By Suzanna Kerridge, 25 September 2000 16:30
NEWS SAP today announced its latest contract to overhaul Exxon Mobil's infrastructure and implement MySAP.com throughout the company's worldwide offices. The system, estimated to support 100,000 users, is expected to reduce costs and make it easier to integrate web-based applications. SAP kicked off its latest global advertising campaign by sponsoring yesterday's US Grand Prix - the first American Formula One racing event for nine years. Simone de Bruin, analyst at IDC, explained that SAP badly needs to disassociate itself from ERP so that it can develop new markets. "ERP is not sexy and does not sell," she said. "Everyone wants to be in enterprise resource management - the software that allows companies to link applications to ebusiness products so they can automate their supply chain. SAP is right in every way to want to link itself with the ebusiness world." Joyce Bonham, analyst at Gartner Group, agreed: "The driving force behind the new marketing campaign is likely to be the fact that the market does not perceive the company to be a new economy vendor. It is hard to shake off the ERP title, and SAP is trying to position itself elsewhere in the internet market." SAP's marketing strategy apes that of its rival Oracle, which has been successful in repositioning itself. Bonham said: "Oracle has been very aggressive in marketing itself in the internet arena, even if its delivery has not been aggressive. It's very early days for Oracle, so it's a case of watch this space. It is definitely a battle of marketeers." Bonham warned, however, that companies should not be too eager to disassociate themselves from ERP: "ERP still exists. It is necessary to have your house in order and to optimise your applications before you look to externalise. It is the backbone for this type of business process and lends a better start to delivery of applications."
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