SAP Customers Set Strong Pace of ERP Evolution

SAP AG announced strong customer adoption of mySAP ERP, the company’s flagship enterprise resource planning (ERP) application, with customers implementing or upgrading from previous releases at a fast pace. SAP customers across diverse industries – including Air France, Swiss facilities management company Edelweiss, U.S.-based supply chain service provider CHEP International, Dutch provincial government administration Provincie Noord-Holland and Swiss utilities company Erdgas Zürich AG – are reporting fast, successful and smooth transitions from SAP R/3 to mySAP ERP. The announcement was made at SAPPHIRE’06, SAP’s international customer conference, being held in Paris, France, May 30 – June 1.
Customer adoption provides continued evidence of SAP’s global market leadership as the premier provider of ERP solutions for companies of all sizes, particularly as a growing number of customers report transitioning to best-in-class mySAP ERP within short time frames, with even large organizations fully completing their upgrade in as fast as 45 days. This announcement comes quickly on the heels of the unveiling last week of the latest version of mySAP ERP. Built upon the SAP NetWeaver platform, the newest evolution of mySAP ERP provides a further realization of the SAP road map for enterprise service-oriented architecture (enterprise SOA) and features:

  • More than 300 functional enhancements to provide companies with better information access and decision support in core operational areas, while all industry-specific functionality is fully embedded in the core ERP application. Thus, customers benefit from the more timely availability of industry-specific capabilities.
  • Readiness for alternative user interfaces such as that of Duet software, the first joint product between SAP and Microsoft, which provides selected SAP business processes within the Microsoft Office user experience; as well as “Project Muse,” an optional user interface that will become available for mySAP ERP at the end of 2006.
  • The service-enablement of mySAP ERP, which provides greater openness and agility for customers to extend process capabilities themselves or with applications from SAP and its vibrant family of ecosystem partners.

“Facing mounting challenges of ‘co-opetition’ and globalization, companies today need ERP solutions that facilitate faster cross-enterprise transactions and service enablement to help improve operational flexibility,” said Albert Pang, research director, Enterprise Applications, IDC. “SAP makes a compelling business case in addressing these issues with its latest release of mySAP ERP and many SAP customers are experiencing that the move is easier than expected.”

Air France – Soaring business excellence

Air France KLM Group is a world leader in terms of international passenger traffic and cargo traffic, as well as one of the world’s major aircraft maintenance service providers. The company has a fleet of 551 aircraft that carried nearly 64 million passengers to 234 destinations in the fiscal year 2004-2005. Air France upgraded to mySAP ERP in December 2005 to support its strategy for profitable growth and its commitment to operational excellence across all business areas.
“Air France is committed to excellence, and to deliver on this commitment we need the best available IT and business process backbone,” said Antoine Bihler, ERP Competence Center Manager, Air France. “That’s why we made the move to mySAP ERP, and we were able to do it quickly and cost effectively. The upgrade has helped us build an even stronger foundation and we will continue to leverage the software’s capabilities to optimize our resources, eliminate redundancies and reduce custom development.”

Edelweiss – Flexible business processes

Working together with the SAP partner and IT full-service provider itelligence, Edelweiss successfully set up a completely new integrated software solution for real estate and facility management within six months. Edelweiss is a Swiss facilities management provider with managed volumes of 9,000 corporate moves annually and 1.3 million square meters of surface area in 800 buildings.
“The move to mySAP ERP allows us to flexibly adjust our business processes to our customers’ requirements,” said George Walliser, CEO, Edelweiss Facility Management AG. “As a start-up company, we had to set up our IT with a green-field approach in the shortest time. Despite the enormous time pressure of this project, cooperation between SAP, itelligence and Edelweiss was absolutely outstanding and quickly saw this project through to completion, on time and on budget.”

CHEP – Upgrade with minimum downtime

CHEP, based in Orlando, Florida, is the world leader in pallet and plastic container pooling services, serving many of the world’s largest companies, with more than 300,000 customers and 7,700 employees in 42 countries. When CHEP upgraded to the latest release of mySAP ERP, one of the main objectives was to minimize the downtime and risk typically associated with migration projects. With the help of support services from SAP, the company completed the upgrade on a single weekend.
“Overall, the upgrade went smoothly and I was impressed by the teamwork,” said Sherfudeen Hassan, project manager, CHEP. “The on-site consultants and CHEP team quickly resolved the few minor issues that arose and thoroughly tested everything so that we were able to go live with all business processes immediately after the upgrade.”

Noord-Holland – Benefiting from enhanced functionality and integration

The administration of the Dutch province Noord-Holland, providing services for a population of 2.5 million, upgraded to the newest version of mySAP ERP with the aim of adding functionality to support its grantor management process that funds social programs for its constituents. The provincial government cites the benefits of a total solution covering the entire grantor process, including document management and integration with the financial department, as the main reason for collaborating with SAP.
“The move to mySAP ERP 2005 provides us with the newest functionality of SAP which is closer to our business processes and our primary process of grantor management,” said Derk Riesthuis, program manager at the Provincie Noord-Holland. “We completed our ERP migration within time and budget, and are now up and running with a robust application and technology that helps improve our business processes and enhance visibility for our managers. The new architecture of mySAP ERP allows us to collaborate more effectively and operate more flexibly at a lower overall cost.”

Erdgas Zürich AG – Flexibility to meet future business challenges

Swiss utilities company Erdgas Zürich AG, which provides the city of Zurich and 30 additional communities with natural gas, needed an ERP solution with industry-specific capabilities such as energy data management to enable it to react flexibly to the future liberalization of the natural gas industry. With the enhanced functionality of the newest version of mySAP ERP, Erdgas Zürich AG now benefits greatly from improved operational efficiency.
“The upgrade to mySAP ERP 2005 provides us with the flexibility we need to master future challenges in the gas industry,” said Bernhard Hegmann, project lead, IT and Organization, Erdgas Zürich AG. “The ramp-up program was completed on time and budget and runs reliably. The direct communication line to SAP via the ramp-up coach was a key success factor.”
“With the transition to mySAP ERP, companies lay a rock-solid foundation for excellence in their business and are better prepared to adapt to changes in their industry and business for future success,” said Shai Agassi, president of the Product and Technology Group and executive board member, SAP. “mySAP ERP is service-enabled to help customers more easily innovate and adapt to changes in their industry with greater speed and at lower cost than ever before. mySAP ERP 2005 is the milestone release that every customer should adopt on their journey to enterprise SOA. It also lays the cornerstone for all future SAP applications and presents new levels of usability and interactivity via the new, alternative user interface that will be delivered through innovations developed in ‘Project Muse,’ or through the integration between SAP applications and Microsoft Office desktop productivity solutions available through Duet.”

Source: SAP AG