Dear SAP Channel Partner,
Now that 2007 has arrived, it's time to pursue the next chapter in our combined growth and to focus on working together to reach our common goals. Together with our partners, SAP will increase focus on small businesses and midmarket companies as these segments are key drivers in achieving our business goals.
We are committed to working with you to meet the needs of our mutual customers through ongoing solution expansion and market coverage, while at the same time ensuring we are investing in the appropriate channel programs and operational excellence that are at the core of making SAP the most channel-friendly vendor in the industry.
Thanks to your ongoing efforts, throughout 2006 the channel business continued to contribute significantly to SAP's SME growth and global results including:
* 24% growth in our strategic recruitment of channel partners to ensure market coverage
* 33% customer growth (Q4 05 to Q4 06)
* mySAP All-in-One: 9,484 customers with a growth of 23% year over year and 580 partner developed solutions
* SAP Business One: 12,797 customers with a growth of 41% year over year and 350 partner developed solutions
* Over 3,200 qualified partner sales professionals trained via our new e-learning curriculum
In support of our partners in 2006:
* SAP PartnerEdge, our global partner framework went live in four regions, and has already been embraced by a significant number of partners with excellent feedback. In fact, Gartner recently noted "The way SAP's PartnerEdge Program is constructed makes it among one of the most innovative in the SME business application market".
* We enhanced partner communications to better serve our channel partners, including revamps to SAP Channel Partner Portal (channel.sap.com), SAP PartnerEdge P2P Network, streamlined newsletters, sales tools, new e-learning and more.
* We implemented the Channel Operations Policy ensuring smooth and cooperative engagements between SAP and our partners.
* Manage My Partnership, our PRM system, was made available to most partners, allowing SAP PartnerEdge members to manage their SAP business online, including MDF, business planning and more.
* SAP Solution Centers were created to enable partners to go to market faster and more efficiently with new and innovative solutions that meet customer needs.
On January 16th 2007, we announced the availability of the new version of SAP All-in-One Solutions. The solutions deliver the value of enterprise service-oriented architecture (enterprise SOA) "by evolution", with significant enhancements that provide midsize companies with greater agility in managing their businesses. SAP All-in-One solutions leverage the power of mySAP™ ERP 2005, Netweaver, new SAP Best Practices, SAP Solution Centers, and YOU our valuable partner. With this powerful combination, Partners will be able to provide their customers with solutions that enable faster return on investment with a dramatically enhanced and more intuitive user experience, streamlined business scenarios, and new features for analytical reporting and customer relationship management (CRM). In support of our partners, we are introducing programs and tools to make it easier for channel partners to immediately evolve existing SAP All-in-One solutions and build new solutions to address additional industry segments. The new version of SAP All-in-One solutions offers immediate benefits to our partners and their customers and should be leveraged to its fullest potential.
Moving forward, the opportunities for SAP Partners will continue to accelerate as we expand our portfolio and programs even further. During the regularly scheduled SAP earnings call which took place on January 24th; our executives shared details for additional business and a high-level roadmap for delivering next-generation innovations to midsize companies. In the future, these "enterprise SOA by design" solutions will leverage an entirely new platform dedicated to the midmarket, which will address requirements that have prevented many midsize companies from adopting enterprise software so far. These future innovations will augment our partner's already established business with additional opportunities. Partners can learn more about these future innovations during briefings planned for later this quarter. We look forward to providing additional details shortly.
A new year always sets the stage for change and today we would like to announce that Donna Troy has decided to leave SAP to pursue other personal and professional interests. Under her strong leadership, we have built the foundation for growth for our SME business. Donna's mark on SAP, and in particular it's channel partner community will have a long lasting positive impact. We all thank her for her many contributions and wish her well in her future endeavors. To continue our strong focus in the indirect channel and ensure ongoing momentum for our partners, Terry Scerri, who previously reported to Donna, will assume the role of Senior VP of SME indirect channels reporting to Hans-Peter Klaey.
SME is one of the most exciting places to be in this industry. The creation of the SME line of business, under Hans-Peter Klaey's leadership, is a positive change that will continue to accelerate SAP's growth in this important market and galvanize resources within the company. This demonstrates SAP's strong commitment to the small and midsize enterprise market and the partners that serve it, and marks the next evolution in our combined growth.
We value your partnership and wish you all success throughout 2007.
Hans-Peter Klaey
President SME Donna Troy
Executive VP SME Indirect Channels
For more information visit The SAP Channel Partner Portal at: channel.sap.com