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SAP Visions versus Strategy

SAP's strategy is cloud computing. Almost all IT providers are taking refuge in the cloud. Why not SAP, too? But SAP has no vision of where it’s going.
Peter M. Färbinger, E3 Magazine
6 October 2023
Content:
The-Last-Satire
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This text has been automatically translated from German to English.

Things are currently bad at SAP. Former co-CEO Jim Hagemann Snabe left SAP early and is now celebrating success as chairman of the Siemens supervisory board. His former colleague Bill McDermott bought cloud companies indiscriminately and hoped for synergetic effects without considering his customers. SAP Supervisory Board Chairman Professor Hasso Plattner tried to put a stop to their wild msimanagement, see illustration. However, he often failed because of McDermott's charm.

SAP does not need visions, it needs strategies. The current situation at SAP owes much to Professor Hasso Plattner’s doctrine. CEO Christian Klein is doing an excellent job. At the moment, he is saving SAP from going under. One insider compared the situation to a dam that is about to collapse, already filled with cracks and holes everywhere where the water is escaping. SAP CEO Christian Klein will manage; he and the company will survive because operationally, no one can blame the young boss.

For SAP's customers and partners, the successes and the promise to keep the current ERP version S/4 Hana in maintenance until 2040 are reassuring, but not helpful. Even if the current strategy is right, the SAP community also requires a vision. Cloud computing is a technology, but neither strategy nor vision.

Anyone who has been a loyal SAP customer for the past 50 years wants to be reassured that the Executive Board and Supervisory Board are also thinking about the next 50 years. At the moment, however, SAP has no idea, no vision of how things could continue after S/4 in 2040.

Currently, anyone who chooses to implement the Hana database and the S/4 ERP system into their IT infrastructure is walking into a black hole. There is no discourse, no vision about ERP life after S/4 Hana. This lack of ideas is a great danger for the SAP community and, of course, for SAP itself.

SAP CEO Christian Klein's current strategy is a good one. The SAP share price is satisfactory. The maintenance promise until 2040 is helpful. But a vision for future ERP generations is missing. There is a lack of discourse in the SAP community about possible ERP models. Remaining mute on this matter could prove to be a huge mistake, for everyone.


In 2010, SAP had a CEO dual leadership with Bill McDermott (l.) and Jim Hagemann Snabe. Even then, Professor Hasso Plattner was checking for strategy.
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Peter M. Färbinger, E3 Magazine

Peter M. Färbinger, Publisher and Editor-in-Chief E3 Magazine DE, US and ES (e3mag.com), B4Bmedia.net AG, Freilassing (DE), E-Mail: pmf@b4bmedia.net and Tel. +49(0)8654/77130-21


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Work on SAP Basis is crucial for successful S/4 conversion. This gives the so-called Competence Center strategic importance among SAP's existing customers. Regardless of the operating model of an S/4 Hana, topics such as automation, monitoring, security, application lifecycle management, and data management are the basis for the operative S/4 operation. For the second time already, E3 Magazine is hosting a summit in Salzburg for the SAP community to get comprehensive information on all aspects of S/4 Hana groundwork. With an exhibition, expert presentations, and plenty to talk about, we again expect numerous existing customers, partners, and experts in Salzburg. E3 Magazine invites you to Salzburg for learning and exchange of ideas on June 5 and 6, 2024.

Venue

Event Room, FourSide Hotel Salzburg,
At the exhibition center 2,
A-5020 Salzburg

Event date

June 5 and 6, 2024

Tickets

Early Bird Ticket - Available until 29.03.2024
EUR 440 excl. VAT
Regular ticket
EUR 590 excl. VAT

Secure your Early Bird ticket now!

Venue

Event Room, Hotel Hilton Heidelberg,
Kurfürstenanlage 1,
69115 Heidelberg

Event date

28 and 29 February 2024

Tickets

Regular ticket
EUR 590 excl. VAT
The organizer is the E3 magazine of the publishing house B4Bmedia.net AG. The presentations will be accompanied by an exhibition of selected SAP partners. The ticket price includes the attendance of all lectures of the Steampunk and BTP Summit 2024, the visit of the exhibition area, the participation in the evening event as well as the catering during the official program. The lecture program and the list of exhibitors and sponsors (SAP partners) will be published on this website in due time.