B4B How to jump-start your journey with your Professional Services Business
Nicolas Schobinger | SAP AG 05.05.2014
@nschobinger
Safe Harbor Statement / Disclaimer
Safe Harbor Statement Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “intend,” “may,” “plan,” “project,” “predict,” “should” and “will” and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP’s future financial results are discussed more fully in SAP’s filings with the U.S. Securities and Exchange Commission (“SEC”), including SAP’s most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.
Disclaimer
SAP has no obligation to pursue any course of business outlined in this presentation or to develop or release any functionality mentioned in this presentation. This presentation and SAP's strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document 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. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP intentionally or grossly negligent.
2
@nschobinger
2013
Culmination 2009
3
Yet, sense of Urgency has not yet peaked !
@nschobinger
SAP Services – At a Glance 4 Lines of Business: Consulting, Education, Custom Development, Premium Support
4’500+ Million USD revenues
15,000 Consultants
15,000 Engagements annually
1,000,000 Days delivered annually
60+ Countries with local presence
500,000 Customers and partners resources trained annually
4
@nschobinger
Many ways to start
Source: Pictures taken from A. Lange & Söhne, Glashütte, 2014 .
5
Complication
B4B
Caliber
eg Line of Service
Tourbillon
eg Capability
@nschobinger
B4B – Where are best capabilities?
6
Delivery Go-to-Market Portfolio
@nschobinger
Portfolio
Defining a B4B Portfolio
What did we do? • Defined an OBS framework (Specs)
– Codifying the 5 criteria – Requirements, Checklist – Templates – Examples
• ∆ existing Services to meet OBS specs • ∆ Service creation process • Retiring non-OBS from Catalogue
7
Outcome-Based ready | potential
Existing Portfolio
• Propensity • Business Value • Differentiation • Pricing • Marketability
@nschobinger
Outcome-Based Services – Examples
8
Portfolio
Before Upgrade
Assessment
Technical Upgrade
Functional Upgrade
$
ONE Customer
$ $
After
Upgrade Bundle
• Out of the Box • Minimal Down Time • Fixed Price • Fixed Scope
ONE Customer
$
Use-case IP
@nschobinger
B4B & The Portfolio – Learnings
Lessons Learned • Framework: clear, pragmatic • Portfolio rework: on promising
prospects instead of lemons • Differentiation: strongest predictor
for success • Sales force benefits: simplification,
differentiation • Key: embedding of Sales tools (e.g.
Sales Navigator)
9
Portfolio
Experiences Benefit
Por
tfolio
Cov
erag
e
0%
5%
10%
15%
20%
Before After
8x
1:6
Identify
1:50
@nschobinger
Selling the B4B Portfolio
Volumization, Outcomes, Execution 10
Build Scalability with Tools
• Context aware • Push/Smart vs Pull • Demand shaping on
the spot • Collateralized • Execution-minded • Mobil, yet back-end
connected
Sightings
• Portfolio gets broader and broader
• Land & Expand • Smaller deal-sizes
• Volumization in
the GTM • Outcomes
Go-to-Market
Still a Reality
@nschobinger
Go-to-Market
Selling the B4B Portfolio – Demo
11
@nschobinger
B4B & The Go-to-Market – Learnings
Lessons Learned • Technical Infrastructure – needs
device mgmt, sync, content push • Enablement – learn to use it,
deployment on device • Chicken & Egg – no content no use,
no audience no invest • Handshakes – CRM, between tools,
into the core systems • Executive Cadences
12
Experiences Benefit
0%
20%
40%
60%
80%
100%
Before After
-30%
gone
Identify
Shape
SME & Estimate
SME & Estimate
Identify & Shape
Sal
es C
ycle
Tim
e
Go-to-Market
@nschobinger
Delivery
Delivering the B4B Portfolio
Customer Value, Efficiency, Speed
+
Pre-Assembly
Outcome Based Delivery
+
Cloud
+
Agile Implementation Outcome Based Delivery
+
Additional requirements
+
Outcome Based Assets (1..n)
+
Engineered Services
Rapid Deployment Solutions
13
@nschobinger
Delivering the B4B Portfolio – Demo
14
Delivery
@nschobinger
Delivery
B4B & The Delivery – Learnings
15
Lessons Learned • Outcome based assets as
prerequisite • New Framework - Design-based vs Assembly - Solutioning & Assembly is now key - WBS, Production-Model, Location
• Cloud provisioning • Automation is front and center
Experiences Benefit
0%
20%
40%
60%
80%
100%
Before After
-40%
-50%
-30%
Prep
Blueprint
Realize
Test
Go-Live
Test Run
Start
Deploy gone
Del
iver
y C
ycle
Tim
e
@nschobinger
Delivery Go-to-Market Portfolio
B4B & Extreme Efficiency P
ortfo
lio C
over
age
0%
5%
10%
15%
20%
Before After
8x
1:6
Identify
1:50 0%
20%
40%
60%
80%
100%
Before After
-30%
gone
Identify
Shape
SME & Estimate
SME & Estimate
Identify & Shape
Sal
es C
ycle
Tim
e
0%
20%
40%
60%
80%
100%
Before After
-40%
-50%
-30%
Prep
Blueprint
Realize
Test
Go-Live
Test Run
Start
Deploy gone
Del
iver
y C
ycle
Tim
e
16
@nschobinger
Many ways to start
Source: Pictures taken from A. Lange & Söhne, Glashütte, 2014 .
17
B4B Line of Business Capability
Complication Caliber Tourbillon
@nschobinger
Contact Information
Nicolas Schobinger Head of Global Strategy & Execution, SAP Services [email protected] @nschobinger
18