Head office: Dietmar Hopp Alle 16, 69190 Walldorf, Germany Tel: +1 877 727 1127, ext 14002 (SAP for Banking) Other offices: SAP is represented in more than 130 countries Website:
www.sap.com Twitter: @SAPFinServ Founded: 1972 Ownership: Public ownership (listed on the Frankfurt, Swiss and New York Stock Exchanges) Number of staff: 88,500+
Financials
For 2017, SAP had an operating profit of €6.9 billion on revenues of €23.76 billion. This compares with a post-tax profit for 2015 of €5.12 billion on revenues of €22.07 billion.
Products
By the first half of the 1990s, core accounting customers used SAP’s R/3 and its predecessors as the central general ledger (GL) and MIS application. In the second half of the 1990s, SAP worked with a number of customers on a banking analytics
offering which came to be dubbed Strategic Enterprise Management (SEM) for Banking. The initial focus was profitability analysis, with First Chicago NBD one of the pioneers. The offering moved into the associated areas of asset and liability management, limit management, and credit and market risk management. A major sector shift since then, reflected in SAP’s product
strategy, has been the coming together of accounting and risk management, with the common requirements seeing some banks breaking down the traditional divisional barriers. This shift led SAP to develop its Business Intelligence Warehouse from around 2000, bringing extended MIS and reporting functions. Work was particularly done with HVB and another unnamed German bank, around profitability and limits. Hamish Newlands, EMEA consultant at SAP, admitted that when SAP initially went to market with this, it was met with ‘stony silence’. This was due to the fact that, by this time, any discretionary spend was being directed at IFRS and Basel II. From 2001, ‘after a lot of head scratching’, SAP decided to
build a large sub-ledger which could connect to a GL. This saw the development of Bank Analyzer which, with its accounting rules engine and process management functionality, allows SAP to claim a solution that is capable of delivering accounting and risk-based information on a single, consistent basis. It is designed to interact with any third party application, with data export to any GL and XML-based journals.
116
By 2006, SAP claimed 45 customers in 16+ countries. Bank Analyzer boasted complete accounting from the front office level, including IAS32 and IAS39 processing, plus parallel support for multiple GAAPs, comprising local GAAP accounting for Japan, Belgium and Germany. SAP also claimed complete Basel II risk calculations from the one base data set, plus limit management and reporting on Basel II and other calculated exposure data. Further releases were to bring support for profitability management, asset and liability management, credit portfolio management, risk adjusted pricing and pre-calculation, and market risk. In 2008, plans were announced to integrate the reporting tools and dashboards gained with Business Objects with SAP’s offerings, including its core banking and lending systems. Work was also undertaken on a banking specific version of the Governance Risk and Compliance (GRC) operational risk solution and this was then to be integrated with Bank Analyzer, with the Business Objects tools in front of both. By this stage, Bank of Ireland had already signed up for the combined Business Objects/Bank Analyzer solution. GRC is a cross-industry product, providing support for SOX and other compliance needs. Stemming from a couple of acquisitions made by SAP in the previous couple of years (comprising performance management analytics company, Pilot Software, and security and control specialist, Virsa Software), it had by this stage been placed in the Business Objects division. The combination of GRC and Bank Analyzer meant there was now a solution to span credit, market and operational risk. There is also a Price Optimization offering stemming from
SAP’s acquisition in 2005 of Scottsdale, US-based specialist supplier, Khimetrics. Its algorithmic-based solution allows users to determine the optimum price for their products. After the acquisition, the offering was moved to Netweaver. In late
Risk Management Systems & Suppliers Report |
www.ibsintelligence.com
company details
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124 |
Page 125 |
Page 126 |
Page 127 |
Page 128 |
Page 129 |
Page 130 |
Page 131 |
Page 132 |
Page 133 |
Page 134 |
Page 135 |
Page 136 |
Page 137 |
Page 138 |
Page 139 |
Page 140 |
Page 141 |
Page 142 |
Page 143 |
Page 144 |
Page 145 |
Page 146 |
Page 147 |
Page 148 |
Page 149 |
Page 150 |
Page 151 |
Page 152 |
Page 153 |
Page 154 |
Page 155 |
Page 156 |
Page 157 |
Page 158 |
Page 159 |
Page 160 |
Page 161 |
Page 162 |
Page 163 |
Page 164 |
Page 165 |
Page 166 |
Page 167 |
Page 168 |
Page 169 |
Page 170 |
Page 171 |
Page 172 |
Page 173 |
Page 174 |
Page 175 |
Page 176 |
Page 177 |
Page 178 |
Page 179 |
Page 180 |
Page 181 |
Page 182 |
Page 183 |
Page 184 |
Page 185 |
Page 186 |
Page 187 |
Page 188 |
Page 189 |
Page 190 |
Page 191 |
Page 192
