SAP AG 2003

Product Positioning

Services for SAP partners

Calculation Example

Contents:

SAP Product Strategy

SAP AG 2003

Describe the solutions offered by SAP in the small and midsize businesses market

State the services offered by SAP to its partners

Describe the price model for the marketing ofSAP Business One

At the conclusion of this unit, you will be able to:

SAP Strategy: Unit Objectives

SAP AG 2003

SAP Offers Solutions for Companies of All Sizes

Midsize Companies /Subsidiaries

Small Companies /Subsidiaries

mySAP All-In-OneConsists of the mySAP Business Suite tailored to the needs of midsize

companies; the software is easy to install,

implement,and maintain, and provides a full range

of business functions

SAP Business OneCan be implemented in

a matter of days and provides all the

functions you need

LargeEnterprises

mySAP Business SuiteComplete set of business

functionality for all requirements

SAP Solutions for SMB

SAP AG 2003

time for time for time for time for time for time for

initial run * final run * initial run * final run * initial run * final run *

customer master 05:38 00:29 03:57 00:51 07:20 00:34customer order 04:49 00:31 08:53 00:41 08:12 00:39invoice 03:10 00:23 05:58 00:40 04:13 00:25general ledger 02:40 00:10 07:40 00:27 04:16 00:19material master 03:46 00:36 02:49 00:36 04:03 00:30purchase order 01:12 00:20 03:57 00:23 01:59 00:24bill of material 10:19 01:16 NA NA 06:35 01:43production order 01:23 00:12 NA NA 01:29 00:13

Legend: fastest systemaverage system

* All values are in seconds slowest system

task:

MSFT NavisionAttain

SAPBusiness One

MSFT Great PlainseEnterprise

SAP Business One Shows Better Usability!

SAP AG 2003

Targeted to companies between 10-250 employees.

Already 1,300 customers and 150 partners in Europe, Middle East, and the Americas

Available in 14 languages and 12 countries -- by end of 2003, to be available in 22 countries

Leverages SAP’s 30 years of business software leadership Almost full industry coverage

3rd party solutions Internal practices

Many CEOs are using the system Many subsidiaries of mySAP customers

Some Facts About SAP Business One

SAP AG 2003

mySAP Business Suite

SubsidiarySubsidiary

Subsidiary

Subsidiary

Subsidiary

Headquarter

Subsidiary

Vendor

The Need for Integration

SAP AG 2003

Without SAP Business One

Situation

No consistent, consolidated view

No integration with the branch offices

High IT costs due to different systems

Head OfficeSAP Business

Suite

Head OfficeSAP Business

Suite

UKSMB Solution 1

UKSMB Solution 1

GermanySMB Solution 2

GermanySMB Solution 2

USSAP Business Suite

USSAP Business Suite

NorwaySMB Solution 3

NorwaySMB Solution 3

SingaporeSMB Solution 4

SingaporeSMB Solution 4

Result

IT decisions have to be taken for each branch office

Large Corporate Groupsusing the SAP Business Suite

at the Head Office

Large Corporate Groupsusing the SAP Business Suite

at the Head Office

SAP AG 2003

Consolidated reporting structure within an enterprise

One view of allsubsidiaries

Data exchange forcross-enterprise collaboration

Head Office + Subsidiaries

Head Office + Subsidiaries

Head Office + Subsidiaries +Sales Personnel + Vendors

Objective Participants

Integration with the SAP Business Suite

SAP Business

InformationWarehouse

SAP Enterprise Portal

SAP Business Connector

SAP Exchange Infrastructure

Data Integration

Data and Process Integration

SAP AG 2003

Using SAP Business One

Opportunity

Integration with branch offices/subsidiaries

Integration packages for mySAP Enterprise Portal, SAP Exchange Infrastructure, and SAP Business Information Warehouse (SAP BW)

Benefits

IT decisions made easier by purchasing a standard solution from SAP

Head OfficeSAP Business

Suite

Head OfficeSAP Business

Suite

UKSAP Business One

UKSAP Business One

GermanySAP Business One

GermanySAP Business One

USmySAP All-in-One

USmySAP All-in-One

NorwaySAP Business One

NorwaySAP Business One

SingaporeSAP Business One

SingaporeSAP Business One

Large Corporate Groupsusing the SAP Business Suite

at the Head Office

Large Corporate Groupsusing the SAP Business Suite

at the Head Office

SAP AG 2003

Up to 40% of all SMBs are subsidiaries of large customers

Facilitates commerce communities between corporations of all sizes

SAP Exchange Technology enables Supply Chain completion

Small Businesses

Large Accounts

Sophisticated SMBs

Advanced SMBs

Integration via XI

SAP AG 2003

MySAP.com

SAP Business OneSAP Business One

SAP Business One

SAP Business One

SAP All-In-One

SAP

Integration Platform

SAP All-In-One

SAP Business One

The World With SAP Business One

SAP AG 2003

mySAP.com

Headquarters

Factory

Distributor

SAP R/3 Enterprise

SAP Business OneSales Subsidiary

mySAP All-in-One Full functionality Pre-configured

Necessary functionalityup to 100+ users

All core functionalities Vertical Integration

World’s leading business solution

Full value chain integration

Summary: SAP Supports the Global Enterprise

SAP AG 2003

Partners receive the following services:

Partner/channel manager concept (support/consulting/technical support)

Consulting (support during implementation of the first projects)

Demo system for five users (+ one user for each certified employee Notebook license)

Partner portal for system resellers (for all the relevant information)

High-performance lead-generating activity

Good value production system for SSP (40 % discount for margin)

Sales kit/marketing basic equipment

Reference materials (white papers, customer success stories etc.)

Services for SMB Partners (1)

SAP AG 2003

Services for SMB Partners (2)

Opportunity of participating in further training courses

40 training days (sales and marketing, technology, implementation,technical support)

E-learning maps (on the Service Marketplace)

Participation in WebEx sessions (current topics and products, sales, implementation and so on)

On-site seminars and e-learning units for the Software Development Kit (SDK)

In addition, you also profit from the following:

An SAP marketing campaign with the target group SMB

Quantity discount and sales commission

Second level support for 10% of the license price per year

SAP AG 2003

Support Services

Trouble-shooting during installation, implementation, operation

Partner portal Support platform Knowledge database (currently approx. 600 problems plus solutions) Document-based database (under construction)

Hotline – 5 days/8 hours (country-dependent, for customer emergencies)

Hotline – 7 days/24 hours (for absolute emergencies, telephone number of duty managerin the partner portal)

Support partner forum (conference call, every last Friday in the month)

Project support "remote save guarding" – request by partner(difficult, problematic project, name of employee assigned to the project)

SAP AG 2003

0

20

40

60

80

100

120

4 8 12 16 20 24 28 32 36 40User

€K

SAP Business One list price

SAP commission based on this price

Reseller retains profit from this

margin

Two main advantages of this price scheme: • System resellers with an especially high

turnover are rewarded. • The necessary flexibility for regional

price lists is ensured.

Two main advantages of this price scheme: • System resellers with an especially high

turnover are rewarded. • The necessary flexibility for regional

price lists is ensured.

Structure of EMEA Price List Structure of EMEA Price List

Pricing is based on defined users. • The simplest price is ensured;

low presales costs.

Pricing starts at € 2,500 per user and at least € 5,000.

SAP offers a discount scheme based on the volume of licenses sold.

SAP charges 10% of the license costs for maintenance and support.

• The final price for maintenance and support is negotiated between the partner and the customer (recommended 20%).

Price Model

SAP Business One discount scheme

SAP AG 2003

SAP Business One – Calculation Examples

Payment Customer to Partner10 SBO-User x € 2,500 € 25,000Plus CRM (for Calculation of Database Price) + € 2,500= SAP Application Value (SAV) € 27,500Plus 7.5% as Price for Database + € 2,063

€ 29,563Minus CRM - € 2,500

€ 27,063Minus 20% Volume Discount - € 5,413Payment Customer to Partner € 21,650Plus CRM (for Calculation of Maintenance) + € 2,500Basis for Maintenance € 24,150

Payment Partner to SAPPrice for Database € 2,063Minus 20% Volume Discount - € 413Payment Partner to SAP (database) € 1,650

Standard Net License Value – w/o CRM € 20,000Minus 40% Partner Discount - € 8,000Payment Partner to SAP (SBO) € 12,000

Payment Partner to SAP (database) € 1,650Payment Partner to SAP (SBO) € 12,000Payment Partner to SAP (Total) € 13,650

SAP AG 2003

Public Web:

www.sap.com/smb

SAPNet:Use ALIAS: ‚SMB‘

Service Marketplace

service.sap.com/smb

Further Information

SAP AG 2003

You are now able to:

SAP Product Strategy: Unit Summary

Describe the solutions offered by SAP in the small and midsize businesses market

State the services offered by SAP to its partners

Describe the price model for the marketing ofSAP Business One