History of SAP CIS

Main articles

SAP CIS

Main article: SAP CIS.

Company Management

Main article: SAP Executives in Russia and the CIS

SAP CIS financials

Main Article: SAP CIS Financial Performance

Data center in Russia

Main Article: SAP Data Center in Russia

In the third quarter of 2022, those used for provision were closed SAP Cloud Services Data Centers (DPCs) in HA.

SAP Partners

Main Article: SAP Partners

Educational programs

Main article: SAP Training in Russia and the CIS (SAP Next-Gen Lab University Alliance)

2023

Complete termination of customer and partner support in Russia

Since the beginning of September 2023, the German corporate manufacturer software SAP has begun sending Russia out notifications to partners and customers about the complete termination of support for its products.

In the current geopolitical situation, SAP decided to leave the Russian and Belarusian markets, transferring employees of the relevant divisions to the CIS countries - Armenia, Azerbaijan, Georgia, Kazakhstan, etc. At the same time, support for existing Russian customers continued. According to the Kommersant newspaper, SAP will finally disconnect customers in the Russian Federation from supporting its software until December 31, 2023. Until the expiration of the full term of contracts, Russian customers will be able to use only the cloud services of the German software developer.

As of the beginning of September 2023, approximately 100 Russian customers received notifications from SAP. They are forced to transfer the technical support of their SAP-based systems to local IT companies. One of them is Lab JV, established by former SAP employees. According to Pavel Deverilin, General Director of Lab SP, the company cooperates with "dozens of Russian clients with SAP systems." Which organizations are in question is not specified.

The head of the holding's enterprise management competence center T1 Sergey Andrianovsky notes that after SAP left the Russian Federation, the demand for extended technical support services for solutions of this manufacturer from medium and large businesses increased in the domestic market. In addition, system localization services are in demand. At the same time, the complete replacement of SAP products is a difficult task, since there are to software no full-fledged Russian analogues. The company's platforms 1C and developments are called as possible alternatives. " LANIT^[1]

Trial with "Azimuth"

At the end of June 2023, it became known that the Russian manufacturer of electronics for civil aviation Azimut could not sue 330 million rubles from the German company SAP, which left Russia due to the current geopolitical situation. Moreover, the court satisfied SAP's counterclaim against the Russian enterprise. Read more here.

Russian "daughter" Mercedes-Benz could not get the arrest  of SAP CIS money

Mercedes-Benz RUS, a Russian subsidiary of the Mercedes-Benz Group automaker, tried to obtain the arrest of funds or other SAP CIS property as interim measures in its lawsuit as part of a trial with SAP CIS. But on February 16, 2023, the Moscow Arbitration Court refused Mercedes-Benz RUS to satisfy these requirements. Read more here.

SAP will return access to software updates to Russian customers. For this, a special portal is created

As TAdviser found out, SAP has prepared a special portal for Russian customers, from where the latter will be able to download updates to the products of the German vendor as part of technical support. This was told by a source close to the company. He also clarified to TAdviser that this portal is closed: access to it is due only to customers with valid contracts.

About SAP's plans to launch such a portal TAdviser spoke back in December 2022. This was preceded by SAP's decision from January 2023 to completely block Russian customers from accessing its system, through which technical support was provided at normal times - receiving software updates, security patches, placing applications for solving various problems. This is due to the 8th package of EU sanctions against Russia, which includes a ban on the provision of IT consulting services to Russians.

At the same time, SAP has existing obligations to Russian customers for support. "Special Portal" should be a way out in such a situation - at least through it it will be possible to receive updates.

Some Russian SAP customers are aware of the active preparation of the portal. The chief information officer of one of the largest Russian enterprises with existing contracts with a German vendor told TAdviser that as of mid-February 2023, the portal is undergoing internal testing, and access to it has not yet been transferred to customers.

In one of the major Russian partners of SAP, which is also its client, they said that SAP disseminated information that its new so-called "launchpad" is being prepared - closed, exclusively for Russia, where updates will be laid out. But the company also says that as of mid-February 2023, access to this resource has not yet been received.

Technically, making such a portal is not the most difficult process. But to give customers access to it, you need to conduct an entire campaign with a number of procedures. It takes time, - said the interlocutor of TAdviser.

At the same time, according to the top manager of this partner company, for certain Russian customers - "companies with international roots" - SAP retained access to its standard system, through which support was previously provided. The interlocutor claims that the vendor continues to release localized software updates, just from the moment of termination of support, they are available to a very narrow circle of users. The rest cover their needs with add-ons developed either by third-party companies or in-house.

Claim from Mercedez-Benz in Russia for 189.2 million rubles

The Russian representative office of the Mercedes-Benz Group AG concern filed a lawsuit against the Moscow Arbitration Court against the division of the German software manufacturer SAP in the Russian Federation. This became known on January 22, 2023.

According to TASS, citing materials from the file cabinet of arbitration cases, the plaintiff in the case is Mercedes-Benz Rus JSC, the only official importer of Mercedes-Benz cars in Russia. The amount of claims against the defendant - SAP CIS LLC - is about 189.2 million rubles, while the reasons for filing the claim were not disclosed.

Earlier, Azimut filed a lawsuit against the Russian representative office of SAP. The lawsuit for 330 million rubles, filed in September 2022, is still being considered by the court by January 2023. Azimuth develops and supplies civil aviation enterprises with communications, navigation, landing, surveillance and automation of air traffic control.

As CNews writes with reference to the results of its own research, Russian representative offices of foreign IT vendors who left Russia (including SAP) against the background of the military special operation of the Russian Federation in Ukraine, they can count on the fact that their claims will be considered in our courts in line with classical norms - without looking at sanctions and without taking into account the belonging of their beneficiaries to the list of so-called unfriendly countries.

So, on April 27, 2022, SAP achieved the collection of 7.3 million rubktq debts under an agreement for the provision of cloud services with Kan Auto Management Company LLC (Kazan). A week later, on May 4, 2022, the collection of 27.8 million rubles of debts under the agreement on the provision of rights to use the software and the provision of services for its support to third parties with Niagara LLC (Moscow).^[2]

2022

Top management of SAP CIS, headed by CEO Andrei Filatov, decided not to buy Russian business from the Germans

As TAdviser found out in December 2022, the top management of SAP CIS, headed by CEO Andrei Filatov, decided not to buy out the Russian business from the German software vendor. This was told by a well-informed source close to SAP CIS.

When the top management considered the possibility of buying out the business, the calculation was to get with the business already concluded, existing contracts with customers for support services and engage in their maintenance. But everything goes to the fact that by January 2023 the number of these contracts will be significantly reduced, and there will be practically nothing to "intercept," the interlocutor of TAdviser explained. Accordingly, business buybacks lose their meaning.

According to him, this is due to the fact that there has been a tendency on the part of clients to abandon the already concluded contracts for vendor support on their own initiative, since from January 2023 it will be greatly cut.

Due to the 8th package of EU sanctions against Russia, approved in October, SAP will not be able to provide IT consulting services to Russian clients from January. SAP global management has already notified the Russian office that in January local clients will lose access to the system through which technical support is provided - receiving software updates, security patches, placing applications for solving various problems.

At the same time, for Russian customers who are not under sanctions, SAP plans to deploy a special portal from where they can receive software updates. It's like IT consulting can't qualify. But customers lose all support from a vendor with consulting elements. As a result, it becomes economically unprofitable for them to receive truncated services at the same prices.

At the same time, the Russian office of SAP does not expect a large number of lawsuits related to the reduction in the volume of services. A source close to SAP CIS previously explained that in standard contracts for supporting its provision is not scheduled on points, from a legal point of view, rather streamlined formulations are used there.

According to the same interlocutor TAdviser, due to the identified situation, Andrei Filatov plans to leave SAP CIS. But it seems that right now SAP does not want to let him go due to the fact that it cannot find a replacement for him, the source added in a conversation with TAdviser.

SAP disconnects Russian customers from support due to sanctions

As TAdviser found out, from January 2023, SAP plans to completely block access to its system to Russian customers, through which technical support is provided - receiving software updates, security patches, placing applications for solving various problems. This was told by a well-informed source close to SAP CIS.

According to the source, the Russian office of SAP received an alert from its global management in December about the upcoming disconnection from the technical support system. The decision is related to the eighth package of EU sanctions against Russia, which was approved in October. The package includes, among other things, a ban on the provision of IT consulting services to Russian individuals and legal entities. SAP assessed that its technical support contains consulting elements.

At the same time, the interlocutor of TAdviser says, customers will not be left without software updates. In the near future, it is planned to deploy a special portal for Russian organizations, from where they can receive software updates. This does not apply to IT consulting, which means that sanctions are not prohibited.

SAP does not terminate existing support contracts with Russian clients on its own initiative, and does not expect a large number of lawsuits against the Russian office related to cutting services. A source close to SAP CIS says that in standard contracts for supporting its provision is not scheduled on points, from a legal point of view, rather streamlined formulations are used there.

But some clients within the framework of Russian law can regard that they were damaged, and go to court with claims.

According to the source, it is highly likely that by January 2023, most clients, on their own initiative, will eventually withdraw from support contracts with SAP and switch to other options available on the market, including obtaining consulting services from former SAP CIS employees who have transferred to other companies. It is unprofitable to pay further at old prices for cut services, and SAP does not intend to reduce prices.

Recall that in March, against the background of the Russian-Ukrainian conflict, SAP announced the stop of new sales in the country and the curtailment of cloud services, as well as that it was considering the termination of support for existing Russian customers. Later, SAP also announced plans to completely curtail business in Russia by the end of 2022. Due to the fact that SAP did not cut off from supporting Russian customers, the Ukrainian authorities previously launched a massive information campaign against SAP on the Internet, trying to put pressure on the German vendor.

Several waves of layoffs have already passed in the Russian office of SAP. At the same time, according to a TAdviser source close to SAP CIS, out of about 1.3 thousand employees - so many of them worked at the beginning of 2022 in SAP CIS and SAP Labs - about 400 moved to other countries, mainly at the suggestion of SAP on relocation. Plus, the additional outflow was against the background of mobilization.

After the final curtailment of the main activity, the Russian office may continue to work for quite some time in the "sleep" mode and after January 2023, the source believes. This is due to the need to close various legal points.

SAP Digital Leadership Center reformatted into RBC Event Center

In October 2022, the RBC Event Center began its work in the premises of the SAP Digital Leadership Center in Moscow.

1C told how the Russian market will be taken from SAP

Due to the departure of SAP from Russia and the increased need of Russian organizations to switch to domestic solutions, 1C is expanding its partner network, retraining SAP specialists for its technologies, and is also preparing new solutions for customers to replace some products of the German vendor. Representatives of 1C spoke about this at a business forum on October 28. Read more here.

SAP plans to sell equipment from its data centers in Russia

On September 8, 2022, it became known about SAP's plans to sell equipment from its data centers in Russia. We are talking about servers, switches and storage systems (about 3.5 thousand pieces), which are owned by the company.

According to Kommersant, citing sources in the Russian cloud services market, SAP is going to find a Russian partner to whom it will transfer the equipment, and he, in turn, will sell the devices. One of the interlocutors estimated the book price of the equipment at 50 million euros (about 3 billion rubles), and another source named the amount at 1.4 billion rubles and added that Rostelecom was interested in buying the equipment. The head of the operator, Mikhail Oseevsky, previously told Interfax that the company is ready to invest 10-20 billion rubles in the data center development program over several years.

By September 2022, SAP owns several data centers in Russia. The first of them was opened in 2014 to create cloud services on the territory of the Kurchatov Institute Research Center in Moscow on the basis of Rostelecom's infrastructure. Since 2016, Rostelecom has signed an agreement with SAP to promote its cloud solutions based on its data centers.

The general director of the 3data data center network Ilya Hala, in a conversation with the newspaper, noted that the purchase of new equipment is "possibly, but difficult" in terms of logistics and pricing, and used equipment may be of interest to a wide range of buyers.

Шаблон:Quote 'We purchased the equipment, but if we now offered the used equipment in good condition, we would consider the proposal, "he said. The president Data Center Industry Member Associations Igor Dorofeev says that potentially SAP equipment may be of interest to Russian consumers, but at a good discount.^[3]

Top management of SAP CIS led by CEO Andrei Filatov wants to buy out Russian business from a German vendor

The head of SAP CIS Andrei Filatov, together with a number of other top managers of the company, are exploring the possibility of buying out Russian business from a German vendor. On August 22 and 23, 2022, TAdviser was told about this by two top managers in SAP CIS partner companies and confirmed by a third source close to the company.

The latter says that the development of such a possibility is at an initial stage, and due to the presence of many nuances, it is still impossible to predict which scenario the German SAP leadership will eventually follow.

Earlier, we recall, against the background of the complicated geopolitical situation and strong pressure from the Ukrainian authorities, SAP announced its intention to gradually, until the end of 2022, curtail its business in Russia.

In total, in Russia, SAP has about 1.5 thousand customers - both large and medium-sized, there are also small companies - that use the solutions of the German vendor. Some of the contracts are concluded with SAP directly, others - through partners. Sources say that if the local business is bought out by Russian top management, contracts previously concluded with the vendor may remain on it, but it is too early to talk about the details.

All SAP partners in Russia are somehow preparing to provide customer support with the vendor's departure from the country. A holy place is not empty: if SAP does not provide support, someone else will do it. But the SAP CIS team, where there are experts who have worked at the company for about 10-15 years, undoubtedly has an advantage: the level of their expertise is very deep, and the level of support by such specialists is more serious and competent, one of the TAdviser sources believes.

The interlocutor of TAdviser, close to SAP CIS, believes that if the redemption of local business occurs, the possibility that SAP will allow Russian customers to supply licenses even within the framework of already concluded contracts is excluded until the political situation changes.

Examples of local management buybacks of Russian business of foreign companies leaving the country against the background of the geopolitical situation are already available. For example, companies from the "big four" auditors and consultants - Accenture, McKinsey - went according to this scenario.

One of the TAdviser sources notes that the situation is different for SAP as a software vendor. For the Big Four companies, the main asset is people; they remained, and it is enough to change the name and you can continue to engage in consulting, i.e., in fact, the "sale" of experts. And for SAP, the main activity is the sale of software, the rest of the activities are technical support, consulting, etc. - related. At the same time, if there is no main type of activity, what remains is also necessary for the market, there is demand, so SAP CIS top management wants to try this. At the same time, the volume of business, as expected, would be smaller than that of SAP CIS earlier.

Until the end, it is not yet clear at what point the SAP business in Russia will in fact be curtailed, also noted the interlocutor of TAdviser, close to SAP CIS. Under the terms of the contracts, SAP must notify customers of changes to the contractual terms at least 90 days in advance. Accordingly, in September, the company will have to either start notifying or postpone its departure. Theoretically, SAP can well afford to move the decision on full care for a month, a quarter, and six months, the source believes.

One of the former employees of SAP CIS believes that the option of buying out SAP local business by Russian management is quite expected. The team in this case will have a lot of work on residual contracts. According to the interlocutor of TAdviser, SAP probably estimates that breaking, terminating contracts ahead of schedule would cost the company expensive. Therefore, the option of transferring the business to new owners would look reasonable. At the same time, he believes, in this case, many nuances loom: for example, what to do with the already "parked" licenses of partners.

SAP CIS itself chose not to comment on information about a possible business buyout.

A few days earlier it became known that 1C created a joint business with top managers of SAP CIS- "1C-prospect"^[4]. In it, the names of at least two of the six co-founders coincide with the names of top managers of the Russian office of SAP. Just a few days after the registration of the new legal entity, the head of 1C, Boris Nuraliev, said that the company would experiment with experts on SAP solutions in terms of creating joint ventures.

SAP CIS attaches its employees to customers. Rosatom, Norilsk Nickel, VK and others came to the hunting event

As TAdviser found out, in July, the SAP Digital Leadership Center in Moscow hosted an open day for SAP CIS employees. Agencies, SAP partners and customers, as well as simply interested companies, were invited to participate in it to talk about themselves as an employer and offer their vacancies. The event was attended by Rosatom, Norilsk Nickel, NLMK, Gazprom Neft, Sibintek, Polyus, Kaspersky Lab, VK, [1]Novardis , Comus and 16 other companies. TAdviser was told about this by a source well acquainted with the situation.

According to the interlocutor of TAdviser, in the summer of 2022, about 50% of the company's employees received offers to move to other divisions with relocation to other countries. About half of those who received offers accepted it, and the rest, for one reason or another, decided to stay in Russia. For such workers, the company held an open day so that they could "painlessly find themselves a new job."

SAP is one of the few foreign companies that leaves the Russian market in a civilized manner, the source notes.

Greenatom (a subsidiary of Rosatom) confirmed that they took part in the event and invited about 70 employees of SAP CIS to work.

Greenatom employs over 500 highly qualified specialists with SAP practices. In the current situation, of course, we are ready to accept employees of partner companies and are open to new opportunities. We will be glad to see in our team experts with competencies in creating and supporting ERP systems, "says Natalya Pichugina, HR Director at Greenatom.

A major SAP customer, retailer X5 Group, told TAdviser it had received an invitation to an open house.

Kh5 did not attend the mentioned meeting with SAP, although she was informed about it. We are ready to consider candidates from the SAP team if they correspond to the profiles of our open vacancies, - shared X5 Group.

According to the interlocutor of TAdviser, top managers and heads of some SAP CIS divisions have already taken senior positions in large Russian IT companies - Arenadata, T1, Rubytech , etc. In these companies, they will continue to work on the projects that they conducted before.

SAP CIS itself chose not to comment on the situation. Norilsk Nickel and Gazprom Neft, which were present at the event, did the same.

In June, SAP CIS announced the curtailment of its business in Russia. According to the TAdviser source, the process of closing SAP CIS will not be quick: the company will operate in a "dormant" mode for at least three years. This is necessary to completely officially close the business. Until now, departures from the company have been isolated, mass layoffs will begin at the end of July and will take place in several stages. The first wave - up to 40% of employees - will leave SAP CIS by the end of August, the second wave will drag on until December 2022.

A former employee of SAP CIS, who left the company a few months ago, told TAdviser that today the company employs about 1,000 employees. According to him, about 300 of them have deep competencies in SAP products. All large SAP customers are interested in such specialists, so they are likely to have either already found a job or find it in the near future, since the market knows all of them by name. Moreover, according to the source, due to the high demand, the "price" for SAP developers has recently increased markedly.

SAP is starting to lay off employees in Russia. It is planned to curtail the office before the end of the year

SAP CIS plans to start paying severance pay to its employees in Russia, two sources in the market who are well acquainted with the company's activities told TAdviser on June 1, 2022.

SAP CIS confirmed this to TAdviser.

SAP will provide severance pay to employees in all departments in Russia and Belarus. Each employee can apply for a position in SAP departments abroad. The staff restructuring program will begin in June and be completed by the end of 2022, the company told TAdviser, without elaborating.

According to one of the sources TAdviser, a general meeting was held at the company on this occasion. There, employees were introduced to the further direction of SAP actions, which was lowered from above, from the global office.

The Russian office is planned to be gradually curtailed completely by the end of 2022. A TAdviser source says staff who will definitely not be needed, including sales managers, will be the first to "fly." And last but not least, consultants and developers.

At the same time, unlike some foreign companies, SAP decided not to offend employees and pay them good severance pay upon dismissal - perhaps up to 4-5 salaries plus bonuses.

According to a TAdviser source, many employees of the Russian SAP office already have offers from other employers in their hands, they simply do not leave right away, waiting to receive severance pay.

Earlier, several sources on the market told TAdviser that SAP CIS is discussing options for how to maintain business in Russia (see the block below). The interlocutor of TAdviser believes that the folding of the Russian office is not a hindrance to this. A significant part of the team could "settle" in a company independent of the head SAP, if a suitable option is found, how to implement it.

There are already examples on the market among foreign consulting companies that transferred the business to new local owners before leaving Russia. For example, Accenture. SAP CIS, like any Russian office of a foreign software developer, is harder to do, says a TAdviser source: their business is tied up around a platform based abroad.

According to the SAP corporate website, in addition to Russia, Belarus and Ukraine, the company has offices Kazakhstan in Azerbaijan. And in Tajikistan, Georgia Uzbekistan Kyrgyzstan and Turkmenistan there are local sales representatives. It is possible that after the closure of the office in Russia, SAP will strengthen its base in other CIS countries, a TAdviser source believes.

In May, for example, SAP representatives met with the Minister of IT and Communications of Uzbekistan Sherzod Shermatov. During the meeting, the Minister invited the German developer to open a regional office in Uzbekistan^[5].

SAP CIS is looking for options on how to maintain business in Russia. Rebranding and independence discussed

SAP CIS is considering rebranding in Russia and is working on options for how to continue doing business in the country without communication with the parent company. On May 24, TAdviser was told about this by several sources in the IT market familiar with the activities of SAP CIS. It follows from conversations with them that a final decision on these issues has not yet been made.

In April 2022, co-founder and chairman of the board of directors of SAP Hasso Plattner said that the company was exploring the possibility of a structured departure from Russia. At the same time, he spoke about obligations to 1,300 employees in the country^[6]. According to one of the TAdviser sources in the Russian partner SAP, the company is preparing to make an announcement at the end of May about the prospects for local business.

The same interlocutor believes that the SAP CIS team can be consolidated either in an existing Russian legal entity with its transfer to the ownership of a local person, or on the basis of one of the partner companies. The top manager of another SAP partner company in Russia believes that the Russian team of the German developer can go to any large client developing his own expertise on SAP products.

According to the same top manager, after the February events, SAP CIS offered relocation to employees, and some accepted this offer, having moved, for example, to Serbia. Some consultants now work from there.

Instead, the source says, there were few people who wanted to move and there are unlikely to be many: consultants/developers working in SAP CIS are mainly people who are no longer particularly young, they are "overgrown" with families and real estate in Russia, many have elderly parents. Under such circumstances, it is quite difficult to decide on a relocation.

According to the same source, after the start of the February events, behind the scenes, SAP CIS employees reassured their Russian customers that their support would continue in the near future, at least until the end of 2022. This sounded on the initiative of a local team, and not foreign SAP legal entities, said the interlocutor of TAdviser.

In Russia, SAP clients are many large companies that are critical for the country's economy, from oil and gas organizations to banks, transport companies and grocery retail. The TAdviser knowledge base contains information about hundreds of SAP implementation projects in the Russian business. Customers and contractors of the largest implementations are shown in the infographic below.

Faced with unprecedented pressure from the Ukrainian authorities amid Russia's special operation in Ukraine, SAP announced a halt in new sales in the country and the curtailment of cloud services, as well as that it was considering ending support for existing Russian customers. Unlike some other vendors, SAP has not yet made statements that support has been discontinued.

The latter still continues to resent the Deputy Prime Minister - Minister of Digital Transformation, who UkraineMikhail Fedorov previously launched a campaign to globally persecute SAP (in more detail) here in order to force it to stop serving customers in Russia. The last time he complained about this to the Western press just the other day, at the forum in Davos^[7]

A top manager at Russian partner SAP believes that if the company can keep its business in Russia, much will depend on what technologies are available to it. In recent years, sales of on-premium SAP solutions have not been key, growth was mainly shown by cloud services, and access to them in Russia has been blocked.

Another source, very close to SAP CIS, is confident that the consolidation of the ecosystem and SAP employees in Russia will occur in one form or another, but also notes the nuances associated with technology. Depending on which technologies are in discussion, which will be chosen for further development, it will become clear where the company will continue to move, what the rebranding will be.

At the same time, the interlocutor of TAdviser is sure that if the current CEO Andrei Filatov is in the circle of the "reborn" SAP CIS, then the company "will be fine." Filatov he described as a rare person "such literacy, decency and such a level of respect for him."

Andrei Filatov himself preferred to refrain from commenting on the possible continuation of business in Russia.

I must say that there are already precedents on the market when, against the background of Russian-Ukrainian events, IT/consulting companies are rebranding and changing ownership and remain working in the country. Thus, the Russian division of the European company Tietoevry has become an independent IT company, its representative told TAdviser on May 24, 2022. The integrator, retaining the team, capacities and resources in full, will continue to carry out its activities in the Russian and international markets under a new brand - iiii Tech (Forais). Read more here.

Also, for example, top managers of the Russian office of Accenture bought out local business from the global network. The deal helped save jobs for 2.3 thousand employees in Moscow, Tver, Rostov-on-Don, Almaty and Nur-Sultan. Read more here.

SAP estimated financial losses from the termination of business in Russia at hundreds of millions of euros

SAP in the 1st quarter of 2022 experienced the impact of events in Ukraine on its business, follows from the company's report on quarterly financial results, published on April 22. In March, against the background of a special operation in Ukraine, SAP stopped all new sales in Russia and Belarus. Then the company also began to curtail the provision of cloud services. SAP intends to stop supporting its on-premium products in Russia, the report said. SAP expects that its decision to stop working in Russia and Belarus will have a negative impact on the company's revenue for the entire fiscal year in the amount of about 300 million euros. Read more here.

SAP: Users of our cloud services in Russia must either destroy data or transfer it abroad

On April 19, 2022, SAP spoke about the new restrictions on its activities, which the company resorts to in Russia in response to the country conducting a special operation in Ukraine. The German manufacturer of corporate software announced that it will stop supporting local products in the Russian Federation and will not renew cloud subscriptions.

Data in data centers belongs to customers, not SAP. Therefore, as part of the termination of our cloud services in Russia, we will provide companies that are not under sanctions with a choice: delete their data or transfer it to a data center outside the Russian Federation. To Russian firms that have decided to migrate abroad, we will not renew contracts after the expiration of the subscription period, SAP said in a statement.

The company also announced plans to abandon in Russia support for products that are already installed on client computers. By April 19, 2022, SAP has not decided how this solution will be implemented - several options are being studied, each of which involves fulfilling obligations to customers who are not under sanctions.

At the same time, SAP clarified that regardless of the actions taken by companies, existing customers in Russia using local software will still be able to use their products.

There is no magic red button that SAP could press to make these software licenses disappear from computers, said SAP CFO Luka Mučić.

At the same time, on April 19, 2022, SAP announced the allocation of 700 thousand euros as assistance to refugees in Ukraine. By this time, the company had provided the country with a total of 3.7 million euros in financial support. Russia Belarus Ukraine And accounts for about 1.5% of SAP's revenue, the channel points out. CNBC^[8]

SAP Co-Founder: We are preparing a "structured departure" from Russia

In mid-April 2022, it became known about SAP's plans to completely leave the Russian market almost two months after the Russian Federation launched a special operation in Ukraine. Co-founder and chairman of the board of directors of the company Hasso Plattner spoke about this in an interview with the German edition of Handelsblatt.

We are exploring the possibilities of a structured departure from Russia. At the same time, we have obligations to 1,300 employees in Russia, Plattner said.

Anton Malkov, chairman of the board of directors of Galactica Corporation, said in a conversation with RIA Novosti that the possible departure of SAP from Russia would lead to the shutdown of the company's cloud services, as well as the gradual degradation of its localized products. In addition, solutions on the client-server architecture will be left without development and support, and the cost of maintaining SAP products can also increase in-house by customers.

Large state and defense enterprises will suffer the most, large private ones will be able to live on the horizon for 3-5-7 years, supporting the SAP system on their own until it is completely degraded, said Anton Malkov.

CRN writes that by mid-April 2022, SAP had already stopped selling products and cloud services in Russia, while the German company continues to provide technical support to existing Russian customers who still have access to SAP software.

The company's website among SAP clients includes Sberbank, Gazprom, Sheremetyevo, NLMK, Megafon, Severstal, Ilim. SAP is used by most Russian retailers, services, banks and other large and medium-sized enterprises, according to SAP.^[9]

Stopping software certificates in Russia

As it became known at the end of March 2022, the Federal Service for Technical and Export Control (FSTEC) suspended certificates for, software IBM,, and Microsoft Oracle SAP VMware a number of other foreign manufacturers. In total, 56 certificates were frozen by March 25. More. here

SAP clarified what activities it is curtailing in Russia

On March 24, 2022, SAP made a statement in which it clarified what activities the company is curtailing in Russia. This happened after the Minister of Digital Transformation of Ukraine Mikhail Fedorov called on the German manufacturer of corporate software to stop supporting its products in the Russian Federation, as well as selling all software and services.

We will continue to serve our existing customers within the framework of contractual obligations with them, as far as sanctions and restrictions on export control allow, but we will not accept new orders or establish new business relationships, "said SAP CEO Christian Klein, whose words are quoted on the company's website.[10]

According to him, SAP stopped all sales of its products in Russia and stopped offering cloud services. As the head of SAP noted, the company is asked if it can close access to all released products that are already in operation in the Russian Federation.

In Russia, there are customers who bought and deployed SAP products locally and use them in their own IT structures... Regardless of any SAP solution to not provide support or refrain from cooperation of any kind, these customers can still continue to use these products independently of SAP, "said Klein.

A few days before this statement, Christian Klein told reporters that SAP would continue to provide services in Russia to clients representing industries that did not face Western sanctions. It was about health care, to power and, to trade points out. Reuters^[11]

IDC analyst Philip Carter told the agency that Russian companies are mostly reluctant to transfer their IT processes to cloud services, so the shutdown in Russia will not hit SAP's cloud business much.

Ukrainian authorities harassed SAP for the fact that the vendor does not stop supporting Russian customers

In March, the Ukrainian authorities launched an active information campaign against SAP on the Internet, trying to put pressure on the German vendor to force him to stop supporting Russian customers. Read more here.

SAP CIS announced that they will continue to fulfill contractual obligations in Russia

On March 4, SAP CIS officially warned its Russian customers that it would continue to fulfill its contractual obligations.

We continue to support existing customers through contractual obligations to the extent that export control sanctions and restrictions permit. We paused the conclusion of new contracts in Russia, - said in a statement.

A source in one of the partner companies told TAdviser that consultations with clients and partners of SAP CIS began even before the announcement of the suspension of activities in Russia. According to the source, the Russian market is significant for the company, therefore, in the current conditions, it is not ready to curtail its business in the country.

Even if the political pressure on SAP increases, the company will look for ways to keep its business in Russia. SAP has invested too much money and effort in our market to give up what it has done. In extreme cases, it is likely to complicate supply chains and find relatively legal ways to bypass restrictions. Just as it was in Serbia, when this Balkan country was under sanctions for the operation in Kosovo, "a market representative told TAdviser.

Will the implemented SAP be a "suitcase without a handle"? What to do and where to go to companies that bought German software?

SAP suspended business in Russia. Paused sales of products and services, frozen current negotiations on new contracts. Although there is no talk of a complete withdrawal from the market and the closure of the Russian office, and SAP promises to continue supporting existing Russian customers, many large companies using German software products remain at risk. In the event of a ban on software sales, they will not be able to renew their subscription to cloud services and buy new licenses for software products. Updates and global support will not be available to them. The transition to domestic counterparts will require a lot of time and financial investments. Companies that decide on it need a guarantee that while migration is underway, the previous system will remain operational. How to deal with purchased licenses and who to contact for local support of SAP solutions - read the material TAdviser.

SAP suspended sales of services and products in Russia

Against the background of the military operation Russia , she To Ukraine SAP said that she was suspending business in Russia in accordance with the sanctions and pausing the sale of all her products and services in the country. The company said in a March 2 post on its corporate blog signed by Christian Klein, SAP's chief executive officer.

The company condemns Russia's actions in Ukraine and considers this, among other things, an attack on democracy.

Economic sanctions against Russia are an important mechanism in trying to restore peace. We are in constant interaction with governments around the world, trust their directives and fully support the actions that have been taken to date, SAP said in a statement.

SAP initially allocated €1 million for humanitarian aid to Ukraine and collaborates with the international Red Cross, the UN Refugee Agency and other organizations to offer technology to support their efforts.

The company also said in a statement that the security and protection of its colleagues in the region are of the highest importance. For those who decided to leave Ukraine, SAP provides financial and logistical support.

SAP CIS did not comment on the decision to suspend business in Russia. A source familiar with the activities of SAP CIS told TAdviser that we are not talking about closing the office in Russia yet.

SAP previously asked the Minister of Digital Transformation of Ukraine Mikhail Fedorov to stop business in Russia. With a similar request, he turned to Oracle, which, like SAP, fulfilled it. Read more here.

2021

Partnership with RITA

On September 22, 2021, SAP CIS announced that SAP has become a technology partner of the RITA (Retail Innovation TechAlliance) alliance, which for September 2021 includes: X5 Group, M.Video-Eldorado Group, Hoff and Beeline. The main goal of the initiative is to help Russian companies find and implement the best innovative solutions from around the world. Read more here.

Agreement with Microsoft and MTS on the development of cloud technologies in Russia

Microsoft in Russia, the Russian company for the provision of digital, media and telecommunications services MTS and the supplier of corporate SAP applications in the CIS have agreed on tripartite cooperation on the development of the cloud market in Russia. The corresponding agreement of intent on June 3, 2021 was signed by SAP CIS CEO Andrei Filatov, Microsoft President in Russia Kristina Tikhonova and MTS President Vyacheslav Nikolaev. Read more here.

Research Institute "Voskhod" asks the government for subsidies to localize SAP software

The Voskhod Research Institute (Voskhod Research Institute) sent a letter to Deputy Prime Minister Dmitry Chernyshenko asking for subsidies for localization of SAP software in Russia. This became known on April 19, 2021. Read more here.

SAP removed the Russian office from the list of its key subsidiaries

In 2020, the SAP CIS Russian division SAP was not included in the list of the main subsidiaries of the German vendor in its annual report. SAP CIS migrated to the list of "other subsidiaries," where, in addition to it Russia SAP Labs , companies and Emarsis LLC are also present. The latter is the Russian office, Emarsys an Austrian supplier of omnichannel platforms for customer interaction, which SAP acquired in 2020.

For "other subsidiaries," SAP does not disclose financial indicators in its annual reports. The company publishes them only for "daughters," which it classifies as the main ones. The annual report specifies that the indicators for SAP legal entities are not disclosed if they are insignificant for an objective representation of the profitability, liquidity, capital and financial position of SAP.

In total, the list of major SAP legal entities in 2020 includes 28 companies from around the world. The largest turnover - about 6 billion euros - was shown by the SAP America division, located in the United States. The minimum revenue from all the main SAP subsidiaries is from the Czech office: it earned about 71.5 million euros. This SAP business unit was not present in this list the year before. And the most profitable in 2020 was the German office of SAP: after paying taxes, its profit amounted to about 926 million euros.

As of the beginning of April 2021, the Russian financial statements of SAP CIS are not yet available in the public domain. In 2019, the revenue of the Russian office of SAP amounted to about 35.6 billion rubles, according to the database of legal entities Kontur. Focus. " It remained at almost the same level as in 2018, an increase of about 1%. And in euros in 2019, SAP CIS earned 482.5 million with an increase of 2%.

The Russian office of the German vendor explained to TAdviser the drop out of the list of its main divisions in 2020 by the fact that SAP has revised its approach to reporting. At the same time, SAP CIS added that they were satisfied with their results last year.

An employee of one of the large Russian IT companies told TAdviser that he communicated with representatives of the Russian office of SAP, and from this conversation he realized that at the end of 2020 they had a good result in revenue in rubles, but the turnover in euros "sank" noticeably, including due to the growth of the currency exchange rate. This may be the reason for their withdrawal from the list of main departments, the TAdviser source believes.

I must say that before the annual report for 2015, SAP did not divide its subsidiaries into "main" and "other." The vendor gave a general list of companies owned by him in whole or in part, and for most of them he cited financial performance indicators. And in the annual report of SAP for 2015, this division appeared, and financial indicators began to be cited only by the list of major companies.

In 2019, SAP also classified SAP CIS as a key EMEA revenue generator in its annual report. In the 2nd quarter of 2020, this region, according to the SAP report, suffered from an unprecedented contraction in the economy, but in the 3rd quarter, the revival of economic activity there was stronger than expected.

The general director of SAP CIS, Andrei Filatov, in an interview with the Kommersant newspaper about the results of the year, said that in the first half of 2020 in Russia, the company saw a slowdown in classical areas, for example, the sale of licenses under the on-premium model. But clouds have grown sharply. And the third quarter, according to him, turned out to be more successful for Russian SAP compared to the first half of the year: "We have made up a significant part of the lag behind our plans," Filatov noted^[12]

Of course, we have concerns that budgets for 2021 will be cut, because the crisis is seriously affecting the economy - this is obvious. If a segment subsides, then the domino effect occurs: all sectors of the economy feel the influence in one way or another. And we too, - noted Andrei Filatov in an interview with Kommersant.

And in the annual report for 2020, SAP refers to the risks to its business in Russia, among other things, the pressure of Western sanctions and protectionist trade policy.

2020

Launch of a hotline to support its ecosystem in the context of coronavirus

On March 26, 2020, SAP CIS launched a hotline to help customers and partners. The new communication channel will help quickly solve emerging issues and problems associated with supporting customer systems in a difficult situation and restrictions caused by the spread of the coronavirus.

A special CIS.COVID.HOTLINE@sap.com mailbox has been created for customer and partner requests. All internal departments of SAP are involved in organizing operational work with complaints: legal, financial and contract departments, an industry and product expertise center, consulting, marketing and PR, partner departments, support and localization.

The situation with the coronavirus epidemic is developing rapidly. Every day, each company has questions related to working in new conditions. SAP is committed to supporting its customers and partners in this difficult situation. With the help of a new communication channel, we will help customers quickly solve emerging problems with the operation of our systems and share their experience in building workflows in the realities of today, "commented Andrey Filatov, CEO of SAP CIS.

Tikhanovskaya Ministry of Communications and SAP identified residents of the joint accelerator

According to the results of the face-to-face stage of selection for the joint accelerator, held on February 13 and 14, 2020, SAP CIS, Skolkovo and the coordination center of the intergovernmental commission on computer technology of the Ministry of Telecom and Mass Communications chose 10 out of 30 projects. They cover the areas of IT, telecommunications, logistics, trade and HR. Skolkovo also intends to join the accelerator. This was announced in SAP CIS on February 18, 2020. Read more here

2019

Unsuccessful implementation of SAP in Tatarstan: the customer is trying to recover more than 40 million rubles of loss

The project of introducing an enterprise management system in a large Russian packaging manufacturer Danaflex failed. Danaflex demands losses of 40.6 million rubles from SAP CIS and its partner, TeamIdea. In turn, TeamIdea is trying through the court to recover from Danaflex the full payment for the services provided - 11 million rubles in addition to the 40.6 million rubles already transferred. More details - here

Tikhanovskaya Ministry of Communications created a startup accelerator along with SAP, next in line - with Microsoft

The subordinate institution of the Ministry of Digital Development, the Federal State Budgetary Institution "Coordination Center of the Intergovernmental Commission for Cooperation in the Field of Computing" and SAP signed a memorandum of understanding. According to SAP, the main goal of cooperation, which implies a memorandum, is the joint development of digital initiatives to support and realize the export potential of Russian developers.

In accordance with the memorandum, the coordination center of the intergovernmental commission for cooperation in the field of computing and SAP launched a joint accelerator aimed at developing and supporting digital solutions for participants in the Russian ecosystem, technical assistance in developing their software, certification of their products, joint promotion and positioning of their software, as well as the inclusion of jointly developed solutions in the global SAP product portfolio. Read more here.

Agreement with the Analytical Center of the Ministry of Agriculture of Russia in order to develop digital agriculture

On October 2, 2019, SAP CIS announced that, together with the Federal State Budgetary Institution "Analytical Center of the Ministry of Agriculture of Russia," they signed a memorandum of understanding, the main goal of which is to promote the effective development of digital agriculture in Russia. The signatories were Pavel Pimenov, head of the Analytical Center of the Ministry of Agriculture of Russia, and Alexei Leontovich, Deputy General Director of SAP CIS.

Joint efforts of SAP CIS and the Federal State Budgetary Institution "Analytical Center of the Ministry of Agriculture of Russia" will be aimed at increasing the level of financial literacy and knowledge of modern economic models by specialists of agricultural enterprises, as well as the technical readiness of Russian agro-industrial companies.

Cooperation with SAP will allow you to study and use global industry digitalization practices, as well as gain additional knowledge to improve data management efficiency. noted Pavel Pimenov, head of the Federal State Budgetary Institution "Analytical Center of the Ministry of Agriculture of Russia"

Agriculture is one of the actively developing sectors of the Russian economy. Therefore, the technological solutions that we plan to work on will meet all the needs of the growing business. The partnership of SAP CIS and the Federal State Budgetary Institution "Analytical Center of the Ministry of Agriculture of Russia" will become one of the drivers of the development of digital agriculture in Russia. SAP actively cooperates with agro-industrial companies in Russia and the world, and we are ready to share our experience, expertise and best industry practices, noted Alexey Leontovich, Deputy General Director of SAP CIS

Announcement of an initiative to create a unified industry register of certificates for metal products on the blockchain in Russia

SAP CIS On September 12, 2019, the company announced that during the International Mining metallurgical Summit SAP , an initiative was announced to create a single industry register of certificates for metal products based on. blockchain The idea was supported by the Russian metallurgical companies -,, Severstal Zagorsky Pipe Plant as well as industry associations. The system can be launched as early as 2020 and will unite key market participants in the fight against fraud.

Distributed register technologies will create a single industry-wide solution that will equally be managed by all companies participants (manufacturers of metal products). Such a system will provide a transparent and honest competitive environment: all participants in the initiative will receive rights to manage the registry, and the data that will be stored in the blockchain will remain unchanged. Consumers of products by certificate number and manufacturer will be able to check their accuracy.

The problem of combating counterfeit products on the market is extremely acute. So, for example, according to expert estimates, the volume of falsification supplies exceeds 10% of consumption. With SAP's global expertise, industry expert expertise, and innovative technologies, we can offer both manufacturers and consumers powerful tools that can effectively counter such threats.

The joint efforts of industry experts will help create a common digital platform for the implementation of unified industry solutions for marking metal products and quality certificates and combat the turnover of counterfeit and counterfeit products in the metal product market,

A single certificate register will greatly facilitate the standardization of document flow between suppliers and customers. This project will be one of the serious steps in the fight against counterfeit along with the introduction of GOSTs and other tools to protect the domestic market from low-quality products, 'noted Sergey Dunaev, Information Technology Director of Severstal

Memorandum with ER-Telecom Holding on the creation of a competence center for the exchange of experience

JSC ER-Telecom Holding and SAP CIS signed a memorandum of technological partnership on June 7, 2019. The companies plan to create a joint competence center to study SAP technologies and their further application in the telecommunications industry. Read more here.

Agreement with the Skolkovo Foundation on the promotion of developments in the field of power abroad

On June 6, 2019, the Skolkovo Foundation and SAP signed an agreement on strategic cooperation in supporting partner developments and promoting information technologies in the power. The main goal of cooperation is to support the development of Skolkovo residents, assistance in the implementation and promotion of innovative projects to foreign markets. Read more here.

New tasks set for new CEO of SAP CIS

Andrei Filatov, who took over as CEO of SAP CIS on April 15, 2019, shortly after his appointment, spoke about the company's plans, which will be implemented under his leadership. He stated that he was very happy to return to SAP nine years later. Since 2007, Filatov headed the customer service division in SAP CIS, then led sales in Russia and a number of other regions, and since 2009 he headed SAP Ukraine. During this time, a lot has changed in terms of technology, focus and scale, Filatov noted. At the same time, the company has many employees who continue to work since the time when he left.

One of the growth points in 2019, the company sees Russia's transition to a digital economy. SAP CIS plans to actively interact with government agencies that are responsible for the digital economy. According to Filatov, active work is already underway here.

We see that the negative moments that have hindered such interaction in recent years are now being replaced by a more pragmatic approach in terms of where we can cooperate and bring mutual benefits, "said the CEO of SAP CIS.

SAP CIS also recalled that they are a member of the German-Russian digitalization initiative. One of its goals is the exchange and transfer of technologies, primarily Industry 4.0 from Germany to Russia and in the opposite direction. As part of the initiative, a large number of meetings were held in 2018, visits to Germany to factories, where SAP and Russian companies exchanged experience. And the plans are to continue this activity in 2019.

The company also notes an increase in the interest of Russian organizations in digital transformation, which implies, among other things, the transition from on-premium solutions (deployed on their own computing resources) to cloud solutions. Against this background, SAP continues to invest in the development of its data center in Russia. The direction of cloud solutions in Russia is growing at a three-digit pace, they say in the company.

From mid-2019, the company will begin offering SAP S/4HANA Cloud from its own cloud to Russian customers. With its appearance in the Russian data center, there will be a full set of tools necessary for transformation in a digital economy, Filatov said.

Against the background of growing interest of Russian organizations in digitalization, SAP CIS has formed a new direction - the Data Scientists team. It consists mainly of young trainee employees. According to SAP CIS, there are "several dozen" people in the team.

In 2018, about 40 pilot projects related to machine learning, blockchain, predictive models, and big data were carried out on the basis of this team. Of these, 4-5 projects went into production. In 2019, it is planned to carry out about 50 new projects by this team.

SAP CIS Executive Director Dmitry Krasyukov added that the demand for such specialists is colossal. After working with SAP and gaining experience in pilot projects, interns can get into other companies in positions with a salary three times higher, he says.

A separate promising area in SAP CIS is the construction industry. Historically, it was not very susceptible to new digital solutions, preferring to focus on innovations in terms of construction technologies, said the CEO of SAP CIS. But in the current economic situation, an increase in the efficiency of its activities has become relevant for companies in this area. In 2019, this industry will be in the special focus of SAP CIS, said Andrei Filatov.

The point of growth in SAP CIS is also the sale of manufacturing execution system systems MES to enterprises in the field of metallurgy and mining. After basic automation, with the development Internet of things, MES systems have become one of the key elements in improving business efficiency, Filatov explained. According to him, the company began to actively promote its solutions in this area.

Back in 2008, SAP acquired the developer MES Visiprise, whose solutions added to its line. It has users in other industries in Russia, but in terms of reaching new customers, metallurgy and mining are of particular interest. According to SAP CIS estimates, in these industries as a whole, the MES market is now several times larger than the ERP market. The company admits that this is a very competitive market, and there is serious work to be done here.

2018

InfoWatch has gained access to SAP customers

On November 22, 2018, it became known that InfoWatch would gain access to SAP customers: the German company certified the InfoWatch Traffic Monitor information leakage protection product  to give it access to systems installed by customers. Read more here.

Opening of the Center for Digital Leadership in Moscow

Main article: RBC Event Center (formerly SAP Digital Leadership Center)

On July 16, 2018, SAP announced the opening in Moscow of the Center for Digital Leadership - an innovative hub for holding events, demonstrating technological solutions and joint developments with customers and partners. The SAP Digital Leadership Center in Moscow at the Moscow Red Hills business center became the company's largest exhibition and technology platform after the SAP Leonardo Center in New York and the eighth such SAP center in the world.

Read more about the centre here.

FSB accredited specialists check SAP software in Germany

On January 25, 2018, Reuters reported that SAP, Symantec and McAfee agreed to disclose to the Russian Ministry of Defense the source codes of some of their software products to search for vulnerabilities that hackers could use to hack into IT systems. Read more here.

On May 10, 2018, SAP reported that only the Russian government was examining the company's software source codes to find vulnerabilities that hackers could exploit to hack IT systems.

According to Reuters news agency, citing SAP Global Vice President Stefan Schulz, Russian testers accredited by the Federal Security Service (FSB) fly to the company's headquarters in Waldorf (Baden-Württemberg, Germany) to check technologies.

Viewing software is carried out in an absolutely safe and controlled by the company, where any electronic devices, as well as notebooks and pencils are strictly prohibited. Third-party testing specialists have access only to an isolated computer screen and keyboard, Schultz said.

According to him, in recent years, the Russian authorities have conducted several software audits, but in 2017 there were no inspections. At the same time, no other government is engaged in such a study of the source codes, he noted, adding that checks reveal only known problems in the product.

I don't know of any cases where any new vulnerability was discovered during such a source code study, "Stefan Schultz said.

In addition to SAP, Symantec and McAfee were allowed to view the "insides" of software products commissioned by foreign authorities, but at one point these companies refused inspections amid growing security concerns from the US government. Because of this, the Russian IT market in the public sector was actually closed to Symantec and McAfee, but it is unclear how large the business of these companies in this area was, Reuters notes.^[13]

All the big government companies are using SAP because they have already invested in these products with a future perspective, and because this software really works. You need to be crazy to remove SAP and install something else, - said a software market analyst in. Russian representative office of IDC Elena Semenovskaya

According to experts, SAP products are rooted in the largest Russian state-owned companies operating in industries such as power, transport, retail and the metalworking industry. SAP has invested a lot in business development in the Russian Federation, even becoming a sponsor of one of the leaders of the Russian football championship - the Zenit team.

Reuters calls SAP the "obvious leader" of the Russian enterprise resource planning software market, supplying these products to 53 companies out of the 100 largest in the Russian Federation by revenue.

At a time of deteriorating relations between Russia and the west, SAP has taken steps to bring the authorities closer together on both sides. Thus, Lieutenant General Vladimir Skorik, the former head of the FSB Information Security Center, became an adviser to the General Director of SAP CIS in order to help the German company establish relations with the Russian authorities and certify products for supply to power structures.

Although Russian business brings SAP only 2% of total revenue, the actions of the German vendor in our market emphasize the difficulties faced by global technology companies in working in a global market that is becoming multipolar due to fears for national security. Balancing between the interests of different countries using the same software products can become walking around a minefield, journalists compare.

Launch of the certification program for IoT devices in Russia and the CIS

On February 13, 2018, SAP announced the launch of an Internet of Things device certification program for companies from Russia and the CIS countries.

As part of the SAP certification program, device manufacturers will be tested and tested at the SAP Integration and Certification Center (SAP ICC) and will receive documentary evidence that their equipment is suitable for immediate use in IoT projects. In addition, the devices will be included in the global online register of certified SAP Certified Solutions Directory solutions and allocated in a separate category of certified products when placed in the SAP App Center business application store.

The Internet of Things and the creation of a smart enterprise using solutions from the SAP Leonardo portfolio are one of the growth areas for SAP in recent years, "said Natalia Parmenova, Executive Director of SAP CIS. - To provide our customers with the best opportunities for industrial implementation of projects in the field of the Internet of things, we create a community of certified developers and device manufacturers. Certification will confirm that the equipment operates in accordance with SAP technical standards and is compatible with our software. We are working with more than 20 projects in the field of the Internet of Things in Russia, this year their number will grow.

Certification of Internet of Things devices in the SAP Integration and Certification Center (SAP ICC) provides for checking devices for launch and correct operation SAP Cloud Platform IoT with the Gateway software module. This module is responsible for collecting data from the sensor network and transmitting commands to the network that come from other SAP Cloud Platform Internet of Things service modules. The service can be deployed both on the device itself and in. cloud

2017

SAP and Tyumenenergo will create a digital power landfill

On October 5, 2017, SAP and Tyumenenergo announced the signing of a memorandum according to which the Innovation Center for Energy will be opened in Surgut, the task of which will be to develop solutions for digital power.

The agreement was signed by Pavel Gontarev, head of SAP CIS (SAP CIS), and Sergey Savchuk, general director of Tyumenenergo.

The digital economy program raises the potential of many industries. For power, it is also an opportunity for a qualitative breakthrough. SAP estimates the GDP growth potential associated with the construction of the digital electricity industry at 200 billion rubles, of which 100 billion are in the power grids. The increase in the profit of energy companies as a result of the digital transformation of the network business will amount to 4.3% of current indicators. Therefore, we are opening the first co-innovation center together with one of SAP's key customers in the electric grid sector - Tyumenenergo, "said Pavel Gontarev, CEO of SAP CIS.

The roadmap of the innovation center will include developments on the SAP platform for the creation of analysis systems big data (Big Data), mathematical modeling,, and artificial intelligence. industrial internet of things blockchain

Among the priority application areas are systems for managing repairs and operation of equipment, capital construction of energy facilities, as well as artificial intelligence for managing and predicting the state of networks. The solutions are planned to be used in Tyumenenergo, and in the future - in other electric grid companies of the Rosseti group.

Intelligent business modeling systems and predictive analytics are only components of Tyumenenergo's digital transformation. We set a global task for the IT-Innovations Center to develop not individual solutions, but a comprehensive model and a full-fledged IT infrastructure of the next generation digital electric power enterprise, the company of the future. Some examples of the construction of such companies operating, however, in related areas, are available abroad, which, taking into account the competencies of SAP, gives us high chances of success, "said Sergey Savchuk, CEO of Tyumenenergo.

SAP to Open Oil and Gas Innovation Labs with Partners

SAP CIS, together with oil and gas companies, discussed joint innovations in the field of blockchain, machine learning and the Internet of Things as part of the Smart Oil & Gas forum.

According to Pavel Gontarev, CEO of SAP CIS, the company intends to open innovation laboratories together with clients and partners, the main purpose of which will be to support the immediate introduction of new technologies that provide competitive advantages for customers. This approach implies:

• continuous collection of ideas on the use of technology,
• assessment of their applicability and economic feasibility based on the results of accelerated prototyping on real business tasks of customers,
• subsequent implementation of technology on principles. agile

Together with Bosch, we develop solutions in the field of the Internet of Things, with Panasonic - analytical systems for sports. A similar Russian laboratory was opened in the metallurgical industry together with NLMK this year. Next in line are projects in oil and gas, - said Pavel Gontarev.

The laboratory development platform will be SAP S/4HANA, a real-time big data platform. Among the applied areas of joint innovation are named: blockchain for trade financing of transactions with oil and oil products; calculations for equipment on the fact of its use; accounting of the equipment being moved; monitoring the movement of petroleum products from production to the end user; as well as machine learning for monitoring illegal actions; and the Internet of Things to control hydraulic fracturing, etc.

Examples of blockchain applications in the oil and gas industry are already available in the American and Chinese markets. With its help, at the beginning of 2017, documentation was drawn up on the supply of oil from Angola to China for ChemChina, in March - the operations of the American oil trader Trafigura Group, in May - the supply of gas to consumers from the Austrian company Wien Energie. Laboratories of joint innovations will help Russian companies to integrate into this trend in time, - said Pavel Gontarev.

SAP joins Russian Internet of Things Association

SAP announced in April 2017 that it had joined the Russian Internet of Things Association, established by the Internet Initiatives Development Fund (IIDF) and Bauman Moscow State Technical University. The company will take part in the Association's projects, from educational programs to supporting and creating joint solutions with Russian teams.

"In 2016, SAP globally introduced a new line of Leonardo IoT solutions, and also opened the Internet of Things Center in the Moscow office of SAP Labs to develop scenarios for using IoT in Russia. This is one of the most important areas of our development in the coming years. We are already a member of several global associations for the development of these technologies, so joining the Russian Internet of Things Association is a logical step for the development of the Russian ecosystem, - said [Gontarev Pavel]], CEO of SAP CIS. "We are ready to actively participate in joint projects, education and share our experience."

Earlier, SAP SE joined two international organizations for the development of the Internet of things: the 4.0 Industry Platform (Platform Industrie 4.0) and the Industrial Internet Consortium, where, together with other companies and government organizations, it works on standards for the Internet of Things, the IoT development model, etc. SAP is also involved in standardization and protocol development projects for the Internet of Things within the World Wide Web Consortium, 3GPP and other organizations.

NLMK and SAP set up innovation lab

The group, NLMK a steel company with assets in, and Russia USA countries, and the company European Union SAP signed a memorandum of strategic cooperation in March. The document was signed by NLMK Group President Oleg Bagrin and member of the board, head of SAP SE Products & Innovation Bernd Leukert.

As part of the partnership, the companies create the first joint innovation laboratory in SAP CIS (SAP CIS), including in Russian metallurgy. Its goal will be to research and develop innovative solutions for use in the mining and metallurgical sector. To create innovative tools and solutions, companies will provide appropriate expertise, human resources, infrastructure for testing prototypes and their implementation. NLMK Group specialists, together with SAP developers and researchers, will create new developments in the fields of process analysis, user interface, Internet of things, machine learning, predictive analytics and production planning.

2016

12 million for the development of social entrepreneurship

On July 16, 2016, SAP announced its intentions to invest about 12 million rubles. in the development of social entrepreneurship in the CIS.

SAP and Our Future Foundation for Regional Social Programs announced the coordination of efforts in supporting social entrepreneurship. The agreement on a three-year partnership was signed at the 2016 St. Petersburg International Economic Forum. SAP also plans about 12 million rubles. investments in the development of social entrepreneurship in the CIS^[14].

The partners intend to implement projects on the formation and development of the social entrepreneurship environment in Russia and the CIS countries in various formats:

• webinars,
• seminars,
• round tables,
• additional professional training,
• distance learning, etc.

Today we are joining forces to promote and popularize social business in Russia and abroad. Our plans are to carry out a whole range of events aimed at supporting novice and existing social entrepreneurs. At business and university sites, we will conduct training programs with the involvement of local and international experts. Natalia Zvereva, Director of the Fund for Regional Social Programs "Our Future"

This year, SAP will invest about 12 million rubles in the development of social entrepreneurship in the CIS. We are confident that international experience in supporting social entrepreneurship, as well as advanced IT, will be a valuable contribution to the formation and promotion of the social business environment. Our partner on this path will be the Our Future Foundation, and SAP technologies will be a tool that will assess the contribution of social entrepreneurship to the country's economy. Natalia Parmenova, Executive Director of SAP CIS

Gazprom Joint Venture Plan

On June 16, 2016, it became known about the plans of SAP and Gazprom to create a joint venture for the production of software. The companies signed a corresponding memorandum of understanding at the St. Petersburg International Economic Forum 2016.

The joint business of SAP and Gazprom will be aimed at developing Russian software to automate business processes for enterprise management. The created products will be focused on the enterprises of the Gazprom Group, and can also be adapted to the activities of other potential customers.

The agreement, which was signed by Gazprom Chairman Andrei Kruglov and SAP SE Board member Stefan Rees, reflects the strategic nature of the cooperation, the software manufacturer said in a statement.

It is also noted that the partnership is aimed at improving the reliability of operation and developing Gazprom's information and control systems based on SAP software and introducing innovations in the field of information technology.

Gazprom and SAP plan to launch a joint venture by the end of 2016. The partners do not disclose the amount of investment in the project.

It is worth noting that Gazprom and SAP are long-standing partners. In early 2010, the companies entered into a five-year corporate licensing agreement, under which the largest energy company in Russia began to implement a centralized fully functional ERP partner ERP system. The contract value was 80 million euros, which at that time was the largest project for a German manufacturer in the CIS.

In addition, in 1998, the introduction of SAP software in Surgutgazprom (Gazprom's structure) began, and the project of the ERP system in Tumentransgaz (also part of Gazprom) started in 2002.

SAP proposed 10 initiatives to modernize the Russian economy

On June 8, 2016, during the CIPR conference, SAP CIS Director General Pavel Gontarev presented a report "Initiatives for Russia," which contains 10 proposals aimed at developing the Russian economy.

The report, according to Gontarev, does not pursue the goal of "selling something." To prepare it, Russian and foreign experts from various industries were involved. The areas of life in which the state takes part and which can become more effective thanks to IT were analyzed.

SAP initiatives are as follows:

1. Common goals and personal responsibility: IT-supported administrative reform. According to SAP, it is necessary to systematically implement new methods of public administration based on modern information technology. The system of improving the efficiency of public authorities should ensure transparency the powers and objectives of the authorities, the management of their performance indicators, as well as the integration of state goals with the activities of civil servants at all levels.

In particular, SAP proposes to create a unified management system for state authorities, which should be responsible for planning strategic goals, planning and distributing employees' goals, assessing personnel competencies, selecting civil servants, etc.

2. Digital economy: new technologies in the state regulation of macroeconomics. The globalization of the economy today is, first of all, the high frequency of changes in the values ​ ​ of important indicators and the almost instantaneous impact of these changes on the subjects of economic relations, the report says.

It is necessary to increase the accuracy and increase the depth of analysis of the impact of macroeconomic indicators on the financial situation of companies and citizens, on budget revenues, according to SAP. To do this, according to the company, you will need to use solutions for processing big data in real time.

3. The balance of supervision and business: the introduction of a risk-oriented approach in state control. SAP believes that there is a need to increase the efficiency of control and supervisory activities and reduce administrative costs on the part of the state and business. The tasks of optimizing the structure of control and supervisory authorities, reducing the costs for the business community associated with excessive regulation come to the fore.

When creating a system for ensuring the activities of regulatory authorities, SAP proposes to use an integrated platform based on its own solutions, which implements a risk-oriented approach.

4. Development of territories: modernization of Russian highways. Investments in the implementation of infrastructure projects during periods of economic difficulties are a proven tool for overcoming crisis phenomena, according to SAP. However, against the background of limited investment opportunities, it is necessary to significantly increase the efficiency of the processes of creating and developing road infrastructure facilities throughout the life cycle.

5. Arctic: an integrated platform for the development of the Northern Route. The Arctic has been and remains in the sphere of special interests of Russia, according to SAP. For the comprehensive development of the region - personnel, economic, technological, environmental, resource, transport - a single comprehensive information and analytical platform is required.

6. Modernization of the defense industry: investment in industry in the era of the digital economy. Ensuring the country's defense capability at the modern level, according to the authors of the document, involves the development and supply of new species techniques and weapons. This requires a large-scale digital transformation of the Russian industry and defense industry with the use of a new model of production and economic relations that ensure long-term partnership states and industries.

7. Warned - armed: the development of a system of situation centers for an effective response to new types of threats. In the context of the constant emergence of new types of threats, a scientific and technological breakthrough is needed that can change the paradigm of the work of the authorities. Situation centers are a new approach to public administration and security, according to SAP.

8. Active longevity or long old age: a platform for predictive personal medicine. The healthcare system, according to SAP, is faced with the task of further increasing the average active life expectancy with cutting budget spending at the same time.

9. Education without borders: a long-term investment in the country's competitiveness. In today's world, economic and communication ties are rapidly emerging and expanding, which leads to the globalization of the training and labor markets, according to SAP. The state must provide a new level of management of the balance of the triad: student-university-employer.

10. Energy efficiency: an impetus for the development of the Russian economy. The level of energy efficiency of the Russian economy is currently one of the lowest in the world. Its increase is one of the key and most difficult tasks facing the Russian Federation to ensure the competitiveness of the national economy. SAP offers to realize the growth potential by creating a comprehensive information and analytical system for monitoring commercial and technological losses.

Work on the document took 9 months, said Pavel Gontarev. The full version of the document can be found at the link.

2015

Hiring 8 developers in Moscow

In September 2015, SAP announced the opening of the first SAP Custom Development Center in Russia and the hiring of 8 developers in Moscow. SAP announced the availability of custom software development for Russian customers in 2012, but all these years foreign programmers wrote software for Russian customers.

SAP CIS switched prices from euros to rubles

On July 14, 2015, SAP announced the transfer of price tags to its products in Russia into rubles. This step is aimed at strengthening relations with customers working in our country.

Starting July 15, 2015, the price list for SAP software is translated into rubles. In addition, for a limited time, the company's customers will be able to convert their current contracts for supporting SAP software at the rate of 58.7 rubles per euro, which will reduce currency risks for them. The Central Bank exchange rate for the euro as of July 15, 2015 is 62.62 rubles.

SAP notes that by transferring contracts with Russian customers to rubles, the company shows its commitment to the Russian market and long-term intentions, as well as preferences to live in measuring the national currency.

"By translating prices into rubles, we hope to help make the budgeting process more manageable. This will allow our customers to focus on their immediate tasks - to get the maximum business effect from the implementation of innovative solutions in their companies, making them faster, more mobile, more competitive, "said SAP CIS CEO Vyacheslav Orekhov

.

It is worth noting that earlier in 2015, SAP already began selling some of its services for rubles. We are talking about calculating with Russian customers for technical support.

2014

Leadership in the declining ERP market

The Russian market for ERP systems decreased in dollar terms in 2014 by 14.2% to $921.27 million, IDC analysts calculated, but in ruble terms it grew by 3.4%.

The largest supplier was still German SAP, but Russian vendors - 1C, Galactica, Monolith and Parus - strengthened their market positions, the study said. The total share of Russian vendors amounted to 34%. IDC did not disclose shares of specific manufacturers in 2014.

SAP CIS opens Situation Center in St. Petersburg

On September 25, 2014, SAP CIS announced the opening of the MCC (Mission Control Center). According to the company's management statement, the center will provide customers with 24x7 proactive support services in Europe, the Middle East and Africa (EMEA). For customers from the CIS countries, the service will be Russian-language.

Proactive support and analytics will enable premium support customers (SAP MaxAttention and SAP ActiveEmbedded) to access SAP expertise in a wide variety of areas related to the implementation and use of company solutions and services.

Specialist consultation will be available to SAP customers literally in real time. SAP Situational Center engineers are ready to proactively inform customers about possible problems in information systems and, if necessary, quickly gather the best experts to resolve issues that the customer has. Regardless of which country the expert is located in, modern means of communication and remote work will allow him to instantly join the work of the support group. The client will interact with the Situation Center as a single point of communication, which will allow him to save time and get an already formed solution to the problem.

"With the opening of the Situation Center directly in Russia, we provide our customers with the shortest path to experts of the" highest standard "and minimize the risks of critical situations in the customers' business," said Vyacheslav Orekhov, General Director of SAP CIS (SAP CIS).

Situation Center is part of the ICC-OCC-MCC control center concept. It was launched by SAP Global Support in 2013 to accompany customers with premium support proactively when implementing HANA, mobile and cloud solutions, and significantly reduce the cost of supporting SAP products.

There are three control centers: the Innovation Control Center and the Operations Control Center, both on the client side, and the Mission Control Center is on the SAP side. All three centers are interconnected through the Solution Manager platform.

One of the prerequisites for the creation of the Situation Center in St. Petersburg is the successful development of the SAP Customer Support Center, in which the company has invested since its inception in 2006. It consists of two divisions - premium support and an expertise center, more than 100 specialists work in it. The second important prerequisite is a change in the strategy of the SAP Global Support (Active Global Support), in which the CIS countries received the status of priority markets.

The situation center in the northern capital of Russia will become 11 in the world and the third in the EMEA region - earlier SAP opened similar centers in Dublin (Ireland) and St. Leon-Roth (Germany).

Launch of application design service in Russia

In September 2014 , SAP announced that it began to directly provide application design and API services in Russia in order to improve the convenience and efficiency of using its products for customers. Globally, this service from SAP became available in early 2013, and the SAP SE Design and Co-Innovation Center, located in Germany, is developing this area .

SAP CIS Business Development Manager Georgy Guryanov told TAdviser that at the time of the launch of the service in Russia, a separate team of specialists had not yet been allocated for it. The projects in this area involve consultants on business applications of the Russian representative office of SAP, as well as specialists from the German Center for Design and Co-Innovation. According to Guryanov, the company is discussing the creation of a special application design unit based on the Russian SAP Labs.

As part of the development of the area of ​ ​ optimizing user experience with applications, SAP has developed the Fiori concept , which is both a set of principles for organizing interfaces and a library of necessary software.

In addition to ordering interface design services directly from SAP, your customers can use Fiori themselves and through partners. The applications required for this are free and available for download in the SAP Service Marketplace. For each SAP solution - for example, CRM systems, financial management systems , HRM systems, and others - there are separate applications in the library. As of mid-2014, about 250 ready-to-use applications are available within the Fiori concept.

If the client does not have enough existing applications, he can use SAP, partners or independently develop his own applications in the Fiori paradigm. To do this, SAPUI5 technology is used (Fiori is based on it), which provides the ability to develop various applications with the ability to integrate them with any data sources using the OData protocol.

One of the first large customers to use the application design service directly from SAP in Russia was the distributor of tobacco products Megapolis, representatives of SAP CIS said. According to Georgy Gurevich, a prototype design was created for Megapolis from scratch, and if the company decides to develop this project, then an application will be created for it based on the SAPUI5 technology using parts of the finished Fiori applications. The representative of SAP CIS also notes that he observes the greatest interest in Fiori in Russia among employees and heads of HR services.

2013

Leading position in the ERP market in Russia

According to IDC, for many years SAP has occupied a dominant position in terms of revenue in the Russian ERP systems market.

Share of suppliers in the Russian ERP/ISUP market by sales in US dollars in 2003-2013,%

What products SAP localizes for Russia: current works and plans

In 2013 , SAP provided customers in Russia with the opportunity to have more influence on the development of local versions of products: the company formed a User Expert Council, in which customers determine the most priority areas for localization development in Russia and the CIS countries.

"The council, at the invitation of SAP, involves the most active and qualified customers with extensive experience in implementing and using SAP solutions. We usually meet once a quarter and define a strategy, as well as set medium-term goals and prioritize the development of local versions of SAP products. If the majority of participants advocate a deeper study of a topic, a working group is formed, within the framework of which a detailed study of the requirements is carried out, and in the future - testing and experimental implementation of new solutions, "explains the head of the localization department of SAP CIS, Andrei Tregubov.

According to Andrei Tregubov, such user advice has already been formed to work with the localization of solutions for finance and logistics, as well as personnel management. In addition, the formation of such user groups on industrial solutions has begun, the first of which was the banking council. In September 2013, the first meeting of this council was held, which was attended by representatives of the largest companies in the industry.

Localization of banking products is perhaps the largest and most complex project for the localization division of SAP solutions in the CIS. The company began this work about two years ago, says Andrey Tregubov. In 2012, the SAP Banking Services solution was localized on the basis of SAP ERP, and now work continues in this direction.

"SAP has one of the best systems in the world for automating the main activities of banks. The project on Russian localization of SAP Banking Services included a wide range of works: from translation of documentation into Russian to complex tasks to bring the solution in line with the specifics of Russian legislation in the field of accounting and reporting. In particular, especially for Russian localization, such new functionality was developed as the automatic generation of 20 (25) bit numbers of personal accounts and the organization of support for the formation of accounting registers for 20 (25) bit accounts, as well as adapted processes that have Russian specifics: accrual and payment of interest in the transaction system, revaluation of foreign currency accounts, settlement of paired accounts, year-end closing, etc., "says Andrey Tregubov.

Recently , the SRM module for supplier relationship management has entered the scope of Russian localization. One of the projects was related to the localization of legislative requirements for procurement procedures for enterprises with state participation. The second project is focused on commercial companies, focusing on business requirements. The first release of localization is already available to customers, the project is expected to be completed at the end of 2013.

By the fall of 2013, a project was implemented to create a Russian and Ukrainian localization of the SAP "cloud" solution for human resources management - Success Factors. The Russian functionality of this release includes staff administration and payroll. As noted by Andrei Tregubov, the decision to include the Russian version among the first localizations is due to the fact that Russia is one of the priority group of countries for which SAP releases localizations of its products in the first place.

Current localization work for Russia also includes optimization and expansion of a number of solutions on the SAP HANA platform . In particular, the project to localize the main activities of banks, according to Andrei Tregubov, includes work on preparing reporting using HANA technology. As part of the project, it is possible to create a report generator in the system that takes full advantage of In-memory technology. Work is actively underway to expand the functionality of ERP and SAP ERP HCM systems on HANA: for example, a spreadsheet or check reporting on payroll calculation.

In general, according to HANA, the company is going to release updates quarterly, in particular, the first Russian release of the banking system on the HANA platform is planned to be released in the fourth quarter of 2013.

According to Andrei Tregubov, in 2014 the company plans to begin localizing the SAP transportation management solution, intended for both carrier companies and those who need to organize the management of a large fleet of vehicles. These, for example, include metallurgical and mining companies. According to Andrei Tregubov, this project will be the second in volume and complexity after localizing solutions for banks. Also in 2014, SAP expects to complete the localization of budget accounting for the public sector.

"In addition, we plan to develop cloud solutions - for example, localize Ariba: a cloud solution for working with suppliers," says the head of the localization department of SAP CIS.

2012

Start SAP Custom Development

In May 2012, SAP CIS launched a new direction in Russia and the CIS for the development of custom business applications (SAP Custom Development). The activity of the new division is centered around creating unique solutions for SAP customers.

First localization of SAP ERP for Kazakhstan

In September 2012, SAP CIS (SAP CIS) announced that it had developed the first localization of SAP ERP for Kazakhstan, taking into account local legislative requirements. "The release of this version means that SAP sees great prospects in Kazakhstan for further development and invests in the country seriously and for a long time," the corporation said in an official statement.

According to Pavel Gontarev, Director for SAP CIS countries, the growth of the number of local partners and large projects, entry into the Kazakh market of SAP partners who have proven themselves in working with the company in other CIS countries are "the most important indicators of market prospects."

Recall that the SAP representative office in the Republic of Kazakhstan has existed since 1997. As of July 2012, the company's activities cover not only Kazakhstan, but also all Central Asian countries. At the same time, Kazakhstan accounts for about 90% of all SAP sales in the region. At the beginning of 2012, the SAP Kazakhstan ecosystem consisted of 26 partners and more than 20 thousand users of SAP solutions. More than 158 enterprises in the region are SAP customers. These are companies such as, for example, Kazakhtelecom.

In 2011, the SAP Kazakhstan business grew at a very fast pace: a consulting division was opened, an offer was launched for small and medium-sized businesses. In 2011, SAP management adopted an investment plan in the CIS, according to which by 2015 their volume will amount to $1 billion, there will be a set of new experts, new offices will open in this region. Obviously, Kazakhstan will be in the focus of close attention of SAP in the coming years.

SAP EMEAFrank President Cohen has previously stated literally the following:

"It is

no secret that in two years of the course on industrial - innovative development of Kazakhstan about four hundred new industries have been built. The industrial sector has created 90 thousand new jobs, 60 new enterprises have already reached their design capacity and produced products worth $2 billion. The state sets a good start for the country's innovative development. This is what we explain the fact that SAP technology solutions are rapidly taking root in Kazakhstan. "

The localization development project lasted six months and was carried out in cooperation with the international holding ENRC, which is engaged in the extraction and processing of natural resources, as well as the audit and consulting company Deloitte. This localization is the third in the CIS countries after Russia and Ukraine, and its creation is due to the prospects of the Kazakh market. The localized version will be available to SAP customers in Kazakhstan for free.

At the first stage of Kazakh localization, a solution for financial management was developed, including accounting and reporting on VAT, accounting for import operations from the countries of the Customs Union, calculating corporate income tax and taxes on transport and property, as well as reporting on land tax, transport tax and property tax. At the next stage of localization, the solution will be supplemented with opportunities for maintaining primary accounting documentation and financial statements.

As of September 2012, work is also underway to localize the SAP HCM human resources solution. In 2012, the corporation expects to see the first projects in the Mobility and SAP HANA segments in the Kazakh market.

2011

Plan to increase the number of consultants from 6.5 thousand to 20 thousand people

In 2011 Russia , 632 people were certified as an SAP consultant (SAP ERP systems implementation and maintenance specialist CNews), the company's Russian representative office said. Of these, about 70 people received a certificate at SAP partner universities. According to the company at the beginning of 2012, in total there are about 6.5 thousand such specialists on the Russian market.

The market is experiencing a significant shortage of SAP consultants, the company admits. According to the plan, in 2015 their number should increase to 20 thousand (i.e. the increase should be 3 thousand people annually). The high demand for specialists is also confirmed by data on their salaries from recruiting sites. So, according to the Superjob.ru as of mid-2011, the average salary of a consultant without work experience in Moscow was 60-70 thousand rubles, in St. Petersburg - 48-56 thousand rubles, and a specialist with significant work experience - up to 180 thousand rubles. and 145 thousand rubles. respectively.

The current growth rate of new consultants to cover the shortage in specialists is not enough. Expanding the company's ecosystem and saturating the market with specialists of various profiles and qualifications is one of the tasks of the SAP University Alliance (engaged in the development of cooperation with universities), the company says.

In the CIS, the company has 45 partner universities, most of which are in Russia. Students can take them a ten-day course of study "Introduction to SAP ERP." Training programs on business analytical applications () SAP BI and customer relationship management solutions () are also available CRM , the company says. Based on the results of the course, students take a certification exam, which is conducted by SAP itself or its authorized partner, after which a certificate is issued to students.

New mode of technical support operation

In December 2011, SAP CIS announced a new mode of operation of the user technical support service: communication with specialists became available in Russian 24 hours 7 days a week. Previously, it was possible to talk with support in Russian only during working hours "in Moscow," which was inconvenient for enterprises located in other time zones.

SAP Lab, plus 500 employees and 14,000 consultants

The Board of Directors of SAP AG approved the growth plan submitted by SAP CIS until 2015 and decided to allocate additional investments for its implementation in 2011-2015. One of the main components of the plan is to double the staff and consultants.

SAP has presented a plan for the development of its business in Russia and the CIS for the next five years. He was voiced in connection with a visit to Moscow by Corporation President Frank Cohen.' As a senior top manager noted, SAP's business in Russia and the CIS is developing "steadily and successfully," as exemplified by the 2010 results. Thus, SAP CIS (SAP CIS) became the best SAP division in the EMEA + India region, taking the third place in the world of performance.

Today, the entire main line of SAP solutions is presented in Russia, and since 2011, the Russian language has become one of the main languages ​ ​ for localizing SAP software products. According to IDC estimates, SAP is the leader in the Russian business solutions market with a 50.5% share.

Franck Cohen made a detailed statement regarding the structure of SAP AG's planned investments in the development of the corporation's business in Russia and the CIS, including expanding the localization of SAP solutions for Russia, Ukraine and Kazakhstan, the development of innovative technologies (mobility, in-memory, on-demand), training and professional services.

The plan for SAP business growth in the CIS countries until 2015 was adopted at a meeting of the Board of Directors of SAP AG, which was held for the first time in the history of the company in Russia (it was held in July in St. Petersburg).

For SAP to grow its business in Russia, Igor Bogachev will need 500 new employees and 14 thousand new consultants

The main sources of SAP business growth in Russia and the CIS are named innovative technologies: mobile technologies, mobility, cloud and fast computing (HANA). As well as the expansion of the company's presence in the CIS countries, business development in strategic industries for SAP CIS (banks, the public sector), the development and deepening of relations with the largest companies in the region, a significant expansion of work with a fast-growing business (SMB).

SAP CIS CEO Igor Bogachev announced that the local division of the corporation plans a significant increase in the staff (from 700 to 1,300 people), including a doubling of the number of support employees. Targeted investments are expected to dramatically expand the ecosystem (from 6 thousand to 20 thousand consultants in the market) and train employees.

In addition, the company plans to grow and develop the SAP consulting division: strengthen the focus on new solutions for the market, increase the consulting division in the regions, and expand the range of pre-configured solutions. In the future, the first SAP Research and Development Center (SAP Lab) in Russia will open.

The plan for the growth of the number of employees up to 1300 people

SAP CIS CEO Igor Bogachev announced that the local division of the corporation plans a significant increase in the staff (from 700 to 1,300 people), including a doubling of the number of support employees. Targeted investments are expected to dramatically expand the ecosystem (from 6 thousand to 20 thousand consultants in the market) and train employees.

In addition, the company plans to grow and develop the SAP consulting division: strengthen the focus on new solutions for the market, increase the consulting division in the regions, and expand the range of pre-configured solutions. In the future, the first SAP Research and Development Center in Russia (SAP Labs CIS) will open.

CIS Development Strategy 2011-2015

In September 2011, SAP presented a plan for the development of its business in Russia and the CIS for the next five years. He was voiced in connection with a visit to Moscow by corporation president Franck Cohen. As a senior top manager noted, SAP's business in Russia and the CIS is developing "steadily and successfully," as exemplified by the 2010 results. Thus, SAP CIS became the best SAP division in the EMEA + India region, taking the third place in the world of performance.

The entire main line of SAP solutions has already been presented in Russia, and since 2011 the Russian language has become one of the main languages ​ ​ for localizing SAP software products.

Franck Cohen made a detailed statement regarding the structure of SAP AG's planned investments in the development of the corporation's business in Russia and the CIS, including expanding the localization of SAP solutions for Russia, Ukraine and Kazakhstan, the development of innovative technologies (mobility, in-memory, on-demand), training and professional services.

The plan for SAP business growth in the CIS until 2015 was adopted at a meeting of the Board of Directors of SAP AG, which was held for the first time in the history of the company in Russia (it was held in July 2011 in St. Petersburg).

The main sources of SAP business growth in Russia and the CIS are named innovative technologies: mobile technologies, mobility, cloud and fast computing (HANA). As well as the expansion of the company's presence in the CIS countries, business development in strategic industries for SAP CIS (banks, the public sector), the development and deepening of relations with the largest companies in the region, a significant expansion of work with a fast-growing business (SMB).

2010

Start of sales of ERP for SMB

In October 2010, SAP announced the launch in Russia of a pilot project for the sale of ERP systems with fixed deadlines, a set of functions and prices for small and medium-sized businesses. Solutions were formed on the basis of typical business processes found in a particular industry. They are intended for companies operating in retail, distribution, mechanical engineering, financial and banking sectors, in insurance, production, the company said. In addition to fixed-price ERP systems, cross-industry solutions are offered for building CRM and HRM systems, business intelligence and service.

SAP partners will sell the solutions. Their proposals can be divided into three main groups:

• ERP solutions based on SAP All-in-One costing from 160 to 390 thousand euros and a implementation period of 3-5 months,
• analytical solutions based on SAP Business Objects with a cost of 25 to 115 thousand euros and a implementation period of 2-4 months,
• HR solutions based on SAP solutions with a cost of 50 thousand euros and implementation dates of 4-6 months.

The price is fixed only if the company implements the system to the extent and with the functionality included in the offer. If necessary, change something for a specific company, the cost of the project will change.

With the help of a new proposal, SAP expects to "bite" competitors' market share in the SMB segment.

The general director of the company noted that the bulk of the cost of the project for the implementation of enterprise management systems falls, as a rule, on consulting services, and by combining existing industry practices in a ready-made solution, the share of consulting and, as a result, the cost and timing of implementation can be reduced.

Martynov also said that the initiative to sell packaged solutions came from the Russian division of SAP, and the headquarters supported it. If the project is successful after a year, SAP expects to distribute such proposals to other countries.

SAP claims that their partners in Russia are presenting packaged industry solutions for the first time. Experts say that this is not entirely true. Alain Koshkin, head of SAP practice at Asteros, dealing with projects to implement SAP ERP systems for 10 years, in a conversation with CNews noted that the topic of promotion to the SMB segment using packaged solutions for SAP is not new - it has existed for five years.

"SAP

has offered solutions with fixed implementation dates and prices before: for example, a few years ago, the company released such a solution based on SAP for retail," New software says Koshkina. - True, then the offer of industrially sharpened box solutions was, rather, marketing in order to attract the client. Now, it seems, they have become a reality and have a real study. "

According to Koshkina, such solutions have the greatest chances of success in retail and distribution.

However, Kirill Burlyuk, director of the business applications department of Sitronics IT, believes that ERP systems for SMB or any other sector will have to be "improved" in any case, so the release of a ready-made ERP solution is rather a marketing ploy.

Microsoft told CNews that their partners were implementing different initiatives to promote their industry solutions. So, since the end of 2009, GMCS has been offering packaged industry solutions based on Microsoft Dynamics AX and Infor ERP LN. In particular, these are industry solutions based on Microsoft Dynamics AX for the oil and gas sector, telecommunications, construction, warehouse complexes, costing from $70 to $350 thousand euros and a implementation period of 4-7 months. Based on the industry-wide Fast Start solution based on Infor ERP LN for mechanical engineering (SMB sector), worth $200-270 thousand with an implementation time of 12-20 weeks, a number of projects are currently being implemented, the company told CNews.

Product line

In Russia, the SAP product line in 2010 included the following solutions:

• Enterprise Resource Management (SAP ERP) - This solution covers all areas of financial and management accounting, human resources, operations and corporate services, and provides analytical tools. The solution involves integration with all existing SAP solutions.

• SAP Mobile Applications

• Today's Enterprise Management (SAP Business Suite) - This suite of adaptive enterprise solutions optimizes all of the company's critical processes. The SAP Business Suite, based on the SAP NetWeaver technology platform, includes the solutions SAP Customer Relationship Management (SAP CRM), SAP Product Lifecycle Management (SAP PLM), SAP Supply Chain Management (SAP SCM ), and SRM Supplier Relationship Management (SAP SCM).

• SAP Manufacturing - This role-based solution effectively supports both discrete and continuous manufacturing processes. The ability to receive reliable and holistic information in real time allows you to quickly respond to any changes in market conditions, coordinate processes along the entire value chain in order to achieve their maximum performance. In addition, the solution allows you to clearly track the compliance of enterprise processes with the requirements of health protection and environmental protection.

• Strategic management, planning, reporting, and business analysis solutions developed by SAP and its member company, Business Objects, build on the expertise of two IT leaders to manage enterprise performance and business intelligence. With these solutions, you can improve your planning, consolidation, and reporting processes. Working with up-to-date and reliable information through advanced and easy-to-use tools allows you to make better decisions.

• SAP BusinessObjects Explorer - the solution allows you to quickly access data by formulating requests in the usual spoken language. The solution connects the capabilities of BusinessObjects and SAP NetWeaver BW Accelerator.

• Solutions for SMBs (SAP Business One) are preconfigured and easy to implement. Along with the functionality of SAP products, they provide companies with industry-specific business best practices models.

2009

ERP systems market share - 50%

According to IDC, SAP's total share in the Russian ERP systems market in 2009 was 50.1%. In October 2010, the company estimated its share in the SMB segment at least 30%. For the first year of sales of "boxes" in the Russian branch of SAP, they expect an increase in the share of solutions of this segment in revenue by 30%.

Industry solutions based on SAP ERP systems

• Logistics Business Process Automation Solution (30294)
• AB Consult Pharma (30292)
• SAP for Aerospace & Defense ( SAP R/3 )
• SAP for Automotive ( SAP R/3 )
• SAP for Banking ( SAP R/3 )
• Industry solution for power and housing and communal services (21287)

Procedure for calculation of electric power volumes; Maintenance of types of measuring instruments; Maintenance of technical data; Maintenance of basic commercial data of power supply facilities (Counterparties, contract accounts); Maintenance of contracts, design units, applications; Energy Data Management; Control of metering devices fleet; Control of metering devices reading; Calculation of electricity volumes; Balancing.

• mySAP Mining (mySAP ERP )
• SAP for EC&O ( SAP R/3 )
• SAP for Healthcare ( SAP R/3 )
• SAP for High Tech ( SAP R/3 )
• SAP for Higher Education & Research ( SAP R/3 )
• SAP for Defense & Security ( SAP R/3 )
• SAP for Chemicals ( SAP R/3 )
• SAP for Consumer Products ( SAP R/3 )
• SAP for IM&C ( SAP R/3 )
• SAP for Insurance ( SAP R/3 )
• SAP for Logistics Service Providers ( SAP R/3 )
• SAP for Media ( SAP R/3 )
• SAP for Mill Products ( SAP R/3 )
• SAP for Mining ( SAP R/3 )
• SAP for Oil & Gas ( SAP R/3 )
• SAP for Pharmaceuticals ( SAP R/3 )
• SAP for Postal Services ( SAP R/3 )
• SAP for Professional Services ( SAP R/3 )
• SAP for Public Sector ( SAP R/3 )
• SAP for Retail ( SAP R/3 )
• SAP for Railways ( SAP R/3 )
• SAP for Telecommunications ( SAP R/3 )
• SAP for Utilities ( SAP R/3 )
• SAP for Wholesale Distribution (mySAP ERP)
• Production of metal products (30294)

Implementation of continuous production. Accounting: production waste, scrap; revision of the fixed defect; production of semi-finished products; production of special equipment/tools for own needs; control over the execution of the product manufacture dates. Production of products from subcontracted raw materials. Record of return containers.

• Wholesale (30294)

Implementation of warehouse logistics task based on barcoding technology (receipt, shipment, inventory, transfer) using data collection terminals.

• Service Company Solution (30294)

Cross-industry solution for professional service companies.

• Cross-Industry Hardware Distributor Solution (30294)

A solution for hardware distributors on the SAP Business One platform.

• it.consumer (30296)

A solution for consumer goods manufacturers.

• LANIT. Development Project and Capital Construction Management (21287)

The solution is intended for construction companies acting as an investor, developer, customer, general contractor (developer). Covers both typical business processes (accounting, accounting of material flows and management accounting) and specific to the construction industry (planning, budgeting and operational management of projects, phases and stages of work, maintenance of design estimates, design and working documentation).

1992: Opening an office in Moscow and first clients

In 1992, the German company opened an official representative office in Moscow and had its first clients - SverdlovEnergo JSC, Surgutneftegas, Krasnoyarsk Aluminum Plant and Tulamashzavod, subsequently seven more offices were opened, including in St. Petersburg, Yekaterinburg and other cities.

1990: Partnership with the Research Institute of Central Programmsystems

SAP entered the Russian market in 1990, establishing partnerships with the Tver Research Institute "Tsentrprogramsystem" - the first Russian enterprise engaged in localizing SAP solutions (and, incidentally, organized almost simultaneously with SAP - in the first half of the 1970s).

Notes

See also

• SAP CIS (SAP CIS)
• SAP SE
• SAP SE History