enterprise advocates sap tco webinar summary
DESCRIPTION
A short summary of the key points in the October 22nd webinar from Enterprise AdvocatesTRANSCRIPT
© 2009, Enterprise Advocates1 http://blog.enterpriseadvocates.com Twitter: #EAcall
An Enterprise Advocates Presentation
October 22, 2009
Short version of slides
Best Practices in Reducing SAP Ownership Costs: Now's The Time To Act
© 2009, Enterprise Advocates2 http://blog.enterpriseadvocates.com Twitter: #EAcall
Who Are We? An affiliation of five like-minded and
independent advisors that advocate on behalf of enterprise IT buyers
Focus on buyers achieving demonstrable value from IT investments
For more information, visit:
http://blog.enterpriseadvocates.com
© 2009, Enterprise Advocates3 http://blog.enterpriseadvocates.com Twitter: #EAcall
Today’s Enterprise AdvocatesToday’s Enterprise Advocates
Vinnie Mirchandani
Deal Architect
R “Ray” Wang
Altimeter Group
Frank Scavo
Strativa/Computer Economics
Dennis Howlett
Irregular Enterprise
© 2009, Enterprise Advocates4 http://blog.enterpriseadvocates.com Twitter: #EAcall
Timeline of Discontent Late 2007/early 2008: SAP
starts negotiating around maintenance
July 2008, SAP pulls trigger on price increase
Confused messaging ASUG appears supportive,
DSAG, UK+I SUG unhappy Early 2009: negotiated
“settlement” via SUGEN Oct 2009: enforcement of
labor index cost increase
DH
© 2009, Enterprise Advocates5 http://blog.enterpriseadvocates.com Twitter: #EAcall
Software a Small Part of SAP TCO: Many “Surround” Costs Need to Be Managed
Eight Steps to Reduce SAP TCO:1. Assess existing contract status
2. Consider strategic use of SaaS
3. Reduce SAP shelfware
4. Aggressively manage SAP systems integration
5. Align SAP infrastructure against emerging cloud metrics
6. Reevaluate SAP applications management models
7. Look at third-party maintenance options
8. Rethink SAP upgrades
© 2009, Enterprise Advocates6 http://blog.enterpriseadvocates.com Twitter: #EAcall
Time to Act is NowTime to Act is Now 95% of support contracts due Dec 31,
2009 Economic conditions favor the end-
user No new products until 2014 Practical advice
Prepare adequately and don’t take no for an answer
Escalate early and often to your executive sponsor
Use SaaS options to build leverage Pay for innovations and investment with
third party maintenance
© 2009, Enterprise Advocates7 http://blog.enterpriseadvocates.com Twitter: #EAcall
Consulting Services Offered Contract negotiation IT and applications strategy Business case development Software vendor evaluation and
selection IT spending and staffing benchmarks
IT User Organizations:Contact us to set up a complimentary no-obligation phone consultation:
Email: [email protected]
Or call: +1 (949) 442-0114 (Frank Scavo, US) +34 (953) 708-636 (Dennis Howlett, EU)