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Open Source @ SAP
Deriving business value from co-innovation
Mark Yolton
Senior Vice President
SAP Community Network
29 Ja...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 2
The world is becoming
more customer and
user centric ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 3
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 4
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 5
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 6© SAP 2008 / Page 6
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 7© SAP 2008 / Page 7
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 8
Open Innovation at LEGO
http://factory.lego.com/
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 9
Open Innovation at DELL
http://www.ideastorm.com/
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 10
Open Innovation at PEUGEOT
http://www.peugeot.com/fr/design/concours-...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 11
... and SAP teams up
with customers, too ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 12
Customer-Focused Ecosystem
Always connected, always on
© SAP 2008 / P...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 13
Communities at SAP
Two types
Large, open, focused on the individual
P...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 14
The majority of the SAP Business Suite
enterprise services were defin...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 15
SAP tapping into the „Wisdom of the Crowds“
via Innocentive
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 16
On the SAP EcoHub customers can search for,
comment on and rate SAP s...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 17
A growing number of SAP-related community
projects, e.g. ESME
http://...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 18
SAP Mentors
Role models for the community, providing passion and ener...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 19
From Co-Innovation to
Co-Development ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 20
Open Source is
becoming increasingly
important ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 21
October 28, 2008
“Microsoft opens new
open source technology
center”
...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 22
October 29, 2008
“EC to publish open
source procurement
guidelines”
h...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 23
November 3, 2008
“Firefox breaks 20%
market share mark in
October”
ht...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 24
November 17, 2008
“Gartner: 85 percent of
companies using open
source...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 25
So, why is Open
Source successful?
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 26
No License Costs
Vendor Independence
Easy to Evaluate
Developer Produ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 27
... but the border
between open source
and closed source is
blurring ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 28
Two completely different worlds in the past
closed
source
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 29
December 1, 2008
“The open-source business model
that relies solely o...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 30
November 17, 2008
“The idea of simply selling
support fell by the way...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 31
December 2, 2008
“We're definitely seeing convergence in
the market: ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 32
December 11, 2008
“Duffner said he expects to see
more mixed source
e...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 33
October 1, 2007
“So for us, the business goal is to
optimize this hyb...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 34
August 19, 2008
“Maybe “commercial open
source” isn’t an oxymoron
aft...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 35
October 13, 2008
“The line between proprietary
software and open sour...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 36
December 24, 2008
“Typically we now see an "open
core" freely availab...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 37
The “pure plays” seem to have lost in
importance today
closed
source
...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 38
SAP has an active role
in Open Source...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 39
10 Year Anniversary
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 40
... SAP started
supporting Linux as
early as 1999?
Did you know …
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 41
... most of the key Linux players
have a presence in the SAP
LinuxLab...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 42
... SAP has support for
OpenOffice.org and the
OpenDocument Format (O...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 43
... SAP web applications can be
accessed using Mozilla Firefox?
Did y...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 44
... SAP offers a client that runs on
Linux?
Did you know …
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 45
... SAP has been shipping the
source code together with the
business ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 46
… SAP has invested in
these open source
companies?
Did you know …
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 47
... SAP was a founding member of
the Eclipse Foundation and has a
lea...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 48
So, why does SAP do
Open Source?
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 49
A few specific examples of
how customers, partners and SAP benefit
Cu...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 50
Customers want choice and protection of
investments
Database
Operatin...
Success Stories available at: www.novell.com/sap
Novell and SAP share satisfied customers
• Novell is at the heart of SAP applications:
- 1,000+ joint customers
- 5,000+ Installations
• Novell is the only OS prov...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 53
Eclipse has become a broadly used “standard”
for development and mana...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 54
How Siemens benefits from SAP’s Eclipse
strategy
“NetWeaver's support...
More customers can choose SAP and its
partners’ solutions due SAP’s open platform
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 56
So, how does SAP do
Open Source?
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 57
SAP supporting open source
Criteria
Customer demand
Market share
Long...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 58
SAP integrating / embedding / using
open source
Criteria
Problem fit
...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 59
SAP contributing to open source
Criteria
Open source technology used,...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 60
And what does this all
mean?
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 61
What customers care about
What else matters to
organizations
Problem ...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 62
... and how SAP addresses these needs
Comprehensive portfolio coverin...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 63
Summary
The border between open source and closed
source is blurring
...
© SAP 2008 / Open Source @ SAP / M. Yolton / Page 64
Mark Yolton
Senior Vice President
SAP Community Network
http://bpx.sa...
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Osmb Keynote Jan2009 Yolton Final

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Closing keynote at the "Open Source Meets Business" conference in Nuremberg, Germany in January 2009.

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Transcript of "Osmb Keynote Jan2009 Yolton Final"

  1. 1. Open Source @ SAP Deriving business value from co-innovation Mark Yolton Senior Vice President SAP Community Network 29 January 2009
  2. 2. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 2 The world is becoming more customer and user centric ...
  3. 3. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 3
  4. 4. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 4
  5. 5. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 5
  6. 6. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 6© SAP 2008 / Page 6
  7. 7. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 7© SAP 2008 / Page 7
  8. 8. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 8 Open Innovation at LEGO http://factory.lego.com/
  9. 9. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 9 Open Innovation at DELL http://www.ideastorm.com/
  10. 10. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 10 Open Innovation at PEUGEOT http://www.peugeot.com/fr/design/concours-de-design.aspx/
  11. 11. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 11 ... and SAP teams up with customers, too ...
  12. 12. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 12 Customer-Focused Ecosystem Always connected, always on © SAP 2008 / Page 12 Trusted and Relevant Partner Solutions and Services Communities of Innovation Industry Value Networks Business Process Expert Community Enterprise Services Community SAP Developer Network Channel Partners Software Solution Partners Technology Partners Service Partners Customers Industry Standards User Groups Customers
  13. 13. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 13 Communities at SAP Two types Large, open, focused on the individual Private, orchestrated, focused on companies Web 2.0 technology Blogs Wikis Forums Ratings Successful by many measures More than 1.5 million members 25,000 new members per month >700,000 unique visitors monthly 20 million pages consumed per month >6,000 posts per day
  14. 14. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 14 The majority of the SAP Business Suite enterprise services were defined and/or reviewed by the Enterprise Services Community, e.g.:
  15. 15. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 15 SAP tapping into the „Wisdom of the Crowds“ via Innocentive
  16. 16. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 16 On the SAP EcoHub customers can search for, comment on and rate SAP solutions
  17. 17. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 17 A growing number of SAP-related community projects, e.g. ESME http://blog.esme.us/
  18. 18. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 18 SAP Mentors Role models for the community, providing passion and energy Mentors take on a leadership role Create a sense of belonging Candid feedback and direction to SAP Trusted semi-private communication channel Special status to exceptional and high-value members of our SDN, BPX, and Business Objects communities Picture: Dennis Howlett
  19. 19. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 19 From Co-Innovation to Co-Development ...
  20. 20. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 20 Open Source is becoming increasingly important ...
  21. 21. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 21 October 28, 2008 “Microsoft opens new open source technology center” http://www.linuxnewstoday.org/linux-news-oct-2008-archives/1108-oct-28-2008-linux-news.shtml
  22. 22. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 22 October 29, 2008 “EC to publish open source procurement guidelines” http://www.heise-online.co.uk/open/EC-to-publish-open-source-procurement-guidelines--/news/111826
  23. 23. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 23 November 3, 2008 “Firefox breaks 20% market share mark in October” http://mozillalinks.org/wp/2008/11/firefox-breaks-20-market-share-mark-in-october/
  24. 24. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 24 November 17, 2008 “Gartner: 85 percent of companies using open source” http://news.zdnet.com/2424-9595_22-249842.html
  25. 25. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 25 So, why is Open Source successful?
  26. 26. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 26 No License Costs Vendor Independence Easy to Evaluate Developer Productivity Shared Development Costs Access to Latest Technologies / Developments Community Experience Interoperability No Hidden Backdoors Customization Support for Multiple Operating Systems Has Become A De-facto Standard Influence on Features Low TCO
  27. 27. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 27 ... but the border between open source and closed source is blurring ...
  28. 28. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 28 Two completely different worlds in the past closed source
  29. 29. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 29 December 1, 2008 “The open-source business model that relies solely on support and service revenue streams is failing to meet the expectations of investors” [Stuart Cohen, CEO of Collaborative Software Initiative, former CEO of the Open Source Development Labs] http://www.businessweek.com/technology/content/nov2008/tc20081130_276152.htm
  30. 30. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 30 November 17, 2008 “The idea of simply selling support fell by the wayside for most companies at least one year ago.” [Dave Rosenberg, Co-founder of MuleSource] http://news.cnet.com/8301-13846_3-10098692-62.html
  31. 31. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 31 December 2, 2008 “We're definitely seeing convergence in the market: proprietary vendors embracing open-source complements, and open- source vendors embracing proprietary complements.” [Matt Asay, General Manager of the Americas and Vice President of Business Development at Alfresco] http://news.cnet.com/8301-13505_3-10110902-16.html
  32. 32. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 32 December 11, 2008 “Duffner said he expects to see more mixed source environments.” [Robert Duffner is the Director of Platform Strategy at Microsoft] http://searchwinit.techtarget.com/news/article/0,289142,sid1_gci1342176,00.html#
  33. 33. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 33 October 1, 2007 “So for us, the business goal is to optimize this hybrid mix of proprietary and open-source software to give our customers what they need.” [Bob Sutor, Vice President of Standards and Open Source for the IBM Corporation] http://m.linuxjournal.com/article/9797
  34. 34. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 34 August 19, 2008 “Maybe “commercial open source” isn’t an oxymoron after all.” http://www.itbusinessedge.com/blogs/osb/?p=436
  35. 35. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 35 October 13, 2008 “The line between proprietary software and open source software is becoming increasingly blurred ...” http://blogs.the451group.com/opensource/2008/10/13/open-source-is-not-a-business-model/
  36. 36. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 36 December 24, 2008 “Typically we now see an "open core" freely available with "exclusive" or proprietary features only available when you pay.” [Dave Rosenberg, Co-founder of MuleSource] http://news.cnet.com/8301-1001_3-10128801-92.html
  37. 37. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 37 The “pure plays” seem to have lost in importance today closed source closed source closed source
  38. 38. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 38 SAP has an active role in Open Source...
  39. 39. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 39 10 Year Anniversary
  40. 40. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 40 ... SAP started supporting Linux as early as 1999? Did you know …
  41. 41. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 41 ... most of the key Linux players have a presence in the SAP LinuxLab? Did you know …
  42. 42. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 42 ... SAP has support for OpenOffice.org and the OpenDocument Format (ODF)? Did you know …
  43. 43. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 43 ... SAP web applications can be accessed using Mozilla Firefox? Did you know …
  44. 44. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 44 ... SAP offers a client that runs on Linux? Did you know …
  45. 45. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 45 ... SAP has been shipping the source code together with the business applications since the beginning? Did you know ...
  46. 46. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 46 … SAP has invested in these open source companies? Did you know …
  47. 47. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 47 ... SAP was a founding member of the Eclipse Foundation and has a leading role in a number of Eclipse projects? Did you know …
  48. 48. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 48 So, why does SAP do Open Source?
  49. 49. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 49 A few specific examples of how customers, partners and SAP benefit Customers SAP’s Linux support enables customers to run SAP solutions on reliable and cost-effective platform which reduces TCO SAP’s support for Firefox and OpenOffice.org gives customers choice, platform and vendor independence on the desktop Partners Partners can reuse their Eclipse skills when developing with the SAP NetWeaver Developer Studio which reduces development costs and simplifies the reallocation of developers SAP’s support for open source opens the SAP ecosystem to partners focusing on open source (e.g. Novell with respect to Linux) SAP SAP Hosting like any customer runs SAP software on Linux and commodity hardware in order to reduce cost of operation SAP’s usage of Eclipse technology leverages a de-facto industry standard while allowing a shared development approach at the same time
  50. 50. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 50 Customers want choice and protection of investments Database Operating System Third-Party Application Composite Application Business Process Platform (BPP) Frontend Domain MaxDBDB2
  51. 51. Success Stories available at: www.novell.com/sap Novell and SAP share satisfied customers
  52. 52. • Novell is at the heart of SAP applications: - 1,000+ joint customers - 5,000+ Installations • Novell is the only OS providing a fast installation wizard for SAP Business All- in-One solution • Doubled customer base YOY with the SUSE® Linux Enterprise Server Priority Support for SAP offering • SUSE Linux Enterprise is the only OS that runs SAP BI Accelerator • SUSE Linux Enterprise is the Reference Platform for SAP development • SAP Hosting service runs on SUSE Linux Enterprise Server Novell® and SAP – The Power of Partnership
  53. 53. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 53 Eclipse has become a broadly used “standard” for development and management tools
  54. 54. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 54 How Siemens benefits from SAP’s Eclipse strategy “NetWeaver's support for common standards and Open Source is very important to Siemens because it helps to protect investments, reduce costs, and increase flexibility for both ourselves and our customers. For example, due to SAP's usage of technologies like Eclipse as well as SAP’s support for SOA standards, users of the Siemens Energy Management Suite can reuse their existing Java EE, SOA and Eclipse skills.” Jens Neuhaus Solution Architect, Siemens AG
  55. 55. More customers can choose SAP and its partners’ solutions due SAP’s open platform
  56. 56. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 56 So, how does SAP do Open Source?
  57. 57. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 57 SAP supporting open source Criteria Customer demand Market share Long-term viability of the open source technology / project Availability of reliable support (internally or external support partner) Quality of the open source technology Customer Benefits Choice Vendor independence Low TCO Benefits for SAP Larger addressable market Vendor independence Low TCO
  58. 58. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 58 SAP integrating / embedding / using open source Criteria Problem fit Market share Long-term viability of the open source technology / project Availability of reliable support (internally or external support partner) Quality of the open source technology Permissive license Quality of the code (both from a technical and legal point of view) Customer Benefits Reuse of skills and technology Developer productivity Interoperability Benefits for SAP Standards support based on open source standards / reference implementations (OEM) vendor independence
  59. 59. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 59 SAP contributing to open source Criteria Open source technology used, included and/or supported by SAP Permissive license Open governance / participation model Quality of the code (both from a technical and legal point of view) Customer Benefits Comprehensive end-to-end support Long-term viability of the open source technology Investment protection Benefits for SAP Shared development costs Influence on feature roadmap Investment protection
  60. 60. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 60 And what does this all mean?
  61. 61. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 61 What customers care about What else matters to organizations Problem fit of solution Integrated easy-to-use solutions Compliance, security and reliability Availability of support and services Product liability & indemnification Long-term viability of a selected solution Predictable & reliable release cycle Why customers want Open Source Influence on product roadmap Ability to customize Ability to quickly react to changes Interoperability with open and closed source solutions Reduced vendor dependence Low TCO Developer productivity
  62. 62. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 62 ... and how SAP addresses these needs Comprehensive portfolio covering all key business areas Solutions for small, midsize and large organizations Integrated product stack Broad and increasing support for standards and open source Diligent integration of open source technologies Customizability Large, global community Co-Innovation and collaboration Long-term end-to-end support © SAP 2008 / Page 62
  63. 63. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 63 Summary The border between open source and closed source is blurring “Open source companies” sell closed source add-on components on top of their free open source technologies “Closed source companies” integrate, support and contribute to open source technologies SAP is an active supporter of and contributor to open source Linux, Eclipse, OpenOffice.org, Firefox, etc. More code contributions planned for the future SAP addresses customer needs by offering the best of both worlds Customer choice via support for open source and open standards Customer influence via collaboration and co-innovation Investment protection by using standard technology Integrated solutions, security, reliability, long-term viability and global end-to-end support
  64. 64. © SAP 2008 / Open Source @ SAP / M. Yolton / Page 64 Mark Yolton Senior Vice President SAP Community Network http://bpx.sap.com http://sdn.sap.com http://boc.sap.com http://sapteched.com T +1 650-687-4656 E mark.yolton@sap.com Thank You! Danke schön! https://www.sdn.sap.com/irj/sdn/standards-and-opensource

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