Accelerating Growth with Innovation and Sustainability
The event, themed “India: Incredible to Inevitable,” underscored SAP’s commitment to empowering Indian companies of all sizes to achieve their digital transformation goals.
SAP NOW India 2024, held in Mumbai this April, convened together over 2,000 delegates to explore the intersection of innovation, technology, and sustainable practices for Indian businesses. The event, themed “India: Incredible to Inevitable,” underscored SAP’s commitment to empowering Indian companies of all sizes to achieve their digital transformation goals and become leaders in the global marketplace.
In his keynote address, Paul Marriott, President of SAP Asia Pacific Japan, expressed immense gratitude towards India for embracing him in a nation where progress is truly monumental. “Currently, India is celebrating significant achievements, such as its recent lunar mission—congratulations once more on this remarkable feat, and this is just the start.” At this pivotal time, India is preparing to conduct the largest election ever witnessed globally, with over a billion potential voters. This staggering number underscores the magnitude of the upcoming elections. As political leaders from various parties outline ambitious goals, there’s a collective vision to increase India’s GDP to $30 trillion by 2047, marking a tenfold escalation from current levels. “When I first encountered this goal, I was taken aback by its sheer scale, but reflecting on India’s robust talent pool, youthful demographic, the world’s leading AI and technology startup ecosystems, dynamic business sectors, exceptional leaders, and a proliferation of startups and unicorns, it’s evident that these aspirations are achievable.” To reach these heights, however, businesses in all industries must leverage technology and innovation, particularly through what we at SAP call business relevance AI and the potential of generative AI. We are wholeheartedly dedicated to fostering this growth, investing in India to equip our clients with state-of-the-art technology and help every one of them capitalize on these opportunities.
80% of SAP’s customers in India are from the small and medium business sector, which illustrates the depth of SAP’s impact across diverse business landscapes.
During the event, Manish Prasad, the newly appointed President and Managing Director of SAP Indian Subcontinent shared his insights and vision for the future of SAP in India. Celebrating his recent leadership role, Manish highlighted the strong foundation SAP has built over 27 years in the country, with 60% of India’s GDP interacting with SAP systems. He outlined the company’s strategic priorities, emphasizing the integration of business AI and sustainability to deliver solutions at scale and speed. He also noted significant investments, including a state-of-the-art data center launched last year, which supports the enhancement of cloud solutions and contributes to the success factor. Manish reaffirmed SAP’s commitment to sustainability and inclusive growth, proudly mentioning that 80% of SAP’s customers in India are from the small and medium business sector, which illustrates the depth of SAP’s impact across diverse business landscapes.
Showcasing Innovation Across Industries
Manish went on to share updates about SAP’s offerings and their impact on customers and showcased a range of innovative solutions across various industries. From Larsen & Toubro and an unnamed chemical company leveraging SAP AI for operational excellence to Bhole Baba, Vahdam Tea India, G S Express Logistics and Mahindra Group utilizing SAP cloud solutions for business transformation, the event provided a glimpse into the future of Indian businesses empowered by technology.
Looking ahead, Manish highlighted three cornerstone areas for SAP in India: innovation, talent, and investment. “With one of the largest R&D centers outside Germany and around 15,000 STEM engineers, SAP is deeply invested in fostering a culture of innovation and transparency. Upcoming initiatives will further enhance data center capabilities and harness the rich talent pool in India, with
partners playing a crucial role in helping customers quickly realize the value of their investments in SAP’s platforms.”
Sustainability Takes Centre Stage
A key highlight of the event was the unveiling of a new SAP sustainability study conducted in India. The study revealed a heartening trend: 86% of Indian organizations recognize a moderate to strong connection between sustainability and profitability. This finding aligns with comments from Paul, “The Asian market represents more than 50 percent of the world’s emissions, and India, as one of the fastest-growing hotbeds of innovation and economic activity, is in a unique position to lead the charge against climate change.”
The study also emphasized the importance of accurate sustainability data for informed decision-making. Manish, echoed this sentiment, stressing, “Sustainability data needs to be integrated with financial data to make the right business decisions.” Companies like Sakata Inx, a leader in sustainable manufacturing practices, showcased how SAP solutions can help integrate sustainability into core business functions.
Cloud Adoption and Startup Growth
Cloud technology emerged as a major driver of growth at SAP NOW India. The event saw the launch of “Grow with SAP for Scaleups,” a program specifically designed for Indian startups. This program offers free six-month trials of SAP S/4HANA Public Cloud, industry-specific solutions, and access to SAP’s ecosystem for collaboration and growth opportunities.
Sanket Deodhar, Vice President & Head of Digital Natives, SAP India, emphasized the crucial role of cloud technology for startups, stating, “Embracing cloud technology isn’t just an option; it’s an imperative in today’s competitive landscape.” Testimonials from high-growth companies like Nykaa and Atomberg further solidified the program’s potential. Ganesh P, CFO of Nykaa, highlighted how SAP solutions have enhanced customer satisfaction, while Manish Bansal, CFO of Atomberg, stressed the importance of leveraging data-driven decisions for sustainable growth.
A Look Ahead: Will SAP Be a Formidable Contender in the Generative AI Arena?
SAP NOW India recently showcased itself as a dynamic platform for Indian businesses, emphasizing the transformative power of integrating technology with sustainability. As India positions itself as a future global economic powerhouse, SAP reaffirms its commitment to being a reliable partner, equipped with the necessary tools and resources to facilitate “incredible” growth and secure an “inevitable” future.
However, an analytical perspective raises a crucial question about SAP’s entry into the generative AI market, particularly considering its longstanding dominance in the ERP segment. SAP has been a leader in data management and enterprise resource planning for decades, yet the rapid ascent of generative AI technologies led by giants like Google, OpenAI, and Microsoft might suggest SAP is somewhat late to the game. This raises a strategic concern: Can SAP effectively carve out a significant presence in the generative AI space, which is quickly becoming crowded with these well-established tech behemoths?
SAP’s historical strength lies in its deep integration within the operational frameworks of some of the largest companies worldwide. This advantage can be leveraged to introduce AI solutions that are seamlessly integrated with existing ERP systems, enhancing their value proposition.
“Grow with SAP for Scaleups” program offers free six-month trials of SAP S/4HANA Public Cloud, industry-specific solutions, and access to SAP’s ecosystem for collaboration and growth opportunities.
Furthermore, SAP’s recent expansion of its partnership with Nvidia positions them to develop and deliver powerful generative AI solutions. Announced in March 2024, this collaboration focuses on building and delivering SAP Business AI, including scalable, business-specific generative AI capabilities inside the Joule® copilot from SAP and across SAP’s portfolio of cloud solutions and applications.
The company’s focus on business relevance AI might not only cater to its current customer base but also attract new ones looking for comprehensive, enterprise-level AI solutions. This strategy could position SAP as a bridge between traditional enterprise operations and cutting-edge AI applications, potentially allowing them to compete effectively in this new arena.
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