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SAP® Model Company

Update & Outlook

Andreas Elting, SAP Model Company Portfolio Manager

Simone Feld, SAP Model Company GtM Lead

SAP® Model Company

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The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. Except for your obligation to protect confidential information, this presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this presentation or any related document, or to develop or release any functionality mentioned therein.

This presentation, or any related document and SAP's strategy and possible future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this presentation is not a commitment, promise or legal obligation to deliver any material, code or functionality. This presentation is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This presentation is for informational purposes and may not be incorporated into a contract. SAP assumes no responsibility for errors or omissions in this presentation, except if such damages were caused by SAP’s intentional or gross negligence.

All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

Disclaimer

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• Overview of SAP Model Company offerings

• How to make best use of SAP Model Company offerings and reduce risk in your transformation

to the intelligent enterprise based on S/4HANA

• Get insights into SAP Model Company roadmap

• Q&A

Objectives

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Dealing with SAP solutions is complex: Cloud, On-premise, Hybrid Landscapes

On-premise

Hybrid

Cloud

cloud on premise

Classical SAP® on-premise apps

SAP S/4HANA SAP CRM SAP BW/4HANA

SAP SRM SAP ERP HCM …

Customer data center

Potential deploymentscenarios

PaaS cloud SaaS cloudIaaS cloud

(Hyperscaler)

Cloud, extended

Classical SAP® on-premise apps Classical SAP® on-premise apps

SAP HANA®

Enterprise Cloud and

SAP hosting partner

Amazon AWS

Google Cloud Platform

Microsoft Azure

SAP Cloud PlatformSAP Fiori® apps

SAP WEB IDE

SAP ISS

Cloud solutions from SAP

SAP SuccessFactors® solutions

SAP Analytics Cloud

SAP Ariba® solutions

SAP S/4HANA®

Integration

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Stephan Klein, SVP, SAP Model Company Lead, SAP Customer Success

“SAP Model Company is the baseline and

reference for the entire SAP product portfolio,

for on-premise, cloud or hybrid platforms, led by

industries and based on the LoB platform, fully

interoperable – end-to-end. “

© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ 6PUBLIC

One Market standard repository

with business models and

business configuration across all

codelines for the Intelligent

Enterprise

Accelerated innovation adoption

and simplification of the

Intelligent Enterprise

Transform business processes

and adopt industry best

practices and innovative

technologies

Accelerate implementation

for faster time-to-value

Continuous innovation

adoption through business

content upgrades

What is SAP Model Company?

Time to value, reduction of risk, and continuous innovation adoption are key

Customer challenge

▪ Fast changing business

requirements and models

requiring intelligent and flexible

enterprise solutions

▪ High TCO for non-differentiating

processes eats the budget for

investments into innovations and

differentiating process scope

▪ Complexity of existing systems

and solutions blocks continuous

innovation adoption

▪ Lack of guidance on Industry

and LoB Best Practices

SAP Model Company Deliver on the cloud promise

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SAP Model Company

Forrester Total Economic Impact Study 2020*

Through six customer interviews and data aggregation, Forrester concluded with the results from an

additional survey conducted with approximately 400 companies globally the following benefits:

reduction in the length of the solution design phase

reduction in the remaining project timeline due to lower project risk

overall timeline reduction creates 7.5 months of incremental project benefit

60%

34%

45%

Benefits

*for details see full study please visit sap.com/ModelCompany

Survey results from 400+ companies

that have switched or upgraded their ERP in the past 2 years,

thereof 50% SAP customers

• Over 90% of companies face challenges at each stage of transformation

• 65% found ready-to-use, prepackaged, end-to-end accelerators useful

• 69% expect faster time to value from ERP vendors

• Over 60% expect best practice industry business process content

“In the legacy, we couldn’t innovate. Now there is seamless

integration available with the latest SAP technology. Because I

have not customized so much, I will continually get a lot of

new developments, new features, et cetera into the

organization” [Director business process and systems, oil & gas industry, North America]

© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ 8PUBLIC

What is SAP Model Company?

Reference system & Whitelist approach

SAP® Model Company service is

▪ pre-packaged, ready-to-use, end-to-end reference solution for SAP S/4HANA,

SAP C/4HANA or SAP SuccessFactors

▪ tailored to a specific industry or line of business

▪ comprises state-of-the-art applications and proven best practices

▪ captures the experience from successful, real-life digital transformation projects

▪ embedded in an overall transformation road map, sold and delivered as a

service

SAP® Model Company – a reference solution

This reference solution has been developed following the SAP’s whitelist implementation

approach. The delivered Model Company clients:

▪ contain configuration specific to the scope of SAP’s Model Company reference

solutions

▪ contain configuration covering the end-to-end scenarios in scope, additional baseline

configuration and best practices

▪ do not include full content of client 000. Configuration tables in areas without Model

Company content are empty. Project teams might be required to execute IMG activities

that are not covered by the SAP Model Company content.

SAP® Model Company enables

▪ customers in any suitable project to increase quality,

accelerate adoption, reduce cost

▪ to decrease risk during discovery, preparation, exploration,

business process changes and realization activities

© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ 9PUBLIC

SAP S/4HANA Multinational Corporations

Enterprise Management

SAP S/4HANA Best Practices

CRM and Customer Experience

Customer Experience

Shared Services

Billing and Revenue Innovation Management

Digital Supply Chain

Connected Assets

Connected Manufacturing

Extended Warehouse Management

Logistics Execution

R&D / Engineering and Sustainability

Supply Chain Planning

HR and People Engagement

Manage Workforce (Employee Central)

Attract and Acquire (Recruiting, Onboarding)

Identify and Grow (Performance, Succession, Development)

Pay for Performance (Performance, Compensation)

Educate and Develop (Development, Learning, Jam)

Time Off (Employee Central)

Line of Business

Energy and Natural Resources

Chemicals

Mill Products

Mining Production Execution

Oil & Gas

Integrated Utilities

Service Industries

Airline Back Offices

Consumer Industries

Agribusiness

Consumer Products

Wholesale Distribution

Core Retail

Fashion and Vertical Business

Trade Management for Consumer Products

Life Sciences / Pharmaceuticals

Public Services

Defense Logistics

Public

Discrete Industries

Automotive

High Tech

Industrial Machinery and Components

Industry

Finance

Finance

What is our Portfolio?Portfolio 2020│On-premise and Cloud

© 2020 SAP SE or an SAP affiliate company. All rights reserved. ǀ 10PUBLIC

SAP Model Company▪ 20 offerings

▪ Preconfigured, ready-to-run

▪ Leading end-to-end practices

▪ On premise, SAP HANA Enterprise Cloud, AWS, Azure

SAP Value Assurance

for BW/4HANA

2016

2017

SAP Model Company▪ 25+ SAP Model Company offerings

▪ Enhanced industry coverage

▪ Partner collaboration model

SAP Value Assurance ▪ Enhanced integration into the road

maps

▪ Enhanced integration into engagement sizing

▪ Available for distinct Cloud Solutions

SAP Value Assurance

for S/4HANA▪ Methodology per transition scenario

▪ Flexible scope tailoring & extensions

▪ Powerful accelerators and tools

▪ Vendor exclusive skills and guidance

New SAP Model Company▪ Interoperability for several offerings

▪ Extend U.S. baseline

▪ NEW Platform concept combining

Industry- and Line-of-business content

▪ Partner Framework for more diverse

portfolio and flexible engagement

SAP Value Assurance Available for distinct Cloud Solutions

What is future roadmap?

Evolution

2019

2018

• Interoperability concept

extended to all offerings

• Content available through

Cloud Subscription

• Content available through

“on-premise subscription”

• Enhanced Portfolio (new Model

Company services and

enhanced features)

• Enhanced delivery models for

combining Industry- and Line-of-

business content

• Extended Partner Framework for

scalability

2020+

Thank you.

Contact information:

Andreas Elting

SAP Model Company Portfolio Manager

SAP Model Company

http://www.sap.com/modelcompany

Appendix

Picture Credit | Customer Name, City, State/Country. Used with permission.

Since working with the SAP Digital Business Services organization to deploy the SAP® Model Company

service for Oil & Gas running on Microsoft Azure, Nostrum Oil & Gas PLC now has:

• A clear plan in place to replace its legacy ERP system with SAP S/4HANA®, starting with accounting

• A proven business process model for upstream oil and gas operations to prepare for expansion and growth

• Preconfigured SAP S/4HANA software to test-drive functionality

• Trusted online data available to everyone from operators to top management

• A single source of historical and operational data, with real-time production data analysis, reports, and dashboards

• Digitalization of manual paper- and spreadsheet-based processes

• Greater integration of business processes for production, operations, and finance, helping automate, optimize,

and simplify work

• An implementation accelerator for SAP S/4HANA

Nostrum Oil & Gas prepares for digital transformation by

following best practices to benefit the business and customers.

“SAP Model Company for Oil & Gas is a preconfigured solution based on proven best-practices for upstream operations. And SAP Digital Business Services has the IT and industry expertise as well as the global collaboration capabilities we need for this project.”

Frank Catumbela, Advisor to CEO, Board Member, SAP S/4HANA Program Director, Nostrum Oil & Gas PLC

Nostrum Oil & Gas

Amsterdam

www.nostrumoilandgas.com

Industry

Oil and gas

Employees

1,000

Rev enue

US$348 million

Featured Solutions and Serv ices

SAP S/4HANA and SAP

Model Company for Oil & Gas

www.sap.com/contactsap

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In particular, SAP SE or its affi l iated companies have no obligation to pursue any course of business outlined in this docume nt or

any related presentation, or to develop or release any functionality mentioned therein. This document, or any related present ation,

and SAP SE’s or its affi l iated companies’ strategy and possible future developments, products, and/or platforms, directions, and

functionality are all subject to change and may be changed by SAP SE or its affi l iated companies at any time for any reason

without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or

functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ

materially from expectations. Readers are cautioned not to place undue reliance on these forward -looking statements, and they

should not be relied upon in making purchasing decisions.

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