Orlando, Florida – (The Hosting News) – May 18, 2006 – A new reseller, referral and solution relationship has been entered into by SAP AG and IBM, expanding their relationship to serve the $500 billion small and midsize enterprise (SME) market.
The solution relationship for mySAP All-in-One solutions is intended to help U.S. clients in specific industries become more innovative and productive. The announcement was made at SAPPHIRE ’06, SAP’s international customer conference in Orlando, Florida.
According to the companies,
while significantly extending the market reach of SAP and its mySAP All-in-One partners, the new agreement will allow IBM and its Business Partners to focus on the wholesale distribution, life sciences, industrial machinery and construction, and food and beverage distribution industries, delivering comprehensive, end-to-end solutions that address these customers’ specific business problems.
Both SAP and IBM work with channel partners to create new customer opportunities and deliver services capabilities to customers in the midmarket. This announcement reflects the value of combining the industry-leading capabilities of IBM Global Business Services, which will serve as a reseller for mySAP All-in-One solutions, with the skills and local presence of IBM Business Partners. IBM Business Partners may also be eligible to earn a fee for referring opportunities for industry solutions to SAP and its other mySAP All-in-One partners, allowing them to reach a broader section of the market.
Marc Lautenbach, General Manager of IBM Americas commented, ”We will deliver to SME clients high value solutions that are targeted to the unique business needs of their respective industries. We’ll accomplish this through an expanding network of highly qualified IBM Business Partners who have strong local presence, long-term client relationships and a proven ability to deliver innovative, end-to-end solutions.”
Kevin Jinks, Senior Vice President of DYNAX Solutions, Inc. added, ”In my view, this is the most significant SME announcement coming from IBM in recent memory. Our goal is to deliver complete solutions that help our clients to achieve competitive advantage, expand revenue streams, improve operational efficiencies and reduce technology costs. With this announcement, we can fulfill that goal by offering world-class solutions backed by two industry leaders: IBM and SAP. The combination of pre-configured business processes, predictable implementation schedule and SME price tag is a win-win for us and our customers.”
Focusing initially in the United States, the expansion of the alliance builds on an extensive relationship under which IBM and its Global Business Services division have built an industry leading mySAP All-in-One solution portfolio, with 35 vertical and horizontal solutions available in 12 countries across the world.
According to mySAP, its All-in-One vertical solutions incorporate industry practices developed by SAP and its partners and gained from more than 30 years of experience in serving businesses of all sizes. This approach enables SAP and IBM to deliver superior functionality in affordable and easy-to-implement packages tailored to the specific business processes of vertical industries. This expertise allows customers to focus resources on the unique attributes of their businesses that can help them gain competitive advantage in the marketplace.
Michael Doyle, Sr., Senior Vice President of Operations at Kawasaki Rail Car, Inc. added, ‘The team of IBM and SAP provided a thorough and comprehensive, value- engineered solution for KRC. It began in the selection process and carried through the implementation through highly qualified teams with tremendous knowledge, experience and integrity.”
According to the company, SAP and its partners offer more than 30 mySAP All-in-One industry solutions in the United States and a growing portfolio of nearly 600 solutions from a network of more than 752 partners worldwide. More than 8,000 small and midsize enterprises worldwide run their businesses with mySAP All-in-One solutions, members of an ever-increasing customer base that grew by more than 28 percent in 2005.
Bill McDermott, President and CEO of SAP Americas commented, ”As small and midsize enterprises increasingly recognize SAP as the provider of choice for proven business management solutions based on industry best practices, we are teaming with IBM to expand the market reach of SAP and our partners. This agreement builds on our already successful partnership with IBM so we can provide total business management solutions for small and midsize enterprises, incorporating expertise from two of the industry’s leading providers.”
To learn more about SAP, please visit: www.sap.com.
For more information about SAP solutions for small and midsize businesses, please visit: www.sap.com/sme.