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Cloud Computing & Saa S, Sap By Design

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We are in the midst of a pronounced shift from client-server to Cloud computing. The economics of running your business on the Cloud are truly compelling, with significant cost advantages for both …

We are in the midst of a pronounced shift from client-server to Cloud computing. The economics of running your business on the Cloud are truly compelling, with significant cost advantages for both business apps as well as personal productivity apps.

Track 1: Opportunities in Cloud Computing: An evangelist approach

Track2 : 4 Steps to a Best Run Business

Track3 : SAP strengthens product portfolio with Business ByDesign


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  • THE ADVANTAGES OF SAASClearly, it is important to consider the business advantages of each potential solutionbefore deciding. Let’s take a minute to consider all the advantages of SaaS asa solution. SaaS offers certain business advantages to small and midsize businessesthat other potential solutions do not:Financial Value• Time to Value – SaaS is quickly installed and more quickly made part of thework process when compared with on-premise software. Often it is possible toself-provision a trial use, or “try before you buy,” a SaaS solution to get a feelfor how it looks, feels and operates. Typically, once licensed, a SaaS purchaseris up and running in a matter of days or weeks, rather than months, as ismore frequently the case with traditional vendor software. As a consequence,the SaaS purchaser can begin to realize the business benefits earlier. The paybackperiod is much quicker, and the ROI is significantly better than with vendorsoftware.• Affordability – SaaS does not require large up-front investment, and especiallyin a recession presents less of a financial hurdle when compared with onpremisesoftware. Small-to-midsize businesses with limited capital budgetsand limited IT support will find SaaS is far more suitable to their needs thanvendor software. Two recent studies comparing the total cost of ownership ofSaaS versus on-premise vendor software each show approximately 30% lowercosts with SaaS, whether the implantation is for 30 (Yankee Group) or for 200(McKinsey Consulting) users.New Technology• Continuous Innovation – Instead of twice yearly upgrades, SaaS solutionscan be enhanced on a regular and almost continuous basis. Major releases mayalso appear annually, consolidating all of the enhancements along the way.One of the key enabling SaaS technologies, multi-tenancy, makes possible thiscontinuous stream of enhancements. SaaS users do not have to wonderwhether a new release or upgrade will break their system or cause a significantdelay in parallel testing prior to switching over into full production. The SaaSprovider assumes this responsibility behind the scenes and without intrusiveness.Improved Operations• Customization It has become increasingly easy to adapt SaaS solutions to fitthe needs of small-to-midsize businesses. Some SaaS solutions exploitmultitenancy to enable customization by programmers or system integra-tors. Other SaaS solutions target end users with easy-to-use configuration capabilitiesthat allow non-programmers to easily modify their look-and-feel ortheir business processes. For many small-to-midsize businesses, configurationmay be a more appropriate approach, due to its simplicity and lower cost (noprogrammer required).•• Fewer Technical Resources – Possibly one of the least-anticipated SaaSbenefits is that it requires significantly fewer technical resources to managethan on-premise software, reducing the strain on IT organizations. For thesmall-to midsize business this is an enormous advantage. At the same time, byutilizing the expertise of the SaaS provider, which has state-of-the-art data centersand technology at its disposal, the small-to-midsize business can take advantageof the latest in leading-edge technologies, including Web 2.0 and collaborationcapabilities that might otherwise be beyond its reach. In this way,the small-to-midsize business can obtain access to next-generation technologywithout having to manage it.• Focus – Without the distraction of managing the IT function – hardware, software,networks and technicians – the small-to-midsize company will be freedup to focus on its core competencies, its core value-add. SaaS is a way of outsourcingthe onerous aspects of the essential IT systems the small-to-midsizecompany needs to run its business and manage the challenges of growth, regulationand competition.
  • Are you equipped?
  • Transcript

    • 1. Build Business On The Cloud, drive profits on the GroundWebinar
      Rohit Madhur - Director, SAP Business By Design
      Tarun Gulati - Business Manager, SAP Business By Design
      Rakesh Prasad - Solution Advisor, SAP Business By Design
      30th September 2009
    • 2. © SAP 2008 / Page 2
      Agenda
      Opportunities in Cloud Computing: An evangelist approach
      1.1. SaaS Market Opportunity
      1.2. Economic uncertainty
      1.3. Benefits of SaaS
      1.4. Key considerations for evaluating SaaS products
      4 Steps to a Best-Run-Business
      2.1. Key Obstacles to Growth
      2.2. Create and Track KPI’s
      2.3. The 4 Steps to a Best-Run-Business
      SAP strengthens product portfolio with Business ByDesign
      3.1. Today’s Reality
      3.2. SME Product portfolio & positioning of SAP Business By Design
      3.3. SAP Business ByDesign
    • 3. SaaS Market Opportunity
    • 4. Slowing demand
      (spending cut-back, customers postponing purchases)
      Rising costs
      (inflation, energy/commodity prices, healthcare costs…)
      Reduced credit
      (tougher lending standards, declining loan/line of credits)
      Global Economic Uncertainty
      Economic Environment
      Measurable Impact on Your Business
      Translating into…
      • Lack of access to funds
      • 5. Reduced cash flow
      • 6. Rising inflation risks
      • 7. High market volatility
      • 8. Wave of consolidations
      • 9. Government re-regulation
      • 10. Declining consumer optimism
      Revenue, Income
      COGS, Margins
      Cash flow, Liquidity
      Source:
      • NFIB Small Business Economic Trends, October 2008
      • 11. The Conference Board Mid-Market CEO Challenge, 2007
      • 12. Collateral Damage, The Boston Consulting Group, Oct 2008
    • Benefits of SaaS
    • 13. Key Considerations for evaluating SaaS products
      • Form an evaluation group that includes operations, Finance and IT
      • 14. Expect the evaluation to take some time - understanding and evaluation of expected results
      • 15. Understand the vendor's strategy and approach (i.e. point solution or are they offering an end-to-end solution)
      • 16. Is the vendor proven and stable or a relative newcomer
      • 17. Determine how their strategy fits with both your short- and long-term needs
    • © SAP 2008 / Page 7
      Agenda
      Opportunities in Cloud Computing: An evangelist approach
      1.1. SaaS Market Opportunity
      1.2. Economic uncertainty
      1.3. Benefits of SaaS
      1.4. Key considerations for evaluating SaaS products
      4 Steps to a Best-Run-Business
      2.1. Key Obstacles to Growth
      2.2. Create and Track KPI’s
      2.3. The 4 Steps to a Best-Run-Business
      SAP strengthens product portfolio with Business ByDesign
      3.1. Today’s Reality
      3.2. SME Product portfolio & positioning of SAP Business By Design
      3.3. SAP Business ByDesign
    • 18. Key Obstacles to Growth: Survey Results
      Major Impediments to Growth
      • Reducing contract prices is a big obstacle to growth for 57% of SME’s in Asia Pacific
      • 19. Rising cost of materials and services is another major impediment to growth, as accepted by 47% SME’s
      • 20. High labor cost vis-à-vis competitors in other counties
      • 21. Tight availability of Financing
    • © SAP 2008 / Page 9
      KPI Driven Business Management
      Possible Objectives
      KPI‘s needed
      Possible Objectives
      KPI‘s needed
      Possible Objectives
      KPI‘s needed
      Customer Support & Services
      HR & People
      • Facilitate communication with customers
      • 22. Ensure customer satisfaction and loyalty
      • 23. Customer retention
      • 24. Time to resolution for problems
      • 25. Revenue per service order
      • 26. Support continued business profitability
      • 27. Shorten lead-to-close cycle
      • 28. Expand the customer base
      • 29. Marketing campaign effectiveness
      • 30. Sales revenue, pipeline and margins
      • 31. Sales force productivity
      • 32. Manage organizational change efficiently
      • 33. Integrate HR business processes into other parts of the business
      • 34. Number of employees and employee turnover
      • 35. Labor costs as a percentage of sales
      • 36. Revenue per employee
      Sales & Marketing
    • 37. © SAP 2008 / Page 10
      KPI Driven Business Management
      Possible Objectives
      KPI‘s needed
      Possible Objectives
      KPI‘s needed
      Finance
      Services Supply chain
      • Increase accounting transparency
      • 38. Automate manual tasks to enable faster closes
      • 39. Maximize the efficiency of working capital
      • 40. Ensure compliance with local and international regulations
      • 41. Cash flow and capital funding
      • 42. Profitability
      • 43. Total company value and worth
      • 44. Minimize Project delays
      • 45. Maintain project profitability
      • 46. Increase the quality of service delivered
      • 47. Productivity
      • 48. Service levels
      • 49. Service delivery time
    • © SAP 2008 / Page 11
      360 degree visibility to make faster, smarter decisions
      • Faster decision making
      • 50. Integrate different versions of truth into one system
      • 51. Make decisions on facts, not on emotions or spotty communication
      • 52. Increased productivity throughout the organization
      Minimize risk and Liability
      • Seamlessly manage new regulatory compliance
      • 53. Create KPI’s and consistently track progress
      • 54. Embed metrics and reports into your end-to-end processes
      • 55. Tighter control on financial performance, product/service quality, delivery standards, SLA’s
      Control your cost structure, end-to-end
      • Embed process controls to efficiently schedule resources
      • 56. Automate routine tasks to strip out inefficiencies
      • 57. Setup a collaborative, optimized team across your company
      Best Run Business
      • Optimum utilization of resources
      • 58. Visibility to pinpoint inefficiencies and capability to transform them into competitive advantage
      • 59. Optimized operations and best practices extended to entire value chain
      Anticipate Change
      • Build a flexible business model to manage and embrace changes that will invariable come
      • 60. Quickly rollout new processes or adapt existing Business processes
      • 61. Set your business to throttle up or down to meet rapidly changing and unpredictable customer requirements
      The 4 Steps to a Best-Run-Business
    • 62. © SAP 2008 / Page 12
      Agenda
      Opportunities in Cloud Computing: An evangelist approach
      1.1. SaaS Market Opportunity
      1.2. Economic uncertainty
      1.3. Benefits of SaaS
      1.4. Key considerations for evaluating SaaS products
      4 Steps to a Best-Run-Business
      2.1. Key Obstacles to Growth
      2.2. Create and Track KPI’s
      2.3. The 4 Steps to a Best-Run-Business
      SAP strengthens product portfolio with Business ByDesign
      3.1. Today’s Reality
      3.2. SME Product portfolio & positioning of SAP Business By Design
      3.3. SAP Business ByDesign
    • 63. Today’s Reality for Many Midsize Companies:Point solutions, manual processes, spreadsheets
      • Need to improve profits
      • 64. Need to grow without disruptions
      • 65. Need to do it with limited cashflow and risks
    • There Have Traditionally Been CompromisesIn deploying business solutions for midsize companies
      Solution Breadth
      Solution Depth
      Cost of Ownership
      Adaptability
      Implementation / Deployment
      IT Complexity
      High Value
      Affordability
    • 66. SAP Business ByDesignNew solution – Design goal
      Addressing the Needs of an Underserved Market
      Situation Today Mix of Point “Solutions”
      The New StandardSAP Business ByDesign
      Mix of outdated systems, point “solutions” and spreadsheets
      The affordable and most complete on-demand solution for midsize companies
    • 67. Where does SAP Business ByDesign fits in SAP’s SME Portfolio?
      A comprehensive, integrated industry solution to power your business end-to-end
      A single integrated solution to manage their entire business
      The best of SAP, delivered on-demand
      For midsize companieswith industry needs that want a scalable foundation
      For small businesseswho have outgrown their packaged accounting-only solutions
      For companies who need business software but don’t want to support a large IT backbone
      • 10~100 employees
      • 68. On-premise deployment
      • 69. Traditional licensing
      • 70. Go live in 6~8 weeks
      • 71. General business functionality
      • 72. 550+ add-on solutions, many industry specific
      • 73. Available in 20 languages and 40 country-specific versions
      • 74. 100 to 500 employees
      • 75. SaaS deployment
      • 76. Monthly subscription
      • 77. Go live in 4~8 weeks
      • 78. General business functionality based on best practices
      • 79. Available only in US, Germany, France, United Kingdom, China and India (2009)
      • 80. 100~2,500 employees
      • 81. On-premise deployment
      • 82. Traditional licensing
      • 83. Go live in 8~16 weeks
      • 84. 660+ industry-specific solutions
      • 85. Available in 50+ countries
      NEW Fast-Start Program
      • Pre-tested, preinstalled solutions
      • 86. Predictable project scope
      • 87. Go live in 8~12 weeks
    • SAP Business ByDesignAffordable, Predictable, Easy to Adopt
      On-demand
      • Always up-to-date software, managed by SAP experts in world class data centers
      Built in service and support
      • Remote monitoring with automated support
      User training and education
      • Self-guided, self paced, context sensitive built-in learning
    • SAP Business ByDesign – Solution Map
      Supplier Relationship Management
      • Planning
      • 88. Key Performance Indicators
      • 89. Product Portfolio
      • 90. Supplier Base
      • 91. Purchase Requests & Orders
      • 92. Goods & Services Receipts
      • 93. Supplier Invoicing
      • 94. Sourcing & Contracting
      • 95. Self Service – Shopping
      • 96. Analytics
      Human Resources
      Customer Relationship Management
      Financial Management
      Supply Chain Management
      Project Management
    • SAP Business ByDesignBenefits
      IT
      IT
      IT
      IT
      IT
      IT
      IT
      IT
      IT
      IT
      IT
      Predictable,
      Affordable,
      Manageable IT
      360 DegreeSolution
      Easy-to-Use
      and Adapt
      1
      2
      3
    • 148. You can also write us on:-
      Rohit Madhur – rohit.madhur@sap.com
      Tarun Gulati – tarun.gulati@sap.com
      Rakesh Prasad – rakesh.prasad@sap.com
      Questions &
      ANSWERS
      http://www.sme.sap.com

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