Despite the Economy, SAP Customers Are Moving Ahead With Upgrade Plans

MENLO PARK, Calif.—(BUSINESS WIRE)—January 13, 2009— A new survey suggests that SAP customers are moving ahead with their current plans for upgrading their SAP systems to SAP ERP 6.0, despite the economic downturn. 152 European and North American SAP customers and system integrators participated in the survey, which was conducted by Panaya, Inc.

According to the survey, nearly three out of every four projects remain on schedule, and only 11% are delayed beyond 2009. At the same time, 28% of the companies that are not delaying the upgrade are looking to complete the project with a lower budget.

The most cited reason for upgrading was the “end of maintenance” for the current version used by the organization.

According to survey respondents, the greatest challenges are in the planning phase of the project. The top challenge cited is estimating the upgrade project cost/effort (cited by 40% of the respondents), followed by justifying the project budget (36%) and assessing the impact on existing solutions (31%).

The survey was conducted to help companies address some of these challenges by providing metrics they can use to validate their planning assumptions. Some of the metrics provided include:

  • The average overall project duration for an organization with less than 100 users is 26 weeks, while the average duration for an organization with over 10,000 users is 63 weeks.
  • The average project effort for organizations with less than 100 users is 395 person days, while the average for organizations with over 10,000 users is 13,516 days.
  • 88% of the SAP customers surveyed use the help of a third party partner in the upgrade project. More than half of the companies (56%) outsource at least half of the project work.

A free copy of the survey results is available at the Panaya website: http://www.panayainc.com/sap-upgrade-survey.html

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Charts: http://www.flickr.com/photos/panayainc

About Panaya

Panaya provides a Software as a Service (SaaS) for companies that use SAP. Using Panaya's patented supercomputer technology, SAP professionals can negotiate version upgrades with minimal risk and cost. Panaya's simulation shows which custom SAP programs will break as a result of an upgrade, explains how to fix them, derives the most efficient test plan, and calculates the required budget and resources for the project. Panaya was founded in 2006 and serves SAP customers around the world. For more information, please visit http://www.panayainc.com.

Note to Editors

Survey charts and images can be downloaded at http://www.flickr.com/photos/panayainc.

Panaya is the trademark of Panaya, Ltd. of Israel. SAP, SAP ERP 6.0 and all SAP logos are the trademarks or registered trademarks of SAP AG in Germany and in several other countries. All other trademarks or registered trademarks are the property of their respective owners.



Contact:

Panaya, Inc.
Oren Todoros, +972-9-761-8000 ext. 121
Email Contact




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