Nicolas Schobinger | B4B – How to jump-start your journey with your Professional Services Business

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  • B4B How to jump-start your journey with your Professional Services Business

    Nicolas Schobinger | SAP AG 05.05.2014

  • @nschobinger

    Safe Harbor Statement / Disclaimer

    Safe Harbor Statement Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as anticipate, believe, estimate, expect, forecast, intend, may, plan, project, predict, should and will and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAPs future financial results are discussed more fully in SAPs filings with the U.S. Securities and Exchange Commission (SEC), including SAPs most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

    Disclaimer

    SAP has no obligation to pursue any course of business outlined in this presentation or to develop or release any functionality mentioned in this presentation. This presentation and SAP's strategy and possible future developments are subject to change and may be changed by SAP at any time for any reason without notice. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP intentionally or grossly negligent.

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  • @nschobinger

    2013

    Culmination 2009

    3

    Yet, sense of Urgency has not yet peaked !

  • @nschobinger

    SAP Services At a Glance 4 Lines of Business: Consulting, Education, Custom Development, Premium Support

    4500+ Million USD revenues

    15,000 Consultants

    15,000 Engagements annually

    1,000,000 Days delivered annually

    60+ Countries with local presence

    500,000 Customers and partners resources trained annually

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  • @nschobinger

    Many ways to start

    Source: Pictures taken from A. Lange & Shne, Glashtte, 2014 .

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    Complication

    B4B

    Caliber

    eg Line of Service

    Tourbillon

    eg Capability

  • @nschobinger

    B4B Where are best capabilities?

    6

    Delivery Go-to-Market Portfolio

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    Portfolio

    Defining a B4B Portfolio

    What did we do? Defined an OBS framework (Specs)

    Codifying the 5 criteria Requirements, Checklist Templates Examples

    existing Services to meet OBS specs Service creation process Retiring non-OBS from Catalogue

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    Outcome-Based ready | potential

    Existing Portfolio

    Propensity Business Value Differentiation Pricing Marketability

  • @nschobinger

    Outcome-Based Services Examples

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    Portfolio

    Before Upgrade

    Assessment

    Technical Upgrade

    Functional Upgrade

    $

    ONE Customer

    $ $

    After

    Upgrade Bundle

    Out of the Box Minimal Down Time Fixed Price Fixed Scope

    ONE Customer

    $

    Use-case IP

  • @nschobinger

    B4B & The Portfolio Learnings

    Lessons Learned Framework: clear, pragmatic Portfolio rework: on promising

    prospects instead of lemons Differentiation: strongest predictor

    for success Sales force benefits: simplification,

    differentiation Key: embedding of Sales tools (e.g.

    Sales Navigator)

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    Portfolio

    Experiences Benefit

    Por

    tfolio

    Cov

    erag

    e

    0%

    5%

    10%

    15%

    20%

    Before After

    8x

    1:6

    Identify

    1:50

  • @nschobinger

    Selling the B4B Portfolio

    Volumization, Outcomes, Execution 10

    Build Scalability with Tools

    Context aware Push/Smart vs Pull Demand shaping on

    the spot Collateralized Execution-minded Mobil, yet back-end

    connected

    Sightings

    Portfolio gets broader and broader

    Land & Expand Smaller deal-sizes

    Volumization in

    the GTM Outcomes

    Go-to-Market

    Still a Reality

  • @nschobinger

    Go-to-Market

    Selling the B4B Portfolio Demo

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  • @nschobinger

    B4B & The Go-to-Market Learnings

    Lessons Learned Technical Infrastructure needs

    device mgmt, sync, content push Enablement learn to use it,

    deployment on device Chicken & Egg no content no use,

    no audience no invest Handshakes CRM, between tools,

    into the core systems Executive Cadences

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    Experiences Benefit

    0%

    20%

    40%

    60%

    80%

    100%

    Before After

    -30%

    gone

    Identify

    Shape

    SME & Estimate

    SME & Estimate

    Identify & Shape

    Sal

    es C

    ycle

    Tim

    e

    Go-to-Market

  • @nschobinger

    Delivery

    Delivering the B4B Portfolio

    Customer Value, Efficiency, Speed

    +

    Pre-Assembly

    Outcome Based Delivery

    +

    Cloud

    +

    Agile Implementation Outcome Based Delivery

    +

    Additional requirements

    +

    Outcome Based Assets (1..n)

    +

    Engineered Services

    Rapid Deployment Solutions

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  • @nschobinger

    Delivering the B4B Portfolio Demo

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    Delivery

  • @nschobinger

    Delivery

    B4B & The Delivery Learnings

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    Lessons Learned Outcome based assets as

    prerequisite New Framework

    - Design-based vs Assembly - Solutioning & Assembly is now key - WBS, Production-Model, Location

    Cloud provisioning Automation is front and center

    Experiences Benefit

    0%

    20%

    40%

    60%

    80%

    100%

    Before After

    -40%

    -50%

    -30%

    Prep

    Blueprint

    Realize

    Test

    Go-Live

    Test Run

    Start

    Deploy gone

    Del

    iver

    y C

    ycle

    Tim

    e

  • @nschobinger

    Delivery Go-to-Market Portfolio

    B4B & Extreme Efficiency P

    ortfo

    lio C

    over

    age

    0%

    5%

    10%

    15%

    20%

    Before After

    8x

    1:6

    Identify

    1:50 0%

    20%

    40%

    60%

    80%

    100%

    Before After

    -30%

    gone

    Identify

    Shape

    SME & Estimate

    SME & Estimate

    Identify & Shape

    Sal

    es C

    ycle

    Tim

    e

    0%

    20%

    40%

    60%

    80%

    100%

    Before After

    -40%

    -50%

    -30%

    Prep

    Blueprint

    Realize

    Test

    Go-Live

    Test Run

    Start

    Deploy gone

    Del

    iver

    y C

    ycle

    Tim

    e

    16

  • @nschobinger

    Many ways to start

    Source: Pictures taken from A. Lange & Shne, Glashtte, 2014 .

    17

    B4B Line of Business Capability

    Complication Caliber Tourbillon

  • @nschobinger

    Contact Information

    Nicolas Schobinger Head of Global Strategy & Execution, SAP Services nicolas.schobinger@sap.com @nschobinger

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