Innovation challenges for Enterprise Software incumbents

 

Established enterprise software vendors such as SAP and Oracle are struggling to make it to the new paradigms of Cloud, AI and Big Data.  In many ways their challenges are very similar to the ones that GM, Ford, VW and the established Auto players are facing with the Tesla led EV revolution.  SAP, for example, has been struggling with this transition as evident from its ever-changing solution roadmap.  First it was a Leonardo and now there is a confusing array of analytics and cloud offerings such as SAP Analytics Cloud, SAP Data Warehouse Cloud, SAP Data Intelligence, SAP HANA Cloud and so on - challenging for any CIO to make sense of it all.  

Understandably, converting a 40 years old established client-server based heavily-customized customer landscape to the cloud and AI based analytics future is not an easy problem to solve.  Surely the newcomers have an advantage here because they don’t have the baggage of keeping alive the old and worrying about the transition from the old to the new both internally as well as for their customers.  

In much the same way as GM and Ford need to rejig their assembly lines and redesign their organizations to a EV future, SAP and others need to completely transition their entire ecosystem including customers and partners around the new technologies…

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