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SAP Company and Products Nina Johanssen

Last update 2013-04-03 by CMD

Content SAP - Company and Strategy SAP – Products and market position Total market potential and opportunity size SAP Ecosystem

2

About SAP •  Vision: Make the world run better •  Mission: Make every company a best-run business •  About 232k customers across 24+ industries and in all market segments •  •  •  •  •  • 

Focus on five market categories: Applications Cloud Mobile Analytics Database & Technology

•  Strong partnership with IBM; Tens of thousands of joint customers

3

Overview of the company SAP AG Executive Board

Bill McDermott Joined SAP 2002 Co-CEO, Strategy + Sales

Luisa Deplazes Delgado Joined SAP 2012 Human Resources

Jim Hagemann Snabe Joined SAP 1990 Co-CEO, Development

Werner Brandt Joined SAP 2001 CFO

Legal name

SAP AG

Company

public, NYSE symbol: SAP

Founded

1972, Walldorf, Germany

Shares

•  Hasso Plattner (founder): 9.95% •  Klaus Tschira (founder): 7.58% •  Dietmar Hopp (founder): 6.13%

Market value

about 50 Bil Euros

Gerhard Oswald Joined SAP 1981 COO

Vishal Sikka Joined SAP 2002 CTO

Lars Dalgaard Joined SAP 2012 SAP Cloud

4

SAP milestones over 41 years

SAP Business Suite SAP All-in-One SAP Business One SAP Business byDesign

mySAP.com

R/3

New Dimension Applications One-StepBusiness

Client/Server

R/2 (R/1)

Mainframe

§ €0.3 Mill. Revenue § 9 Employees

§ €5.1 M revenue § 60 Employees § 50 Customers in 2 Countries

1972

1979

§ €424 Mill. Revenue § 3,200 Employees § 2,800 Customers in 35 Countries

1992

§ €6.3 Bill. Revenue § 25,000 Employees § 15,000 Customers in 120 Countries

2000

Business Analytics Technologies (In-Memory) Mobility Cloud §  €16.2 Bill. Revenue (2012) §  64,400 Employees §  > 232,000 Customers in >122 Countries §  > 4,600 certified Partners (resellers and services)

2013

5

Market potential

Historical evolution of SAP main products And main acquisitions Acquisition of SAP Business Suite and SAP Netweaver Analytics

Partner Composite Applications

SAP Composite Applications

EnterpriseBusiness Services Repository

CRM

SRM

ERP

(Supplier) (internal) (internal)

SAP R/3: Integrated Open ERP architecture solution SD

1972

QM

Acquisition of

Platform Process Components

SAP New Dimensions

Acquisition of Acquisition of

SAP CRM

Financial Accounting

R/3 SAP APO

CO Controlling

PP

AM

R/3

Production Planning

Process Platform

FI

Sales & Distribution

MM

Materials Mgmt.

R/2

Acquisition of

Fixed Assets Mgmt.

Client / Server ABAP/4

Quality Management PM Plant Maintenance

WF

Project System

Workflow

HR

IS

Human Resources

Industry Solutions

1992

SAP BW

PS

1999

SAP Business One

2002

2004

SAP Business byDesign

2007

Acquisition of 2008

2010

2012

2013

6

SAP Strategy: 5 Market Categories

Applications

Analytics

Database & Technology

Mobile

Cloud

#1

#1

#1

#4

#3

extending leadership

growing again

accelerating

fastest growing

accelerating

13.3%

18.3%

11.1%

4.5%

4.3%

12.5%

18.1%

10.5%

3.9%

3.8%

Market Share*

Market Share*

Market Share*

Market Share*

Market Share*

Growth drivers: Suite on HANA (net new) 360 Solutions User Experience HANA based Apps

Growth drivers: Predictive Analytics Visualizations BI 4.0 Adoption

Growth drivers: Growth drivers: Unified Mobile Platform SAP Business Platform Afaria in the Cloud OEM Volume Business Suite on HANA

Growth drivers: Hybrid GTM Positioning Business Networks RDS for Ariba

Source: SAP 2013

7

SAP Aspiration

8

SAP new segment structure

Source: SAP 2012

9

Breakdown of SAP Revenue 2012 Total: 16.2 Billion € (+14% YoY)

In Billion €

SW License 3,1

4,7

Cloud Subscription and Support Cloud Service 0,3

0,1 8,2

Product Support Consulting and other services

Source: SAP 2013

10

Addressable Market based on SAP BS in 2013 Market opportunity 2013 SAP ecosystem

Market size in Bill. $

Total addressable SAP Eco-System

40

Hardware

8

Consulting & System Integration + AMS

28

Software (3rd parties) without SAP solutions

4

SAP new license revenue in 2011 = 4,0 Bill. €

4

Rule of thumb for SAP projects:

SW : HW : Service = 1 : 1 : 1 to 4

Source: IBM Market Intelligence

11 11

SAP Topics to present during Master Class

Will be covered in this session

Will be covered in other sessions Will not be covered

12

Good SAP Source to look for many more details

Link to http://www.sap.com/solutions/index.epx 13

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SAP Products

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

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Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

16

SAP main product lines covering business applications Large Accounts 23k

Small And Midsize Accounts 60k

17

SAP Core Business Products

Target market

Installed base

Remarks

SAP Business Suite

Very large customers

23k

•  New Business Suite 7 •  SAP Netweaver v 7.31 •  Maintenance extended until 2020

SAP Business All-in-one

Large and higher midmarke

23k

•  based on SAP Business Suite •  indirect channel only

SAP Business One

Small and Medium Enterprises

37k

•  doubled number of installs in 2-3 years •  indirect channel only

SAP Business byDesign

Small Enterprises

1k

•  offered only as SaaS •  hosted only by SAP

18

Typical customer initial project sizes SAP Business One

SAP Business All-in-One

SAP Business Suite

Total initial costs

50 k€ (10 users)

1 Mil € (200 users)

10 Mil € (1000 users)

SAP license (discounted)

20 k€

250 k€

2.5 Mil €

Implementation

20 k€

500 k€

5 Mil €

HW + Middleware

10 k€

250 k€

1 Mil €

19

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

20

SAP Business Suite – Basic Components Core Applications §  SAP ERP Enterprise Resource Planning §  SAP CRM Customer Relationship Management §  SAP PLM Product Lifecycle Management §  SAP SCM Supply Chain Management §  SAP SRM Supplier Relationship Management Technology Stack - Netweaver §  BW Business Warehouse §  PI Process Integration §  Portal §  MDM Master Data Management §  KM Knowlede Management Application Lifecycle Management §  SAP Solution Manager Databases §  IBM DB2 §  Oracle §  MS SQLServer §  SAP Sybase ASE, (SAP MaxDB), SAP HANA

21

SAP Netweaver Platform

Installations worldwide §  More than 35,000 on SAP ERP §  More than 17,000 BW Business Warehouse §  More than 10,000 Portal §  More than 5,500 PI + BPM

Application Lifecycle Management

§  Close integration with SAP Solution Manager 7.1

Databases supported §  IBM DB2 §  Oracle §  MS SQLServer §  SAP Sybase ASE, (SAP MaxDB), SAP HANA 22

SAP Business Suite 7 Operations

Finance

n  Closed loop between strategy/decision and action n  Flexible, end-user centric environment

Marketing

Composites SAP + ISV + Customer Composites via Galaxy Enterprise Service Repository

EhP

SRM

PLM

SAP NetWeaver

ERP

SCM

EhP

CRM

n  Define most critical Enterprise Services as innovation basis n  Differentiating customer processes build on top of Business Suite n  Non-disruptive path to SOA

EhP

IS

n  Best practice processes n  Built for Lines of Business in their industry n  Harmonized User Experience n  Incremental adoption n  Reduced cost of implementation and operation n  Innovation without disruption with Enhancement Packages

23

SAP Business Suite is covering the needs of different Line of Businesses (LOB)

Finance

Service

Human Resources

R&D, Engineering

Information Technology Manufacturing

Marketing

Procurement

Sales

Sustainability

Supply Chain

24

SAP specific industries solutions are mainly built on SAP Business Suite or SAP Business All-in-One

Aerospace & Defense

Automotive

Banking

Chemicals

Consumer Products

Defense and Security

Engineering, Construction and Ops.

Healthcare

High Tech

Higher Education and Research

Industrial Machinery and Components

Insurance

Life Sciences

Media & Entertainment Mill Products

Mining

Oil and Gas

Professional Services

Public Sector

Retail

Telecommunications Transportation and Logistics Utilities Wholesale Distribution

25

SAP Enterprise Resource Planning (ERP) SAP ERP

Training and support center costs, access to information, shorter Cycle times, reduce data entry admin

Self Services

Manager Self Services Employee Self Services

Analytics

Strategic Enterprise Mgmt Business Analytics

Powerful business intelligence and performance management platform

Financials

Financial & Mgmt Acct Corporate Governance Financial Supply Chain..

General ledger, special purpose ledger and sub ledger, cost management, and profitability analysis

Human Capital Mgmt

Employee Relationship Mgmt Employee Lifecycle Mgmt Employee Transaction Mgmt...

Administration, payroll, benefits, online recruiting, organizational management, compensation, workforce analytics

Operations

Order to Cash Cycle Purchase to Pay Cycle Production Fulfillment...

End-to-end logistics operation, support of complete cycles, such as the orderto-cash and purchase-to-pay cycles

Corporate Services

Travel Mgmt Real Estate Environment & Health...

Enables fully shared service departments, low admin & travel costs, observe corporate guidelines

26

SAP Customer Relationship Management (CRM) Integrated external and internal processes

Interaction Center Analysis and Planning §  Customer Analytics §  Channel Analytics Collaboration §  Enterprise Portals §  Exchanges

Employees have the ability to familiarize themselves with the complete insight of any customer

Uniform commitment toward the customer throughout the entire organization

Customers’ Perception of the company is homogeneous

27

SAP Supplier Relationship Management (SRM)

Optimize supplier selection, increase collaboration, compress purchasing cycle times §  Procure to pay §  Catalog management §  Centralized sourcing §  Centralized contract management §  Supplier collaboration §  Supplier evaluation

28

SAP Supply Chain Management (SCM) Management of materials, information, and profitability Product design/ R&D

Procurement

Manufacturing

Distribution

Sales and Marketing

§  SCM enables thorough management, planning and monitoring of all processes in the logistical chain, linking all logistical business processes from design to sales. §  Supply chain management is the most comprehensive approach to logistics related planning, execution and controlling so far. §  Uses enabling IT-technologies with respect to both processing capabilities and communication, such as LiveCache, Internet or EDI. §  In certain industries up to 60-80% of a company’s expenditure is associated with SCM.

29

SAP Product Lifecycle Management (PLM) Manage products from initial concept to maintenance

Enabling to get the right product to market at the right time and at the right cost. SAP PLM is not limited to physical manufactured goods - it can be used in process and in service industries. §  Key areas of functionality: §  Development and exploration of product §  Program and project management §  Integration with operational systems, such as third-party CAD systems (e.g. CATIA) and SAP software (ERP, CRM, SCM, SRM…) §  Quality management throughout every phase of the product lifecycle §  Support of decision making regarding product design, development, pricing, quality §  Enterprise asset management

30

SAP Business Suite Innovations Road Map

Source: SAP Release Strategy 2012

31

Typical example introducing SAP Business Suite Customer

Project

§ Company: Mondi Group § Headquarter: Vienna § Employees: 31‘000 § Locations: 101 Locations in 31 countries § Products: Paper

§  Solution: SAP ERP, SAP BW, SAP SCM §  Scope: Implementation of SAP ERP Financials, Sales, Logistics, Human Capital Management, Quality Management, SCM APO, Production §  Locations: Poland, Czech Rep., Bulgaria, Switzerland, Germany, Sweden, Austria, Russia, Slovakia, Slovenia §  SAP Users: 4‘500

Project Milestones 2006 Pilot Business Case Templates

2007 First Rollouts

2008

2009

2010

Global Delivery

Czech Republc Bulgaria

Poland Switzerland

Germany

Sweden

Austria, Russia, Slovakia Russia

Slovenia

32

SAP Environments are Growing in Size and Complexity Development SRM

FI CO Controlling

AM

R/3

Fixed Assets Mgmt.

SCM

SAP NetWeaver Integration

Enhancement packages

IS

Industry Solutions

Enhancement packages

Workflow

HR

Human Resources

Complementary Applications

Project System

Industry Applications

WF

SAP ERP

Quality Management PM Plant Maintenance

Test/QA

PS

SAP CRM

Client / Server ABAP/4

SAP SRM

Production Planning

SAP NetWeaver Composition

SAP PLM

PP

QM

SAP Business Suite

Financial Accounting

SAP SCM

SD Sales & Distribution

MM

Materials Mgmt.

CRM

Production

ERP

SAP R/3 System

Different Stages

PLM

SAP Business Suite Landscape

33

SAP All-in-One – Business Suite technology simplified for volume Midsize Companies / Subsidiaries

Large Enterprises

SAP Business Suite Complete set of business functionality for all requirements

SAP Business All-in-One SAP Business Suite tailored to the needs of midsize companies; easy to install, implement, and maintain, and provides a full range of business functions

Up & Running Company

SAP ERP SAP ERP SAP CRM CRM SAP BW on NetWeaver

Scenarios

SAP PLM

Preset Forms

34

SAP All-in-One – Business Suite technology simplified for volume

35

How SAP most important midmarket solution is rated by Gartner

Source: Gartner June 2012

36

Evolution to Enable Micro-Verticals: SAP Business All-in-One

37

SAP Rapid Deployment Solutions (SAP RDS) Target: §  Pre-customization of specific business processes How to: §  Bundling of SAP Best Practices, templates and tools Benefits: §  faster implementation §  lower project risk §  lower costs §  fixed price

38

Examples of SAP Rapid Deployment Solutions

39

SAP Business All-in-One: Focus on rapid implementation

§  SAP Business All-in-One implementations average 3–6 months §  SAP Business One implementations averages 4 to 6 weeks

% 50

Small Enterprises Midsize Enterprises Large Enterprises

40

30

24% 21% 20

16%

16%

14% 9%

10

0 15 months Implementation Time

40

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

41

SAP Business ByDesign

An on-demand business solution for midsize companies Redesign in August 2010 New Version 4 released in Aug 2012 § Localization for China, France, Germany, India, UK, US, Austria, Switzerland, Canada, Mexico, Australia and in addtition now for Denmark, Italy, the Netherlands and Spain. § Fully multi-tenancy enabled § Enable partners to extend: additional scale and reach § New, rich client user interface § Real-time analytics § Mobile support Source: www.sap.de/businessbydesign

42

SAP Business ByDesign Starter Packages

•  ERP –  Starterpackage: 24,000 Euro –  Price per user and month: 133 Euro

•  CRM –  Starterpackage: 9,900 Euro –  Price per user and month: 79 Euro

•  PSP (Profesional Service Provider) –  Starterpackage: 34,900 Euro –  Price per user and month: 133 Euro

43

SAP Business ByDesign: Example of a configuration done by the “public” SAP online configurator •  Parameters: ERP Starter Pack •  Users: 20

44

Price comparison for 5 years

Software license per user

135 € per month

3500 € OTC

Maintenance

0

22% per year

Hosting and Operations

0

10 € / month / user

Total costs per user for 5 years

8,100 €

7,250 €

In both comparisons the implementation services are not included. For SAP Business All-in-one there are big efforts to reduce the implementation costs. On SAP Business ByDesign there are little experiences so far. In practice both solutions are priced similar.

45

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

46

SAP Business One Support for standard horizontal business processes § financial management § warehouse management § inventory management § sales force automation § Purchasing § Payment

47

SAP Business One

(about 37,000 installations globally) –  Easy to learn, easy to use Implementation in weeks not months

–  Embedded integration with SAP Business Suite Using SAP NetWeaver platform

–  Embedded analytics from the SAP® Business Objects™ portfolio Improved decision making –  Flexible, powerful, and easy to configure Strong SDK and customization tools

–  One solution – global reach 40 country versions and localizations

–  Strong reporting tools Including Drag & Relate®

–  Native CRM functionality Including SFA and service

48

SAP Business One Configuration IBM System x for SAP Standard Configurations for SAP Business One Version 8.8 Suggested Hardware Configuration

ABO BBO CBO

Max. supported concurrent users

IBM System x ™ System- # cpu / cores@GHz / Memory

IBM System Storage / GB

Backup Device

25

x3200 M3 – 1 socket / 4C @ 2,4 GHz / 4 GB

Internal - 2 x 146 GB (RAID 1)

IBM LTO Generation 3 SAS Tape Drive

50

x3200 M3 – 1 socket / 4C @ 2,4 GHz / 6 GB

Internal – 2 x 146 GB (RAID 1)

IBM LTO Generation 3 SAS Tape Drive

100

x3500 M3 – 2 socket / 8C @ 2,13 GHz / 12 GB

Internal – 2 x 300 GB (RAID 1)

IBM LTO Generation 3 SAS Tape Drive

e.g. Lenovo ThinkCentre M90p , 3.2 GHz 4 GB

Internal – 500 GB HDD

--

Client

49

SAP Business One in large enterprises Suppliers SAP Business One

Germany SAP Business One

Suppliers

US SAP Business One Norway Headquarters SAP Business Suite Distributors

SAP Business One Singapore SAP Business One

SAP Business One

Big multinational companies are using SAP Business Suite in their Headquarters + SAP Business One in their subsidiaries §  Transparency within the Enterprise §  Visibility between different applications §  Efficiency across the whole organization 50

SAP Business One references in global enterprises

51

Summary: SAP Solution Portfolio for Small and Medium Enterprises (SME) A single application covering all SME Essentials

For small businesses seeking an entry level ERP solution •  • 

• 

10~100 employees Available on-premise or partner-managed Cloud option Broad partner-provided industry capabilities

Easy to adapt and to run as SaaS

For midsize companies seeking an agile servicecentric solution on a native Cloud platform •  •  •  •  • 

50 to 1000 employees Cloud managed and serviced by SAP General industry functionality End user adaptability SAP Store and Ecosystem

Extensible solution with Deep Industry Experience built-in

For midsize companies with complex industryspecific needs and established IT resources •  •  • 

100~2,500 employees On-premise deployment with hosting option Highly industry-specific

52

Price comparison of 4 SAP main packages SAP Business Suite Software license per user

2500 €

135 € per month

3500 €

125 - 3800 €

Ratio – typical implementation cost/ license cost

1:1

1-2 : 1

1-2 : 1

3-5 : 1

Total costs per user including typical implementation costs

5000 €

8000 €*

8000 €

5000 € 12000 €

* Note: infrastructure and operations for 3 years it included

53

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

54

What is Business Analytics (BA) or Intelligence (BI)? - Analyze current and historic enterprise data - Discover hidden business trends and patterns - Gain strategic insight and predictive information - Impact strategies, decisions and actions Common functions • reporting • online analytical processing • analytics • data mining • process mining • business performance management • Benchmarking • text mining • predictive analytics

55

Enterprise BI = Different Users with Different Needs

56

Mapping the right SAP application to the right scenario and user type

57

Gartner Magic Quadrant for Business Intelligence and Analytics Platforms

Source: Gartner (February 2013)

58

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

59

Principles of SAP software licensing – Metrics SAP software prices are based on - Number of „Named Users“ - Number of “External Community Members” - Business metrics - Number of engines (capacity of installed physical memory, # of installed instances, ...)

Remember: SAP Named User is the most important metric to charge customers for the SAP applications and a mandatory component for all other solutions priced with add-on license charges

60

Principles of SAP software licensing – Basic Metrics

61

SAP Named User categories § SAP Developer User: Allows access to development tools for modifying the licensed software § SAP Business Expert User: enables performance of all roles supported by the licensed software § SAP Professional User: enables performance of operational-related roles supported by the licensed software § SAP Limited Professional User: enables performance of limited operational-related roles (as § defined in licensing agreement) supported by the licensed software § SAP Business Information User: enables use of standard and interactive reports delivered and § created using the software solely for customer’s own purposes § SAP Employee User § SAP Employee Self-Service User § SAP NetWeaver SAP Application (stand-alone) SAP Business Analyst User: enables performance of all roles supported by SAP BusinessObjects solutions that are licensed for stand-alone use § SAP Business Information Viewer User: enables use of standard and interactive reports delivered and created using SA P BusinessObjects solutions licensed for standalone use § SAP Platform SAP Extended/Standard User • Allows access to licensed SAP software exclusively through certified third-party applications § SA P NetWeaver SA P Developer User • Allows access to development tools for developing and modifying the SA P NetWeaver technology platform and third-party and custom-developed applications § SAP Administrator User: Allows access to development tools for the administration and § management of SAP NetWeaver and third-party and custom developed applications

SAP Main Products and Solutions

62

Example of Entitlements of “very light” SAP Users §  SAP Employee User: enables performance of the following roles solely for the customer’s own purposes: §  Standard and interactive reports §  Talent management self-services §  Travel planning self-services §  Desktop procurement self-services §  Room reservation self-services §  SAP Employee Self-Service User: enables performance of the following roles solely for the customer’s own purposes: §  Employee records maintenance §  Employee time and attendance entry §  Employee directory §  Portal access

63

SAP list prices for SAP Application users Prices per user in Euro

Dev

Prof

Ltd Prof

Emp

ESS

Remarks

Business Suite

6000

3800

1500

400

125

at least 10 Prof Users, at least 25% of employee base

ERP

6000

3200

1300

400

na

CRM

6000

5000

1650

na

na

SCM

6000

5000

2500

na

na

SRM

6000

3000

1000

350

na

PLM

6000

3700

1500

na

na

there are “product options” priced separately

64

Price example Company with 4000 employees based on SAP user prices Dev

Prof

Ltd Prof

Emp

ESS

Remarks

6000

3800

1500

400

125

at least 10 Prof Users, at least 25% of employee base

requested # of licenses

10

50

50

100

800

minimum # of SAP named users (25% = 1000) to buy the whole suite

Total price per user category

60 k€

190 k€

75 k€

40 k€

100 k€

add 60 k€ for Payroll Processing for 4000 Master records (product option for SAP ERP)

Business Suite Price in Euro

Total - not discounted

525 k€

includes also SAP NetWeaver restricted as run-time for SAP Business Suite

less 10% discount

472 k€

standard volume discount

65

Price example for “Industry Packages”

•  Product Options + Industry Packages – priced on key business metrics – in addition to “Named Users”

•  Example of SAP Industry Package – SAP Vehicle Management for Automotive – Metrics: # of vehicles in units of 25,000 – Basic price = 60 k€ (up to 25,000 vehicles) – each additional unit = n * 50 k€ – Price for a company managing 500,000 vehicles •  Units = 20 •  Price = 60 k€ + 19 * 50 k€ = 1.010 k€

66

Database pricing (via SAP OEM channel) Database

OEM Database Price in % of SAV*

License Price**

Annual Standard Support (18%)

Annual Enterprise Support (22%)

DB2 LUW

8%

80,000

14,400

17,600

8%+2%

100,000

18,000

22,000

DB2 z/OS

13%

130,000

23,400

28,600

MS SQL Server

8%

80,000

14,400

17,600

Oracle

15%

150,000

27,000

33,000

Oracle RAC

15 + 3 %

180,000

32,400

39,600

Sybase ASE

8%

80,000

14,400

17,600

DB2 pureScale

*SAV (SAP Application Value) used in above example: € 1,000,000

67

Content SAP main product lines SAP Business Suite and SAP Business All-in-One SAP Business ByDesign SAP Business One SAP Business Analytics SAP license pricing – basic methodology Product maintenance strategy

68

SAP Active Global Support (AGS) AGS is a global organization with 6000+ employees in 50+ countries Supports 232,000+ customers in 122+ countries Supports more than 1 Million systems, of which are 300,000 productive Delivers worldwide per year: n 

Solutions for more than 2 Million customer messages

n 

About 40,000 proactive service sessions (such as GoingLive Check, EarlyWatch Check)

Maintains all SAP software that is in unrestricted shipment n 

Creation and improvement of SAP Notes

n 

Collection, production, and provision of SAP Support Packages

n 

Creation of legal changes to meet changes to laws

n 

Structured product feedback to development

69

SAP Product Support Offerings: Standard, Enterprise and MaxAttention Tiered support model: §  SAP Standard Support

basic support to keep customer‘s SAP solutions stable and up-todate §  SAP Enterprise Support focus on optimizing cost of operations and performance of a customer‘s solution landscape §  SAP MaxAttention Support for very large customers, about 300-400 worldwide. It includes additional services, e.g. named contact person at AGS.

Priced at 19%; will be adjusted to inflation on an annual basis 22% of license fee; step-up to 22% for purchase until July 2008 Fees are negotiated individually with the customer.

§ For each SAP product there is a pre-defined support time period § Customers can extend this period by paying an uplift of 2%, 4% or 6% for „extended maintenance“ § After the „extended maintenance“ period, SAP support can be extended with „customer specific maintenance“ – at increased cost 70

SAP Maintenance Strategy for Main Applications

71

SAP Solution Manager

Mandatory tool to administrate, to monitor and to maintain SAP landscapes Provides the technical link to SAP Active Global Support 72

Time for questions …

Mail contact: [email protected] 73

Special Notices Information in this document concerning non-IBM products was obtained from the suppliers of these products or other public sources. Questions on the capabilities of nonIBM products should be addressed to the suppliers of those products. IBM may have patents or pending patent applications covering subject matter in this document. The furnishing of this document does not give you any license to these patents. Send license inquires, in writing, to IBM Director of Licensing, IBM Corporation, New Castle Drive, Armonk, NY 10504-1785 USA. All statements regarding IBM future direction and intent are subject to change or withdrawal without notice, and represent goals and objectives only. The information contained in this document has not been submitted to any formal IBM test and is provided "AS IS" with no warranties or guarantees either expressed or implied. All examples cited or described in this document are presented as illustrations of the manner in which some IBM products can be used and the results that may be achieved. Actual environmental costs and performance characteristics will vary depending on individual client configurations and conditions. IBM Global Financing offerings are provided through IBM Credit Corporation in the United States and other IBM subsidiaries and divisions worldwide to qualified commercial and government clients. Rates are based on a client's credit rating, financing terms, offering type, equipment type and options, and may vary by country. Other restrictions may apply. Rates and offerings are subject to change, extension or withdrawal without notice. IBM is not responsible for printing errors in this document that result in pricing or information inaccuracies. All prices shown are IBM's United States suggested list prices and are subject to change without notice; reseller prices may vary. IBM hardware products are manufactured from new parts, or new and serviceable used parts. Regardless, our warranty terms apply. Many of the features described in this document are operating system dependent and may not be available on Linux. For more information, please check: http://www.ibm.com/systems/p/software/whitepapers/linux_overview.html Any performance data contained in this document was determined in a controlled environment. Actual results may vary significantly and are dependent on many factors including system hardware configuration and software design and configuration. Some measurements quoted in this document may have been made on development-level systems. There is no guarantee these measurements will be the same on generally-available systems. Some measurements quoted in this document may have been estimated through extrapolation. Users of this document should verify the applicable data for their specific environment.

Revised January 19, 2006

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Revised June 15, 2006

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APPENDIX

SAP addressable market and mid term strategy ~ $220 B

SAP’S ADDRESSABLE MARKET DOUBLED

In-Memory Computing Mobility

OnDemand

~ $110 B BI / Analytics Middleware

Core ERP + Suite

IN-MEMORY HANA, Business Analytics Solutions

MOBILITY Sybase Acquisition, Mobile Apps Factory

ON-DEMAND BYD, Carbon Impact.

BI / Analytics Middleware

Core ERP + Suite

By 2015 20 Billion Euro 35% Margin 1 Billion people

Source: SAP 2011

2010

2015 77

SAP Ecosystem: Essential for growth Partner Type

Description

SAP Channel

Channel partners sell, build, and deliver SAP applications and solutions to meet the needs of small businesses and midsize companies.

SAP Content

Content partners offer syndicated content or content services that complement SAP solutions.

SAP Education

Education partners deliver professional training for SAP solutions and technology.

SAP Hosting

Hosting partners provide hosting services for SAP applications and the SAP NetWeaver technology platform.

SAP Services

Services partners design, implement, and integrate SAP solutions; optimize business processes; and provide strategic business consultation.

SAP Software Solution

Software solution partners develop applications that extend and add value to SAP solutions, including both value-added and complementary software solutions based on SAP technologies.

SAP Support

Support partners deliver the service and support required to implement, use, and support SAP solutions.

SAP Technology

Technology partners provide products that support SAP solutions, including hardware, operating systems, networks, databases, storage technology, and mobile devices.

SAP Mobile App

Mobile app partners include any company that provides standard mobile apps for business which are packaged and sold as-is to customers on SAP Store and other channels, where applicable, for a fee or subscription.

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SAP Ecosystem: IBM is an SAP Global Partner Partner Type

Description

SAP Channel

Channel partners sell, build, and deliver SAP applications and solutions to meet the needs of small businesses and midsize companies.

SAP Content

Content partners offer syndicated content or content services that complement SAP solutions.

SAP Education

Education partners deliver professional training for SAP solutions and technology.

SAP Hosting

Hosting partners provide hosting services for SAP applications and the SAP NetWeaver technology platform.

SAP Services

Services partners design, implement, and integrate SAP solutions; optimize business processes; and provide strategic business consultation.

SAP Software Solution

Software solution partners develop applications that extend and add value to SAP solutions, including both value-added and complementary software solutions based on SAP technologies.

SAP Support

Support partners deliver the service and support required to implement, use, and support SAP solutions.

SAP Technology

Technology partners provide products that support SAP solutions, including hardware, operating systems, networks, databases, storage technology, and mobile devices.

SAP Mobile App

Mobile app partners include any company that provides standard mobile apps for business which are packaged and sold as-is to customers on SAP Store and other channels, where applicable, for a fee or subscription.

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Price example for Duet solution (running on user desktop) Each user is charged for the Duet application on his/her individual desktop

In addition, each user has to be a “named user” Prices per Platform User in Euro

Prof 2000

Ltd Prof

Emp

1000

250

ESS

Remarks

100

that does not include the license for 3rd party or other SAP products

SAP Main Products and Solutions

80 80

SAP Business ByDesign is part of SAP overall Cloud Strategy and is offered only as SaaS § Increased customer interest to run entire business on-demand (cloud) § A ‘Software-as-a-service’ offer: Saas § Target customer §  Full-suite for the midmarket § Hybrid approach for large companies running SAP Business Suite and ByDesign for subsidaries

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SAP Packages for Analytics Products

Target market

Remarks

SAP BI (Business Information)

Large to medium customers

•  enrichment by in-memory database (HANA) •  Mobile BI: link to Mobile devices

SAP EPM (Enterprise Performance Management )

Large customers

•  Disclosure Management •  Notes Management •  Risk Adjusted Planning

SAP GRC (Governance, Risk and Compliance)

Large customers

•  Risk intelligent management of enterprise performance •  Protection against fraud, waste, misuse and errors

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