SAP Shifts Fo­cus to Small Busi­nesses

Com­pany to skill, reskill 15 lakh con­sul­tants with SMEs in mind

The Economic Times - - Disruption: Startups & Tech - Megha.Man­davia @times­

Mum­bai: SAP, Europe’s largest tech­nol­ogy com­pany, will skill, reskill and up­skill 15 lakh SAP con­sul­tants in the next three years as it looks to target small en­ter­prises to grow its busi­ness in In­dia. At present, 80% of SAP’s 8,600 clients in In­dia are small and medium scale en­ter­prises (SMEs). “We are known as a com­pany who helps large en­ter­prises but the 51 mil­lion SMEs is the po­ten­tial marketplace we want to ad­dress,” said Scott Rus­sell, pres­i­dent at SAP for Asia Pa­cific and Ja­pan. He siad many SMEs don’t use any un­der­ly­ing tech­nol­ogy to run their busi­nesses due to lack of knowl­edge, ac­cess, fi­nan­cial in­hi­bi­tions and of­ten lack of un­der­stand­ing of how to use dig­i­tal tech­nolo­gies.

SAP said with the roll­out of Goods & Ser­vice Tax and the gov­ern­ment’s dig­i­tal In­dia pol­icy, In­dian SMEs will have to on­board or scale their tech­nol­ogy in­fra­struc­ture.

“It will there­fore give rise to an in­dus­try-wide re­quire­ment of dig­i­tal ex­perts who will have the ca­pa­bil­ity to en­able en­ter­prises tran­si­tion to a dig­i­tal plat­form. SAP un­der­stands the ur­gency to ful­fil this ne­ces­sity,” it said. The Ger­many-based com­pany, which is a mar­ket leader in en­ter­prise ap­pli­ca­tion soft­ware, is trans­form­ing it­self into a cloud-based ser­vice com­pany from be­ing a com­pany de­pen­dent on costly up­front in­stal­la­tions and li­cence fees.

SAP’s Rus­sell said that if In­dia wants to be­come truly a dig­i­tal econ­omy then all com­pa­nies — big or small — need to par­tic­i­pate in it.

SAP In­dia has started var­i­ous ini­tia­tives and launched new pro­grammes through its part­ner ecosys­tem.

In June, SAP part­nered with the Min­istry of Mi­cro, Small and Medium En­ter­prises to jointly launch Bharat ERP, a pro­gramme aimed at dig­i­tal em­pow­er­ment of small busi­nesses in the coun­try. The ini­tia­tive aims to dig­i­tally en­able nearly 30,000 MSMEs and youth in the next three years. It will also pro­vide MSMEs with ac­cess to tech­nol­ogy from SAP to help them streamline and in­te­grate key pro­cesses like fi­nan­cials, sales and in­ven­tory with a sin­gle busi­ness soft­ware.

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