'In these dynamic times, SAP can't lose focus': The channel reacts to the vendor's partner summit
CRN spoke to three SAP partners during its summit in Twickenham about their relationship with the vendor
Cloud migration, the adoption of the AI and reliance on the channel were some of the key topics discussed at the UKI SAP Partner Summit in Twickenham this week.
More than 450 partners came together at the home of English rugby to listen in on some of the developments SAP is making towards deepening its channel relationships for the future.
CRN caught up with three partners who shared their perspective on the event and partnership opportunities with SAP.
Laura Atkinson, EY
What are your highlights from the event?
"It is very useful for EY to hear SAP's leadership team share their ambition, strategy and intent. In addition to day-to-day activities, it's great we can discuss strategic initiatives with SAP. Hearing about their long-term direction, intent and ambition is important for aligning our partnership.
"Equally important is having the opportunity to network with SAP's broader ecosystem. There are competitors here, but also many alliances EY has. Convening together, we can discuss what we've heard from SAP and talk about our shared ambition as part of the SAP ecosystem."
How would you describe your partnership and opportunities with SAP?
"Over the past 12-18 months, we've seen tremendous growth in our SAP partnership, with significant acceleration in the breadth and depth of joint client engagements. I believe there are a couple reasons for this: First, many clients are now looking to transform their businesses.
"EY wants to partner with them on true business transformation, with SAP as a key technology anchor. We've seen lots of clients ready for this journey, looking to EY for transformation advice.
"Second, we've effectively leveraged SAP's ecosystem programs like S/4HANA Flex. This has helped frame powerful value propositions and client conversations. We've gotten much better at this over the past 12-18 months."
How can your relationship with SAP develop and improve moving forward?
"Looking ahead to 2024, AI is now table stakes in every client conversation. Many large clients face pressure to perform in the short-term while also needing to transform long-term. They ask how to leverage AI responsibly and compliantly.
"As a result, we see CIO and CFO agendas converging, needing to combine around AI transformation. This represents a major partnership opportunity since SAP is close to the CIO while EY connects well with the CFO. Together, we're positioned to help both sides navigate their AI journey and transform business models by leveraging SAP.
"No major transformation will be powered by one vendor alone. The broader ecosystem is critical. EY's value is convening the partners to create value and meet the objectives of the CIO, CFO and CEO together. It's an exciting opportunity ahead.
"In terms of areas for partnership development, we have interesting global initiatives with SAP that we can't disclose yet. For EY's SAP practice in the UK, we are strong around the Business Technology Platform (BTP).
"SAP's strategy of innovating around a clean core, viewed through an AI lens, represents massive opportunity next year. We can leverage structured global programmes and local initiatives to help clients innovate around SAP's core within their broader transformation, in the context of AI.
"In terms of improvements, one challenge is our different business rhythms. EY has long sales cycles for strategic transformations while SAP's business moves faster with quarterly targets. It was helpful for SAP's CEO to acknowledge the need to balance long-term goals with quarterly performance. We need to continue navigating this.
"SAP could do more to appreciate EY's broader conversations around risk, tax, etc. when we partner with clients. Rather than just focusing on products to sell that quarter, leaning on EY helps SAP understand the full context of client challenges.
"Bringing the best across EY broadens the discussion beyond just an SAP upgrade business case.
"Overall, SAP has gotten much better at enabling its ecosystem with training, bootcamps, sprints and information access."
'In these dynamic times, SAP can't lose focus': The channel reacts to the vendor's partner summit
CRN spoke to three SAP partners during its summit in Twickenham about their relationship with the vendor
Chris Gabriel and Andy Steer, Sapphire/NTT Data
What are your highlights from the event?
"Partner events like this are useful to affirm SAP's strategy and ambition. But more importantly, we discuss what SAP's plans concretely mean for customers, our business and extending value for all involved."
How would you describe your partnership and opportunities with SAP?
"I want to avoid overstating things. The key is identifying practical steps to improve what we deliver for customers, enhance our competitiveness, and raise the overall SAP ecosystem. As partners, our shared goal is for SAP's success, so how do we best contribute?
"This requires thinking through skills, IP, go-to-market, pitching, planning and executing with SAP on shared targets. We must execute faster and better than others. My main question is how do we best capture the market opportunity?
"Undoubtedly, AI represents the overriding case for cloud that moves beyond anecdotal evidence. Like Charlie and the Chocolate Factory's golden ticket, AI is inside the chocolate bar. No business can avoid taking a chance on AI, otherwise they risk losing out if competitors achieve even small gains. The practical examples of AI's potential are what I'm most interested in.
"Three big things stand out: First, the incentives announced today to accelerate cloud migration by lowering costs are hugely important.
"Second, the ‘Business AI' focus is bold but smart. AI means little to most companies despite the hype. Many have wasted money on AI with no value. SAP embedding AI into business processes, so customers don't have to piece it together, is a massive, foundational move that gives me huge confidence.
"Third, expanding the partner ecosystem brings important new capabilities. As big proponents of partnerships, we're strengthening our proposition by collaborating up and down the value chain - from B1 and ByDesign to S/4HANA and SuccessFactors.
"No one can do everything alone."
How can your relationship with SAP develop and improve moving forward?
"Looking ahead to 2024, there is huge opportunity and SAP supports our growth ambitions.
"SAP helps shape our strategies and investments to avoid mistakes. But most importantly, it must make sense for customers.
"The first two points today were about accelerating value for customers. Get that right, and we as partners will succeed.
"There is momentum to build on by going back together to educate the market and engage the many businesses who don't fully grasp their untapped potential to digitize, modernize and transform.
"SAP has outlined those roadmaps well. Now it's on us to execute.
"With BTP, SAP has brought the portfolio together for partners and customers to leverage. For example, we built an app extending SAP for supplier onboarding and credit checks - huge time savings we can now replicate across industries.
"The economic impact of SAP and partners like us is massive. But this places responsibility on us to have those conversations and convince customers to invest. That's exciting - when we help move a customer forward, everyone wins. BTP provides the signposts, now we must execute.
"Times will likely get tougher economically. But our experience is forward-looking clients will invest during downturns to pull ahead of competitors. Many in our joint customer base fit that mould and will see business AI as a differentiator.
"In these dynamic times, SAP can't lose focus. They must continually adapt and execute, not just build something then stop. The partner programme is best-in-class for transparency and consistency.
"Huge investments have been made in enabling us. But the biggest risk would be complacency. Relationships and close collaboration are key to keep advancing together.
"For us, quickly adapting to market changes is crucial because we deliver immediate value, not lengthy business redesigns.
"So execution and flexibility are critical. The rules of business fundamentally don't change - you have to get the ball back to move forward. But we must constantly evolve together to win."
'In these dynamic times, SAP can't lose focus': The channel reacts to the vendor's partner summit
CRN spoke to three SAP partners during its summit in Twickenham about their relationship with the vendor
Partha Chakraborty, CEO at Innoverv
What are your highlights from the event?
"Today's event gives me confidence I made the right choice to stick with SAP. There was refreshing honesty about the current state of play.
"I've long felt SAP should focus on what it excels at - robust, enterprise applications. It won't become an AI startup. But embedding AI unlocks value, often through ecosystem innovations from smaller firms like mine. SAP opening up its platform for us, rather than trying to do everything, is reassuring.
"The clarity on cloud options was also helpful. For the first time, SAP crisply defined the target clients for RISE vs. GROW. While clients may not love it, the direction is clear - this is where we're going.
"After acquiring two businesses, my company is tied to SAP. We need their technology stack to build IP, then resell through SAP. I need that commercial enablement and go-to-market support.
"SAP has opened up in the last few years, providing APIs and data access. Today was significant with SAP saying they'll publish data through BTP even if it resides in other clouds. That openness is vital. Every vendor will have embedded AI, but industry use cases cross applications. SAP's openness enables that.
"As a new player, we benefit from SAP sticking to its cloud and clean core aspirations for RISE and GROW. This route is tougher for large competitors who customise on-prem deployments. SAP's cloud focus opens opportunities for smaller, agile players like me thriving in the ecosystem.
"If SAP backtracks towards customised on-prem, I'll be marginalised. While reassurances don't eliminate doubts, SAP leadership has committed firmly to this path. I'm confident but keeping an eye out in case things change."
How can your relationship with SAP develop and improve moving forward?
"Onboarding as a new partner could be smoother. For small companies, some pure cloud vendors are easier to work with in onboarding and pricing. SAP is moving in that direction but the ship takes time to swing.
"Also, releasing more upfront ROI and benefits analysis tools would help articulate the case earlier and regiment go-to-market, like other cloud players. Holding that line will help small partners like me.
"In the UK, the sluggish economy and lack of confidence make for slower sales, especially for smaller companies adopting SAP for the first time. They need that aspiration to bet on the future with S/4HANA. Delaying migration deadlines undermines that urgency.
"SAP should sharpen industry-specific solutions and subscription models reducing upfront pain. Roadmap clarity is also key. Beyond that, we must wait for the business environment to improve."