Artificial Intelligence Authors: Pat Romanski, Zakia Bouachraoui, Jason Bloomberg, Yeshim Deniz, Liz McMillan

Related Topics: Artificial Intelligence, Microservices Expo

Artificial Intelligence: Article

SAP CEO Outlines "Next Practices"

Henning Kagermann Speaks of ESA Roadmap at Boston Event

"Mendocino will revolutionize the way information workers work," said SAP CEO Henning Kagermann today in his keynote address to an audience of 7,500 customers, partners, and analysts at Sapphire '05 in Boston. But he stressed that neither SAP, Microsoft, or any other technology provider can be expected to be the sole drivers of innovation.

Kagermann was joined by CIO-level executives from Intel, Colgate-Palmolive, Home Depot, and Network Appliance to reinforce this latter point. "The technology is available to everyone, but it's the speed in which it's deployed and the executive decisions that allow companies to differentiate," said Intel CIO Stacy Smith.

Kagermann sounded a few familiar themes during his remarks, noting that "IT cannot be viewed as a cost center, but as a strategic lever" and "business leaders need more skills to turn technology into business benefits."

But he also espoused the notion that "we can't rely on hardwired, baked-in processes (anymore). You must break up the hardware value chain...(and have) a combination of specialization and consolidation in those areas where this can effected in a parallel fashion."

"The (IT) industry has agreed that web services is the approach of the future," he said. "But enterprise services must be defined in a business language. This approach brings decisions to the business, but brings power to IT, as it demonstrates the importance of IT."

Kagermann laid out a roadmap for SAP's web services strategy, which is called Enterprise Services Architecture (ESA) and has was introduced in 2003. Kagermann said that "we are halfway there" with full ESA deployment, and that the strategy will be fully baked, so to speak, in 2007.

"ESA takes SOA to the next level," he said. "We are moving toward dynamic, adaptive business networks. (But) whatever strategy you have, it must be about, must lead to, plug-and-play within your business. As you turn existing processes into something new, occasional users need change to be so intuitive that they (simply) go on working, while professional users need embedded learning. They must learn on the job. You can't afford to have them sitting in classrooms anymore."

Kagermann said that the idea of customers working with SAP and other technology companies to drive innovation will result in "next practices," rather than simply best practices. Business integrity can be built on existing best practices, he said, but business innovation will drive next practices.

He said that as SAP drives toward completion of its roadmap in 2007, that it will follow four key principles: standards drive interoperability and protect IT investments, industrialization of development and (process) re-use drive quality up and costs down, competitive differentiation preserves data integrity and Sarbanes-Oxley compliance, and partner ecosystems accelerate innovation. Kagermann is CEO of SAP AG, the parent company based in Walldorf, Germany. SAP has long been known as an ERP powerhouse with a large European business base, significant presence in the U.S. and a reputation for enterprise application build-outs that last several years.

With a renewed emphasis on SAP America, based in the Philadelphia area under the leadership of Bill McDermott, SAP has developed a more aggressive posture in the U.S. that has recently involved competing with Oracle for acquisitions (notably PeopleSoft and Retek), for customers, and for thought leadership in the enterprise IT space. Kagermann remarked that the company's increased presence and aggressiveness in the U.S. is explained by a simple fact: "The U.S. is the world's largest market, and people are more aware in the U.S. that to fully use the power of IT, there have to be changes."

More Stories By SAP News Desk

SAP News Desk trawls the world's news information sources and brings you timely updates on the world's leading provider of enterprise resource planning (ERP) and its various software product lines used to integrate back-office functions such as distribution, accounting, human resources, and manufacturing.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.

IoT & Smart Cities Stories
The challenges of aggregating data from consumer-oriented devices, such as wearable technologies and smart thermostats, are fairly well-understood. However, there are a new set of challenges for IoT devices that generate megabytes or gigabytes of data per second. Certainly, the infrastructure will have to change, as those volumes of data will likely overwhelm the available bandwidth for aggregating the data into a central repository. Ochandarena discusses a whole new way to think about your next...
CloudEXPO | DevOpsSUMMIT | DXWorldEXPO are the world's most influential, independent events where Cloud Computing was coined and where technology buyers and vendors meet to experience and discuss the big picture of Digital Transformation and all of the strategies, tactics, and tools they need to realize their goals. Sponsors of DXWorldEXPO | CloudEXPO benefit from unmatched branding, profile building and lead generation opportunities.
All in Mobile is a place where we continually maximize their impact by fostering understanding, empathy, insights, creativity and joy. They believe that a truly useful and desirable mobile app doesn't need the brightest idea or the most advanced technology. A great product begins with understanding people. It's easy to think that customers will love your app, but can you justify it? They make sure your final app is something that users truly want and need. The only way to do this is by ...
Digital Transformation and Disruption, Amazon Style - What You Can Learn. Chris Kocher is a co-founder of Grey Heron, a management and strategic marketing consulting firm. He has 25+ years in both strategic and hands-on operating experience helping executives and investors build revenues and shareholder value. He has consulted with over 130 companies on innovating with new business models, product strategies and monetization. Chris has held management positions at HP and Symantec in addition to ...
Dynatrace is an application performance management software company with products for the information technology departments and digital business owners of medium and large businesses. Building the Future of Monitoring with Artificial Intelligence. Today we can collect lots and lots of performance data. We build beautiful dashboards and even have fancy query languages to access and transform the data. Still performance data is a secret language only a couple of people understand. The more busine...
DXWorldEXPO LLC announced today that Big Data Federation to Exhibit at the 22nd International CloudEXPO, colocated with DevOpsSUMMIT and DXWorldEXPO, November 12-13, 2018 in New York City. Big Data Federation, Inc. develops and applies artificial intelligence to predict financial and economic events that matter. The company uncovers patterns and precise drivers of performance and outcomes with the aid of machine-learning algorithms, big data, and fundamental analysis. Their products are deployed...
Cell networks have the advantage of long-range communications, reaching an estimated 90% of the world. But cell networks such as 2G, 3G and LTE consume lots of power and were designed for connecting people. They are not optimized for low- or battery-powered devices or for IoT applications with infrequently transmitted data. Cell IoT modules that support narrow-band IoT and 4G cell networks will enable cell connectivity, device management, and app enablement for low-power wide-area network IoT. B...
The hierarchical architecture that distributes "compute" within the network specially at the edge can enable new services by harnessing emerging technologies. But Edge-Compute comes at increased cost that needs to be managed and potentially augmented by creative architecture solutions as there will always a catching-up with the capacity demands. Processing power in smartphones has enhanced YoY and there is increasingly spare compute capacity that can be potentially pooled. Uber has successfully ...
SYS-CON Events announced today that CrowdReviews.com has been named “Media Sponsor” of SYS-CON's 22nd International Cloud Expo, which will take place on June 5–7, 2018, at the Javits Center in New York City, NY. CrowdReviews.com is a transparent online platform for determining which products and services are the best based on the opinion of the crowd. The crowd consists of Internet users that have experienced products and services first-hand and have an interest in letting other potential buye...
When talking IoT we often focus on the devices, the sensors, the hardware itself. The new smart appliances, the new smart or self-driving cars (which are amalgamations of many ‘things'). When we are looking at the world of IoT, we should take a step back, look at the big picture. What value are these devices providing. IoT is not about the devices, its about the data consumed and generated. The devices are tools, mechanisms, conduits. This paper discusses the considerations when dealing with the...