Cloud industrializes ERP with IBM Lifecycle as a Service (LCaaS) for SAP Solution

When speaking with the CIOs of major enterprises and who have implemented enterprise resource planning (ERP), such as SAP, we generally get following impressions:

  • “ERP (SAP) operation” budgets are getting cut in favor of business values for creating SAP application projects.
  • Innovative SAP application projects are slowing down because of inflexible infrastructure and SAP BASIS resource constraints.
  • SAP BASIS and IT Infrastructure Services and Service Levels are at times non-transparent
  • Long lead times to new SAP systems or refreshes exist for development, sandbox,
    or test.
  • Proliferation of SAP systems result landscape complexity and associated service quality issues.

Similarly when we speak with the CIOs who are in process of implementing a new SAP system we face following questions:

  • How do we build a cost-effective and flexible infrastructure for my new SAP system?
  • How do we get access to the right skills to implement and operate it successfully?

To me these impressions and questions basically mean ERP implementations, enhancements, and support should move from specialization to industrialization.  This industrialization in the entire SAP lifecycle management can be achieved through higher levels of automation in private clouds and the bundling of long consulting and support service experience in building and running ERP Systems.  IBM Life Cycle as a Service (LCaaS) for SAP Solutions, a new service offering is a game-changing proposition in this direction. IBM’s long standing partnership with SAP, since SAP’s inception, would play great role in delivering this transformative service to large and small and medium enterprise (SME) customers.

IBM LCaaS for SAP Solution is a perfect blend of:

  • Innovations from business transformation and SAP consulting services
  • SAP implementation and support services
  • IBM SmartCloud for SAP applications

As the following picture shows, LCaaS bundles consulting and technology services under a common umbrella providing an integrated solution for each and every client.

IBM LCaaS for SAP is a nicely knitted combination of world class services, so large enterprises can enjoy following benefits:

  • Complexity is reduced through standardized configured-to-order solution components.
  • Self-service portal enables easy and fast SAP service request management.
  • Service Catalog includes a transparent SAP capacity-based price model.
  • Virtualized, highly scalable, and performance infrastructure provides the highest logical security.
  • Increased flexibility and speed are significantly in service delivery.
  • Robust and reliable processes ensure corporate compliance.
  • Complex SAP provisioning and copy services are dramatically accelerated.
  • Is supported by certified expertise skills for various SAP products and technologies.
  • Optional level 1 Help desk can help large and small organisations to concentrate on their core business and innovation.

From capital expenditures (CAPEX) and operating expenditures (OPEX) this is indeed an interesting value proposition. IBM’s SAP LCaaS can help new and existing customers to increase innovation and speed of implementation and at the same time reduce total cost of ownership. The next picture shows this in more detail:

In summary, I would say the IBM LCaas for SAP offering is probably the most concrete irreversible step in the direction of utility computing. We are indeed now in the era of consuming IT services, such as electricity or making a telephone call from anywhere at any time, and cloud is playing a larger role in this industrial shift.