SAP CRM Rapid-Deployment Solution for Citizen Contact Center Helps Cities Run Better Than Ever

Press release:

SAP CRM Rapid-Deployment Solution for Citizen Contact Center Helps Cities Run Better Than Ever

SAP NEWSBYTE - August 02, 2012 | SAP - Industries

SAP AG (NYSE: SAP) today announced the release of the SAP CRM rapid-deployment solution for citizen contact center as part of the SAP Urban Matters program. The solution, now generally available, helps simplify and accelerate the implementation of a government multi-channel contact center, enabling governments to provide services and information to citizens in a consistent manner while providing the highest levels of customer service. The solution also allows governments to more efficiently manage and monitor their organizations and operations.

The SAP CRM rapid-deployment solution for citizen contact center is a combination of software, pre-configured content and pre-defined services specifically tailored for government multi-channel contact centers. The solution supports phone, email, online and chat channels, and is delivered with low upfront cost thanks to fixed-price and timeframe implementation services that mitigate financial risk and uncertainty. As a result of pre-configuration and the rapid-deployment methodology, governments can deploy in less than 12 weeks.

"Governments everywhere are looking for ways to increase efficiency, improve services and get citizens more engaged," said Jens Romaus, senior vice president and global head, Public Services Industry Solutions, SAP. "The rapid deployment of citizen contact center with CRM enables our customers to quickly benefit from superior functionality combined with industry best practices. The solution can be deployed quickly for a fixed cost, helping them achieve quick results while minimizing the risks typically associated with a new software project."

The SAP Urban Matters program focuses on helping urban governments improve the lives of citizens. The SAP CRM rapid-deployment solution for citizen contact center enables governments to increase engagement with citizens, improve efficiency, deliver better services, address social inclusion and become more open. The solution is built using a shared service model concept that enables the core customer relationship management (CRM) capabilities to be reused for future projects, helping further increase return on investment (ROI). SAP has additional public sector solutions for social services, public security, tax and revenue management, citizen services and grantor management that can leverage this framework. Customers can also support social channels and mobile deployments as an extension of the solution as their needs evolve.

"At a time when governments worldwide are grappling with shrinking budgets, there is still a need to improve the level of service to constituents," said Steven Birdsall, senior vice president and general manager, SAP Rapid Deployment solutions. "The SAP CRM rapid-deployment solution for citizen contact center helps to unlock hidden efficiencies and resources through a proven and predictable solution that will deliver benefits in weeks. This modular approach opens a path to ongoing improvements, extending the functionality into new service channels, such as social or mobile, or new business needs, such as analytics."

SAP Rapid Deployment solutions combine pre-configured content, best practices and pre-defined services to quickly deploy a wide gamut of enterprise technology with rapid cost-savings. Enterprises achieve full visibility over their deployments thanks to a defined scope with predictable costs. The average timeframe for a typical deployment is less than 90 days, which helps customers lower the cost of implementation, speed time to value and extend the solution when needed. In addition to this solution, SAP Rapid Deployment solutions are available to public sector customers across the full SAP portfolio, including all environments – on premise, cloud and mobile – to quickly and incrementally adopt new business functionality and innovative solutions for in-memory computing, analytics, mobility and more.

SAP Unveils First-of-a-Kind IT Training and Development Institute in Dubai

Press release:

SAP Unveils First-of-a-Kind IT Training and Development Institute in Dubai

SAP NEWSBYTE - August 01, 2012 | SAP - Corporate

As part of the company's strategic investment plan for the Middle East and North Africa (MENA), SAP AG (NYSE: SAP) today announced it will open a training and development institute at the Dubai Silicon Oasis (DSO) to up-skill local talent and drive sustainable innovation and growth in the region. The institute aims to certify 2,000 new consultants in the market within the next four years, tripling SAP's existing consulting capabilities in the region.

The project is the United Arab Emirates' (UAE) first IT-specific training and development entity. It was announced today at a ceremony in Dubai attended by His Highness Sheikh Ahmed Bin Saeed Al Maktoum, chairman of Dubai Silicon Oasis Authority (DSOA); Dr. Mohammed Al Zarooni, DSOA vice chairman and chief executive officer; Dr. Werner Brandt, SAP chief financial officer and executive board member; and Sam Alkharrat, SAP MENA managing director.

"The UAE's Vision 2021 continues to serve as the fundamental framework for all Dubai-based entities," said His Highness Sheikh Ahmed Bin Saeed Al Maktoum. "Dubai's strategy is underpinned by technology, which is supported by innovation, research and science as key pillars for the development of a knowledge-based economy. Today, the signing of this agreement further enhances Dubai's 2021 Vision of moving to an economy that is based on the development and creation of the UAE's local Emiratis' skills."

Featuring cutting-edge IT infrastructure and wholly owned by the government of Dubai, the DSO is easily accessible globally and throughout MENA. The complex lies just 15 minutes from the Dubai International Airport, spans 7.2 square kilometers and includes state-of-the-art office towers, research and development and industrial zones, educational institutions, luxury apartments, villas and hotels, healthcare offices and a full range of lifestyle facilities.

Plans for the training and development institute were initially discussed in March 2012 as part of a four-year additional investment plan to drive growth in the region. SAP expects the institute to provide skilled talent that will help the company accelerate and extend the localization of its solutions to meet fast-growing regional needs. Furthermore, there will be strong links with the SAP University Alliances program, which currently provides hands-on experience with key SAP technologies at 27 institutions across MENA – a figure set to double in the next four years. The SAP University Alliances program also allows students to collaborate throughout a network of global universities and research communities.

"The institute is the direct result of addressing our market, customer and ecosystem needs, and will serve as a powerful engine to yield vital jobs, knowledge, innovation and infrastructure capable of progressively shaping MENA’s business future," said Brandt.

SAP chose the DSO location for its combination of technological resources, geographic convenience and educationally conducive environment, making it the perfect setting to also support co-innovation with partners, customers and independent software vendors in areas such as mobile, the SAP HANAplatform, cloud, urban management, smart city functionalities and Islamic banking. The institute is also explicitly structured to support countries across the MENA region, with the potential to establish dedicated satellite operations in key SAP markets such as Saudi Arabia.

SAP Named a Leader in Advanced Data Visualization by Independent Research Firm

Press release:

SAP Named a Leader in Advanced Data Visualization by Independent Research Firm

SAP NEWSBYTE - July 31, 2012 | SAP - Analytics

SAP AG (NYSE: SAP) today announced it has been positioned by Forrester Research, Inc., as a leader in its July report, "The Forrester Wave: Advanced Data Visualization Platforms, Q3 2012." Forrester highlights SAP's breadth of advanced data visualization (ADV) business intelligence (BI) functionality as a key factor in securing its leadership position.

According to the report, "SAP BusinessObjects offers excellent big data ADV. In-memory is the name of the ADV game these days when one is looking for answers at the speed of thought. Most other in-memory DBMS engines, however, have practical limitations of analyzing no more than a few hundred GBs at a time. To address this limitation, SAP now offers a highly differentiated combination of [SAP] BusinessObjects Explorer and Visual Analytics with its top exploration and discovery capabilities and the SAP HANA in-memory appliance."1

SAP allows customers to perform ADV against any size of data using SAP BusinessObjects Explorersoftware in conjunction with the SAP HANA platform, making "big data" available to users at the speed of thought. SAP continues to enrich its ADV capabilities with the recent introduction of SAP Visual Intelligence software, which allows employees, departments and lines of business to creatively visualize and analyze information and apply it to individual and group decision-making. These solutions empower users to perform data discovery regardless of technical skill level for true self-service BI while taking advantage of existing data investments that their IT organizations have built and maintained. Additionally, SAP BusinessObjects Dashboards software gives decision-makers an easier way to explore insights and test out future business scenarios with instant, interactive access to metrics that are clear and easy to understand.

For more information, visit the SAP Newsroom. Follow SAP on Twitter at @sapnews and@businessobjects.

1Forrester Research Inc., "The Forrester Wave: Advanced Data Visualization Platforms, Q3 2012," July 17, 2012

SAP Positioned in Leaders Quadrant for Salesforce Automation

Press release:

SAP Positioned in Leaders Quadrant for Salesforce Automation

SAP NEWSBYTE - July 30, 2012 | SAP - Cloud Computing

SAP AG (NYSE: SAP) today announced it has been positioned by Gartner, Inc. in the Leaders quadrant of the Magic Quadrant for Salesforce Automation report.1

"We believe this is a confirmation of SAP's commitment and strategy to help our customers run their 21st-century sales organizations better than ever before," said Dietmar Bohn, vice president, Solution Management, Line of Business Sales, SAP. "Companies are embracing the new rules of selling to today's confident and socially connected buyers by arming the sales team with the tools that enable today's sellers to make an impact in every deal. SAP offers a broad suite of CRM solutions that provides sales team with deep customer insights, the ability to collaborate effectively by harnessing tribal sales knowledge and the agility to respond to customer and market events as they occur."

Part of SAP Business Suite software, the SAP Customer Relationship Management (SAP CRM) application enables companies to provide excellent customer experiences and maximize the effectiveness of every customer interaction across sales, marketing, service, finance, supply chain, logistics, manufacturing and human resources.

SAP also offers a natively-built cloud application for sales effectiveness, the SAP Sales OnDemand solution. Launched in mid-2011, it is designed to specifically support the way sales professionals work and help them sell more effectively in a mobile and collaborative environment.

For more information on SAP CRM, visit the Customer Experience Edge website,www.360customerview.com. To learn more about SAP Sales OnDemand, visitwww.sales.ondemand.com. For more information, visit the SAP Newsroom. Follow SAP on Twitter at@sapnews and @sapcrm.

1 Gartner "Magic Quadrant for Salesforce Automation" by Robert P. Desisto, 18 July 2012.

SAP Helps Resellers Grow Faster With New Partner Program Focused on Business Intelligence for Small and Midsize Companies

Press release:

SAP Helps Resellers Grow Faster With New Partner Program Focused on Business Intelligence for Small and Midsize Companies

BEIJING - July 27, 2012 | SAP - Analytics

ACA Pacific and China National Software & Service Co., Ltd are First Distributors to Join New Global SAP® PartnerEdge™ Program for Authorized Resellers

SAP AG (NYSE: SAP) today announced the expansion of the SAP® PartnerEdge™ program to help resellers accelerate profitability with select SAP® BusinessObjects™ business intelligence (BI) solutions, specifically designed for small and midsize enterprises (SMEs). ACA Pacific, a leading Australian distributor of specialist IT solutions, and China National Software & Service Co., Ltd, a Chinese global IT service company with end-to-end service capability, are the first distributors to join the SAP PartnerEdge program for authorized resellers. The announcement was made at China SAPPHIRE, being held July 26-27 in Beijing.

Working with select distribution partners will give SAP access to an even larger base of reselling organizations that can capture the rapid growth in the analytics market. Previously, SAP has focused on selling only SAP® Crystal solutions via the distribution channel. As of today, authorized resellers that are sponsored by an SAP-endorsed local distributor can sell SAP® BusinessObjects™ BI software, Edge edition, as well. The authorized reseller program was launched in the Asia-Pacific region today and will be made available to distributors and resellers on a global basis in a phased approach.

First Distributors to Join Authorized Reseller Program
“As a successful specialist distributor with a reputation for offering best of breed solutions, we are excited to be among the first distributors to join the newly launched SAP PartnerEdge program for authorized resellers,” said HB Tan, director, ACA Pacific. “With more than 23 years of channel experience, we are committed to linking quality products with market needs and to adding value in the form of services and support to both the vendors we represent and the customers we serve.”

“We are proud to be the first distributor to join the SAP PartnerEdge program for authorized resellers in China,” said Xujie, vice president, China National Software & Service Co., Ltd. “This program is in line with our corporate values to create, share and grow our own company as well as the companies with which we work.”

Benefits for Distributors and Authorized Resellers
The SAP PartnerEdge program for authorized resellers will offer new revenue streams to distributor partners through an expanded portfolio. Additionally, they will be able to both offer resellers of BI solutions an entry point into one of SAP’s fastest growing markets as well as be able to expand and further specialize their partner base. Distributors will serve as single points of contact for reselling partners and will be responsible for billing and collecting revenue from authorized resellers.

To join the authorized reseller program, resellers must be sponsored by an SAP-endorsed local distributor partner. They must also meet minimum program entry requirements, which include signing a partnering agreement and fulfilling the product authorization requirements. Resellers that join the program benefit from:

• Reduced entry barriers by gaining membership with no initial or recurring program fees
• Full access to authorized reseller product education at no cost
• Attracting more business and increased profitability with BI solutions priced for SMEs
• Generating revenue with consulting and professional services, receiving certified training on implementing SAP solutions and access to resources to help boost add-on sales and upgrades
• Receiving expert assistance through SAP-endorsed distributor partners
• Gaining access to the SAP® Channel Partner Portal site and online automated tools, including partner-specific resources, marketing tools and collateral to help increase brand awareness and demand generation

“We have identified a surge in demand of smaller organizations for advanced BI solutions as many small companies are moving from reporting to ad-hoc query quicker than before,” said Kevin Gilroy, senior vice president, Global Indirect Channels, SAP. “This represents a huge opportunity for resellers who are the preferred partner for these small businesses. The reach of distributors in the market is very powerful as they touch even more buying centers than we do. By joining forces with ACA and China National Software & Service Co., Ltd., we are once more underlining our commitment to driving our partners’ and customers’ growth through collaboration and innovation.”

For announcements, blog posts, videos and other coverage, visit the Events Newsroom.

About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 195,000 customers (includes customers from the acquisition of SuccessFactors) to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “should” and “will” and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

© 2012 by SAP AG. All rights reserved.
SAP and the SAP logo are registered trademarks of SAP AG in Germany and other countries. Business Objects and the Business Objects logo are trademarks or registered trademarks of Business Objects Software Ltd. Business Objects is an SAP company. Sybase and the Sybase logo are registered trademarks of Sybase Inc. Sybase is an SAP company. Crossgate is a registered trademark of Crossgate AG in Germany and other countries. Crossgate is an SAP company.

Accenture Positioned in the “Leaders” Quadrant of Leading Industry Analyst Firm’s Magic Quadrant for SAP Implementation Service Providers

Press release:

July 27, 2012

Accenture Positioned in the “Leaders” Quadrant of Leading Industry Analyst Firm’s

Magic Quadrant for SAP Implementation Service Providers

 

NEW YORK; July 27, 2012 – Accenture (NYSE: ACN) has been positioned in the “Leaders” quadrant in Gartner Inc.’s recently published “Magic Quadrant for SAP Implementation Service Providers, North America.”¹

 

Gartner assessed 20 of the leading service providers for the Magic Quadrant, which focused on the implementation services of SAP® solutions for each company across consulting, system integration and implementation in North America.

 

“We believe Accenture’s positioning as a leader in this Magic Quadrant is a reflection of our unrivaled combination of broad industry knowledge, superior skills and expertise with SAP solutions, and unsurpassed delivery capabilities for the core SAP ERP application as well as highly strategic areas such as analytics on the SAP HANA® platform, cloud and mobility technologies,” said Mark Willford, global managing director of SAP business for Accenture. “We continue to invest in our North America business for SAP solutions including sharpening our industry focus and adding more capabilities. Our passion is to keep developing innovative new solutions that deliver real value for our clients.”

 

The Gartner Magic Quadrant evaluated each service provider’s comprehensive set of offerings based on SAP solutions, including their ability to provide consulting services for SAP solution-based environments; ability to provide a comprehensive set of system integration and implementation services across SAP applications, products and technologies; and ability to service multiple industries.

 

¹ Gartner, Inc. “Magic Quadrant for SAP Implementation Service Providers, North America,” by Susan Tan, July 12 2012.  Click here to access the full report.

 

About Accenture

Accenture is a global management consulting, technology services and outsourcing company, with approximately 249,000 people serving clients in more than 120 countries. Combining unparalleled experience, comprehensive capabilities across all industries and business functions, and extensive research on the world’s most successful companies, Accenture collaborates with clients to help them become high-performance businesses and governments. The company generated net revenues of US$25.5 billion for the fiscal year ended Aug. 31, 2011. Its home page is www.accenture.com.

 

Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

 

# # #

SAP to Extend Country Road Map, Offer Solution Development Kit for SAP Business ByDesign Solution

Press release:

SAP to Extend Country Road Map, Offer Solution Development Kit for SAP Business ByDesign Solution

SAP NEWSBYTE - July 26, 2012 | SAP - Cloud Computing

SAP AG (NYSE: SAP) today announced the second 2012 release of the SAP Business ByDesign solution. The cloud-based enterprise resource planning (ERP) solution is moving to a quarterly release cycle and is scheduled for availability in four additional countries: Denmark, Italy, Netherlands and Spain. The announcement follows the news of the company's largest SAP Business ByDesign customer win to date with the New South Wales Department of Trade & Investment in Australia.

Additionally, a software development kit (SDK) for SAP Business ByDesign will enable partners and customers to extend solution functionality and build one-off cases for customer-specific requirements. As part of the kit, SAP will provide developers with various capabilities, including Web services, which will allow the newly created partner add-on to exchange information with existing SAP or third-party cloud applications. Reusable building blocks — so called templates — will enable partners to create customer-specific add-ons much faster. Improved usability, including advanced documentation and examples, will help partners understand and start working with the SDK instantly — reducing the need for extensive training. More than 20 partners have already signed the contract, which enables them to begin working with the SDK.

To address increased customer and partner interest in creating country-specific content, SAP will also provide a localization kit to help them fulfill specific local requirements. Some customers have already started to use the kit to build additional country versions for their subsidiaries.

Co-innovation with customers and partners is a key part of the design process of cloud solutions from SAP. To help facilitate this approach, SAP installed an idea forum a year and a half ago for Germany, Austria and Switzerland, with a global forum in English following about six month later. The forum serves as an easy-to-use and highly impactful tool for customers and partners to provide requests and ideas for additional functionality. Out of a total of 1,400 entries, SAP has realized 800 and plans to make more available with the new version of SAP Business ByDesign, including:

• Additional services, manufacturing and distribution functionality: Service industry enhancements, including improved ability to combine both products and services on projects, which links material in sales orders to project tasks. Through this extended functionality, SAP Business ByDesign is planned to support service industries outside of the professional service core. The extended ability to sell service contracts supporting billing, service level agreements, execution and escalations are intended to provide greater support for managed services agreements common in IT, media, marketing and other consulting services. Planned enhancements for manufacturing and distribution include support for customers that manage and track onsite and in-house repair scenarios.
• Mobile extensibility: SAP intends to enable key users able to customize the view for processes within SAP Business ByDesign on their preferred mobile devices. This will extend the existing standard support for over 15 mobile scenarios, including time and expense, customer relationship management (CRM) and reporting.

To learn more, visit the Cloud Computing page on sap.com and the SAP Newsroom. Follow SAP on Twitter at @sapnews.

NBA Selects SAP to Develop Unprecedented NBA.com Statistical Experience for Fans

Press release:

NBA Selects SAP to Develop Unprecedented NBA.com Statistical Experience for Fans

WALLDORF, Germany and NEW YORK - July 25, 2012 | SAP - Database Technology

SAP HANA® Platform to Power NBA Statistics on NBA.com;

NBA and SAP Also Announce Multiyear Marketing Partnership that Makes SAP the League’s Official Business Analytics Software Partner

SAP AG (NYSE: SAP) and the National Basketball Association (NBA) today announced that the league has selected the SAP HANA® platform to develop an unprecedented statistical experience for its fans on NBA.com. The real-time data platform will enable the league to bring virtually unlimited amounts of official NBA statistical information directly to fans’ fingertips on the league’s official website.

In addition, the NBA and SAP announced a new multiyear marketing partnership that will make SAP the Official Business Analytics Software Partner of the NBA. The partnership includes the Women’s National Basketball Association and the NBA Development League and will allow SAP to connect with the passionate fan bases of all three leagues. Along with the U.S, the partnership extends to several international markets, including Brazil, Canada, China, Germany, India and Russia.

“We are constantly researching new and emerging technologies in an effort to provide our fans with new ways to connect with our game,” said NBA Commissioner David Stern. “SAP is a leader in providing innovative software solutions and an ideal partner to provide a dynamic and comprehensive statistical offering as fans interact with NBA basketball on a global basis.”

“SAP is honored to partner with the NBA, one of the world’s most respected sports organizations,” said Bill McDermott, co-CEO, SAP. “Through SAP HANA, fans will be able to experience the NBA as never before. This is a slam dunk for SAP, the NBA and the many fans who will now have access to unprecedented insight and analysis.”

The NBA statistics team will implement SAP HANA to run the league’s enhanced statistical offering on NBA.com, which previously was accessible only to NBA employees and select media members. NBA fans will be able to access large volumes of statistical information and analysis tools on the SAP HANA platform, which will enhance their overall experience.

Furthermore, the NBA has also selected SAP® BusinessObjects™ business intelligence (BI)solutions for advanced analysis with SAP BusinessObjects Explorer® software and SAP® Data Services software. By utilizing SAP HANA to power official NBA statistics on NBA.com, and SAP BusinessObjects Explorer and SAP Data Services to enhance data quality, the NBA will provide fans with access to an innovative and easy-to-use statistical platform for their desktop, tablet or mobile device. The project is scheduled to launch during the 2012-13 season.

NBA.com also will utilize market-leading BI software from SAP to provide unparalleled statistical analysis of the league’s entire history to fans. As the presenting partner of the statistics section of NBA.com, SAP software will give fans a user-friendly interface to access and analyze official league, team and player data in real time. SAP will also help fans searching for key statistics via their mobile devices as the presenting partner of the statistics section of the NBA Game Time mobile application.

Throughout the year SAP solutions will deliver real-time data across the NBA’s entire global operations, encompassing media, special events, mobility, social media, player and team statistics, technology and fan interactions.

Also as part of the marketing partnership, SAP will serve as an associate partner of NBA All-Star, the NBA Draft and the NBA Cares All-Star Day of Service. Additionally, SAP will be a partner of NBA China Games 2012, which includes two games between the Miami Heat and Los Angeles Clippers in Beijing (October 11) and Shanghai (October 14), and NBA Europe Live 2012 presented by BBVA™ game in Berlin between the Dallas Mavericks and Alba Berlin (October 6).

For additional information regarding SAP HANA and in-memory computing technology, visit theExperience SAP HANA page. For more information, visit the SAP Newsroom.

About the NBA
The NBA is a global sports and media business that features three professional sports leagues: the National Basketball Association, the Women’s National Basketball Association, and the NBA Development League. The league has established a major international presence, with offices in 15 markets worldwide, games and programming in 215 countries and territories in 47 languages, and NBA merchandise for sale in more than 125,000 stores in 100 countries on six continents. Current NBA rosters feature 78 international players from 39 countries and territories. The NBA’s digital assets include NBA TV, which is available in nearly 60 million U.S. homes, and NBA.com, which averages more than 35 million page views per day, more than half of which originate from outside of North America. The NBA is the No. 1 professional sports league on social media, with more than 240 million fans and followers globally across all league, team, and player platforms. Through NBA Cares, the league and its teams and players have donated more than $190 million to charity, completed more than 1.9 million hours of hands-on community service, and created more than 700 places where kids and families can live, learn, or play.

About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 195,000 customers (includes customers from the acquisition of SuccessFactors) to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.

SAP Announces Best Ever Second Quarter Performance – Exceeding €1 Billion in Software Revenue

Press release:

SAP Announces Best Ever Second Quarter Performance – Exceeding €1 Billion in Software Revenue

Walldorf - July 24, 2012 | SAP - SAP Investor Relations

• Second Quarter 2012 Software Revenue Increased 26% to €1,059 Million (19% at Constant Currencies) Driven By Double-Digit Growth in All Regions
• Strong Growth Momentum From Key Innovations: SAP HANA Contributed €85 Million, Mobile €54 Million and Cloud €69 Million
• Second Quarter 2012 Non-IFRS Software and Software-Related Service Revenue Increased 21% to €3.14 Billion (15% at Constant Currencies)
• Second Quarter 2012 Non-IFRS Operating Profit Increased 15% to €1.17 Billion (8% at Constant Currencies)
• Second Quarter 2012 Non-IFRS Earnings Per Share Increased 19% to €0.70
• SAP Reiterates Full-Year Guidance

SAP AG (NYSE: SAP) today announced its financial results for the second quarter ended June 30, 2012.

BUSINESS HIGHLIGHTS IN THE SECOND QUARTER

SAP achieved record software revenue in the second quarter, exceeding €1 billion. All regions posted double-digit software revenue gains. Demand for SAP’s new innovation categories continued to accelerate: Cloud momentum continued with a 112% increase year-on-year in 12 month new and upsell subscription billings for SuccessFactors on a stand-alone basis. SAP’s strong combination with SuccessFactors is allowing the company to accelerate its strategy to become the leading cloud provider. SAP recorded €85 million in SAP HANA revenue putting the company on track to meet full-year expectations of at least €320 million. Mobile revenue was €54 million and keeps SAP on track to meet full-year expectations of €220 million. SAP also saw significant traction in strategic industries, with financial services and retail both growing more than 60 percent in software revenue, and solid growth across the manufacturing sectors, which grew more than 20 percent in software revenue.

„Our customer-focused innovation strategy is delivering exceptional business value for our customers and driving record results for SAP in an uncertain macro-economic environment,” said SAP Co-CEOs Bill McDermott and Jim Hagemann Snabe. “SAP stands apart in its ability to bring its customers innovations in cloud, mobile and in-memory computing on top of a proven, consistent and stable core. We will continue to provide game-changing solutions and remain on track to achieve our 2015 goals.“

„We reached the upper end of our second quarter software revenue guidance range and were at the mid-point of the software and software-related service revenue guidance range,” said Werner Brandt, CFO of SAP. “With this momentum in the first half of 2012 and our focused commitment to operational excellence we are on track to deliver on our targets for the full-year 2012 – in line with our 2015 goals.“

FINANCIAL RESULTS IN DETAIL

FINANCIAL HIGHLIGHTS – Second Quarter 2012

Second Quarter 20121)
	IFRS			Non-IFRS2)
€ million, unless otherwise stated	Q2 2012	Q2 2011	% change	Q2 2012	Q2 2011	% change	% change const. curr.
Software	1,059	838	26	1,059	838	26	19
Support	2,013	1,737	16	2,014	1,745	15	10
Cloud subscriptions and support	52	4	1,200	69	4	1,625	1,450
Software and software-related service revenue	3,124	2,579	21	3,142	2,587	21	15
Total revenue	3,898	3,300	18	3,916	3,308	18	12
Total operating expenses	−2,977	−2,443	22	−2,743	−2,289	20	14
Operating profit	921	857	7	1,173	1,019	15	8
Operating margin (%)	23.6	26.0	−2.4pp	30.0	30.8	−0.8pp	−1.2pp
Profit after tax	661	588	12	831	703	18
Basic earnings per share (€)	0.55	0.49	12	0.70	0.59	19
Number of employees (FTE)	60,972	54,043	13	N/A	N/A	N/A	N/A
1) All figures are unaudited.
2) For a detailed description of SAP’s non-IFRS measures see Explanation of Non-IFRS Measuresonline. For a breakdown of the individual adjustments see page F8 in the appendix to this press release.

IFRS software revenue was €1,059 million (2011: €838 million), an increase of 26% (19% at constant currencies). IFRS software and software-related service revenue was €3.12 billion (2011: €2.58 billion), an increase of 21%. Non-IFRS software and software-related service revenue was €3.14 billion (2011: €2.59 billion), an increase of 21% (15% at constant currencies). IFRS total revenue was €3.90 billion (2011: €3.30 billion), an increase of 18%. Non-IFRS total revenue was €3.92 billion (2011: €3.31 billion), an increase of 18% (12% at constant currencies).

IFRS operating profit was €921 million (2011: €857 million), an increase of 7%. Non-IFRS operating profit was €1.17 billion (2011: €1.02 billion), an increase of 15% (8% at constant currencies). IFRS operating margin was 23.6% (2011: 26.0%), a decrease of 2.4 percentage points. Non-IFRS operating margin was 30.0% (2011: 30.8%), or 29.6% at constant currencies, a decrease of 0.8 percentage points (a decrease of 1.2 percentage points at constant currencies).

Non-IFRS operating profit and non-IFRS operating margin for the second quarter 2012 were impacted by severance expenses which amounted to €31 million (2011: €12 million) and the acquisition of SuccessFactors, which impacted the non-IFRS operating margin by approximately 100 basis points (at constant currencies). In addition, the company increased its headcount by 3,655 FTEs (thereof 1,866 from acquisitions) in the first quarter of 2012 and another 1,552 FTEs (thereof 176 from acquisitions) in the second quarter of 2012 to capture future growth opportunities.

IFRS profit after tax was €661 million (2011: €588 million), an increase of 12%. Non-IFRS profit after tax was €831 million (2011: €703 million), an increase of 18%. IFRS basic earnings per share was €0.55 (2011: €0.49), an increase of 12%. Non-IFRS basic earnings per share was €0.70 (2011: €0.59), an increase of 19%. The IFRS and non-IFRS effective tax rates in the second quarter of 2012 were 23.6% (2011: 26.9%) and 25.6% (2011: 27.2%), respectively.

FINANCIAL HIGHLIGHTS – First-Half 2012

First-Half 20121)
	IFRS			Non-IFRS2)
€ million, unless otherwise stated	1H 2012	1H 2011	% change	1H 2012	1H 2011	% change	% change const. curr.
Software	1,696	1,453	17	1,696	1,453	17	11
Support	3,966	3,445	15	3,968	3,470	14	10
Cloud subscriptions and support	81	8	913	104	8	1,200	1,088
Software and software-related service revenue	5,743	4,906	17	5,768	4,931	17	12
Total revenue	7,248	6,324	15	7,273	6,349	15	10
Total operating expenses	−5,696	−4,870	17	−5,266	−4,551	16	12
Operating profit	1,551	1,454	7	2,007	1,798	12	6
Operating margin (%)	21.4	23.0	−1.6pp	27.6	28.3	−0.7pp	−1.1pp
Profit after tax	1,104	991	11	1,414	1,231	15
Basic earnings per share (€)	0.93	0.83	12	1.19	1.04	14
Number of employees (FTE)	60,972	54,043	13	N/A	N/A	N/A	N/A
1) All figures are unaudited.
2) For a detailed description of SAP’s non-IFRS measures see Explanation of Non-IFRS Measuresonline. For a breakdown of the individual adjustments see page F8 in the appendix to this press release.

IFRS software revenue was €1.70 billion (2011: €1.45 billion), an increase of 17% (11% at constant currencies). IFRS software and software-related service revenue was €5.74 billion (2011: €4.91 billion), an increase of 17%. Non-IFRS software and software-related service revenue was €5.77 billion (2011: €4.93 billion), an increase of 17% (12% at constant currencies). IFRS total revenue was €7.25 billion (2011: €6.32 billion), an increase of 15%. Non-IFRS total revenue was €7.27 billion (2011: €6.35 billion), an increase of 15% (10% at constant currencies).

IFRS operating profit was €1.55 billion (2011: €1.45 billion), an increase of 7%. Non-IFRS operating profit was €2.01 billion (2011: €1.80 billion), an increase of 12% (6% at constant currencies). IFRS operating margin was 21.4% (2011: 23.0%), a decrease of 1.6 percentage points. Non-IFRS operating margin was 27.6 (2011: 28.3%), or 27.2% at constant currencies, a decrease of 0.7 percentage points (a decrease of 1.1 percentage points at constant currencies).

IFRS profit after tax was €1.10 billion (2011: €991 million), an increase of 11%. Non-IFRS profit after tax was €1.41 billion (2011: €1.23 billion), an increase of 15%. IFRS basic earnings per share was €0.93 (2011: €0.83), an increase of 12%. Non-IFRS basic earnings per share was €1.19 (2011: €1.04), an increase of 14%. The IFRS and non-IFRS effective tax rates in the first six months of 2012 were 25.0% (2011: 28.6%) and 26.7% (2011: 28.9%), respectively.

Operating cash flow was €2.40 billion (2011: €2.27 billion), an increase of 6%. Free cash flow was €2.13 billion (2011: €2.02 billion), an increase of 5%. Free cash flow was 29% of total revenue (2011: 32%). At June 30, 2012, SAP had a total group liquidity of €3.60 billion (December 31, 2011: €5.60 billion), which includes cash and cash equivalents and short term investments. Net liquidity at June 30, 2012 was −€376 million compared to €1.64 billion at December 31, 2011. This decrease in net liquidity was primarily the result of the dividend payment and the acquisition of SuccessFactors in the first half of 2012.

BUSINESS OUTLOOK

SAP reiterates the following outlook for the full-year 2012:

• The Company expects full-year 2012 non-IFRS software and software-related service revenue to increase in a range of 10% – 12% at constant currencies (2011: €11.35 billion). This includes a contribution of up to 2 percentage points from SuccessFactors’ business.
• The Company expects full-year 2012 non-IFRS operating profit to be in a range of €5.05 billion – €5.25 billion at constant currencies (2011: €4.71 billion). Full-year 2012 non-IFRS operating profit excluding SuccessFactors is expected to be in a similar range.
• The Company projects a full-year 2012 IFRS effective tax rate of 26.5% – 27.5% (2011: 27.9%) and a non-IFRS effective tax rate of 27.0% – 28.0% (2011: 26.6%).

Additional Regional Disclosure

Starting with the reporting for the second quarter 2012, SAP will report both, software revenue by customer location and software revenue by location of negotiation. The focus of the communication will be on the reporting by location of negotiation. For additional information please refer to the pages F9 and F10 of the appendix to this press release as well as SAP’s second quarter 2012 interim report.

Other Additional Information

Second quarter 2012 revenue, profit and cash flow figures include the revenue, profits and cash flows from SuccessFactors. For the prior-year period those numbers were not included.

TomorrowNow litigation update: The retrial date was scheduled for June 18, 2012. Due to a scheduling conflict affecting Oracle’s legal team the trial has been rescheduled to August 27, 2012.SAP has updated its non-IFRS estimates for the full-year 2012. For the updated estimates please see SAP’s second quarter 2012 interim report. For a more detailed description of all of SAP’s non-IFRS measures and their limitations as well as our constant currency and free cash flow figures see Explanation of Non-IFRS Measures online.

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Second Quarter 2012 Interim Report
SAP’s second quarter 2012 Interim Report was published today and is available for download atwww.sap.com/investor. The interim report includes an update on SAP’s sustainability performance.

Webcast
SAP senior management will host a conference call on Tuesday, July 24th at 1:00 PM (CEST) / 12:00 PM (GMT) / 7:00 AM (EDT) / 4:00 AM (PDT). The conference call will be web cast live on the Company’s website at www.sap.com/investor and will be available for replay.

About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 195,000 customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.

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