SAP America Inc.
3999 West Chester Pike
Newtown Square, PA 19073 USA
SAP was founded in 1972 as Systems Applications and Products in Germany by five former IBM employees. In 1973, the company announced the first product called R/1 with the R meaning “real time”. In the late 1970’s the product became R/2 using the IBM database. The company went public in 1988. R/3 was introduced in the early 1990’s to take advantage of client-server architecture. The product evolved to mySAP in the late 1990’s to take advantage of Internet technologies.
SAP is the largest of the ERP vendors today with over 38,000 customers.
The company’s best-known products are its enterprise resource planning application(SAP ERP), SAP BusinessObjects software, and most recently, Sybase mobile products and in-memory computing appliance SAP HANA.
SAP Financial Information for Fiscal Year
|Total Revenue||License Fees||Service Fees||Support||R&D Expense||Profit|
Financial results displayed in thousands of US dollars.
Financial period ending 12/31/15.
SAP Financial Information for the Quarter
|Total Revenue||Support||License Sales||Service Fees||R&D Expense||Profit|
Financial results displayed in thousands of US dollars.
Financial period ending 3/31/2016.
Revenue breakdown by major industry is:
- Process = 24%
- Discrete = 21%
- Service = 21%
- Consumer = 17%
- Public Service = 11%
- Financial Services = 6%
- Aerospace and Defense
- Automotive Supplier
- Chemical Manufacturing
- Consumer Products
- Contract Manufacturing
- Defense & Security
- Electronic Equipment
- Food & Beverage
- Higher Education & Research
- High Tech
- Industrial Equipment
- Medical Equipment
- Metal Fabrication
- Oil & Gas
- Plastics Fabrication
- Professional Services
- Public Sector
- Pharma Manufacturing
- Sports, Entertainment
- Travel, Transportation
- Wholesale Distribution
ERP Software Products
- SAP By Design: SAP Business ByDesign is Software as a Service, designed for small and medium-sized enterprises. A Tier III offering. SAP announced SAP Business ByDesign in 2007, and then in 2011 announced that they were going to kill the product; which never happened but drastically affected sales at that time. It is built on the principles of a service oriented architecture (SOA). Integration between business capabilities is accomplished via messages. The underlying technology stack is a multi-tenancy enabled SAP NetWeaver stack, leveraging SAP’s in-memory HANA database.
- SAP Business One: SAP Business One was initially launched in Israel in 1996 under the name “Menahel” or “TopManage” in English. In 2002, SAP purchased TopManage Financial Systems and branded their system as SAP Business One. The strength of the product is distribution and simple discrete manufacturing. Partners are required to perform complex manufacturing or process manufacturing. Targeted at companies under $350 million and considered by Ultra to be a Tier II product.
- S/4HANA: Is built-on SAP’s proprietary Operational Database System and in-memory computing platform called SAP HANA. The S/4HANA launch took place in, 2015. The event introduced cloud and on premises editions, and launched the on-premises edition. SAP S/4HANA Enterprise Management Cloud – for full ERP capabilities; the cloud enterprise edition is the equivalent to the Enterprise Management on premises offering. Targeted at companies between $350 Million and $1 Billion in revenues and considered by Ultra to be a Tier I product.
- SAP ERP Central Component (ECC): R/3 Enterprise was replaced with the introduction of ERP Central Component (SAP ECC) in 2004. The latest version, SAP ERP 6.0, was released in 2006 (release 8.0 was in 2016). This product is sold to organizations over $1 Billion in Revenue and is also considered to be a Tier I product by Ultra.
Concur Technologies was purchased by SAP in 2014, a provider of cloud-based travel and expense management software, for $8.3 billion; SAP’s most expensive purchase to that date.
With the introduction of SAP ASE 16.0 and the ability to process transactions within one database system, SAP products such as SAP Business Suite and SAP HANA benefit from heightened performance and manageability.
The SAP Replication Server, also for use with SAP Business Suite and SAP HANA, ensures synchronous replication, allowing for heightened security and disaster recovery.
SAP SME clients can now benefit from a “buy now, pay later” plan, allowing small to medium-sized business a flexible and customizable plan for acquiring necessary technologies.
A recent Enhancement Package for SAP ERP allows for 100 new functions, increased security for software investments, faster MRP runs, and real-time access to ERP data.
With the launch of SAP Fiori, 25 new apps geared towards common business functions are available to SAP users.
SAP NetWeaver is SAP’s integrated technology computing platform and is the technical foundation for many SAP applications since the SAP Business Suite. SAP NetWeaver is marketed as a service-oriented application and integration platform. SAP NetWeaver provides the development and runtime environment for SAP applications and can be used for custom development and integration with other applications and systems. SAP NetWeaver is built using primarily the ABAP programming language, but is also comprised of C (programming language), C++, and Java EE. It also employs open standards and industry de facto standards and can be extended with, and interoperate with, technologies such as, Java EE, Microsoft .Net and IBM Websphere.
SAP NetWeaver’s release is considered as a strategic move by SAP for driving enterprises to run their business on a single, integrated platform that includes both applications and technology. Industry analysts refer to this type of integrated platform offering as an “applistructure” (applications + infrastructure). According to SAP, this approach is driven by industry’s need to lower IT costs through an enterprise architecture that is at once (1) more flexible; (2) better integrated with applications; (3) built on open standards to ensure future interoperability and broad integration; and, (4) provided by a vendor that is financially viable for the long term.
SAP markets their products through their direct sales force in companies exceeding $1 Billion. For companies under $1 Billion, SAP jointly markets with the resellers below.
SAP’s North American Headquarters in Newtown Square PA with 16 district offices dispersed throughout the United States.
SAP’s Main Office in the Midwest is located at:
3010 Highland Parkway, Downers Grove, IL 60515
For other US Office Locations:
Key SAP ERP Partners
- Illumiti – http://illumiti.com/
- itelligence – https://itelligencegroup.com/us/
- Vision33 – https://www.vision33.com/