systemanalyse und programmentwicklung stephanie enciso eugene krick iii albert mora david rugwe...
TRANSCRIPT
SAP Case Study
Systemanalyse und Programmentwicklung
Stephanie Enciso Eugene Krick III
Albert MoraDavid RugweJessica Sweet
1972◦ Former IBM engineers◦ Weinheim and Mannheim in Germany◦ Vision: to develop standard application software
for real-time data processing 1973
◦ First financial accounting system completed (R/1) 1979
◦ R/2 was developed to link external databases and communication systems
History
1988◦ IPO in Germany
1998◦ IPO in USA on NYSE
1992◦ R/3 released which was a client-server ERP
1999◦ mySAP.com allows employees, customers, suppliers,
and other business partners to work together from anywhere
2004◦ Netweaver’s first release
History cont.
1993◦ SAP begins work with Microsoft◦ 1996 - internet strategy with Microsoft introduced
1994-1996◦ Dell’s unsuccessful SAP implementation◦ Magic word used by Dell CIO about problem?
1997◦ Dell begins piecing together an ERP system
1996-2003◦ Nestle… Success?
6 years and $210 million
History Cont.
• 29 prices for vanilla from the same vendor
Monolithic
1999◦ SAP’s ERP implementation failure rate over 50%◦ SAP along with others failed to immediately see
the internet as an important tool 2001
◦ Acquired Top Tier Software◦ Dotcom bubble crash
Small companies fail Stability of SAP Invested in mySAP
ERP Market Downfall
CIOS WANTED BETTER ROI
COMPANIES REALIZED PIECED TOGETHER SYSTEMS HAD INTEGRATION ISSUES
SOA AND WEB SERVICES
SARBANES-OXLEY COMPLIANCE DROVE STORAGE AND DATABASE SOFTWARE PURCHASES
After Dotcom Crash
ERP FAILURE
NEW TECHNOLOGY:◦ Service Oriented Architecture
“Well-defined business functions as a service” Allows systems to be connected through web services
◦ Web services Standardized way of applications using
the XML, SOAP, WSDL and UDDI over an Internet protocol backbone.
SOA and Web Services
SAP BEGAN TO BROADEN ITS RANGE AND LOOK INTO NEW PRODUCTS◦ Customer Relationship Management (CRM)
Maximizing customer satisfaction, and strategic decision making
◦ Product Lifecycle Management (PLM) Supports product related processes
◦ Supplier Relationship Management(SRM) Anticipate and reduce procurement costs
◦ Supply Chain Management (SCM) Improving the way your company finds the raw components it
needs to make a product or service and deliver it to customers
Not just ERPs
MYSAP ALL-IN-ONE◦ Mid-sized businesses◦ Includes a package of applications :
ERP, CRM, SRM, BI, ect.
◦ Purpose: Drive business growth, Build and maintain operational
excellence, Optimize financial performance, and Connect partners within the headquarters.
SAP BUSINESS ONE◦ Small-sized businesses◦ Product contains applications such as:
Integrated financial management, CRM, BI, and Warehouse and Production management
SAP Products
PAYMENT METHOD◦ Allowed small and mid-sized businesses the
opportunity to use “world-class applications” HOSTED SERVICES
◦ customer outsourced their hardware but purchased licenses from software vendors
ON-DEMAND SERVICES◦ Outsource both hardware and software to a third
party, paying for the hardware and service on a need basis EX: used by mySAP All-in-One, Siebel, and SalesForce.com
inc.
Pay-As-You-Go Services
NetWeaver
NetWeaver COMPONENTS
◦ Application Server◦ Business Warehouse ◦ Master Data Management◦ Process Orchestration◦ Portal◦ SAP Auto-ID Infrastructure◦ Business Intelligence ◦ Exchange Infrastructure (XI)◦ Information Lifecycle Management
TOOLS◦ Adaptive Computing◦ Controller ◦ Composition Environment ◦ Developer Studio ◦ Visual Composer ◦ SAP Solution Manager
APPLICATIONS
◦ Enterprise Search ◦ Single Sign-On
In addition to SAP, which other well-established enterprise applications and
software makers were focusing on the same market segments?
Competitors
SAP’S ARCHRIVAL WORLD’S LARGEST DATABASE MAKER
STRATEGIC ACQUISITIONS INCLUDED:◦ Retek◦ PeopleSoft◦ JD Edwards◦ Siebel
PROJECT FUSION
Oracle
WORLD’S LARGEST SOFTWARE MAKER
FOCUS ON SMALL- AND MID-SIZED ENTERPRISES
MICROSOFT BUSINESS SOLUTIONS
ACQUISITIONS :◦ Great Plains Software◦ Navision◦ Groove Networks◦ Sybari Software◦ Frontbridge Technologies.
.NET TECHNOLOGY
Microsoft
DRIVERS OF “ON DEMAND BUSINESS”
IBM SOFTWARE GROUP
WEBSPHERE
ACQUISITIONS TO STRENGTHEN WEBSPHERE:◦ Gluecode Software◦ PureEdge Solutions◦ Ascential Software
IBM
Middleware Market 2010Table 1Worldwide Vendor Revenue Estimates for Total AIM Software, 2010(Millions of U.S. Dollars)
Vendor 2010 Shares 2010 (%) 2009 Shares 2009 (%)IBM 5,759.0 32.6 5,034.6 30.6Oracle (incl. BEA) 2,995.7 17.0 2,662.9 16.2Microsoft 875.4 5.0 768.7 4.7Software AG 601.0 3.4 472.0 2.9Tibco 502.0 2.8 417.9 2.5Others 6,913.7 39.2 7,087.00 43.1Total 17,646.85 100.0 16,443.08 100.0
Source: Gartner (April 2011)
Strategy and Focus SINGLE SET OF CROSS-MARKET
BUSINESS APPLICATIONS SUPPORTED BY THE NETWEAVER PLATFORM
◦ Only one code base to develop and manage◦ Every enhancement is available to all market
sectors
ADDRESS DEMANDS OF A CONSOLIDATED PLATFORM
◦ Produce and improve products that make them more directly applicable to key verticals
◦ Collaborate with an ecosystem of solution developers, partners, and customers in order to provide a “complete solution” to customers
SAP’s Ecosystem “Social Network” CONCEPT
◦ Facilitates customer interaction in a "safe" environment to connect, learn, share and in general expand and grow peer and professional networks
BENEFITS◦ Co-innovation◦ Value-management◦ Collaboration
LARGEST ECOSYSTEM IN THE INDUSTRY◦ 183,000 customers◦ More than 11,000 partners◦ Over 1,200 SAP solutions and over 600 partner solutions◦ 199 subsidiaries◦ In 2011, more than 1.3 million corporate and individual
members
The “Complete Solution”
Battle Between SAP and Oracle Acquisitions
TOMORROWNOW INC. (TN)◦ Third party software maintenance firm that supported
products from PeopleSoft ◦ Counter-move to Oracle’s recent acquisition of
PeopleSoft ◦ Would attempt to get customers to switch from
PeopleSoft to SAP applications “SAFE HARBOR MIGRATION PROGRAM”
VS. “OFF SAP”◦ Partly successful because of the confusion behind
numerous Oracle acquisitions◦ More than 200 companies migrated◦ TN/SAP guilty of copyright infringement by stealing
materials and support off of Oracle’s customer website
Business Intelligence (BI)Adopting New Technology BUSINESS OBJECTS INC.
◦ World’s leading BI software company ◦ Combined customer base and market share
placed SAP as the leader of BI since 2007
LEVERAGES IN-MEMORY TECHNOLOGY (SAP HANA) ◦ Processes all transactions in memory instead of
I/O to storage disks◦ Processes millions of lines of data in microseconds◦ Reduces hardware and maintenance costs
ERP Vendors (2009-2010)Market Share
◦ SAP 24% - Oracle 18% - Microsoft 11% - Other 47% (2010)
◦ 7% decrease from 2009◦ All three main vendors declined in ERP sector
SAP Oracle Microsoft Other0%5%
10%15%20%25%30%35%40%45%50%
20092010
Market Share % (2010)ERP – BI sectors
◦ SAP leader in ERP and BI in 2010◦ SAP 23% - Oracle 16% - IBM 12% - Microsoft 9% (2010)◦ Slight increase from 2009
SAP Oracle Microsoft IBM0%
5%
10%
15%
20%
25%
30%
ERPBI
SAP Revenue and Net Income 2006 – 2011 (in Billions)
◦ Very good year for SAP in 2011◦ Revenue up $6.7 Billion and net income up
$2.6 Billion since 2006
2006 2007 2008 2009 2010 20110
5
10
15
20
25
12.4
1516.1 15.3
16.7
19.06
2.47 2.8 2.6 2.56 2.43
5.093
Revenue Net Income
SAP ORCL MSFT IBM
-20.00%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
120.00%
RevenueNet IncomeMarket Cap
SAP – Oracle – Microsoft – IBM Growth Rate % (2010 to 2011)
◦ Very significant increase in growth rate percentage (net income) in 2011 compared to other top tier vendors
◦ Increase revenue by 14%, net income by 110%, market capitalization by 42%
SAP and BusinessByDesign MAIN SOFTWARE AS A SERVICE (SAAS)
SUITE◦ Supports
Business intelligence Analytics In-memory-technology
KEY FEATURES ALLOW THE FOLLOWING:◦ In-memory analytics and bi-directional Microsoft
Excel integration◦ Mobile device support◦ A user interface that incorporates Microsoft’s
Silverlight technology on the desktop. Silverlight also makes a tighter connection to Office
◦ Single and multi-tenancy support
SAP in the world of Mobile Business
COMPETITIVE ADVANTAGE AS FIRST MOVER
BUSINESS SAYING:◦ Go mobile to make your business run faster or
smoother
SAP MOBILE MIDDLEWARE TECHNOLOGY OFFERS TWO OPTIONS ◦ Netweaver mobile 7.1 (earlier version)◦ Sybase Unwired platform
Netweaver Mobile 7.1
Used by IT Organizations to extend applications, data and process to mobile
workers not connected to company network
INCLUDES:◦ Over the air device management◦ Application design tools◦ Synchronization middleware which allows mobile
devices to interoperate as part of company business process
Sybase Business Strategy
Sybase Unwired PlatformSybase Unwired can be categorized as a mobile enterprise application platform provided by SYBASE that extends the backend systems to the front end mobile devices.
HARD DEVICES◦ Motorola MC75
Complex applications Supported by windows operating system High amount of data flowing in and out of device Used by field technicians and customer service reps Uses Netweaver mobile
LIGHT DEVICES◦ Blackberry, iPhone
Run on thin clients One to two screens and minimum amount of data flows
around Designed to use Sybase unwired Platform
Sybase Unwired Platform cont.
BUSINESS LOGIC OF THE APPLICATION◦ Business Application Programming Interface (BAPI) brings
data from the backend applications to the Netweaver middleware.
◦ Data is then flown into the mobile device by the help of the distribution logic feature of the Netweaver 7.1
Sybase Unwired Platform cont.
The End
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