United States : SAP Salvages Maintenance Contract With Siemens.Byline: Mamta03 When software vendors issue a press release on a deal, it's usually for a new customer win. But after some scuttlebutt scut·tle·butt n. 1. Slang Gossip; rumor. 2. Nautical a. A drinking fountain on a ship. b. A cask on a ship used to hold the day's supply of drinking water. last month about souring negotiations between SAP and marquee customer Siemens, SAP decided to put out a different type of release Wednesday: Siemens has renewed its maintenance contract with SAP. In September, a German business magazine's Web site reported that Siemens was dropping SAP as its provider of maintenance and support for SAP applications and was looking at other options, including service contracts with third-party providers HCL HCl hydrochloric acid. , IBM Global Services IBM Global Services is the world's largest business and technology services provider. It is the fastest growing part of IBM, with over 190,000 professionals serving customers in more than 160 countries. , and Rimini Street. The implication was that Siemens was dissatisfied with the cost and/or quality of SAP's services. SAP issued a statement that didn't deny any issues related to the contract, but said "SAP is currently working with Siemens to deepen deep·en tr. & intr.v. deep·ened, deep·en·ing, deep·ens To make or become deep or deeper. deepen Verb to make or become deeper or more intense Verb 1. the relationship in a multitude of areas." Now, SAP is saying it never lost the deal, and in fact, implies it ended up with more than it had before. In addition to renewing the contract, SAP reported Wednesday, Siemens also tapped SAP to support some of its in-house software that connects to its SAP apps, and extended its contract to include SAP's "MaxAttention" support, a platinum-level service that provides "onsite intensive customized support services support services Psychology Non-health care-related ancillary services–eg, transportation, financial aid, support groups, homemaker services, respite services, and other services ." SAP also said Siemens purchased its supplier relationship management software. But a month ago, as my colleague Bob Evans blogged, it appeared there were some cracks in SAP's important relationship with Siemens, which in addition to being a large customer, is also a reseller An organization that sells hardware and software to the general public. Resellers purchase products from software publishers and hardware manufacturers. and integrator of its software in certain industries. Besides the German pub's report, Siemens chose SuccessFactors for its human resources The fancy word for "people." The human resources department within an organization, years ago known as the "personnel department," manages the administrative aspects of the employees. system over SAP and other vendors in June. The deal for SuccessFactors, delivered in a software-as-a-service model, covers Siemens 420,000-seat global workforce. Why does this all matter? Because scrutiny has intensified in·ten·si·fy v. in·ten·si·fied, in·ten·si·fy·ing, in·ten·si·fies v.tr. 1. To make intense or more intense: on the annual software maintenance fees charged by large, dominant software vendors, at a time when CIOs face shrinking IT budgets and SaaS vendors offer competitive products that don't require the same investments and labor related to on-premises software maintenance. It's hard to know what happened, since the German pub used unnamed sources. Did Siemens leak the "news" of a contract gone bad to get what it wanted from SAP? Yet if SAP's contract with Siemens for services ever was in danger, it appears it did what was needed to keep it. This is a public forum. United Business Media and its affiliates are not responsible for and do not control what is posted herein. Copyright : Euclid Infotech Pvt. Ltd. Provided by Syndigate.info an Albawaba.com company |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion