From the previous high-end, people need to look up to see the SAP that is not returned, SAP is close to each level of business, and ordinary small businesses can touch the SAP products. The greatest contribution of Sadman's SAP China is to discover the difference between the Chinese market and other markets: a single engineer culture is not available here, but also needs to combine sales and market. SAP has three complete product lines of high, medium and low-end, as well as carefully weaving a network, and interested in different industries and scale stars.
Puppy SAP June 15, 2004, the 12th floor SAP, 12th floor, South Building, Kerry Center. Sapan, president of SAP, returned from the airport, just sent to the SAP CEO of Japan to visit Japan, Kong Hanning, rushing into his office, a launch conference, interview with customers and government high-level leaders Waiting for the event to write some tiredness on his face. In the Asia-Pacific region, SAP Japan's performance is in the first place is the largest market in Asia; China Second, it is equivalent to Japan's 1/10, which is the largest market. This time, Kong Haning's fourth visit, since 2001, he has to come to China every year, and personally feel the development of China. Indeed, since 2001, because of the signing of Sinopec, China's global 500 companies, the market share reached 30%, SAP China gradually came out of the shadow of the company's initial performance, this time ratio The initial SAP headquarters decided to enter the research report made before entering the Chinese market for about two years in advance. Since then, SAP maintains steady high-speed growth. In 2003, SAP China's software revenue growth rate is more than 90%, and more than 80 users have new users, including China Telecom, Shougang Group, China Merchants Bank, Guangzhou Pharmaceutical, etc. Become the SAP Asia Pacific 2003, the fastest growing star country. In the first quarter of 2004, SAP was signed with Bank of China, Baosteel, Kungonel, and revenue growth rate reached 103%. There are two main reasons for the advancement of SAP China's profit time and accompanying steady rapid development. From an external factor, under the original planned economy conditions, Chinese companies do not need to inform in an environment that does not require competition. After entering the market economy, especially after the WTO, Chinese companies and domestic and foreign competitors have a limited market share of strong hands, such as forests and competition, market share is the lifeblood of enterprises. How to improve competitiveness? Enterprises are constantly thinking about this problem. At the same time, the Chinese government has continuously emphasized that "it is not a void slogan for many state-owned enterprises that have been traveled from planned economic transformation. The government has also passed a policy that stipulates that the state-owned enterprises in ERP can reduce 10% tax. As a few years ago, China's ERP market has not yet been opened, or during the period of MRP and MRP II, the government has vigorously promoted the informationization of Chinese enterprises to create a good atmosphere, and Chinese companies quickly accepted the concept of ERP and Pay attention to the implementation of ERP. From the internal factors, SAP is a very focused technology company, advocating engineer culture, the entire company from the founder to most of the staff is doing technology, excellence in products, they think a good system itself It can speak more customers, and SAP can be kept inseparable from 30 years, and it has been directly related to it. SAP is a country, with the product itself can win the market, and can be profitable soon, so SAP enters China's first few years without sales team, all SAPs are in China at the time of China's employees or consultants. But this kind of corporate culture in the past 20 years is in China. Since SAP in 1995, SAP officially entered the Chinese market in 1999, SAP China's performance is very difficult.
In 1997, I have lived in China for more than ten years. I have a very understanding of China's national conditions and culture. Saiman has served as president of SAP Greater China. He slowly found that China's market is different from other markets, even if the product is very good. But it still needs a certain sales skills and strategy. It has a certain relationship network to sell this product better. He explains the special situation of China to the headquarters, so that the headquarters follow his thoughts. After Ximan's arrived, the biggest decision to start building a pre-sales engineer and sales staff, while enrolling the market director, creating a market team and sales mutual promotion. At that time, most of China were conservative, very much attention to how other companies operated, after the establishment of the market, on the one hand, advertising, etc., on the other hand, the government, customer relationship, bringing a better case to potential The customer is going around. The engineers of SAP companies in engineering culture as a background, they did not care about sales, markets, etc., and the biggest contribution to SAP China has changed this point of view from some extent. This is SAP. A fundamental of China companies survive. In 2001, SAP finally ushered in the day of "Touching the Day". It is also a direct relationship with a specific strategy of SAP China from a difference, and a specific strategy of SAP China. It is the "Lighthouse Plan" proposed by Western. Familiar with Saman will find that he likes China's traditional culture, often discovering some idioms similar to China's similar "role model of" being infinite ", as the discretion, as expressing it, after thinking. Chinese people are good at image thinking, like to accept specific examples, models, Chinese government and media often conduct different industries, different types of example education, China Enterprise managers who grow up in this environment also have this "example complex". Ximan, who is deeply versed in China, very well, know what this culture can bring for SAP. SAP's product itself is a huge feature, including the "best business practices" of the world's excellent enterprises, is a famous brand. But the management software is different from ordinary applications, which must be combined with companies with higher management levels to show excellent performance. SAP Chinese companies that have consistently cautious, robust and pragmatic, began to choose the successful enterprises in a country, or not large but managed companies containing transformation mechanisms to implement ERP, such companies identify informationization will bring them Management change. The most fundamental effect of this strategy is that the success rate of SAP's product is high. Enterprises that use SAP software to get huge benefits are like lighthouse, bringing bright and illuminating the road development of the industry. Guide other enterprises to follow, this is the "Lighthouse Plan" in Siman. The initial "lighthouse" company is some multinational companies, such as FAW-Volkswagen, P & G, etc. Different than the tiger to add wings. "Until 2001, 'Lighthouse Effect' is getting angry. First, two batches of customers slowly tasted sweetly from SAP software, knowing that cooperation with SAP for Chinese companies, especially China's state-owned enterprises, very suitable, They are our mirrors, and they also play a good appearance to other companies. "Siman said. The civilian SAP can be said to all the way in the high-end market, no ERP software company can match SAP in this field. Even later, Oracle, which entered the ERP field, also saw that its market's survival is mainly mid-end: because there is SAP, there is a bold butterfly, user and other local ERP vendors. SAP has nothing to have in SAP and China's ERP manufacturers since the past few years. The SAP company's own success is to provide excellent products and services for existing customers, and continuously buy new products in existing customers, and do not develop new customers as many companies, and lose their old customers.
However, competitive patterns have changed, from the world, the global large enterprise market has been saturated, both from software or hardware launched products and solutions for SME markets. For example, Microsoft - Personal office software leaders are also slowly turning to enterprise applications, establishing a commercial solution to SME solutions. In 2000, Microsoft acquired US local medium-sized financial GreatPlaints in US $ 1.1 billion; in May 2002, it costs $ 1.3 billion to buy European small enterprise applications suppliers Navision, entering SME ERP, e-commerce, HRM, CRM and other markets. Microsoft's movement makes SAP to list it as the most important, competitors in the same level. "This is also a very good competitor. We generally be based on the success of us in the market, now we are doing very well." Kong Hanning said in the press conference on June 14. Among more than 20,000 customers in SAP, more than 60% of customers are large multinational companies, enterprise groups, with some million small and medium-sized businesses, dealers in the existing more than 20,000 large customers. Waiting for partners. SAP is in the process of large enterprise customer service, large enterprises are well managed within the company. When the supply chain management is developed, they require their suppliers and distributors to achieve data integration and sharing, which requires SAP to be able There are good software for small and medium-sized enterprises to make the data flow of the entire supply chain more smoothly. At the same time, the branches of large enterprises, and subsidiaries can also use this type of software to effectively reduce large-scale companies' costs for software. This idea also adheres to the SAP's practice in excavating potential in the customer. Under the drive of large companies using SAP software, supporting companies (suppliers, vendors) or subsidiaries, branches are most likely to use SAP small The first customer of the company's solution. Under the influence of these companies, other small and medium-sized businesses may follow up. The fact that the fact that this market has been added to the small and medium-sized ERP software company in Europe and the United States. For SAP, large business customers are quite stable, need to find new growth points to adapt to changes in the global IT competition, which makes SAP decided to enter SMEs. On March 13, 2002, in the world's largest IT industry exhibition --ce bite (German Hanno Computer Product Exhibition), SAP released the "SME Solution", this decision is called "SAP was established for 30 years. A new milestone. On July 2, the same year, SAP officially launched a small and medium-sized business solution at the SAP Sapphire User Conference organized by Orlando, USA: SAP Business One and MySap All for "growth medium and small business" and "mature small business" -in-one. Follow SAP's global strategy to enter the SME market, July 23, 2002, SAP China announced that two products were introduced to medium-sized enterprises, large enterprise branches and small businesses. In China, SAP defines the annual sales of more than 500 million yuan to the small and medium-sized enterprise customer group. Most Chinese companies can be divided into this range. According to a internal survey of SAP, there are about 3 million domestic SMEs in the annual turnover of 10 million to 500 million yuan, including more than 60% of them use software, but most of these software is based on the department. Financial software, import and storage software, etc. of the class application, only 3.5% of the enterprises that really have an ERP system. This shows that China's SME market has huge prospects, and SAP SME strategy is just consistent with the development status of Chinese companies. The Chinese market is an important part of the SAP global small and medium-sized business strategy. Why is SAP to establish an SAP China Institute in Shanghai in November 2003 as a R & D base for the global and China SME applications.
As part of the SAP Global R & D, SAP China Research Institute is playing an important role in the global, Asia-Pacific region, and the Chinese market technology research and product development work. From emerging technology research, business process innovation, global strategic product development, solution localization to customer custom development and support, SAP China Institute's work covers the entire life cycle of software products. Among them, small and medium-sized enterprise solutions, Linux applications, supply chain management and manufacturing related solutions, corporate strategic management solutions, human capital management solutions, and NetWeaver technology architectural platform research and development are the current focus of the study. After a year or so, SAP released the localized Mysap All-in-One and SAP Business One products in May and September, respectively. According to Saman's ideas: "SAP has helped China's advanced enterprises become the 'Lighthouse' in the informationization process. As the" Lighthouse Plan "continuation, SAP will provide the best products and services to advanced companies in all industries in China. Helping them maintain leaders in the domestic industry and growing into world-class outstanding companies, 'Lighthouse Plan will put SAP' Best Business Practice 'and management essence to a broader small and medium-sized application area to help more China's growth Enterprises, let them get the best guidance in the process of growth, early and internationally growing in the competition in globalization. "Mining and high-end products are directly sold, maintained by SAP companies, just in implementation and partners Different models are different, and SAP SME solutions take channel sales models developed through partner value-added. SAP products have strong openness and integration, which does not directly introduce and sell products, but provides value-added development tools, which have completed secondary development for industry-oriented partners. The reason why this kind of sales is because SAP's core competitiveness is the product, without distinguishing energy in sales, implementation, and secondary development. SAP global consultation engineers have more than 200,000, but most of them are in partner companies, SAP's own consultants are only a few thousand; there are more than 2,000 SAP certified engineers in China, but SAP China There are only 100 people within the company. This is the approach of SAP's global settlement partners that will give value-added parts (consult, implementation, secondary development, etc.) to form a good industrial chain. In the field of SME, SAP is still focused on doing products well. On the other hand, SAP also does not have a sales channel for SMEs in China, and SAP must rely on the model of partners, let the service providers, and play the advantages in the segmentation industry. Quickly improve channels and expand sales range. Companies capable of becoming SAP channel partners need SAP strict certification. However, it is unquestionable that SAP SMEs still need to constantly improve. "There must be a road to the way in any market. It is to have a cultivation plan for channels. We know that the value-added developers of SAP's SME business may be relatively weak. SAP company has Specialized sales team, there are many small and medium-sized business channel managers, and now the SAP's sales team take them together to take these paths. In the future, we will guide them on the other hand, on the other hand, give them in-depth training, Let partners can train their customers. "Xifeng explained.
"In addition, with SAP Europe's experience, many SAPs have implemented partners gradually transform into sales partners, and many independent software dealers or integrators have great benefits through sales and implementation SAP software, and will also Some partners before SAP have transformed into this regard. Ximan is very confident that "SAP China has 7 years of sales experience, including 4 years of time, and perfect direct sales market, these experience can be obtained SMEs promote. SAP has been promoted from SMEs last year. It is also the beginning of channel strategy. This year should be a development year. It should be more mature next year. "It seems that the Domestic Kingdee and UF will be regarded as the biggest in SAP SME strategy. The channel problem of weak items will be resolved by it by the time of 2 to 3 years. Although it is aimed at SMEs, domestic manufacturers believe that the SAP Business One product of 3 users (License) is still selling 80,000 yuan, this price is still very high, because domestic manufacturers claim that only a few thousand yuan can be completely identical Function, the SAP believes that SAP Business One has an unparalleled advantage in the integration and openness of the product. Indeed, SAP China Institute has now 300 people, 70-80 people are developing software for SMU, and there are more than 60 R & D and technical support teams for SAP Business One, and not only for the Chinese market. Including the entire Asia Pacific region and some South American countries. The prototype of this product is the product of Israeli TopManager, which is acquired by SAP. This product itself has a very good architecture that can continue to add new features above. This company currently in Israel has become an SAP for the base for Europe and North America. The SME R & D team of China Institute continues to communicate with its regular exchanges, and complement each other, the enhancement function, which has already made this main main Software for trade-oriented companies enhances modules such as production management, after-sales service and human resource management, and will be pushed on Linux-based versions at the end of this year. Like "Lighthouse Plan", SAP hopes to produce "lighthouse effects" in SMEs. For Business One, SAP started "原 行动" from last year, attracting domestic excellent SME customers. The SAP branch has a certain model customer, and the choice is better to operate, and the management is mature, and the model enterprises entering the "原 行动" enjoy special preferential policies in price. And according to Western talk, SAP has recently made a series of price adjustments, which will be more attractive. SAP China is currently from high-end markets. While meeting large-scale business needs, SAP is increasing to invest in small and medium-sized enterprises. So far, there is about 900 customers in SAP, including nearly 400 customers from SMEs, from the income of SMEs account for 10% of total revenue, and it is expected to reach 15% this year. From the previous high-end, people need to look up to see the SAP that is not returned, SAP is close to each level of business, and ordinary small businesses can touch the SAP products. SAP has three complete product lines of high, medium and low-end, as well as carefully weaving a network, and interested in different industries and scale stars. Eb World: From your first time to China, there is a former 20 years, how do you evaluate the changes in China? How to evaluate the changes in competitiveness of Chinese companies to enhance corporate competitiveness? Western: It is hard to imagine that China will have such a big change in China: new trend, fashionable phenomenon will appear in China. In those years I just came to China, informationization is not important for people, financial managers, and CIOs are later.
Due to the economic development, Chinese companies have some transformations in the past five years, and these companies are also discussing information, IT systems, ERP, profits, owners equity like foreign companies. Starting from 1995 to 1996, Chinese companies have begun to realize informationization, and companies pay more attention to management training. More companies have continuously promoted enterprise management as a tool for management software. EB World: SAP officially entered China in 1995, the first two years of SAP is not very smooth in product localization and foreign cases, what is the main reason? Western: SAP initial difficulties may come from the gap between Chinese companies. We emphasize the management philosophy in this software, and SAP products have guiding significance for all enterprises. Our competitors sometimes say that customers may need more flexibility, don't be too dead, what is the process of customers, and we will design software according to that process. From the perspective of long-term development, this is wrong. In particular, most of China has changed from the planned economy. There is not much management concept. They need to have a suggestive, a good guide, which can drive them to manage Transformation. Eb World: Recently, SAP's investment in low-end and market is very strong. Do you think SAP in this field is SAP? Western: We now have more than 100 people focus on the SMB market from R & D and sales, and SAP has 14 channel partners now have product distribution. We have just visited a large customer of SAP, and 11 branches have adopted SAP systems. The leaders of this customer think that SAP's system is very helpful to their business operations, helping them save costs and improve efficiency. More than ten years ago, it is difficult to imagine the management informationization of large-scale state-owned enterprises to do such a good day: high efficiency, cost savings, and very good customer relationship. In fact, state-owned enterprises sometimes have a lot of stress in this shift, or may fail. So many customers in today, let me full of confidence in China's companies. Eb World: What is the advantage of SAP in the middle and low-end software market compared to some ERP software companies in China? Is SAP's product relative to some of China's same function software products? Is MYSAP All-in-One? Is it a concentration of high-end products? Western: I recently saw a slogan: "It is necessary to internationalize", this is the advantage of SAP products. Any company does not want himself to be a SME, we have services in more than 190 countries, and SAP has 40-50 different languages, and supports different countries with different countries: financial, human resources policies, Only companies and products such as SAP can be suitable for these companies to travel to international roads in the future. From the product's function, our low-end products - Sap Business One is tailored to real small and medium-sized enterprises. With the development of the company, SAP has other different levels of products, which can be upgraded to MySAP ALL in the future. -in-one, even upgrade to high-end products. Customer development of products using SAP will not be limited. Mid-End Products Mysap All-in-One features a lot of pre-configured things inside, it has solidified SAP's "best business practices" to this product, which is very helpful for customers' use. of. Eb World: In November last year, SAP established the Chinese Institute in Shanghai, mainly responsible for the study of global problems, for the Chinese market, what function does this Chinese Institute mainly play? Western: It is only known as a research institute only for the Global R & D institutions for SAP.
