ERP in a dilemma

Apparently, SAP sees little point in further developing core processes and investing the annual maintenance fee for ERP/ECC 6.0 where existing customers expect it.

ERP is now only a "cash cow" for SAP but not a strategic product. They live on service fees, license sales and "indirect usage", but they invest in the cloud platform, blockchain, machine learning, IoT etc.

"Leonardo" is SAP's new hobby. ERP, on the other hand, is just a chore. The vast majority of SAP's existing customers see things differently: they want their maintenance fees to be used to further develop and optimize core processes!

There is a lot to do: The ERP database Hana needs to be retreaded, because either the Hana server has a hardware overhead of at least 50 percent or it goes down miserably at full transaction load.

SAP's games with sexy topics such as blockchain or machine/deep learning are of little use because SAP has no core competence here.

A compromise? SAP is looking for "future topics" that can be sold at a high price, see cloud computing, AI and IoT. Existing customers are looking for stable, efficient and secure ERP systems in the back office.

The solution: autonomous systems and autonomous ERP. The whole thing sounds a bit like RPA, Robotic Process Automation, and could result in a resurgence of BPR, Business Process Reengineering.

Where automation is required, reengineering must first ensure consistent business processes. In the fall, and especially at the upcoming DSAG Congress in Leipzig, SAP will have to face the topic of "autonomous ERP systems" in order to avoid an "ERP in dilemma"!