Indian Mid-size Enterprises in East India Chose SAP in Record Numbers in 2006, Increasing SAP’s Market Lead

SAP witnesses a momentum of mid-size customers and breakthrough deals from diverse industry segments in East

Studies Show Small and Medium Customers Benefit from SAP’s Proven, Easy to Adapt and Affordable Portfolio of Solutions

KolkataSAP India, today announced the addition of over 433 new midsize enterprise customers in 2006, translating to the addition of more than one new customer per work day in 2006. SAP All-in-One – SAP’s solution for the mid market segment powered by SAP Best Practices was chosen by over 170 Indian mid-sized enterprises. With over 263 wins, SAP Business One – SAP’s solution for the small enterprises – powered ahead in 2006 across all the regions of India, bringing SAP’s small and mid-size customer base in India to over 883, doubling the base in just a year.

SAP India has also witnessed a momentum of mid size enterprise customers in the East in 2006 ranging from diverse verticals like hospitality, logistics, retail, home-building, constructions media-entertainment etc. amongst others, in some cases, for the very first time in the industry.

Some of the significant wins of SAP in the segment in East are:

– The Park Hotels
– Transafe Services Limited
– Linc Pens
– Rupa & Co. Ltd
– Lux Hosiery Industries Limited
– Saregama India Limited
– Kolkata West International City
– Apex Auto Ltd
– Jamipol Ltd

“SAP and its partners deliver affordable and easy to deploy business management solutions for quick ROI and low total cost of ownership by building in best practice know-how,” said Alan Sedghi, President and CEO, SAP Indian Sub-continent. “Small and medium enterprise segment is a key focus for SAP in India and the segment is expected to contribute significantly to achieving our target of 15,000 customers by 2010. SAP has built strong network of over 20 partners who offer micro-vertical capabilities and implementation services for SAP All-in-One solution. We are working with over 75 re-sellers and three national distributors to ensure that SAP Business One is accessible to the vast pool of Small Enterprises spread across the length and breadth of the country”.

The Park hotels, one of the most renowned hotel groups in India, have recently implemented SAP ERP Human Capital Management (HCM) solutions which is a breakthrough deal in the hospitality industry. Mr. Vijay Dewan, Managing Director, The Park Hotels, says, “The Park’s vision is Leadership through Differentiation. By embracing SAP ERP HCM, we have initiated a trend-setting & far-reaching best practice in the Indian hospitality industry. Our people are our key strength and pivotal to our success. Hence, amalgamating our HR knowledge and functions with our business process and strategy through SAP will maximize our human resources potential.”

Another new-win customer of SAP, Linc Pens, is a leading manufacturer and retailer of writing instruments headquartered in Kolkata. Mr. N.K. Dujari, G.M.-Finance, Linc Pens says, “We wanted to implement a solution that could help us track the performance of our products and at the same time gave us the flexibility to scale it up with the growth of the company. SAP clearly became an obvious choice as it scores much better over its competitors on these features.”

Saregama India Limited, a leading player in the Indian entertainment sector has implemented SAP solutions in 2006 for more effective revenue management through managing of its Intellectual Property and for enhanced operational efficiency. Amit Mukherjee, CTO, Saregama India Limited, explains, We wanted to implement a solution that could primarily help us manage our Intellectual Property better and also help us make informed business decisions in the rapidly changing business environment. SAP became an obvious choice as it is the only ERP solution provider offering solutions for IP management along with other business modules.” With this Saregama became the first ever Indian media-entertainment company to implement SAP solutions for its Intellectual Property Management.

Studies Show Customers Benefit from SAP’s Proven, Easy to Adapt and Affordable Portfolio of Solutions for SMEs

The result of IDC’s most recent biannual Asia Pacific (excluding Japan) market share analysis reveals SAP as the leader in Enterprise Applications market for SMEs. According to the research, SAP was the leader serving the APEJ SME market in 1H2006 in each application category IDC researched, including Enterprise Resource Management (ERM), also known as ERP, and including Human Capital Management (HCM); Customer Relationship Management (CRM); and Product Supply Chain (PSC), also known as Supply Chain Management (SCM).

Medium enterprises look to SAP for Best Practices

In another IDC customer survey sponsored by SAP for 50 existing SAP SME customers in the region, preliminary results indicated the top reasons driving respondent companies to deploy SAP solutions included the need for higher levels of integration and collaboration, as well as the ability to control business costs. SAP’s SME customers also saw higher operations and process efficiency as top benefits as a result of using their SAP systems. Further, the survey highlighted that innovation and operational excellence are top strategic initiatives in helping respondent companies achieve their growth objectives over the next one to three years. Over all, the majority of respondents regard IT, including their SAP systems, as having the greatest influence on their operational excellence initiatives, followed by those on regulatory compliance and/or industry mandates, innovation, and channel sales model.

Next Evolution
Delivering the value of enterprise service-oriented architecture (enterprise SOA) “by evolution” to midsize companies, SAP Asia Pacific is introducing the next version of its SAP All-in-One solutions. Based on mySAP ERP 2005, the latest evolution of SAP All-in-One solutions will enable faster return on investment with a dramatically enhanced and more intuitive user experience, streamlined business scenarios and enhanced analytical reporting.

Looking forward to later in the year, SAP plans to deliver new “SOA by design” solutions to an untapped segment of the midmarket. The solutions will leverage an entirely new platform built on end-to-end business processes and offering dramatic innovations in faster, lower-risk implementation, extreme adaptability and the complete management of the solutions in hosted and on demand alternatives for lowest total cost of ownership.