SAP Globalization ServicesInnovating the world

Oct 15th, 2015

2

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Topics for Discussion

SAP’s current strategy and roadmap

Globalization Services

Challenges and accelerating Localization

Opportunities and models for Collaboration

Topics for Discussion

SAP’s current strategy and roadmap

Globalization Services

Challenges and accelerating Localization

Opportunities and models for Collaboration

The world is digital and networked

Last 2 years

90%Of the world’s data has been generated1

Last 2 years

40%Growth in adoption of business networks2

1 ScienceDaily, May 22, 2013.

2 Technology Adoption Report on Business Networks, Ardent Partners, 2014.

3 Internet of Things (IoT) 2013 to 2020 Market Forecast: Billions of Things, Trillions of Dollars, IDC, 2013.

4 Statista, 2014.

212 billion

End of 2020

“Things” will be connected3

By 2020

9 billionMobile users in the world4

In 2014

51%Of workloads processed in the cloud5

5 Cisco Global Cloud Index: Forecast and Methodology for 2013–2018, Cisco Systems Inc., November 11, 2014.

But the greatest barrier to digital transformation is

complexity

Complex technology Complex business processesComplex decision making

€237 billion in annual profits are lost by the world’s top 200 companies (10% of profits)

<1%Of today’s data is being turned into business benefits

40%Of management time is wasted on nonrevenue-generating activity

63%Of executives want to simplify business operations

Simplicity trumps complexity

…

CRM

SRM

SCM

…

…

PLM

BW

ERP

BWCRM SRM SCM PLM …

ERP

HANA

PLATFORMOPEN

APPLICATIONSINNOVATIVE

NETWORKCONNECTED

HANABREAKTHROUGH

The Road to SIMPLE

Through organic innovations and strategic acquisitions, SAP has the best solution portfolio and expertise required to enable your digital strategy. SAP is the preferred choice to turn your digital vision into reality.

SAP Offers the Only End-to-End Digital Business Solution SAP HANA enables digitization across five business pillars

Topics for Discussion

SAP’s current strategy and roadmap

Globalization Services

Challenges and accelerating Localization

Opportunities and models for Collaboration

Globalization Services Innovates the World

We provide the differentiating factor in winning in the Cloud globally

Globalization Services - Our Mission

We are SAP’s door openers in new and emerging markets

We facilitate legal compliance for our customers - The competitive advantage versus competitors

We translate SAP solutions into 38 different languages expanding SAP’s regional reach

We enable a larger addressable market for SAP through a uniquely global team with a blend of different cultures and locations

What Globalization means for SAP and our customers?

Technical enablement of a system to operate globally

Multilanguage support

Code pages / Unicode

Time zones

Multiple currencies

Calendars

Functions dedicated to the needs of business in a specific country or region / cross-countries

Local best business practices

Legal requirements

Statutory reporting

Speak the language of the locals

Product (User Interface)

Documentation and collaterals

Customer communication

Internationalization Localization Translation

Globalization at SAPFacts and Figures

Globalization is a key differentiator for SAP’s customers

Global customer base in >120 countries

>60 country versions covering legal requirements delivered

40 languages delivered across various solutions

~1.200 persons working on globalization topics

Strong commitment to customers

Enablement of SAP’s customers to continuously run a global solution according to their local/country specific needs

Delivery of 1.000+ legal changes per year

Engaging directly as a trusted partner

Representation with local expertise in the majority of market

Delivering globalized solutions and services delivered to user groups and customer

Topics for Discussion

SAP’s current strategy and roadmap

Globalization Services

Challenges and accelerating Localization

Opportunities and models for Collaboration

Making global businesses a reality through regional know how

SAP Strategy Drives Globalization Portfolio Providing compliance and country specific innovations for the digital enterprise in a simple manner

Local experts facilitate regional compliance for the digital core for deployment options from OnPremise to Cloud through a Simplified approach

SAP Localization Hub

SAP Translation Hub

Public cloud offerings localized for countries

Country specific solutions for LoBs & Industries

Finance Transportation PeopleUtilities Banking

The Need to Accelerate Localization

E-Governance initiatives

SAP Globalization

Portfolio

Country Specific

challenges

Localization of Cloud portfolio

Customer request for specific

Solution/Geography localization

Support Customer’s

Growth story

Continuous Innovation

Legal & regulatory changes

SAPs expanding Innovation Portfolio

Approach to Accelerate

Deliverables

Standard SAP Solutions

Customer Specific Localization

using Toolkits

Focused Business Solutions

(SAP CD offering)

Partner Solutions (Solution

Extension; SAP Branded

Partner Solutions; Vendor

Branded Solutions)

Exponential increase in demand for Localization due to technology, economic and political scenario

Scalable approach to serve customers worldwide is needed

Leveraging the strong ecosystem and SAP Custom Development(SAP CD) helps address our customers’ Localization needs better

• Simplified consumption of localization & languages

• Independent of existing customer deployment

models (On-premise, Cloud & Hybrid)

• Improved experience in keeping systems

Legally Compliant

• Enable global scale of in-house innovations

• Support business growth plans across products

& countries

• Foster Partner / Ecosystem play

PartnersCustomers SAP Cloud Products

Govt. communication

with eDaaS

Tax ComputationLanguage

Repository

Legal Change

Notification

Print Forms As

a Service

Statutory Reporting

Framework

SAP Localization Hub is an innovative approach from SAP to host its offerings in public cloud as independently

consumable micros-services

Simplifying localization through SAP Localization Hub

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SAP Localization Hub – Vision and Value proposition

SAP Localization Hub SAP Localization Hub SAP Localization HubGovernment

Interfaces

I - Simple country adoption and faster Go to Market

Simplify SAP’s country code

Avoid duplication and redundancy

Faster time to market for SAP’s solutions

Faster onboarding of acquired solutions

Country roadmaps for SAP’s cloud offerings

II - Simplify and Scale customer’s landscape

Possibility of localization across customer’s landscape, and not just SAP’s own

Partner collaboration opportunities for functional and geographic completeness

Monetization of Localization Hub services

III - Govt interface to the business network

Single view of compliance across the business network

Interface to Government interfaces

APIs provide the opportunity to scale consumption globally & beyond traditional enterprise

Big Data opportunities and value added services in compliance

Competitive landscapes Partner solutions

SAP Localization Hub - Tax

Tax Service enables you to easily determine and compute the applicable taxes for your transactions ensuring tax

compliance. Currently, taxes can be determined and computed for over 75 countries in the world.

Capabilities

Pre-delivered tax determination and computation content Tax related legal changes seamlessly pushed to the service Ability for customers to fine tune and configure the tax computation VAT calculation for 75+ countries Withholding tax determination and computation Support for Deferred tax, deductibility and other financial relevant

indicators Support for tax exemptions with legal reasons and certificates Multi-currency and time bound tax rate support

eDocuments as a Service(eDaas)

Capabilities

Generic interface common to all customers

Country format generation and Signature

Validation performed to ensure compliance

Communication to tax authorities

Business process monitoring

Connection to partner solutions

Customers need to comply to local regulations mandating the use of electronic documents to be sent to business

partners/legal authorities . eDaas offers a framework to manage such government interfacing centrally on the cloud platform

Solution Description

Framework to manage e-invoicing regulations

built on Hana Cloud Platform(HCP) and Hana

Cloud Integration(HCI)

HCP App to be the entry point for consumers

and partners

Country content and integration to government

managed using HCI

The entire application is hosted by SAP and

made available for consumption in HCP

Outbound Invoice

SupplierBuyer

Regul

ations

Regul

ations

Government

Topics for Discussion

SAP’s current strategy and roadmap

Globalization Services

Challenges and accelerating Localization

Opportunities and models for Collaboration

Analyze legal requirements

Influence locallegislation

Co-Innovation via Customer connection & Customer Engagement Initiative

Events (e.g. Localization Summit) & Webinars

Localization SIG in User Groups

Taking Cooperation with Customers to the next level

Advisory Services

Global Account Support

Local Product Managers on

several countries constantly

monitoring legal changes to assure

our software compliance

Local Product Managers, together

with local user groups keep regular

meeting with Local Legislators to

influence and collect early warn

news example: AFIP, DIAN

e-DaaS is one of the topics that we

co-innovate with some of our

customers

DSAG - Europe

Localization Summit Brazil -

November 10th 2015

HCM Virtual Forum for Mexico and

Argentina

SAP JAM Experience for

information exchange between

customers, local product

management and development

Taking Cooperation with Customers to the next level

On Demand Expert Sessions and

Workshops on globalization /

Localization topics https://service.sap.com/Globalization

Single Point of Contact (SPoC)

for localization topics for Customers

having global footprint.

Maintenance and Message Support

Customer

Active Global Support

Globalization Services

• Legal Change Incident

• Analyzes Customer Incidents

• Provide solutions and close

messages

• Redirect messages to next level

support

• Solve “Bugs” and Legal

Changes

• Inform cases that are

Enhancements

Legal Changes versus Enhancements

Legal Change Classification / Qualification

• To be a new legislationTo be effective in the future and not in the past

• To impact an existent and supported functionalityThat not introduce a new functionality

• Need ABAP code alterationThat has no solution by configuration nor workaround

• To be technically viableThat doesn’t introduce risk to the installed base

Classification Possible Delivery By Availability*

Legal Changes As Maintenance Legal change Note or Support Package All Version

Enhancements As innovation,following the Influence Customer Process

Enhancement Note or Support Package Recent version

New Version or Enhancement Package Future Version

New Product By new licenses

Delivery Mechanism

* Just on versions that are still under maintenance and to our customers that has current maintenance contract

Example of a Legal ChangeLeiaute 3.10 of NF-e When reported it was a new legislation Affected NF-e, an existent functionality Impossible to support new leiaute without

changing the code Technically viable

Exemple of na enhancement:NFC-e When reported it was a new legislation× NFC-e replace a Fiscal Invoice, which is not

current supported by SAP, so it is a new functionality

There is no workaround Technically viable

SAP Globalization ServicesInnovating the world

Thank You

Ricardo Poli – Director Globalization Services America