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HANA puts SAP at risk of being a modern tech vendor with aging business apps

Derek du Preez | June 17, 2013
Constellation Research claims SAP needs create a vision for the in-memory platform

SAP's biggest challenge, according to Constellation Research, is describing HANA's business value. The report states: "Despite the anticipated lower costs on the hardware, implementation and maintenance sides, customers will want to see the tangible, quantifiable business benefits in the overall ROI picture of HANA.

"Faster running reports will not be enough to justify the migration to HANA. A few business functions running faster will still be a stretch and only justify the investment under favourable circumstances.

"SAP needs to create new applications, re-think how a 21st century enterprise operates on in-memory technology, make the associated business benefits tangible and evangelize those benefits among the market leaders and fast followers."

Mueller claims that SAP needs to be careful not to declare victory too early in the war of database adoption for SAP products and that the risk for the software company is significant if it doesn't fill this 'HANA vision' void.

However, Constellation Research believes that this lack of vision creates an opportunity for partners to create clever applications for HANA.

"The good news — the lack of thought leadership on SAP's behalf on the next generation application side — drives opportunities for partners to create higher business opportunities with applications on top of HANA," says Mueller.

"Partners seeing a future in the SAP ecosystem should not miss the opportunity to create a bigger piece of revenue (and different piece) than the traditional services revenue."


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