Wednesday, April 21, 2010

SAP to Acquire TechniData, how this impacts EH&S consultants

Dear friends,

Today I read news that SAP to acquire TechniData. Along with last year's transfer of EH&S IP products rights to SAP, this move will induct experienced EH&S workforce into SAP. It is definitely one of the exciting things for SAP on Sustainability Front, next to acquiring Clear Standards acquired almost one year ago. I would rate the current acquisition much ahead than the previous one - though TechniData and SAP are already interconnected for so long. There are many who are interested to see how this will impact EH&S delivery and whether it’s a positive for them or not, so on.

Definitely it’s a positive move for the SAP's EH&S and sustainability market as a whole . With SAP expertise and TechniData EH&S background, you will see much more innovation on SAP EH&S and Sustainability front, a definite next generation products from SAP including realization of EH&S as a SaaS product. There is also possibility that SAP would like to do customer on-boarding themselves for this specialized field, so it could impact EH&S consultants for where customer would go for this new opportunity, but at the same time opens up new EH&S consultants opportunity due to wider SAP presence and customer confidence. Finally SAP is proposed to expand its SAP EHSM and Sustainability portfolio, so it would be imperative to increase their EHS Staff. As on today it is reported that TechniData has 500 employees and 1,600 customers.

Overall I find this move, interesting, challenging and exciting for EHSM consultants.

Check this link for some FAQ about the acquisition

http://www.sap.com/about/investor/pdf/TechniData_FAQ.pdf

Thanks

6 comments:

  1. Hi Jak,

    One of the constraints that SAP EHS has is the license fee, now with SAP taking over techni data we can expect that SAP may offer some competitive prices helping SAP EHS gain a better market coverage than it is now. Besides the EHS and other sustainability solutions does not fit much in the Indian environment like other ERP products that we customize. SAP must come up with some dynamic functionality changes which can be customized according to the country. But in a nutshell Let us hope EHS consultant will get better days to see ahead. Of course as you pointed on demand solutions may pose threat for the consultant unless SAP augments its presence.

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  2. Hello Ashish,

    Please be informed that the proposed acquisition has nothing to do with EHS licence costs etc, Last year SAP already taken over EH&S IP rights from TechniData. Now also EH&S licence policy changed - I can not comment those here. On Demand Solution never pose any threat to consultants, infact I see them as a step ahead in achieving regulatory compliance and for business process optimization - think of Blue Ocean Strategy - Larger the Base of Pyramid - more the scope of work.

    Thanks

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  3. It's really a great news to EH&S consultants. I now definitely look forward to increased SAP EH&S adoption by businesses due to rationalization in IP rights/licensing policy, which has had been a major detriment, and also due to the increased weight of the sales pitch from SAP itself.
    Also, look forward to job openings at SAP labs in India for SAP EH&S consultants.There should be SAP certification now available for SAP EH&S or SAP Sustainability consultants at large.
    Regards,
    Pavan

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  4. 若對自己誠實,日積月累,就無法對別人不忠了。........................................

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  5. I expect to see a standardization of all EH&S documentation and training courses in line with SAP due to this acquisition. Country specific versions to support local EH&S regulations could also be a possibility

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  6. Hi

    Am a management graduate MBA (Fin) with over 6 years of Facility management experience and presently working for a US based MNC. I conduct EH&S audits across various upcoming commercial building as part of my job profile.

    My question is can I take up SAP EH&S? Please advice.

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