SAP to stay independent


We often speak about SAP being one of the fastest growing software suites in the industry today and recent figures released on Reuters has confirmed that fact.

It was found that the company’s current market share stands at somewhere in the region of $86.6 billion. That amounts to approximately £55 billion, demonstrating just how popular SAP has become amongst some of the largest conglomerates in the world.

The figure makes SAP one of the largest companies currently operating in their native Germany,

placing them fifth on the overall list, and also ably demonstrates why SAP CEO Bill McDermott is not actively looking to partner the company with any other providers.In fact, he believes that the company should be going in the opposite direction, remaining independent so that they can make their own decisions in regards to which areas of the market to explore while also allowing them to take a larger proportion of the profits generated through companies using their software.

McDermott recently spoke to Euro am Sonntag regarding the issue, stating “I believe so, absolutely,” when asked if SAP would remain independent for the near future.He added “The best way for a company to stay independent is to grow and to have a good market capitalisation.”

As mentioned, the company is doing an excellent job of increasing their overall market share, capitalising on an increasing need that many companies have in regards to streamlining their services, managing complex projects and cutting costs wherever possible.

The comments come on the back of increasing rumours that the company may be looking to establish a partnership with one of the really big players in the industry to further expand product penetration. A similar concept was proposed back in 2004, before the company went on to grow into the massively internationally corporation that it is today. Back then talks were apparently held with Microsoft to make SAP part of the product suite released by the company, however negotiations broke down once it was realised how complex the deal would be, how many limitations it would place on SAP as a company and how difficult it would be to integrate SAP’s proprietary software into Microsoft’s suite. This in turn led to the company staying completely independent and growing on their own accord. Because of this, the SAP product line was much more readily available to companies of all sizes and remained fully flexible, allowing organisations to use as much or as little of the product line as they need. In the end it proved to be a wise move on the part of SAP, as there products became extremely popular on the back of this flexibility.

Furthermore, as the company grew an entire industry grew around it. Today SAP certification is amongst the most desirable qualifications a person can have when applying for a position at a new company and SAP consultants are in constant demand as companies aim to improve their use of the system. Because of this there has never been a better time to look into SAP training for yourself.