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SAP 2003: Your Technology and Business Roadmap

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  1. SAP 2003: Your Technology and Business Roadmap Jim Shepherd Senior Vice President AMR Research

  2. Agenda • SAP’s Business Strategy • SAP’s Product Strategy • SAP’s Technology Direction • What Should You Worry About ? • Maximizing The Value of Your SAP Investment

  3. SAP Snapshot • $6.5B in FY01 Revenues • Close to 70% from Maintenance and Services • FY02 Goal: 5-10% Revenue Growth • 18,000 Customers – 4,000 New Last Year • 50,000 Installations – 120 Countries • 21 Industry Solutions

  4. SAP’s Business Strategy • Account Control- “The Safe Choice” • Customer Lifecycle Management - “SAP Delivers Value” • Services, Maintenance, & Add-ons • New Markets and Channels

  5. System Integration* System Integration SAP Business Strategy:Become Your “Trusted Partner” Strategic Consulting Discover & Evaluate -> Implement -> Operate Business Consulting Business Software System Integration System Support Out-sourcing Application Layer Infrastructure Consulting Infrastr. Software Infrastructure Support Middleware Layer Hardware OS, DB, ... Technical Support IT Layer Source: SAP AG

  6. SAP Business Strategy:“Extended Range of Services” • New Maintenance Offerings • Architecture Planning • Custom Development • Consulting • System Integration • Operations Planning & Optimization • Hosting

  7. SAP Business Strategy:New Markets and Channels SAP Direct Sales Vertical Resellers Business One Centers Sales/Service Partners Source: SAP AG

  8. Product Strategy: A Box of SAP to Go Source: SAP AG

  9. Current Application Strategy • The Ever Expanding mySAP.com • Scalability : Business One and All-in-One • The xApps (Cross-Applications) Framework • SAP Portals • R/3 Enterprise

  10. COLLABORATION Comprehensive e-Business Solutions Internet Portals Advanced Supply Chain Planning Marketplaces Customer Relationship Mgmt Extranet Supply Chain Hubs Business Warehousing Collaborative Engineering B2B Procurement Strategic Enterprise Management E-Recruiting R/3 Accounting Electronic Bill Presentment & Payment R/3 Logistics Strategic Enterprise Management Intranet R/3 Fulfillment Collaborative Forecasting Knowledge Warehouse R/3 HR ... Industry-Add-ons Enterprise Group Business Partners World ENTERPRISE The Ever Expanding mySap.com Source: SAP AG

  11. SAP Product Strategy: Scalability Headquarters mySAP.com Distributor Exchange Infrastructure SAP All-in-One Factory SAP R/3 Enterprise Sales Subsidiary SAP Business One Source: SAP AG

  12. The xApps Framework • Based Inside AG, Way to Bring Innovation Outside of Regular Product Cycles • New “Cross Apps” Framework Layered on Top of R/3 and mySAP.com • Goal: Supports SAP and 3rd Party Apps • Needed: Serve as “Fast” Bridge Between SAP Apps • 1st xApps Due 4Q02 (Resource & Program Management) • SAP Has Identified 200+ Business Processes

  13. Collab.Project Mgmt. Planning &Budgeting SCM Cockpit Portal People Click-streamAnalysis AdaptiveSupplyChainMgmt. BusinessIntelligence Information Exchanges Processes SAP Web Application Server SAP 3rd Party App 3rd Party App Legacy SAP WAS WebSphere .net CICS SAP Product Strategy: xApps Source: SAP AG

  14. SAP Portal Integrate People SAP Business Information Warehouse Integrate Information SAP Exchange Infrastructure Integrate Processes SAP Portals Web Application Server and DynPro Shared Services: Security, Management, Globalization Source: SAP AG

  15. SAP R/3 Enterprise Extension For SCM SAP R/3 Enterprise Extension For FIN SAP R/3 Enterprise Extension For HR SAP R/3 Enterprise Extension For Travel SAP R/3 Enterprise Extension For PLM • SAP R/3 Enterprise Core 4.7 • All Existing R/3 Functionality • Future Changes limited to: • Legal Changes • Defect Fixes • Performance Enhancements SAP Web Application Server 6.20 Replaces Basis Server Provides J2EE and ABAP Support Common Foundation for all mySAP.com Components R/3 Enterprise

  16. R/3 Enterprise Rollout • New “Ramp-up” Release Process • 70 Customers Upgrading as of September • 200 Expected by Year End • Early Reports From Customers Are Positive Internal Customer Release Restricted Shipments Unrestricted Shipments 7/02 12/02

  17. Key SAP Technology Components Source: SAP AG

  18. Exchange Infrastructure Exchange .Net IDoc XML XML File RFC Web Service SAPR/3 Oracle ERP E-Procurement LegacyERP mySAPPLM The Enterprise Supplier 2 Supplier 3 Supplier 1 • Multiple Integrations Paths: SAP RFC and IDoc, Files, and Standards (XML, SOAP) • Integration Repository and Directory for Capturing Integration Rules During Design and Configuration

  19. SAP Web Application Server • Integrate ABAP and J2EE Worlds • Foundation for All SAP Products • Today CRM 3.1 and R/3 Enterprise • Development Tools Moved to Eclipse Framework • SAP-Centric Solution -- Today • Has Potential to Replace 3rd Party App Servers in SAP Accounts

  20. SAP Web Application Server PresentationLayer Web Dynpro Tag libraries BSP, JSP* Business Layer J2EE/ABAP Web DynPro • Multi-Language and Multi-Device Support for User Interfaces • Integrated Development Environment for Presentation Logic • Model and Develop Presentation Logic • Design and Compose User Interfaces • Runtime Services • Runtime InfrastructureSupport for Java and ABAP (JSP and BSP) • Tag Libraries • Device Independence • Internationalization

  21. What Should You Be Worrying About ? • Instance Consolidation • New mySAP.com Functionality • PLM, APO, Portals, CRM, etc. • Release Strategy & Expectations • Extended Deployment • Internally • Externally

  22. Maximizing Your Investment • Competency Center -- Business Process Improvement Not Help Desk! • Continuous Training & Education • Enterprise Performance Management (EPM) • Network Theory -- A system becomes more valuable as it touches more users • Any ERP System Needs Better Public Relations