The SAP North America (U.S. and Canada) and SAP Latin America (South America, Mexico, Central America and the Caribbean) business units will merge to form one organization, SAP Americas, led by Bill McDermott, 44, who previously headed the company’s North America business.
Since McDermott joined SAP in October 2002, the company in the United States has delivered 13 consecutive quarters of significant market share gains, revenue growth and customer satisfaction improvements. SAP’s fast-growing North America region will be merged with a Latin America region that has nearly doubled its software revenue in the past three years and built a base of more than 2,000 customers.
“Our North America business is one of the growth engines for SAP and for the entire business software industry,” said Léo Apotheker, president of SAP’s Customer Solutions & Operations (CSO) organization and an SAP executive board member. “Combining these regions enables us to maximize our resources and replicate best practices to deliver exceptional value to customers on both continents, while accelerating our growth.”
Strengthened focus on Public Services
One of McDermott’s top priorities is to extend SAP’s leadership in the U.S. public sector, a key growth industry for the company. To that end, he announced the appointment of IT industry leader Rand Blazer, 55, as president and general manager of SAP Public Services, Inc. According to McDermott, “SAP strives to continually improve our service and support to our customer base. We were inspired by Rand’s laser-focus approach and dedication to client service. Over the past few years, Rand has been a great advocate of SAP and our work helping public services organizations transform the way they do business. His business acumen and leadership will deepen our footprint in the U.S. public services market.” In his new position, Blazer will be responsible for the company’s sales and field operations for the public sector, including the Department of Defense, federal civilian agencies, homeland security, state and local governments, defense and security firms, K-12 and higher education institutions in the United States.
Blazer will succeed Steve Peck, 45, who will take on new senior executive responsibilities at SAP Americas, leading its Alliances division and reporting directly to McDermott. In this role, Peck will continue to grow and manage strategic relationships with SAP’s partner and systems integrator community, with a focus on accelerating customer success. During his tenure as president of SAP Public Services, Peck was instrumental in helping SAP significantly increase its client roster to more than 2,800 public services customers, including the Internal Revenue Service and the U.S. Postal Service, establish partnerships with more than 100 defense and security customers, including the U.S. Army, U.S. Navy and U.S. Customs and Border Protection, and enhance its thought leadership position in the public sector.
Said Blazer, “I’m excited to join SAP’s winning team and take the good work, which Steve Peck and the organization have done, to the next level. We will help SAP’s public sector clients in the United States transform the way they operate by providing industry-leading business software.” During his 27-year tenure with BearingPoint (formerly KPMG), one of the world’s largest consulting and systems integration firms, Blazer earned a reputation as being an innovative visionary. He redefined the consulting industry by separating the consulting business from its tax and audit parent to operate independently. His pioneering vision and entrepreneurial leadership led BearingPoint to become the first of the Big Five consulting firms to undergo this business transformation.
Under his leadership as chairman and CEO, Blazer led the company’s market-leading double-digit growth for business consulting and system integration services and increased revenues from $800 million to more than $3.4 billion. Much of the company’s success was in the public sector area of the business, which Blazer helped build and establish. Blazer focused much of his time at BearingPoint on delivering sustainable value and industry-specific solutions to clients. As part of his efforts to improve client service, Blazer implemented the “Client for Life” management culture that led to a 96 percent retention rate of top customers. Prior to his career in IT, Blazer served as a captain in the U.S. Army. He earned a master’s degree in business administration from the University of Kentucky and a bachelor’s degree in economics from McDaniel College in Maryland.
Additional executive appointments
SAP also announced the appointment of three other executives to key roles in the company:
- José Duarte, 37, will become regional managing director of SAP Latin America. Duarte, a 13-year SAP veteran, most recently served as the regional managing director of Southwest EMEA (Europe, Middle East and Africa). Prior to that, he was managing director of SAP Spain and SAP Portugal.
- Raúl Véjar, 46, who previously headed the Latin America organization and substantially grew SAP’s business in the region, will move into another senior executive position at SAP.
- Carlos Chou, 44, will assume the newly created role of senior vice president of Mendocino – the first product, jointly developed by SAP and Microsoft, that will link SAP process functionality directly to Microsoft Office applications. Building on his previous role heading the North America Alliances organization, Chou will be responsible for driving customer adoption and success for Mendocino.