SAPs Platform Strategy in 2006 Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

With globalization, outsourcing, changing regulations, and rapid technological innovation, companies in the 2000s were more difficult task of developing and implementing adaptation of the business model. This entailed putting in place enterprise applications that are open source, easy to implement, and easy to integrate within and outside organizational boundaries. Since traditional enterprise resource planning (ERP) systems are usually complex, proprietary, and difficult to install, ERP systems providers had to change themselves strategically. SAP, a leading company in this space, run into this problem, transforming itself from a closed source software developer for open source software integrator. Opening their own software products as an open development and integration platform SAP enabled its customers to change their CSP in accordance with their specific needs. This new strategy, however, would fundamentally affect the business of architecture. In other words, SAP had to be revised, as it will determine its value proposition, identify and target their customers to use their resources, set up business processes, manage their alliances, and develop and maintain their profit and growth engines. How can a company withdraw this repositioning initiative? Will it be able to attract a global army of independent developers in support of its new strategy, the software platform? As if the ongoing consolidation in the software industry to influence the new strategy? As if the main competitors, such as Oracle, IBM, Microsoft, and many companies emerging in India respond? "Hide
by Ali F. Farhoomand, Samuel Tsang Source: University of Hong Kong, 27 pages. Publication Date: February 23, 2006. Prod. #: HKU564-PDF-ENG