Image credit: IT Project Failures
If you add up all the systems integration, hosting, upgrade and application/basis management costs around SAP in the last 25 years – that done by its partners or its customer staff, I estimate it has been over $ 2 trillion in costs.As Harald Nehring of SAP comments on my blog:
“Did SAP and its (later) partners set out to create the $2T market on purpose? I guess not, it happened because of all participants, including the consumers. So I’d say all participants share a responsibility to balance this market out, SAP can’t do this alone.”
He is correct – but in the brave new world, SAP will have to do more “alone”
It will need to show SLAs on its trusted site. It will have to show availability at close to 100% month after month. No hiding or pointing fingers at others. It will have to deliver to emerging benchmarks of 5 minute upgrade downtimes. It will have to compete at $ 100 a user a month. Its projects will be measured against that much-lower software cost basis…
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