– Licence revenues more than doubled
– 714 new customers added in Q3 2007
– Strong momentum from “third wave” of IT adoption
India — SAP India announced record-breaking quarterly growth for the third quarter of 2007. Licence revenue for the quarter more than doubled over Q3 2006, signifying the increasing adoption of SAP solutions by companies of all sizes in the subcontinent. The company also added a substantial number of well-known businesses to its roster of customers, already the largest among all enterprise software companies in the Indian subcontinent.
SAP added 714 new clients between July and September 2007, the highest quarterly addition to the company’s customer base since starting operations in India. To put this in perspective – SAP has added more customers in Q3 2007 alone than it added during all of 2006. Year-to-date, SAP India has added over 1352, new customers, compared with 1348 customers that the company had as of December 2006.
“This has been an outstanding quarter for SAP in India and we more than doubled revenues across both Large Enterprises and SME segments,” said Ranjan Das, President and CEO, SAP Indian Subcontinent. “The trust that they place in us is testament to our long history of reliable technology innovation and deep industry understanding.”
“The fact that we have doubled our customer base in the last nine months showcases rapid adoption of technology platforms to achieve operational excellence and business agility and leverage global industry best-practices by Indian businesses.” said Das.
SAP – the Trusted Vendor in the enterprise application space witnesses strong momentum in large enterprises and key industries
With governments and businesses alike increasing their focus on scaling up India’s infrastructure to world-class levels, SAP solutions are being adopted by large and leading enterprises; including clients like Tata Motors, G M R Holdings Pvt ltd, Singareni Collieries Co Ltd, DCM Shriram, ITC Paperboards and Specialty Paper Division and Voltas Limited.
Leading infrastructure companies in areas like airports, ports, cement and construction signed by SAP during the quarter include Mumbai International Airport, Cochin Port Trust, Gujarat Ambuja and Kirby Building Systems.
Government bodies like the Municipal Corporation of Greater Mumbai (MCGM), India’s largest municipal corporation, and the Kalyan Dombivili Municipal Corporation are using SAP solutions to address the needs of their various stakeholders in a transparent, speedy and efficient manner. MCGM’s SAP e-governance solution is a first of its kind project that delivers time bound and speedy services, blending of ICT and administrative reforms, single window services across multiple departments, avoidance of repetitive data gathering from citizens and most importantly an ‘anytime anywhere’ service to its citizens, administrators, employees and corporates.
“Third Wave” of IT adoption in India benefits SAP
Since starting operations in India in 1996, SAP has been leading the drive to educate Indian businesses about using technology to power their growth and success. Now in its 11th year of operations in India, the company is seeing the “third wave” of IT adoption among Indian businesses.
While large enterprises in primarily large cities formed the “first wave” of IT adoption in India, SMEs in larger non-metro cities formed the “second wave”. Now with India’s economic growth broadbasing into its smaller towns and cities, local businesses there are forming the “third wave” of IT adoption for companies like SAP. Most of these businesses are part of extended value chains of larger corporates including their dealers, distributors, traders, suppliers and even large customers.
One example of the “third wave” in action is Infodart Technologies India Ltd, part of a Videocon Group Company. The company is partnering SAP to roll out SAP Business One to over 2000 of its dealers, distributors, traders and vendors across all major cities and towns across India.
Commenting on the benefits of extending SAP across its entire value chain in India, Pawan Kalra, Director, Infodart Technologies India Ltd said, “Videocon, by virtue of its diversified businesses, has one of the most extensive ecosystems in India. Standardizing on SAP Business One as a common solution for all our partners will enable us to form a seamless value chain with our partners and together execute on future growth plans.”
“Today’s era of accelerated change has led to the rise of the business network as a primary source of competitive advantage. Using SAP solutions across its extended business network will allow Videocon to collaborate with partners, customers and suppliers resulting in joint value creation,” added Ranjan Das.
A few more examples of this wave include companies such as Phoenix Lamps Ltd based out of Gautam Budh Nagar in Uttar Pradesh up North to a PSN group of companies from Trissur in Kerala. From the East we have Mangalam Timber Products based out of Nabarangpur in Orissa to Welspun Syntex Ltd from Silvassa, Gujarat in the West.
Talent development key to sustained success at SAP
SAP continues to invest in intense talent development programs for its employees. In synch with the evolution of its business, SAP is not only introducing multiple HR best practices for its employees but also actively seeking to expand its workforce through the addition of top-tier external talent.
In addition, SAP is actively hiring employees into its Marketing, Sales and Consulting divisions across locations – thereby creating a strong base for added growth in Indian Subcontinent.