19 March 2012

Why did SAP buy SuccessFactors?

SAP's Strategy
With acquisition of SuccessFactors, Bill McDermott and Jim Snabe have named the Founder & CEO - and cloud visionary, Lars Dalgaard, as head of the combined cloud solutions business at SAP. With over 10 years of experience driving SuccessFactors to a phenomenal 15M business users - over 2-3 times the nearest competitor, Lars is uniquely positioned to drive this business for SAP. SAP's goals are to enable businesses of all sizes to unleash the power of cloud computing to help the world run better.

Lars has been given:
􀂃 Over 3,000 developers to accelerate the delivery of our cloud solutions
􀂃 Over 1,000 sales people to aggressively pursue cloud opportunities worldwide
􀂃 Over 2,000 sales support and GTM people to drive enablement
􀂃 This represents over 12% of the human capital resources at SAP!
􀂃 Coupled with the $3.4BN investment by SAP to acquire SuccessFactors, that’s quite an investment!

SAP's Promise
SAP is committed to win in the cloud market by leveraging all its assets. For current SAP on-premise customers, SAP will offer them the opportunity to move to the cloud when they are ready and to do it in a way that leverages all of their investments in SAP on-premise products. For new customers, we offer a broad set of solutions that can be rapidly deployed with lower cost of ownership. Our products are deployed on a secure and reliable cloud that scales to meet the needs of any size business.

Summary
SAP believes the full potential of cloud computing can only be realised if cloud solutions enable end-to-end business processes. The alternative is to lock business data and users in separate point solution clouds that will only slow businesses down in the end. We are differentiated by the fact that only SAP can deliver integrated cloud solutions to the enterprise that do enable end to end business processes.

If you would like to talk with SAP on this topic and what this could mean to your business, please feel free to contact Colm Fagan, HCM Sales Specialist. His email address is: colm.fagan@sap.com