But it was close to the industrial accident

The scene is quite surreal. In the evening of May 11 Frankfurt Convention Center hall transformed into concert hall. On stage, the British group Duran Duran, released for the occasion of a semi-oubli, continues his old tubes of the 1980s, before an audience in tailoring and costume-tie... Number of spectators wear the badge of the "sapphire now" event slung. "Sapphire", this is the track organised every year by SAP. The occasion for the German giant of software packages, to meet with customers to meet their expectations, their thirst of renewal and modernity. That a Duran Duran concert at best illustrates these values, this is discussed... But for the Group of Walldorf, the essential was elsewhere: three days, it was for him to establish full view and ears to visitors to demonstrate the dynamism found the House. Operation seduction intended to obscure the recent turbulence. Because turbulence, it has occurred in recent months in SAP: inability to deliver on the market the products expected, growing dissatisfaction of staff on a "top management" considered arrogant, alienation and anger of clients can by tariff increases imposed in full economic slump... In 2008, group had indeed attempted to identify the "maintenance fees" billed annually, to shift from 17 to 22 of the price of its licences. In the fronde of the undertakings concerned - Siemens himself had threatened to unleash SAP - the House had to revisit its decision. But it was close to the industrial accident...

These false not, the company paid the high price, with results declining for the first time since 2003 last year. As many signals that have angered old guard of SAP. Begin by Hasso Plattner, sixty-six years, co-founder of the group there are more than forty years and today Chairman of the Supervisory Board. The brilliant computer engineer, mutated into a guardian of the temple, sensed the danger mount: and if the group, fragile, became a target If it lost its independence

Euro-American tandem

To begin the counter-attack, a sacrificial victim has been identified in February last in the person of the Director-General, Leo Apotheker. After twenty years of home, the very francophile pattern of SAP had to make his suitcases. He will be kept barely nine months in command. Of the never-seen in the history of the "German Microsoft." At this iconic character was succeeded by a tandem. Formula tested in the past, and not only in SAP. This close that the duo chosen to redress the bar is 100 foreign: one, Jim Hagemann Snabe, is Danish. another, Bill McDermott, United States. Both were promoted internally, as to embody the culture joint us-European manufacturer of software packages, listed in the DNA of the Group since its inception in 1972. At the time, the five co-founders of the company were defectors from the German subsidiary of IBM. In the eyes of Ulrich Trabert, analyst at Metzler, this "dual nationality" explain "the success of SAP so far." "The adventure continues with an American deemed very hard for the commercial part, and his European colleague more turned to technology".

In a distribution of the roles perfectly oiled, Bill McDermott speaks almost caricatured as a marketing man, referring to an "incredible growth society" about SAP, knowing highly "motivate" his employees, to "design of super-produits". The style is more sober in Jim Snabe. Its priority: "get faster innovations to the client", in committing them "much more than we did in the past."

To correct the too cool image of the previous leadership, two patterns held conspicuously display their complicity in their first public appearance in March at the Cebit fair in Hanover. The General Assembly of the future should also be an opportunity to show shareholders that a page is turned. And that the winback can begin...

In fact, after a few weeks of shakedown, head duo has already some successes to his credit. SAP has announced rather flattering for the first quarter results 2010, promised for this summer's launch of its software available in the application for SMEs, and won most of the invitations to tender which appeared, winning a handful of contracts prestigious with clients such as the Russian Gazprom, the crossing American McCain Foods or the Almighty Industrial and Commercial Bank of China (ICBC).

Wake up stock market

But the main glow of the tandem coup is to be launched, last month, at the assault of the Sybase software Editor. An operation to 4.7 billion euros - the second largest acquisition of the group after French Business Objects in 2007-, which allows SAP to enter in data management, a new segment of activities. And the saddle to Oracle, became his most powerful rival to takeovers of companies beating challenges. It was this to wake up the action of the group. After the announcement of the resumption of Sybase, CA Cheuvreux analysts spoke of a "revitalization" of SAP, betting on an increase of 15 in the short term as.

The same sense prevail internally. "To support the course of the SAP action, there are two ways: increase profitability or double turnover in five years", explained one of the senior officials of the group, Rainer Zinow, recently supported solutions for SMEs. Double sales, one Sybase the will not be. With its turnover of $ 1.2 billion, the Californian company weighs 9 times less heavy than the giant of Walldorf. But his intake of fresh blood is anything but trivial for a SAP which carries out the bulk of his "business" on the saturated market of 20,000, world size companies more than 2,500 employees. On the playground, the German group can still hope force doors in the financial sector, far rather inclined to develop applications internally. The contract won last January with Deutsche Bank is, in this regard, of good augurs.

Programmes "à la carte".

But the time has clearly come to look for new growth relays. This SAP chose to divest itself of its traditional supplier of integrated and standardized software image, sold to large multinationals. It now builds on the offer of programmes "à la carte", intended to be better suited to medium-sized companies. The latter will now download online software answering the most closely to their needs. Sign of the times, the name of this new product, "Business by Design", decides voluntarily with heavy programs of the past, the "R/1", "R/2", "R/3" who made the legend of the Group (the letter "R" for real-time data management by SAP).

Truth be told, "Business by Design" is not strictly speaking a new product. Announced in September 2007, it had even been launched "with a typical American-style marketing hype", remembers a former employee. And then, nothing... While the development costs flew, the product, he proved too slow and suffered from an unconvincing ergonomics. In the small world of software packages, the Thrashers had soon to rename the project "Business by Disaster. But all this is of the past. "Bill and Jim" provide it: today, the product is ready, it will be marketed from the summer.

The challenge is to size. With its offer of the application software, it is the sphere of business less than 2.500 employees that SAP has now conquer. If this segment already represents 77 of the some 100,000 clients group around the world, it provides SAP less than 30 of its global business. The market share on this niche would be half lower than detained in multinational (about a fifth of the market). Rainer Zinow is aware that seduce the midsize businesses, will have to be as responsive to their needs as an electricity supplier or a car dealer... A market by nature very dispersed, business strategy through the implementation of an indirect sales channel. Business partners will become the showcase of SAP to the client. A site already committed: "We must build this network in the sphere of the businesses with between 100 and 1,000 employees," confirms the German Manager.

All of this will be sufficient to improve the image of SAP Outside, the latter remains still tinged with a mixture of "fascination and hatred", according to an American engineer of the House. Calm seems in any case returned to Headquarters to Walldorf. On place, everything is done, it is true, to preserve thousands of employees of the external tensions, on a site like California campus: free business restaurant, cafeterias to design clean all floors, stimulating activities, the "power yoga" in the "thairobic"; without forgetting the omnipresent nature with a forest managed paths to allow thinkers battalions to afford a few moments of relaxation. Dreaming of new conquests...