SAP, HP Jointly Target Small and Midsize Businesses - InformationWeek
IoT
IoT
Software // Enterprise Applications
News
10/27/2004
12:25 AM
50%
50%
RELATED EVENTS
Ransomware: Latest Developments & How to Defend Against Them
Nov 01, 2017
Ransomware is one of the fastest growing types of malware, and new breeds that escalate quickly ar ...Read More>>

SAP, HP Jointly Target Small and Midsize Businesses

The hardware, software, and services package is designed to make enterprise-app implementations easier and more affordable.

SAP and Hewlett-Packard today introduced a combined hardware, software, and services package geared toward businesses that generate less than $1 billion in annual revenue. The scaled-down offering extends a four-year partnership that's been focused on larger organizations.

The package covers enterprise apps such as customer-relationship-management and ERP software and includes integration, maintenance, support, and training. At $325 per user, the two vendors say the offering is more affordable and gives small and midsize businesses an IT platform that can be scaled up as their companies grow. The offerings are customized for the consumer-goods, high-tech, and technical-services-provider industries; support for other industries will be added in the future. Available now in the United States, the offering could be rolled out to Europe and Asia in about six months.

Most customers spend up to 90% of their IT investment maintaining legacy systems, according to Bill McDermott, president and CEO of SAP America. "Mid-market, $3 million companies in [the United States] don't have huge IT departments because they can't afford them," McDermott says. In some cases, these companies are just now buying ERP systems, and "instead of having to buy everything separate, we took the complexity out of the equation and put the whole solution in a nice neat package."

SAP, which will manage the customer accounts, says the expertise it has gained in its 75,000 ERP installations in 125 countries takes the guesswork out and will help get customers up and running quickly. McDermott says it should take between two weeks and three months, depending on the complexity of the project.

The companies say the United States was the logical choice to first roll out the service. One-third of SAP's total sales comes from the United States, and about 30$ of that comes from small and midsize businesses. For HP's part, the new offering made sense, says Jack Novia, HP's senior VP and managing director in the Americas. Says Novia, "About 50% of all SAP installations run on HP platforms."

Comment  | 
Print  | 
More Insights
Comments
Newest First  |  Oldest First  |  Threaded View
[Interop ITX 2017] State Of DevOps Report
[Interop ITX 2017] State Of DevOps Report
The DevOps movement brings application development and infrastructure operations together to increase efficiency and deploy applications more quickly. But embracing DevOps means making significant cultural, organizational, and technological changes. This research report will examine how and why IT organizations are adopting DevOps methodologies, the effects on their staff and processes, and the tools they are utilizing for the best results.
Register for InformationWeek Newsletters
White Papers
Current Issue
2017 State of IT Report
In today's technology-driven world, "innovation" has become a basic expectation. IT leaders are tasked with making technical magic, improving customer experience, and boosting the bottom line -- yet often without any increase to the IT budget. How are organizations striking the balance between new initiatives and cost control? Download our report to learn about the biggest challenges and how savvy IT executives are overcoming them.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll