This document provides an overview of SAP, including its positioning in the aerospace and defense industry, key figures and financial performance, innovation and technology advancement, industry solutions, customers, partnerships, and global support services. It highlights SAP's market leadership position and growth, with over 23,000 customer companies in over 120 countries that use SAP's integrated business solutions.
2. SAP AG 2004 2
SAP Positioning in A&D Industry
SAP Today
Introduction
Agenda
MRO & M&E Project Experience Sharing
Q&A
3. SAP AG 2004 3
SAP Positioning in A&D Industry
SAP Today
Introduction
Agenda
MRO & M&E Project Experience Sharing
Q&A
4. SAP AG 2004 5
New Opportunities – For Our Customers and SAP
CUSTOMERS
New level of business
automation
New level of business process
flexibility
New level of business user
empowerment
SAP
Greater demand for existing
business solutions
More rapidly deliver new
solutions to the market
Improve development
efficiency
Accelerated Innovation and Growth
5. SAP AG 2004 6
Innovation at SAP
Advancement in Technology
Business
Requirements
MAIN-
FRAME
SAP R/2
SERVICE-ORIENTED
ARCHITECTURE
mySAP
REPLACE
X
LEVERAGE
SAP R/2
Real-time data processing
SAP R/3
3-tier C/S architecture
ERP
BPR enablement
mySAP
Enterprise service
architecture
Business suite
Real-time business
CLIENT/SERVER
ARCHITECTURE
SAP R/3
6. SAP AG 2004 7
Summary of SAP Today
SAP AG in 2003 revenues: € 7.0 billion
79,800 installations
More than 23,400 companies run SAP
Providing 27 Industry Solutions
30,945 SAP employees (June 2004)
12 million users in 120+ countries team with us to
Integrate their business processes
Extend their competitive capabilities
Get a better return on investment at a lower total cost of ownership
Unique Partner Ecosystem
More than 1,500 partners
Overall more than 180,000 SAP partner certificates
7. SAP AG 2004 8
Key Figures – Second Quarter 2004
Software revenues
Total revenues
Operating income
- margin as a % of sales
Income before income taxes
- margin as a % of sales
Net income
- margin as a % of sales
Earnings per share (in €)
Q2 2004
€ millions
497
1,781
391
22
391
22
249
14
0.80
Q2 2003
€ millions
431
1,638
340
21
347
21
219
13
0.71
%
15
17**
9
11**
15
1 *
13
1 *
14
1 *
14
* percentage points
** % currency adjusted – actuals 2004 converted with the exchange rates of 2003
8. SAP AG 2004 9
SAP's Performance in the Last 10 Years
€ million Employees
Revenue Profit
Employees
1.000
2.000
3.000
4.000
5.000
6.000
7.000
8.000
5.000
10.000
15.000
20.000
25.000
30.000
0 0
28,797
936
1.379
1.903
3.022
4.316
5.110
6.266
7.341
230
333
482
775
901
796 803
1.312
1994 1995 1996 1997 1998 1999 2000 2001
5.229
6.857
9.202
12.856
19.308
20.975
24.178
28.410
2002
1,689
7,413
29,610
2003
1,886
7,025
CAGR total revenues: 29%
CAGR operating income*: 31%
CAGR share price: 36%
* Pro forma
9. SAP AG 2004 10
0%
10%
20%
30%
40%
50%
60%
SAP*
Siebel*
Oracle **
Peoplesoft*
I2*
JDE**
Total license revenue - Relative Market Shares
(rolling 4 quarters; based on license revenues)
SAP 的市場領導地位–持續擴大市佔率
36%
20%
20%
19%
41%
39%
37%
9% 10% 10%
13% 12%
8%
10%
12%
17% 16% 17% 16%
19%
6%
5%
4% 4%
43%
45%
47%
51%
19% 18%
17%
15%
16% 15%
15%
14%
12% 12%
12%
11%
6%
5%
4%
3%
4%
5%
5% 5%
Q2 2000-
Q1 2001
Q3 2000-
Q2 2001
Q4 2000-
Q3 2001
Q1 2001-
Q4 2001
Q2 2001-
Q1 2002
Q3 2001-
Q2 2002
Q4 2001-
Q3 2002
Q1 2002-
Q4 2002
54%
13%
14%
12%
3%
5%
Q2 2002-
Q1 2003E
Source: CMI Analysis based on Company Data and Financial Analysts Estimates as of April 8 2003
* Forecast by Company Data and Financial Analysts (SAP, Siebel, Peoplesoft, I2, JDE)
** Fiscal year is not calendar year - Comparison based on most recent quarter (e.g. SAP Q1 vs. Oracle Q3)
Source: NYSE
10. SAP AG 2004 11
SAP 的市場領導地位 – 市場佔有率第一名
摩根史坦力報導
2001 年市佔率分析
ITWO
6.8%
MANU
2.6%
SEBL
19.5%
ORCL
14.8%
PSFT
15.3%
SAP
41%
ITWO
4.0%
SAP
51%*
SEBL
15.2%
ORCL
13.3%
PSFT
14.6%
MANU
2.8%
Morgan Stanley Databank, 2002; Publicly Available Financial Data
摩根史坦力報導
2002 年市佔率分析
SAP Share as of
2003 is 57%
SAP Market Share in 2000, 38%
Asia Pacific
Market Share
69%
12. SAP AG 2004 14
According to Gartner, 50 percent of today's software
companies will vanish in two years…
"Not only will the small and weak disappear
but major players will merge or be acquired to cause even well-
known and substantial brands to vanish.“
“SAP and Non-SAP” in ERP marketing
-- Carl Claunch
Gartner Analyst
Gartner Symposium/IT Expo 2002
Analysis from Professional Analyst
13. SAP AG 2004 15
Partnerships Are Key for Innovation
* SAP received the European Innovation Award
from Wall Street Journal for its role in the
METRO Group Future Store Initiative.
CUSTOMER INITIATIVES
SAP User Groups
Strategic Development
Projects with customers*
Advisory Councils per Industry
GLOBAL PARTNER NETWORK
Accenture – Financial Services
Adobe – Interactive Forms
IBM – Retail
IDS Scheer - BPM
Microsoft - Interoperability
RIM – Mobile Solutions
Hardware partners -
adaptive computing
14. SAP AG 2004 16
SAP Industry Solutions
Aerospace & Defense
Automotive
Banking
Chemicals
Consumer Products
Defense & Security
Engineering, Construction &
Operations
Financial Service Provider
Healthcare
Higher Education & Research
High Tech
Industrial Machinery &
Components
Insurance
Life Sciences
Logistics Service Providers
Media
Mill Products
Mining
Oil & Gas
Pharmaceuticals
Postal Services
Professional Services
Public Sector
Railway Services
Retail
Telecommunications
Utilities
15. SAP AG 2004 17
SAP Customers Within Global 500
n.b. the Public Sector is not covered by the Global 500. Source: Fortune Magazine, Global 500 2003; SAP Analysis
78%
81%
76%
63%
37%
48%
54%
100%
93%
100%
86%
100%
97%
69%
87%
87%
57%
86%
CP
Retail
A&D
Auto
E&C
HT
Chem
Mill
Mining
O&G
Pharma
Bank
FSP
Ins
Media
Serv.P
Telco
Util
Consumer Discrete Process
Financial
Services Services
SAP customer
Global 500 comp
16. SAP AG 2004 18
SAP—全方位的企業解決方案
mySAP SCM
供應鏈管理
mySAP PLM
產品生命週期管理
mySAP
SRM
供應商關係管理
mySAP
CRM
客戶關係管理
mySAP ERP
Financials
Human Resources
Enterprise Portal
企業資源規劃管理
Maintenance & Quality
Inventory & Production
Sales
Order
&
Distribution
Management
Purchase
Order
Management
SAP NetWeaver
mySAP Business Suite
SAP Netweaver 開放式資訊技術平台,
提供內建的完整的資訊整合能力。
從供應商到客戶端
,SAP 提供完整的
企業解決方案、滿
足不同的作業與業
務需求。
17. SAP AG 2004 19
SAP NetWeaver
mySAP
ERP
mySAP SCM
mySAP PLM
mySAP
SRM
mySAP
CRM
Enterprise Services Architecture
Message-centric
Designed for SAP NetWeaver
Business user
End-to-end processes
Real-time business
SAP R/3
Client/Server
ABAP
SD
MM
PP
QM
RM
HR IS
WF
PS
AM
CO
FI
Client/server architecture
Data-centric
SAP Web Application Server
Transactional user
Enterprise processes
Real-time data processing
Expanding the Scope of SAP R/3
18. SAP AG 2004 20
Integration as Part of mySAP Business Suite
無接縫完全整合的系統
開放性整合架構
服務導向技術
可快速因應改變
高營運作業彈性
without SAP with SAP
應用系統各自獨立
需要額外寫程式個別連結
營業資料重置現象
維護系統是夢魘
高整體總持有成本
20. SAP AG 2004 22
執行長與財務長眼中的整體總持有成本
– SAP 最低的整體總持有成本
HW $
xxx Vendor SW 1 $
xxx Vendor SW 2 $
xxx Vendor SW 3 $
xxx Vendor SW 4 $
xxx Vendor Implt service 1 $
xxx Vendor Implt service 2 $
xxx Vendor Implt service 3 $
xxx Vendor Implt service 4 $
>4 x $
Of
Interface
Implement
xxx Vendor SW MA $ ( 22% )
xxx Vendor Oper. Support $
HW $
SW $
SAP Implement $
SAP SW MA $ (17%)
21. SAP AG 2004 23
分析師對 SAP ERP 專案投資效益之分析
Benchmarking 報告顯示 SAP 主要的 ROI 投資效益
具體經濟效益
財務成本管理
人事管理支出
資訊管理支出
庫存管理支出
採購管理
支出
訂單管理支出
其他支出
策略目標效益
流程整合
資訊與決策
品質
對市場
與客戶
回應與彈性
降低成本
提昇產能
新應用
基礎建設
22. SAP AG 2004 24
Education and Science
Shaping the Future
SAP University Alliances
More than 60,000 students work with SAP
software in business management
classes in over 500 institutions globally.
University Partnerships
Sharing our expertise with leading
educational institutions, e.g. setting up
the eLab at INSEAD in Fontainebleau,
France.
SAP also endows four chairs for
entrepreneurship in Germany.
Research
SAP Corporate Research and SAP Labs
form a close global network to work
together on joint projects at the forefront
of innovative technologies.
23. SAP AG 2004 25
SAP 365 天, 24x7, ISO 認證
全年無休的全球技術支援服務體系
SAP全球在地
技術支援服務
國家及地區
區域支援服務
控管中心
研發團隊中心
APA region:
Mon - Sun
1 am - 11 am CET
American region :
Mon - Sun
2 pm - 1 am CET
European region:
Mon - Sun
8 am - 6 pm CET
• R/3 Support network based on R/3 Online Service
System (OSS)
• Support via remote connection
• Partner integration
日本
新加坡
德國
美國
24. SAP AG 2004 26
mySAP.com
One-Step-
Business
€6.3 bill.
revenue
25,000
employees
15,000 customers
in 120 countries
SAP Milestones Over 30 Years
R/1
€ 0.3 mill.
revenue
9 employees
R/2
Mainframe
€5.1 mill.
revenue
60 employees
50 customers
in 2 countries
R/3
Client/Server
€424 mill.
revenue
3,200 employees
2,800 customers
in 35 countries
mySAP
Business Suite
SAP NetWeaver
Enterprise
Services
Architecture
€7.0 bill. revenue
30,166 employees
22,500 customers
in 120+ countries
1999/2000
1972 1979 1992 2003/2004
25. SAP AG 2004 27
SAP Positioning in A&D Industry
SAP Today
Introduction
Agenda
MRO & M&E Project Experience Sharing
Q&A
26. SAP AG 2004 28
SAP Position in A&D today...
~215+ customers leveraging
~1200 installations
9 of the top 10 Defense firms
worldwide run run SAP
7 of top 10 Global Airlines run SAP
14 of 19 Nato countries use SAP
20 of the top 25 Defense Firms Worldwide run SAP
11 Engine Manufacturers
44 Suppliers
30 Defense Manufacturers
17 Defense Contractors
53 Airline Operators
57 MRO Organizations
27. SAP AG 2004 29
US Defense News Top 100, June 2004
80% of the Top 25 Defense Firms Run SAP
64% of top 50 Firms run SAP (32)
60% of top 75 Firms run SAP (45)
53% of top 100 Firms run SAP (53)
2003
Rank Company Country
2003 Defense
Revenue
SAP
Customer YoY Growth
1 Lockheed Martin Corp. U.S. 30,097.0
$ Yes 29.0%
2 Boeing Co. U.S. 27,360.0
$ No 24.2%
3 Northrop Grumman Corp. U.S. 18,700.0
$ Yes 52.3%
4 BAE SYSTEMS plc U.K. 17,159.0
$ Yes 14.1%
5 Raytheon Co. U.S. 16,896.0
$ Yes 10.5%
6 General Dynamics Corp. U.S. 12,782.0
$ Yes 30.4%
7 Thales France 8,476.0
$ Yes 10.8%
8 European Aeronautic, Defence & Space Co. NV1 Netherlands 8,036.5
$ Yes 27.8%
9 Finmeccanica SpA Italy 5,895.5
$ Yes 51.4%
10 United Techologies Corp. U.S. 5,300.0
$ Yes 47.2%
11 L-3 Communications Corp. U.S. 4,369.2
$ Yes 22.0%
12 Honeywell Inc. U.S. 4,200.0
$ Yes 10.5%
13 Computer Sciences Corp. (3) U.S. 3,818.0
$ Yes 100.4%
14 Science Applications International Corp. (2) U.S. 3,735.0
$ Yes 22.7%
15 General Electric Co. (5) U.S. 3,100.0
$ No 10.7%
16 Halliburton Co. (11) U.S. 2,700.0
$ Yes 458.2%
17 Mitsubishi Heavy Industries Ltd. (3,4) Japan 2,667.4
$ Yes -8.1%
18 Rolls-Royce plc (6) U.K. 2,489.9
$ Yes 12.8%
19 Alliant Techsystems (3) U.S. 2,102.0
$ No 15.5%
20 DCN France 2,084.5
$ No -8.8%
21 United Defense Industries Inc. U.S. 2,052.6
$ No 19.0%
22 Rheinmetall DeTec AG Germany 2,014.1
$ Yes 14.6%
23 Dassault Aviation SA France 2,009.1
$ Yes 58.3%
24 Snecma France 1,845.9
$ Yes 42.5%
25 ITT Industries U.S. 1,790.9
$ Yes 18.3%
28. SAP AG 2004 30
Compounded Annual Growth Rate of A&D installations
has been 41% from 1997 thru 2003
SAP A&D Customer Base Growth 1997 - 2003
Steadily Growing Number of A&D Installations
Customer base
expanding in a declining
applications market
New customer growth
consistent and sustained
Strong A&D customer
base drives development
strategy
61
211
166
281
1176
217
89
1997 1998 1999 2000 2001 2002 2003 Total
41% CAGR
151
29. SAP AG 2004 31
A&D Customer Base (as of June 2004)
Aermacchi (IT) Bath Iron Works - General Dynamics (US) German Wings (DE) Luxair (LU) Shannon Aerospace (IE)
Aeroflot (RU) Bombardier Aerospace(CND) Goodrich Aerostructures(US) Malev Hngarian Airlines (HU) Sikorsky Aircraft (US)
Aerospace Corporation (US) British Airways Engineering (UK) Goodrich Aerostructures(US) Martin Baker (UK) Singapore Airlines (SG)
Aerospace Industrial Development Co (TW) British Mediterranean Airways(UK) Goodrich Hella Aerospace (DE) Mauser-Werke Oberndorf Waffensysteme (DE) Singapore Airlines Engineering (SG)
Agusta (IT) BWIA (TT) Gruppe Rüstung (CH) MBDA Missile Systems (EU) Singapore Technologies Aerospace (SG)
Agusta-Westland Helicopters (UK/IT) BWXT Y-12 (US) Hong Kong Aero-Engine Services (HK) Merpati Airlines (ID) SN Brussels Airlines (BE)
Air Alps Aviation (AT) Cargolux (LU) Hapag Lloyd (DE) MTU (DE) Snecma (FR)
Air Braking Systems Corp. (US) Caribbean Star Airlines (AG) Hamilton Sundstrand National Steel & Shipbuilding (US) Snecma - Messier Bugatti (FR)
Air Europa (ES) Cebu Pacific Air (PH) Claverham Group NHI NATO Helicopter Industries Snecma - Hurel Hispano (Aircelle) (FR)
Air Europe (IT) China Eastern Airlines (CN) Ratier-Figeac Northrop Grumman Snecma - Hispano-Suiza (FR)
Air France (FR) China Northern (CN) Nord-Micro Northrop Grumman Canada (CA) Snecma -Turbomeca (FR)
Air France Industries (FR) China National South AeroEngine (CN) HDW Shipbuilding (DE) Northrop Grumman Integrated Systems (US) Snecma - Microturbo (UK)
Air Nostrum (ES) Claverham Group FHL (UK) Hella Aerospace (DE) Northrop Grumman Newport News (US) SKF Sarma (FR)
Air Transat (CA) Consorcio Aviaxsa, S.A. de C.V Hellenic Aerospace (GR) Northrop Grumman–Electronic Systems (US/DE) SKF Sarma (FR)
Air Zimbabwe (ZW) Dassault Aviation (FR) Honeywell (US) Northrop Grumman–Navigation Systems (US/DE) SKF Sarma - Ampep (UK)
Airbus (EU) Dassault Aviation (FR) Hughes Aircraft (US) Northrop Grumman– Space Systems (US) SONACA (BE)
Airbus Aircabin (DE) Dassult Falcon Services (FR) Iberia (ES) LITEF / TELDIX (DE) South African Airways (ZA)
Airmotive (IE) Daher Lhotellier Montrichard (FR) Int. Engine Component Overhaul (SG) Oerlikon Contraves (CH) SR Technics (CH)
Airspares (EU) David Sarnoff (US) ITT Night Vision (US) Panavia (EU) ST Aerospace (SG)
Alcatel Space (FR) Delta Air Lines (US) Japan Airlines (JP) Pfalz Flugzeugwerke (DE) Steyr Daimler Puch (AT)
Alenia Aeronautica(IT) Denel Aviation (ZA) Japan Aviation Electronics (JP) Pilatus (CH) Swiss Int. Air Lines (CH)
Alenia Spazio (IT) Diehl VA Systeme Stiftung & Co. KG Jet Airways (IN) Pratt & Whitney America (US) SwissAir (CH)
AMS (UK/IT) Bodensee Geräte Technik (DE) Jet Aviation (CH) Pratt & Whitney Canada (CA) TAP (PO)
Alitalia (IT) Diehl Avionik Systeme Kaman Aerospace International (AU) Pratt Whitney Eagle Services (US) Tarom (RO)
All Nippon Airways (JP) Dunlop Aerospace (UK) Kentron (ZA) PT. Pelita Air Service (ID) Telair International Electronic Systems (DE)
Allianza Summa (CO) EADS (EU) KLM (NL) Ratier-Figeac (FR) Texas Aero Engine Shop TAESL (US)
Alvis Vehicles (UK) EADS Aeronautics - ATR (FR) KID Systeme (DE) Raytheon (US) Textron Systems (US)
AM General (US) EADS Aeronautics - Eurocopter (FR/DE) KLM Engine Services (NL) Raytheon Aircraft Corp. (US) Thales
AMECO (CN) EADS Aeronautics - Sogerma (FR) Korean Aerospace Industries (South Korea) Raytheon Integrated Defense Systems (US) Thales Electron Devices (DE/FR)
American Airlines (US) EADS Space - Astrium Korporaziya Takticheskie Raytheon Missile Systems (US) Thales Avionics (FR)
Air New Zealand Eng Services (NZ) EADS Space- Space Transportation Kraus Maffei Wegmann (DE) Raytheon Space & Airborne Systems (US) The Aerospace Corporation (US)
Tasman Aviation Enterprises TAE (AU) EADS Defence and Security Systems (EU) L3 Communications (US) Raytheon Technical Services Company (US) Thomas Cook (DE)
Asiana (KO) EADS Elbe Flugzeugwerke Latecoere (FR) Rheinmetall(DE) TNT Airways (BE)
Atlas Air (US) Eclipse Aviation (US) LanChile (CL) Rhode & Schwarz (DE) TRW (US)
Atlas Elektronik (DE) EG&G (US) Lhotellier Montrachard (FR) Rockwell Collins (US) TRW/BDM (US)
ATR (F/I) Embraer (BR) Lockheed Martin (US) Rolls-Royce (UK/US/DE) United Technologies Research Center (US)
Austrian Airlines Group (AT) Embraer - China (CN) Lockheed Martin – Space Systems (US) Rolls-Royce - North America (US) Varig & VEM(BR)
Avianca (CO) Eurocopter (DE/FR) Lockheed Martin Air Mobility Support (US) Rolls-Royce plc (UK) Volare Airlines (IT)
Azzurra Air (IT) Eurowings (DE) Lockheed Martin–Missiles & Fire Control (US) Rolls-Royce - Germany (DE) Volvo Aero (S)
BAE Systems (UK) Fiat Avio (IT) LOT Polish Airlines (PL) Ryanair (IE) Volvo Aero Norge (N)
BAE Systems Regional A/c (UK) Finnair (FI) LTU (DE) Sabena Technics (BE) Zhuzhou South Aeroengine (CN)
BAE Systems Royal Ordnance Defence (UK) Flight Safety International (US) Lufhthansa CityLine (DE) SAIC (US)
BAE Systems Customer Sol. & Support Garuda Indonesia (ID) Lufthansa (DE) Samsung Aerospace Industries Ltd. (KO)
BAE Systems - Defence Systems (UK) GE Engine Maintenance (UK) Lufthansa Technik (DE) SAS (DK, NO, SE)
30. SAP AG 2004 32
Great Brands… Great Relationships
31. SAP AG 2004 33
SAP Value Proposition for Aerospace & Defense
Strategic Benefits
Platform for continuous operational
excellence
Enable new product introductions and
improve “Time to Value”
Reduce inventory & improve visibility
Integrate strategic acquisitions with
current IT infrastructure
Synergy with DoD Four Reasons
Why SAP Is
The Choice For
A&D
Enabling Business Transformation
Enable Growth
Standardized business
processes and Data integrity
Better decisions based on real
time accurate information
Expand & build overseas
presence
Develop MRO business
Total Cost Of Ownership
Business Process Optimization
Leverage existing IT investments
via SAP NetWeaver architecture
Reduce legacy systems and
interfaces, solution scalability
Plan for future requirements
Best of suite (COTS)
Mitigate Risk
Financial Strength of SAP
Industry Specific Solution
Growing SAP platform in
DOD
Strategic partnership
Executive commitment
Regulatory compliance
32. SAP AG 2004 34
SAP believes that
we will only be
successful if our
customers are
successful. How best
to judge their
results then by the
way financial analyst
and their
shareholders view
them.
SAP Customers grew
8X higher Revenue
then Non-SAP
accounts for 2003.
SAP Customers over
the last 3 years have
improved their
profitability by over
30.1%, 9 times faster
than the competition.
SAP impacts the A&D Manufacturing community
KPI SAP
Customers
Performance
Non-SAP
Companies
Performance
Key Performance
Difference
Relative To Companies
Not Using SAP
Revenue Growth 10.4% 1.1% Growing revenue 9 times
faster
Fixed Asset Utilization $0.22 $0.27 Using 17% less fixed
assets to generate $1 of
revenue
Selling, General & Administrative
Expenses (SG&A)
10.6% 10.8% Operating with 2% lower
SG&A costs
Source: Stratascope® Inc. A&D Manufacturing Companies Benchmarking study conducted June 04
2003 Performance Highlights
Key Average KPI Trends Over Last Three Years (2000 – 2003)
KPI SAP
Customers
Performance
Non-SAP
Companies
Performance
Three Year Trend
Relative To Companies
Not Using SAP
Profitability Trend 30.1%
Increase
3.8% Decrease Dramatically increasing
profits when others are
losing ground
Cost Of Goods Sold
(COGS) Trend
0.8%
Increase
13.4% Increase 94% better managing
negative COGS trends
33. SAP AG 2004 35
SAP believes that
we will only be
successful if our
customers are
successful. How best
to judge their
results then by the
way financial analyst
and their
shareholders view
them.
SAP Customers had
managed inventory
56% better then
Non-SAP accounts
for 2003.
SAP Customers over
the last 3 years have
managed COGS better
by over 107% faster
than the competition.
SAP impacts the Airline community
Source: Stratascope® Inc. A&D Manufacturing Companies Benchmarking study conducted June 04
KPI SAP
Customers
Performance
Non-SAP
Companies
Performance
Key Performance Difference
Relative To Companies
Not Using SAP
Capital Utilization $1.12 $1.22 Using 8% less capital to generate $1 of
revenue
Selling, General &
Administrative
Expenses (SG&A)
13.4% 20.1% Operating with 33% lower SG&A costs
Days Sales
Outstanding –DSO
(collections)
25 Days 30 Days Collecting receivables 16% faster
Days In Inventory
On Hand (DII)
11 days 26 days 56% better inventory management
2003 Performance Highlights
Key Average KPI Trends Over Last Three Years (2000 – 2003)
KPI SAP
Customers
Performance
Non-SAP
Companies
Performance
Three Year Trend
Relative To Companies Not Using SAP
Fixed Asset
Utilization Trend
3.3%
Improvement
-8.9%
Degradation
Improving while the competition is
losing ground!
Cost Of Goods Sold
(COGS) Trend
0.4%
Reduction
5.4% Increase 107% better managing COGS pressures
Selling, General &
Administrative
Expenses (SG&A)
Trend
9.1% Increase 13.6% Increase 33% better in managing SG&A costs
during tough market conditions
Days Sales
Outstanding
(collections)
12.5%
Improvement
-6.5%
Degradation
3 times better at managing collections
trends
34. SAP AG 2004 36
mySAP Business Suite
“Goodrich recently implemented an
initiative called Enterprise Excellence to
achieve lean manufacturing through
eliminating waste. The company turned to
mySAP™ Business Suite – a key part of
the SAP for Aerospace & Defense
portfolio of software and services – to help
it quickly adapt its business systems to
support not only the initiative, but an
increasing emphasis on e-business. Using
the new software, Goodrich can also now
react flexibly to the ever-changing
requirements and pressures that
characterize the aerospace industry
mySAP PLM (MRO)
“Our IT functions at Pratt & Whitney
serves as an enabling process across
the company. One solid example is in
our aftermarket business. We’re using an
SAP solution to optimize the entire
business process at four of our largest
engine overhaul shops.”
mySAP PLM (Program
Mgt)
“With mySAP PLM Program and
Project Management, we can
effortlessly monitor the progress of
overlapping, complex projects
throughout the entire product life
cycle. Shortened project duration and
the resulting cost savings have made
the implementation of mySAP PLM
Program and Project Management an
extremely worthwhile investment.“
SAP Delivers Value
SAP Overall…
“The most important thing we have done
within our business is the
implementation of SAP.”
Aircraft Economics, July 2002
35. SAP AG 2004 37
SAP Investment Impact on the A&D Industry
R&D Investment
€ Millions
“Importantly, the stronger margin does not appear to becoming at
the expense of future growth – R&D headcount is up Q/Q and Y/Y
and S&M headcount is down marginally quarter-on-quarter and up
year-on-year – both indicating that capacity and product investment
are not being curtailed.”
572
705
857
910 951
866
363
0
100
200
300
400
500
600
700
800
900
1000
1997 1998 1999 2000 2001 2002 2003
36. SAP AG 2004 38
ECC 6.0
SCM x.x
Final Definition
TBD but
including…
Earned Value
Workbench
Configuration
Control with
Interchangeability
Cross Contract
Planning
enhancements
SPEC2000 XML
Subcontracting
enhancements
…
…
…
ECC
DIMP
5.0
SCM 4.1
Maintenance
Program
Definition
Electronic
Logbook
enhancements
Warranty
integration with
MRO processes
Extended
Interchangeability
integration (1
way)
DI 4.6C2
Work
Packaging
and
Sequencing
Configuration
Control for
MRO
Rotable
Management
SP2000 Ch1
Initial
Provisioning
Spare Parts
Portal
Catalogue
Interface
(IPC)
A&D specific Research & Development has evolved the
industries leading business application suite…
IS A&D
1.0
Resource-
Related
Billing
IS A&D
2.0
Grouping,
Pegging &
Distribution
(GPD)
SPEC2000
Route
Profitability
IS A&D
3.0
Manufacturer
Part Number /
Interchangeabi
lity
Subcontracted
Repair
SPEC 2000
(CH 2-4 enh.)
Serial Number
Tracking
Serial number
effectivity
DIMP
4.71
SCM 4.0
Maintenance
and Service
Planning
Line
Maintenance
Electronic
Logbook
GPD (cross
plant)
Predictive
Maintenance
CRM@Airlines
ITAR support
via GTS
2001
1997 1998 1999 2003
Manufacturing
MRO/M&E
Airline Management
2004 2005
mySAP ERP 2004
mySAP ERP 2005
Current
Release
Note: This is A&D specific functionality integrated with the mySAP ERP
backbone. Only key developments are listed. Date: 30 April 2004
<planned>
37. SAP AG 2004 39
SAP Positioning in A&D Industry
SAP Today
Introduction
Agenda
MRO & M&E Project Experience Sharing
Q&A
38. SAP AG 2004 40
MRO/M&E Customers
AMECO (CN)
ANNZES (NZ)
ANA (J)
Airspares (EU)
Avianca
Augusta (I)
Bombardier (CDN)
British Airways (UK)
GE Engine Maintenance (UK)
Int. Engine Component Overhaul
(SG)
Japan Airlines (J)
Jet Aviation (CH)
KLM Engine Services (NL)
Lufthansa Technik (DE)
Lufthansa Airmotive (IRL)
Pratt & Whitney America (US)
Rolls Royce (UK)
Sabca (B)
Sabena (B)
Shannon Aerospace (IRL)
Singapore Airlines (SG)
Singapore Technologies Aerospace
(SG)
Tarom
Swissair (CH)
Volvo Aero (S)
39. SAP AG 2004 41
SR-Technics – (I)
Company
Business Areas: Line, Component, Base and Engine Maintenance
Engine shop visits: 299
Component shop visits: 78000
Number of aircraft checks 873
Implementation Scope
Status: Productive
SAP Applications: SD, MM, PM/SM, PS, FI, CO, ECM
Release Level: 4.5B, with A&D solution 3.0B
Business Units: all business areas
40. SAP AG 2004 42
SR-Technics - (II)
Implementation Strategy
Big bang go-live 10/2001
Implementation partners were PWC, Atraxis (today EDS), and SAP
support
Special topics/issues
Support issue relating to migration of A&D 4.6c2 functionality onto the
4.5B environment of the project
Non-standard solution for maintenance planning
Uses SPEC2000, MPN Interchangeability
Project duration 30 months
41. SAP AG 2004 43
Rolls-Royce Aero
Size
Employees 2,000
Business Areas: Aircraft Engine Manufacture and Repair
Implementation Scope
Status: Productive
SAP Applications FI/CO, AM, SD, PP, MM, PM, PS, QM and BW
Release Level: 4.6C2, with A&D solution
Business Units: Aircraft Engine Maintenance
Project Organization
Implementation and outsourcing Partner is EDS, UK
Special topics/issues
Chairman of SAP A&D Manufacturer User Group
42. SAP AG 2004 44
Singapore Technologies (MRO)
Company
> 200 aircrafts (Singapore Air Forces)
5,000 employees
Implementation Scope
Status: Implementation
SAP Applications: HR, FI/CO, MM , PS, PM, SM, WM, …
Release Level: 4.6C2 (A&D)
Business Units:
Aircraft Maintenance, Line Maintenance, Engine Maintenance,
Component Maintenance, Configuration Control, SPEC2000
Implementation Strategy
Go Live 03/1999 Big Bang
Upgrade to 4.6C2
Implementation partners are KPMG
43. SAP AG 2004 45
What can SAP IS-A&D do for you?
Line Maintenance
Heavy Maintenance
Shop Maintenance
Maintenance Engineering
44. SAP AG 2004 46
Line Maintenance
Features
Maintenance Control (MEL, DMI prioritization, and so)
Line Station Planning (Labor, Parts, and Tools planning)
Line Maintenance Execution
Interfacing with ACARS/ACMS
45. SAP AG 2004 47
Heavy Maintenance
Features
Heavy Maintenance Visit Planning
Production Planning & Control
Heavy Maintenance Execution
Fleet Management (APO and BI)
46. SAP AG 2004 48
t
Enhancements for Multi Counter Plans
Representation of ‘phased’ checks using multi counter plans
Each check of maintenance program cycle is one maintenance plan item
Assignment of specific cycle set to maintenance plan item
Enhanced scheduling program
Generation of multiple objects within a given call horizon
‚Due date‘ update for already generated objects
Change documents for maintenance plans/items (valid for all plan types)
Maintenance
schedule Inter 1
Check
1000 Hrs.
100 Cycl.
2500 Hrs.
100 Cycl.
2000 Hrs.
150 Cycl.
1000 Hrs.
100 Cycl.
Inter 2
Check
Inter 3
Check
Inter 1
Check
Complete cycle
47. SAP AG 2004 49
Shop Maintenance
Features
Shop Maintenance Control
Line Station Resources Planning
Shop Maintenance Execution
Rotables Management
48. SAP AG 2004 50
Maintenance Engineering
Features
Maintenance Program Management
Configuration & Records Management
Engineering Support
Reliability Analysis
Editor's Notes
SAP ERP居市場領導地位, 但我們仍持續努力擴大市場佔有率
I2下市
JDE不存在
Or與Per司法訴訟
德國民族性, 反托拉斯聯盟, 20年策略聯盟, 10年不會合併
從最新的數據可以得到印證
2004六月的市佔率是55%, 超過其他友商的加總.
This slide is meant to position the actual presentation and asks the question “so why should I even be talking to SAP?”
SAP ERP第一品牌並不是沒有道理
實際上, 已經成功implement到25個產業裡. 全球各地不同的領域都可以看到SAP系統的身影
A company needs integrated processes. To benefit most from excellent business processes, companies need to have a flexible platform upon which these processes are built. Many companies try to do this with a myriad of different systems linked together.
An integrated system has many different advantages. Take for example a the case where orders have been so good, if an order for more than a certain sum arrives an to date credit check needs to made on the customer as well as availability check.
Imagine trying to do this without an integrated system, there will be a number of individual applications with links, possible data replication in the different systems, how can you be sure which is the correct inventory number?
Also with a number of disparate systems, what would happen if you upgrade a particular part, would the links still operate?
業務接到一個營養的訂單量->檢查是否有庫存->或許要再採購零件->而且加入排程製造->後續出貨與發票->財務發生帳務往來紀錄->營運績效同步表現在報表
單一平台
在開放環境是最完整的系統, 由於所有系統都是行開發, 才能做到無接縫完全整合
市場上也會聽到有廠商號稱ERP系統, 都是單一系統, 若要將所有串聯起來, 必須額外寫程式處理,
而且當單一系統要upgrade時, 不見得真的能更新的成
要維護這樣一套系統, 要投入的時間, 人力成本難以想像, 簡直像是個夢魘
不只是完整系統第一品牌, 對各個模組分別評比, 也都是世界No1
第二名:因為2000以後才發展
友商的cost還可能會有整合未知的部分
具體經濟效益其他廠商一定會提, SAP也不例外
但唯一特別的是, SAP的比其他友商多出策略目標的價值
根據Benchmarking對導入SAP ERP一般投資效益分析可看出, SAP ERP對企業流程整合, 資訊與決策品質的提升更有幫助
30 years SAP
Several successfull (re)inventions
R/1 Real-Time/Standardsoftware
R/2 Mainframe / Businesslogic, Integrated Processies /Globalisation
R/3 3 tier/client server architecture/ verticalization(industry)/corporate templates
mySAP.com (Portale/Exchanges/WebServices) & Collaboration across all boundaries
Never reported losses – always growing
And since 1984 every year with more power at CeBIT
SAPs success story is made out of Innovations
Innovative Products
Innovative Technology
Innovative Relationship with Customers (from Vendor to strategic Partner)
SAP offers – it‘s Customers Choice
Holistic solutions out of one hand
or Best-of-Breed for partial areas (SCM, CRM,...)-
or supporting Technology (Portals, Exchanges, WebApps Servers)
Intent/purpose of the slide: Show that SAP has been getting consistent customer growth over the years
Owner: IBU Lead
Intended audience: Internal & External
Guidelines to complete slide:
Identify the total # of customer by year for the last 3-5 years; approximations are fine
Calculate CAGR % (Compounded annual growth rate)
Intent/purpose of the slide: Another slide to show SAP leadership
Owner: Global Marketing
Intended audience: Internal & External
Guidelines to complete slide:
Identify the key customers (4-6) for your industry that are very well known
Obtain these collateral information from Global Marketing
Examples of how SC Planning created value for customers
Read the slide
Owner: Show how SAP customers have benefited by using SAP solution
Owner: ISG?VE
Intended audience: Internal & External
Guidelines to complete slide:
Select key companies within your industry
Categorize them into SAP and non-SAP customers
Compare the profitability of the two categories over time
If you find there is no significant difference between the two, try changing the mix of the companies in the two categories
Owner: Show how SAP customers have benefited by using SAP solution
Owner: ISG?VE
Intended audience: Internal & External
Guidelines to complete slide:
Select key companies within your industry
Categorize them into SAP and non-SAP customers
Compare the profitability of the two categories over time
If you find there is no significant difference between the two, try changing the mix of the companies in the two categories
Owner: Show how SAP customers have benefited by using SAP solution
Owner: Global Marketing
Intended audience: Internal & External
Guidelines to complete slide:
Identify the key customers for your industry. Try to include customers across the key solutions
Pull out the quotes from the ‘Customer Reference Slides’ available from Global Marketing
Owner: Demonstrate R&D investment impact on their industry
Owner: ISG Lead/IBU Lead
Intended audience: Internal & External
Guidelines to complete slide:
Key the R&D investment at the SAP level on the left hand side
Show the latest direction of SAP solution for your industry