Monday 30 September 2013

547. SAP AG


SAP   AG

Active Global Support (AGS)

SAP AG

Industry
Founded
Weinheim, Germany, EU (1972)
Headquarters
Area served
Worldwide
Key people
Hasso Plattner (Chairman)
Jim H. Snabe (Co-CEO)
Bill McDermott (Co-CEO)
Products
Revenue
Increase16.22 billion (2012)
Employees
64,598 (2012)[1]
Website

        SAP AG is a European multinational software corporation that makes enterprise software to manage business operations and customer relations.
        Headquartered in Walldorf, Baden-Württemberg, Germany, with regional offices around the world, SAP is the leader in the market of enterprise applications in terms of software and software-related service.
        The company's best-known software products are
1.       its enterprise resource planning application systems and management (SAP ERP),
2.      its enterprise data warehouse product – SAP Business Warehouse (SAP BW),
3.      SAP BusinessObjects software, and most recently,
4.      Sybase mobile products and
5.      in-memory computing appliance SAP HANA.

SAP is one of the largest software companies in the world.

History
Foundation
Their first client was the German branch of Imperial Chemical Industries in Östringen, where they developed mainframe programs for payroll and accounting.

        Instead of storing the data on punch cards mechanically, as IBM did, they stored it locally.
        Therefore, they called their software a real-time system, since there was no need to process the punch cards overnight (for this reason their flagship product carried an R in its name until the late 1990s).
        This first version was also a standalone software, that could be offered to other interested parties.

The ERP
In 1973, their first commercial product was launched. The SAP R/1, as it was called,[7] offered a common system for multiple tasks. This permitted the use of a centralized data storage, improving the maintenance of the data. From a technical point of view, therefore, a database was necessary.[8]
In 1976, "SAP GmbH" was founded, and moved its headquarters the following year to Walldorf. SAP AG became the company's official name after the 2005 annual general meeting. AG is short for Aktiengesellschaft (public limited company).
Three years later, in 1979, SAP launched SAP R/2, expanding the capabilities of the system to other areas, such as material management and production planning.[7]
In 1981, SAP brought a re-designed product to market. However, SAP R/2 did not improve until the period between 1985 and 1990. SAP developed and released several versions of R/3 in 1992 through 1995. By the mid-1990s, SAP followed the trend from mainframe computing to client/server architectures. The development of SAP’s internet strategy with mySAP.com redesigned the concept of business processes (integration via Internet).[5] SAP was awarded Industry Week’s Best Managed Companies in 1999.[9]

Corporate Restructuring
In August 1988, SAP GmbH transferred into SAP AG (a corporation by German law), and public trading started 4 November. Shares were listed on the Frankfurt and Stuttgart stock exchanges.[5]
In 1995, SAP was included in the German stock index DAX. On 22 September 2003, SAP was included in the Dow Jones STOXX 50.[10]
In November 2010, SAP lost a $1.3 billion intellectual property lawsuit (related to the actions of the SAP subsidiary TomorrowNow) to Oracle Corporation – cited as the largest software piracy judgment in history.[11] SAP filed post-trial motions to lower the damage awarded to Oracle and stated it may also file an appeal.[12] On 9 September 2011, the verdict was overturned by Judge Phyllis J. Hamilton, who called the penalty "grossly excessive."[13]

Acquisitions
In 2001 SAP acquired Israeli company TopTier Software (founded in 1997) for $400 million.[14] The founder of TopTier Software Shai Agassi joined SAP and eventually was given the responsibility for the company's overall technology strategy and execution.[15]
In 2008, SAP acquired Business Objects, a business intelligence company, and added its products to its portfolio. In 2010, SAP acquired Sybase in a major acquisition move. Sybase being the largest business software and service provider specializing in information management and mobile data use.
In December 2011, SAP AG agreed to buy SuccessFactors Inc. for $3.4 billion in cash or 52 percent more than the share closing price on 2 December 2011.[16]
In May 2012, SAP AG announced acquisition of the Sunnyvale, California-based supply chain network operator Ariba Inc. for an estimated $4.3 billion. SAP said it will offer $45 a share.[17]
In June 2013, SAP AG announced the proposed acquisition of Hybris (company) [18]

Business and markets
SAP AG Headquarters, Walldorf.

SAP is the world's largest business software company and the third biggest independent software provider by revenue (as of 2007).[19] It operates in four geographic regions: EMEA (Europe, Middle East, Africa), America (United States and Canada), LAC (Latin America and Caribbean), and APJ (Asia Pacific and Japan), which represents Japan, Korea, Australia and New Zealand, India, Greater China, and Southeast Asian countries. In addition, SAP operates a network of 115 subsidiaries, and has R&D (Research & Development) facilities around the globe in Germany, India, US, Canada, France, Brazil, Turkey, China, Hungary, Israel, Ireland and Bulgaria.
SAP focuses on six industry sectors: process industries, discrete industries, consumer industries, service industries, financial services, and public services.[20] It offers integrated product sets for large enterprises[21] and midsize companies and small businesses.[22]

Enterprise Service-Oriented Architecture
Service-oriented architecture was incorporated into the ERP (Enterprise Resource Planning) system.

E-SOA Authentication
SAP E-SOA, client certificate-based authentication is the only authentication method (besides username/password) and the only Single Sign-On method to be supported across all SAP technologies. Kerberos and logon tickets, for example, are not compatible with SAP service-oriented architecture.[23]


Products
SAP's products focus on Enterprise Resource Planning (ERP). The company's main product is SAP ERP. The current version is SAP ERP 6.0 and is part of the SAP Business Suite. Its previous name was R/3. The "R" of SAP R/3 stood for realtime. The number 3 related to the 3-tier architecture: database, application server and client (SAPgui). R/2, which ran on a Mainframe architecture, was the predecessor of R/3. Before R/2 came System RF, later dubbed R/1.

SAP ERP is one of five enterprise applications in SAP's Business Suite.

The other four applications are:
1.       Customer Relationship Management (CRM) – helps companies acquire and retain customers, gain marketing and customer insight

2.      Product Lifecycle Management (PLM) – helps manufacturers with product-related information

3.      Supply Chain Management (SCM) – helps companies with the process of resourcing its manufacturing and service processes

4.      Supplier Relationship Management (SRM) – enables companies to procure from suppliers

5.      Other major product offerings include:

a.      the NetWeaver platform,
b.      Governance, Risk and Compliance (GRC) software,
c.       Duet (joint offering with Microsoft),
d.      Performance Management software and RFID.
e.      SAP offers service-oriented architecture capabilities (calling it Enterprise SOA) in the form of web services that are wrapped around its applications.
        While its original products were typically used by Fortune 500 companies, SAP now actively targets small and medium sized enterprises (SME) with its SAP Business One and SAP Business All-in-One.

        On 19 September 2007 SAP announced a new product named
SAP Business ByDesign.
        SAP Business ByDesign is a software as a service (SaaS) offering, and provides a fully integrated enterprise resource planning (ERP) software, On Demand.
        SAP Business ByDesign was previously known under the code name "A1S".
        In October 2007, SAP AG announced the friendly takeover of Business Objects.    

        This acquisition expanded SAP's Product Suite of Business Intelligence (BI) software and increased the customer installed base to 89,000.
        In February 2009 SAP AG, which invested in Coghead, purchased the start-up’s intellectual property.
        SAP will only be using the company’s technology as an internal resource and has no plans to offer Coghead’s products to its customers.
        In May 2010 SAP AG announced that it is buying the database software maker Sybase for US$ 5.8 billion in cash.
        The deal closed at the end of July 2010. Sybase will continue to run as a separate, independent unit but will be leveraged across the other SAP areas.
        As of July 2010 TechniData is a 100% subsidiary of SAP AG.
        In October 2010, SAP AG announced the release of SAP HANA 1.0 (High-performance Analytics Appliance), an in-memory appliance for Business Intelligence allowing real-time analytics.

        SAP Enterprise Learning (environment) is an enhancement of the previous version of the learning management system, SAP Learning Solution 600. Apart from the features in SAP Learning Solution 600, SAP Enterprise Learning (environment) contains a virtual learning room feature powered by Adobe Connect.[29] SAP officials say there are over 100,600 SAP installations serving more than 41,200 companies in more than 25 industries in more than 120 countries.[30]
SAP Press has published a book on SAP Enterprise Learning.[31]
SAP Human Resources Management System is one of the largest modules in the SAP R/3 system which consists of many sub modules that assist with tasks of human resource management.

Partnerships
1.       SAP partners include Global Services Partners with cross-industry multinational consulting capabilities,
2.      Global Software Partners providing integrated products that complement SAP Business Suite solutions, and
3.      Global Technology Partners providing user companies with a wide range of products to support SAP technology, including
a.      vendors of hardware,
b.      database,
c.       storage systems,
d.      networks, and
e.      mobile computing technology.

SAP PartnerEdge
        SAP products for small businesses and midsize companies are delivered through its global partner network.

Communities
SAP Community Network (SCN) is a community of
1.       SAP customers,
2.      partners,
3.      employees, and
4.      influencers –

typically in roles such as:
1.       developers,
2.      consultants,
3.      integrators, and
4.      business analysts –

who gain and share knowledge about
1.       ABAP,
2.      Java,
3.      .NET,
4.      SOA, and
5.      other technologies,
6.      plus analytics and dashboards,

business process best practices,
1.       cloud,
2.      mobile,
3.      big data, and
4.      a range of other topics via expert blogs,
5.      discussion forums,
6.      exclusive downloads and code samples,
7.      training materials, and
8.     a technical library.[39]

Organization
        Functional units of SAP are split across different organizational units for R&D needs, field activities and customer support.
        SAP Labs are mainly responsible for product development
whereas the field organizations spread across each country are responsible for field activities such Sales, Marketing, Consulting etc.
        Head office located in SAP AG is responsible for overall management as well as core Engineering activities related to Product Development.
        SAP customer support, also called Active Global Support (AGS) is a global organization to provide support to SAP customers worldwide.

SAP Labs locations
SAP Labs Latin America
Werner Brandt, Stefan Wagner, Luis César Verdi and Gerhard Oswald celebrating the expansion of SAP Labs Latin America

SAP Labs Israel

SAP Labs is the research and development organization of the parent company.

SAP has its development organization spread across the globe. As of Jan 2011, but not all, labs locations host SAP Research groups.

The labs are located in
Germany, France, Ireland, Bulgaria and Hungary in Europe;
Palo Alto, USA;
Bangalore and Gurgaon, India;
São Leopoldo, Brazil;
Ra'anana and Karmiel, Israel;
Montreal and Vancouver, Canada and Shanghai, China.

SAP Labs India is the largest development unit in terms of number of employees outside the SAP headquarters located in Walldorf, Germany.

Each SAP Lab has prominent area of expertise and focus.

SAP Labs in Sophia Antipolis, France for example specializes in development of Java based SAP software products.
Whereas, SAP Labs in Palo Alto, California is famous for its focus on innovation and research.

SAP opened in June 2009 its new SAP Labs campus in Brazil, representing the first SAP Labs Center in Latin America and the eighth worldwide.

The facility is located in São Leopoldo, in the state of Rio Grande do Sul and employs 520 people. Of particular note are the building’s structure and interior, which are composed entirely of environmentally friendly materials.

SAP Labs Latin America has just received Leadership in Energy and Environmental Design (LEED) Gold certification for the building.

User groups
User Groups are independent, not-for-profit organizations of SAP customer companies and partners within the SAP Ecosystem that provide education to their members, influence SAP product releases and direction, exchange best practices, and provide insight into the market needs.


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