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Technology Strategy of SAP

1. The challenge of digitization

In the IT industry today, we hear "digital transformation" at least five times a day.

On the digital transformation, Gartner has given a definition: "digitization is the use of digital technology to change business models and provide new revenue and value creation opportunities; this is the process of moving to digital business."

In addition to the IT world, digitization has long been the mainstream.

For example, the Economist also published an article pointing out that digitization is everywhere. " Whether you want to run, watch TV, or just sit in traffic, almost all activities will create more raw materials for data breweries. At the same time, artificial intelligence (AI) technologies such as machine learning extract more value from data. The algorithm can predict when customers will be able to buy, when jet engines need to be repaired, or the probability of people suffering from disease, and so on. "

Of course, this digital reality is reflected in our daily communication with our customers.

Customers want their information systems to provide 360 °insight, including management, insight into action analysis, making decisions based on data, and providing employees with a better employee experience.

The increasing pressure on the business, the emergence of new values and the shrinking budget of capital investments all bring real new business opportunities.

Still, 92% of companies still have to grow, that is, they are not "digital", according to McKinsey, a consultancy.

SAP is a leader in enterprise software and a pioneer in the face of global digital challenges. It has unique advantages and can deal with these challenges more calmly.

This is why SAP brings the smart enterprise vision to market.

2.SAP Intelligent Suite

SAP Intelligent Suite: meeting the Digital Challenge by enabling Intelligent Enterprise

Before delving into the meaning of "smart enterprise", I want to go back to the definition of "intelligence" itself. The most common words are usually the most difficult to define.

In 2018, David G. Myers defined it in psychology as follows:

"Intelligence is the ability to learn from experience, solve problems, and use knowledge to adapt to new situations."

This is completely related to the functionality we added to the enterprise software. The ability to learn from the past (that is, machine learning algorithms provided by past transactions to make predictions, such as machine failures, employee behavior, customer needs, etc.), the ability to solve problems automatically in real time (automatic fraud detection, machine anomaly detection, automatic database adjustment, business process adjustment, supply chain modification, etc.), the ability to use robots to handle intelligent repetitive tasks.

In practice, intelligent enterprises can be implemented through three core components:

Smart kit

Intelligent technology

Digital platform

The smart suite consists of the ERP suite (S / 4 HANA) and all LOB cloud applications that are tightly integrated to provide end-to-end business processes.

Intelligent technology means injecting artificial intelligence and machine learning algorithms into all our products.

Finally, all of the above is possible because of the foundation of the digital platform. And rely on the cloud platform to achieve agile expansion, innovation and differentiation.

Next, let's take an in-depth study of these three components.

Smart kit

We describe the smart suite through three core functions:

Next Generation process: a Real-time platform with simplified Business processes

Intelligent process with Predictive Analysis and Robot Automation

Enjoyable user experience

The ultimate goal is to liberate users from low value-added repetitive tasks to unlock productivity, innovation, and higher job satisfaction, as shown in the following figure:

Digital platform

The digital platform is the foundation to support and realize our vision. This technology enables us to create value for our customers.

The realization of intelligent enterprises requires a complete transformation of data management. To limit the maximum value of data replication (principle), break down data silos and reassemble isolated workloads into a platform to handle transactions and decision workloads. This is the main purpose behind SAP HANA development. HANA has defined mixed transaction Analysis processing (HTAP) database categories. HANA is the first enabler of smart enterprises.

But another key theme is the SAP cloud platform.

SAP Cloud Platform services provide four key use cases for smart businesses:

Extension: quickly add new capabilities to existing cloud and local applications to customize standard business processes to meet your business needs. Extensions can be developed in Java,node.js and ABAP. For ERP, deploying extensions in SCP allows you to "keep your core clean" while meeting your exact business needs. By adhering to the standard of S / 4 HANA instances, you can easily upgrade to a new version of the software and innovate with SAP faster than ever before.

Connect: connect your cloud and local applications to eliminate data silos and make digital access simple, secure, and scalable. SCP provides user experience as a service: through Fiori,Portal, mobile applications, you can present a unique multi-functional UX, regardless of the underlying back end.

Build: quickly build and run new cloud applications, business services, and API to solve new problems, attract new customers, and generate new revenue. You can use Java,node.js and ABAP to develop new applications.

Integration: delivers a pleasant user experience and innovation across a variety of digital touchpoints without disrupting core business processes. SAP provides data and process integration services for cloud and hybrid architectures. As usual, SAP distinguishes itself by providing business content, a preconfigured integration pattern to implement end-to-end business processes across hybrid architectures.

Finally, another key aspect and difference of SAP Cloud Platform is its multi-cloud architecture. SCP can be deployed on all the leading potential providers in the market: AWS,Azure,Google Cloud and SAP, because it is developed on top of the Cloud Foundry platform.

Intelligent technology

Machine learning algorithms themselves are nothing new, but they have been very important lately, because we are at a time when technologies become powerful enough to use them efficiently and economically, and generate a lot of data because the dawn of the digital economy can now be used to train them to produce high-quality results. I will introduce machine learning in depth in my future blog.

Machine learning is an important part of SAP intelligent technology, but it is only one of them:

Intelligence is embedded in all applications of SAP: for example, embedded AI,SuccessFactors and SAP Cloud Platform in S / 4HANA to predict results, defects or anomalies, robot automation that supports AI

AI libraries, ML engines, and development tools that can be used in SAP HANA and SAP Cloud Platform

Of course, there is also the high performance of SAP HANA on the in-memory data management platform.

3.SAP 's unique value proposition

In summary, let's summarize the unique value proposition of SAP and implement it through its digital platform:

The only smart suite with global business process coverage: SAP HANA,SAP Cloud platform (SCP) and SAP Leonardo Innovation Trinity

Deep industry knowledge is unique in the industry.

Digital platform for the 21st century: innovate to support your business model-internal deployment, cloud deployment, hybrid deployment.

In conclusion, CEO Bill McDermott once said that the technology of SAP brings light: "machines have no dreams."

"and it is possible for us to create a world where artificial intelligence is beneficial to human beings, in which automation frees people from dangerous repetitive tasks and gives us the freedom to focus on activities that only human beings can do. with empathy, moral judgment and love."

The digital platform is the foundation to support and realize our vision. This technology enables us to create value for our customers.

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