SAP Helps Customers Respond Quickly to Economic Downturn With Introduction of New Modular Business Suite

February 4, 2009 by SAP News 0

SAP® Business Suite 7 Reduces Upgrade Barrier and Provides Customers With a Higher Degree of Insight, Efficiency and Flexibility as Business Dynamics Change

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SAP AG (NYSE: SAP) today unveiled SAP® Business Suite 7 software, a next-generation software suite that helps businesses to optimize their performance and reduce IT cost. In the current environment, every organization is challenged to focus on short-term business value while preserving a coherent IT architecture and landscape. Recognizing this need, the new SAP Business Suite is designed to ease upgrades and help customers reduce IT costs with enhancement packages; gain stronger insights with select analytics capabilities from the SAP® BusinessObjects™ portfolio; and achieve end-to-end process excellence through the modular deployment of industry best practices and service-oriented architecture (SOA).

Leading analysts agree that such a modular, reduced-risk IT approach not only helps companies remain competitive in turbulent economic times, but also positions them to quickly capture business opportunities in the recovery.

“Today, large enterprises are skeptical of IT projects that involve foundational investments that aren’t tied to delivering fast value to users,” said Jeff Woods, managing vice president, ERP and SCM, Gartner. “Big projects that only promise a foundation for future value delivery are too risky, too costly, and the benefits are difficult to justify to business leaders. Enterprises want integrated IT solutions that require only investment that is tied to immediate business value—but without losing the cost, information integrity and process integrity benefits that a strategic suite provides.”

Process Excellence Through Industry-Rich Value Scenarios
Developed in alignment with customers and partners, the new SAP Business Suite introduces industry-rich value scenarios—end-to-end business processes that focus on industry-specific outcomes that span organizational boundaries and application silos. Value scenarios can be implemented in a step-wise fashion and deployed as customers need them.

Retailers, for example, understand that connecting with their customers is mission-critical. With the value scenario “inspired shopping experience,” retail CEOs—along with their lines of business management—have the ability to better understand shoppers, anticipate their needs and shape the customer experience, as well as more effectively leverage point-of-sale operations, loyalty management, workforce management and product assortment and pricing.

Other examples of industry-rich value scenarios include “integrated product development” for discrete manufacturing industries, “collaborative demand and supply planning” for high tech and consumer products companies, and “integrated sourcing and procurement” for all industries.

Headquartered in Basel, Switzerland, Roche is one of the world’s leading research-focused healthcare groups in the fields of pharmaceuticals and diagnostics. As a long-standing SAP customer, Roche will deploy the new SAP Business Suite.

“The software helps us to achieve cost savings through easier release management and to further broaden the functional support in areas like treasury, talent management and supply chain control,” said Jennifer Allerton, CIO, Roche. “The ability to better support our Clinical Trial Management will speed up the introduction of new medicines for patients.”

Helping to Reduce Cost and Risk in a Challenging Economy
To support customers in reducing total cost of ownership (TCO), the new SAP Business Suite delivers more than 150 functional innovations through enhancement packages and a synchronized release schedule for all applications—SAP® ERP, SAP® Customer Relationship Management, SAP® Supplier Relationship Management, SAP® Supply Chain Management and SAP® Product Lifecycle Management, as well as industry applications—across the entire suite. Enhancement packages allow customers to select and deploy only the functionality they need without upgrading their solution—leaving long implementations, upgrades and disintegrated point solutions in the past. With more than 1,000 live customers and 1,800 downloads, the first three generations of SAP enhancement packages for SAP ERP have proven the benefit of this innovative delivery model (see Nov. 12, 2008 press release, titled “Latest Enhancement Package from SAP Delivers Innovation and Value to Customers in Challenging Economic Times”).

“SAP Business Suite software, with the synchronized release strategy and enhancement packages, will deliver value by fully supporting our integrated end-to-end business processes,” said Ed Toben, SVP, GIT & Business Services, Colgate-Palmolive. “We anticipate that the enhancement package strategy will remove the upgrade barrier and help us to more efficiently deliver the innovation we need for continued success. With all components of SAP Business Suite on the same release cycle, the costs associated with implementation and testing of new functionality are greatly reduced.”

SAP Business Suite customers can also drive down their TCO by leveraging the harmonized user interfaces that present similar views across the applications of SAP Business Suite to deliver a coherent user experience that helps to reduce user training effort and cost. SAP® Enterprise Support services further reduce the overall total cost of ownership of the new suite with integrated life-cycle management capabilities. Underpinned by SAP® Solution Manager, enterprise edition, SAP Enterprise Support accelerates innovation and reduces implementation cycles. With SAP Enterprise Support, customers receive direct advice from SAP solution architects and can minimize their modifications, enabling them to manage their ongoing operations in a cost-effective manner.

“SAP Business Suite 7 offers us powerful, differentiated industry-specific functionality and support for business processes, which furthers our strategy of IBM as a globally integrated enterprise by linking process excellence with our infrastructure capabilities,” said John Leffler, Global SAP Practices Leader, IBM Global Business Services. “We are pleased to continue our long-standing relationship with SAP as mutual customers and partners. The combined efforts of SAP and IBM deliver superior value to our joint customers and we are looking forward to even more collaboration as companies continue to adopt and utilize the new SAP Business Suite 7.”

Insight and Flexibility to Quickly Capture Business Opportunities
Insight and flexibility are essential in the current economic environment to capture new business opportunities, react fast to changing market conditions and drive competitive differentiation. The new SAP Business Suite delivers a higher degree of insight by incorporating select analytics capabilities of the SAP BusinessObjects portfolio, allowing customers to monitor execution and make sound decisions for positive change. The new SAP Business Suite is fully SOA-enabled and provides more than 2,800 enterprise services for all industries, giving customers enhanced flexibility. The SAP NetWeaver® Business Process Management component of the SAP NetWeaver® technology platform allows customers to build their own practices without sacrificing process integrity, allowing customers to further differentiate in their industry.

“With the new SAP Business Suite, customers are empowered to quickly embrace change and deploy only the solutions that matter most to their business,” said Jim Hagemann Snabe, member of the Executive Board of SAP AG. “With industry-rich, end-to-end processes and embedded analytics available in one, natively integrated suite, SAP has created a new industry standard that demonstrates our commitment to make software better, faster, more cost-effective and more user-friendly for our customers.”

SAP Ecosystem and Partner Momentum
SAP’s industry-leading ecosystem enables customers to draw upon the expertise of SAP partners to bring additional value to their IT investment through consulting, services and support that help optimize operations. To help foster continued value delivery through high-quality, certified professionals and to further facilitate co-innovation with industry leaders, SAP also announced that Atos Origin, Capgemini, IBM and Wipro have become launch partners for SAP Business Suite. Launch partners for SAP Business Suite 7 will commit to providing high-quality certified consulting resources, supporting co-marketing activities and participating in product ramp-up. SAP will engage closely with all of the launch partners to drive customer success in 2009. For comments from SAP launch partners about SAP Business Suite 7, please visit the SAP newsroom.

To learn more about the strategy behind the new SAP Business Suite, watch an exclusive interview with Jim Hagemann Snabe, member of the SAP Executive Board. Visit www.sap-tv.com to view the SAP Business Suite 7 retail demo and learn how retailers have the ability to better understand shoppers, anticipate their needs and shape the customer experience with SAP Business Suite 7. For more information, visit the SAP Business Suite newsroom.

About SAP® Business Suite
SAP® Business Suite software enables enterprises to execute and optimize their business and IT strategies. SAP Business Suite gives organizations the unique ability to perform their essential industry-specific and business support processes with modular software that is designed to work with other SAP and non-SAP software. Organizations and departments in all industries can deploy SAP Business Suite software in a step-wise manner to address specific business challenges on their own timelines and without costly upgrades. SAP Business Suite provides better insight and visibility across organizations, improves operational efficiency and effectiveness, and increases the flexibility to address business change.

About SAP
SAP is the world’s leading provider of business software(*), offering applications and services that enable companies of all sizes and in more than 25 industries to become best-run businesses. With more than 82,000 customers in over 120 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE, under the symbol “SAP.” For more information, visit www.sap.com.

(*) SAP defines business software as comprising enterprise resource planning and related applications

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