish a Project structure that enables individuals at various levels of Licensee s organization and SAP to work together to facilitate Project success As shown below SAP will align with Licensee at three distinct levels to set Project direction manage risk work to resolve issues and focus on meeting Licensee s Project objectives at both strategic and tactical levels This three tiered framework for Project
governance aligns individuals at the Executive Sponsorship Steering Committee and Program Management levels

10

Exhibit A

LRESOLUTI 201 I SAP Statement of WorkSOW for Software Upgrade doc

Customet

xe 11 tvc vita E

rui C c nrnRtC s

StelidTg
nt Corl
r t taot2 3gr hR bf3

taaic tt t a sles r

11

Exhibit A

LRESOLUTI 2011 SAP Statement of Work SOW for Software Upgrade doc

Project responsibilities are as follows

Executive Sponsorship Executives provide guidance a high level strategic perspective addressing how the Project
will Impact the overall objectives of Licensee s business

Steering Committee Consisting of senior leadership of both Licensee and SAP this committee has a global cross
functional Locus and
also includes

representation

from

Program Management

Responsibilities of the Steering

Committee Include

Defining and approving the Project Strategy Monitoring the Project budget
Conducting milestone reviews

Providing sponsorship for the Project

The Upgrade Program Management Team focuses on the operational aspects of the Project This level consists of Project Managers and Project Team Leads for managing Program project and resources maintaining a strong
relationship with the Steering Committee and enabling crossteam integration

12

Exhibit A

UtESOLUTi SAP Statement of WorkSOW for Software Upgrade L 2011 doc

Exhibit 2 To

Statement of Work dated December 6 2011 Statement of Work or SOW

to

Professional Services Schedule dated March 26 1999 Agreement

between

SAP Public Services Inc SAP

and

City of Victoria Licensee

SAP K Rate Schedule

Rates

The following categories have been defined for SAP consultants

Ki K2 K3

Junior Consultant Consultant 1

K4 K5 K6 K7 K8

Consultant II Consultant III

Senior Consultant Management Consultant

Lead Consultant Project Implementation Managerimplementation Specialist

Developer Consulting Manager 1 Platinum or Senior Consultant 1 Global Support Manager

Senior Project Implementation Manager 1 Industry Specialist

Senior Developer Consulting Director Consulting Vice President

The rates applicable to each category in US dollars are as follows

K1
K2 160

K3 190 285 135

K4

K5

K6 317 460

K7

K8
400 600 135

Hourly Rate 1 OffHours Hourly Rate 2 On Call Hourly Rates 3 Expenses

as

135

221
325

200 135

240
135

268 390
135

352
520

135

135

135

incurred per visit

Mileage

then current IRS mileage rate

1 Hourly rates are applied to consulting services provided Monday through Friday 6 00 a m 8 00 p m Eastem Standard Time excluding holidays as observed by SAP For work at Licensee s premises a minimum charge amounting to four 4
hours for the given Consultant is billable

2 The following constitutes Off Hours SAP observed Holidays

Weekends 0 8 0 p m Friday until 6 00 a m Monday EST Weekdays 8 00 m p until 6 00 a m EST

3 OnCall service is a pre arranged service by which Licensee places a request to have a Consultant accessible for a

specified time period During the period for which a Consultant is accessible On Call Rates will be charged if a Consultant must actually perform services during the OnCall period the services will be billed at the appropriate Hourly
Rate or OffHours Hourly telecommunications link

Rate

instead

of the

On Call

rate

This service will be provided remotely via a

4 Remote services can be requested via SAP s toll free number and are provided via a telecommunications link during
business hours forth above

Monday through Friday

00 a 6 m

00 p 8 m EST Remote services will be provided at the rates set

5 Accommodations meals and use of public transportation will be charged according to actual expenditure Travel costs are calculated from the Consultants principal work location Use of personal transportation will be invoiced at the actual mileage using the then current iRS mileage rate No expense receipts will be provided However Licensee will be
provided an itemization of expenses by Consultant

6 If services for work at Licensee s premises are pre arranged and Licensee cancels with less than two 2 business days
notice Licensee will be billed for eight 8 hours at the applicable K Rate

13

Exhibit A

RESOLUTI SAP Statement of WorkSOW for Software Upgrade L 2011 doc

SAP reserves the right to change the above KRates upon 30 days notice Changed rates shall not apply retroactively

and not apply to the scope of this Statement of Work for services provided thru June 30 2012

14

Exhibit A

LRESOLUTI 2011 SAP

Statement of WorkSOW for Software Upgrade doc

Exhibit 3 To

Statement of Work dated December 6 2011

to

Statement of Work or SOW

Professional Services Schedule dated March 26 1999 Agreement

between

SAP Public Services Inc SAP

and

City of Victoria Licensee

Change Order Procedure

Any change to this Statement of Work must be agreed to in writing by both parties The following procedure whether requested by Licensee or SAP will be used to control all changes All Requests For Change RFC to the Statement of Work must be made in writing and shall be submitted by the appropriate Project Manager Each request should contain the following
information

The requested change The impact if any on the existing work product Estimated impact if any on project schedule and Estimated change if any in consulting fees

The Project Manager shall review and accept or reject the RFC It rejected the RFC shall be returned to the submitting party with written reasons for rejection and as appropriate any alternatives
All approved RFC s will be incorporated into the Change Order to this Statement of Work SAP will not perform any Services
outside of the Statement of Work until the RFC has been signed 1 Describe the requested change

Define the impact if any on existing work product

Define additional work product required as a result of the requested change if any

4
5

Define the impact if any to the existing Project schedule Provide an updated Project schedule if appropriate
Provide
an

updated

work

product

and

payment

schedule

if

appropriate

Accepted By
SAP Public Services Inc

Accepted By
City of Victoria Licensee

SAP

By
Print name
Title

By
Print name Title

Date

Date

15

Exhibit A